BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON GOVERNANCE AND FINANCE
                         Senator Robert M. Hertzberg, Chair
                                2015 - 2016  Regular 

                              
          
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          |Bill No:  |AB 1251                          |Hearing    | 7/1/15  |
          |          |                                 |Date:      |         |
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          |Author:   |Gomez                            |Tax Levy:  |No       |
          |----------+---------------------------------+-----------+---------|
          |Version:  |6/24/15                          |Fiscal:    |Yes      |
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          |Consultant|Favorini-Csorba                                       |
          |:         |                                                      |
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                       GREENWAY DEVELOPMENT AND SUSTAINMENT ACT



          Authorizes nonprofit organizations, government agencies, and  
          tribes to acquire deed restrictions for the purpose of  
          developing greenways along urban rivers.


           Background and Existing Law

           General Plans and Open Space Elements. Each city and county is  
          required to prepare and periodically update a comprehensive,  
          long-range general plan to guide future decisions.  That plan  
          must address each of seven elements, including land use,  
          circulation, housing, conservation, open space, noise, and  
          safety elements.  Cities and counties may also include optional  
          elements that address other aspects of their communities, such  
          as parks and recreation, public facilities, and economic  
          development.

          Local open space plans may include unimproved land or water that  
          is devoted to open space for any of the following:
                 The preservation of natural resources.
                 The managed production of resources, including but not  
               limited to, forest lands, rangeland, agricultural lands and  
               other areas of economic importance.
                 Areas for outdoor recreation, such as areas of  
               outstanding scenic, historic and cultural value.
                 Areas for the protection of public health and safety,  







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               such as, areas requiring special management because of  
               hazardous or other special conditions. 
                 Areas for the support of the mission of military  
               installations that comprises areas adjacent to military  
               installations, military training routes, and underlying  
               restricted airspace.
                 Areas for the protection of places, features, and  
               objects relating to Native American artifacts or heritage.   


          Conservation Easements. State law authorizes specified  
          non-profit organizations to hold conservation easements for the  
          preservation or protection of land.  Conservation easements are  
          provisions placed into a deed, will, or other legal instrument  
          that binds current and future successive owners for the purpose  
          of retaining land predominantly in its natural, scenic,  
          historical, agricultural, forested, or open-space condition.

          Property Taxes and County Assessors.  Section One of Article  
          XIII of the California Constitution provides that all property  
          is taxable unless explicitly exempted by the Constitution or  
          federal law.  County assessors reappraise property to determine  
          its value whenever it is newly constructed, or when ownership  
          changes.  To determine value, the law effectively presumes that  
          a property's purchase price in the transaction is its full cash  
          or fair market value.  However, assessors must also consider  
          enforceable restrictions on the use of the property, such as  
          zoning restrictions and conservation easements, when coming up  
          with a property value.  So, assessors estimate the value of the  
          property based on the uses allowed by the enforceable  
          restriction.

          Some groups want to expand the mechanisms that governments and  
          nonprofit organizations can use to encourage the development of  
          greenways.
          
                                     Proposed Law  

          Assembly Bill 1251 authorizes certain entities to acquire  
          easements for the purpose of developing greenways along urban  
          waterways.  The bill defines a greenway as a separate path for  
          bikes and pedestrians that must be located within 400 yards of  
          an urban waterway where access to the property has been granted  
          through some sort of agreement with the property owner or  








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          operator of any facilities on the land.  Additionally, a  
          greenway must:
                 Contain landscaping that (1) "improves" rivers and  
               streams, (2) provides flood protection benefits, and (3)  
               incorporates the significance and value of natural,  
               historical, and cultural resources as documented in the  
               local agency's applicable planning document;
                 Provide nearby communities with easy access to the path  
               and include features that allow the use of the path;
                 Meet any design standards for greenways that are set by  
               a relevant local agency's planning documents.

          AB 1251 further defines an urban waterway to be a creek, stream,  
          or river that crosses developed property or open space where the  
          relevant local agency's planning document designates the land as  
          residential, commercial, or industrial.

          The bill also finds and declares the importance of greenways,  
          including that (1) greenways provide greenhouse gas reduction  
          benefits, (2) the area along the Los Angeles River and its  
          tributaries are particularly suited for developing a greenway,  
          and (3) developing a greenway allows a city, county, or city and  
          county to apply for greenhouse gas reduction funds and other  
          sources of funds.

          AB 1251 borrows from the statutory definition of conservation  
          easement to create a new type of enforceable restriction on the  
          use of property, called a "greenway easement," that dedicates  
          the land for the purpose of developing greenways along urban  
          waterways.  These greenway easements are permanent (perpetual)  
          provisions placed into a deed, will, or other legal instrument  
          and are binding on successive owners of the land.  The bill says  
          that greenway easements are voluntarily-created interests in  
          real property and includes provisions specifying how they are to  
          be recorded and enforced.  It also requires assessors to  
          consider the effect of greenway easements (as enforceable  
          restrictions) on the value of property and corrects a cross  
          reference in the same section of the Revenue and Taxation Code.

          Under AB 1251, three types of entities may acquire and hold  
          greenway easements: state and federal agencies, tribes, and  
          nonprofit organizations created specifically for the purpose of  
          developing greenways.  The bill allows local agencies include  
          greenways in the open space element of their general plans. 








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          State Revenue Impact

           No estimate.  Greenways can promote economic development,  
          environmental conservation, public health, and the overall  
          quality of life by enhancing the ability of residents to connect  
          with natural spaces near and along urban waterways.  AB 1251  
          promotes the development of greenways by providing government  
          agencies and nonprofit organizations with a new tool-greenway  
          easements-to ensure that land developed as a greenway stays that  
          way in perpetuity, instead of being converted to other, more  
          intensive uses in the future. It further provides an economic  
          incentive to keep land near urban waterways as a greenway by  
          lowering the property tax bills of landowners who allow the use  
          of their property for greenways. 


          2.   What's the problem  ?  AB 1251 creates a new type of easement  
          to encourage the development of greenways.  However, it is  
          unclear whether the lack of this tool has hindered the  
          development of greenways up to this point.  Local agencies  
          currently have the authority to do land use planning consistent  
          with this bill, and there are other ways of ensuring access to  
          the land necessary for the development of greenways, such as  
          purchasing the land.  There may be other, more significant  
          obstacles to the development of greenways, such as funding  
          challenges, that this bill does not address. 

          3.  Square peg  .  The open space element in a general plan is  
          typically reserved for protecting undeveloped land, instead of  
          land with improvements on it.  Because the bill requires  
          greenways to have transportation or recreational uses-and the  
          amenities to support those uses-there are other general plan  
          elements that better align with the uses of greenways.  The  
          Committee may wish to consider amending AB 1251 to allow local  
          agencies to instead consider the development of greenways in  
          other elements of their general plans, such as the circulation  
          element, which must include a plan for multimodal transportation  
          that considers the needs of cyclists and pedestrians. 

          4.  Related legislation  .  AB 1251 is substantially similar to AB  








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          1922 (Gomez, 2014), which would have allowed conservation  
          easements to be acquired in order to develop greenways.  AB 1922  
          included nearly identical definitions of greenways and urban  
          waterways, and some of the same findings and declarations.  AB  
          1922 passed the Senate Governance and Finance Committee by a  
          vote of 5-2, but was held in the Senate Appropriations  
          Committee.

           Assembly Actions

           Assembly Water, Parks, and Wildlife Committee:    10-4
          Assembly Local Government Committee:              9-0
          Assembly Appropriations Committee:                12-4
          Assembly Floor:                                   61-15

           Support and  
          Opposition   (6/25/15)


           Support  :  California League of Conservation Voters; California  
          Trout; Los Angeles County Board of Supervisors; Los Angeles  
          Mayor Eric Garcetti; Sierra Club California.


           Opposition  :  Central Coast Forestry Association.



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