BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 1577
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          Date of Hearing:  June 27, 2012

                       ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT
                                Cameron Smyth, Chair
               SB 1577 (Committee on Natural Resources and Water) - As 
                               Amended:  June 20, 2012

           SENATE VOTE  :  37-0
           
          SUBJECT  :  Resources: public trust lands: City of Newport Beach.

           SUMMARY  :  Grants in trust to the City of Newport Beach (City) 
          10.3 acres of public trust lands, as specified.   

           EXISTING LAW  grants to the City of Newport Beach all tide and 
          submerged lands, whether filled or unfilled, bordering upon and 
          under the Pacific Ocean or Newport Bay, as described, subject to 
          specified conditions.

           FISCAL EFFECT  :   According to the Senate Appropriations 
          Committee, pursuant to Senate Rule 28.8, negligible state costs. 
           

           COMMENTS  :   

          1)For over 100 years, the Legislature has granted public trust 
            lands to local public agencies so the lands can be managed 
            locally for the benefit of the people of California.  
            Virtually all grants have been made by non-codified statutes.  
            A granting statute generally explains what lands have been 
            granted and how they are to be managed by the grantee.  
            Without a tidelands grant, the State Lands Commission (SLC) 
            has direct authority to lease or otherwise manage public trust 
            lands.  

            On September 1, 2011, SLC approved a boundary line agreement 
            with the City.  The purpose of the agreement was to settle a 
            title dispute concerning certain lands located in Marina Park 
            in the Lower Newport Bay.  The agreement confirmed the public 
            trust interest on 10.3 acres of land bayward of the 
            established boundary line and terminated any public trust 
            interest landward of that line.  These 10.3 acres are not 
            subject to the City's previous legislative grant of public 
            trust lands.  As such, SLC has administrative authority over 
            the land.  SLC has leased the public trust lands to the City 








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            for a period of 49 years.  The City has plans to use the 
            public trust lands to develop an expanded marina, sailing 
            center, parking lot, public access paths, American Legion 
            facilities, aquatic beachfront park, and open space for 
            water-related recreation.  These uses are all consistent with 
            the public trust doctrine.

          2)This bill will grant 10.3 acres of public trust lands to the 
            City, thus bringing these lands into the same management as 
            the rest of the City's granted public trust lands.  With this 
            grant, it is no longer necessary for the City to have leases 
            with the Commission for these lands.

            The bill is sponsored by the State Lands Commission.

          3)The title settlement and land exchange agreement was approved 
            by the SLC on September 1, 2011 and signed by the Governor on 
            January 13, 2012.  The agreement includes a provision that the 
            Commission and the City will pursue legislation to include the 
            required public trust parcel in the city's statutory trust 
            grant. 

           4)Support arguments  :  This bill fulfills the title settlement 
            and land exchange agreement to pursue legislation by including 
            the final public trust parcel in the City of Newport Beach's 
            statutory trust grant.

             Opposition arguments  :  None on file.

          5)This bill was double-referred to the Assembly Natural 
            Resources Committee and heard on June 18, 2012.  The bill 
            passed on a 9-0 vote.

           REGISTERED SUPPORT / OPPOSITION :

           Support 
           
          Stand Lands Commission �SPONSOR]
           
            Opposition 
           
          None on file

           Analysis Prepared by  :    Debbie Michel / L. GOV. / (916) 
          319-3958 








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