BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 968
                                                                  Page 1

          Date of Hearing:  June 16, 2014

                       ASSEMBLY COMMITTEE ON NATURAL RESOURCES
                                Wesley Chesbro, Chair
                      SB 968 (Hill) - As Amended:  June 19, 2014

           SENATE VOTE  :  22-11
           
          SUBJECT  :  Public lands:  Martins Beach property:  access road

           SUMMARY  :  Requires the State Lands Commission (SLC) to enter  
          into negotiations to acquire a public access right-of-way or  
          easement to the beach at located at the Martins Beach property  
          south of Half Moon Bay.  If negotiations fail, or if the owner  
          fails to voluntarily provide public access, requires SLC to  
          acquire, by eminent domain, a right-of-way or an easement to the  
          beach.

           EXISTING LAW  :

          1)Declares, pursuant to the California Constitution, that the  
            right of eminent domain exists in the state to all frontages  
            on the navigable waters of the state. 

          2)Prohibits, pursuant to the California Constitution, an  
            individual claiming or possessing the frontage or tidal lands  
            of navigable waters from excluding the right of way to such  
            waters whenever it is required for any public purpose or from  
            destroying or obstructing the free navigation of such water.   
            Requires the Legislature to enact such laws as will give the  
            most liberal construction to this provision, so that access to  
            the navigable waters of this State shall be always attainable  
            for the people thereof.

          3)Protects, pursuant to the common law doctrine of the public  
            trust, the public's right to use California's waterways for  
            water-dependent commerce, navigation, fishing, boating,  
            natural habitat protection, and other water-oriented  
            activities.  Provides, pursuant to the public trust doctrine,  
            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.    

          4)Requires SLC to be the steward and manager of the state's  








                                                                  SB 968
                                                                  Page 2

            public trust lands.  Gives SLC direct administrative control  
            over the state's public trust lands and oversight authority  
            over public trust lands granted by the Legislature to local  
            public agencies.

          5)If SLC has public land, including lands subject to the public  
            trust for commerce, navigation, and fisheries, to which there  
            is no access available, authorizes SLC to acquire by purchase,  
            lease, gift, exchange, or, if all negotiations fail, by  
            condemnation (i.e., eminent domain), a right-of-way or  
            easement across privately owned land or other land that it  
            deems necessary to provide access to such public land.

           THIS BILL  :

          1)Makes findings and declarations regarding Martins Beach and  
            public access to the coast.

          2)Requires SLC to consult and enter into any necessary  
            negotiations with the owners of the Martins Beach property to  
            acquire a right-of-way or easement for the creation of a  
            public access route to and along the shoreline, including the  
            sandy beach, at Martins Beach.

          3)Does not prohibit the owners of the Martins Beach property  
            from voluntarily providing public access to and along the  
            shoreline at Martins Beach upon terms acceptable to SLC.

          4)If, by January 1, 2016, SLC is unable to reach an agreement to  
            acquire a right-of-way or easement or the owners do not  
            voluntarily provide public access, requires SLC to acquire, by  
            eminent domain, a right-of-way or easement for the creation of  
            a public access route to and along the shoreline, including  
            the sandy beach, at Martins Beach.

          5)Requires SLC to consult and enter into negotiations with local  
            stakeholders, including, but not limited to, nonprofit  
            entities, local and regional governments, and governmental  
            entities, to address the ongoing management and operation of  
            any property acquired pursuant to this bill.

           FISCAL EFFECT  :  According to the Senate Appropriations  
          Committee: 

          1)Unknown one-time costs, likely in the hundreds of thousands to  








                                                                  SB 968
                                                                  Page 3

            low millions from the General Fund for the purchase of a  
            right-of-way or easement for access to the public lands at  
            Martins Beach.  

          2)Unknown ongoing costs from the General Fund for the  
            maintenance of the right-of-way or easement. 

           COMMENTS  :  

           1)Background  . The Martins Beach property is a 53 acre beachfront  
            property located on Highway 1 south of Half Moon Bay.  There  
            is a road on the property commonly referred to as Martins  
            Beach Road that leads from the entrance on Highway 1 and to  
            the beach.  Martins Beach Road is the only road to the beach.   
            The beach is sheltered from the north and south by high cliffs  
            that stretch out into the Pacific Ocean forming an isolated  
            cove.  As a practical matter, there is no reasonable access  
            from other beaches to the north or south as Martins Beach is  
            separated from other beaches by the high cliffs.  Short of  
            rappelling down the cliffs, the only access is by Martins  
            Beach Road (a private road) from the east or by boat from the  
            off-shore Pacific Ocean tidelands to the west.  There are also  
            45 cabins on long-term leases (through approximately 2021)  
            that sit above the beach on a bluff that rises 180 feet above  
            the ocean.

          2)The beach was recently purchased on July 22, 2008 by two  
            limited liability companies (hereinafter referred to as  
            Martins Beach, LLC).  The former owners of Martins Beach-the  
            Deeney Family-owned the beach for over 100 years and welcomed  
            the public to the beach with "open arms" upon payment of a  
            fee.  Martins Beach was a popular community beach that was  
            used for picnicking, fishing, surfing, and other recreational  
            uses under the business run by the Deeney family whereby they  
            charged a fee for entry to the beach; originally 25 cents.   
            The Deeney family also provided a general store and public  
            restrooms.  This changed when Martins Beach, LLC purchased the  
            property, closed the gate to the road, and put security guards  
            on the beach.   Martins Beach, LLC has attempted to support  
            criminal prosecution of those who are allegedly trespassing on  
            the property. 

            In response, a group of citizens staged rallies and generated  
            press coverage in an attempt to regain public access to the  
            beach.  Eventually public access related lawsuits were filed  








                                                                  SB 968
                                                                  Page 4

            against Martins Beach, LLC.  One case has been brought by the  
            Surfrider Foundation asserting that Martins Beach, LLC  
            violated the Coastal Act by not applying for a coastal  
            development permit when closing the road to the beach.  This  
            case is currently pending in the trial court.  Another case  
            brought by Friends of Martins Beach claims, under several  
            legal theories, that the public has the right to traverse the  
            property to access the beach.  This case is currently on  
            appeal after the trial court ruled in favor of Martins Beach,  
            LLC.  

            The committee staff notes that the trial court in the Friends  
            of Martins Beach case based one of its findings on an  
            unprecedented and questionable holding in which it claimed,  
            without supporting authority, that the California  
            Constitution's provision prohibiting an individual from  
            excluding the public's right of way to navigable waters  
            codifies the common law public trust doctrine.  However, the  
            common law public trust doctrine-which protects the public's  
            right to use tide and submerged lands for commerce,  
            navigation, fishing, boating, natural habitat protection, and  
            other water oriented activities-does not confer any right on  
            the public to use non-trust lands to access the water.  In  
            fact, the trial court, in a different section of the opinion,  
            inadvertently supports this point by citing an Attorney  
            General opinion explaining that "the few reported cases in  
            California [regarding the Constitutional provision on public  
            access] have adopted the general rule that one may not  
            trespass on private land to get to navigable tidewaters for  
            the purpose of commerce, navigation or fishing."  

            This distinction between the Constitution and the public trust  
            is significant because the trial court mistakenly relied on a  
            1984 U.S. Supreme Court decision on the public trust doctrine  
            to determine the applicability of the constitutional provision  
            on public access.

            The Supreme Court case held that the public trust doctrine  
            does not apply to an area of tide and submerged lands if all  
            of the following apply:

             a)   The tide and submerged lands were part of a Mexican land  
               grant (i.e., grants issued to individuals by the Mexican  
               Governor of California prior to the Treaty of Guadalupe  
               Hidalgo in 1848);








                                                                  SB 968
                                                                  Page 5


             b)   Those lands were patented by the federal government  
               through a process established to protect the property  
               rights of Mexican landowners, which was an obligation the  
               U.S. committed to under the Treaty of Guadalupe Hidalgo;  
               and

             c)   The federal patent was confirmed without any mention of  
               a public trust easement. 

            The Martins Beach property was transferred by a Mexican land  
            grant in 1838.  In 1865, the landowner obtained a federal  
            patent that, according to the Friends of Martins Beach trial  
            court, includes "off-shore submerged tidelands."  During the  
            federal patent proceedings, no mention was made of any public  
            trust restriction on the tide and submerged lands.  Therefore,  
            according to the rule established by the US Supreme Court, the  
            public trust doctrine does not exist on the tide and submerged  
            lands contained in the Martins Beach land patent.

            However, the Friends of Martins Beach case is about public  
            access, not whether the tide and submerged lands are subject  
            to the public trust doctrine.  But since the trial court held  
            that the constitutional provision on public access codifies  
            the public trust doctrine, the court mistakenly used the U.S.  
            Supreme Court decision to find that the public access  
            provision has no jurisdiction over Martins Beach.  If the  
            appellate court overturns the trial court's decision on this  
            issue, then the focus will likely be on what kind of impact  
            the public access provision of the Constitution has on the  
            Martins Beach property.  

            While these issues are sorted out by the courts, this bill  
            seeks an alternative solution.  Specifically, this bill will  
            require SLC to enter into negotiations with Martins Beach, LLC  
            to reopen the road for public access.  If a settlement cannot  
            be reached by January 1, 2016, the bill requires SLC to  
            acquire access to the road and beach using its existing  
            eminent domain authority.  

            According to the author, the hope is that the bill does not  
            lead to the state's exercise of eminent domain on the Martins  
            Beach property, but instead brings the parties to the table to  
            reach a compromise.









                                                                  SB 968
                                                                  Page 6

           REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          Azul
          Black Surfers Collective
          California Coastal Commission
          California Coastal Protection Network
          Coastside Beach Coalition
          Committee for Green Foothills
          Environment California
          Environmental Action Committee of West Marin
          Ocean Conservancy
          San Mateo County Board of Supervisors
          Save the Waves Coalition
          Sierra Club
          Surfrider Foundation
          WILDCOAST

           Opposition 
           
          None on File

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