BILL ANALYSIS                                                                                                                                                                                                    �



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          SENATE THIRD READING
          SB 860 (Natural Resources and Water Committee)
          As Amended  August 18, 2011
          Majority vote

           SENATE VOTE  :  38-0

           NATURAL RESOURCES   8-0                                         
           
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          |Ayes:|Chesbro, Brownley,        |     |                          |
          |     |Dickinson, Grove,         |     |                          |
          |     |Halderman, Hill, Monning  |     |                          |
          |     |Skinner                   |     |                          |
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          SUMMARY  :  Makes clean-up amendments to statutes authorizing 
          public trust land exchanges and grants for redevelopment 
          projects at Hunters Point Naval Shipyard and Candlestick Point, 
          Treasure Island, and the Naval Air Station Alameda.  
          Specifically,  this bill:  
           
           1)With regard to the statutes authorizing public trust land 
            exchanges and grants at Hunters Point Naval Shipyard and 
            Candlestick Point, clarifies that:   

              a)   The state reserves the mineral interest in lands granted 
               to the San Francisco Redevelopment Agency;  

              b)   If the state enters into a public trust land exchange, 
               it may quitclaim all mineral rights in the lands that it is 
               transferring out of the public trust; and,  
                
             c)   If the San Francisco Redevelopment Agency dissolves, its 
               successor agency is to take its duties and responsibilities 
               for the purposes of administering the granted public trust 
               lands.  

           2)With regard to the statutes authorizing public trust land 
            exchanges and grants at Treasure Island:  

              a)   Clarifies that the state reserves the mineral interest 
               in lands granted to the Treasure Island Development 
               Authority (TIDA) subject to restrictions regarding 
               exploration;  








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              b)   Clarifies that if the state enters into a public trust 
               land exchange, it may quitclaim all mineral rights in the 
               lands that it is transferring out of the public trust; and, 
                
                
             c)   Establishes that the City and County of San Francisco, 
               and not the Port of San Francisco, is the successor agency 
               to TIDA if TIDA were to dissolve.  

           3)With regard to the statutes authorizing public trust land 
            exchanges and grants at Naval Air Station Alameda:  

              a)   Establishes that the requirements to complete all 
               necessary hazardous materials remediation pursuant to the 
               Naval Air Station Alameda Public Trust Exchange Act are 
               satisfied if either of the following occurs:  
                
               i)     All remedial actions necessary to protect human 
                 health and the environment with respect to the hazardous 
                 substances on the land have been completed as determined 
                 in accordance with the Federal Facility Agreement for 
                 Alameda Naval Air Station between United States 
                 Environmental Protection Agency, the United States 
                 Department of the Navy, and the State of California; or,

               ii)    The United States has obtained a warranty deferral, 
                 approved by the Governor, and the State Lands Commission 
                 (SLC) finds that sufficient liability measures and 
                 implementation measures will be in place upon the 
                 completion of the land exchange.

             b)   Clarifies that the state reserves the mineral interest 
               in lands granted to the Alameda Reuse and Redevelopment 
               Agency and the City of Alameda subject to restrictions 
               regarding exploration; and,

             c)   Clarifies that if the state enters into a public trust 
               land exchange pursuant to the Naval Air Station Alameda 
               Public Trust Exchange Act, it may quitclaim all mineral 
               rights in the lands that it is transferring out of the 
               public trust. 

           EXISTING LAW  :  









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          1)Protects, pursuant to the common law Public Trust Doctrine, 
            the public's right to use California's waterways for commerce, 
            navigation, fishing, boating, natural habitat protection, and 
            other water oriented activities.  The Public Trust Doctrine 
            provides that filled and unfilled tide and submerged lands and 
            the beds of lakes, streams, and other navigable waterways 
            (i.e., public trust lands) are to be held in trust by the 
            state for the benefit of the people of California.  

          2)Establishes that SLC is the steward and manager of the state's 
            public trust lands.  

          3)Grants, in trust, state public trust lands to over 80 local 
            public agencies (also known as local trustees/ grantees) to be 
            managed for the benefit of all the people of the state and 
            pursuant to the Public Trust Doctrine and the terms of the 
            applicable granting statutes.  SLC has oversight authority 
            over these granted public trust lands to ensure that they are 
            managed pursuant to the Public Trust Doctrine and applicable 
            granting statutes.

          4)Grants to the Port of San Francisco, pursuant to the "Burton 
            Act" (AB 190 Chapter 1333, Statutes of 1968), administrative 
            control over the public trust lands in the Harbor of San 
            Francisco for purposes of commerce, navigation, and fisheries 
            and subject to other terms and conditions specified.

          5)Authorizes, pursuant to SB 792 (Leno), Chapter 203, Statutes 
            of 2009, a public trust land exchange at Hunters Point Naval 
            Shipyard and Candlestick Point; requires SLC to ensure that 
            lands are not exchanged into the trust until all necessary 
            hazardous materials remediation for those lands have been 
            completed; and, grants to the San Francisco Redevelopment 
            Agency administrative control over the public trust lands at 
            the Hunters Point Naval Shipyard.

          6)Authorizes, pursuant to the "Treasure Island Conversion Act" 
            (AB 699 (Migden), Chapter 898, Statutes of 1997) the City and 
            County of San Francisco to designate the Treasure Island 
            Development Authority (TIDA) as the redevelopment agency for 
            Treasure Island; requires that all money received or collected 
            by TIDA from the use or operation of the trust property be 
            deposited in the Treasure Island Trust Fund to be used only 
            for purposes consistent with the public trust for navigation, 
            commerce, and fisheries; and, designates TIDA as the trustee 








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            of the trust property.

          7)Authorizes, pursuant to the "Treasure Island Public Trust 
            Exchange Act" (SB 1873 (Burton), Chapter 543, Statutes of 
            2004; SB 815 (Migden), Chapter 660, Statutes of 2007), a 
            public trust land exchange at Treasure Island and Yerba Buena 
            Island, subject to SLC's approval.  

          8)Authorizes, pursuant to the "Naval Air Station Alameda Public 
            Trust Exchange Act" (SB 2049 (Perata), Chapter 734, Statutes 
            of 2000), a public trust land exchange at the former Naval Air 
            Station Alameda; requires SLC to ensure that lands are not 
            exchanged into the trust until all necessary hazardous 
            materials remediation for those lands have been completed; 
            and, grants to the Alameda Reuse and Redevelopment Agency and 
            the City of Alameda the responsibility of administering the 
            public trust lands within the Naval Air Station Alameda 
            property.

           FISCAL EFFECT :  This bill is keyed non-fiscal by the Legislative 
          Counsel.

           COMMENTS  :  The Legislature, through the above referenced 
          statutes (exchange/grant statues), has authorized public trust 
          land exchanges and grants to facilitate local redevelopment 
          projects in San Francisco and Alameda.  The local governmental 
          agencies involved in these land exchanges and grants have 
          identified minor technical issues with the exchange/grant 
          statues.  These issues include:  1) ambiguities in the 
          provisions involving the state's mineral interests in lands that 
          are exchanged and granted; 2) for the San Francisco 
          redevelopment projects, questions about who will succeed the 
          redevelopment agencies if they are dissolved; and, 3) for the 
          Alameda redevelopment project, questions about how hazardous 
          materials remediation requirements are satisfied.  This bill 
          addresses these issues in a manner that is consistent with the 
          intent of the original exchange/grant statutes.


           Analysis Prepared by  :  Mario DeBernardo / NAT. RES. / (916) 
          319-2092 


                                                                 FN: 
          0001785








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