AB 1759: Public trust lands: City of Sacramento.

Under existing law, known as the public trust doctrine, the state has title as trustee to all tidelands and navigable lakes and streams and is charged with preserving these waterways for navigation, commerce, and fishing, as well as for scientific study, recreation, and as an open space and habitat for birds and marine life. Existing law authorizes the State Lands Commission to enter into an exchange with any person or any private or public entity of filled or reclaimed tide and submerged lands or beds of navigable waterways, or interests in these lands, that are subject to the public trust if the commission determines that certain conditions are met, including that the exchange is for one or more specified purposes. Existing law grants the rights and interests of the state in specified portions of the old bed of the American River to the City of Sacramento, subject to certain conditions and requirements.

This bill would grant and convey in trust in relation to real property known as the Sand Cove Parcels, as described, to the City of Sacramento, in the County of Sacramento, and to its successors, all of the rights, title, and interests of the state, to be held by the city in trust for the benefit of all the people of the state for public trust purposes, as provided. The bill would authorize the city to use the trust lands for the construction, reconstruction, repair, and maintenance of any transportation, utility, or other infrastructure that is incidental, necessary, or convenient to promote or accommodate uses consistent with the public trust doctrine. The bill would require the city to comply with various requirements regarding the use of the trust lands, including that the city submit a trust lands use plan and a trust lands use report to the State Lands Commission. If the commission determines that the city is violating or about to violate the terms of the trust grant or other law relating to its obligations under the public trust doctrine or this bill, the bill would authorize the commission, after providing notice and an opportunity to correct the violation, to bring an action to enforce the rights of the state and people as settlor beneficiary of the public trust doctrine. The bill would repeal specified statutes to facilitate the transfer of these trust lands to the city pursuant to the bill.

By adding to the duties on the City of Sacramento with respect to the use and management of trust lands, this bill would impose a state-mandated local program.

Existing law, the Kapiloff Land Bank Act, creates the Land Bank Fund and continuously appropriates money in the fund, subject to a statutory trust, to the State Lands Commission, acting as the Land Bank Trustee, to acquire real property or any interest in real property for the purposes of public trust settlements.

This bill would require that, commencing June 30, 2019, and at the end of every fiscal year thereafter, 20% of all annual gross revenues generated from leases or improvements to the trust lands granted to the City of Sacramento pursuant to the bill be transferred to the commission, and would require the commission to allocate 80% of those revenues to the Treasurer for deposit in the General Fund, and 20% to the Treasurer for deposit in the Land Bank Fund for expenditure for management of the commissions granted lands program. By providing for the deposit of moneys in a continuously appropriated fund, this bill would make an appropriation.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.

This bill would make legislative findings and declarations as to the necessity of a special statute for the City of Sacramento.

This bill would declare that it is to take effect immediately as an urgency statute.