Existing law establishes the California Conservation Corps in the Resources Agency with the mission to, among other things, increase awareness of our natural resources, including instilling basic skills and a healthy work ethic in California youth, building their character, self-esteem, and self-discipline, and establishing within them a strong sense of civic responsibility and an understanding of the value of a days work for a days wages. Existing law requires the corps to develop nonresidential programs in urban communities, and authorizes it to develop those programs in other than urban communities, that have high concentrations of ethnic-minority youths, high levels of youth unemployment, and a need for conservation work.

This bill would make nonsubstantive changes to these provisions.

Date of Hearing: April 20, 2016

ASSEMBLY COMMITTEE ON APPROPRIATIONS

Lorena Gonzalez, Chair

ABPCA Bill Id:AB 2185

Author:(Gonzalez) – As Amended Ver:March 18, 2016

Urgency: No State Mandated Local Program: No Reimbursable: No

SUMMARY:

This bill requires the State Coastal Conservancy (SCC), subject to the availability of funding, to develop a program to provide loans or grants to meet the operation and maintenance needs of private low-cost coastal accommodations in exchange for an easement or binding agreement to protect the public benefit of the facility. Additionally, this bill:

1. Requires SCC, in consultation with the California Coastal Commission (Commission), Department of Parks and Recreation (DPR) and other relevant coastal public land holders to develop a list of potential projects in each region of the coast.
2. Requires SCC to provide the list to the Commission and requires the Commission to provide the list to local governments with Local Coastal Plans (LCPs). Requires the Commission is to use projects on the list as options for coastal development mitigation or in lieu public access fees.

FISCAL EFFECT:

1. GF or special fund cost pressures potentially in the hundreds of thousands to millions of dollars range to provide the grants and loans specified in the bill.
2. Increased initial costs to SCC of approximately $600,000 (GF or special fund) to develop the list of potential projects, monitor and enforce the program and determine how best to grant public funds to private businesses. Potential unknown future legal costs for defending the easements.
3. Increased costs of approximately $330,000 for DPR to conduct the coastal zone assessment and advise the SCC.
4. Minor administrative costs of approximately $10,000 for the Commission to provide information to SCC on potential low-cost accommodation projects by region and consult with DPR.

COMMENTS:

1. Purpose. According to the author, although the 1972 Coastal Act requires lower cost visitor and recreational facilities to be protected, encouraged, and provided, a 2006 Commission report found that only 8% of overnight accommodations in nine popular coastal counties were considered low-cost. This bill encourages the Commission to improve their current approach to coastal access, and increases the authority of the State Conservancy to protect and develop affordable accommodations along California’s coast.
2. Background. The Coastal Act broadly protects public access for all by protecting and providing for lower cost public recreational and visitor serving facilities, including but not limited to, overnight accommodations.

The Commission has carried out the Coastal Act mandate to protect and provide lower cost visitor accommodations in various ways. Additionally, the Commission has certified LCP policies throughout the coastal zone with low cost accommodation requirements.

Through coastal development permit actions, the Commission has in some cases denied permit applications for development that would eliminate existing lower cost facilities, and has in other cases required low-cost accommodations to be constructed in conjunction with new higher cost hotels either on or off site.

1. In Lieu Fees. The Commission has also collected over $19 million in “in-lieu” fee mitigation for impacts for low-cost accommodations, and those fees have resulted in the development of significant projects along the California coast, including support for the 260-bed Santa Monica Hostel, the restoration of Crystal Cove Cottages in Orange County, and nearly 200 new State Parks campsites.

However, millions of dollars in “in lieu” fees remain un-spent, and the Commission is currently engaged in an effort to document all past “in lieu” fee requirements. The Commission partnered with State Parks, SCC, regional agencies, local governments, and non-profits on projects that spend “in lieu” fees.

1. Implementation Issues. This bill requires list of potential projects but does not require the analysis necessary to determine ongoing operations and maintenance costs to determine the costs and benefits of the projects. The author may wish to amend the bill to include further analysis requirements.
2. Prior legislation. AB 694 (Rendon, 2015) was almost identical to this bill and was held on suspense in this Committee.

Analysis Prepared by: Jennifer Galehouse / APPR. / (916) 319-2081

Date of Hearing: April 11, 2016

ASSEMBLY COMMITTEE ON NATURAL RESOURCES

Das Williams, Chair

ABPCA Bill Id:AB 2185 (

Author:Gonzalez) – As Amended Ver:March 18, 2016

SUBJECT: State Coastal Conservancy: low-cost accommodations

SUMMARY: Requires State Coastal Conservancy (SCC) to develop a program to assist private low-cost accommodations to continue to provide low-cost accommodations to the public. Requires SCC to develop a document with a list of potential low-cost accommodation projects that could be used as options for mitigation when considering coastal development permits (CDP).

EXISTING LAW:

1. Pursuant to the California Constitution, requires protection of coastal access, requires maximum access and recreational opportunities to be provided for all people consistent with public safety needs and the need to protect public rights, rights of private property owners, and natural resource areas from overuse.
2. Establishes SCC with powers and responsibilities for implementing and administering various programs intended to preserve, protect, and restore the state’s coastal areas.
3. Requires SCC to cooperate with the California Coastal Commission (Commission), other public agencies, and with nonprofit organizations to meet the policies and objectives of the California Coastal Act of 1976 (Coastal Act), or a certified local coastal program (LCP).
4. Requires, pursuant to the Coastal Act, lower cost visitor and recreational facilities to be protected, encouraged, and, where feasible, provided. Declares a preference for developments providing public recreational opportunities.
5. Requires, pursuant to the Coastal Act, a person planning to perform or undertake any development in the coastal zone to obtain a CDP from the Commission or local government enforcing a LCP.

THIS BILL:

1. Requires SCC, subject to the availability of funding, to develop either a grant or revolving loan program to assist private low-cost accommodations to meet their operation and maintenance needs in exchange for an easement or other legally binding instruments requiring the facility to continue to provide low-cost accommodations in the future.
2. Creates the Low-Cost Accommodations Program Account to receive funds for the new SCC program.
3. Requires SCC, in consultation with the Commission, Department of Parks and Recreation (State Parks), and other relevant coastal public land holders, to develop a list of potential low-cost accommodation projects in each region of the coastal zone. The list shall include, but not be limited to, the following:
   1. Specific projects that will increase low-cost accommodations at State Parks in the coastal zone consistent with the recommendations of the Parks Forward Commission;
   2. Information on grant programs at SCC that assist public agencies and non-profits in providing low-cost accommodations in the coastal zone; and,
   3. Information on the grant or loan program developed by SCC.
4. Requires SCC to provide the list to the Commission and requires the Commission to provide the list to local governments with LCPs.
5. Requires the Commission to refer to the list for two purposes:
   1. Options for mitigation when considering a CDP that impacts the availability of low-cost accommodations, and
   2. Options for expending prior commitments of “in-lieu” public access fees.

FISCAL EFFECT: Unknown

COMMENTS:

1. Coastal Commission. The Coastal Act broadly protects public access for all by protecting and providing for lower cost public recreational and visitor serving facilities, including, but not limited to, overnight accommodations. As stated in the Commission’s Strategic Plan Vision: “The California coast is available for all to enjoy through thousands of public accessways to and along the shoreline, a completed California Coastal Trail, a well-supported network of parks and open spaces, and a wide range of visitor-serving facilities, including lower cost campgrounds, hostels, and hotels.”

Section 30213 requires permitted development to protect, encourage, and, where feasible, provide lower cost visitor and recreational facilities. According to the Commission, this protection is necessary because there is significant pressure to develop new higher cost accommodations, sometimes by replacing existing lower or moderate cost facilities. This is because market demand tends to push prices increasingly higher in the California coastal zone where tourism and overnight accommodations are extremely valuable commodities.

The Commission has carried out the Coastal Act mandate to protect and provide lower cost visitor-serving accommodations in various ways. The Commission has certified LCP policies throughout the coastal zone that implement Section 30213 requirements. Through coastal development permit actions, the Commission has in some cases denied permit applications for development that would eliminate existing lower cost facilities, and has in other cases required low-cost accommodations to be constructed in conjunction with new higher cost hotels either on or off site.

The Commission has also collected over $19 million in “in-lieu” fee mitigation for impacts to low-cost accommodations, and those fees have resulted in the development of significant low-cost accommodations along the California coast, including support for the 260-bed Santa Monica Hostel, the restoration of Crystal Cove Cottages in Orange County, and nearly 200 new State Parks campsites. However, millions of dollars in “in lieu” fees remain unspent, and the Commission is currently engaged in an effort to document all past “in lieu” fee requirements. The Commission partnered with State Parks, SCC, regional agencies, local governments, and non-profits on projects that spend “in lieu” fees.

The Commission’s Strategic Plan Action 1.2.2 expresses a need to work with SCC, State Parks, and other state and local partners to identify, plan for, and provide new public access and recreational opportunities and low-cost accommodations through effective allocation of existing and potential future “in-lieu” fees. The Commission has had workshops on low-cost accommodations, one in December of 2014 and one March of 2015. During these workshops concerns were expressed over the unspent “in-lieu” fees and the lack of low-cost accommodations. At the December workshop, San Francisco State University Professor Patrick Tierney stated that many owners of low-cost accommodations in the coastal zone are nearing retirement and that many private motels and hotels that are a low-cost option for visitors could be lost in the near future.

1. Other players. While the federal and local governments also have efforts to increase low-cost accommodations along the coast, SCC and State Parks are the two other state agencies that play a role providing low-cost accommodations. SCC has targeted the provision of low-cost overnight accommodations near the coast under part of its Public Access Program since 1985, and assisted nonprofit organizations and local governmental agencies in developing campgrounds, hostels, and cabins/cottages along the California Coast. Since the start of the Public Access Program in 1985, SCC has granted over $9 million to help fund 13 separate projects to enhance low-cost coastal accommodations. One concern raised by SCC with the “in lieu” fees provided by the Commission is they are small relative to the total cost of a low-cost accommodation project. In addition, “in lieu” fees are a condition of an individual CDP and often have geographic and nexus requirements that makes it more complicated to find appropriate projects for the “in lieu” fees.

Coastal state parks cover 339 miles of Pacific coastline. State parks along the coast also provide many lower cost visitor-serving accommodations. The Parks Forward Initiative stated that more people will visit parks if parks offer a broad range of affordable overnight accommodations. A key Parks Forward recommendation is increasing the number, variety, and affordability of overnight accommodations. It is important to increase low-cost accommodations available at State Parks because cabins on the coastal zone often are booked through much of the summer season. For example, occupancy rates at the Crystal Cove Cottages in Crystal Cove State Park are estimated to be approximately 97%. Cabins often offer options to disadvantaged Californians that may not have traditional camping equipment. The Commission has ordered construction of low-cost accommodations at State Parks as direct mitigation and has awarded “in lieu” fees for that purpose.

1. AB 2185. Allowing families of all income levels to have access to California’s beaches and coast is a central tenet of the Coastal Act. AB 2185 attempts to expand and preserve the pool of low-cost accommodations to create more recreation opportunities for all Californians.

AB 2185 embraces many of the recommendations that were either provided by individual commissioners or the presenters at the workshops help by the Commission. SCC will be the lead agency implementing AB 2185, which is consistent with their duties assisting implementation of the Coastal Act. The bill will develop a unique program that will attempt to preserve private low-cost accommodations by providing grants or loans to meet operation and maintenance needs in exchange for a commitment of continued low-cost accommodations at the facilities. The program could be funded through private or public funds and could offer a way to preserve small independent motels and hotels along the coast that offer low-cost accommodations. By gaining legally binding agreements to continue to offer low-cost accommodations, SCC could reduce the pressure for hotel conversions on the coast. One potential concern that has been raised by the Commission and SCC with this approach is any program would need to ensure a public benefit, and that any benefit to a private entity must only be incidental to the direct public purpose to avoid being a gift of public funds.

AB 2185 also requires SCC, in consultation with the Commission, State Parks, and other relevant coastal public land holders, to develop a list of potential low-cost accommodations in the coastal zone. This list of potential projects would include recommendations by the Parks Forward Commission, current grant programs at SCC for public agencies and non-profits, and the new grant or loan program that will be developed by SCC, as specified in this bill. This list would be used by the Commission and local governments with LCPs when considering CDPs that impact the availability of low-cost accommodations to assist them with actual examples of what direct mitigations and appropriate “in-lieu” fee requirements could be. The goal of this information is to help the Commission and local governments with LCPs make more informed decisions that result in the most appropriate mitigation. In addition, AB 2185 would provide the Commission with a list of potential projects to reduce the backlog of committed “in lieu” fees. It is important to recognize that “in-lieu” fees and off site mitigation are just a component of the Commission’s duties to protect low-cost accommodations. The list of potential new low-cost accommodation projects that will be created by AB 2185 should not distract the Commission from protecting existing low-cost accommodations and requiring low-cost accommodations on site, where feasible.

1. Prior legislation.

AB 694 (Rendon, 2015) was almost identical to this bill and was held in Assembly Appropriations Committee.

REGISTERED SUPPORT / OPPOSITION:

Support

Amigoes de los Rios

Audubon California

Azul
Black Surfers Collective
California Coastal Protection Network

California League of Conservation Voters
Climate Parents

Coastal Environmental Rights Foundation
Environmental California

Heal the Bay

Hispanic Access Foundation

Los Angeles Waterkeeper

National Parks Conservation Association
Natural Resources Defense Council
San Diego Navy Broadway Complex Coalition
Save Our Shores
Sierra Club California
Sugar Law Center for Social Justice

Surfrider Foundation
The City Project
2 Individuals

Opposition

None on file

Analysis Prepared by: Michael Jarred / NAT. RES. / (916) 319-2092