BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 666
                                                                  Page  1

          Date of Hearing:  September 10, 2003

                       ASSEMBLY COMMITTEE ON NATURAL RESOURCES
                             Hannah-Beth Jackson, Chair
                   SB 666 (Bowen) - As Amended:  September 9, 2003

           SENATE VOTE  :  Vote not relevant
           
          SUBJECT  :  Ballona Wetlands.

           SUMMARY  :  Provides statutory authority to transfer 62 acres for  
          wetland preservation in the Ballona Wetlands fronting on Santa  
          Monica Bay, north of the Los Angeles International Airport. This  
          transaction is coordinated with the pending acquisition and  
          conveyance of an additional 483 acres, which the State will  
          obtain partly by purchase and partly by donation.  The various,  
          related land transactions result in the State obtaining title to  
          a total of 545 acres.

           EXISTING LAW  allows a final subdivision map that has been  
          recorded to be amended if the local agency finds that changed  
          circumstances make the map inappropriate or unnecessary and that  
          the modified map, without the proposed improvements, will avoid  
          substantial environmental damage or injury to fish or wildlife  
          or their habitat. (Government Code 66472.1, 66474(e))

           THIS BILL  :

          1)Declares that the failure to construct a previously approved  
            bridge across the Ballona Creek Channel and a road to connect  
            Culver Blvd. and Jefferson Blvd. and provide access to the  
            portion of Playa Vista (south of Jefferson Blvd. and east of  
            Lincoln Blvd.) that is already partially developed is not a  
            violation of the Subdivision Map Act (Government Code 66410  
            et seq.) or the California Environmental Quality Act (Public  
            Resources Code 21000 et seq.) if the following conditions are  
            met:

             a)   The project owner or developer, Playa Capital Company,  
               relinquishes to the State of California the easement over  
               lands held in trust for the State on which the road would  
               have been constructed.

             b)   The easement is relinquished as part of a multi-parcel  
               transaction with the Wildlife Conservation Board (WCB) that  








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               results in the acquisition of a total of at least 400 acres  
               in the coastal zone in Los Angeles County.

          2)Declares that any ordinance of the City of Los Angeles is  
            inapplicable to the extent it requires construction of the  
            road and bridge or it otherwise requires a new permit or  
            subdivision map approval.

          3)Requires the State Controller to direct the trustee to  
            transfer the State's trust interest in the parcel where the  
            road would have been built to the WCB for conservation,  
            restoration, or recreation purposes only, if the WCB acquires  
            a total of at least 400 acres in the coastal zone from Playa  
            Capital Company, LLC.  This parcel was part of the former  
            Howard Hughes estate and was transferred to the State in trust  
            as part of the settlement of the Hughes estate's inheritance  
            tax liability.

          4)Declares that the Controller's transfer of the trust interest  
            pursuant to this bill supersedes any requirement imposed on  
            the Controller by the Probate Code or the Revenue and Taxation  
            Code with respect to the disposition or use of the net  
            proceeds of the trust estate.

          5)Declares that this bill does not violate Section 16 of Article  
            IV of the California Constitution, which invalidates any  
            special statute if a general statute can be made applicable,  
            and makes findings of special circumstances supporting this  
            declaration.

          6)Makes the bill contingent on the enactment, by January 1,  
            2004, of AB 859 (Nakano and Wesson), which reappropriates  
            $25,000,000 from a previous appropriation from the Safe  
            Neighborhood Parks, Clean Water, Clean Air, and Coastal  
            Protection Bond Act of 2000, for the acquisition, protection,  
            and restoration of the Ballona Wetlands.

           FISCAL EFFECT  :  Unknown

           COMMENTS  :

          According to the author's office, the Ballona Wetlands is the  
          largest intact coastal wetland ecosystem and one of the last  
          wetlands remaining in Los Angeles County.  About 98% of the  
          historical wetland areas of Los Angeles County have been filled  








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          and developed.  The Ballona Wetlands encompass a variety of  
          diverse habitats (estuary, salt marsh, dune, etc.), and is  
          important to both resident and migratory bird species.   
          Acquisition will create opportunities for natural resource  
          interpretation for school groups and scenic open space for  
          compatible recreation by visitors and residents of the  
          surrounding metropolitan area.

          The parcels referred to in this analysis are delineated on the  
          accompanying map.  The Trust for Public Land (TPL) currently  
          holds an option from Playa Capital Company, the owner and  
          developer of Playa Vista, for the acquisition of the  
          approximately 138 acres comprising Area A and the approximately  
          54 acres comprising Area B (both in blue on the map).  The  
          option price for Areas A and B is $139,000,000.   The option is  
          currently scheduled to expire on September 17, 2003.  

          Upon TPL's subordinating the options to the WCB, the WCB will  
          purchase Areas A and B and from Playa Capital.  The WCB will  
          expend $140,000,000 (the option price plus state administrative  
          costs) for this acquisition from the $750,000,000 that is  
          continuously appropriated to the WCB by the Water Security,  
          Clean Drinking Water, Coastal and Beach Protection Act of 2002  
          (which was enacted by the voters as Proposition 50 at the  
          November 2002 general election) for the acquisition, protection,  
          and restoration of coastal wetlands and other coastal resources.  
          (Water Code 79572) 

          AB 859 (Nakano and Wesson), which is pending in the current  
          Session, reappropriates $25,000,000 that was previously  
          allocated to the State Coastal Conservancy (Conservancy) by the  
          Safe Neighborhood Parks, Clean Water, Clean Air, and Coastal  
          Protection Act of 2000 (the Villaraigosa-Keeley Act) (which was  
          enacted by the voters as Proposition 12 at the March 2000  
          primary election) for the acquisition, protection, and  
          restoration of coastal wetlands in Los Angeles County. (Public  
          Resources Code 5096.352(f))  Upon completion of the  
          acquisitions, the Conservancy, using these funds, will take the  
          lead in planning restoration of the wetlands and doing some or  
          all of the restoration work.  This bill is contingent on the  
          enactment of AB 859 by January 1, 2004.

          The approximate 62 acres comprising Area C (in grey) is the  
          property that was formerly part of the Howard Hughes estate and  
          is currently held in trust by the State Controller in partial  








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          settlement of estate taxes owed by the Hughes estate.  The bill  
          requires the Controller to direct the trustee to convey title to  
          Area C to the WCB concurrently with the acquisition of Areas A  
          and B.

          As a further part of this transaction, Playa Capital has already  
          agreed to donate the remaining 208 acres labeled "Ballona  
          Wetlands Parcel" and the 83 acres labeled "Ballona Channel  
          Creek" (both in green) to the WCB.  (This bill does not affect  
          the areas in gold labeled "Freshwater Marsh" and "Expanded  
          Wetlands Parcel".)

          These acquisitions are summarized as follows:

            
                  ----------------------------------------------------- 
                 |                                        |Approx.     |
                 |                                        |acres       |
                 |----------------------------------------+------------|
                 |Area A (blue)-TPL option                |138         |
                 |----------------------------------------+------------|
                 |Area B (blue)-TPL option                |54          |
                 |----------------------------------------+------------|
                 |Ballona Wetlands Parcel (green)-Playa   |208         |
                 |Capital donation                        |            |
                 |----------------------------------------+------------|
                 |Ballona Channel Creek (green) )-Playa   |83          |
                 |Capital donation                        |            |
                 |----------------------------------------+------------|
                 |Area C (grey)-state trust lands         |62          |
                 |----------------------------------------+------------|
                 |TOTAL                                   |545         |
                  ----------------------------------------------------- 
                  
           REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          Ballona Valley Preservation League
          Ballona Wetlands Task Force (Sierra Club)
          Center for Biological Diversity
          Council for Planning and Conservation
          Defenders of Wildlife
          Ecology Center of Southern California
          Environment California








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          Institute of Noetic Science
          Los Angeles City Councilwoman Cindy Miscikowski (Westchester and  
          West LA)
          Natural Resources Defense Council
          Playa Capital Company, LLC
          Sea Shepherd Conservation Society
          Sierra Club California
          Trust for Public Land
          U.S. National Ramsar Committee
          Wetlands Action Network
           
            Opposition 
           
          None on file


           Analysis Prepared by  :  Jeff Arthur / NAT. RES. / (916) 319-2092