BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 1413
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          Date of Hearing:  June 23, 2014

                       ASSEMBLY COMMITTEE ON NATURAL RESOURCES
                                Wesley Chesbro, Chair
                    SB 1413 (Wyland) - As Amended:  April 10, 2014

           SENATE VOTE  :  37-0
           
          SUBJECT  :  State responsibility areas:  fire prevention fees

           SUMMARY  :  Extends the deadline to file a petition for  
          redetermination of the fire prevention fee from 30 days to 60  
          days.

           EXISTING LAW  :

          1)Establishes the Department of Forestry and Fire Protection  
            (CAL FIRE), which, among other things, is responsible for the  
            fire protection, fire prevention, maintenance, and enhancement  
            of the state's forest, range, and brushland resources,  
            contract fire protection, associated emergency services, and  
            assistance in civil disasters and other nonfire emergencies.

          2)Creates within CAL FIRE the State Board of Forestry and Fire  
            Protection (Board) consisting of nine members appointed by the  
            Governor.  Requires the Board to protect the state's interest  
            in forest resources on private lands, which includes  
            establishing adequate forest policy and determining general  
            policies for CAL FIRE.

          3)Requires the Board to classify all lands within the state for  
            the purpose of determining areas in which the financial  
            responsibility of preventing and suppressing fires is  
            primarily the responsibility of the state (these areas are  
            known as "state responsibility areas" or "SRA.")

          4)Declares that it is necessary to impose a fire prevention fee  
            to pay for fire prevention activities in the SRA that  
            specifically benefit owners of structures in the SRA.

          5)Requires the Board to adopt regulations to establish a fire  
            prevention fee in an amount not to exceed $150 (which must be  
            adjusted every year for inflation) to be charged on each  
            "structure" on a parcel that is within the SRA.  Defines  
            "structure" as a building used or intended to be used for  








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            human habitation, including a mobile home or manufactured  
            home.  Reduces the fire prevention fee by $35 if the structure  
            is also within the boundaries of a local agency that provides  
            fire protection services (this reduction applies to most  
            structures).

          6)Requires the fire prevention fees to be deposited in the State  
            Responsibility Area Fire Prevention Fund, which is available  
            to the Board and CAL FIRE to expend for fire prevention  
            activities that benefit the owners of structures within the  
            SRA who are required to pay the fire prevention fee.  Limits  
            fire prevention activities to the following:  a) local  
            assistance grants established by the Board; b) grants to Fire  
            Safe Councils, the California Conservation Corps, or certified  
            local conservation corps for fire prevention projects and  
            activities in the SRA; c) grants to a qualified nonprofit  
            organization with a demonstrated ability to satisfactorily  
            plan, implement, and complete a fire prevention project  
            applicable to the SRA; d) inspections by CAL FIRE for  
            compliance with defensible space requirements around  
            structures in the SRA; e) public education to reduce fire risk  
            in the SRA; f) fire severity and fire hazard mapping by CAL  
            FIRE in the SRA; and, g) other fire prevention projects in the  
            SRA that are authorized by the Board.  

          7)Allows a person to petition for a redetermination of whether  
            the fire prevention fee applies to him or her within 30 days  
            after being served with a notice of determination (i.e., the  
            notice from CAL FIRE stating that a person must pay the fire  
            prevention fee).  Requires the petition to be sent to CAL  
            FIRE, the Board, and the Board of Equalization (BOE). 

           FISCAL EFFECT  :  According to the Senate Appropriations  
          Committee, BOE estimates the annual revenue loss to be about  
          $461,000 (special funds).  Additionally, BOE will incur minor  
          one-time costs for computer programming and revising  
          publications (special funds).

           COMMENTS  :

           1)Fire Prevention Fee (ABX1 29)  .  Going into 2011, the state was  
            facing a $25.4 billion budget deficit (which grew to $26.6  
            billion after the governor cancelled the sale of several state  
            buildings) and an annual structural deficit of up to $21.5  
            billion was projected into the future.  In March 2011, the  








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            Legislature passed $13.4 billion in "solutions" (consisting  
            mostly of spending cuts) to address the deficit; however,  
            there was still a shortfall of $10.8 billion.  To help address  
            the budget shortfall, the Legislature passed, among other  
            bills, ABX1 29, which required the Board to adopt emergency  
            regulations to establish a "fire prevention fee" not to exceed  
            $150 for each structure on a parcel that is within the SRA.   
            The fee was intended to fill a hole created by a $50 million  
            General Fund (GF) cut directed at CAL FIRE in the 2011 budget  
            bill.  It has been well documented in news articles and  
            political colloquy that the Legislature was compelled to  
            establish the fee because it had to produce substantial GF  
            cuts, and other budget options, such as increasing revenues  
            through additional sales and income taxes, were politically  
            infeasible due to the two-thirds vote requirement for such  
            measures.

           2)Appeals  .  Under existing law, a person may appeal a fire  
            prevention fee billing notice through a petition for a  
            redetermination if that petition is filed within 30 days of  
            receiving the billing notice.  This bill extends the 30 day  
            deadline to 60 days.
           
          3)Similar Legislation  .  AB 2048 (Dahle, Chesbro, and Gordon)  
            will, among other things, authorize CAL FIRE to consider a  
            petition for redetermination that has been filed after the 30  
            day period expires.   

          REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          George Runner, Member, State Board of Equalization (sponsor)
          California Taxpayers Association
           
            Opposition 
           
          None on file


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











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