Bill Text: CA SB1111 | 2015-2016 | Regular Session | Chaptered
Bill Title: State parks: operating agreements.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2016-09-23 - Chaptered by Secretary of State. Chapter 540, Statutes of 2016. [SB1111 Detail]
Download: California-2015-SB1111-Chaptered.html
BILL NUMBER: SB 1111 CHAPTERED
BILL TEXT
CHAPTER 540
FILED WITH SECRETARY OF STATE SEPTEMBER 23, 2016
APPROVED BY GOVERNOR SEPTEMBER 23, 2016
PASSED THE SENATE AUGUST 26, 2016
PASSED THE ASSEMBLY AUGUST 24, 2016
AMENDED IN ASSEMBLY AUGUST 19, 2016
AMENDED IN ASSEMBLY AUGUST 17, 2016
AMENDED IN ASSEMBLY JUNE 29, 2016
AMENDED IN ASSEMBLY JUNE 23, 2016
INTRODUCED BY Senator Pavley
FEBRUARY 17, 2016
An act to amend Sections 5003.17 and 5080.40 of, to amend and
repeal Section 5080.42 of, and to add Article 1.5 (commencing with
Section 520) to Chapter 1 of Division 1 of, the Public Resources
Code, relating to state parks.
LEGISLATIVE COUNSEL'S DIGEST
SB 1111, Pavley. State parks: operating agreements.
Existing law vests control of the state park system with the
Department of Parks and Recreation and authorizes the department to
enter into an operating agreement with a qualified nonprofit
organization for the development, improvement, restoration, care,
maintenance, administration, or operation of a unit or units, or
portion of a unit, of the state park system, subject to certain
conditions and requirements.
This bill would repeal those provisions on January 1, 2025. The
bill would also provide that an operating agreement may not eliminate
jobs maintained under a memorandum of understanding.
This bill would authorize the department to enter into a statewide
agreement with a park support organization, as defined, to
facilitate the implementation of reforms recommended by the Parks
Forward Commission and to develop and secure expertise, services,
resources, and projects that are not readily available to the state
park system for specified purposes relating to the funding,
visitation, use, facilities, and staffing of state parks, as
provided. The bill would require the department to take specified
actions relating to the development and implementation of such an
agreement and would authorize the Director of Parks and Recreation
and the Director of Finance, or their designees, to serve as ex
officio, nonvoting members of the park support organization's board
of directors. The bill would require the department, if it enters
into an agreement with a park support organization, to collaborate
with the park support organization to develop an annual list of
strategic initiatives and projects that are statewide priorities for
the state park system and the park support organization and that the
park support organization will undertake in partnership with the
department. The bill would authorize the department to enter into
supplementary agreements and leases, as provided, with the park
support organization and receive donations of projects, services, and
funds to be used for the support of the state park system, subject
to the review and approval of the statewide agreement or substantial
amendment of such an agreement by the Director of Finance.
Existing law authorizes the department to lease, for any use, all
or any portion of any parcel of real property acquired for state park
system purposes, if the director finds that the use would be
compatible with the use of the real property as a unit or part of a
unit and with the sound management and conservation of resources
within the unit, but prohibits the department from entering into a
lease that extends beyond 10 years unless certain conditions for the
review and approval of a proposed lease as part of the annual budget
process are met. Existing law imposes similar review and approval
requirements of operating leases or agreements that are expected to
generate over $500,000 in annual gross revenues.
This bill would revise certain of those conditions for the review
and approval of a proposed lease or operating lease or agreement by
the Joint Legislative Budget Committee, as specified. The bill would
make those conditions applicable only to operating leases or
agreements that are expected to generate over $1,000,000 in annual
gross revenues.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. The Legislature finds and declares all of the
following:
(a) Changes to existing law are necessary to facilitate
implementation of reforms that have been recommended by the Parks
Forward Commission to ensure vibrant and sustainable parks for all
Californians and for present and future generations.
(b) There are numerous existing local, regional, and statewide
park support organizations collaborating with the Department of Parks
and Recreation, managing and operating state parks, and providing
resources and services to state parks.
(c) The Department of Parks and Recreation needs to establish a
new strategic partnership with a nonprofit park support organization
that would complement and support the work of the department and
other park partners by bringing new resources, expertise, and
flexibility to assist the department in accomplishing its mission.
SEC. 2. Article 1.5 (commencing with Section 520) is added to
Chapter 1 of Division 1 of the Public Resources Code, to read:
Article 1.5. Park Support Organization
520. For purposes of this article, the following terms shall have
the following meanings:
(a) "Park support organization" means a nonprofit organization
that meets all of the following requirements:
(1) Is exempt from taxation pursuant to Section 501(c)(3) of the
Internal Revenue Code.
(2) Is established for the principal purposes of increasing park
access and visitation in ways that serve all Californians and
visitors to the state, promoting healthy lifestyles and community
engagement, and supporting the protection and stewardship of
California's natural, cultural, and historical lands, sites, and
resources.
(3) Complies with the Supervision of Trustees and Fundraisers for
Charitable Purposes Act (Article 7 (commencing with Section 12580) of
Chapter 6 of Part 2 of Division 3 of Title 2 of the Government
Code).
(b) "Priority list" means the annual list of strategic initiatives
and projects developed by the department and the park support
organization pursuant to Section 523.
521. (a) The department may enter into a statewide agreement with
a park support organization to facilitate the implementation of
reforms recommended by the Parks Forward Commission and to develop
and secure expertise, services, resources, and projects that are not
readily available to the state park system, for all of the following
purposes:
(1) To develop and engage new sources of public and private
funding for the state park system, including philanthropic sources
and enterprise and revenue generation activities, where appropriate.
(2) To support marketing and communications activities that
promote the programs, amenities, and resources of the state park
system, the department, and its partners.
(3) To support projects and programs that facilitate park access
and visitation and enhance educational opportunities, particularly
among younger and more diverse audiences.
(4) To promote the health and well-being of the state's residents.
(5) To establish or improve, and support the completion of
projects that establish or improve, state park visitor amenities and
facilities.
(6) To recruit more diverse staffing and improve capacity for
state park programs.
(7) To advance the protection and stewardship of natural,
cultural, and historic lands, sites, and resources.
(b) If the department enters into an agreement with a park support
organization, the park support organization, in consultation with
the department, shall do all of the following:
(1) Communicate and coordinate with park agencies, partners,
friends, and volunteers to ensure that activities undertaken pursuant
to the agreement complement, support, facilitate, and amplify
ongoing partnerships, programs, and projects in support of the state
park system.
(2) Engage with public agencies and organizations that manage,
operate, and support other parks and protected lands in the state.
522. The director and the Director of Finance, or their
respective designees, may serve as ex officio, nonvoting members of
the park support organization's board of directors in order to
provide for effective communication and coordination of efforts
between the departments and the park support organization.
522.5. The park support organization is not a state agency or
state body.
523. (a) If the department enters into an agreement with a park
support organization pursuant to Section 521, the department and the
park support organization shall collaborate to develop an annual list
of strategic initiatives and projects that are statewide priorities
for the state park system and for the park support organization and
that the park support organization will undertake in partnership with
the department.
(b) (1) Any initiative or project included on the priority list
shall be consistent with the purposes specified in subdivision (a) of
Section 521.
(2) For the first three years of an agreement entered into
pursuant to subdivision (a) of Section 521, the park support
organization and the department shall prioritize a limited subset of
focus areas and projects from the list of purposes specified in
subdivision (a) of Section 521, consistent with paragraph (2) of
subdivision (b) of Section 521.
(c) Any initiative or project included on the priority list shall
be consistent with Sections 5001.2 and 5019.53 regarding protection
of the natural, scenic, cultural, and ecological values of the state
park system.
(d) The department shall post a copy of the priority list on its
Internet Web site, and shall provide copies of the list to the
chairpersons of the Senate Committee on Budget and Fiscal Review, the
Assembly Committee on Budget, the Senate Committee on Natural
Resources and Water, and the Assembly Committee on Water, Parks, and
Wildlife.
524. (a) In order to advance the purposes described in
subdivision (a) of Section 521, an agreement between the department
and the park support organization pursuant to Section 521 shall, at a
minimum, include and specify all of the following:
(1) Clear goals and objectives.
(2) Any commitments of oversight, staffing, and coordination that
are needed to accomplish the goals and objectives.
(3) The process for developing the priority list pursuant to
Section 523.
(b) (1) The department may develop and enter into supplementary
agreements with the park support organization for the purposes of
securing any expertise, capacity, or financial resources that may be
needed to identify, plan, develop, or implement strategic initiatives
and projects on the priority list. Any such agreement may include,
but not be limited to, grants, contracts, memoranda of understanding,
staff-sharing agreements, leases, and rights of entry onto state
park property.
(2) Notwithstanding Section 5003.17, the department may lease to
the park support organization, for a minimum rental of one dollar
($1.00) per year, real property that is owned by the state and
included in any unit of the state park system, if the lease agreement
requires the park support organization to construct, or provide for
the construction of, a structure or improvement on the leased
property and specifies that title to the structure or improvement
shall vest in the state at the expiration of the lease term. The
agreement may provide for the means or method by which title to the
structure or improvement shall vest in the state before the
expiration of that term.
(3) Notwithstanding Part 2 (commencing with Section 10100) of
Division 2 of the Public Contract Code, any agreements entered into
by the department pursuant to this subdivision shall be under the
control of the department and shall not be subject to any advertising
or competitive bidding requirements applicable to public works or
other public projects.
(4) Any construction, alteration, demolition, installation, or
repair work undertaken by or on behalf of a park support organization
on property owned by the state pursuant to this section shall
constitute a public work for purposes of Chapter 1 (commencing with
Section 1720) of Part 7 of Division 2 of the Labor Code.
(c) The director may receive donations of projects, services, and
funds from the park support organization as authorized by Sections
5005, 5009.1, 5009.2, and 5009.3.
(d) The Director of Finance shall have 60 days to review and
approve or disapprove any agreement or any substantial amendment to
such an agreement, proposed under subdivision (a). Upon approval of
the agreement, or substantial amendment, the director may accept
donations and enter into supplementary agreements as authorized under
subdivisions (b) and (c).
525. Nothing in this article shall be interpreted as a limitation
on the ability of the park support organization to apply for,
receive, or administer grants, loans, or other funds from public
entities other than the department. The park support organization
shall consult with the department if the department may also be
applying for those funds.
SEC. 3. Section 5003.17 of the Public Resources Code is amended to
read:
5003.17. (a) The department may lease, for any use, all or any
portion of any parcel of real property acquired for state park system
purposes, if the director finds that the use would be compatible
with the use of the real property as a unit or part of a unit and
with the sound management and conservation of resources within the
unit.
(b) Rent shall be based on the fair market value of the property
when used for the purpose for which it is leased. All rent shall be
deposited pursuant to Section 5010.
(c) The lease term shall not exceed 10 years. All leases are
subject to the approval of the Department of General Services.
(d) No lease shall be entered into that extends beyond the 10-year
period unless both of the following conditions are met:
(1) At least 30 days' prior written notice of the proposed lease,
including a copy of the proposed lease, has been provided by the
director to the Joint Legislative Budget Committee.
(2) The director has included with the proposed lease sufficient
documentation to enable the Joint Legislative Budget Committee to
determine whether the lease conforms to the requirements of this
article and to evaluate fully all terms upon which the lease is
proposed to be let, including the amount of the rent and other
revenues that may be generated under the lease.
SEC. 4. Section 5080.40 of the Public Resources Code is amended to
read:
5080.40. (a) No operating lease or agreement shall be entered
into, or amended, pursuant to this article unless at least 30 days'
written notice and a copy of the proposed operating lease or
agreement, or amendment, has been provided by the director to the
Joint Legislative Budget Committee.
(b) The director shall include with the proposed lease or
agreement or amendment sufficient documentation to enable the Joint
Legislative Budget Committee to evaluate fully the estimated
operating costs and revenues and all terms upon which the lease or
agreement or amendment is proposed to be entered into. Specifically,
the documentation shall identify both of the following:
(1) Any anticipated costs to the state for operation or
development under the lease or agreement or amendment and the
anticipated state share of total operation and development costs.
(2) The anticipated annual revenues, net of operation costs, for
the unit and the state's share of these revenues.
(c) Leases or agreements shall be exempt from subdivisions (a) and
(b) when all of the following conditions exist:
(1) The lease or agreement involves operation of only a portion of
a unit of the state park system.
(2) The term of the lease or agreement is for a period of 20 years
or less.
(3) The lease's or agreement's impact to the unit, including
concessions revenue, will not exceed one million dollars ($1,000,000)
in annual gross revenue generated on the property.
(4) The lease or agreement involves no significant change in state
operational funding or staffing levels, and does not include present
or future state expenditures for development of the unit.
(d) Amendments to existing leases or agreements shall be exempt
from subdivisions (a) and (b) when all of the following conditions
exist:
(1) The amendment involves operation of only a portion of a unit
of the state park system.
(2) The amendment's impact to the unit will not exceed one million
dollars ($1,000,000) in annual gross revenue generated on the
property.
(3) The amendment involves no significant change in state
operational funding or staffing levels, and does not include present
or future state expenditures for development of the unit.
SEC. 5. Section 5080.42 of the Public Resources Code is amended to
read:
5080.42. (a) Notwithstanding any other provision of this article,
the department may enter into an operating agreement with a
qualified nonprofit organization for the development, improvement,
restoration, care, maintenance, administration, or operation of a
unit or units, or portion of a unit, of the state park system, as
agreed to by the director. The prohibition on park closures, pursuant
to subdivision (a) of Section 541.5, does not limit the department's
authority to enter into an operating agreement pursuant to this
section, as provided in subdivision (e) of Section 541.5. The
department may only enter into an operating agreement that involves
the operation of the entirety of a park unit for no more than 20 park
units. An operating agreement with a qualified nonprofit
organization shall include, but shall not be limited to, the
following conditions:
(1) The district superintendent for the department shall provide
liaison with the department, the nonprofit organization, and the
public.
(2) The nonprofit organization shall annually submit a written
report to the department regarding its operating activities during
the prior year and shall make copies of the report available to the
public upon request. The report shall be available on the Internet
Web sites of both the department and the nonprofit organization. The
report shall include a full accounting of all revenues and
expenditures for each unit of the state park system that the
nonprofit organization operates pursuant to an operating agreement.
(3) (A) Except as provided in subparagraph (B), all revenues that
the qualified nonprofit organization receives from a unit shall be
expended only for the care, maintenance, operation, administration,
improvement, or development of the unit. The qualified nonprofit
organization may additionally contribute in-kind services and funds
raised from outside entities for the care, maintenance, operation,
administration, improvement, or development of the unit.
(B) If the qualified nonprofit organization determines that the
revenues it has received from a unit are in excess of the revenues
that are needed for the care, maintenance, operation, administration,
improvement, or development of that unit, and that these funds are
not already specified for or committed to specific purposes pursuant
to an existing agreement or contract restricting the use of those
funds, the qualified nonprofit organization may dedicate those excess
revenues to another state park unit for that unit's care,
maintenance, operation, administration, improvement, or development.
(4) General Fund moneys shall not be provided to a nonprofit
organization to subsidize the operation or maintenance of a park
unit. This paragraph applies to state parks, the full operation of
which are turned over to a nonprofit organization, but does not apply
to or preclude the department from entering into agreements with
nonprofit organizations to operate a portion of a state park unit, or
from entering into comanagement agreements with nonprofit
organizations that involve the sharing of operational and financial
responsibilities for the park unit and that have the effect of
reducing state costs. This paragraph does not apply to park entrance
fees, concession revenues, or any other revenues generated within a
park operated by a nonprofit organization pursuant to this section.
(5) Jobs maintained under a memorandum of understanding between
the state and the represented bargaining units shall not be
eliminated pursuant to the agreement and shall continue to be state
employment.
(b) An operating agreement entered into pursuant to subdivision
(a) shall honor the existing term of a current concession contract
for the state park unit subject to the operating agreement.
(c) An operating agreement entered into pursuant to subdivision
(a) shall specify the duties that the nonprofit organization shall be
responsible for carrying out relative to management and protection
of natural, historical, and cultural resources, and shall identify
those management duties that shall continue to be conducted by the
department, so that all core operations of the park are delineated.
Scientific, architectural, and engineering functions that require
special expertise or professional training shall only be conducted by
or under the supervision of qualified persons with applicable
expertise or training and subject to oversight by the department.
(d) This section does not supersede the requirements of Section
5019.53 regarding the protection of natural, scenic, cultural, and
ecological values.
(e) The nonprofit organization and the district superintendent for
the department shall, following submittal of the annual report
pursuant to subdivision (a), hold a joint public meeting for
discussion of the report.
(f) If the department intends to enter into an operating agreement
for the development, improvement, restoration, care, maintenance,
administration, or operation of a unit or units, or a portion of a
unit, the department shall notify the Member of the Legislature in
whose district the unit is located, the Chair of the Senate Committee
on Natural Resources and Water, the Chair of the Assembly Committee
on Water, Parks, and Wildlife, and the chairs of the Assembly and
Senate budget committees of that intention. The notification shall
include estimated operating costs and revenues and core duties and
responsibilities that are likely to be assigned to the nonprofit
organization and the department.
(g) For purposes of this section, a qualified nonprofit
organization is an organization that is all of the following:
(1) An organization that is exempt from taxation pursuant to
Section 501(c)(3) of the Internal Revenue Code.
(2) An organization that has as its principal purpose and activity
to provide visitor services in state parks, facilitate public access
to park resources, improve park facilities, provide interpretive and
educational services, or provide direct protection or stewardship of
natural, cultural, or historical lands, or resources.
(3) An organization that is in compliance with the Supervision of
Trustees and Fundraisers for Charitable Purposes Act (Article 7
(commencing with Section 12580) of Chapter 6 of Part 2 of Division 3
of Title 2 of the Government Code).
(h) (1) Notwithstanding Section 10231.5 of the Government Code,
the department shall provide a report to the Legislature, on a
biennial basis, of the status of operating agreements it has entered
into pursuant to this section. The report shall include a list of
units of the state park system with operating agreements, discussion
of the management and operations of each unit subject to an operating
agreement, an accounting of the revenues and expenditures incurred
under each operating agreement, and an assessment of the benefit to
the state from operating agreements entered into pursuant to this
section.
(2) A report submitted pursuant to paragraph (1) shall be
submitted in compliance with Section 9795 of the Government Code.
(i) This section shall remain in effect until January 1, 2025, and
as of that date is repealed, unless a later enacted statute, that is
enacted before January 1, 2025, deletes or extends that date.
