Bill Text: CA AB1591 | 2015-2016 | Regular Session | Introduced
Bill Title: Transportation funding.
Sponsorship: Partisan Bill (Democrat 1)
Status: (Failed) 2016-11-30 - From committee without further action. [AB1591 Detail]
Download: California-2015-AB1591-Introduced.html
BILL NUMBER: AB 1591 INTRODUCED
BILL TEXT
INTRODUCED BY Assembly Member Frazier
JANUARY 6, 2016
An act to add Sections 14526.7 and 16321 to the Government Code,
to amend Section 39719 of the Health and Safety Code, to amend
Sections 7360 and 60050 of the Revenue and Taxation Code, to amend
Sections 2192 and 2192.1 of, to add Section 2192.4 to, and to add
Chapter 2 (commencing with Section 2030) to Division 3 of, the
Streets and Highways Code, and to add Sections 9250.3, 9250.6, and
9400.5 to the Vehicle Code, relating to transportation, making an
appropriation therefor, and declaring the urgency thereof, to take
effect immediately.
LEGISLATIVE COUNSEL'S DIGEST
AB 1591, as introduced, Frazier. Transportation funding.
(1) Existing law provides various sources of funding for
transportation purposes, including funding for the state highway
system and the local street and road system. These funding sources
include, among others, fuel excise taxes, commercial vehicle weight
fees, local transactions and use taxes, and federal funds. Existing
law imposes certain registration fees on vehicles, with revenues from
these fees deposited in the Motor Vehicle Account and used to fund
the Department of Motor Vehicles and the Department of the California
Highway Patrol. Existing law provides for the monthly transfer of
excess balances in the Motor Vehicle Account to the State Highway
Account.
This bill would create the Road Maintenance and Rehabilitation
Program to address deferred maintenance on the state highway system
and the local street and road system. The bill would require the
California Transportation Commission to adopt performance criteria to
ensure efficient use of the funds available for the program. The
bill would provide for the deposit of various funds for the program
in the Road Maintenance and Rehabilitation Account, which the bill
would create in the State Transportation Fund, including revenues
attributable to a $0.225 per gallon increase in the motor vehicle
fuel (gasoline) tax imposed by the bill, including an inflation
adjustment as provided, an increase of $38 in the annual vehicle
registration fee, and a new $165 annual vehicle registration fee
applicable to zero-emission motor vehicles, as defined.
The bill would continuously appropriate the funds in the account
for road maintenance and rehabilitation purposes and would allocate
5% of available funds to counties that approve a transactions and use
tax on or after July 1, 2016, with the remaining funds to be
allocated 50% for maintenance of the state highway system or to the
state highway operation and protection program, and 50% to cities and
counties pursuant to a specified formula. The bill would impose
various requirements on agencies receiving these funds. The bill
would authorize a city or county to spend its apportionment of funds
under the program on transportation priorities other than those
allowable pursuant to the program if the city's or county's average
Pavement Condition Index meets or exceeds 85.
(2) Existing law provides for loans of revenues from various
transportation funds and accounts to the General Fund, with various
repayment dates specified.
This bill would require the Department of Finance, on or before
March 1, 2016, to compute the amount of outstanding loans made from
specified transportation funds. The bill would require the Department
of Transportation to prepare a loan repayment schedule and would
require the outstanding loans to be repaid pursuant to that schedule
to the accounts from which the loans were made, as prescribed. The
bill would appropriate funds for that purpose from the Budget
Stabilization Account. The bill would require the repaid funds to be
transferred to cities and counties pursuant to a specified formula.
(3) The Highway Safety, Traffic Reduction, Air Quality, and Port
Security Bond Act of 2006 (Proposition 1B) created the Trade
Corridors Improvement Fund and provided for allocation by the
California Transportation Commission of $2 billion in bond funds for
infrastructure improvements on highway and rail corridors that have a
high volume of freight movement, and specified categories of
projects eligible to receive these funds. Existing law continues the
Trade Corridors Improvement Fund in existence in order to receive
revenues from sources other than the bond act for these purposes.
The bill would deposit the revenues attributable to a $0.30 per
gallon increase in the diesel fuel excise tax imposed by the bill
into the Trade Corridors Improvement Fund.
Existing law specifies projects eligible for funding from the
Trade Corridors Improvement Fund, including, among other things,
projects for truck corridor improvements, including dedicated truck
facilities, or truck toll facilities.
This bill would include truck parking among the truck corridor
capital improvements eligible to be funded and would authorize the
expenditure of moneys in the fund for certain system efficiency
improvements, including the development, demonstration, and
deployment of promising Intelligent Transportation System
applications. The bill would require the California Transportation
Commission, in evaluating potential projects to be funded from the
fund, to give priority to projects demonstrating one or more of
certain characteristics.
(4) Existing law requires all moneys, except for fines and
penalties, collected by the State Air Resources Board from the
auction or sale of allowances as part of a market-based compliance
mechanism relative to reduction of greenhouse gas emissions to be
deposited in the Greenhouse Gas Reduction Fund. Existing law, to the
extent moneys are transferred to the Trade Corridors Improvement Fund
from the Greenhouse Gas Reduction Fund, requires projects funded
with those moneys to be subject to all of the requirements of
existing law applicable to the expenditure of moneys appropriated
from the Greenhouse Gas Reduction Fund, including, among other
things, furthering the regulatory purposes of the California Global
Warming Solutions Act of 2006. Existing law continuously appropriates
10% of the annual proceeds of the fund to the Transit and Intercity
Rail Capital Program.
This bill would, beginning in the 2016-17 fiscal year, instead
continuously appropriate 20% of those annual proceeds to the Transit
and Intercity Rail Capital Program, thereby making an appropriation,
and, transfer 20% of those annual proceeds to the Trade Corridors
Improvement Fund.
(5) Existing law, as of July 1, 2011, increases the sales and use
tax on diesel and decreases the excise tax, as provided. Existing law
requires the State Board of Equalization to annually modify both the
gasoline and diesel excise tax rates on a going-forward basis so
that the various changes in the taxes imposed on gasoline and diesel
are revenue neutral.
This bill would eliminate the annual rate adjustment to maintain
revenue neutrality for the gasoline and diesel excise tax rates. This
bill would, beginning July 1, 2019, and every 3rd year thereafter,
require the board to recompute the gasoline and diesel excise tax
rates based upon the percentage change in the California Consumer
Price Index transmitted to the board by the Department of Finance, as
prescribed.
(6) Existing law requires the Department of Transportation to
prepare a state highway operation and protection program every other
year for the expenditure of transportation capital improvement funds
for projects that are necessary to preserve and protect the state
highway system, excluding projects that add new traffic lanes. The
program is required to be based on an asset management plan, as
specified. Existing law requires the department to specify, for each
project in the program, the capital and support budget and projected
delivery date for various components of the project. Existing law
provides for the California Transportation Commission to review and
adopt the program, and authorizes the commission to decline and adopt
the program if it determines that the program is not sufficiently
consistent with the asset management plan.
This bill, on and after February 1, 2017, would require the
commission to make an allocation of all capital and support costs for
each project in the program, and would require the department to
submit a supplemental project allocation request to the commission
for each project that experiences cost increases above the amounts in
its allocation. The bill would require the commission to establish
guidelines to provide exceptions to the requirement for a
supplemental project allocation requirement that the commission
determines are necessary to ensure that projects are not
unnecessarily delayed.
(7) Existing law imposes weight fees on the registration of
commercial motor vehicles and provides for the deposit of net weight
fee revenues into the State Highway Account. Existing law provides
for the transfer of certain weight fee revenues from the State
Highway Account to the Transportation Debt Service Fund to reimburse
the General Fund for payment of debt service on general obligation
bonds issued for transportation purposes. Existing law also provides
for the transfer of certain weight fee revenues to the Transportation
Bond Direct Payment Account for direct payment of debt service on
designated bonds, which are defined to be certain transportation
general obligation bonds issued pursuant to Proposition 1B of 2006.
Existing law also provides for loans of weight fee revenues to the
General Fund to the extent the revenues are not needed for bond debt
service purposes, with the loans to be repaid when the revenues are
later needed for those purposes, as specified.
This bill, notwithstanding these provisions or any other law,
would prohibit weight fee revenues from being transferred from the
State Highway Account to the Transportation Debt Service Fund, the
Transportation Bond Direct Payment Account, or any other fund or
account for the purpose of payment of the debt service on
transportation general obligation bonds, and would also prohibit
loans of weight fee revenues to the General Fund.
(8) This bill would declare that it is to take effect immediately
as an urgency statute.
Vote: 2/3. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. The Legislature finds and declares all of the
following:
(a) Over the next 10 years, the state faces a $59 billion
shortfall to adequately maintain the existing state highway system,
in order to keep it in a basic state of good repair.
(b) Similarly, cities and counties face a $78 billion shortfall
over the next decade to adequately maintain the existing network of
local streets and roads.
(c) Statewide taxes and fees dedicated to the maintenance of the
system have not been increased in more than 20 years, with those
revenues losing more than 55 percent of their purchasing power, while
costs to maintain the system have steadily increased and much of the
underlying infrastructure has aged past its expected useful life.
(d) California motorists are spending $17 billion annually in
extra maintenance and car repair bills, which is more than $700 per
driver, due to the state's poorly maintained roads.
(e) Failing to act now to address this growing problem means that
more drastic measures will be required to maintain our system in the
future, essentially passing the burden on to future generations
instead of doing our job today.
(f) A funding program will help address a portion of the
maintenance backlog on the state's road system and will stop the
growth of the problem.
(g) Modestly increasing various fees can spread the cost of road
repairs broadly to all users and beneficiaries of the road network
without overburdening any one group.
(h) Improving the condition of the state's road system will have a
positive impact on the economy as it lowers the transportation costs
of doing business, reduces congestion impacts for employees, and
protects property values in the state.
(i) The federal government estimates that increased spending on
infrastructure creates more than 13,000 jobs per $1 billion spent.
(j) Well-maintained roads benefit all users, not just drivers, as
roads are used for all modes of transport, whether motor vehicles,
transit, bicycles, or pedestrians.
(k) Well-maintained roads additionally provide significant health
benefits and prevent injuries and death due to crashes caused by
poorly maintained infrastructure.
(l) A comprehensive, reasonable transportation funding package
will do all of the following:
(1) Ensure these transportation needs are addressed.
(2) Fairly distribute the economic impact of increased funding.
(3) Restore the gas tax rate previously reduced by the State Board
of Equalization pursuant to the gas tax swap.
(4) Direct increased revenue to the state's highest transportation
needs.
SEC. 2. Section 14526.7 is added to the Government Code, to read:
14526.7. (a) On and after February 1, 2017, an allocation by the
commission of all capital and support costs for each project in the
state highway operation and protection program shall be required.
(b) For a project that experiences increases in capital or support
costs above the amounts in the commission's allocation pursuant to
subdivision (a), a supplemental project allocation request shall be
submitted by the department to the commission for approval.
(c) The commission shall establish guidelines to provide
exceptions to the requirement of subdivision (b) that the commission
determines are necessary to ensure that projects are not
unnecessarily delayed.
SEC. 3. Section 16321 is added to the Government Code, to read:
16321. (a) Notwithstanding any other law, on or before March 1,
2016, the Department of Finance shall compute the amount of
outstanding loans made from the State Highway Account, the Motor
Vehicle Fuel Account, the Highway Users Tax Account, and the Motor
Vehicle Account to the General Fund. The department shall prepare a
loan repayment schedule, pursuant to which the outstanding loans
shall be repaid to the accounts from which the loans were made, as
follows:
(1) On or before June 30, 2016, 50 percent of the outstanding loan
amounts.
(2) On or before June 30, 2017, 50 percent of the outstanding loan
amounts.
(b) Notwithstanding any other provision of law, as the loans are
repaid pursuant to this section, the repaid funds shall be
transferred to cities and counties pursuant to subparagraph (C) of
paragraph (3) of subdivision (a) of Section 2103 of the Streets and
Highways Code.
(c) Funds for loan repayments pursuant to this section are hereby
appropriated from the Budget Stabilization Account pursuant to
subclause (II) of clause (ii) of subparagraph (B) of paragraph (1) of
subdivision (c) of Section 20 of Article XVI of the California
Constitution.
SEC. 4. Section 39719 of the Health and Safety Code is amended to
read:
39719. (a) The Legislature shall appropriate the annual proceeds
of the fund for the purpose of reducing greenhouse gas emissions in
this state in accordance with the requirements of Section 39712.
(b) To carry out a portion of the requirements of subdivision (a),
annual proceeds are continuously appropriated for the following:
(1) Beginning in the 2015-16 2016-17
fiscal year, and notwithstanding Section 13340 of the Government
Code, 35 45 percent of annual proceeds
are continuously appropriated, without regard to fiscal years, for
transit, affordable housing, and sustainable communities programs as
following:
(A) Ten Twenty percent of the annual
proceeds of the fund is hereby continuously appropriated to the
Transportation Agency for the Transit and Intercity Rail Capital
Program created by Part 2 (commencing with Section 75220) of Division
44 of the Public Resources Code.
(B) Five percent of the annual proceeds of the fund is hereby
continuously appropriated to the Low Carbon Transit Operations
Program created by Part 3 (commencing with Section 75230) of Division
44 of the Public Resources Code. Funds
Moneys shall be allocated by the Controller, according to
requirements of the program, and pursuant to the distribution formula
in subdivision (b) or (c) of Section 99312 of, and Sections 99313
and 99314 of, the Public Utilities Code.
(C) Twenty percent of the annual proceeds of the fund is hereby
continuously appropriated to the Strategic Growth Council for the
Affordable Housing and Sustainable Communities Program created by
Part 1 (commencing with Section 75200) of Division 44 of the Public
Resources Code. Of the amount appropriated in this subparagraph, no
less than 10 percent of the annual proceeds,
proceeds shall be expended for affordable housing, consistent
with the provisions of that program.
(2) Beginning in the 2015-16 fiscal year, notwithstanding Section
13340 of the Government Code, 25 percent of the annual proceeds of
the fund is hereby continuously appropriated to the High-Speed Rail
Authority for the following components of the initial operating
segment and Phase I Blended System as described in the 2012 business
plan adopted pursuant to Section 185033 of the Public Utilities Code:
(A) Acquisition and construction costs of the project.
(B) Environmental review and design costs of the project.
(C) Other capital costs of the project.
(D) Repayment of any loans made to the authority to fund the
project.
(3) Beginning in the 2016-17 fiscal year, 20 percent of the annual
proceeds of the fund shall be transferred to the Trade Corridors
Improvement Fund, continued in existence pursuant to Section 2192 of
the Streets and Highways Code.
(c) In determining the amount of annual proceeds of the fund for
purposes of the calculation in subdivision (b), the funds subject to
Section 39719.1 shall not be included.
SEC. 5. Section 7360 of the Revenue and Taxation Code is amended
to read:
7360. (a) (1) (A) A tax of eighteen cents
($0.18) is hereby imposed upon each gallon of fuel subject to the tax
in Sections 7362, 7363, and 7364.
(B) In addition to the tax imposed pursuant to subparagraph (A),
on and after the first day of the first calendar quarter that occurs
90 days after the effective date of the act adding this subparagraph,
a tax of twenty-two and one-half cents ($0.225) is hereby imposed
upon each gallon of fuel, other than aviation gasoline, subject to
the tax in Sections 7362, 7363, and 7364.
(2) If the federal fuel tax is reduced below the rate of nine
cents ($0.09) per gallon and federal financial allocations to this
state for highway and exclusive public mass transit guideway purposes
are reduced or eliminated correspondingly, the tax rate imposed by
subparagraph (A) of paragraph (1), on and after the date
of the reduction, shall be recalculated by an amount so that the
combined state rate under subparagraph (A) of paragraph
(1) and the federal tax rate per gallon equal twenty-seven cents
($0.27).
(3) If any person or entity is exempt or partially exempt from the
federal fuel tax at the time of a reduction, the person or entity
shall continue to be so exempt under this section.
(b) (1) On and after July 1,
2010, in addition to the tax imposed by subdivision (a), a tax is
hereby imposed upon each gallon of motor vehicle fuel, other than
aviation gasoline, subject to the tax in Sections 7362, 7363, and
7364 in an amount equal to seventeen and three-tenths cents ($0.173)
per gallon.
(2) For the 2011-12 fiscal year,
(c) Beginning July 1, 2019, and
each fiscal every third year
thereafter, the board shall, on or before March 1
State Board of the fiscal year immediately
preceding the applicable fiscal year, adjust the rate in paragraph
(1) in that manner as to generate an amount
Equalization shall recompute the rates of revenue that
will equal the amount of revenue loss attributable
to the exemption provided taxes imposed by
Section 6357.7, based on estimates made by the board, and
that rate this section. That computation shall
be effective during the state's next fiscal year.
made as follows:
(3) In order to maintain revenue neutrality for each year,
beginning with the rate adjustment on or before March 1, 2012, the
adjustment under paragraph (2) shall also take into account the
extent to which the actual amount
(1) The Department of
revenues derived pursuant Finance shall transmit
to this subdivision and, as applicable, Section 7361.1,
the revenue loss attributable to
State Board of Equalization the exemption provided by
Section 6357.7 resulted percentage change in
a net revenue gain or loss the California
Consumer Price Index for the fiscal year ending
all items from November of three calendar years
prior to November of the rate adjustment date on
or before March 1. prior calendar year, no later than
January 31, 2019, and January 31 of every third year thereafter.
(2) The State Board of Equalization shall do all of the following:
(A) Compute an inflation adjustment factor by adding 100 percent
to the percentage change figure that is furnished pursuant to
paragraph (1) and dividing the result by 100.
(4) The intent of paragraphs (2) and (3) is to ensure that the act
adding this subdivision
(B) Multiply the preceding tax rate per
gallon by the inflation adjustment factor determined in subparagraph
(A) and Section 6357.7 does not produce a net revenue
gain in state taxes. round off the resulting product
to the nearest tenth of a cent.
(C) Make its determination of the new rate no later than March 1
of the same year as the effective date of the new rate.
SEC. 6. Section 60050 of the Revenue and Taxation Code is amended
to read:
60050. (a) (1) A tax of eighteen thirteen
cents ($0.18) ($0.13) is hereby
imposed upon each gallon of diesel fuel subject to the tax in
Sections 60051, 60052, and 60058.
(2) If the federal fuel tax is reduced below the rate of fifteen
cents ($0.15) per gallon and federal financial allocations to this
state for highway and exclusive public mass transit guideway purposes
are reduced or eliminated correspondingly, the tax rate imposed by
paragraph (1), including any reduction or adjustment
pursuant to subdivision (b), on and after the date of the reduction,
(1) shall be increased by an amount so that the
combined state rate under paragraph (1) and the federal tax rate per
gallon equal what it would have been in the absence of the federal
reduction.
(3) If any person or entity is exempt or partially exempt from the
federal fuel tax at the time of a reduction, the person or entity
shall continue to be exempt under this section.
(b) (1) On July 1,
2011, In addition to the tax
rate specified in paragraph (1) of subdivision (a) shall be reduced
to thirteen cents ($0.13) and every July 1 thereafter shall be
adjusted pursuant to paragraphs (2) and (3). imposed
pursuant to subdivision (a), on and after the first day of the first
calendar quarter that occurs 90 days after the effective date of the
act amending this subdivision in the 2015-16 Regular Session, an
additional tax of thirty cents ($0.30) is hereby imposed upon each
gallon of diesel fuel subject to the tax in Sections 60051, 60052,
and 60058.
(2) For the 2012-13 fiscal year and each fiscal year thereafter,
the board shall, on or before March 1 of the fiscal year immediately
preceding the applicable fiscal year, adjust the rate reduction in
paragraph (1) in that manner as to result in a revenue loss
attributable to paragraph (1) that will equal the amount of revenue
gain attributable to Sections 6051.8 and 6201.8, based on estimates
made by the board, and that rate shall be effective during the state'
s next fiscal year.
(c) Beginning July 1, 2019, and every
third year thereafter, the State Board of Equalization shall
recompute the rates of the taxes imposed by this section. That
computation shall be made as follows:
(3) In order to maintain revenue neutrality for each year,
beginning with the rate adjustment on or before March 1, 2013, the
adjustment under paragraph (2) shall take into account the extent to
which the actual amount
(1) The Department of
revenues derived pursuant Finance shall transmit
to Sections 6051.8 and 6201.8 and the
revenue loss attributable to this subdivision resulted
State Board of Equalization the percentage change
in a net revenue gain or loss the California
Consumer Price Index for the fiscal year ending
all items from November of three calendar years
prior to November of the rate adjustment date on
or before March 1. prior calendar year, no later than
January 31, 2019, and January 31 of every third year thereafter.
(2) The State Board of Equalization shall do both of the
following:
(A) Compute an inflation adjustment factor by adding 100 percent
to the percentage change figure that is furnished pursuant to
paragraph (1) and dividing the result by 100.
(4) The intent of paragraphs (2) and (3) is to ensure that the act
adding this subdivision
(B) Multiply the preceding tax rate per
gallon by th e inflation adjustment factor determined in
subparagraph (A) and Sections 6051.8 and 6201.8 does
not produce a net revenue gain in state taxes. round
off the resulting product to the nearest tenth of a cent.
(C) Make its determination of the new rate no later than March 1
of the same year as the effective date of the new rate.
SEC. 7. Chapter 2 (commencing with Section 2030) is added to
Division 3 of the Streets and Highways Code, to read:
CHAPTER 2. ROAD MAINTENANCE AND REHABILITATION PROGRAM
2030. (a) The Road Maintenance and Rehabilitation Program is
hereby created to address deferred maintenance on the state highway
system and the local street and road system. Funds made available by
the program shall be prioritized for expenditure on basic road
maintenance and road rehabilitation projects, and on critical safety
projects. The California Transportation Commission shall adopt
performance criteria to ensure efficient use of the funds available
pursuant to this chapter for the program.
(b) Funds made available by the program shall be used for projects
that include, but are not limited to, the following:
(1) Road maintenance and rehabilitation.
(2) Safety projects.
(3) Railroad grade separations.
(4) Active transportation and pedestrian and bicycle safety
projects in conjunction with any other allowable project.
(c) To the extent possible, the department and cities and counties
receiving an apportionment of funds under the program shall use
advanced technologies and material recycling techniques that reduce
the cost of maintaining and rehabilitating the streets and highways.
2031. The following revenues shall be deposited in the Road
Maintenance and Rehabilitation Account, which is hereby created in
the State Transportation Fund:
(a) Notwithstanding subdivision (b) of Section 2103, the revenues
attributable to the increase in the motor vehicle fuel excise tax by
twenty-two and one-half cents ($0.225) per gallon pursuant to
subdivision (a) of Section 7360 of the Revenue and Taxation Code, as
adjusted pursuant to subdivision (c) of that section.
(b) The revenues from the increase in the vehicle registration fee
pursuant to Section 9250.3 of the Vehicle Code.
(c) The revenues from the increase in the vehicle registration fee
pursuant to Section 9250.6 of the Vehicle Code.
(d) Any other revenues designated for the program.
2031.5. Each fiscal year the annual Budget Act shall contain an
appropriation from the Road Maintenance and Rehabilitation Account to
the Controller for the costs of carrying out his or her duties
pursuant to this chapter and to the California Transportation
Commission for the costs of carrying out its duties pursuant to this
chapter and Section 14526.7 of the Government Code.
2032. (a) After deducting the amounts appropriated in the annual
Budget Act as provided in Section 2031.5, 5 percent of the remaining
revenues deposited in the Road Maintenance and Rehabilitation Account
shall be set aside for counties in which voters approve, on or after
July 1, 2016, a transactions and use tax for transportation
purposes, and which counties did not, prior to that approval, impose
a transactions and use tax for those purposes. The funds available
under this subdivision in each fiscal year are hereby continuously
appropriated for allocation to each eligible county and each city in
the county for road maintenance and rehabilitation purposes. However,
funds remaining unallocated under this subdivision in any fiscal
year shall be reallocated on the last day of the fiscal year pursuant
to subdivision (b).
(b) The balance of the revenues deposited in the Road Maintenance
and Rehabilitation Account, including the revenues reallocated for
the purposes of this subdivision pursuant to subdivision (a), are
hereby continuously appropriated as follows:
(1) Fifty percent for allocation to the department for maintenance
of the state highway system or for purposes of the state highway
operation and protection program.
(2) Fifty percent for apportionment to cities and counties by the
Controller pursuant to the formula in subparagraph (C) of paragraph
(3) of subdivision (a) of Section 2103 for the purposes authorized by
this chapter.
2034. (a) Funds made available to a city or county under the
program shall be used for improvements to transportation facilities
that will assist in reducing further deterioration of the existing
road system. These improvements may include, but need not be limited
to, pavement maintenance, rehabilitation, installation, construction,
and reconstruction of necessary associated facilities such as
drainage and traffic control devices, or safety projects to reduce
fatalities.
(b) Funds made available under the program may also be used for
the following purposes:
(1) To satisfy the local match requirement in order to obtain
state or federal transportation funds for similar purposes.
(2) Active transportation and pedestrian and bicycle safety
projects in conjunction with any other allowable project.
2036. (a) Cities and counties shall maintain their existing
commitment of local funds for street, road, and highway purposes in
order to remain eligible for an allocation or apportionment of funds
pursuant to Section 2032.
(b) In order to receive an allocation or apportionment pursuant to
Section 2032, the city or county shall annually expend from its
general fund for street, road, and highway purposes an amount not
less than the annual average of its expenditures from its general
fund during the 2009-10, 2010-11, and 2011-12 fiscal years, as
reported to the Controller pursuant to Section 2151. For purposes of
this subdivision, in calculating a city's or county's annual general
fund expenditures and its average general fund expenditures for the
2009-10, 2010-11, and 2011-12 fiscal years, any unrestricted funds
that the city or county may expend at its discretion, including
vehicle in-lieu tax revenues and revenues from fines and forfeitures,
expended for street, road, and highway purposes shall be considered
expenditures from the general fund. One-time allocations that have
been expended for street and highway purposes, but which may not be
available on an ongoing basis, including revenue provided under the
Teeter Plan Bond Law of 1994 (Chapter 6.6 (commencing with Section
54773) of Part 1 of Division 2 of Title 5 of the Government Code),
may not be considered when calculating a city's or county's annual
general fund expenditures.
(c) For any city incorporated after July 1, 2009, the Controller
shall calculate an annual average expenditure for the period between
July 1, 2009, and December 31, 2015, inclusive, that the city was
incorporated.
(d) For purposes of subdivision (b), the Controller may request
fiscal data from cities and counties in addition to data provided
pursuant to Section 2151, for the 2009-10, 2010-11, and 2011-12
fiscal years. Each city and county shall furnish the data to the
Controller not later than 120 days after receiving the request. The
Controller may withhold payment to cities and counties that do not
comply with the request for information or that provide incomplete
data.
(e) The Controller may perform audits to ensure compliance with
subdivision (b) when deemed necessary. Any city or county that has
not complied with subdivision (b) shall reimburse the state for the
funds it received during that fiscal year. Any funds withheld or
returned as a result of a failure to comply with subdivision (b)
shall be reapportioned to the other counties and cities whose
expenditures are in compliance.
(f) If a city or county fails to comply with the requirements of
subdivision (b) in a particular fiscal year, the city or county may
expend during that fiscal year and the following fiscal year a total
amount that is not less than the total amount required to be expended
for those fiscal years for purposes of complying with subdivision
(b).
2037. A city or county may spend its apportionment of funds under
the program on transportation priorities other than those allowable
pursuant to this chapter if the city's or county's average Pavement
Condition Index meets or exceeds 85.
SEC. 8. Section 2192 of the Streets and Highways Code is amended
to read:
2192. (a) The Trade Corridors Improvement Fund, created pursuant
to subdivision (c) of Section 8879.23 of the Government Code, is
hereby continued in existence to receive revenues from sources other
than the Highway Safety, Traffic Reduction, Air Quality, and Port
Security Bond Act of 2006. This chapter shall govern expenditure of
those other revenues.
(b) The moneys in the fund from those other sources shall be
available upon appropriation for allocation by the California
Transportation Commission for infrastructure improvements in this
state on federally designated Trade Corridors of National and
Regional Significance, on the Primary Freight Network, and along
other corridors that have a high volume of freight movement, as
determined by the commission. In determining the projects eligible
for funding, the commission shall consult the Transportation Agency's
state freight plan plan, as described
in Section 13978.8 of the Government Code, the State Air
Resources Board's Sustainable Freight Strategy adopted by Resolution
14-2, and the trade infrastructure and goods movement plan submitted
to the commission by the Secretary of Transportation and the
Secretary for Environmental Protection. Code.
The commission shall also consult trade infrastructure and goods
movement plans adopted by regional transportation planning agencies,
adopted regional transportation plans required by state and federal
law, and the statewide port master plan
prepared by the California Marine and Intermodal Transportation
System Advisory Council (Cal-MITSAC) pursuant to Section 1730 of the
Harbors and Navigation Code, plans, when
determining eligible projects for funding. Eligible projects for
these funds include, but are not limited to, all of the following:
(1) Highway capacity improvements and operational improvements to
more efficiently accommodate the movement of freight, particularly
for ingress and egress to and from the state's land ports of entry
and seaports, including navigable inland waterways used to transport
freight between seaports, land ports of entry, and airports, and to
relieve traffic congestion along major trade or goods movement
corridors.
(2) Freight rail system improvements to enhance the ability to
move goods from seaports, land ports of entry, and airports to
warehousing and distribution centers throughout California, including
projects that separate rail lines from highway or local road
traffic, improve freight rail mobility through mountainous regions,
relocate rail switching yards, and
other projects that improve the efficiency and capacity of
the rail freight system.
(3) Projects to enhance the capacity and efficiency of ports.
(4) Truck corridor capital improvements, including
dedicated truck facilities facilities, truck
parking, or truck toll facilities.
(5) Border access improvements that enhance goods movement between
California and Mexico and that maximize the state's ability to
access coordinated border infrastructure funds made available to the
state by federal law.
(6) Surface transportation and connector road improvements to
effectively facilitate the movement of goods, particularly for
ingress and egress to and from the state's land ports of entry,
airports, and seaports, to relieve traffic congestion along major
trade or goods movement corridors.
(7) System efficiency improvements, including the development,
demonstration, and deployment of promising Intelligent Transportation
System (ITS) applications that integrate data from multiple sources
to provide freight real-time traveler information, freight dynamic
route guidance, optimization of drayage operations, or a combination
of these.
(c) (1) The commission shall allocate funds for trade
infrastructure improvements from the fund consistent with Section
8879.52 of the Government Code and the Trade Corridors Improvement
Fund (TCIF) Guidelines adopted by the commission on November 27,
2007, or as amended by the commission, and in a manner that
(A) addresses the state's most urgent needs, (B) balances the demands
of various land ports of entry, seaports, and airports, (C) provides
reasonable geographic balance between the state's regions, and (D)
places emphasis on projects that improve trade corridor mobility
while reducing emissions of diesel particulate and other pollutant
emissions. commission. In evaluating a potential
project to be funded pursuant to this section, the commission shall
give priority to those projects demonstrating one or more of the
following characteristics:
(A) Addresses the state's most urgent needs.
(B) Balances the demands of various land ports of entry, seaports,
and airports.
(C) Provides reasonable geographic balance between the state's
regions.
(D) Leverages additional public and private funding.
(E) Provides regional benefits with a focus on collaboration
between multiple entities.
(F) Provides the potential for cobenefits or multiple-benefit
attributes.
(G) Improves trade corridor mobility while reducing emissions of
diesel particulate and other pollutant emissions.
(2) In addition, the commission shall also consider the following
factors when allocating these funds:
(A) "Velocity," which means the speed by which large cargo would
travel from the land port of entry or seaport through the
distribution system.
(B) "Throughput," which means the volume of cargo that would move
from the land port of entry or seaport through the distribution
system.
(C) "Reliability," which means a reasonably consistent and
predictable amount of time for cargo to travel from one point to
another on any given day or at any given time in California.
(D) "Congestion reduction," which means the reduction in recurrent
daily hours of delay to be achieved.
SEC. 9. Section 2192.1 of the Streets and Highways Code is amended
to read:
2192.1. (a) To the extent moneys from the Greenhouse Gas
Reduction Fund, attributable to the auction or sale of allowances as
part of a market-based compliance mechanism relative to reduction of
greenhouse gas emissions, are transferred to the Trade Corridors
Improvement Fund, projects funded with those moneys shall be subject
to all of the requirements of existing law applicable to the
expenditure of moneys appropriated from the Greenhouse Gas Reduction
Fund, including, but not limited to, both all
of the following:
(1) Projects shall further the regulatory purposes of the
California Global Warming Solutions Act of 2006 (Division 25.5
(commencing with Section 38500) of the Health and Safety Code),
including reducing emissions from greenhouse gases in the state,
directing public and private investment toward disadvantaged
communities, increasing the diversity of energy sources, or creating
opportunities for businesses, public agencies, nonprofits, and other
community institutions to participate in and benefit from statewide
efforts to reduce emissions of greenhouse gases.
(2) Projects shall be consistent with the guidance developed by
the State Air Resources Board pursuant to Section 39715 of the Health
and Safety Code.
(3) Projects shall be consistent with the required benefits to
disadvantaged communities pursuant to Section 39713 of the Health and
Safety Code.
(b) All allocations of funds made by the commission pursuant to
this section shall be made in a manner consistent with the criteria
expressed in Section 39712 of the Health and Safety Code and with the
investment plan developed by the Department of Finance pursuant to
Section 39716 of the Health and Safety Code.
SEC. 10. Section 2192.4 is added to the Streets and Highways Code,
to read:
2192.4. Notwithstanding subdivision (b) of Section 2103, the
portion of the revenues in the Highway Users Tax Account attributable
to the increase in the tax rate on diesel fuel by thirty cents
($0.30) per gallon pursuant to subdivision (b) of Section 60050 of
the Revenue and Taxation Code, and as adjusted pursuant to
subdivision (c) of that section, shall be deposited in the Trade
Corridors Improvement Fund.
SEC. 11. Section 9250.3 is added to the Vehicle Code, to read:
9250.3. (a) In addition to any other fees specified in this code,
or the Revenue and Taxation Code, commencing 120 days after the
effective date of the act adding this section, a registration fee of
thirty-eight dollars ($38) shall be paid to the department for
registration or renewal of registration of every vehicle subject to
registration under this code, except those vehicles that are
expressly exempted under this code from payment of registration fees.
(b) Revenues from the fee, after deduction of the department's
administrative costs related to this section, shall be deposited in
the Road Maintenance and Rehabilitation Account created pursuant to
Section 2031 of the Streets and Highways Code.
SEC. 12. Section 9250.6 is added to the Vehicle Code, to read:
9250.6. (a) In addition to any other fees specified in this code,
or the Revenue and Taxation Code, commencing 120 days after the
effective date of the act adding this section, a registration fee of
one hundred and sixty-five dollars ($165) shall be paid to the
department for registration or renewal of registration of every
zero-emission motor vehicle subject to registration under this code,
except those motor vehicles that are expressly exempted under this
code from payment of registration fees.
(b) Revenues from the fee, after deduction of the department's
administrative costs related to this section, shall be deposited in
the Road Maintenance and Rehabilitation Account created pursuant to
Section 2031 of the Streets and Highways Code.
(c) This section does not apply to a commercial motor vehicle
subject to Section 9400.1.
(d) For purposes of this section, "zero-emission motor vehicle"
means a motor vehicle as described in subdivisions (c) and (d) of
Section 44258 of the Health and Safety Code, or any other motor
vehicle that is able to operate on any fuel other than gasoline or
diesel fuel.
SEC. 13. Section 9400.5 is added to the Vehicle Code, to read:
9400.5. Notwithstanding Sections 9400.1, 9400.4, and 42205 of
this code, Sections 16773 and 16965 of the Government Code, Section
2103 of the Streets and Highways Code, or any other law, weight fee
revenues shall not be transferred from the State Highway Account to
the Transportation Debt Service Fund, the Transportation Bond Direct
Payment Account, or any other fund or account for the purpose of
payment of the debt service on transportation general obligation
bonds, and shall not be loaned to the General Fund.
SEC. 14. 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 Constitution and shall go into
immediate effect. The facts constituting the necessity are:
In order to provide additional funding for road maintenance and
rehabilitation purposes as quickly as possible, it is necessary for
this act to take effect immediately.
