BILL ANALYSIS �
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|SENATE RULES COMMITTEE | SB 152|
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THIRD READING
Bill No: SB 152
Author: Pavley (D)
Amended: 4/25/11
Vote: 21
SENATE GOVERNMENTAL ORG. COMMITTEE : 10-2, 4/26/11
AYES: Wright, Berryhill, Cannella, Corbett, De Le�n,
Evans, Hernandez, Padilla, Wyland, Yee
NOES: Anderson, Strickland
NO VOTE RECORDED: Calderon
SENATE APPROPRIATIONS COMMITTEE : 6-1, 5/16/11
AYES: Kehoe, Alquist, Lieu, Pavley, Price, Steinberg
NOES: Runner
NO VOTE RECORDED: Walters, Emmerson
SUBJECT : Public lands: general leasing law: littoral
landowners
SOURCE : State Lands Commission
DIGEST : This bill (1) repeals a law that prohibits the
State Lands Commission from charging rent for specified
private recreational piers constructed for the use of an
owner of land adjacent to the shoreline of a lake, river or
stream, and (2) requires the State Lands Commission to
charge rent for private recreational piers constructed on
state lands, as specified.
ANALYSIS :
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Existing law :
1. Grants the State Lands Commission (SLC) the authority to
fix the rental or other consideration for non-extractive
leases and permits on state lands under its
jurisdiction.
2. Prohibits the SLC from charging rent for private
recreational piers constructed on state lands for the
use of an owner of property located adjacent to a state
waterway.
3. Requires a littoral residential landowner to pay the
expenses incurred by the SLC in issuing a permit for a
recreational pier located on private residential
property.
4. Defines "littoral landowner" as (a) a person who owns
littoral land �directly adjacent to state waterways]
used solely for a single-family dwelling, or (b) any
association of persons or a nonprofit corporation that
owns parcels of land, each of which is zoned or used
solely for single-family dwellings.
5. Defines a "recreational pier" as any fixed facility for
the docking or mooring of boats that is constructed for
the use of the littoral landowner.
6. Contains legislative findings and declarations that
substantial public benefit is derived from the
construction and maintenance of private recreational
piers on the waterways of the state, including safe
harbor for disabled vessels, safe anchorage during
severe weather conditions, elimination or retardation of
erosion along the shorelines of rivers.
7. Declares that, in providing for rent-free private
recreational piers, it is the intent of the Legislature
to encourage members of the public to construct the
piers, at no cost to the state, upon the navigable
lakes, rivers and streams of the state.
This bill:
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1. Repeals the law prohibiting SLC from charging rent to
homeowners for residential piers, and the associated
legislative findings and declarations supporting the
policy.
2. Adopts new legislative findings and declarations that:
A. As provided by existing law, the SLC may lease
state lands to private individuals and properties for
various purposes, including for the construction of a
private recreational pier when the SLC determines the
use is consistent with public trust needs and is in
the best interests of the state.
B. The use of state lands for a private recreational
pier is not a property right for littoral or riparian
landowners, but a privilege granted by the SLC on
behalf of the state.
C. It is the intent of the Legislature to allow the
SLC to charge fair annual rent for the use of state
lands for private recreational piers, consistent with
existing regulations.
3. Requires the SLC to charge rent for a private
recreational pier constructed on state lands, consistent
with the process in existing law and regulations.
4. Specifies that rent shall be based on local conditions
and local fair annual rental values.
5. Provides that the imposition of rent shall not apply to
any lease in effect on January 1, 2012, for the term of
that lease, but that when the residential pier lease
expires or is otherwise terminated, the SLC is required
to add fair annual rent provisions to the new lease
contract.
Related Legislation
AB 1490 (Speier), 1991-92 Session, would have required
owners of recreational piers to pay a fair market rental
fee and the SLC's expenses in issuing a lease. It also
would have prohibited transfers of leases of state tide and
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submerged lands for private recreational piers. (Hearing
in Senate Governmental Organization Committee cancelled by
the author)
SB 1017 (Sieroty), 1981-82 Session, would have required
owners of state lands on which private piers had been
constructed to pay rent to the State Lands Commission.
(Failed passage in Senate Governmental Organization
Committee)
SB 349 (Nejedly), Chapter 431, Statutes of 1977, adopted
legislative findings and declarations that establish the
public benefits derived from private recreational piers.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
According to the Senate Appropriations Committee analysis:
Fiscal Impact (in thousands)
Major Provisions 2011-12 2012-13
2013-14 Fund
Lease revenue ($225) ($450)($675)General
Lease oversight $150 $250 $250 General
SUPPORT : (Verified 5/16/11)
States Land Commission (source)
ARGUMENTS IN SUPPORT : The SLC writes that rent equity
has long been an issue of concern to the Commission, which
takes seriously its responsibility to protect the public's
interest by assessing appropriate rents for all private and
commercial use of state lands to ensure a fair and
equitable return to the General Fund on private use of
state trust property. The SLC objects to the prohibition in
existing law on charging rent for leases issued for private
recreational piers that benefit only an arbitrary special
class - the owners of single-family dwellings.
The SLC notes that in 1976 the Attorney General opined that
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issuance of rent-free lease for a private recreational pier
was an unconstitutional gift of public funds. "While the
Legislature responded to this opinion by adopting findings
to establish a public benefit, the Commission does not
believe that these findings have materialized to an extent
to justify the exclusive use of
state property by private parties for no consideration.
Furthermore, SLC notes that these piers not only offer a
recreational benefit to the landowner, but the presence of
these piers significantly add to the upland property's real
estate value, without providing any commensurate benefit to
the state."
PQ:do 5/17/11 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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