Bill Text: CA AB2653 | 2013-2014 | Regular Session | Amended
Bill Title: Transportation finance.
Sponsorship: Strong Partisan Bill (Republican 13-1)
Status: (Introduced - Dead) 2014-04-01 - Re-referred to Com. on BUDGET. [AB2653 Detail]
Download: California-2013-AB2653-Amended.html
BILL NUMBER: AB 2653 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MARCH 28, 2014
INTRODUCED BY Assembly Member Linder
( Coauthors: Assembly Members
Allen, Bigelow, Conway, Beth
Gaines, Gorell, Hagman, Harkey,
Jones, Melendez, Olsen,
Patterson, Wagner, and Wilk )
FEBRUARY 21, 2014
An act to amend Section 163 Sections 183.1
and 2103 of the Streets and Highways Code, relating to
transportation , and making an appropriation therefor .
LEGISLATIVE COUNSEL'S DIGEST
AB 2653, as amended, Linder. Transportation funds.
finance .
(1) Article XIX of the California Constitution restricts the use
of fuel excise tax revenues imposed by the state on fuels used in
motor vehicles upon public streets and highways to expenditure on
highway and certain mass transit purposes. Existing law provides for
the deposit of these revenues in the Highway Users Tax Account, and
appropriates those revenues to various purposes. Existing law, with
respect to the portion of these revenues that is derived from
increases in the motor vehicle fuel excise tax beginning in 2010,
requires an allocation to reimburse the State Highway Account for the
amount of weight fee revenues that the State Highway Account is not
receiving due to use of weight fee revenues to pay debt service on
transportation general obligation bonds and to make certain loans,
with the remaining amount of this portion of revenues allocated 44%
to the State Transportation Improvement Program, 12% to the State
Highway Operations and Protection Program, and 44% to city and county
streets and roads.
This bill would delete the provisions allocating revenues derived
from the increased motor vehicle fuel excise tax to State Highway
Account reimbursement, the State Transportation Improvement Program,
and the State Highway Operations and Protection Program. The bill
would instead provide for the Controller to apportion all of these
revenues to cities and counties for local streets and roads pursuant
to a specified formula, thereby making an appropriation.
(2) Existing law, commencing with the 2013-14 fiscal year,
requires certain revenues deposited in the State Highway Account that
are not restricted as to expenditure by Article XIX of the
California Constitution to be transferred to the Transportation Debt
Service Fund in the State Transportation Fund for payment of current
year debt service on certain transportation general obligation bonds.
This bill would delete the transfer of these revenues to the
Transportation Debt Service Fund, and would instead provide for
appropriation in the annual Budget Act of 44% of these revenues to
the State Transportation Improvement Program, 12% to the State
Highway Operations and Protection Program, and 44% to city and county
streets and roads pursuant to a specified formula.
Existing law establishes a policy for expenditure of certain state
and federal funds available to the state for transportation
purposes. Under this policy, the Department of Transportation and the
California Transportation Commission are required to develop a fund
estimate of available funds for purposes of adopting the state
transportation improvement program, which is a listing of capital
improvement projects. Existing law requires the estimate of annual
expenditures for local assistance to be the amount required to fund
local assistance programs required by state or federal law or
regulations.
This bill would make a nonsubstantive change to this provision.
Vote: majority. Appropriation: no yes
. Fiscal committee: no yes .
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 183.1 of the Streets
and Highways Code is amended to read:
183.1. (a) Notwithstanding subdivision (a) of Section 182 or any
other provision of law, money deposited into the account that is not
subject to Article XIX of the California Constitution, including, but
not limited to, money that is derived from the sale of documents,
charges for miscellaneous services to the public, condemnation
deposits fund investments, rental of state property, or any other
miscellaneous uses of property or money, may be used for any
transportation purpose authorized by statute, upon appropriation by
the Legislature or, after transfer to another fund, upon
appropriation by the Legislature from that fund.
(b) Commencing with the 2013-14 fiscal year, and not later than
November 1 of each fiscal year thereafter, based on prior year
financial statements, the Controller shall transfer the funds
identified in subdivision (a) for the prior fiscal year from the
State Highway Account to the Transportation Debt Service Fund in the
State Transportation Fund, and those funds are continuously
appropriated for the purposes specified for the Transportation Debt
Service Fund.
(b) The funds identified in subdivision (a) shall be appropriated
in the annual Budget Act as follows:
(1) Forty-four percent to fund projects in the State
Transportation Improvement Program.
(2) Twelve percent to fund projects in the State Highway Operation
and Protection Program.
(3) Forty-four percent to be apportioned by the Controller for
local street and road purposes pursuant to the formula in subdivision
(a) of Section 2103.
SEC. 2. Section 2103 of the
Streets and Highways Code is amended to read:
2103. (a) Notwithstanding Section 13340 of the Government Code,
of the net revenues deposited to the credit of the
Highway Users Tax Account that are derived from the increases in the
rates of taxes that are imposed pursuant to subdivision (b) of
Section 7360 and Section 7361.1 of the Revenue and Taxation Code
, all of the following shall occur on a monthly basis:
shall be apportioned by the Controller for local
street and road purposes as follows:
(1) (A) By the 15th day of every month, the Treasurer's office, in
consultation with the Department of Finance, shall notify the
Controller of the amount of debt service that will be paid on each
transportation bond during that month.
(B) Within two business days following the 28th day of each month,
the Controller shall transfer to the Transportation Debt Service
Fund an amount equal to the amount of monthly debt service paid by
the General Fund on any bonds issued pursuant to the Seismic Retrofit
Bond Act of 1996 (Chapter 12.48 (commencing with Section 8879) of
Division 1 of Title 2 of the Government Code) or any other bonds
issued for highway or eligible guideway projects consistent with the
requirements applicable to the expenditure of revenues under Article
XIX of the California Constitution as identified by the Department of
Finance pursuant to Section 16965 of the Government Code, and
three-quarters of the amount of monthly debt service paid on any
bonds issued pursuant to the Highway Safety, Traffic Reduction, Air
Quality, and Port Security Bond Act of 2006 (Chapter 12.49
(commencing with Section 8879.20) of Division 1 of Title 2) for
reimbursement of the General Fund for these costs. If revenues
available pursuant to this subdivision in any given month are
insufficient to fully reimburse the General Fund for the debt service
payments made, the first revenues available pursuant to this
subdivision in the following month or months shall be transferred to
the Transportation Debt Service Fund so that all debt service
payments made on these bonds from the General Fund in a given fiscal
year are fully reimbursed. However, no further transfers shall be
made pursuant to this subparagraph once the transfers for the months
of July to October, inclusive, in 2010 have been made. Any transfers
made from the net revenues identified in this paragraph for highway
and eligible guideway bond debt service for months after October 2010
shall be reversed and shall instead be made from weight fee revenues
in the State Highway Account, as described in subparagraph (F).
(C) Beginning November 2, 2010, the Controller shall transfer to
the State Highway Account within two business days following the 28th
day of each month all of the monthly net revenues identified in
subparagraph (B) that were designated for highway and eligible
guideway bond debt service reimbursement but that have not been
transferred, or that were transferred by means of a transfer that was
reversed, pursuant to that subparagraph. To the extent the
Controller has distributed any of those net revenues to cities and
counties pursuant to subparagraph (C) of paragraph (3) between
November 2, 2010, and March 24, 2011, the Controller shall
subsequently reduce the amount transferred to cities and counties on
a monthly basis pursuant to subparagraph (C) of paragraph (3) and
shall instead transfer these funds to the State Highway Account until
all of the revenues that would otherwise have been transferred to
the State Highway Account on and after November 2, 2010, pursuant to
this subparagraph have been so transferred. For the 2011-12 fiscal
year, the Controller shall transfer to the State Highway Account
within two business days following the 28th day of each month an
amount equal to the weight fee revenues transferred to the
Transportation Debt Service Fund pursuant to subdivision (b) of
Section 9400.4 of the Vehicle Code, including forty-three million
seven hundred thousand dollars ($43,700,000) authorized pursuant to
Item 2660-013-0042 of Section 2.00 of the Budget Act of 2011 and an
amount equal to weight fee revenues transferred to the General Fund
as a loan pursuant to subdivision (b) of Section 9400.4 of the
Vehicle Code. To the extent the Controller has distributed any of
those revenues to cities and counties pursuant to subparagraph (C) of
paragraph (3), the Controller shall subsequently reduce the amount
transferred to cities and counties on a monthly basis pursuant to
subparagraph (C) of paragraph (3) and instead transfer these funds to
the State Highway Account until all of the revenues that would
otherwise have been transferred to the State Highway Account in the
2011-12 fiscal year pursuant to this subparagraph have been so
transferred.
(D) Notwithstanding subparagraph (C), commencing with the 2012-13
fiscal year and every fiscal year thereafter, the Controller shall
transfer to the State Highway Account within two business days
following the 28th day of each month an amount equal to the amount of
weight fee revenues transferred to the Transportation Debt Service
Fund for highway and eligible guideway bond debt service and to the
General Fund as a loan pursuant to subdivision (c) of Section 9400.4
of the Vehicle Code.
(E) Beginning July 1, 2011, transfers made under subparagraphs (C)
and (D) during a fiscal year shall not exceed the annual revenue
generated from weight fees, as determined by Sections 9400.4 and
42205 of the Vehicle Code, at the rates in effect as of March 24,
2011, as determined by the Department of Finance.
(F) Any remaining amount of the highway or eligible guideway bond
debt service reimbursement authorized by this paragraph that has not
been made pursuant to subparagraph (B) on and after November 2, 2010,
shall instead be made pursuant to subdivisions (a), (b), and (c) of
Section 9400.4 of the Vehicle Code from revenues in the State Highway
Account derived from weight fees deposited in the account pursuant
to subdivision (e) of Section 9400.1 and Section 42205 of the Vehicle
Code.
(2) (A) In the 2010-11 fiscal year, after the monthly transfer
made pursuant to paragraph (1), the sum of fifty-four million one
hundred sixty-seven thousand dollars ($54,167,000) per month shall be
held in the account for future appropriation by the Legislature.
(B) Notwithstanding any other provision of law, with respect to
the monthly net revenues described in subparagraph (A), no further
transfers of these revenues for the purpose of loans to the General
Fund shall be made pursuant to Item 2660-011-0062 of Section 2.00 of
the Budget Act of 2010 once the loan transfers for the months of July
to October, inclusive, in 2010 have been made. Notwithstanding the
loan repayment date specified in the provisional language for that
item, the funds loaned shall be repaid by June 30, 2021. Any
transfers made from the monthly net revenues in subparagraph (A) for
months after October 2010 shall be reversed and shall instead be made
from weight fee revenues in the State Highway Account, as described
in subparagraph (D). The revenues from loan repayments shall be held
in the Highway Users Tax Account for future appropriation by the
Legislature.
(C) Beginning November 2, 2010, all of the monthly net revenues
described in subparagraph (A) shall instead be transferred by the
Controller to the State Highway Account within two business days
following the 28th day of each month. To the extent that the
Controller has distributed any of the revenues identified in this
paragraph to cities and counties pursuant to subparagraph (C) of
paragraph (3) between October 14, 2010, and March 24, 2011, the
Controller shall subsequently reduce the amount transferred to cities
and counties on a monthly basis pursuant to subparagraph (C) of
paragraph (3) and shall instead transfer these funds to the State
Highway Account until all of the revenues that would have been
transferred to the General Fund as a loan pursuant to Item
2660-011-0062 of Section 2.00 of the Budget Act of 2010 on and after
November 2, 2010, have instead been transferred to the State Highway
Account.
(D) Any remaining amount of the loans to the General Fund
authorized pursuant to Item 2660-011-0062 of Section 2.00 of the
Budget Act of 2010 that has not been made pursuant to subparagraph
(B) on and after November 2, 2010, shall instead be made pursuant to
subdivisions (a), (b), and (c) of Section 9400.4 of the Vehicle Code
from revenues in the State Highway Account derived from weight fees
deposited in the account pursuant to subdivision (e) of Section
9400.1 and Section 42205 of the Vehicle Code.
(3) The Controller shall transfer any remaining net revenues
subject to this subdivision as follows:
(A) Forty-four percent shall be transferred to the State Highway
Account to fund projects in the State Transportation Improvement
Program that are consistent with Section 1 of Article XIX of the
California Constitution, except in the 2010-11 fiscal year, 50
percent shall be transferred for purposes of this subparagraph.
(B) Twelve percent shall be transferred to the State Highway
Account to fund projects in the State Highway Operation and
Protection Program, except in the 2010-11 fiscal year, no revenues
shall be transferred for purposes of this subparagraph.
(C) Forty-four percent shall be apportioned by the Controller for
local street and road purposes, except in the 2010-11 fiscal year, 50
percent shall be transferred for purposes of this subparagraph as
follows:
(i)
(1) Fifty percent shall be apportioned by the
Controller to cities, including a city and county, in the proportion
that the total population of the city bears to the total population
of all the cities in the state.
(ii)
(2) Fifty percent shall be apportioned by the
Controller to counties, including a city and county, in accordance
with the following formulas:
(I)
(A) Seventy-five percent shall be apportioned among the
counties in the proportion that the number of fee-paid and exempt
vehicles that are registered in the county bear to the number of
fee-paid and exempt vehicles registered in the state.
(II)
(B ) Twenty-five percent shall be
apportioned among the counties in the proportion that the number of
miles of maintained county roads in each county bear to the total
number of miles of maintained county roads in the state. For the
purposes of apportioning funds under this subparagraph, any roads
within the boundaries of a city and county that are not state
highways shall be deemed to be county roads.
(b) After the transfers or other actions
apportionments pursuant to subdivision (a), at least 90 percent
of the balance deposited to the credit of the Highway Users Tax
Account in the Transportation Tax Fund by the 28th day of each month
shall be apportioned or transferred, as applicable, by the Controller
by the second working day thereafter, except for June, in which case
the apportionment or transfer shall be made the same day. These
apportionments or transfers shall be made as provided for in Sections
2104 to 2122, inclusive. If information is not available to make the
apportionment or transfer as required, the apportionment or transfer
shall be made on the basis of the information of the previous month.
Amounts not apportioned or transferred shall be included in the
apportionment or transfer of the subsequent month.
(c) Notwithstanding any other law, the funds apportioned by the
Controller to cities and counties pursuant to subparagraph
(C) of paragraph (3) of subdivision (a) are not subject to
Section 7104 or 7104.2 of the Revenue and Taxation Code. These funds
may be expended for any street and road purpose consistent with the
requirements of this chapter.
SECTION 1. Section 163 of the Streets and
Highways Code is amended to read:
163. The Legislature, through the enactment of this section,
intends to establish a policy for the use of all transportation funds
that are available to the state, including the State Highway
Account, the Public Transportation Account, and federal funds. For
the purposes of this section, "federal funds" means any obligational
authority to be provided under annual federal transportation
appropriations acts. The department and the commission shall prepare
fund estimates pursuant to Sections 14524 and 14525 of the Government
Code based on the following:
(a) Annual expenditures for the administration of the department
shall be the same as the most recent Budget Act, adjusted for
inflation.
(b) Annual expenditures for the maintenance and operation of the
state highway system shall be the same as the most recent Budget Act,
adjusted for inflation and inventory, or, when a maintenance plan
has been enacted pursuant to Section 164.6, maintenance expenditures
shall be based on planned expenditures in that plan.
(c) Annual expenditure for the rehabilitation of the state highway
system shall be the same as the most recent Budget Act, or, when a
long-range rehabilitation plan has been enacted pursuant to Section
164.6, shall be based on planned expenditures in that long-range
plan.
(d) Annual expenditures for local assistance shall be the amount
required to fund local assistance programs required by state or
federal law or regulations, including, but not limited to, railroad
grade crossing maintenance, bicycle transportation account projects,
congestion mitigation and air quality, regional surface
transportation programs, local highway bridge replacement and
rehabilitation, local seismic retrofit, local hazard elimination and
safety, and local emergency relief.
(e) After deducting expenditures for administration, operation,
maintenance, local assistance, safety, and rehabilitation pursuant to
subdivisions (a), (b), (c), and (d), and for expenditures pursuant
to Section 164.56, the remaining funds shall be available for capital
improvement projects to be programmed in the state transportation
improvement program.
