California 2021 2021-2022 Regular Session

California Assembly Bill AB1645 Amended / Bill

Filed 06/14/2022

                    Amended IN  Senate  June 14, 2022 Amended IN  Senate  June 02, 2022 Amended IN  Assembly  February 14, 2022 CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Assembly Bill No. 1645Introduced by Assembly Member Petrie-NorrisJanuary 12, 2022An act to amend Section 5080.18 of the Public Resources Code, relating to state parks, and declaring the urgency thereof, to take effect immediately.LEGISLATIVE COUNSEL'S DIGESTAB 1645, as amended, Petrie-Norris. State parks: concession contracts: Crystal Cove State Park.Existing law authorizes the Department of Parks and Recreation to enter into contracts with natural persons, corporations, partnerships, and associations for the construction, maintenance, and operation of concessions within units of the state park system. Existing law requires those concession contracts to contain certain specified provisions, including a provision that the maximum term shall be 10, 20, or 50 years depending on certain conditions. Existing law sets the maximum term at 50 years if the concession contract is for the construction, development, and operation of multiple-unit lodging facilities, as specified.This bill would authorize the department and Crystal Cove Management Company, the concessionaire at Crystal Cove State Park as of January 1, 2022, to, by mutual agreement, amend the departments concession agreement with Crystal Cove Management Company to extend the term of the agreement to December 31, 2077, if the Director of Parks and Recreation determines that this term is necessary to allow the Crystal Cove Management Company to qualify for federal historic tax credits and it is in the best interests of the state. to negotiate the term of the existing concession contract with the Crystal Cove Management Company to extend the term of that contract up to an additional 20 years, if the Director of Parks and Recreation determines that this term extension is necessary to allow Crystal Cove Management Company to qualify and complete requirements for federal historic rehabilitation tax credits, as provided.This bill would make legislative findings and declarations as to the necessity of a special statute for Crystal Cove State Park.This bill would declare that it is to take effect immediately as an urgency statute.Digest Key Vote: 2/3  Appropriation: NO  Fiscal Committee: YES  Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 5080.18 of the Public Resources Code is amended to read:5080.18. A concession contract entered into pursuant to this article shall contain, but is not limited to, all of the following provisions:(a) (1) The maximum term shall be 10 years, except that a term of more than 10 years may be provided if the director determines that the longer term is necessary to allow the concessionaire to amortize improvements made by the concessionaire, to facilitate the full utilization of a structure that is scheduled by the department for replacement or redevelopment, or to serve the best interests of the state. The term shall not exceed 20 years without specific authorization by statute. Except as provided in Section 5080.16, all renewals of concession contracts pursuant to this paragraph shall be subject to competitive bidding requirements.(2) The maximum term shall be 50 years if the concession contract is for the construction, development, and operation of multiple-unit lodging facilities equipped with full amenities, including plumbing and electrical, that is anticipated to exceed an initial cost of one million five hundred thousand dollars ($1,500,000) in capital improvements in order to begin operation. The term for a concession contract described in this paragraph shall not exceed 50 years without specific authorization by statute. Except as provided in Section 5080.16, all renewals of concession contracts pursuant to this paragraph shall be subject to competitive bidding requirements.(3) Notwithstanding paragraph (1), a concession agreement at Will Rogers State Beach may be awarded for up to 50 years in length without specific authorization by statute, upon approval by the director and pursuant to a determination by the director that the longer term is necessary to allow the concessionaire to amortize improvements made by the concessionaire that are anticipated to exceed one million five hundred thousand dollars ($1,500,000) in capital improvements.(4) Notwithstanding paragraph (2), the department and Crystal Cove Management Company, the concessionaire at Crystal Cove State Park as of January 1, 2022, may, by mutual agreement, amend the departments concession agreement with Crystal Cove Management Company to extend the term of the agreement to December 31, 2077, if the director determines that this term is necessary to allow the Crystal Cove Management Company to qualify for federal historic tax credits and it is in the best interests of the state. may negotiate the term of the existing concession contract with the Crystal Cove Management Company to extend the term of that contract up to an additional 20 years, if the director determines that this term extension is necessary to allow Crystal Cove Management Company to qualify and complete requirements for rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for the rehabilitation of historic structures to facilitate and support the Phase III restoration of the 17 historic cottages at Crystal Cove State Park. This rehabilitation shall include the construction, development, and operation of multiple-unit lodging facilities equipped with full amenities, including plumbing and electrical. Negotiated terms pursuant to this subdivision shall be based on the value of the terms extension, and may include, but are not limited to, an increased rental rate as consideration for the extended term. All moneys invested by third parties in connection with receipt of these rehabilitation tax credits shall be used for the construction, development, and operation of the Phase III restoration of the 17 historic cottages at Crystal Cove State Park.(b) Every concessionaire shall submit to the department all sales and use tax returns and, at the request of the department, provide an annual financial statement prepared or audited by a certified public accountant.(c) Every concession shall be subject to audit by the department.(d) A performance bond shall be obtained and maintained by the concessionaire. In lieu of a bond, the concessionaire may substitute a deposit of funds acceptable to the department. Interest on the deposit shall accrue to the concessionaire.(e) The concessionaire shall obtain and maintain in force at all times a policy of liability insurance in an amount adequate for the nature and extent of public usage of the concession and naming the state as an additional insured.(f) Any discrimination by the concessionaire or the concessionaires agents or employees against any person because of the marital status or ancestry of that person or any characteristic listed or defined in Section 11135 of the Government Code is prohibited.(g) To be effective, any modification of the concession contract shall be evidenced in writing.(h) Whenever a concession contract is terminated for substantial breach, there shall be no obligation on the part of the state to purchase any improvements made by the concessionaire.(i) If a concessionaire makes a legal claim or assertion to have a trademark or service mark interest in violation of subdivision (a) of Section 5080.22, the concessionaire shall forfeit the right to bid on future state park concession contracts to the extent authorized by federal law.(j) If a current or former concessionaire in bad faith files a federal or state trademark or service mark application for a trademark or service mark that incorporates or implies an association with a state park venue, or its historical, cultural, or recreational resources, and the state files a successful opposition or cancellation with respect to that trademark or service mark application, the concessionaire shall be responsible for the states attorney fees, costs, and expenses associated with that opposition or cancellation.SEC. 2. The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique need to access federal historic rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for improvements to Crystal Cove State Park. SEC. 3. This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the California Constitution and shall go into immediate effect. The facts constituting the necessity are:In order to access federal historic rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for improvements to Crystal Cove State Park, it is necessary that this act take effect immediately. 

 Amended IN  Senate  June 14, 2022 Amended IN  Senate  June 02, 2022 Amended IN  Assembly  February 14, 2022 CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Assembly Bill No. 1645Introduced by Assembly Member Petrie-NorrisJanuary 12, 2022An act to amend Section 5080.18 of the Public Resources Code, relating to state parks, and declaring the urgency thereof, to take effect immediately.LEGISLATIVE COUNSEL'S DIGESTAB 1645, as amended, Petrie-Norris. State parks: concession contracts: Crystal Cove State Park.Existing law authorizes the Department of Parks and Recreation to enter into contracts with natural persons, corporations, partnerships, and associations for the construction, maintenance, and operation of concessions within units of the state park system. Existing law requires those concession contracts to contain certain specified provisions, including a provision that the maximum term shall be 10, 20, or 50 years depending on certain conditions. Existing law sets the maximum term at 50 years if the concession contract is for the construction, development, and operation of multiple-unit lodging facilities, as specified.This bill would authorize the department and Crystal Cove Management Company, the concessionaire at Crystal Cove State Park as of January 1, 2022, to, by mutual agreement, amend the departments concession agreement with Crystal Cove Management Company to extend the term of the agreement to December 31, 2077, if the Director of Parks and Recreation determines that this term is necessary to allow the Crystal Cove Management Company to qualify for federal historic tax credits and it is in the best interests of the state. to negotiate the term of the existing concession contract with the Crystal Cove Management Company to extend the term of that contract up to an additional 20 years, if the Director of Parks and Recreation determines that this term extension is necessary to allow Crystal Cove Management Company to qualify and complete requirements for federal historic rehabilitation tax credits, as provided.This bill would make legislative findings and declarations as to the necessity of a special statute for Crystal Cove State Park.This bill would declare that it is to take effect immediately as an urgency statute.Digest Key Vote: 2/3  Appropriation: NO  Fiscal Committee: YES  Local Program: NO 

 Amended IN  Senate  June 14, 2022 Amended IN  Senate  June 02, 2022 Amended IN  Assembly  February 14, 2022

Amended IN  Senate  June 14, 2022
Amended IN  Senate  June 02, 2022
Amended IN  Assembly  February 14, 2022

 CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION

 Assembly Bill 

No. 1645

Introduced by Assembly Member Petrie-NorrisJanuary 12, 2022

Introduced by Assembly Member Petrie-Norris
January 12, 2022

An act to amend Section 5080.18 of the Public Resources Code, relating to state parks, and declaring the urgency thereof, to take effect immediately.

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

AB 1645, as amended, Petrie-Norris. State parks: concession contracts: Crystal Cove State Park.

Existing law authorizes the Department of Parks and Recreation to enter into contracts with natural persons, corporations, partnerships, and associations for the construction, maintenance, and operation of concessions within units of the state park system. Existing law requires those concession contracts to contain certain specified provisions, including a provision that the maximum term shall be 10, 20, or 50 years depending on certain conditions. Existing law sets the maximum term at 50 years if the concession contract is for the construction, development, and operation of multiple-unit lodging facilities, as specified.This bill would authorize the department and Crystal Cove Management Company, the concessionaire at Crystal Cove State Park as of January 1, 2022, to, by mutual agreement, amend the departments concession agreement with Crystal Cove Management Company to extend the term of the agreement to December 31, 2077, if the Director of Parks and Recreation determines that this term is necessary to allow the Crystal Cove Management Company to qualify for federal historic tax credits and it is in the best interests of the state. to negotiate the term of the existing concession contract with the Crystal Cove Management Company to extend the term of that contract up to an additional 20 years, if the Director of Parks and Recreation determines that this term extension is necessary to allow Crystal Cove Management Company to qualify and complete requirements for federal historic rehabilitation tax credits, as provided.This bill would make legislative findings and declarations as to the necessity of a special statute for Crystal Cove State Park.This bill would declare that it is to take effect immediately as an urgency statute.

Existing law authorizes the Department of Parks and Recreation to enter into contracts with natural persons, corporations, partnerships, and associations for the construction, maintenance, and operation of concessions within units of the state park system. Existing law requires those concession contracts to contain certain specified provisions, including a provision that the maximum term shall be 10, 20, or 50 years depending on certain conditions. Existing law sets the maximum term at 50 years if the concession contract is for the construction, development, and operation of multiple-unit lodging facilities, as specified.

This bill would authorize the department and Crystal Cove Management Company, the concessionaire at Crystal Cove State Park as of January 1, 2022, to, by mutual agreement, amend the departments concession agreement with Crystal Cove Management Company to extend the term of the agreement to December 31, 2077, if the Director of Parks and Recreation determines that this term is necessary to allow the Crystal Cove Management Company to qualify for federal historic tax credits and it is in the best interests of the state. to negotiate the term of the existing concession contract with the Crystal Cove Management Company to extend the term of that contract up to an additional 20 years, if the Director of Parks and Recreation determines that this term extension is necessary to allow Crystal Cove Management Company to qualify and complete requirements for federal historic rehabilitation tax credits, as provided.

This bill would make legislative findings and declarations as to the necessity of a special statute for Crystal Cove State Park.

This bill would declare that it is to take effect immediately as an urgency statute.

## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. Section 5080.18 of the Public Resources Code is amended to read:5080.18. A concession contract entered into pursuant to this article shall contain, but is not limited to, all of the following provisions:(a) (1) The maximum term shall be 10 years, except that a term of more than 10 years may be provided if the director determines that the longer term is necessary to allow the concessionaire to amortize improvements made by the concessionaire, to facilitate the full utilization of a structure that is scheduled by the department for replacement or redevelopment, or to serve the best interests of the state. The term shall not exceed 20 years without specific authorization by statute. Except as provided in Section 5080.16, all renewals of concession contracts pursuant to this paragraph shall be subject to competitive bidding requirements.(2) The maximum term shall be 50 years if the concession contract is for the construction, development, and operation of multiple-unit lodging facilities equipped with full amenities, including plumbing and electrical, that is anticipated to exceed an initial cost of one million five hundred thousand dollars ($1,500,000) in capital improvements in order to begin operation. The term for a concession contract described in this paragraph shall not exceed 50 years without specific authorization by statute. Except as provided in Section 5080.16, all renewals of concession contracts pursuant to this paragraph shall be subject to competitive bidding requirements.(3) Notwithstanding paragraph (1), a concession agreement at Will Rogers State Beach may be awarded for up to 50 years in length without specific authorization by statute, upon approval by the director and pursuant to a determination by the director that the longer term is necessary to allow the concessionaire to amortize improvements made by the concessionaire that are anticipated to exceed one million five hundred thousand dollars ($1,500,000) in capital improvements.(4) Notwithstanding paragraph (2), the department and Crystal Cove Management Company, the concessionaire at Crystal Cove State Park as of January 1, 2022, may, by mutual agreement, amend the departments concession agreement with Crystal Cove Management Company to extend the term of the agreement to December 31, 2077, if the director determines that this term is necessary to allow the Crystal Cove Management Company to qualify for federal historic tax credits and it is in the best interests of the state. may negotiate the term of the existing concession contract with the Crystal Cove Management Company to extend the term of that contract up to an additional 20 years, if the director determines that this term extension is necessary to allow Crystal Cove Management Company to qualify and complete requirements for rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for the rehabilitation of historic structures to facilitate and support the Phase III restoration of the 17 historic cottages at Crystal Cove State Park. This rehabilitation shall include the construction, development, and operation of multiple-unit lodging facilities equipped with full amenities, including plumbing and electrical. Negotiated terms pursuant to this subdivision shall be based on the value of the terms extension, and may include, but are not limited to, an increased rental rate as consideration for the extended term. All moneys invested by third parties in connection with receipt of these rehabilitation tax credits shall be used for the construction, development, and operation of the Phase III restoration of the 17 historic cottages at Crystal Cove State Park.(b) Every concessionaire shall submit to the department all sales and use tax returns and, at the request of the department, provide an annual financial statement prepared or audited by a certified public accountant.(c) Every concession shall be subject to audit by the department.(d) A performance bond shall be obtained and maintained by the concessionaire. In lieu of a bond, the concessionaire may substitute a deposit of funds acceptable to the department. Interest on the deposit shall accrue to the concessionaire.(e) The concessionaire shall obtain and maintain in force at all times a policy of liability insurance in an amount adequate for the nature and extent of public usage of the concession and naming the state as an additional insured.(f) Any discrimination by the concessionaire or the concessionaires agents or employees against any person because of the marital status or ancestry of that person or any characteristic listed or defined in Section 11135 of the Government Code is prohibited.(g) To be effective, any modification of the concession contract shall be evidenced in writing.(h) Whenever a concession contract is terminated for substantial breach, there shall be no obligation on the part of the state to purchase any improvements made by the concessionaire.(i) If a concessionaire makes a legal claim or assertion to have a trademark or service mark interest in violation of subdivision (a) of Section 5080.22, the concessionaire shall forfeit the right to bid on future state park concession contracts to the extent authorized by federal law.(j) If a current or former concessionaire in bad faith files a federal or state trademark or service mark application for a trademark or service mark that incorporates or implies an association with a state park venue, or its historical, cultural, or recreational resources, and the state files a successful opposition or cancellation with respect to that trademark or service mark application, the concessionaire shall be responsible for the states attorney fees, costs, and expenses associated with that opposition or cancellation.SEC. 2. The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique need to access federal historic rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for improvements to Crystal Cove State Park. SEC. 3. This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the California Constitution and shall go into immediate effect. The facts constituting the necessity are:In order to access federal historic rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for improvements to Crystal Cove State Park, it is necessary that this act take effect immediately. 

The people of the State of California do enact as follows:

## The people of the State of California do enact as follows:

SECTION 1. Section 5080.18 of the Public Resources Code is amended to read:5080.18. A concession contract entered into pursuant to this article shall contain, but is not limited to, all of the following provisions:(a) (1) The maximum term shall be 10 years, except that a term of more than 10 years may be provided if the director determines that the longer term is necessary to allow the concessionaire to amortize improvements made by the concessionaire, to facilitate the full utilization of a structure that is scheduled by the department for replacement or redevelopment, or to serve the best interests of the state. The term shall not exceed 20 years without specific authorization by statute. Except as provided in Section 5080.16, all renewals of concession contracts pursuant to this paragraph shall be subject to competitive bidding requirements.(2) The maximum term shall be 50 years if the concession contract is for the construction, development, and operation of multiple-unit lodging facilities equipped with full amenities, including plumbing and electrical, that is anticipated to exceed an initial cost of one million five hundred thousand dollars ($1,500,000) in capital improvements in order to begin operation. The term for a concession contract described in this paragraph shall not exceed 50 years without specific authorization by statute. Except as provided in Section 5080.16, all renewals of concession contracts pursuant to this paragraph shall be subject to competitive bidding requirements.(3) Notwithstanding paragraph (1), a concession agreement at Will Rogers State Beach may be awarded for up to 50 years in length without specific authorization by statute, upon approval by the director and pursuant to a determination by the director that the longer term is necessary to allow the concessionaire to amortize improvements made by the concessionaire that are anticipated to exceed one million five hundred thousand dollars ($1,500,000) in capital improvements.(4) Notwithstanding paragraph (2), the department and Crystal Cove Management Company, the concessionaire at Crystal Cove State Park as of January 1, 2022, may, by mutual agreement, amend the departments concession agreement with Crystal Cove Management Company to extend the term of the agreement to December 31, 2077, if the director determines that this term is necessary to allow the Crystal Cove Management Company to qualify for federal historic tax credits and it is in the best interests of the state. may negotiate the term of the existing concession contract with the Crystal Cove Management Company to extend the term of that contract up to an additional 20 years, if the director determines that this term extension is necessary to allow Crystal Cove Management Company to qualify and complete requirements for rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for the rehabilitation of historic structures to facilitate and support the Phase III restoration of the 17 historic cottages at Crystal Cove State Park. This rehabilitation shall include the construction, development, and operation of multiple-unit lodging facilities equipped with full amenities, including plumbing and electrical. Negotiated terms pursuant to this subdivision shall be based on the value of the terms extension, and may include, but are not limited to, an increased rental rate as consideration for the extended term. All moneys invested by third parties in connection with receipt of these rehabilitation tax credits shall be used for the construction, development, and operation of the Phase III restoration of the 17 historic cottages at Crystal Cove State Park.(b) Every concessionaire shall submit to the department all sales and use tax returns and, at the request of the department, provide an annual financial statement prepared or audited by a certified public accountant.(c) Every concession shall be subject to audit by the department.(d) A performance bond shall be obtained and maintained by the concessionaire. In lieu of a bond, the concessionaire may substitute a deposit of funds acceptable to the department. Interest on the deposit shall accrue to the concessionaire.(e) The concessionaire shall obtain and maintain in force at all times a policy of liability insurance in an amount adequate for the nature and extent of public usage of the concession and naming the state as an additional insured.(f) Any discrimination by the concessionaire or the concessionaires agents or employees against any person because of the marital status or ancestry of that person or any characteristic listed or defined in Section 11135 of the Government Code is prohibited.(g) To be effective, any modification of the concession contract shall be evidenced in writing.(h) Whenever a concession contract is terminated for substantial breach, there shall be no obligation on the part of the state to purchase any improvements made by the concessionaire.(i) If a concessionaire makes a legal claim or assertion to have a trademark or service mark interest in violation of subdivision (a) of Section 5080.22, the concessionaire shall forfeit the right to bid on future state park concession contracts to the extent authorized by federal law.(j) If a current or former concessionaire in bad faith files a federal or state trademark or service mark application for a trademark or service mark that incorporates or implies an association with a state park venue, or its historical, cultural, or recreational resources, and the state files a successful opposition or cancellation with respect to that trademark or service mark application, the concessionaire shall be responsible for the states attorney fees, costs, and expenses associated with that opposition or cancellation.

SECTION 1. Section 5080.18 of the Public Resources Code is amended to read:

### SECTION 1.

5080.18. A concession contract entered into pursuant to this article shall contain, but is not limited to, all of the following provisions:(a) (1) The maximum term shall be 10 years, except that a term of more than 10 years may be provided if the director determines that the longer term is necessary to allow the concessionaire to amortize improvements made by the concessionaire, to facilitate the full utilization of a structure that is scheduled by the department for replacement or redevelopment, or to serve the best interests of the state. The term shall not exceed 20 years without specific authorization by statute. Except as provided in Section 5080.16, all renewals of concession contracts pursuant to this paragraph shall be subject to competitive bidding requirements.(2) The maximum term shall be 50 years if the concession contract is for the construction, development, and operation of multiple-unit lodging facilities equipped with full amenities, including plumbing and electrical, that is anticipated to exceed an initial cost of one million five hundred thousand dollars ($1,500,000) in capital improvements in order to begin operation. The term for a concession contract described in this paragraph shall not exceed 50 years without specific authorization by statute. Except as provided in Section 5080.16, all renewals of concession contracts pursuant to this paragraph shall be subject to competitive bidding requirements.(3) Notwithstanding paragraph (1), a concession agreement at Will Rogers State Beach may be awarded for up to 50 years in length without specific authorization by statute, upon approval by the director and pursuant to a determination by the director that the longer term is necessary to allow the concessionaire to amortize improvements made by the concessionaire that are anticipated to exceed one million five hundred thousand dollars ($1,500,000) in capital improvements.(4) Notwithstanding paragraph (2), the department and Crystal Cove Management Company, the concessionaire at Crystal Cove State Park as of January 1, 2022, may, by mutual agreement, amend the departments concession agreement with Crystal Cove Management Company to extend the term of the agreement to December 31, 2077, if the director determines that this term is necessary to allow the Crystal Cove Management Company to qualify for federal historic tax credits and it is in the best interests of the state. may negotiate the term of the existing concession contract with the Crystal Cove Management Company to extend the term of that contract up to an additional 20 years, if the director determines that this term extension is necessary to allow Crystal Cove Management Company to qualify and complete requirements for rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for the rehabilitation of historic structures to facilitate and support the Phase III restoration of the 17 historic cottages at Crystal Cove State Park. This rehabilitation shall include the construction, development, and operation of multiple-unit lodging facilities equipped with full amenities, including plumbing and electrical. Negotiated terms pursuant to this subdivision shall be based on the value of the terms extension, and may include, but are not limited to, an increased rental rate as consideration for the extended term. All moneys invested by third parties in connection with receipt of these rehabilitation tax credits shall be used for the construction, development, and operation of the Phase III restoration of the 17 historic cottages at Crystal Cove State Park.(b) Every concessionaire shall submit to the department all sales and use tax returns and, at the request of the department, provide an annual financial statement prepared or audited by a certified public accountant.(c) Every concession shall be subject to audit by the department.(d) A performance bond shall be obtained and maintained by the concessionaire. In lieu of a bond, the concessionaire may substitute a deposit of funds acceptable to the department. Interest on the deposit shall accrue to the concessionaire.(e) The concessionaire shall obtain and maintain in force at all times a policy of liability insurance in an amount adequate for the nature and extent of public usage of the concession and naming the state as an additional insured.(f) Any discrimination by the concessionaire or the concessionaires agents or employees against any person because of the marital status or ancestry of that person or any characteristic listed or defined in Section 11135 of the Government Code is prohibited.(g) To be effective, any modification of the concession contract shall be evidenced in writing.(h) Whenever a concession contract is terminated for substantial breach, there shall be no obligation on the part of the state to purchase any improvements made by the concessionaire.(i) If a concessionaire makes a legal claim or assertion to have a trademark or service mark interest in violation of subdivision (a) of Section 5080.22, the concessionaire shall forfeit the right to bid on future state park concession contracts to the extent authorized by federal law.(j) If a current or former concessionaire in bad faith files a federal or state trademark or service mark application for a trademark or service mark that incorporates or implies an association with a state park venue, or its historical, cultural, or recreational resources, and the state files a successful opposition or cancellation with respect to that trademark or service mark application, the concessionaire shall be responsible for the states attorney fees, costs, and expenses associated with that opposition or cancellation.

5080.18. A concession contract entered into pursuant to this article shall contain, but is not limited to, all of the following provisions:(a) (1) The maximum term shall be 10 years, except that a term of more than 10 years may be provided if the director determines that the longer term is necessary to allow the concessionaire to amortize improvements made by the concessionaire, to facilitate the full utilization of a structure that is scheduled by the department for replacement or redevelopment, or to serve the best interests of the state. The term shall not exceed 20 years without specific authorization by statute. Except as provided in Section 5080.16, all renewals of concession contracts pursuant to this paragraph shall be subject to competitive bidding requirements.(2) The maximum term shall be 50 years if the concession contract is for the construction, development, and operation of multiple-unit lodging facilities equipped with full amenities, including plumbing and electrical, that is anticipated to exceed an initial cost of one million five hundred thousand dollars ($1,500,000) in capital improvements in order to begin operation. The term for a concession contract described in this paragraph shall not exceed 50 years without specific authorization by statute. Except as provided in Section 5080.16, all renewals of concession contracts pursuant to this paragraph shall be subject to competitive bidding requirements.(3) Notwithstanding paragraph (1), a concession agreement at Will Rogers State Beach may be awarded for up to 50 years in length without specific authorization by statute, upon approval by the director and pursuant to a determination by the director that the longer term is necessary to allow the concessionaire to amortize improvements made by the concessionaire that are anticipated to exceed one million five hundred thousand dollars ($1,500,000) in capital improvements.(4) Notwithstanding paragraph (2), the department and Crystal Cove Management Company, the concessionaire at Crystal Cove State Park as of January 1, 2022, may, by mutual agreement, amend the departments concession agreement with Crystal Cove Management Company to extend the term of the agreement to December 31, 2077, if the director determines that this term is necessary to allow the Crystal Cove Management Company to qualify for federal historic tax credits and it is in the best interests of the state. may negotiate the term of the existing concession contract with the Crystal Cove Management Company to extend the term of that contract up to an additional 20 years, if the director determines that this term extension is necessary to allow Crystal Cove Management Company to qualify and complete requirements for rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for the rehabilitation of historic structures to facilitate and support the Phase III restoration of the 17 historic cottages at Crystal Cove State Park. This rehabilitation shall include the construction, development, and operation of multiple-unit lodging facilities equipped with full amenities, including plumbing and electrical. Negotiated terms pursuant to this subdivision shall be based on the value of the terms extension, and may include, but are not limited to, an increased rental rate as consideration for the extended term. All moneys invested by third parties in connection with receipt of these rehabilitation tax credits shall be used for the construction, development, and operation of the Phase III restoration of the 17 historic cottages at Crystal Cove State Park.(b) Every concessionaire shall submit to the department all sales and use tax returns and, at the request of the department, provide an annual financial statement prepared or audited by a certified public accountant.(c) Every concession shall be subject to audit by the department.(d) A performance bond shall be obtained and maintained by the concessionaire. In lieu of a bond, the concessionaire may substitute a deposit of funds acceptable to the department. Interest on the deposit shall accrue to the concessionaire.(e) The concessionaire shall obtain and maintain in force at all times a policy of liability insurance in an amount adequate for the nature and extent of public usage of the concession and naming the state as an additional insured.(f) Any discrimination by the concessionaire or the concessionaires agents or employees against any person because of the marital status or ancestry of that person or any characteristic listed or defined in Section 11135 of the Government Code is prohibited.(g) To be effective, any modification of the concession contract shall be evidenced in writing.(h) Whenever a concession contract is terminated for substantial breach, there shall be no obligation on the part of the state to purchase any improvements made by the concessionaire.(i) If a concessionaire makes a legal claim or assertion to have a trademark or service mark interest in violation of subdivision (a) of Section 5080.22, the concessionaire shall forfeit the right to bid on future state park concession contracts to the extent authorized by federal law.(j) If a current or former concessionaire in bad faith files a federal or state trademark or service mark application for a trademark or service mark that incorporates or implies an association with a state park venue, or its historical, cultural, or recreational resources, and the state files a successful opposition or cancellation with respect to that trademark or service mark application, the concessionaire shall be responsible for the states attorney fees, costs, and expenses associated with that opposition or cancellation.

5080.18. A concession contract entered into pursuant to this article shall contain, but is not limited to, all of the following provisions:(a) (1) The maximum term shall be 10 years, except that a term of more than 10 years may be provided if the director determines that the longer term is necessary to allow the concessionaire to amortize improvements made by the concessionaire, to facilitate the full utilization of a structure that is scheduled by the department for replacement or redevelopment, or to serve the best interests of the state. The term shall not exceed 20 years without specific authorization by statute. Except as provided in Section 5080.16, all renewals of concession contracts pursuant to this paragraph shall be subject to competitive bidding requirements.(2) The maximum term shall be 50 years if the concession contract is for the construction, development, and operation of multiple-unit lodging facilities equipped with full amenities, including plumbing and electrical, that is anticipated to exceed an initial cost of one million five hundred thousand dollars ($1,500,000) in capital improvements in order to begin operation. The term for a concession contract described in this paragraph shall not exceed 50 years without specific authorization by statute. Except as provided in Section 5080.16, all renewals of concession contracts pursuant to this paragraph shall be subject to competitive bidding requirements.(3) Notwithstanding paragraph (1), a concession agreement at Will Rogers State Beach may be awarded for up to 50 years in length without specific authorization by statute, upon approval by the director and pursuant to a determination by the director that the longer term is necessary to allow the concessionaire to amortize improvements made by the concessionaire that are anticipated to exceed one million five hundred thousand dollars ($1,500,000) in capital improvements.(4) Notwithstanding paragraph (2), the department and Crystal Cove Management Company, the concessionaire at Crystal Cove State Park as of January 1, 2022, may, by mutual agreement, amend the departments concession agreement with Crystal Cove Management Company to extend the term of the agreement to December 31, 2077, if the director determines that this term is necessary to allow the Crystal Cove Management Company to qualify for federal historic tax credits and it is in the best interests of the state. may negotiate the term of the existing concession contract with the Crystal Cove Management Company to extend the term of that contract up to an additional 20 years, if the director determines that this term extension is necessary to allow Crystal Cove Management Company to qualify and complete requirements for rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for the rehabilitation of historic structures to facilitate and support the Phase III restoration of the 17 historic cottages at Crystal Cove State Park. This rehabilitation shall include the construction, development, and operation of multiple-unit lodging facilities equipped with full amenities, including plumbing and electrical. Negotiated terms pursuant to this subdivision shall be based on the value of the terms extension, and may include, but are not limited to, an increased rental rate as consideration for the extended term. All moneys invested by third parties in connection with receipt of these rehabilitation tax credits shall be used for the construction, development, and operation of the Phase III restoration of the 17 historic cottages at Crystal Cove State Park.(b) Every concessionaire shall submit to the department all sales and use tax returns and, at the request of the department, provide an annual financial statement prepared or audited by a certified public accountant.(c) Every concession shall be subject to audit by the department.(d) A performance bond shall be obtained and maintained by the concessionaire. In lieu of a bond, the concessionaire may substitute a deposit of funds acceptable to the department. Interest on the deposit shall accrue to the concessionaire.(e) The concessionaire shall obtain and maintain in force at all times a policy of liability insurance in an amount adequate for the nature and extent of public usage of the concession and naming the state as an additional insured.(f) Any discrimination by the concessionaire or the concessionaires agents or employees against any person because of the marital status or ancestry of that person or any characteristic listed or defined in Section 11135 of the Government Code is prohibited.(g) To be effective, any modification of the concession contract shall be evidenced in writing.(h) Whenever a concession contract is terminated for substantial breach, there shall be no obligation on the part of the state to purchase any improvements made by the concessionaire.(i) If a concessionaire makes a legal claim or assertion to have a trademark or service mark interest in violation of subdivision (a) of Section 5080.22, the concessionaire shall forfeit the right to bid on future state park concession contracts to the extent authorized by federal law.(j) If a current or former concessionaire in bad faith files a federal or state trademark or service mark application for a trademark or service mark that incorporates or implies an association with a state park venue, or its historical, cultural, or recreational resources, and the state files a successful opposition or cancellation with respect to that trademark or service mark application, the concessionaire shall be responsible for the states attorney fees, costs, and expenses associated with that opposition or cancellation.



5080.18. A concession contract entered into pursuant to this article shall contain, but is not limited to, all of the following provisions:

(a) (1) The maximum term shall be 10 years, except that a term of more than 10 years may be provided if the director determines that the longer term is necessary to allow the concessionaire to amortize improvements made by the concessionaire, to facilitate the full utilization of a structure that is scheduled by the department for replacement or redevelopment, or to serve the best interests of the state. The term shall not exceed 20 years without specific authorization by statute. Except as provided in Section 5080.16, all renewals of concession contracts pursuant to this paragraph shall be subject to competitive bidding requirements.

(2) The maximum term shall be 50 years if the concession contract is for the construction, development, and operation of multiple-unit lodging facilities equipped with full amenities, including plumbing and electrical, that is anticipated to exceed an initial cost of one million five hundred thousand dollars ($1,500,000) in capital improvements in order to begin operation. The term for a concession contract described in this paragraph shall not exceed 50 years without specific authorization by statute. Except as provided in Section 5080.16, all renewals of concession contracts pursuant to this paragraph shall be subject to competitive bidding requirements.

(3) Notwithstanding paragraph (1), a concession agreement at Will Rogers State Beach may be awarded for up to 50 years in length without specific authorization by statute, upon approval by the director and pursuant to a determination by the director that the longer term is necessary to allow the concessionaire to amortize improvements made by the concessionaire that are anticipated to exceed one million five hundred thousand dollars ($1,500,000) in capital improvements.

(4) Notwithstanding paragraph (2), the department and Crystal Cove Management Company, the concessionaire at Crystal Cove State Park as of January 1, 2022, may, by mutual agreement, amend the departments concession agreement with Crystal Cove Management Company to extend the term of the agreement to December 31, 2077, if the director determines that this term is necessary to allow the Crystal Cove Management Company to qualify for federal historic tax credits and it is in the best interests of the state. may negotiate the term of the existing concession contract with the Crystal Cove Management Company to extend the term of that contract up to an additional 20 years, if the director determines that this term extension is necessary to allow Crystal Cove Management Company to qualify and complete requirements for rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for the rehabilitation of historic structures to facilitate and support the Phase III restoration of the 17 historic cottages at Crystal Cove State Park. This rehabilitation shall include the construction, development, and operation of multiple-unit lodging facilities equipped with full amenities, including plumbing and electrical. Negotiated terms pursuant to this subdivision shall be based on the value of the terms extension, and may include, but are not limited to, an increased rental rate as consideration for the extended term. All moneys invested by third parties in connection with receipt of these rehabilitation tax credits shall be used for the construction, development, and operation of the Phase III restoration of the 17 historic cottages at Crystal Cove State Park.

(b) Every concessionaire shall submit to the department all sales and use tax returns and, at the request of the department, provide an annual financial statement prepared or audited by a certified public accountant.

(c) Every concession shall be subject to audit by the department.

(d) A performance bond shall be obtained and maintained by the concessionaire. In lieu of a bond, the concessionaire may substitute a deposit of funds acceptable to the department. Interest on the deposit shall accrue to the concessionaire.

(e) The concessionaire shall obtain and maintain in force at all times a policy of liability insurance in an amount adequate for the nature and extent of public usage of the concession and naming the state as an additional insured.

(f) Any discrimination by the concessionaire or the concessionaires agents or employees against any person because of the marital status or ancestry of that person or any characteristic listed or defined in Section 11135 of the Government Code is prohibited.

(g) To be effective, any modification of the concession contract shall be evidenced in writing.

(h) Whenever a concession contract is terminated for substantial breach, there shall be no obligation on the part of the state to purchase any improvements made by the concessionaire.

(i) If a concessionaire makes a legal claim or assertion to have a trademark or service mark interest in violation of subdivision (a) of Section 5080.22, the concessionaire shall forfeit the right to bid on future state park concession contracts to the extent authorized by federal law.

(j) If a current or former concessionaire in bad faith files a federal or state trademark or service mark application for a trademark or service mark that incorporates or implies an association with a state park venue, or its historical, cultural, or recreational resources, and the state files a successful opposition or cancellation with respect to that trademark or service mark application, the concessionaire shall be responsible for the states attorney fees, costs, and expenses associated with that opposition or cancellation.

SEC. 2. The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique need to access federal historic rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for improvements to Crystal Cove State Park. 

SEC. 2. The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique need to access federal historic rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for improvements to Crystal Cove State Park. 

SEC. 2. The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique need to access federal historic rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for improvements to Crystal Cove State Park. 

### SEC. 2.

SEC. 3. This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the California Constitution and shall go into immediate effect. The facts constituting the necessity are:In order to access federal historic rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for improvements to Crystal Cove State Park, it is necessary that this act take effect immediately. 

SEC. 3. This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the California Constitution and shall go into immediate effect. The facts constituting the necessity are:In order to access federal historic rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for improvements to Crystal Cove State Park, it is necessary that this act take effect immediately. 

SEC. 3. This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the California Constitution and shall go into immediate effect. The facts constituting the necessity are:

### SEC. 3.

In order to access federal historic rehabilitation tax credits pursuant to Section 47 of Title 26 of the United States Code for improvements to Crystal Cove State Park, it is necessary that this act take effect immediately.