Bill No: SB 152
SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION
Senator Roderick D. Wright, Chair
2011-2012 Regular Session
Bill Analysis
SB 152 Author: Pavley
Amended: March 10, 2011
Hearing Date: April 12, 2011
Consultant: Paul Donahue
SUBJECT: Public Lands: Private Recreational Piers
SUMMARY: Repeals a law that prohibits the State Lands Commission from charging
rent for specified private recreational piers constructed for the use of an owner of land
adjacent to the shoreline of a lake, river or stream.
Existing law:
1) Grants the State Lands Commission (SLC) the authority to fix the rental or other
consideration for non-extractive leases and permits on state lands under its jurisdiction.
2) Prohibits the SLC from charging rent for private recreational piers constructed on state
lands for the use of an owner of property located adjacent to a state waterway.
3) Requires a littoral residential landowner to pay the expenses incurred by the SLC in
issuing a permit for a recreational pier located on private residential property.
4) Defines “littoral landowner” as (A) a person who owns littoral land [directly adjacent
to state waterways] used solely for a single-family dwelling, or (B) any association of
persons or a nonprofit corporation that owns parcels of land, each of which is zoned or
used solely for single-family dwellings.
5) Defines a “recreational pier” as any fixed facility for the docking or mooring of boats
that is constructed for the use of the littoral landowner.
6) Contains un-codified legislative findings and declarations that substantial public
benefit is derived from the construction and maintenance of private recreational piers on
the waterways of the state, including safe harbor for disabled vessels, safe anchorage
during sever weather conditions, elimination or retardation of erosion along the
shorelines of rivers.
SB 152 (Pavley)
Page 2
7) Declares that, in providing for rent-free private recreational piers, it is the intent of the
Legislature to encourage members of the public to construct the piers, at no cost to the
state, upon the navigable lakes, rivers and streams of the state.1
This bill: Repeals this statute, and its associated findings, declarations, and statements of
legislative intent concerning the law.
COMMENTS:
1) Tide and submerged lands: The state owns tide and submerged lands for purposes of
commerce, navigation, recreation, fisheries, and the protection of natural resources.
These lands are held in public trust for the benefit of the people of the state. State law
allows the SLC to lease state lands for various purposes, including recreation. The
proceeds from annual rent charged by the SLC are deposited into the General Fund.
2) Littoral land: The rights of littoral landowners are subordinate to the rights of the SLC
in the exercise of its trust powers over navigable waters.2 Littoral land is land located
directly adjacent to state waterways, such as streams, rivers and lakes. A littoral
landowner has a right in the shore adjacent to his or her property that is separate and
distinct from the rights of the general public. A littoral owner has been held to have the
right to build a pier out to the line of navigability; a right to accretion; a right to
navigation (the latter right being held in common with the general public); and a right of
access from every part of his or her frontage across the foreshore. This right of access
extends to ordinary low tide both when the tide is in and when the tide is out.3
3) Purpose: The author has introduced this measure to require owners of private
recreational piers on state lands to pay a fair rent for use of state lands. All commercial
uses of state lands, such as marinas, commercial piers or floating restaurants presently
pay rent for the use of state lands. The author states that the rent-free provisions of
existing law that this bill seeks to repeal create an arbitrary and unfair policy favoring
residential recreational piers.
The author states that this law should be repealed because it is an unconstitutional gift of
public land that additionally contributes significant value to the residential landowner’s
property, with no monetary benefit to the state, and is a benefit bestowed on a special
category of private recreational pier owners.
4) State Lands Commission’s viewpoint: The SLC writes that rent equity has long been
an issue of concern to the Commission, which takes seriously its responsibility to protect
the public’s interest by assessing appropriate rents for all private and commercial use of
state lands to ensure a fair and equitable return to the General Fund on private use of state
trust property. The SLC objects to the prohibition in existing law on charging rent for
1
In addition, the intent language provides that the statements are declaratory of existing law. (Section 2 of
Chap. 4331, Stats. 1977)
2
Marks v. Whitney (1971) 6 Cal.3d 1951
3
Kendall v. Walker (2010) 181 Cal.App.4th 584
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Page 3
leases issued for private recreational piers that benefit only an arbitrary special class – the
owners of single-family dwellings. The SLC notes that in 1976 the Attorney General
opined that issuance of rent-free lease for a private recreational pier was an
unconstitutional gift of public funds.4 “While the Legislature responded to this opinion
by adopting findings to establish a public benefit, the Commission does not believe that
these findings have materialized to an extent to justify the exclusive use of state property
by private parties for no consideration. The Committee should note that these piers not
only offer a recreational benefit to the landowner, but the presence of these piers
significantly add to the upland property’s real estate value, without providing any
commensurate benefit to the state.”
5) Location of the piers: According to the SLC, most of the recreational pier permits
have been granted in 3 general areas – Lake Tahoe/Donner (nearly ½ of all leases), the
Sacramento River Delta, and Huntington Harbor in Orange County.
6) Proposed rental plan: The SLC states there are about 1250 recreational piers, buoys,
and other mooring structures that may be affected by passage of the bill. The SLC
estimates that it plans to charge about $1700 annually for each pier, buoy or mooring
structure located on or adjacent to residential lands, but it states that the actual rent
charged would be based on SLC regulations and application of benchmark appraisals for
the local area involved.
The SLC states that the bill would not alter the rent-free status of any existing lease
contract until the lease is renewed.5 Recreational pier permits are 10 years in duration.
7) Policy considerations: The policy question presented by this bill is whether owners of
private recreational piers should pay rent for the use of state lands underlying their piers
or buoys, or should the Legislature in its discretion continue to live by the declaration
made by the Legislature in 1977 that substantial public benefits are derived from the 1955
law allowing private residential landowners to maintain rent-free recreational piers on the
waterways of the state because these piers represent an important addition to the
waterways and recreation facilities of the state.
8) Prior legislation:
AB 1490 (Speier, 1991). Would have required owners of recreational piers to pay a fair
market rental fee and the SLC's expenses in issuing a lease. It also prohibited transfers of
leases of state tide and submerged lands for private recreational piers. (Hearing in Senate
Governmental Organization Committee cancelled by the author)
SB 1017 (Sieroty, 1981). Would have required owners of state lands on which private
piers had been constructed to pay rent to the State Lands Commission. (Failed passage in
Senate Governmental Organization Committee)
4
5
Cal. Const., art XVI, § 6
Starting in 2008, however, the SLC included a provision in its new and renewed leases providing that the
SLC could charge rent during the lease period if the Legislature passed a law repealing the rent-free
recreational permit law applicable to private residential landowners.
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SB 349 (Nejedly, 1977). Adopted legislative findings and declarations that establish the
public benefits derived from private recreational piers. (Chap. 431, Stats. 1977)
SUPPORT: State Lands Commission (source)
OPPOSE: None on file
FISCAL COMMITTEE: Yes
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