Democrat State Senator Wants $$ From Santa Ana to STEAL Land in San Mateo County

Hoping to maintain the momentum to preserve Californian’s access to the coast, a local legislator is again calling on his colleagues at the state Capitol to potentially support one of government’s most controversial maneuvers — eminent domain.

State Sen. Jerry Hill, D-San Mateo, announced Monday he will seek state funds to potentially seize an easement at the contended Martins Beach. Hill’s move came just a day before the State Lands Commission was slated to discuss the stalled negotiations with billionaire property owner Vinod Khosla.

The SLC will hear from the public before adjourning to a closed session to discuss whether it should, for the first time in its 78-year history, pursue eminent domain against a private property owner. But in its quest to reopen the secluded beach just south of Half Moon Bay, officials have pointed to the glaring challenge of not having funds that could be spent on condemnation.

It’s also not clear whether the SLC is ready to take on the legal battle of eminent domain, particularly as the property is already the source of three pending lawsuits — including one filed in federal court by Khosla, who alleges the state is infringing upon his private property rights.

Hoping instead for a more amicable arrangement, the SLC made an undisclosed offer to buy an easement along a 6.4-acre portion of the property that stretches from Highway 1 down to the beach. However, once Khosla refused, the state land agency was prohibited from using its existing statewide fund to forcefully reopen Martins Beach.

The wealthy property owner countered the state should buy the entire property from him, which would be a difficult endeavor for the public agency with a less than $7 million statewide fund.

Hill said he would ask his colleagues in Sacramento to allocate general fund money to reopen the property if the SLC opts to proceed with eminent domain — a follow-up to his 2014 law requiring the state to negotiate with Khosla in the first place.

“It’s important to show that the Legislature is willing to help fund the effort to uphold the public’s constitutional right of access to California’s beaches,” Hill said in a press release.

But Hill may be in for another battle. He faced lobbyists and opposition when he first proposed the law requiring the SLC to negotiate. Khosla hired a former coastal commissioner to argue against Hill in Sacramento, where his bill only narrowly passed. Initially, his 2014 proposal required the use of eminent domain if negotiations failed. But after pushback, Hill loosened it to simply direct the state agency to spend at least a year attempting to compromise.

The SLC — comprised of Lt. Gov. Gavin Newsom, State Controller Betty Yee and state Finance Director Michael Cohen — must now decide whether to proceed.

Hill’s new legislation would only kick in only if the SLC opts to acquire public access through eminent domain and outline a funding allocation once the negotiation price is disclosed, according to Hill.

It’s not yet known how much the narrow easement will cost as the SLC has not divulged the value of an appraisal or its offer. It has, however, questioned Khosla’s assertion that the easement alone might be worth $30 million.

Khosla, a venture capitalist and co-founder of Sun Microsystems, bought the 89-acre property for $32.5 million in 2008. Two years later, he closed the gate to the secluded crescent-shaped property that the previous owners opened to the public for a small parking fee. Currently, there’s nearly 40 leased homes on the site and it’s not clear how often Khosla visits.

He is not expected to give in easily nor has he been one to shy away from litigation when it comes to property rights. An attorney representing Khosla has maintained the case is about government’s interference with private property and that he has offered to open the beach on days when historic demand exceeded 10 cars, or to sell the entire site to the state at fair market value.

But the SLC has maintained buying the property outright wouldn’t adhere to the intent of Hill’s bill, nor is it clear how the state could fund such a purchase.

Hill said he plans to attend Tuesday’s meeting and urged others to speak in favor of preserving the public’s rights to access the coast.

“This is an opportunity for the State Lands Commission to send a message that California’s beaches cannot be bought to foreclose the public’s right of access to our coastline,” Hill said.