Right Column
Article 1
Article 1. General Provisions
1900. Definitions
1901. Office of Commission
1902. Meetings of the Commission
1904. Application Requirements and Priority
1905. Filing and Processing Fees
1906. Guaranty Deposits
1907. Insurance
1909. Bidding Procedure
1910. Execution and Delivery of Documents
1911. Interest and Penalty Payments
'1900. Definitions.
The following definitions shall apply to this Chapter unless otherwise provided.
(a) The term "applicant" includes any person who files an application under these regulations.
(b) The term "person" includes any individual, firm, partnership, business entity, business trust, association, corporation, or governmental entity or agency.
(c) The term "lease" includes a permit, right-of-way, easement, license, compensatory agreement, or other entitlement of use.
(d) The term "structure" means any manmade construction.
(e) The term "submerged lands" means the area lying below the elevation of ordinary low water in the beds of all tidal and nontidal navigable waters.
(f) The term "tidelands" means the area lying between the elevations of ordinary low water and ordinary high water on lands subject to tidal action.
(g) The term "uplands" shall mean lands bordering on navigable waterways.
(h) The term "school lands" refers to all Sections 16 and 36 granted to the State for the benefit of common schools by Chapter 145 of the Federal Statutes of 1853.
(i) The term "lieu or indemnity lands" refers to those lands acquired by the State in place of school lands it previously acquired or school lands to which it did not receive title because they were either mineral in character, had not been sectionalized, or were subject to prior established rights.
(j) The terms "merchandise", "product" and "commodity" are interchangeable and shall include, goods, wares, chattels, personal property of every description, cargo, freight, mail, vessel’s stores and supplies, articles, matter and material.
NOTE: Authority cited: Sections 6002, 6105, 6108, 6301, and 6501, Public Resources Code; and 3 Cal. 3d 462,478 (tide and submerged lands). Reference: Sections 6301 and 6501, Public Resources Code.
HISTORY1. Repealer of Article 1 (Sections 1900C1914) and new Article 1 (Sections 1900-1911) filed 6-2-78; effective thirtieth day thereafter (Register 78. No. 22). For prior history, see Registers 77, No. 6; 75, No. 22; 73, No. 9; 69. No. 15; 64, No. 23; 58. No. 5; 55, Nos. 12 and 25, No.5.
2. Repealer of Article I (Sections 1900-1911) and new Article I (Sections 1900-1910 not consecutive) filed 12-2-81; effective thirtieth day thereafter (Register 81, No. 49).
'1901. Office of Commission.
The principal office of the Commission is 100 Howe Avenue, Suite 100-South, Sacramento, California 95825, telephone (916) 574-1900. The Commission’s Mineral Resources Management Division is located at 200 Oceangate, Suite 1200, Long Beach, California 90802, telephone (562) 590-5201. Applications for exploration or extraction of minerals, oil and gas, or geothermal resources shall be sent to the Mineral Resources Management Division. All other applications shall be sent to the principal office.
NOTE: Authority cited: Sections 6102, 6103.2, 6105, 6108, and 6216, Public Resources Code. Reference: Section 6102, Public Resources Code.
HISTORY
1. Change without regulatory effect amending section filed 8-15-96 pursuant to section 100, title 1, California Code of Regulations (Register 96. No. 33).
2. Change without regulatory effect amending section filed 11-21-96 pursuant to section 100, title 1, California Code of Regulations (Register 96. No. 47).
'1902. Meetings of the Commission.
The commission shall meet at Sacramento on the last Thursday of each month unless, upon due notice, the date and place of meeting are otherwise designated by at least two members.
NOTE: Authority cited: Sections 6104, 6105, and 6108, Public Resources Code. Reference: Section 6104, Public Resources Code.
'1904. Application Requirements and Priority.
Application requirements and priority shall be as set forth in Public Resources Code Sections 6801 and 6223 respectively.
NOTE: Authority cited: Sections 6105, 6108, 6216, 6223, 6301, 6501.2, and 6801, Public Resources Code; and Section 65940, Government Code. Reference: Sections 6223 and 6501.2, Public Resources Code.
'1905. Filing and Processing Fees.
Filing and processing fees shall be paid by applicants at the time of filing an application as follows:
(a) Filing fee ...........$25.00
(b) Processing fee for Commission services competed and charged as follows:
(1) A non-refundable expense deposit for routine or uncomplicated services based on an average cost of such services; or
(2) A refundable expense deposit for non-routine and complicated services based on the estimated costs of such services. Any unexpended portion of such expense deposit shall be refunded to the applicant;
(3) An additional expense deposit for additional or unanticipated services, to be paid within 21 days of written notice being mailed to the applicant. Any unexpended portion of such expanse deposit shall be refunded to the applicant.
NOTE: Authority cited: Sections 6105, 6108, 6214, 6218, 6309, 6321, 6502, 6503.5, 6703, and 7706, Public Resources Code. Reference: Sections 6214, 6218, and 7706, Public Resources Code.
'1906. Guaranty Deposits.
The Commission may require deposits of either bond, cash or other acceptable security to insure compliance with terms and conditions of bids, leases, contracts, or any other agreements.
NOTE: Authority cited: Sections 6005, 6105, 6108, 6301, 6405, 6501.2, 6829(d), and 6899, Public Resources Code. Reference: Sections 6501.2, and 6829(d). Public Resources Code.
'1907. Insurance.
The Commission may require insurance against such risks and in such amounts that it may determine to be within the best interests of the state.
NOTE: Authority cited: Sections 6005, 6105, 6108, 6301, 6405, 6501.2, 6829, and 6899, Public Resources Code. Reference: Sections 6501.2, 6829, and 6899. Public Resources Code.
'1909. Bidding Procedure.
(a) Except as otherwise provided in this chapter, when competitive bidding is required, it shall be conducted generally as follows:
(1) The Commission shall cause a notice of intent to receive bids to be published at least once in a newspaper of general circulation in the county in which the lands, interest or project is located and may have such notice published at least once in a newspaper of general circulation in the City of Los Angeles, or San Francisco, or Sacramento. Such notice shall specify the lands or interest (oil, gas or mineral lease; easement, timber, land; etc. for sale or project (public works or consultant contracts, oil, gas or mineral exploration, etc.) for bid, the time and place for the receipt and opening of bids, and the availability of appropriate approved bid packages and forms at the office of the Commission.
(2) The Commission shall at the specified time and place publicly open or have opened the sealed bids and shall award the highest or lowest responsible bidder, as appropriate, unless, in the opinion of the Commission such award is not in the best interest of the State, in which case the Commission may reject all existing bids and call for new ones or terminate bidding.
(3) The Commission shall have broad discretion as to whether a bidder is "responsible" based on what it deems to be in the best interest of the State.
(4) Except as otherwise provided in the bid instructions specifying a shorter period, and/or limiting the firm bid requirement to a specific number of high or low bidders as appropriate, each bid shall be a firm bid, irrevocable for a period not to exceed ninety (90) days from the date of bid opening.
b) Bidders shall bear all reasonable expenses incurred by the Commission for bid processing and award including costs of approval, advertising and environmental review, in accordance with terms set forth in the approved bid package.
NOTE: Authority cited: Sections 6005, 6105, 6108, 6218, 6405, 6406, 6501.2, 6811, 6815.2, 6827, 6834, 6835, 6836, 6852, 6871.3, 6874, 6900, 6992, 6993, 7052, 7301, 7361, 7501, and 7604, Public Resources Code. Reference: Sections 6005, 6811, 6827, 6834, 6835, 6836, 6852, 6871.3, 6912, 6992, and 7059, Public Resources Code.
'1910. Execution and Delivery of Documents.
All documents to be executed by applicant shall be signed by the applicant and certified, witnessed or acknowledged as required, prior to their execution and delivery by the Commission.
NOTE: Authority cited: Sections 6105, 6106, 6108, and 6504, Public Resources Code. Reference: Sections 6106 and 6108, Public Resources Code.
'1911. Interest and Penalty Payments.
(a) Time of Payment
(1) Any payment pursuant to any permit, lease, contract or other agreement due the Commission shall be paid on or before the date specified in the instrument.
(2) If the date that a sum becomes due and payable to the Commission is a Saturday, Sunday, Federal or State holiday, the due date is extended to the next business day.
(3) Timeliness of receipt of remittances sent by mail to the Commission shall be governed by the postmark date as described in Government Code Section 11002.
(4) In case of a postmark by a private postage meter, the date specified thereon shall be considered as the date of payment. Where a payment is received after the due date and where a question arises as to the actual date of mailing, a declaration executed under penalty of perjury by the person responsible for the mailing of payment to the State specifying the date of mailing shall be considered as evidence of the date of actual mailing.
(b) Interest and Penalty
Unless otherwise provided in the permit, lease, contract, or other agreement:
(1) Simple interest shall be calculated at the rate of one and one-half percent (l 2%) per month on the amount due the Commission from the date payment was due the Commission until the date the payment is received.
(2) Penalties shall be calculated at the rate of five percent (5%) on the principal sum due the Commission.
(3) Interest and penalty shall be charged for failure to make a timely payment, or the mode of payment is not honored by a bank, savings and loan, post office, or other financial institution.
(c) Exemption from Interest and Penalty
(1) The Commission may waive the assessment of interest and/or penalty where:
(A) Incorrect instructions were rendered to a party by the Commission’s staff, or use by the party of an accounting procedure pursuant to an agreement with a member of the Commission staff; or
(B) Notwithstanding the provisions of paragraph (2) infra, negotiated settlements are approved by the Commission and provide for a waiver of penalty and/or interest.
(2) Penalty only shall be excused where failure to make a timely payment was due to one of the following:
(A) The death or serious illness of a natural party;
(B) Catastrophe, such as fire, flood, theft, vandalism, or riot;
(C) The fact the books and records of a party were impounded by court order, or were in the hands of a Federal or State agency, and unavailable for use by the party;
(D) The discovery by a party, before that of the Commission staff, of the erroneous amount of a party’s original payment and the prompt tender by the party of the balance due.
(d) Payments
Payments shall be applied to retire obligations in the following order:
(1) interest and penalty
(2) past principal
(3) current principal
(e) Any person who uses or occupies any lands owned or controlled by the State under the jurisdiction of the Commission without a lease, permit or other agreement and who subsequently obtains a lease, permit or other agreement providing for the payment of back rent, shall pay penalty and interest in accordance with the provisions in (b), (c), and (d) above.
NOTE: Authority cited: Sections 6108 and 6224, Public Resources Code. Reference: Section 6224, Public Resources Code; and Section 11002, Government Code.
HISTORY
New section filed 12-6-83; effective thirtieth day thereafter (Register 83, No.50).

