text: Pilot continuing education expenses shall include all costs incurred by the board in the operation and administration of the pilot continuing education program and all costs resulting from any contracts entered into for the purchase or lease of goods and services required by the board, including, but not limited to, the reimbursement of costs of services provided to the board by other governmental entities and for the costs for any other goods and services necessary for effectuating the purposes of continuing education as determined by the board.

history: (History: Amended by Stats. 2011, Ch. 324, Sec. 27. (AB 1025) Effective January 1, 2012.)


kind: section

code: HNC

text:
(a) Costs resulting from the provision of continuing education for currently licensed pilots regarding instruction in the proper utilization of portable pilot unit equipment and software, if determined to be necessary for effectuating the purposes of continuing education by the board, shall be considered pilot continuing education expenses pursuant to Section 1196.3.

(b) Subdivision (a) shall apply only to those costs incurred after January 1, 2013.

history: (History: Added by Stats. 2012, Ch. 794, Sec. 8. (SB 1408) Effective January 1, 2013.)

chapter: 5. Pilotage Rates

path: 5. PILOTS FOR MONTEREY BAY AND THE BAYS OF SAN FRANCISCO, SAN PABLO, AND SUISUN > 5. Pilotage Rates


text:
(a) The board shall contract with an independent entity to conduct a study of the effects of work and rest periods on psychological ability and safety for pilots. The study shall evaluate sleep- and human-related factors for pilots, and shall include information and recommendations on how to prevent pilot fatigue and ensure the safe operation of vessels.

(b) The board shall, based on the results of, and recommendations contained in, the study, promulgate regulations for pilots establishing requirements for adequate rest periods intended to prevent pilot fatigue.

(c) The study required to be conducted pursuant to subdivision (a) shall be funded by revenues received by the board from the board operation surcharge, as described in Section 1159.2. The board shall have authority, consistent with Section 1159.2, to collect and appropriate adequate funding to ensure that the study is completed.

history: (History: Added by Stats. 2012, Ch. 794, Sec. 9. (SB 1408) Effective January 1, 2013.)

division: 5. PILOTS FOR MONTEREY BAY AND THE BAYS OF SAN FRANCISCO, SAN PABLO, AND SUISUN


citation: HNC § 1198

text:
(a) Except as provided in subdivision (c), the rates and charges for pilotage services shall not include the cost of primary marine insurance insuring a pilot, an organization of pilots, or their officers or employees, from liability arising from negligence or errors in judgment in connection with the provision of pilotage service by pilots, organizations of pilots, or their officers or employees.

(b) A pilot who holds a state license for the Bays of San Francisco, San Pablo, and Suisun shall arrange to have available, upon advance written notice, trip insurance, with coverage limits of thirty-six million dollars ($36,000,000), naming as insureds the pilot, any organization of pilots to which the pilot belongs, and their officers and employees, and insuring the named insureds against any civil claim, demand, suit, or action by whomsoever asserted, arising out of, or relating to, directly or indirectly, acts or omissions of the insureds in connection with the provision of pilotage service, except willful misconduct.

(c) Every vessel, owner, operator, or demise or bareboat charterer hiring a pilot with a state license for the Bays of San Francisco, San Pablo, and Suisun shall either defend, indemnify, and hold harmless pilots pursuant to paragraph (1), or alternatively, notify pilots of an intent to pay for trip insurance pursuant to paragraph (2). If a vessel or its owner, operator, or demise or bareboat charterer does not provide written notice pursuant to paragraph (2) of an intent to exercise the trip insurance option, then the vessel and its owner, operator, and demise or bareboat charterer will be deemed to have elected the obligation to defend, indemnify, and hold harmless pilots pursuant to paragraph (1).

(1) (A) Except for a vessel electing trip insurance pursuant to paragraph (2), a vessel subject to this subdivision, and its owner, operator, demise or bareboat charterer, and agent shall not assert any claim, demand, suit, or action against the pilot, any organization of pilots to which the pilot belongs, and their officers and employees, for damages, including any rights over, arising out of, or connected with, directly or indirectly, any damage, loss, or expense sustained by the vessel, its owners, agents, demise or bareboat charterers, operators, or crew, or by any third parties, even if the damage results, in whole, or in part, from any act, omission, or negligence of the pilot, any organization of pilots to which the pilot belongs, and their officers and employees.

(B) A vessel subject to this paragraph and its owner, operator, and demise or bareboat charterer shall defend, indemnify, and hold harmless the pilot, any organization of pilots to which the pilot belongs, and their officers and employees, with respect to liability arising from any claim, suit, or action, by whomsoever asserted, resulting in whole, or in part, from any act, omission, or negligence of the pilot, any organization of pilots to which the pilot belongs, and their officers and employees. The obligation to indemnify under this paragraph shall not apply to the extent that it causes the amount recoverable from a vessel, its owner, operator, or demise or bareboat charterer to exceed the limits of liability to which it is entitled under any bill of lading, charter party, contract of affreightment, or provision of law.

(C) The prohibition on claims by vessels, owners, operators, demise or bareboat charterers, and agents imposed by subparagraph (A) and the obligation to defend, indemnify, and hold harmless the pilot imposed by subparagraph (B) shall not apply in cases of willful misconduct by a pilot, any organization of pilots to which the pilot belongs, and their officers and employees.

(D) A pilot who is the prevailing party shall be awarded attorney’s fees and costs incurred in any action to enforce a right to indemnification provided pursuant to this subdivision.

(2) In lieu of paragraph (1), a vessel subject to this subdivision and its owner, operator, demise or bareboat charterer, and agent may elect to notify the pilot, or the organization of pilots to which the pilot belongs, of intent to pay for trip insurance, as described in subdivision (b). If notice of this election is received, in writing, by the pilot, or the organization of pilots to which the pilot belongs, at least 24 hours prior to the time pilotage services are requested, the vessel, and its owner, operator, demise or bareboat charterer, and agent are not subject to the requirements of paragraph (1). The pilot shall take all steps necessary to have trip insurance coverage in place during the vessel movement for which it is requested. The pilot shall assess to the vessel the premium for the trip insurance at the pilot’s cost, in addition to any other applicable rates and charges for the pilotage services provided.

(d) Nothing in this section is intended to limit, alter, or diminish the liability of a vessel, owner, operator, or demise or bareboat charterer to any person who sustains loss or damage.

history: (History: Added by Stats. 2000, Ch. 786, Sec. 1. Effective January 1, 2001.)


citation: HNC § 1199

text:
(a) In addition to other charges for pilotage, there shall be temporary transit fees imposed as is necessary and authorized by this section.

(b) (1) The temporary transit fee for all vessels moved across the bar except for vessels calling at San Francisco Piers 27 and 35 shall be one thousand dollars ($1,000).

(2) On and after January 1, 2024, the temporary transit fee for all vessels moved across the bar shall be eight hundred fifty dollars ($850).

(c) (1) The temporary transit fee for all bay moves and all river moves shall be seven hundred dollars ($700).

(2) On and after January 1, 2024, the temporary transit fee for all bay moves and all river moves shall be eight hundred fifty dollars ($850).

(d) Only one temporary transit fee per invoice may be assessed.

(e) The Legislature finds and declares that the temporary transit fees imposed pursuant to this section are extraordinary, are not to be considered a precedential factor in any future ratesetting, and are established for the sole purpose of addressing the COVID-19 pandemic’s induced supply chain crisis and its related impacts on the pilotage system.

(f) This section shall remain operative only until the board publishes the first pilotage tariff under Chapter 6 (commencing with Section 1250), and as of the following January 1 is repealed.

history: (History: Added by Stats. 2022, Ch. 769, Sec. 14. (AB 2056) Effective September 29, 2022. Conditionally inoperative as prescribed by its own provisions. Repealed on January 1 following inoperative date.)


citation: HNC § 1250

text: Pursuant to the requirements of this chapter, the board shall adopt, and cause to be published, a pilotage tariff that establishes fair, just, reasonable, and sufficient rates for the provision of a safe, competent, reliable, and efficient pilotage service.

history: (History: Added by Stats. 2022, Ch. 769, Sec. 16. (AB 2056) Effective September 29, 2022.)

article: 1. Establishment of Pilotage Tariff

path: 5. PILOTS FOR MONTEREY BAY AND THE BAYS OF SAN FRANCISCO, SAN PABLO, AND SUISUN > 6. Pilotage Tariff Determination and Procedures > 1. Establishment of Pilotage Tariff


citation: HNC § 1251

text:
(a) The adopted pilotage tariff shall be determined by a formula whereby a revenue requirement is equal to the sum of pilot costs and expenses plus the product of target net income per pilot and the number of pilots.

(b) In determining target net income per pilot, all of the following factors shall be considered:

(1) The professional skills and experience required of a state-licensed pilot and the difficulty, risk, and lifestyle commitment of providing piloting services, as well as associated activities in support of the pilotage operation.

(2) Evidence of compensation for comparable maritime professions, including individuals in other state-regulated pilotage associations, at a minimum considering evidence of the compensation and benefits.

(3) Evidence of the economic and market conditions existing both locally and within the region of any pilotage association used for the purpose of comparison.

(4) Consumer price index and employment cost index.

(5) Individual amounts paid to pilots since the last rate order, or as directed.

(6) Any other factor deemed relevant to the determination of target net income per pilot.

(c) In determining the number of pilots, all of the following factors shall be considered:

(1) The number of licensed pilots determined by a hearing pursuant to Sections 1170.1 and 1170.2.

(2) The number of licensed pilots at the time of the rate hearing.

(3) Any projected changes in the number of licensed pilots.

(4) Any other factor deemed relevant to the determination of the number of pilots.

(d) In determining pilot costs and expenses, all of the following factors shall be considered:

(1) All costs of providing pilotage service.

(2) Any projected changes in the cost of providing pilotage service.

(3) The amount of activity, including number of vessels, size of vessels by gross registered tonnage, length, and draft.

(4) Any recent or projected changes in the amount of vessel activity.

(5) Producer price index and employment cost index.

(6) Total gross and net revenue since the last rate order, including sources of revenue by tariff category.

(7) Any other factor deemed relevant to the cost of the provision of pilotage service.

(e) For purposes of this section, the following definitions apply:

(1) “Number of pilots” means the number of pilots to be used in the formula to determine the revenue requirement.

(2) “Pilot costs and expenses” means all costs and expenses incurred by all pilots collectively in the provision of all pilotage services to be used in the formula to determine the revenue requirement.

(3) “Target net income per pilot” means an individual pilot’s income, including compensation and benefits, to be used in the formula to determine the revenue requirement.

chapter: 6. Pilotage Tariff Determination and Procedures

article: 1. Establishment of Pilotage Tariff


citation: HNC § 1252

text:
(a) The adopted pilotage tariff may include as part of the tariff for pilotage services the reasonable costs for the setting of tariff rates under this chapter of the Office of Administrative Hearings. Those moneys generated by the tariff for the purpose of allocation to the Office of Administrative Hearings pursuant to this section shall be paid into the Board of Pilot Commissioners’ Special Fund and are hereby continuously appropriated, notwithstanding Section 13340 of the Government Code and without regard to fiscal year, to the board to allocate to the Office of Administrative Hearings.

(b) The costs of the board in implementing this chapter shall only be funded from revenues generated by the board operations surcharge pursuant to Section 1159.2 and continuously appropriated from the Board of Pilot Commissioners’ Special Fund pursuant to Section 1159.

article: 1. Establishment of Pilotage Tariff


citation: HNC § 1253

text: A petition that is submitted on the basis of a notice of intent to petition filed less than 18 months after the effective date of a pilotage tariff adopted pursuant to Section 1278 is untimely. However, if a petition is filed as a joint petition of at least two of the parties to the previous pilotage tariff hearing process and no other new intervenors present themselves in opposition to the joint petition, the petition shall be timely regardless of the effective date of the previously adopted pilotage tariff.

article: 1. Establishment of Pilotage Tariff


citation: HNC § 1254

text:
(a) The pilotage rates imposed pursuant to Chapter 5 (commencing with Section 1190) shall be subject to adjustment under this chapter.

(b) The pilotage rates imposed pursuant to Chapter 5 (commencing with Section 1190) shall remain in effect and be deemed pilotage tariffs set pursuant to this chapter until the rates are adjusted pursuant to this chapter.

article: 1. Establishment of Pilotage Tariff


citation: HNC § 1255

text:
(a) The administrative adjudication provisions of the Administrative Procedure Act contained in Chapter 4.5 (commencing with Section 11400) of Part 1 of Division 3 of Title 2 of the Government Code and Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code shall apply to an adjudicative proceeding required to be conducted under this chapter, unless the requirements of this chapter relating to the proceeding provide otherwise.

(b) If there is any inconsistency between the provisions of this chapter and Chapter 4.5 (commencing with Section 11400) of Part 1 of Division 3 of Title 2 of the Government Code or Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code, the provisions of this chapter shall control.

article: 2. General Provisions

path: 5. PILOTS FOR MONTEREY BAY AND THE BAYS OF SAN FRANCISCO, SAN PABLO, AND SUISUN > 6. Pilotage Tariff Determination and Procedures > 2. General Provisions


citation: HNC § 1256

text:
For purposes of this chapter, the following definitions apply:

(a) “Executive director” means the executive director of the board.

(b) “Intervenor” means a person with a substantial interest or representing those with a substantial interest in the pilotage tariff other than the original petitioner that an administrative law judge permits to appear and participate as a party in the rate proceeding.

(c) “Party” means either of the following:

(1) A person participating in the rate proceeding as a petitioner or intervenor.

(2) A person participating in a prepetition process as a petitioner or stakeholder.

(d) “Person” means any individual, partnership, corporation, association, governmental agency, or public or private organization.

(e) “Petitioner” means a person with a substantial interest or representing those with a substantial interest in the pilotage tariff who has filed a petition or who intends to file a petition with the board for the publication of a pilotage tariff under this chapter.

(f) “Stakeholder” means any person with a substantial interest or representing those with a substantial interest in the pilotage tariff regardless of whether the person is participating as a petitioner or intervenor.

(g) “Substantial interest in the pilotage tariff” means any direct or indirect financial interest in the rates and tariffs charged for pilotage services.

(h) “Tariff” means the schedule of rates, fees, and charges applied to the provision of pilotage services as published by the board pursuant to this chapter.

article: 2. General Provisions


citation: HNC § 1260

text:
(a) Any person intending to petition to request a change in pilotage rates shall file a notice of intent to petition with the board, with a copy served to interested stakeholders including any association of board-licensed pilots, any association representing the interests of vessel owners or operators, and any other person that participated in the most recent past rate proceedings as a party.

(b) The notice of intent to petition shall contain an explanation of the proposed change, including a description of each change of a rate or inclusion of a new cost item not previously included in the current pilotage tariff.

article: 3. Prepetition Procedures

path: 5. PILOTS FOR MONTEREY BAY AND THE BAYS OF SAN FRANCISCO, SAN PABLO, AND SUISUN > 6. Pilotage Tariff Determination and Procedures > 3. Prepetition Procedures


citation: HNC § 1261

text:
Upon receipt of a notice of intent to petition, the executive director shall do all of the following:

(a) Schedule an item for the next regular meeting of the board for the purposes of providing notice to the public and interested stakeholders and for the executive director to publish the notice of intent to petition into the record.

(b) Notify the director of the Office of Administrative Hearings of the notice of intent to petition and request the assignment of an administrative law judge pursuant to Section 11370.3 of the Government Code to the board for the purpose of administering a hearing on any subsequently filed petition.

(c) Notify the petitioner of any stakeholder who has communicated a request to participate in prepetition meetings to the executive director prior to the notice requirement deadline established pursuant to subdivision (a) of Section 1262.

article: 3. Prepetition Procedures


citation: HNC § 1262

text:
(a) Within 20 days of publication of the notice of intent to petition at a duly noticed meeting of the board, the filing petitioner shall provide a notice of a proposed meeting schedule to all interested stakeholders for the purposes of holding a meeting or series of prepetition meetings for the purposes described in this section.

(b) Within 45 days of provision of service of a copy of the notice of intent to petition or the reading of the notice of intent to petition at a duly noticed meeting of the board, whichever is earlier, the filing petitioner shall hold at least one meeting with all interested stakeholders.

(c) All parties shall make a good faith effort to schedule as many meetings as reasonably necessary to achieve the purpose of the meetings during the notice of intent to petition period.

(d) The purpose of the meetings during the notice of intent to petition period shall be to clarify the issues presented in the notice of intent to petition, to explore means of narrowing and simplifying the issues as much as possible, and to consider areas of substantive agreement and substantive disagreement.

(e) All parties shall identify the potential for joint stipulations, joint petition, or partial stipulation on issues and joint petition during prepetition meetings.

(f) Interested parties may choose amongst themselves to arrange meetings at their own discretion and cost, including arrangements for mediators or alternative dispute resolution processes if desired.

(g) The prepetition meetings required pursuant to this section are not public meetings. Public notice of these meetings is not required other than as described in this section.

(h) Members of the board or staff of the board shall not attend any prepetition meetings held pursuant to this section.

article: 3. Prepetition Procedures


citation: HNC § 1265

text:
(a) Any person with a substantial interest in the pilotage tariff may file a petition with the board.

(b) A petitioner filing a petition with the board is a moving party and bears the burden of the preponderance of the evidence in the proceedings as described in this chapter.

(c) A counterpetitioner responding to a petition is a moving party and bears the burden of the preponderance of the evidence in the proceedings as described in this chapter.

article: 4. Petitions

path: 5. PILOTS FOR MONTEREY BAY AND THE BAYS OF SAN FRANCISCO, SAN PABLO, AND SUISUN > 6. Pilotage Tariff Determination and Procedures > 4. Petitions


citation: HNC § 1266

text:
(a) Provided that the requirements of Sections 1260 and 1262 have been complied with by the petitioner, a petition filing is in order after 90 days of provision of service of a copy of the notice of intent to petition or the reading of the notice of intent to petition at a duly noticed meeting of the board, whichever is earlier.

(b) There is no obligation on a petitioner to file a petition under this chapter after the completion of the prepetition meeting process.

(c) If stakeholder participants in prepetition meetings stipulate that prepetition meetings are continuing, there is no limitation on the time to file a petition after the filing of a notice of intent to petition.

(d) If no petition is filed within 180 days of the filing of the notice of intent to petition, or if no stipulation is presented to the board under subdivision (c), a petition is no longer in order and a new notice of intent to petition shall be filed prior to a subsequent petition filing pursuant to Section 1260.

article: 4. Petitions


citation: HNC § 1267

text:
(a) A petition filed under this chapter shall include all of the following components:

(1) (A) A signed submission by the petitioner identifying the petitioner, including the names and contact information of the person requesting the tariff revision and the basis of the petitioner’s substantial interest in the pilotage tariff.

(B) If the petition is a joint submission by multiple parties, the petition shall be identified as a joint submission on the filing and include a signed submission by each of the joint petitioners, including the names and contact information of each of the persons requesting the tariff revision and the bases of each of the petitioners’ substantial interests in the pilotage tariff.

(2) A request for a hearing, including a proposed hearing date and calendar.

(3) A copy of the proposed tariff, along with a copy of the proposed changes to the tariff in a format in which strikethroughs indicate the material to be deleted or replaced and underlining indicates the material to be inserted.

(4) Testimony in support of the petition, including a description of why or how the existing tariff is not fair, just, reasonable, or sufficient, along with all exhibits and information to demonstrate a need for the tariff revision and addressing the criteria for tariff revisions as set forth in Section 1251.

(5) A copy of any joint stipulations, partial stipulations, or any other agreements to narrow or simplify issues reached during prepetition meetings pursuant to Section 1262.

(b) A petition filed under this chapter may include any of the following:

(1) A copy of a proposed order.

(2) Any other information required by the board by regulation or by previous order.

(c) A petitioner shall file with the board one paper copy and one electronic copy of all petition documents, including testimony and exhibits that the petitioner intends to present as the petitioner’s direct case. An electronic copy of all filed material shall be filed in a format identified by the board, if the board elects to require a specified filing format.

(d) A petitioner shall provide electronic notification and access to an electronic copy of all filed material to every stakeholder or interested party who requested to participate in prepetition meetings pursuant to Section 1262.

article: 4. Petitions


citation: HNC § 1268

text:
Upon receipt of a petition, the executive director shall do all of the following:

(a) Schedule an item for the next regular meeting of the board for the purposes of providing notice to the public and for the executive director to publish the signed submission and request for a hearing on the petition into the record.

(b) Provide all copies of all filed materials to the administrative law judge assigned upon the request of the board pursuant to Section 1261 for the purpose of administering the hearing on the petition.

(c) Provide notification to the petitioner and to every stakeholder who requested to participate in prepetition meetings pursuant to Section 1262 of all of the following:

(1) The name and contact information of the administrative law judge assigned to administer the hearing on the petition.

(2) The official date of the filing of the petition with the board.

(3) The requirement of interested stakeholders to file a request to intervene within 20 calendar days of petition filing pursuant to Section 1269.

article: 4. Petitions


citation: HNC § 1269

text:
(a) Any stakeholder with a substantial interest in the pilotage tariff may file a written request to intervene in a petition proceeding under this chapter.

(b) A request to intervene shall include all of the following:

(1) A signed request identifying the proposed intervenor, including the names and contact information of the person requesting the intervention.

(2) The proposed intervenor’s substantial interest in the pilotage tariff.

(3) The position of the party in the proceeding.

(4) A response to the petitioner’s proposed hearing date and calendar.

(c) A written request to intervene shall be considered timely if it is received by the administrative law judge within 20 calendar days of petition filing.

(d) Intervention shall not broaden the issues in the proceeding, except to the limited extent that an issue is raised in a counterpetition, nor shall intervention unreasonably delay the hearing or unfairly prejudice the other parties.

article: 4. Petitions


citation: HNC § 1270

text:
(a) Any intervening party, or proposed intervening party, shall file an answer, counterpetition, or response within 30 calendar days of petition filing. For good cause shown, the administrative law judge may extend the time for filing an answer, counterpetition, or response for a period not to exceed an additional 20 days.

(b) The answers filed by intervenors, whether counterpetitions or responses, shall address the factors specified in this chapter and all related issues raised in the petition.

article: 4. Petitions


citation: HNC § 1271

text:
(a) The administrative law judge shall hold an initial petition management conference to set a hearing date, establish a complete petition calendar, rule on requests to intervene, and address any other timely or appropriate business presented by the parties.

(b) (1) In order to make a more effective use of hearing time in formal proceedings and to expedite the orderly conduct and disposition of the proceedings, the administrative law judge shall set a date in the complete petition calendar for at least one prehearing conference between the parties. The parties attending a prehearing conference shall consider, but not be limited to the consideration of, all of the following:

(A) Simplifying and clarifying the issues and eliminating irrelevant or immaterial issues.

(B) Obtaining stipulations as to facts, authenticity of documents, admissibility of evidence, and other evidentiary matters.

(C) The use of other aids to the orderly conduct and disposition of the proceeding as may be possible.

(2) This section does not preclude any party from calling or holding off-calendar conferences by agreement or stipulation. If a conference is called before the hearing, or if the hearing is recessed for a conference, and the conference yields an outcome of substance, the administrative law judge shall state on the record the results of the conference.

(c) The administrative law judge shall set dates in the complete petition calendar for the parties to conclude all discovery and data requests, respond to discovery and data requests, and lodge any objections to discovery or discovery responses by another party.

(d) (1) The administrative law judge shall set dates in the complete petition calendar for the parties to file proposed written testimony, witness lists, and proposed exhibits with the administrative law judge on a date before the hearing, reserving rights of cross-examination at the hearing.

(2) Any objections to the prefiled testimony, witnesses, or proposed exhibits shall be lodged with the administrative law judge at a prehearing date set in the complete petition calendar, and shall be resolved by the administrative law judge at the commencement of the hearing.

(3) When a party fails to file any written testimony, witness list, or proposed exhibit for the rate hearing, or objections to the prefiled testimony, witnesses, or proposed exhibits for the rate hearing, within the time specified by the complete petition calendar, the late filing may be accepted if the administrative law judge determines that there was good cause for failure to file within the required time. For purposes of this section, “good cause” exists when a failure to file arises from an excusable mistake, surprise, excusable neglect, or reasonable reliance on the statement of the administrative law judge, or from fraud, misrepresentation, or other misconduct by a party participating in the proceeding.

(e) The administrative law judge shall set a date in the complete petition calendar for the parties to file proposed stipulations, agreements, or other reports resulting from a prehearing conference on a date before the hearing.

(f) The administrative law judge shall set the hearing for a date and time most convenient to the parties concerned.

(g) The administrative law judge shall set dates in the complete petition calendar for the parties to file posthearing briefs and reply briefs.

(h) (1) For all petitions contested by an intervenor, the complete petition calendar shall require a final order and tariff to be published no later than 240 days from the date of petition filing established pursuant to Section 1268 if there is no rereferral under Section 1279.

(2) For all petitions that are either uncontested by an intervenor or a joint submission that is not subject to any further requests to intervene by a party opposed to the petition, the complete petition calendar shall require that an expedited hearing date is set and a final order and tariff are published no later than 120 days from the date of petition filing established pursuant to Section 1268 if there is no rereferral under Section 1279.

(i) This section does not prohibit an administrative law judge from revising by order the hearing date or other components of the complete petition calendar at the discretion of the administrative law judge in response to a motion by a party or upon stipulation of the parties at any time after the initial order setting the complete petition calendar.

article: 4. Petitions


citation: HNC § 1272

text:
(a) During the public hearing on the petition, the administrative law judge retains the discretion to direct additional briefing or presentation of evidence by the parties posthearing. All parties have the right to respond at the hearing and in writing posthearing to a direction by the administrative law judge for additional briefing or presentation of evidence, regardless of to which party the additional briefing or presentation of evidence are directed.

(b) During the public hearing on the petition, the executive director shall be in attendance and available to the administrative law judge. The administrative law judge retains the discretion to consult with the executive director in public during the public hearing. All parties have the right to respond at the hearing and in writing posthearing to a consultation by the administrative law judge with the executive director.

article: 4. Petitions


citation: HNC § 1273

text:
(a) At the conclusion of the public hearing on the petition and until the issuance of the tentative order and tariff, the administrative law judge may submit bench interrogatories and discovery requests to a party or parties. All parties have the right to respond to posthearing bench interrogatories and discovery requests, regardless of to which party the interrogatories or discovery requests are directed.

(b) The administrative law judge may set consultations or develop bench interrogatories or discovery requests for the executive director. All parties may attend all posthearing bench consultations and respond independently and, in addition, all parties have the right to respond to posthearing bench interrogatories and discovery requests that are directed to the executive director.

article: 4. Petitions


citation: HNC § 1274

text: Except as otherwise permitted with respect to the executive director’s responses to bench requests pursuant to Section 1273, members of the board and board staff shall not engage in ex parte communications regarding the pilotage tariff, pilotage rates, or issues that are the subject of a pilotage tariff petition with any party, stakeholder, member of the public, or other board member during the period beginning with the request by the executive director for assignment of an administrative law judge until the time that any potential for a related board hearing on the petition has concluded.

article: 4. Petitions


citation: HNC § 1275

text:
(a) The administrative law judge shall issue a tentative order and tariff inclusive of the findings of law and findings of fact necessary to support the tentative order and tariff.

(b) The tentative order and tariff shall be based on the formulaic rate approach and factors described in Section 1251 and include specific findings with respect to each formula factor.

(c) The tentative order and tariff shall set both a publication date for the final order and tariff and an effective date for the tariff of no later than 30 days after the publication date if there is no further board action pursuant to Section 1278.

(d) All parties shall receive electronic service of the tentative order and tariff and included findings.

article: 5. Orders

path: 5. PILOTS FOR MONTEREY BAY AND THE BAYS OF SAN FRANCISCO, SAN PABLO, AND SUISUN > 6. Pilotage Tariff Determination and Procedures > 5. Orders


citation: HNC § 1276

text:
(a) Upon receipt of a tentative order and tariff from an administrative law judge, the executive director shall provide board members, parties, and the public with notice of the issuance of the tentative order and tariff and included findings, and the publication date and effective date established by the tentative order and tariff by publication on the board’s internet website, and to advise board members and the public of their right to request that the executive director agendize the tentative order and tariff at the next regular meeting of the board between the issuance of the tentative order and tariff and the publication date pursuant to this section.

(b) In the 10 calendar days following the notice of the issuance of the tentative order and tariff by the executive director pursuant to subdivision (a), board members, parties, and members of the public have the right to request that the tentative order and tariff be agendized for consideration at the next regular monthly meeting of the board.

article: 5. Orders


citation: HNC § 1277

text: If no request for the tentative order and tariff to be agendized is received by the executive director within 10 calendar days of the notice provided pursuant to Section 1276, the tentative order and tariff are final as a matter of law. The executive director shall cause to be published a final order and tariff inclusive of findings on the publication date specified by the tentative order and tariff on the board’s internet website. The executive director shall further submit the final tariff to the Office of Administrative Law for publication in the California Regulatory Notice Register. If the effective date is not included in the tentative order and tariff or is defective for any reason, the final tariff shall be deemed to be effective upon publication in the California Regulatory Notice Register.

article: 5. Orders


citation: HNC § 1278

text:
(a) If a request for the tentative order and tariff to be agendized is received by the executive director within 10 calendar days of the notice provided pursuant to Section 1276, the tentative order and tariff shall be agendized for the next regular monthly meeting of the board.

(b) (1) If the next regular monthly meeting of the board is 10 or more calendar days from the receipt of the request to agendize the tentative order and tariff, the board shall notice the hearing pursuant to Section 11125 of the Government Code.

(2) If the next regular meeting is less than 10 calendar days from the receipt of the request to agendize the tentative order and tariff, the board shall notice the hearing pursuant to Section 11125.3 of the Government Code.

(c) Upon consideration of the tentative order and tariff at the next regular monthly meeting of the board, the board shall hold a public hearing in accordance with all of the following:

(1) The executive director shall summarize and present the tentative order and tariff.

(2) Parties to the petition proceeding shall be provided with the opportunity to comment on the tentative order and tariff. All comments by the parties shall be recorded in board minutes and may include any of the following:

(A) A stipulation agreed to by all parties that includes a request for technical changes to the tentative order and tariff with a precise copy of the technical changes requested and a justification for each proposed technical change.

(B) A request by an individual party that includes a request for technical changes to the tentative order and tariff with a precise copy of the technical changes requested and a justification for each proposed technical change.

(C) A request by an individual party that includes a request for the tentative order and tariff to be rereferred to the administrative law judge for further proceedings pursuant to Section 1279, including the specific items and issues sought to be briefed and reviewed upon rereferral and a justification for each item and issue sought to be briefed and reviewed upon rereferral.

(3) The public shall be provided with the opportunity to comment on the tentative order and tariff and all public comments shall be recorded in board minutes.

(4) The Transportation Agency shall be provided with the opportunity to comment on the tentative order and tariff and all comments by the agency shall be recorded in board minutes.

(d) Upon conclusion of the public hearing, the members of the board shall be required to take one of the following actions:

(1) Accept the tentative order and tariff.

(2) Accept the tentative order and tariff as proposed to be revised pursuant to the technical change stipulations presented by the parties pursuant to subparagraph (A) of paragraph (2) of subdivision (c).

(3) Reject the tentative order and tariff, provided that the board agrees to a basis for rejecting the tentative order and tariff and the basis for the rejection is documented.

(4) Rerefer the tentative order and tariff back to the administrative law judge for further proceedings pursuant to Section 1279, provided that the board agrees to a basis for rereferring the tentative order and tariff as presented by a party as a request for a technical change pursuant to subparagraph (B) of paragraph (2) of subdivision (c) or as a request for rereferral pursuant to subparagraph (C) of paragraph (2) of subdivision (c) and the basis for rereferral is documented.

(5) Take no action.

(e) (1) If the board accepts the tentative order and tariff or takes no action pursuant to paragraph (1), (2), or (5) of subdivision (d), the tentative order and tariff are deemed to be final as a matter of law. The executive director shall cause to be published a final order and tariff inclusive of findings on the publication date specified by the tentative order and tariff or on an alternative date as set by the board. The executive director shall further submit the final tariff to the Office of Administrative Law for publication in the California Regulatory Notice Register with an effective date of 30 days after the board hearing.

(2) If the board rejects the tentative order and tariff pursuant to paragraph (3) of subdivision (d), the petition is deemed rejected as a matter of law. The executive director shall cause to be published a formal notice of rejection on the board’s internet website inclusive of the documentation of the basis for rejection. The executive director shall further submit the formal notice of rejection to the Office of Administrative Law for publication in the California Regulatory Notice Register.

(3) If the board opts to rerefer the tentative order and tariff to the administrative law judge pursuant to paragraph (4) of subdivision (d), the executive director shall provide all copies of all hearing materials to the administrative law judge for the purpose of administering an additional hearing on the petition pursuant to Section 1279.

(f) The board action required by subdivision (d) shall be taken before the publication date set by the administrative law judge.

(g) For purposes of this section, a “technical change” is a change to the language of the tentative order and tariff that does not result in a change to, and is consistent with, the findings or conclusions of the tentative order and tariff as issued by the administrative law judge pursuant to Section 1275.

article: 5. Orders


citation: HNC § 1279

text:
(a) If the board opts to rerefer a tentative order and tariff to the administrative law judge pursuant to Section 1278, the further review of the petition by the administrative law judge shall be conducted pursuant to this section.

(b) (1) Upon receipt of the board hearing materials from the executive director, the administrative law judge shall by order set a deadline for the parties to submit a proposed calendar for supplemental briefing.

(2) The calendar shall be limited to briefing on the basis of the existing evidence in the record and no additional discovery or data requests shall be allowed by the parties.

(3) The substantive scope of the briefing shall be limited to issues raised by the party requesting a rereferral before the board and affirmed by the board in its adopted basis for rereferral.

(c) The calendar set by the administrative law judge shall be to support a determination upon the briefing alone and no additional public hearing shall be scheduled.

(d) The calendar for briefing and for the issuance of a reviewed tentative order and tariff is to be determined by the administrative law judge.

(e) The administrative law judge has the discretion to issue a reviewed tentative order and tariff to the board. The reviewed tentative order and tariff may be revised as requested by a party.

(f) A reviewed tentative order and tariff issued under this section shall be consistent with the requirements of Section 1275.

(g) Upon receipt of a reviewed tentative order and tariff, the board shall proceed in a manner consistent with Sections 1276, 1277, and 1278, with the exception that the board shall not take any action on a reviewed tentative order pursuant to paragraph (2) or (4) of subdivision (d) of Section 1278.

article: 5. Orders


citation: HNC § 1280

text:
(a) The board shall authorize a pilot to establish a catastrophic event memorandum account and to record in that account the costs of maintaining, restoring, repairing, or replacing the provision of pilotage services to customers due to a catastrophic event.

(b) The costs, including capital costs, recorded in a catastrophic event memorandum account shall only be recovered through the catastrophic event surcharge following the submission of an application by an affected pilot, the board finding the reasonableness of the costs identified in a catastrophic event memorandum account, and approval by the board of a definitive and exact amount of costs authorized to recover. The board may adjust the total amount of costs to be recovered to reflect any associated savings to ongoing operations or other pilot capital costs as a result from the expense of pilot costs associated with those identified in a catastrophic event memorandum account.

(c) The board shall hold a proceeding in response to a pilot application to recover costs associated with catastrophic events, including a hearing conducted pursuant to Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code.

(d) The catastrophic event surcharge shall only be billed on the first day of the fiscal quarter after final approval by the board of an application of an affected pilot, and upon a separate action by the board at a following meeting to set a reasonable time and rate of recovery recommended by the finance committee of the board. The finance committee recommendation shall take into consideration any impact that the catastrophic event may have had on pilot customers and may reduce or extend the terms of the surcharge imposition as appropriate.

(e) The moneys collected under a catastrophic event surcharge shall be used only to recover the costs approved in the pilot catastrophic event memorandum account in the manner established by the board.

(f) At the recommendation of the finance committee, the board may adjust the surcharge amount established pursuant to Section 1190.3 as necessary to efficiently administer the recovery of costs of the catastrophic event memorandum account, with adjustments to take effect only on the first day of the fiscal quarter following adjustment of the surcharge.

(g) Information regarding moneys remitted to an affected pilot and moneys collected from the surcharge pursuant to Section 1190.3, as well as information regarding moneys spent as catastrophic event memorandum account costs, shall be made available to the board or its finance committee in a regular format upon request by the board or its finance committee. The information shall additionally be made available to the public upon request to the board.

(h) The board shall adopt, by regulation, the process for approving the recovery of catastrophic event costs, including, but not limited to, the form and information it shall require in an application for the recovery of costs related to a catastrophic event and the format for the catastrophic event memorandum account reports acceptable to the board.

(i) For purposes of this section, “catastrophic event surcharge” means the catastrophic event surcharge established pursuant to Section 1190.3.

article: 6. Administrative Provisions

path: 5. PILOTS FOR MONTEREY BAY AND THE BAYS OF SAN FRANCISCO, SAN PABLO, AND SUISUN > 6. Pilotage Tariff Determination and Procedures > 6. Administrative Provisions


citation: HNC § 1281

text: Pilots may submit to the board annually a copy of an audit of the financial record of pilotage operations for the prior year. The pilot audited financial document shall be a public record.

article: 6. Administrative Provisions


citation: HNC § 1690

text:
The Legislature finds and declares all of the following:

(a) The state has a compelling interest in the success of its ports and harbors because they provide significant economic benefit to the state in terms of jobs, personal income, business revenue, and taxes. It is the policy of the state that, because of that compelling interest, legislation in this area is a matter of statewide concern and is necessary to develop the harbors and ports of this state for the benefit of the people.

(b) Ports and harbors are the vital interface between water and land transportation for trade with the Pacific Rim countries and other trade. In this respect, the specific management of the state’s ports and harbors by specific harbor and port districts established pursuant to Division 8 (commencing with Section 5800) are of equal statewide concern and importance as the management of granted lands held in trust for the state by a local port or harbor district.

(c) Historically, California’s ports and harbors have been self-supporting. Most port and harbor districts do not levy or expend funds generated by local taxes, as most of their operations are funded directly through fees and other revenue the ports generate from their users or tenants, in addition to occasional state and federal grants.

(d) The report of the California Transportation Commission entitled “Improving Access to California’s Ports,” dated February 1990, found that eight hundred ninety-seven million dollars ($897,000,000) is needed for port access transportation projects. By December 2014, the “California Freight Mobility Plan” report of the Department of Transportation identified a comprehensive list of freight projects in the state, including port access transportation projects, with an estimated total cost of one hundred thirty-eight billion dollars ($138,000,000,000).

(e) In addition to port access transportation projects, there is a need for new harbor facilities and infrastructure investments that will enhance California’s competitiveness for international cargoes, grow employment, yield significant economic development, increase state and local tax revenues, and reduce impacts to environmental quality from goods movement.

(f) Because of limited revenues from port operations, shrinking federal and state funding and the increasing demand for those limited funds, ports and harbors are no longer able to finance projects of this magnitude without new funding mechanisms. One such mechanism that can be used to finance port and harbor development projects is the enhanced infrastructure financing district.

(g) It is the intent of the Legislature to assist in the reduction of local borrowing costs, help accelerate the construction, repair, and maintenance of port capital improvements, and promote greater use of existing and new financial instruments and mechanisms.

(h) It is further the intent of the Legislature to assert the state’s plenary power over the financing of port and harbor infrastructure by harbor agencies as matters of statewide concern and to authorize the use of tax increment financing, as provided in Chapter 2.99 (commencing with Section 53398.50) of Part 1 of Division 2 of Title 5 of the Government Code, to support investment of tax revenues in port and harbor infrastructure.

(i) The Legislature empowers local legislative bodies with specific and exclusive delegated authority to manage the state’s ports and harbors by legislative grant and by establishment of special districts pursuant to this code. In addition, the Legislature delegates to public financing authorities the power to establish seaport infrastructure financing districts for the purpose of leveraging investment in support of the statewide interest in improving port and harbor infrastructure.

history: (History: Amended by Stats. 2015, Ch. 793, Sec. 8. (SB 63) Effective January 1, 2016.)

division: 6. HARBORS AND PORTS

chapter: 1. Findings and Definitions

article: 1. Legislative Findings

path: 6. HARBORS AND PORTS > 1. Findings and Definitions > 1. Legislative Findings


citation: HNC § 1691

text: The definitions in this article govern the construction of this part.

history: (History: Added by Stats. 1992, Ch. 1235, Sec. 3. Effective January 1, 1993.)

article: 2. Definitions

path: 6. HARBORS AND PORTS > 1. Findings and Definitions > 2. Definitions


citation: HNC § 1692

text: “Authority” means a joint powers entity or nonprofit public benefit corporation created in accordance with Section 1700.

history: (History: Amended by Stats. 1993, Ch. 1197, Sec. 6. Effective January 1, 1994.)

article: 2. Definitions


citation: HNC § 1693

text: “Bonds” means bonds, notes, bond anticipation notes, commercial paper, or other evidences of indebtedness or lease, installment sale, or other agreements or certificates of participation therein.

article: 2. Definitions


citation: HNC § 1694

text: “Harbor agency” means any state or local agency, city, county, city and county, harbor district, port district, harbor improvement district, river port district, small craft harbor district, or other public district, entity, board, commission, or agency that operates a port or harbor in the State of California.

article: 2. Definitions


citation: HNC § 1695

text: “Infrastructure fund” means a port or harbor infrastructure fund established by an authority pursuant to Section 1700.

article: 2. Definitions


citation: HNC § 1696

text: “Joint powers laws” means Chapter 5 (commencing with Section 6500) of Division 7 of Title 1 of the Government Code.

article: 2. Definitions


citation: HNC § 1697

text: “Member” means any harbor agency that is party to an agreement establishing an authority pursuant to Section 1700.

article: 2. Definitions


citation: HNC § 1698

text:
(a) “Port or harbor infrastructure” means any of the following, if its primary or predominant use is of direct benefit to the port or harbor:

(1) Streets, roads, highways, bridges, sidewalks, curbs, gutters, tunnels, subways, alleyways, viaducts, pipelines, rail lines, or other facilities for the transportation or movement of people, vehicles, equipment, or goods.

(2) Piers, docks, wharves, slips, quays, platforms, decks, cranes, or other facilities for the mooring, docking, loading, or unloading of vessels.

(3) Lands, tidelands, submerged lands, easements, port access routes, channel improvements, rights-of-way, dredge disposal sites, safety zones, breakwaters, levees, bulkheads, or walls of rock or other material to protect property or traffic.

(4) Parking, warehouse, or storage facilities.

(5) Parks, recreation, or open space facilities.

(6) Remediation or any capital improvement that improves environmental quality.

(7) Water, wastewater, drainage, electric, or telecommunication systems or facilities.

(8) Buildings, structures, facilities, improvements, or equipment necessary or convenient to any of paragraphs (1) to (7), inclusive, or to the operation of a port or harbor.

(9) Public improvements authorized pursuant to the Improvement Act of 1911 (Division 7 (commencing with Section 5000) of the Streets and Highways Code), the Improvement Bond Act of 1915 (Division 10 (commencing with Section 8500) of the Streets and Highways Code), and the Mello-Roos Community Facilities Act of 1982 (Chapter 2.5 (commencing with Section 53311) of Part 1 of Division 2 of Title 5 of the Government Code).

(b) Any port or harbor infrastructure may be privately operated. Except for any port or harbor infrastructure financed or subsidized with public trust revenues, any privately owned port or harbor infrastructure may be eligible in whole or in part for financing or other support or subsidy from money deposited in the infrastructure fund pursuant to subdivision (a) of Section 1701.

(c) If a port or harbor infrastructure financed wholly or partly with public funds is privately owned and if the use for which the port or harbor infrastructure was originally constructed changes or is incompatible with the port authority’s master plan, the private owner shall pay the public agency the percentage of the full appreciated value of the port or harbor infrastructure that was originally financed with public funds.

(d) Any port or harbor infrastructure may be located within, partly within and partly outside, or outside the boundaries of any harbor agency.

(e) Any port or harbor infrastructure that has been purchased, constructed, expanded, improved, or rehabilitated by the expenditure or use of public trust revenues shall be held as an asset of the trust in a share proportionate to the investment of public trust revenues.

history: (History: Amended by Stats. 2015, Ch. 793, Sec. 9. (SB 63) Effective January 1, 2016.)

article: 2. Definitions


citation: HNC § 1699

text: “Seaport infrastructure financing district” means an enhanced infrastructure financing district that finances port or harbor infrastructure created in accordance with Chapter 3 (commencing with Section 1710) of this part and Chapter 2.99 (commencing with Section 53398.50) of Part 1 of Division 2 of Title 5 of the Government Code.

history: (History: Added by Stats. 2015, Ch. 793, Sec. 10. (SB 63) Effective January 1, 2016.)

article: 2. Definitions


citation: HNC § 1700

text:
(a) Any two or more harbor agencies may, pursuant to the joint powers law, establish an authority, separate from the parties to the agreement, for the purpose, in addition to any other purpose permitted under the joint powers law, of establishing an infrastructure fund and financing port or harbor infrastructure pursuant to this part.

(b) An authority may be formed as a nonprofit public benefit corporation subject to the nonprofit corporation law (Division 2 (commencing with Section 5000) of Title 1 of the Corporations Code), for the purpose of establishing an infrastructure fund and financing port or harbor infrastructure pursuant to this part.

history: (History: Amended by Stats. 1993, Ch. 1197, Sec. 7. Effective January 1, 1994.)

chapter: 2. Formation and Powers of an Authority

path: 6. HARBORS AND PORTS > 2. Formation and Powers of an Authority


citation: HNC § 1701

text:
An authority established pursuant to Section 1700 shall deposit into an infrastructure fund established by the authority all of the following:

(a) Any federal, state, or private grants received by the authority directly or by assignment or other transfer from the state, any member, or any other public body.

(b) Any other money of, or received by, the authority, which the authority determines to deposit in the infrastructure fund.

(c) Any public trust revenues deposited into an infrastructure account shall continue to be public trust assets subject to Section 6306 of the Public Resources Code.


citation: HNC § 1702

text: An authority may establish one or more subaccounts within the infrastructure fund, and may treat each subaccount as separate and distinct. Money in the infrastructure fund may be invested in any instrument permitted by Section 53601 of the Government Code. However, any money in any subaccount which is separately pledged to secure or pay bonds may be invested in, or may be limited to investments in, any instrument permitted by the resolution or indenture providing for the issuance of the bonds. Any investment income earned on the investment of money in an infrastructure fund shall be credited to the infrastructure fund unless, and to the extent that, federal or state law or agreement, pursuant to which moneys were deposited into the fund, requires otherwise. Any income earned on the investment of money in any subaccount shall be credited to the subaccount unless, and to the extent that, the authority establishing the fund determines otherwise.


citation: HNC § 1703

text:
Subject to the terms and conditions determined by an authority that establishes an infrastructure fund, including, but not limited to, any terms and conditions related to interest rates, payment, prepayment, pledges, security, remedy for defaults, the funds in an infrastructure fund, or any subaccount therein, may be used for one or more of the following purposes:

(a) To make loans to, or to enter into an installment sale or other agreement with, any member or other harbor agency for the purpose of financing or refinancing any port or harbor infrastructure.

(b) To purchase, refinance, or restructure bonds issued by any member or other harbor agency in whole or in part to finance or refinance any port or harbor infrastructure.

(c) To secure or guarantee, or to purchase, pay for, or reimburse any guaranty, insurance, or other credit enhancement of, any bonds issued by the authority, any member, or any harbor agency, if the bonds were issued in whole or in part to finance or refinance any port or harbor infrastructure.

(d) To pay the costs of administering the infrastructure fund or the authority, including any costs of issuance of bonds issued by the authority to finance or refinance port or harbor infrastructure.


citation: HNC § 1704

text: In addition to any purpose authorized under the joint powers law for which bonds may be issued, an authority may issue bonds in the manner set forth in Article 4 (commencing with Section 6584) of Chapter 5 of Division 7 of Title 1 of the Government Code, to finance or refinance any port or harbor infrastructure or to make deposits into the infrastructure fund or any subaccount thereof, except that a nonprofit public benefit corporation may issue bonds only to the extent authorized by a joint powers agreement.

history: (History: Amended by Stats. 1993, Ch. 1197, Sec. 8. Effective January 1, 1994.)


citation: HNC § 1705

text: Exclusively for purposes of securing the financing of port or harbor infrastructure, any harbor agency may borrow funds from, or otherwise secure financing through, an authority at the interest rate or rates, with the maturity date or dates, payment, pledge, security, default, remedy, and other terms and conditions specified in bonds of the harbor agency or obtain a loan, loan purchase, installment purchase, lease, or other agreement between the authority and the harbor agency. The harbor agency also may enter into any agreement for liquidity or credit enhancement that may be necessary or appropriate, as determined by the authority and consistent with other provisions of law, in connection with the borrowing or loan. This section provides a complete, additional, and alternative method for performing the acts authorized by this section.


citation: HNC § 1706

text:
(a) Before any public funds are allocated pursuant to this part for a privately owned port or harbor infrastructure, as specified in subdivision (b) of Section 1698, approval of the Treasurer is required.

(b) Each authority shall submit an annual report regarding receipts and expenditures from the infrastructure fund and all financing activities to the Controller and to the California Debt Advisory Commission.


citation: HNC § 1710

text:
The Legislature finds and declares all of the following:

(a) In addition to the findings and declarations in Section 53398.50 of the Government Code, the ability to capture property tax increment revenues to finance needed seaport and harbor infrastructure projects will provide direct benefits to the state. When harbor agencies are better funded to further the objectives of the state, its seaports and harbors, and the public trust and enjoyment of those trust lands by the people of the state, local economies and the local environment will also be improved.

(b) A seaport or harbor or its operation frequently generates large local tax benefits directly as a result of the possessory interest taxes paid on the value of leased port and harbor real property.

(c) The tax increment increases in possessory interest taxes that will result from the improvement of seaport and harbor infrastructure should be captured, whenever possible, and reinvested to support the state’s significant interest in the successful operation of its seaports and harbors.

(d) The unique nature of the state’s public seaports and harbors, including the nature of the statewide interest in their operations, requires special rules if these ports and harbors are to be allowed to participate in a seaport infrastructure financing district.

(e) The seaport infrastructure financing district is specifically developed to include publicly owned property, to improve that public property, and to achieve the public goals of improving the state’s waterborne commerce, enhancing economic prosperity, and financing the costs of environmental mitigation and improvement.

(f) This chapter is intended to maintain and enforce the state’s retained rights, statewide interests, obligations and sovereign duties in its seaports, harbors, and tidelands, including protecting these same assets from local control or excise, while simultaneously creating an opportunity for public financing authorities to participate in facilitating investment in the state’s public seaport infrastructure and finance projects that will have the anticipated effect of not only providing statewide benefits, but also local benefits such as boosting local employment, local secondary economic development, local environmental improvement, and increased local tax revenues.

history: (History: Added by Stats. 2015, Ch. 793, Sec. 11. (SB 63) Effective January 1, 2016.)

path: 6. HARBORS AND PORTS > 3. Seaport Infrastructure Financing Districts


citation: HNC § 1711

text: As used in this chapter, “public financing authority” has the same meaning as provided in Section 53398.51 of the Government Code.

chapter: 3. Seaport Infrastructure Financing Districts


citation: HNC § 1712

text: When designated by the legislative body pursuant to Section 53398.62 of the Government Code, the harbor agency shall prepare a proposed infrastructure financing plan, as provided in Section 53398.63 of the Government Code, for a seaport infrastructure financing district covering a port or harbor infrastructure.


citation: HNC § 1713

text:
(a) Upon receipt of a resolution from the public financing authority promulgated under subdivision (a) of Section 53398.80.5 of the Government Code, the harbor agency shall have 60 days to consider the proposal. During this time, the harbor agency’s governing body shall act at a duly noticed meeting to either vote to give preliminary approval of the proposal, subject to the provisions of this section, or disapprove the proposal and return it to the public financing authority.

(b) A harbor agency may give preliminary approval under this section only if it makes all of the following affirmative findings:

(1) The harbor agency has prepared an infrastructure financing plan pursuant to Section 1712.

(2) The improvements to the harbor agency’s property to be financed through the proceeds of a seaport infrastructure financing district are solely for the support of port or harbor infrastructure.

(3) All publicly owned property that is leased to private parties within the boundaries of the seaport infrastructure financing district has been reported by the harbor agency to the local county assessor to facilitate possessory interest taxation.

(4) (A) If the harbor agency is acting on granted lands, all of the projects and uses proposed in the seaport infrastructure financing district are consistent with the state tidelands trust and the conditions of the harbor agency grant.

(B) If the harbor agency was formed pursuant to this code, all of the projects and uses proposed in the seaport infrastructure financing district are consistent with its charter and the statewide interests in the operation of harbors and ports.

(c) (1) The harbor agency shall not grant preliminary approval under this section unless both of the following apply:

(A) The seaport infrastructure financing district will operate independently of any other prior or concurrent agreements between the harbor agency and the public financing authority, or the local governments that make up the public financing authority.

(B) No transfers of funds or obligations, or future transfers of funds or obligations contingent on the approval of the seaport infrastructure financing district, its financing, or projects within the district, are created between the harbor agency and the public financing authority, or the local governments that make up the public financing authority.

(2) For purposes of this subdivision, “transfers of funds or obligations” includes any direct or indirect transfer of harbor agency resources to the public financing authority, or the local governments that make up the public financing authority, except for any of the following if agreed to between the harbor agency and the public financing authority in writing:

(A) Harbor agency reimbursements of a public financing authority for its direct administrative costs of establishing the seaport infrastructure financing district.

(B) Public financing authority expenses for underwriting the bond issuance for the identified projects in the seaport infrastructure financing district.

(C) Any other administrative expenses or direct operating expenses that are incurred as the direct result of creating the seaport infrastructure financing district that are identified by both parties at the time of preliminary approval and in advance of the expense being incurred by the public financing authority.

(d) If a harbor agency votes to give preliminary approval to the proposal, it shall immediately forward its preliminary approval to the State Lands Commission for its consideration.


citation: HNC § 1714

text:
(a) Upon receipt of a preliminary approval from a harbor agency granted pursuant to Section 1713, the State Lands Commission shall consider the proposal and either grant or deny final approval.

(b) Prior to granting final approval the State Lands Commission shall do both of the following:

(1) Review the infrastructure financing plan prepared by the harbor agency pursuant to Section 1712.

(2) Review the findings of the harbor agency made in its preliminary approval.

(c) The State Lands Commission shall grant final approval only if it makes all of the following findings:

(1) The state’s interests in its tidelands and its ports and harbors are furthered by the funding of the seaport infrastructure financing district.

(2) The principal purposes of the seaport infrastructure financing district are to further port and harbor infrastructure.

(3) The execution of the financing section of the infrastructure finance plan is more likely than not to result in the outcomes proposed.

(4) No revenues shall be made available to local governments as a result of the approval of the seaport infrastructure financing district from state revenues, revenues derived from granted lands, or from ports or harbors created under this code, except as otherwise allowed under paragraph (2) of subdivision (c) of Section 1713.

(5) The harbor agency and the public financing authority participating in the seaport infrastructure financing district have each completed all procedural requirements, financial due diligence, and made all findings required by this chapter and Chapter 2.99 (commencing with Section 53398.50) of Part 1 of Division 2 of Title 5 of the Government Code.

(6) All of the projects and uses proposed in the seaport infrastructure financing district are consistent with the state tidelands trust and the conditions of any grants, if applicable, and the statewide interests in the operation of harbors and ports.

(7) No agreements by the harbor agency that may control the discretion of the harbor agency to maintain its port or harbor operations or to cede any such control to the discretion of a third party were made as a condition of participation in the seaport infrastructure financing district.

(d) If the State Lands Commission gives final approval to the proposal, it shall immediately forward its approval to the public financing authority for further action pursuant to subdivision (c) of Section 53398.80.5 of the Government Code.

(e) The State Lands Commission shall be reimbursed by the harbor agency for its direct administrative costs of considering a seaport infrastructure financing district proposal under this section from the proceeds of the bonds issued, if any, for the identified projects in the seaport infrastructure financing district.


citation: HNC § 1715

text:
(a) Except as provided in subdivision (b), Chapter 2.99 (commencing with Section 53398.50) of Part 1 of Division 2 of Title 5 of the Government Code shall apply to this chapter.

(b) To the extent that any provision of this chapter conflicts with any provision of Chapter 2.99 (commencing with Section 53398.50) of Part 1 of Division 2 of Title 5 of the Government Code with respect to a seaport infrastructure financing district, this chapter shall prevail.


citation: HNC § 1716

text: All permanent fixtures and capital improvements to the real property of a harbor agency that administers public trust tidelands made pursuant to a seaport infrastructure district’s approved infrastructure financing plan shall be a trust asset once completed. This provision does not apply to fixtures and improvements otherwise agreed as nonpermanent in a lease between the harbor agency and a private tenant.


citation: HNC § 1717

text: If a harbor agency administering granted public trust property is a department of a local governmental body, any negotiations between the two entities with respect to any infrastructure financing, operations, or any other activity requiring action by the harbor agency shall be undertaken at arm’s length in recognition of the duties of the harbor agency to effectuate statewide interests.


citation: HNC § 1718

text:
(a) Pursuant to Section 6009 of the Public Resources Code, the State Lands Commission shall retain absolute discretion over the determination of whether or not investment of local resources in port or harbor infrastructure, the actions of a harbor agency, or any other action taken by a seaport infrastructure financing district is consistent with the state’s interests in its tidelands and submerged lands. Nothing in this chapter, including a finding made pursuant to Section 1714, or Chapter 2.99 (commencing with Section 53398.50) of Part 1 of Division 2 of Title 5 of the Government Code, shall preclude the State Lands Commission from enforcing the state’s interests in its tidelands.

(b) Pursuant to Section 6009.1 of the Public Resources Code, a harbor agency that manages granted state tidelands retains its status as a trustee whether or not it is located within a seaport infrastructure financing district. Nothing in this chapter, including a finding made pursuant to Section 1714, or Chapter 2.99 (commencing with Section 53398.50) of Part 1 of Division 2 of Title 5 of the Government Code, shall preclude the harbor agency from conducting its duties as a trustee of state tidelands.

(c) Nothing in this chapter or in Chapter 2.99 (commencing with Section 53398.50) of Part 1 of Division 2 of Title 5 of the Government Code grants any authority to any public financing authority, or the local governments that compose the public finance authority, in any manner whatsoever to manage, direct, control, or exercise jurisdiction over a harbor agency and its management of port or harbor infrastructure.


citation: HNC § 1719

text: This chapter shall not apply to the Stockton Port District, as established pursuant to Part 4 (commencing with Section 6200) of Division 8, or to a river port district established pursuant to Part 6 (commencing with Section 6800) of Division 8.


citation: HNC § 1720

text: Any public agency with authority to approve or deny port projects that result in the filling of subtidal habitats within the ocean ports of California or habitats in the water of inland ports of California shall approve, as mitigation for those fill projects, any subtidal or in-water mitigation project proposed by the port authority that the public agency determines provides appropriate and adequate mitigation for the adverse impacts on the affected subtidal or in-water habitat in a manner consistent with other law that is then existing.

history: (History: Added by Stats. 1993, Ch. 752, Sec. 2. Effective January 1, 1994.)

chapter: 1. Port Facility Construction

path: 6. HARBORS AND PORTS > 1. Port Facility Construction


citation: HNC § 1730

text:
(a) For purposes of this section, “council” means the California Marine and Intermodal Transportation System Advisory Council, a regional subunit of the Marine Transportation System National Advisory Council chartered by the federal Secretary of Transportation under the Federal Advisory Committee Act (Public Law 92-463).

(b) The council is requested to do all of the following:

(1) Meet, hold public hearings, and compile data on issues that include, but need not be limited to, all of the following:

(A) The projected growth of each maritime port in the state.

(B) The costs and benefits of developing a coordinated state program to obtain federal funding for maritime port growth, security, and congestion relief.

(C) Impacts of maritime port growth on the state’s transportation system.

(D) Air pollution caused by movement of goods through the state’s maritime ports, and proposed methods of mitigating or alleviating that pollution.

(E) Maritime port security, including, but not limited to, training, readiness, certification of port personnel, exercise planning and conduct, and critical marine transportation system infrastructure protection.

(F) A statewide plan for continuing operation of maritime ports in cooperation with the United States Coast Guard, the federal Department of Homeland Security, the California Emergency Management Agency, and the California National Guard, consistent with the state’s emergency management system and the national emergency management system, in the event of a major incident or disruption of port operations in one or more of the state’s maritime ports.

(G) State marine transportation policy, legislation, and planning; regional infrastructure project funding; competitiveness; environmental impacts; port safety and security; and any other matters affecting the marine transportation system of the United States within, or affecting, the state.

(2) Identify all state agencies that are involved with the development, planning, or coordination of maritime ports in the state.

(3) Identify other states that have a statewide port master plan and determine whether that plan has assisted those states in improving their maritime ports.

(4) Compile all information obtained pursuant to paragraphs (1) to (3), inclusive, and submit its findings in a report to the Legislature not later than January 1, 2006. The report should include, but need not be limited to, recommendations on methods to better manage the growth of maritime ports and address the environmental impacts of moving goods through those ports.

(c) The activities of the council pursuant to this section shall not be funded with appropriations from the General Fund.

history: (History: Added by renumbering Section 1760 by Stats. 2011, Ch. 427, Sec. 3. (SB 739) Effective January 1, 2012.)


citation: HNC § 1740

text:
The Legislature hereby finds and declares all of the following:

(a) The Ports of Long Beach, Los Angeles, and Oakland operate in unique communities, environments, and markets that require infrastructure improvements and air pollution reduction measures tailored to the nature and degree of need in each port of each community.

(b) There is a need to mitigate the enormous burden imposed on the highway transportation system serving the Ports of Long Beach, Los Angeles, and Oakland by the overland movement of container cargo shipped to and from those ports.

(c) The operations at the ports, including the movement of locomotives, ships, and trucks that move cargo containers to and from the ports, cause air pollution that requires mitigation. This pollution contributes to the thousands of premature deaths and billions of dollars of health costs each year attributable to goods movement pollution in California.

history: (History: Added by Stats. 2011, Ch. 427, Sec. 2. (SB 739) Effective January 1, 2012.)

path: 6. HARBORS AND PORTS > 2. Port Congestion Relief and Port Mitigation Relief


citation: HNC § 1750

text:
(a) Beginning January 1, 2012, the Port of Long Beach shall assess its infrastructure and air quality improvement needs.

(b) The port, when assessing infrastructure projects, shall consult with the Southern California Association of Governments on projects that improve the efficiency of cargo movement and reduce congestion impacts associated with the movement of cargo to and from the port through the southern California region. The port shall identify any project lists and provide any updated information for the projects on those lists. In the assessment, the port, at a minimum, shall identify the projects, funding source or possible funding source, and estimated timelines for completion.

(c) The port, when assessing air quality projects, shall consult with the South Coast Air Quality Management District on projects that reduce pollution associated with the movement of cargo to and from the port through the southern California region, including, but not limited to, projects that reduce pollution from trucks, cargo handling equipment, locomotives, and ships that move cargo within and to and from the port. The port shall identify any project lists, such as the Goods Movement Emission Reduction Plan or the San Pedro Bay Ports Clean Air Action Plan, and provide updated information for the projects on those lists, where feasible. In the assessment, the port, at a minimum, shall identify the projects, funding source or possible funding source, and estimated timelines for implementation.

(d) On or before July 1, 2012, the port shall provide this assessment to the Assembly Committee on Natural Resources, Assembly Committee on Transportation, Senate Committee on Environmental Quality, and Senate Committee on Transportation and Housing. The report shall include, but not be limited to, an assessment of total costs, including updating cost estimates from previous reports or project lists, for the infrastructure and air quality improvements, as well as identifying funding for projects that may have a source of funding and identifying possible funding options for projects without a funding source.

(1) The requirement for submitting a report imposed under this subdivision is inoperative on January 1, 2016, pursuant to Section 10231.5 of the Government Code.

(2) A report to be submitted pursuant to this subdivision shall be submitted in compliance with Section 9795 of the Government Code.

chapter: 2. Port Congestion Relief and Port Mitigation Relief


citation: HNC § 1760

text:
(a) Beginning January 1, 2012, the Port of Los Angeles shall assess its infrastructure and air quality improvement needs.

(b) The port, when assessing infrastructure projects, shall consult with the Southern California Association of Governments on projects that improve the efficiency of cargo movement and reduce congestion impacts associated with the movement of cargo to and from the port through the southern California region. The port shall identify any project lists and provide any updated information for the projects on those lists. In the assessment, the port, at a minimum, shall identify the projects, funding source or possible funding source, and estimated timelines for completion.

(c) The port, when assessing air quality projects, shall consult with the South Coast Air Quality Management District on projects that reduce pollution associated with the movement of cargo to and from the port through the southern California region, including, but not limited to, projects that reduce pollution from trucks, cargo handling equipment, locomotives, and ships that move cargo within and to and from the port. The port shall identify any project lists, such as the Goods Movement Emission Reduction Plan or the San Pedro Bay Ports Clean Air Action Plan, and provide updated information for the projects on those lists, where feasible. In the assessment, the port, at a minimum, shall identify the projects, funding source or possible funding source, and estimated timelines for implementation.

(d) On or before July 1, 2012, the port shall provide this assessment to the Assembly Committee on Natural Resources, Assembly Committee on Transportation, Senate Committee on Environmental Quality, and Senate Committee on Transportation and Housing and shall include, but not be limited to, an assessment of total costs, including updating cost estimates from previous reports or project lists, for the infrastructure and air quality improvements, as well as identifying funding for projects that may have a source of funding and identifying possible funding options for projects without a funding source.

(1) The requirement for submitting a report imposed under this subdivision is inoperative on July 1, 2016, pursuant to Section 10231.5 of the Government Code.

(2) A report to be submitted pursuant to this subdivision shall be submitted in compliance with Section 9795 of the Government Code.


citation: HNC § 1770

text:
(a) Beginning January 1, 2012, the Port of Oakland shall assess its infrastructure and air quality improvement needs.

(b) The port, when assessing infrastructure projects, shall consult with the Metropolitan Transportation Commission on projects that improve the efficiency of cargo movement and reduce congestion impacts associated with the movement of cargo to and from the port through the northern California region. The port shall identify any project lists and provide any updated information for the projects on those lists. In the assessment, the port, at a minimum, shall identify the projects, funding source or possible funding source, and estimated timelines for completion.

(c) The port, when assessing air quality projects, shall consult with the Bay Area Air Quality Management District on projects that reduce pollution associated with the movement of cargo to and from the port through the northern California region, including, but not limited to, projects that reduce pollution from trucks, cargo handling equipment, locomotives, and ships that move cargo within and to and from the port. The port shall identify any project lists, such as the Goods Movement Emission Reduction Plan, and provide updated information for the projects on those lists, where feasible. In the assessment, the port, at a minimum, shall identify the projects, funding source or possible funding source, and estimated timelines for implementation.

(d) On or before July 1, 2012, the port shall provide this assessment to the Assembly Committee on Natural Resources, Assembly Committee on Transportation, Senate Committee on Environmental Quality, and Senate Committee on Transportation and Housing. The report shall include, but not be limited to, an assessment of total costs, including updating cost estimates from previous reports or project lists, for the infrastructure and air quality improvements, as well as identifying funding for projects that may have a source of funding and identifying possible funding options for projects without a funding source.

(1) The requirement for submitting a report imposed under this subdivision is inoperative on January 1, 2016, pursuant to Section 10231.5 of the Government Code.

(2) A report to be submitted pursuant to this subdivision shall be submitted in compliance with Section 9795 of the Government Code.


citation: HNC § 3900

text: This part may be cited as the Harbor Development Bond Law of 1958.

history: (History: Added by Stats. 1958, 1st Ex. Sess., Ch. 103.)

chapter: 1. General Provisions

path: 6. HARBORS AND PORTS > 1. General Provisions


citation: HNC § 3901

text:
As used in this chapter the following words shall have the following meanings:

(a) “Committee” means the Harbor Improvement Bond Committee.

(b) “Authority” means the San Francisco Port Authority, as the same is constituted by Part 1 (commencing at Section 1690) of Division 6 of the Harbors and Navigation Code, or any successor thereof.

(c) “Commission” means the Harbors and Watercraft Commission, as the same is constituted by Division 1 (commencing with Section 30) of this code, or any successor thereof.

(d) “San Francisco Harbor Improvement Fund” means the fund now existing in the State Treasury and created by Section 1706.

history: (History: Amended by Stats. 1966, 1st Ex. Sess., Ch. 61.)


citation: HNC § 3902

text:
The following funds are created in the State Treasury for the purposes of this part:

(a) Harbor Bond Sinking Fund.

(b) Fifth San Francisco Seawall Fund.

(c) Small Craft Harbor Bond Fund.

(d) Small Craft Harbor Improvement Fund.


citation: HNC § 3903

text: There is in the State Government the Harbor Improvement Bond Committee. The committee shall consist of the State Controller, the State Treasurer, and the Director of Finance. The Director of Finance shall be the chairman of the committee. A majority of the members of the committee shall be empowered to act for the committee. The committee shall hold meetings at such times and places as the chairman shall direct or upon the written request of any two members of the board.


citation: HNC § 3904

text: The members of the committee shall not receive additional compensation for their services under this part.


citation: HNC § 3905

text: For the purpose of creating funds to provide for the construction, improvement and development of harbors in this State as provided in this part, the Harbor Improvement Bond Committee is authorized and empowered to create a debt or debts, liability or liabilities, of the State of California, in the manner and to the extent hereinafter provided, but not otherwise, nor in excess thereof.


citation: HNC § 3906

text:
After adoption of any resolution by the committee, provided for in Section 3907, the State Treasurer shall arrange for the preparation of the requisite number of suitable bonds in accordance with the specifications contained in such resolution. The aggregate par value of all bonds issued under this part shall not exceed the sum of sixty million dollars ($60,000,000).

The authorization to issue bonds as herein set forth shall be a continuing authorization until all of said bonds shall have been issued and sold, but no bonds shall be issued or sold pursuant to this part subsequent to July 1, 1999.


citation: HNC § 3907

text:
Whenever the authority pursuant to Section 3940 or the commission pursuant to Section 3950 determines by resolution that a bond issue under this part is necessary or desirable in order to make any of the expenditures authorized by this part, and so certifies to the committee, then the said committee shall approve or disapprove said resolution, and if it approves said resolution, the committee shall adopt a resolution authorizing and directing the State Treasurer to arrange for the preparation of the requisite number of suitable bonds and shall specify as to such bonds then to be sold:

(a) The aggregate number, aggregate par value, demoninations and the date of the bonds to be then sold. The bonds may be issued in series or divisions of the total authorized issue. Such demoninations shall be in the sum of one thousand dollars ($1,000), or multiples thereof. The date appearing on the bonds or series or division shall be deemed to be the date of issuance of such series or division for all purposes of this part, irrespective of the actual date of delivery of such bonds of such series or division and the payment of the purchase price thereof.

(b) The dates of maturity, and the amount and numercial sequence of the bonds maturing at each date of maturity, which amounts need not be equal, but which dates shall be at annual or semiannual intervals, and the first of which dates of maturity shall be not more than five years, and the last of which dates of maturity shall be not more than 50 years, after the date of the bonds or any series or division thereof.

(c) Whether or not the bonds are to be subject to redemption at the option of the authority or the commission, as the case may be, prior to maturity, and, if so, the provisions for such redemption, the manner of the call thereof, and the price or prices at which the bonds shall be subject to redemption.

(d) The annual rate, or rates, of interest which the bonds to be issued shall bear, which rate, or rates, at the discretion of the committee, may be determined by the bidder at the time of sale of said bonds, not to exceed 6 percent per annum. Such interest may be payable at such periods as may be fixed by the committee.

(e) The technical form and language of the bonds and interest coupons.

(f) Whether or not the right is reserved to make delivery in the form of temporary or interim bonds, certificates, or receipts, exchangeable for definitive bonds when executed and available for delivery, and if such right is reserved the denominations and form of such temporary securities.

(g) Whether or not the bonds are to be subject to registration, the demoninations of registered bonds and the provisions, if any, for the interexchange of bonds of different denominations, the issuance of new bonds of different denominations in lieu of, or in exchange for, bonds of a like aggregate principal amount but of different denominations and the form and all of the terms and conditions of such registration and of such exchange. If such registration is provided for, all of the provisions of this part with reference to the payment of bonds and interest coupons shall be subject to the terms and conditions of such registration with respect to the payment of registered bonds and the interest thereon.

(h) All other terms and conditions of the bonds and of the execution, issuance and sale thereof, which shall be consistent with all of the provisions of this part.

(i) The committee may authorize the State Treasurer to sell all or any part of the bonds herein authorized at such time or times as may be fixed by the State Treasurer.


citation: HNC § 3908

text: The aggregate par value of all bonds issued under this part at the instance of the authority shall not exceed fifty million dollars ($50,000,000) and the aggregate par value of all bonds issued under this part at the instance of the commission shall not exceed ten million dollars ($10,000,000).


citation: HNC § 3909

text: All bonds issued under this part shall bear the facsimile signature of the Governor and the facsimile countersignature of the Controller and shall be endorsed by the State Treasurer by facsimile signature and the bonds shall be signed, countersigned and endorsed by the officers who shall be in office on the date of the adoption of the resolution of the committee, and each of the bonds shall bear a facsimile of the Great Seal of the State of California. Interest coupons attached to each bond shall bear the facsimile signature of the State Treasurer who shall be in office on the date of the adoption of the resolution of the committee. The bonds and coupons so signed, countersigned, endorsed and sealed, when sold and delivered, shall be and constitute a valid and binding obligation upon the State of California, although the sale or delivery thereof be made at a date or dates upon which the officers having signed, countersigned and endorsed the bonds, or any or either of such officers, shall have ceased to be the incumbents of the offices held by them at the time of signing, countersigning, or endorsing such bonds. Each bond issued under this part shall contain a clause or clauses stating that interest shall cease to accrue thereon from and after the date of maturity thereof, and referring to the resolution of the committee, by virtue of which the bond is issued.


citation: HNC § 3910

text:
All bonds herein authorized, which shall have been duly sold and delivered as herein provided, shall constitute valid and legally binding general obligations of the State of California, and the full faith and credit of the State of California is hereby pledged for the punctual payment of both principal and interest thereof. There is hereby appropriated from any available moneys in the account established in the Harbor Bond Sinking Fund pursuant to subdivision (a) of Section 3918.5, or if such moneys are insufficient, then from the General Fund of the State of California, such sum annually as will be necessary to pay the principal of and interest on the bonds issued and sold at the instance of the authority pursuant to the provisions of this part, as such principal and interest become due and payable. There is hereby appropriated from any available moneys in the account established in the Harbor Bond Sinking Fund pursuant to subdivision (b) of Section 3918.5, or if such moneys are insufficient then from the General Fund of the State of California, such sum annually as will be necessary to pay the principal of and interest on the bonds issued and sold at the instance of the commission pursuant to the provisions of this part, as such principal and interest become due and payable. Any sums withdrawn from the General Fund for the payment of principal of or interest on the bonds shall be returned to the General Fund as soon as moneys are available for that purpose in the Harbor Bond Sinking Fund account for the benefit of which the appropriation had been made from the General Fund, together with interest thereon at the same rate as, at the time of appropriation, is earned by short term current investments through the pooled money investment account, such earnings to be determined by the Controller.

There shall be collected annually in the same manner and at the same time as other state revenue is collected such a sum, in addition to the ordinary revenues of the State, as shall be required to pay the principal and interest on said bonds as herein provided, and it is hereby made the duty of all officers charged by law with any duty in regard to the collections of said revenue, to do and perform each and every act which shall be necessary to collect such additional sum.


citation: HNC § 3911

text: In determining the dates of maturity of the bonds, and the amount thereof to mature at each date of maturity, the committee shall be guided, so far as it may deem to be practicable, by the amounts of the revenue estimated to accrue to the Harbor Bond Sinking Fund. The committee shall fix and determine the dates and amounts of such maturities in such manner that, together with the dates and amounts of interest payments on the bonds, they shall coincide, as nearly as it may deem to be practicable, with the dates and amounts of such estimated revenue.