Bill Text: CA AB418 | 2011-2012 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Tidelands and submerged lands: City and County of San

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2011-10-06 - Chaptered by Secretary of State - Chapter 477, Statutes of 2011. [AB418 Detail]

Download: California-2011-AB418-Amended.html

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BILL NUMBER: AB 418	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JULY 1, 2011
	AMENDED IN SENATE  JUNE 23, 2011

INTRODUCED BY   Assembly Member Ammiano

                        FEBRUARY 14, 2011

   An act relating to tidelands and submerged lands.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 418, as amended, Ammiano. Tidelands and submerged lands: City
and County of San Francisco: Pier 70.
   Existing law grants to the City and County of San Francisco the
right, title, and interest of the State of California in and to
certain tidelands and submerged lands in trust for certain purposes.
Under existing law, the Burton Act, and the Burton Act transfer
agreement, the interest of the state in and to the Harbor of San
Francisco was transferred in trust to the City and County of San
Francisco. The State Lands Commission has jurisdiction over tidelands
and submerged lands of the state.
   This bill would authorize the State Lands Commission to approve an
exchange of trust lands within the Pier 70 area, as defined, subject
to specified conditions. The bill would provide that lands exchanged
out of the trust are free from the requirements of the public trust,
the Burton Act trust, and the Burton Act transfer agreement, and
lands to be exchanged are subject to the requirements of the public
trust, the Burton Act trust, and the Burton Act transfer agreement.
   The bill would provide that the precise boundaries of the lands to
be taken out of the trust and the lands to be put into the trust
pursuant to the exchange shall be determined by the Port of San
Francisco, subject to the approval of the commission. All lands
exchanged into the public trust shall be held by the Port of San
Francisco.
   This bill would authorize the use or lease of historic buildings
situated on trust lands for purposes not otherwise consistent with
the public trust or the Burton Act trust if specified requirements
are met.
   This bill would make legislative findings and declarations as to
the necessity of a special statute for Pier 70 in the City and County
of San Francisco.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  The following definitions apply for purposes of this
act:
   (a) "AC34" means the 34th America's Cup.
   (b) "AC34 events" means the AC34 sailing regatta and related
events described in the host agreement.
   (c) "BCDC" means the San Francisco Bay Conservation and
Development Commission established under Section 66620 of the
Government Code.
   (d) "Burton Act" means Chapter 1333 of the Statutes of 1968, as
amended.
   (e) "Burton Act transfer agreement" means that certain agreement
dated January 24, 1969, between the state and the city, relating to
the transfer of the Port of San Francisco from the state to the city,
and any amendments to that agreement in accordance with its terms.
   (f) "Burton Act trust" means the statutory trust imposed by the
Burton Act, and any additional restrictions on use and alienability
created by the Burton Act transfer agreement.
   (g) "City" means the City and County of San Francisco, a charter
city and county, and includes the port.
   (h) "Commission" means the State Lands Commission.
   (i) "Event Authority" means the America's Cup Event Authority,
LLC.
   (j) "Harbor fund" means the separate fund in the treasury of the
city established and maintained in accordance with Section B6.406 of
the charter of the city and Section 4 of the Burton Act.
   (k) "Historic buildings" means those buildings that have been
designated as, or meet the standards for, resources contributing to
the historic significance of the Pier 70 Historic District under
federal law.
   (l) "Host agreement" means the Host and Venue Agreement between
the Event Authority and the city setting forth certain conditions,
including completion of environmental review under the California
Environmental Quality Act (Division 13 (commencing with Section
21000) of the Public Resources Code), under which the city will act
as host city for AC34 events.
   (m) "Lease" means a ground lease or space lease of real property,
license agreement for use of real property, temporary easement,
right-of-way agreement, development agreement, or any other agreement
granting to any person any right to use, occupy, or improve real
property under the jurisdiction of the port.
   (n) "Master plan" means the Pier 70 Preferred Master Plan
published by the port in April 2010.
   (o) "Person" means any private person, corporation, limited
liability company, partnership, joint venture, business entity,
business trust, association or other private organization or private
entity, or any governmental entity or agency.
   (p) "Pier 70 area" means the approximately 69-acre site owned by
the port commonly known as the Pier 70 area.
   (q) "Port" means the Port of San Francisco, acting by and through
the San Francisco Port Commission.
   (r) "Public trust" means the common law public trust for commerce,
navigation, and fisheries.
   (s) "San Francisco waterfront" means those lands placed by the
city under the management, supervision, and control of the port.
   (t) "Seawall lot 330" means that certain parcel of real property
more particularly described as  ____  .
   (u) "Secretary's Standards" means the United States Secretary of
the Interior's Standards for the Treatment of Historic Properties
with Guidelines for Preserving, Rehabilitating, Restoring and
Reconstructing Historic Buildings.
   (v) "Senate Bill 815" means Chapter 660 of the Statutes of 2007,
as amended.
   (w) "State" means the State of California.
   (x) "Team" means the Oracle Racing Team, successor to the BMW
Oracle Team, and its successors.
   (y) "Tidelands" means tide and submerged lands.
   (z) "Trust" means the public trust or the Burton Act trust, or
both, as appropriate in the context of its use.
   (aa) "Trust lands" means all lands, including tidelands, within
the Pier 70 area that are presently subject to the trust. Following a
trust exchange, trust lands shall include all lands within the Pier
70 area that have been impressed with the trust by the exchange, and
shall not include any lands that have been removed from the trust by
the exchange.
   (ab) "Trust termination lands" means all lands within the Pier 70
area that will not be subject to the trust following a trust
exchange.
   (ac) "Venue" means a site under port jurisdiction that is subject
to the public trust and that is proposed to be used for AC34 events.
   (ad) "Waterfront land use plan" means the Port of San Francisco
Waterfront Land Use Plan, including the waterfront design and access
element, adopted by the port in 1997 under Resolution No. 97-50, as
amended from time to time.
  SEC. 2.  The Legislature finds and declares all of the following:
   (a) The purpose of this act is to facilitate the productive reuse
of the lands within the Pier 70 area of San Francisco in a manner
that furthers the purposes of the trust. To effectuate this purpose,
this act approves and authorizes the commission, subject to the
requirements of this act, to carry out an exchange of lands that will
place or confirm the public trust or the Burton Act trust on lands
within the Pier 70 area with substantial value for the trust, and
terminate the public trust and the Burton Act trust in Pier 70 area
lands that no longer are useful for trust purposes.
   (b) The Pier 70 area is one of the most important intact maritime
industrial complexes west of the Mississippi. It is the oldest
continuously operating shipyard on the west coast. For over 150
years, some portion of the Pier 70 site has been in use for
shipbuilding and repair, steel production, and supporting heavy
industrial uses. With the arrival of the Union Iron Works in the
1880s, the site became a major national and international
shipbuilding center, launching, for example, the first steel-hulled
ship built on the Pacific Rim. The shipyard at Pier 70, later
acquired by the Bethlehem Steel Corporation, built both merchant
ships and warships, and was a major supplier for the United States
Navy during the Spanish-American War and both world wars. Its
development was a key step in the spread of industrialization to the
Pacific Coast.
   (c) The Pier 70 area is within the jurisdiction of the port.
Preserving the Pier 70 area's historic resources is one of the port's
goals in its waterfront land use plan. In furtherance of that goal,
the port has prepared an application to list the Pier 70 area on the
National Register of Historic Places and is working with applicable
regulatory agencies to prepare a plan to remediate, if necessary, any
hazardous substances affecting the Pier 70 area. The master plan
incorporates historic preservation and remediating environmental
conditions as key objectives for development of the Pier 70 area.
   (d) The Pier 70 area includes lands that were historically
tidelands subject to the public trust as well as historic uplands
that were not subject to the public trust. Beginning in 1868, certain
Pier 70 area tidelands were conveyed into private ownership by the
state pursuant to various state statutes. Portions of those tidelands
were subsequently filled and reclaimed. The public trust status of
portions of the reclaimed tidelands within the Pier 70 area, as well
as certain adjacent submerged lands, is uncertain. Due to various
historical circumstances, some of the reclaimed tidelands, including
lands located well inland from the current shoreline, may have
remained subject to the public trust, while other lands, including
reclaimed tidelands, lands along the shoreline, and adjacent
submerged lands, may have been freed from the trust.
   (e) The port acquired portions of the Pier 70 area lands,
including portions of the historic uplands, as part of the state's
grant to the city under the Burton Act. The port acquired the
remainder of the Pier 70 area lands from private owners.
   (f) Absent a trust exchange, substantial portions of the lands
within the Pier 70 area that are located along the waterfront or are
otherwise of high value to the trust could be sold into private
ownership, cut off from public access, and used for purposes
inconsistent with the trust. In addition, certain interior lands not
useful for trust purposes would be restricted by the trust and could
not be used for nontrust uses essential to the revitalization of the
Pier 70 area.
   (g) This act is necessary for the successful revitalization of the
Pier 70 area and to realize the resulting public benefits, including
continued operation of the existing ship repair yard on
approximately 15 acres of the Pier 70 area, the elimination of
blight, the remediation of hazardous substances, the establishment of
a Pier 70 National Register Historic District and adaptive reuse of
approximately 700,000 square feet of historic buildings, the
construction of approximately 3,000,000 square feet of new infill
development compatible with the historic district predominantly for
job-creating uses such as office and technology space, providing some
6,000 to 8,000 new jobs, the creation of approximately 11 acres of
waterfront open space and an additional nine acres of internal open
space, and increased public access to the waterfront. This
legislation is also needed to improve the configuration of the trust
lands in furtherance of trust purposes.
   (h) A trust exchange pursuant to this act would result in the
configuration of trust lands that maximizes the overall benefits to
the trust, without interfering with trust uses or purposes by
impressing the entire waterfront within the Pier 70 area, as well as
certain interior lands that have high trust values, with the trust
and removing from the trust lands that have been cut off from
navigable waters, are no longer needed or required for the promotion
of the trust, and constitute a relatively small portion of the
granted lands within the city. This act requires the commission to
ensure that the lands added to the trust by the exchange have a
monetary value equal to or greater than the monetary value of the
lands taken out of the trust.
   (i) The State Office of Historic Preservation has reviewed the
port's draft application for listing the Pier 70 area on the National
Register of Historic Places and the establishment of the Pier 70
Historic District, and has preliminarily concurred with the port's
conclusion that several buildings in the Pier 70 area are
contributors to the proposed historic district. These historic
buildings are located throughout the Pier 70 area. They convey a
sense of the Pier 70 area's early maritime industrial history and
enhance the open-space experience in the corridor leading to the
waterfront, but are in seriously dilapidated condition. These
maritime-related historic buildings are resources of statewide
importance, and their preservation and restoration benefits the
statewide public and furthers trust purposes by providing
maritime-related education about the historic resources and their
contribution to the maritime industry, and providing public access to
view the historic architectural amenities. This act authorizes uses
of historic buildings located on trust lands that support
preservation and restoration of the buildings, maritime-related
education, and public access to view these historic resources,
including uses that would not otherwise be consistent with the trust,
subject to the requirements of this act. This act also provides that
historic buildings situated on trust termination lands, for so long
as the buildings remain in port ownership and retain their integrity
as historic resources, should continue to be managed by the port as
trust assets and historic resources of statewide importance providing
maritime-related education and public access.
   (j) The successful development and revitalization of the Pier 70
area requires that land use planning, infrastructure development, and
management and control of the site as a whole be integrated. Both
the trust lands and trust termination lands within the Pier 70 area
will be served by common streets, utilities, and other infrastructure
and public facilities that will need to be constructed or improved
as part of the development of the Pier 70 area. Preserving the
historic district will similarly require investment in buildings on
both trust lands and trust termination lands. In addition, the port
anticipates substantial investment in the trust lands from nontrust
sources, including lease revenues from the trust termination lands,
infrastructure financing district tax increment funds, and park
improvements funded by city general obligation bonds. In light of
these unique circumstances, it is in the best interest of the state
and the trust to allow the port to continue to hold and manage the
trust termination lands as an asset of the trust, free of public
trust and Burton Act trust use restrictions; to require that all
revenues or other proceeds generated by the port from the trust
termination lands be deposited in the harbor fund; and to permit the
use of harbor fund moneys on the trust termination lands to enhance
the value to the trust of the trust asset, subject to the limitations
set forth in this act.
  SEC. 3.  (a) The commission is authorized to approve an exchange of
trust lands within the Pier 70 area that meets the requirements of
this act.
   (b) The commission may not approve the exchange of the trust lands
unless it finds all of the following:
   (1) The portions of the trust lands or interests in lands to be
exchanged out of the trust have been filled and reclaimed, are cut
off from access to the waters of San Francisco Bay, and are no longer
in fact tidelands or navigable waterways, are relatively useless for
public trust purposes, and constitute a relatively small portion of
the granted lands within the city.
   (2) The lands or interests in land to be impressed with the trust
have a monetary value equal to or greater than the monetary value of
the lands or interests in lands to be exchanged out of the trust. If
the lands or interests in lands to be exchanged into the trust are
insufficient to meet the requirement of equal or greater monetary
value, the commission may consider a deposit of funds into the Land
Bank Fund established pursuant to Section 8610 of the Public
Resources Code to be held solely for acquisition of property, in an
amount at least equal to the difference in value, of purposes of
making the funding required by this paragraph. If the lands or
interests in lands to be exchanged into the trust exceed what is
necessary to meet the requirement  or   of 
equal or greater monetary value, the lands not needed to meet the
requirement may be used to satisfy, in whole or in part, the
requirement of subdivision (e) of Section 9 of this act.
   (3) No substantial interference with trust uses and purposes,
including public rights of navigation and fishing, will ensue by
virtue of the exchange.
   (4) The lands or interests in lands impressed with the trust will
provide a significant benefit to the trust and are useful for the
particular trust purposes authorized by this act.
   (5) The configuration of trust lands within the Pier 70 area, upon
completion of the exchange, consists solely of lands suitable to be
impressed with the trust.
   (6) The appropriate state agencies have approved an environmental
site investigation and risk assessment of the Pier 70 area, and agree
on subsequent actions and development standards needed to ensure
appropriate management of potential risks through development of a
risk management plan, a remedial action plan, or comparable
regulatory documents specific to the conditions at the Pier 70 area,
and the port has provided adequate financial assurances to ensure
performance of any affirmative remedial actions required by any such
a plan or comparable regulatory document; and sufficient liability
measures that protect the state will be in place upon completion of
the exchange.
   (7) The final layout of streets in the Pier 70 area shall provide
access to the trust lands and be consistent with the beneficial use
of the trust lands.
   (8) Streets and other transportation facilities located on trust
lands shall be designed to be compatible with the trust and to serve
primarily trust purposes of access to shoreline improvements and
shoreline circulation rather than serving nontrust purposes.
   (9) The San Francisco Port Commission and the city's board of
supervisors have approved the exchange.
   (10) Any surveys or legal descriptions required for the parcels in
conjunction with the exchange shall be approved by the commission or
its executive officer.
   (11) The exchange otherwise complies with the requirements of this
act.
   (12) The exchange is consistent with and furthers the purpose of
the public trust, the Burton Act trust, and this act.
   (13) The exchange is otherwise in the best interest of the
statewide public.
   (c) The commission may impose additional conditions on the
exchange authorized by this act if the commission determines that
these conditions are necessary to protect the public trust. Those
conditions may include a requirement that, following the completion
of remediation of submerged lands immediately adjacent to the Pier 70
area, or at any other time that the commission determines it is in
the best interest of the state, the port and commission shall
reasonably cooperate in taking all necessary actions to impress or
confirm the public trust and the Burton Act Trust on those submerged
lands or portions of these lands.
   (d) For purposes of effectuating the exchange authorized by this
section, the commission is authorized to do all of the following:
   (1) Receive and accept on behalf of the state any lands or
interest in lands conveyed to the state by the parties to the
exchange agreement, including lands that are now and will remain
subject to the public trust and the Burton Act trust.
   (2) Convey by patent all of the right, title, and interest of the
state in lands that are to be free of the public trust upon
completion of an exchange of lands as authorized by this act and as
approved by the commission.
   (3) Convey to the city by patent all of the right, title, and
interest of the state in lands that are to be subject to the public
trust and the Burton Act trust upon completion of an exchange of
lands as authorized by this act and as approved by the commission,
subject to the terms, conditions, and reservations as the commission
may determine are necessary to meet the requirements of this act.
   (e) The exchange authorized by this section may include lands
outside of the Pier 70 area to the extent consistent with the
purposes of this act and approved by the commission. Lands outside
the Pier 70 area that are impressed with the public trust and the
Burton Act trust as part of an exchange authorized by this act shall
be deemed trust lands for purposes of this act.
   (f) This act does not condition or otherwise limit the authority
of the state or the city to undertake a trust exchange or other
conveyance authorized by any other law.
  SEC. 4.  The precise boundaries of the lands to be taken out of the
trust and the lands to be put into the trust pursuant to the
exchange shall be determined by the port, subject to the approval of
the commission. The commission is authorized to settle by agreement
with the port any disputes as to the location of the mean high tide
line in its last natural state, the boundaries of tidelands conveyed
into private ownership pursuant to various statutes, and any other
boundary lines that the commission deems necessary to effectuate the
exchange.
  SEC. 5.  All lands exchanged into the trust under this act shall be
held by the port subject to the public trust and the Burton Act
trust, and all lands exchanged out of the trust under this section
shall be free of the public trust and the Burton Act trust.
  SEC. 6.  (a) For so long as the port holds title to the trust
termination lands, those lands shall be held as assets of the public
trust, free of any public trust or Burton Act trust use or alienation
restrictions, but subject to the requirements of this section.
   (b) The port may hold, use, conduct, operate, maintain, manage,
administer, regulate, improve, sell, lease, encumber, and control the
trust termination lands and any buildings and improvements on the
lands, for any purpose, whether or not consistent with the trust,
subject to the requirements of this section.
   (c) Any revenues or other proceeds received by the port from the
trust termination lands shall be deposited in the harbor fund.
   (d) The port shall receive fair market value for the lease or sale
of any trust termination lands or interest in the lands.
   (e) The port may expend moneys in the harbor fund in connection
with the trust termination lands for the following limited purposes:
   (1) The operation, maintenance, management, and administration of
those trust termination lands under port ownership and any buildings,
structures, or improvements on those lands if any lease by the port
of trust termination lands with a term of 30 or more years requires
the port's lessee to undertake the operation, maintenance,
management, and administration of the lease premises.
   (2) The preservation, rehabilitation, restoration, or
reconstruction of any historic building on trust termination lands in
a manner consistent with the Secretary's Standards, for so long as
the building remains in port ownership.
   (3) Securing or servicing bond or other indebtedness incurred for
the improvement or construction of streets, utilities, or other
infrastructure or public facilities that serve the Pier 70 area and
are located on trust termination lands or on lands immediately
adjacent to the Pier 70 area.
   (4) Planning, investigation, design, administrative review, and
entitlement work associated with the development of the Pier 70 area.

  SEC. 7.  (a) Historic buildings situated on trust lands may be used
or leased for purposes that are not otherwise consistent with the
public trust or the Burton Act trust if all of the following
requirements are met:
   (1) The buildings are rehabilitated consistent with the Secretary'
s Standards.
   (2) The uses or leases provide for public access to view the
interior and exterior historic architectural amenities and other
amenities that educate the public about the historic buildings and
their contribution to the maritime history of Pier 70.
   (3) The executive officer of the commission makes a written
finding that trust uses available could not feasibly provide
sufficient funds for the restoration and preservation of the building
and that the uses or leases are part of an overall program that
further trust purposes.
   (b) If a building described in subdivision (a) is used for a
nontrust purpose, and is remodeled, renovated, or used in a manner
that is inconsistent with the Secretary's Standards, the building
shall be put to a trust use from the commencement of the inconsistent
remodel, renovation, or use, unless the continued nontrust use is
otherwise authorized under the Burton Act.
   (c) If a building described in subdivision (a) is demolished,
subsequent use of the land and any replacement structure shall be
consistent with the public trust and the Burton Act trust.
   (d) Notwithstanding subdivisions (a), (b), and (c), this section
does not limit the port's authority under Section 3 of the Burton
Act.
  SEC. 8.  The Legislature further finds and declares all of the
following:
   (a) The purpose of this act is also to facilitate the port's
implementation of its waterfront land use plan, its capital plan, and
the host agreement, subject to required environmental review.
   (b) The San Francisco waterfront is a valuable public trust asset
of the state that provides special maritime, navigational,
recreational, cultural, and historical benefits to the people of the
region and the state. Deferred maintenance since 1969 has caused
deteriorating conditions along the San Francisco waterfront, which
has limited the port's ability to fully implement its waterfront land
use plan.
   (c) Pursuant to the San Francisco Administrative Code, the port
has developed a capital plan identifying projects necessary and
convenient to the improvement, operation, and conduct of the city's
waterfront. Projects in the capital plan include the following:
   (1) Seismic and life-safety improvements to existing buildings and
other structures.
   (2) Rehabilitation, restoration, and preservation of certain
historic piers and other historic structures.
   (3) Structural repairs and improvements to piers, seawalls, and
wharves.
   (4) Remediation of hazardous materials.
   (5) Stormwater management facilities.
   (6) Other utility infrastructure.
   (7) Public access improvements, including improvements within and
around the pier sheds and the construction of waterfront plazas and
open space.
   (d) The estimated cost to implement the port's capital plan is
approximately $2.17 billion in 2011 dollars. This amount
substantially exceeds the projected revenues of the port available
for these purposes.
   (e) Providing additional mechanisms to finance capital
improvements to the port's facilities in furtherance of the capital
plan and waterfront land use plan is a matter of statewide importance
that will further the purposes of both the public trust and the
Burton Act trust.
   (f) In February 2010, the BMW Oracle racing team, sailing under
the burgee of the Golden Gate Yacht Club, won the 33rd America's Cup
off the coast of Valencia, Spain. The America's Cup, which was first
awarded in 1851, is the oldest sporting trophy in sailing history. On
December 31, 2010, the team designated the city to host the AC34
events. The team has designated as the potential venue for AC34 the
San Francisco waterfront area generally between the Golden Gate
Bridge to the north and Pier 80 to the south. The team anticipates
holding the AC34 match in the San Francisco Bay in 2013, with
preliminary races worldwide beginning in 2011 and in the San
Francisco Bay in 2012. The city is conducting environmental review of
the AC34 match, preregattas, and related activities.
   (g) An economic impact study by the Bay Area Council's Economic
Institute and Beacon Economics released in July 2010 concludes that
hosting AC34 on the San Francisco Bay would generate nearly 9,000
jobs and $1.4 billion in direct spending in the San Francisco Bay
area and California, and nearly $1.9 billion nationwide. The study
reports that the America's Cup is the world's third largest sporting
competition after the Olympics and soccer's World Cup.
   (h) Under the host agreement, the city has agreed to provide the
team with venues for regattas, team and competitor facilities,
sponsorship activities, spectator viewing, and ancillary activities,
subject to completion of environmental review and review and approval
of                                            the planned facilities
for the event. The venues are likely to be located on water areas,
piers and wharves, and waterfront and landside property under port
jurisdiction, generally from the Golden Gate Bridge to Pier 80. If
the project is approved, the Event Authority will make capital
improvements to certain venues, subject to the port's approval, which
will correct deteriorated facility conditions and increase public
access to, and use and enjoyment of, trust lands.
   (i) In Senate Bill 815, the Legislature found that certain lands
within port jurisdiction, including seawall lot 330, have become
separated from the San Francisco Bay by the Embarcadero roadway, were
further cut off from the water by light rail tracks that were
constructed in the median of the roadway, have ceased to be useful
for the promotion of the public trust and the Burton Act trust except
for the production of revenue to support the purposes of the Burton
Act trust, are leased on an interim basis for commuter parking or are
vacant land, and constitute in the aggregate approximately 4 percent
of the lands granted to the city under the Burton Act, not including
lands currently subject to tidal action.
   (j) Based on those findings, the Legislature concluded, inter
alia, that seawall lot 330 was filled and reclaimed as part of a
highly beneficial plan of harbor development, has ceased to be
tidelands, constitutes a relatively small portion of the tidelands
granted to the city, and is not necessary for public trust or Burton
Act trust purposes. Accordingly, the Legislature freed seawall lot
330 from the use requirements of the public trust and the Burton Act
trust through the year 2094. The Legislature further authorized the
port to enter into nontrust leases for seawall lot 330 for periods of
up to 75 years.
   (k) The host agreement provides that if the project is approved,
in consideration of the Event Authority's capital investment in port
facilities, the port will offer the Event Authority certain long-term
development rights on port lands equal in value to the Event
Authority's investment in the venues. The long-term development
rights include the sale of seawall lot 330, following the removal of
that parcel from the public trust. The host agreement further
provides that the sale of seawall lot 330 be for fair market value,
to be determined based on a prescribed appraisal process and indexed
annually at 3 percent until title is transferred.
   (l) The Legislature hereby finds and declares that, based on the
findings made in this act and the findings previously made in Senate
Bill 815, all of the conditions for terminating the public trust as
set forth by the California Supreme Court in City of Long Beach v.
Mansell (1970) 3 Cal.3d 462 have been met as to seawall lot 330. The
Legislature further finds and declares that seawall lot 330 is not
needed for any trust use for the foreseeable future, that the
residual value to the trust of reserving seawall lot 330 for trust
uses after the year 2094 is minimal, and that allowing the port to
obtain a major investment in waterfront improvements to address its
critical capital needs through the sale of seawall lot 330 would
provide substantially greater benefit to the trust. The Legislature
further finds and declares that placing the trust on lands not
currently subject to the trust that are situated on or adjacent to
the San Francisco Bay in the manner required by this act would
provide substantially greater benefit to the trust than would
reserving the seawall lot 330 for trust uses after the year 2094.
  SEC. 9.  (a) Based on the foregoing findings, the Legislature
hereby declares seawall lot 330 to be free of the public trust and
the Burton Act trust in perpetuity, and further declares that seawall
lot 330 has ceased to be tidelands for purposes of Section 3 of
Article X of the California Constitution.
   (b) All of the state's right, title and interest in seawall lot
330 is hereby granted, free of the public trust and the Burton Act
trust, to the port. The port shall hold seawall lot 330 as an asset
of the trust, free of any public trust or Burton Act trust use or
alienation restrictions, but subject to the requirement that all
revenues or other proceeds generated on seawall lot 330 be deposited
in the harbor fund and used for trust purposes. The port may, on
behalf of the state, convey seawall lot 330 or any interest in
seawall lot 330 to any person, free of the public trust and the
Burton Act trust, if the consideration received by the port is equal
to or greater than the fair market value of the land or interest
conveyed and is used by the port for trust purposes.
   (c) The consideration received by the port, or any portion of the
consideration, may be in the form of improvements to a venue or to
other property within the port's jurisdiction and subject to the
trust, if, prior to the transfer of title, the commission has found
that either the improvement work has been completed or the purchaser
has secured the cost of completing the work by a performance bond,
cash deposit, letter of credit, promissory note secured by a deed of
trust on the property, or comparable security.
   (d) Transfer of the fee interest in seawall lot 330 in accordance
with the terms of the host agreement as it existed on its effective
date, and based on the fair market value of seawall lot 330 as
determined by the port, shall be deemed to satisfy the requirements
of this section. However, as a condition of any transfer of the fee
interest, the commission shall review the appraisals used by the port
in determining the fair market value of seawall lot 330 for
conformance with the Uniform Standards of Professional Appraisal
Practice and approve the valuation methodologies used in the
appraisals. If the transfer of the fee interest in seawall lot 330
does not occur by June 30, 2012, the port's determination of the fair
market value of seawall lot 330 shall be subject to further review
and approval by the commission.
   (e) As a condition of any transfer of the fee interest in seawall
lot 330, the port shall be obligated to cause the trust to be
impressed upon lands situated on or adjacent to the San Francisco Bay
that have a total area equal to or greater than the area of seawall
lot 330 and have been determined by the commission to be useful for
trust purposes. The lands to be impressed with the trust shall be
identified by the port and approved by the commission prior to the
transfer of title to seawall lot 330, and the port shall cause the
trust to be impressed upon those lands within a reasonable period of
time thereafter, as determined by the commission.
   (f) This section supersedes the requirements of the Burton Act and
Senate Bill 815 to the extent that they apply to seawall lot 330.
  SEC. 10.  This act advances the statewide purpose of the public
trust and is in the best interests of the people of this state. An
agreement for the sale, lease, or exchange of port property or other
agreement made under this act is hereby found to be of statewide
significance and importance. Therefore, an ordinance, charter
provision, or other provision of local law that is inconsistent with
this act does not apply to that sale, lease, exchange, or other
agreement.
  SEC. 11.  (a) Notwithstanding any other law, the requirements of
subdivision (f) of Section 10310 of Title 14 of the California Code
of Regulations shall be deemed satisfied for any Pier 70 development
project requiring a BCDC permit if the city submits in a form
acceptable to BCDC an approved development and disposition agreement
for the project  that is consistent with an approved
financial and land use plan for the Pier 70 area as permitted under
Charter Section B7.310.   and final city approval of all
necessary amendments to the city's general plan, planning code, and
zoning maps. 
   (b) This section does not affect BCDC's jurisdiction and authority
or its discretion to approve, disapprove, or condition a permit
application subject to this section in accordance with applicable
law.
  SEC. 12.  A deed, patent, agreement, or other instrument executed
in furtherance of this act, or an action of the state or port to
approve the use, lease, or conveyance of a state or port property
subject to this act, or any portion of that property, or to approve
project agreements, grant entitlements, or permits, or issue bonds or
other indebtedness in connection with the use and development of
that property, shall be conclusively presumed to be valid unless held
to be invalid in an appropriate proceeding in a court of competent
jurisdiction to determine the validity of the agreement commenced
within 60 days after the recording of the agreement.
  SEC. 13.  (a) An action may be brought under Chapter 4 (commencing
with Section 760.010) of Title 10 of Part 2 of the Code of Civil
Procedure to establish title to any lands conveyed pursuant to this
act or by the parties to any agreement entered into pursuant to this
act to confirm the validity of the agreement. Notwithstanding Section
764.080 of the Code of Civil Procedure, the statement of decision in
the action shall include a recitation of the underlying facts and a
determination as to whether the conveyance or agreement meets the
requirements of this act, Sections 3 and 4 of Article X of the
California Constitution, if applicable, and any other law applicable
to the validity of the agreement.
   (b) For purposes of Section 764.080 of the Code of Civil Procedure
and unless otherwise agreed in writing, an agreement entered into
pursuant to this act shall be deemed to be entered into on the date
it is executed by the executive officer of the commission, who shall
be the last of the parties to sign prior to the signature of the
Governor. The effective date of the agreement shall be deemed to be
the date on which it is executed by the Governor pursuant to Section
6107 of the Public Resources Code.
   (c) An action may be brought under Chapter 9 (commencing with
Section 860) of Title 10 of Part 2 of the Code of Civil Procedure to
determine the legality and validity of a deed, patent, agreement, or
other instrument executed in furtherance of or authorized by this
act, or an action of the port to use, lease, or convey any property,
or to approve project agreements, grant entitlements or permits, or
issue bonds or other indebtedness in connection with the use and
development of that property. Prior to the filing of an action, the
Attorney General and the executive officer of the commission shall be
provided written notice of the action and a copy of the complaint.
An action authorized by this subdivision may be combined with an
action authorized by subdivision (a).
  SEC. 14.  If a provision of this act, or its application to a
person, property, or circumstance, is held invalid by a court, the
invalidity or inapplicability of that provision shall not affect any
other provision of this act or the application of that provision to
any other person, property, or circumstance, and the remaining
portions of this act shall continue in full force and effect, unless
enforcement of this act as so modified by and in response to that
invalidation would be grossly inequitable under all of the
circumstances, or would frustrate the fundamental purposes of this
act.
  SEC. 15.  Except as expressly provided herein, this act prevails
over any inconsistent provisions of the Burton Act or the Burton Act
transfer agreement.
  SEC. 16.  The Legislature finds and declares that a special law is
necessary and that a general law cannot be made applicable within the
meaning of Section 16 of Article IV of the California Constitution
because of the unique circumstances applicable only to the lands
described in this act.