Bill Text: CA SB892 | 2015-2016 | Regular Session | Introduced


Bill Title: Transportation: San Bernardino County Transportation

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2016-11-30 - From committee without further action. [SB892 Detail]

Download: California-2015-SB892-Introduced.html
BILL NUMBER: SB 892	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Leyva

                        JANUARY 20, 2016

   An act to amend Sections 130102, 130108, 190000, 190001, 190003,
190005, 190100, 190101, 190103, 190300, 190302, 190303, 190304,
190305, 190306, 190307, 190307.5, 190308, 190309, 190310, 190311,
190312, 190313, 190314, 190315, 190316, 190318, 190319, 190320,
190321, 190322, and 190323 of, to amend the heading of Division 20
(commencing with Section 190000) of, to amend and renumber Sections
190102, 190200, 190201, and 190202 of, to add the headings of Article
1 (commencing with Section 190000), Article 2 (commencing with
190100), and Article 3 (commencing with 190300) to Chapter 1 of
Division 20 of, to add Chapter 2 (commencing with Section 190500) to
Division 20 of, to repeal Sections 130054 and 130102.5 of, to repeal
the headings of Chapter 2 (commencing with Section 190100), Chapter 3
(commencing with Section 190200), and Chapter 4 (commencing with
Section 190300) of Division 20 of, and to repeal and add the heading
of Chapter 1 (commencing with Section 190000) of Division 20 of, the
Public Utilities Code, and to amend Section 149.11 of the Streets and
Highways Code, relating to transportation.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 892, as introduced, Leyva. Transportation: San Bernardino
County Transportation Authority.
   Existing law authorizes a county board of supervisors to create or
otherwise designate local agencies, including a transportation
authority that may impose a transportation sales tax subject to voter
approval, a service authority for freeway emergencies, and a
transportation congestion management agency, as specified.
   The Joint Exercise of Powers Act authorizes the legislative or
other governing bodies of 2 or more public agencies to jointly
exercise, by agreement, any power common to the contracting parties,
as specified.
   The County Transportation Commissions Act provides for the
creation of county transportation commissions in the Counties of Los
Angeles, Orange, Riverside, San Bernardino, and Ventura, with various
powers and duties relative to transportation planning and funding,
as specified.
   This bill would create the San Bernardino County Transportation
Authority as the successor agency to the powers, duties, revenues,
debts, obligations, liabilities, immunities, and exemptions of the
San Bernardino County Transportation Commission and San Bernardino
County local transportation authority, service authority for freeway
emergencies, and local congestion management agency, and of the San
Bernardino Associated Governments, when it was acting on behalf, or
in the capacity, of those agencies.
   By imposing new duties on local government associated with this
consolidation, the bill would impose a state-mandated local program.
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  It is the intent of the Legislature that the San
Bernardino County Transportation Authority be a unified and
comprehensive institutional structure that combines the
transportation-related functions and authorities of the San
Bernardino County Transportation Commission and San Bernardino County
transportation authority, service authority for freeway emergencies,
and congestion management agency, which are currently exercised by
the San Bernardino Associated Governments joint powers authority by
statute or by designation of the San Bernardino County Board of
Supervisors. It is the intent of the Legislature that this act vest
responsibility and liability for transportation-related functions in
the County of San Bernardino in a single entity, promote
administrative efficiency, enhance public transparency, and ensure
maximum accountability to the people, as provided in this act.
  SEC. 2.  Section 130054 of the Public Utilities Code is repealed.

   130054.  The San Bernardino County Transportation Commission shall
be the San Bernardino Associated Governments, consisting of the
following members:
   (a) Five members of the San Bernardino County Board of
Supervisors.
   (b) The Mayor of the City of San Bernardino.
   (c) One member from each of the other incorporated cities of San
Bernardino County, who shall be a mayor or a city councilman.
   (d) One nonvoting member appointed by the Governor. 
  SEC. 3.  Section 130102 of the Public Utilities Code is amended to
read:
   130102.  A majority of the members of the commission shall
constitute a quorum for the transaction of business, and all official
acts of the  commission, except as otherwise provided in
Section 130102.5,   commission  shall require the
affirmative vote of a majority of the members of the commission.
  SEC. 4.  Section 130102.5 of the Public Utilities Code is repealed.

   130102.5.  In the case of the San Bernardino County Transportation
Commission, its official acts shall require the affirmative vote of
a majority of the members representing the cities and a majority of
the members of the board of supervisors if this is requested by
either a majority of the members representing the cities or a
majority of the members of the board of supervisors. 
  SEC. 5.  Section 130108 of the Public Utilities Code is amended to
read:
   130108.  (a) Each member of a commission may be compensated at a
rate not exceeding one hundred dollars ($100) for any day attending
to the business of the commission, but not to exceed four hundred
dollars ($400) in any month, and the necessary traveling and personal
expenses incurred in the performance of his duties as authorized by
the commission.  Members of the San Bernardino County
Transportation Authority shall be compensated pursuant to this
subdivision.  Members of the Los Angeles County Metropolitan
Transportation Authority shall be compensated pursuant to subdivision
(b).
   (b) Each member of the Los Angeles County Metropolitan
Transportation Authority shall be compensated at a rate not exceeding
one hundred and fifty dollars ($150) for any day attending to the
business of the authority, but not to exceed six hundred dollars
($600) per month, and other expenses which are directly related to
the performance of duties as authorized by the authority.
  SEC. 6.  The heading of Division 20 (commencing with Section
190000) of the Public Utilities Code is amended to read:

      DIVISION 20.  SAN BERNARDINO COUNTY TRANSPORTATION 
COMMISSION   AUTHORITY 


  SEC. 7.  The heading of Chapter 1 (commencing with Section 190000)
of Division 20 of the Public Utilities Code is repealed. 
      CHAPTER 1.  GENERAL PROVISIONS, FINDINGS, AND DEFINITIONS


  SEC. 8.  The heading of Chapter 1 (commencing with Section 190000)
is added to Division 20 of the Public Utilities Code, to read:
      CHAPTER 1.  SAN BERNARDINO COUNTY TRANSPORTATION SALES TAX ACT


  SEC. 9.  The heading of Article 1 (commencing with Section 190000)
is added to Chapter 1 of Division 20 of the Public Utilities Code, to
read:

      Article 1.  General Provisions, Findings, and Definitions


  SEC. 10.  Section 190000 of the Public Utilities Code is amended to
read:
   190000.   The division   This chapter 
shall be known and may be cited as the San Bernardino County
Transportation Sales Tax Act.
  SEC. 11.  Section 190001 of the Public Utilities Code is amended to
read:
   190001.  The Legislature hereby finds and declares all of the
following:
   (a) Recognizing the scarcity of resources available for all
transportation development, alternative methods of financing provided
in this  division   chapter  are needed to
finance the cost of constructing, developing, acquiring, and
maintaining and providing highways, streets, roads, and public
transportation services in the County of San Bernardino and these
methods will increase economic opportunities, contribute to economic
development, be in the public interest and serve a public purpose,
and promote the health, safety, and welfare of the citizens within
the County of San Bernardino.
   (b) It is the intent of the Legislature, in enacting this 
division,   chapter  that the County of San
Bernardino continue to receive its equitable share of funds under the
state transportation improvement program and that incentives be
provided to reward rather than to penalize counties that adopt local
sales tax measures.
   (c) It is in the public interest to allow the voters of San
Bernardino County to adopt a specific revenue source and to authorize
new duties for the San Bernardino County Transportation 
Commission   Authority  so that local decisions can
be implemented in a timely manner to provide improvements to the
transportation system.
  SEC. 12.  Section 190003 of the Public Utilities Code is amended to
read:
   190003.   "Commission"   "Authority 
 " means the San Bernardino County Transportation 
Commission   Authority  created pursuant to Section
 130054.   190505. 
  SEC. 13.  Section 190005 of the Public Utilities Code is amended to
read:
   190005.  "San Bernardino Associated Governments" means the joint
powers agency established pursuant to Chapter 5 (commencing with
Section 6500) of Division 7 of Title 1 of the Government Code. Any
board, commission, department, or officer succeeding to the functions
of the association is granted the powers and duties of the
association under this  division.   chapter.

  SEC. 14.  The heading of Chapter 2 (commencing with Section 190100)
of Division 20 of the Public Utilities Code is repealed. 
      CHAPTER 2.  ADMINISTRATION


  SEC. 15.  The heading of Article 2 (commencing with Section 190100)
is added to Chapter 1 of Division 20 of the Public Utilities Code,
to read:

      Article 2.  Administration


  SEC. 16.  Section 190100 of the Public Utilities Code is amended to
read:
   190100.  The  commission   authority 
shall expend only that amount of the funds generated pursuant to this
 division   chapter  for staff support,
audit, administrative expenses, and contract services that are
necessary and reasonable to carry out its responsibilities pursuant
to this  division,   chapter,  and in no
case shall the funds  generated pursuant to this chapter be 
expended for salaries and benefits  exceed   in
excess of  1 percent of the annual amount of revenue raised by
the tax.
  SEC. 17.  Section 190101 of the Public Utilities Code is amended to
read:
   190101.  The  commission   authority 
shall do all of the following with respect to the revenues derived
from the transactions and use tax levied pursuant to  Chapter
4   Article 3  (commencing with Section 190300):
   (a) Adopt an annual budget.
   (b) Cause a postaudit of the financial transactions and records of
the  commission   authority  and of all
revenues expended pursuant to this  division  
chapter  to be made at least annually by a certified public
accountant.
   (c) Do any and all things necessary to carry out the purposes of
this  division.   chapter. 
  SEC. 18.  Section 190102 of the Public Utilities Code is amended
and renumbered to read:
    190102.   190525.   (a) The 
commission   authority  shall publish, pursuant to
Section 6061 of the Government Code, notice of the time and place of
the public hearing for the adoption of the annual budget not later
than 15 days prior to the date of the hearing.
   (b) The proposed annual budget shall be available for public
inspection at least 15 days prior to the hearing.
  SEC. 19.  Section 190103 of the Public Utilities Code is amended to
read:
   190103.  The  commission   authority 
may approve a transaction and use tax ordinance and ballot
proposition and call an election in accordance with  Chapter
4   Article 3  (commencing with Section 190300).
  SEC. 20.  The heading of Chapter 3 (commencing with Section 190200)
of Division 20 of the Public Utilities Code is repealed. 
      CHAPTER 3.  POWERS AND FUNCTIONS


  SEC. 21.  Section 190200 of the Public Utilities Code is amended
and renumbered to read:
    190200.   190526.   The 
commission   authority  may sue and be sued, except
as otherwise provided by law, in all actions and proceedings, in all
courts and tribunals of competent jurisdiction.
  SEC. 22.  Section 190201 of the Public Utilities Code is amended
and renumbered to read:
    190201.   190527.   All claims for
money or damages against the  commission  
authority  are governed by Division 3.6 (commencing with Section
810) of Title 1 of the Government Code except as provided therein,
or by other statutes or regulations expressly applicable thereto.
  SEC. 23.  Section 190202 of the Public Utilities Code is amended
and renumbered to read:
    190202.   190528.   The 
commission   authority  may make contracts and
enter into stipulations of any nature whatsoever, including, but not
limited to, contracts and stipulations to indemnify and hold
harmless, to employ labor, and to do all acts necessary and
convenient for the full exercise of the powers granted in this
division.
  SEC. 24.  The heading of Chapter 4 (commencing with Section 190300)
of Division 20 of the Public Utilities Code is repealed. 
      CHAPTER 4.  TRANSACTIONS AND USE TAX


  SEC. 25.  The heading of Article 3 (commencing with Section 190300)
is added to Chapter 1 of Division 20 of the Public Utilities Code,
to read:

      Article 3.  Transactions and Use Tax


  SEC. 26.  Section 190300 of the Public Utilities Code is amended to
read:
   190300.  The Legislature, by the enactment of this 
chapter,   article,  intends the additional funds
provided government agencies by this  chapter  
article  to supplement existing local revenues being used for
transportation purposes. The government agencies shall maintain their
existing commitment of local funds for transportation purposes
pursuant to an ordinance adopted by the  commission 
 authority  to enforce this section.
   The  commission   authority  may levy a
retail transactions and use tax applicable in the incorporated and
unincorporated territory of the county in accordance with this
 chapter   article  and Part 1.6
(commencing with Section 7251) of Division 2 of the Revenue and
Taxation Code. The ordinance shall only become effective if adopted
by a two-thirds vote of the  commission  
authority  and subsequently approved by two-thirds of the
electors voting on the measure at a special election called for the
purpose by the board of supervisors or at any regular election. The
board of supervisors shall call the election upon being requested to
do so by a resolution adopted by the  commission, 
 authority,  but not otherwise. The  commission
  authority  shall specify in the ordinance that
not more than 1 percent of the annual amount of revenues raised by
the tax may be used to fund the salaries and benefits of the staff of
the  commission   authority  in
administering the programs funded from that tax. The ordinance shall
take effect at the close of the polls on the day of election at which
the proposition is adopted. The initial collection of the
transactions and use tax shall take place in accordance with Section
190304.
   If the voters do not approve the ordinance, the board of
supervisors may, at any time thereafter, submit the same, or a
different, measure, if adopted by a two-thirds vote of the 
commission,   authority,  to the voters in
accordance with this  division.   chapter. 

  SEC. 27.  Section 190302 of the Public Utilities Code is amended to
read:
   190302.  (a) The  commission,   authority
 in the ordinance, shall state the nature of the tax to be
imposed, the tax rate or the maximum tax rate, the purposes for which
the revenue derived from the tax will be used, and shall set a term
during which the tax will be imposed.
   (b) The purposes for which the tax revenues may be used may
include, but are not limited to, the administration of this 
division,   chapter,  including legal actions
related thereto, the construction, capital acquisition, maintenance,
and operation of streets, roads, and highways, including state
highways. These purposes include expenditures for the planning,
environmental reviews, engineering and design costs, and related
right-of-way acquisition.
   (c) The ordinance shall contain an expenditure plan  which
  that  shall include the allocation of revenues
for the purposes authorized by this section and shall include, at a
minimum, the following provisions:
   (1) The proportional distribution of the revenues among various
purposes.
   (2) The specific projects to be funded under the state highway and
freeway portion. Following adoption of the ordinance by the voters,
the plan may only be amended, if required, by the following process:
   (A) Initiation of amendment by the  commission, 
 authority,  reciting findings of necessity.
   (B) Approval by the board of supervisors.
   (C) Approval by a majority of the cities constituting a majority
of the incorporated population.
   (3) The formula for distribution of the city and the county
portion, which may be amended by voter approval.
   (4) A requirement that the arterial portion be expended pursuant
to a five-year project list to be adopted by the  commission,
  authority,  extended annually for one year,
available for public review, to be first adopted at least 30 days
prior to the election held pursuant to Section  190301.
  190300. 
   (5) A requirement that the city and the county portions be
expended pursuant to a five-year project list to be adopted by a
resolution by each city and the board of supervisors, respectively,
extended annually for one year, available for public review, to be
first adopted at least 30 days prior to the election held pursuant to
Section  190301.   190300. 
  SEC. 28.  Section 190303 of the Public Utilities Code is amended to
read:
   190303.  (a) The county shall conduct an election called by the
board of supervisors pursuant to Section  190301. 
 190300. 
   (b) The election shall be called and conducted in the same manner
as provided by law for the conduct of elections by a county.
  SEC. 29.  Section 190304 of the Public Utilities Code is amended to
read:
   190304.  (a) Any transactions and use tax ordinance adopted
pursuant to this  chapter   article  shall
be operative on the first day of the first calendar quarter
commencing more than 120 days after adoption of the ordinance.
   (b) Prior to the operative date of the ordinance, the 
commission   authority  shall contract with the
State Board of Equalization to perform all functions incident to the
administration and operation of the ordinance.
  SEC. 30.  Section 190305 of the Public Utilities Code is amended to
read:
   190305.  The revenues from the taxes imposed pursuant to this
 chapter   article  shall be allocated by
the  commission   authority  for
transportation purposes consistent with the adopted regional
transportation improvement program and the regional transportation
plan.
  SEC. 31.  Section 190306 of the Public Utilities Code is amended to
read:
   190306.  (a) The  commission,   authority,
 subject to the approval of the voters, may impose a maximum tax
rate of one-half of 1 percent under this  division 
 chapter  and Part 1.6 (commencing with Section 7251) of
Division 2 of the Revenue and Taxation Code, and the 
commission   authority  may state the maximum tax
rate in terms of not to exceed one-half of 1 percent, or any lesser
percentage thereof. Neither this  division  
chapter  nor the ordinance shall affect any tax otherwise
authorized.
   (b) The tax rate adopted pursuant to this  chapter,
  article,  unless otherwise prohibited, may be
increased by the  commission   authority 
by ordinance adopted in the manner and by the vote stated in Section
 190301   190300  and approved by a
majority of the electors voting on the measure at an election called
for that purpose by the  commission.  
authority. 
  SEC. 32.  Section 190307 of the Public Utilities Code is amended to
read:
   190307.  The  commission   authority may
reduce a tax rate to percentages lower than that approved by the
voters and may further provide for an increase of the tax rate if it
has previously been lowered. However, the tax rate  may
  shall  not be increased to a rate above the tax
rate approved by the voters.
   Any reduced tax rate may be adopted only if the 
commission   auth   ority  determines, by
a two-thirds vote, that the proceeds of the taxes with the altered
tax rate will be sufficient to provide for the payment of principal
of, and interest on, any limited tax bonds and any other indebtedness
incurred by the  commission   authority 
which was to be payable from the proceeds of the retail transactions
and use tax.
  SEC. 33.  Section 190307.5 of the Public Utilities Code is amended
to read:
   190307.5.  Any increase or reduction in the tax rate adopted
pursuant to Section 190306 or 190307 shall become effective on the
first day of the calendar quarter which commences at least 120 days
following the date of the  commission's  
authority's  vote approving the increased or reduced rate.
  SEC. 34.  Section 190308 of the Public Utilities Code is amended to
read:
   190308.  (a) If requested to do so by the  commission
  authority  in its resolution calling for an
election, the board of supervisors, as part of the ballot proposition
to approve the imposition of a retail transactions and use tax, may
seek authorization to issue bonds for capital outlay expenditures as
may be provided for in the ordinance expenditure plan payable solely
from the proceeds of the tax.
   (b) The maximum bonded indebtedness that may be outstanding at any
one time shall be an amount equal to the sum of the principal of,
and interest on, the bonds, but not to exceed the estimated proceeds
of the tax, as determined by the plan. The amount of bonds
outstanding at any one time does not include the amount of bonds,
refunding bonds, or bond anticipation notes for which funds necessary
for the payments thereof have been set aside for that purpose in a
trust or escrow account.
   (c) The proposition shall set forth the actual percent of the tax.

   (d) The proposition shall set forth the duration of the tax if the
plan specifies a time limit.
   (e) The proposition shall set forth the amount of bonds, if any,
payable from the proceeds of the tax.
   (f) The proposition shall set forth the  commission
  authority  as the agency imposing the tax.
   (g) The proposition shall set forth the appropriations limit of
the  commission   authority  pursuant to
Section 4 of Article XIII B of the California Constitution.
   (h) The sample ballot to be mailed to the voters, pursuant to
Section 13303 of the Elections Code, shall be the full proposition,
as set forth in the ordinance calling the election, and the voter
information handbook shall include the entire ordinance expenditure
plan.
  SEC. 35.  Section 190309 of the Public Utilities Code is amended to
read:
   190309.  (a) The bonds authorized by the voters concurrently with
the approval of the retail transactions and use tax may be issued at
any time by the  commission   authority 
and shall be payable from the proceeds of the tax. The bonds shall be
referred to as "limited tax bonds."
   The bonds may be secured by a pledge of revenues from the proceeds
of the tax.
   (b) The pledge of the tax to the limited tax bonds authorized
under this  chapter   article shall have
priority over the use of any of the tax for "pay-as-you-go"
financing, except to the extent that priority is expressly restricted
in the resolution authorizing the issuance of the bonds.
  SEC. 36.  Section 190310 of the Public Utilities Code is amended to
read:
   190310.  Limited tax bonds shall be issued pursuant to a
resolution adopted at any time by a two-thirds vote of the 
commission.   authority.  Each resolution shall
provide for the issuance of bonds in the amounts as may be necessary,
until the full amount of bonds authorized have been issued. The full
amount of bonds may be divided into two or more series and different
dates of payment fixed for the bonds of each series. A bond need not
mature on its anniversary date.
  SEC. 37.  Section 190311 of the Public Utilities Code is amended to
read:
   190311.  (a) A resolution authorizing the issuance of bonds shall
state all of the following:
   (1) The purposes for which the proposed debt is to be incurred,
which may include all costs and estimated costs incidental to, or
connected with, the accomplishment of those purposes, including,
without limitation, engineering, inspection, legal, fiscal agents,
financial consultant and other fees, bond and other reserve funds,
working capital, bond interest estimated to accrue during the
construction period and for a period not to exceed three years
thereafter, and expenses of all proceedings for the authorization,
issuance, and sale of the bonds.
   (2) The estimated cost of accomplishing those purposes.
   (3) The amount of the principal of the indebtedness.
   (4) The maximum term the bonds proposed to be issued shall run
before maturity, which shall not be beyond the date of termination of
the imposition of the retail transactions and use tax.
   (5) The maximum rate of interest to be paid, which shall not
exceed the maximum allowable by law.
   (6) The denomination or denominations of the bonds, which shall
not be less than five thousand dollars ($5,000).
   (7) The form of the bonds, including, without limitation,
registered bonds and coupon bonds, to the extent permitted by federal
law, and the form of any coupons to be attached thereto, the
registration, conversion, and exchange privileges, if any, pertaining
thereto, and the time when all of, or any part of, the principal
becomes due and payable.
   (b) The resolution may also contain any other matters authorized
by this  chapter   article  or any other
law.
  SEC. 38.  Section 190312 of the Public Utilities Code is amended to
read:
   190312.  The bonds shall bear interest at a rate or rates not
exceeding the maximum allowable by law, payable at intervals
determined by the  commission,   authority,
 except that the first interest payable on the bonds, or any
series thereof, may be for any period not exceeding one year, as
determined by the  commission.   authority.

  SEC. 39.  Section 190313 of the Public Utilities Code is amended to
read:
   190313.  In the resolution authorizing the issuance of the bonds,
the  commission   authority  may also
provide for the call and redemption of the bonds prior to maturity at
the times and prices and upon other terms as specified. However, no
bond is subject to call or redemption prior to maturity, unless it
contains a recital to that effect or unless a statement to that
effect is printed.
  SEC. 40.  Section 190314 of the Public Utilities Code is amended to
read:
   190314.  The principal of, and interest on, the bonds shall be
payable in lawful money of the United States at the office of the
treasurer of the  commission,   au  
thority,  or at other places as may be designated, or at both
the office and other places at the option of the holders of the
bonds.
  SEC. 41.  Section 190315 of the Public Utilities Code is amended to
read:
   190315.  The bonds, or each series thereof, shall be dated and
numbered consecutively and shall be signed by the chairperson or vice
chairperson of the  commission   authority
 and the auditor-controller of the  commission,
  authority,  and the official seal, if any, of the
 commission   authority  shall be
attached.
   The interest coupons of the bonds shall be signed by the
auditor-controller of the  commission.  
authority.  All of the signatures and seal may be printed,
lithographed, or mechanically reproduced.
   If any officer whose signature appears on the bonds or coupons
ceases to be that officer before the delivery of the bonds, the
officer's signature is as effective as if the officer had remained in
office.
  SEC. 42.  Section 190316 of the Public Utilities Code is amended to
read:
   190316.  The bonds may be sold as the  commission
  authority  determines by resolution, and the
bonds may be sold at a price below par, whether by negotiated or
public sale.
  SEC. 43.  Section 190318 of the Public Utilities Code is amended to
read:
   190318.  All accrued interest and premiums received on the sale of
the bonds shall be placed in the fund to be used for the payment of
the principal of, and interest on, the bonds, and the remainder of
the proceeds of the bonds shall be placed in the treasury of the
 commission   authority  and applied to
secure the bonds or for the purposes for which the debt was incurred.
However, when the purposes have been accomplished, any money
remaining shall be either (a) transferred to the fund to be used for
the payment of principal of, and interest on, the bonds or (b) placed
in a fund to be used for the purchase of the outstanding bonds in
the open market at prices and in the manner, either at public or
private sale or otherwise, as determined by the  commission.
  authority.  Bonds so purchased shall be canceled
immediately.
  SEC. 44.  Section 190319 of the Public Utilities Code is amended to
read:
   190319.  (a) The  commission   authority
 may provide for the issuance, sale, or exchange of refunding
bonds to redeem or retire any bonds issued by the  commission
  authority  upon the terms, at the times and in
the manner which it determines.
                                                             (b)
Refunding bonds may be issued in a principal amount sufficient to pay
all, or any part of, the principal of the outstanding bonds, the
premiums, if any, due upon call and redemption thereof prior to
maturity, all expenses of the refunding, and either of the following:

   (1) The interest upon the refunding bonds from the date of sale
thereof to the date of payment of the bonds to be refunded out of the
proceeds of the sale of the refunding bonds or to the date upon
which the bonds to be refunded will be paid pursuant to call or
agreement with the holders of the bonds.
   (2) The interest upon the bonds to be refunded from the date of
sale of the refunding bonds to the date of payment of the bonds to be
refunded or to the date upon which the bonds to be refunded will be
paid pursuant to call or agreement with the holder of the bonds.
   (c) The provisions of this  chapter   article
 for the issuance and sale of bonds apply to the issuance and
sale of refunding bonds.
  SEC. 45.  Section 190320 of the Public Utilities Code is amended to
read:
   190320.  (a) The  commission   authority
 may borrow money in anticipation of the sale of bonds which
have been authorized pursuant to this  chapter, 
 article,  but which have not been sold or delivered, and
may issue negotiable bond anticipation notes therefor and may renew
the bond anticipation notes from time to time. However, the maximum
maturity of any bond anticipation notes, including the renewals
thereof, shall not exceed five years from the date of delivery of the
original bond anticipation notes.
   (b) The bond anticipation notes, and the interest thereon, may be
paid from any money of the  commission  
authority  available therefor, including the revenues from the
tax. If not previously otherwise paid, the bond anticipation notes,
or any portion thereof, or the interest thereon, shall be paid from
the proceeds of the next sale of the bonds of the  commission
  authority  in anticipation of which the notes
were issued.
   (c) The bond anticipation notes shall not be issued in any amount
in excess of the aggregate amount of the bonds which the 
commission   authority  has been authorized to
issue, less the amount of any bonds of the authorized issue
previously sold, and also less the amount of other bond anticipation
notes therefor issued and then outstanding. The bond anticipation
notes shall be issued and sold in the same manner as the bonds.
   (d) The bond anticipation notes and the resolutions authorizing
them may contain any provisions, conditions, or limitations which a
resolution of the  commission   authority 
may contain.
  SEC. 46.  Section 190321 of the Public Utilities Code is amended to
read:
   190321.  Any bonds issued under this  chapter 
 article  are legal investment for all trust funds; for the
funds of insurance companies, commercial and savings banks, and trust
companies; and for state school funds; and whenever any money or
funds may, by any law now or hereafter enacted, be invested in bonds
of cities, counties, school districts, or other districts within the
state, that money or those funds may be invested in the bonds issued
under this chapter,   article,  and
whenever bonds of cities, counties, school districts, or other
districts within the state may, by any law now or hereafter enacted,
be used as security for the performance of any act or the deposit of
any public money, the bonds issued under this  chapter
  article  may be so used. The provisions of this
 chapter   article  are in addition to all
other laws relating to legal investments and shall be controlling as
the latest expression of the Legislature with respect thereto.
  SEC. 47.  Section 190322 of the Public Utilities Code is amended to
read:
   190322.  Any action or proceeding wherein the validity of the
adoption of the retail transactions and use tax ordinance provided
for in this  chapter   article  or the
issuance of any bonds thereunder or any of the proceedings in
relation thereto is contested, questioned, or denied, shall be
commenced within six months from the date of the election at which
the ordinance is approved; otherwise, the bonds and all proceedings
in relation thereto, including the adoption and approval of the
ordinance, shall be held to be valid and in every respect legal and
incontestable.
  SEC. 48.  Section 190323 of the Public Utilities Code is amended to
read:
   190323.   The commission has no   This
chapter does not vest in the authority the  power to impose any
tax other than the transactions and use tax imposed upon approval of
the voters in accordance with this  division.  
chapter. 
  SEC. 49.  Chapter 2 (commencing with Section 190500) is added to
Division 20 of the Public Utilities Code, to read:
      CHAPTER 2.  SAN BERNARDINO COUNTY TRANSPORTATION AUTHORITY
CONSOLIDATION ACT OF 2016


   190500.  This chapter shall be known and may be cited as the San
Bernardino County Transportation Authority Consolidation Act of 2016.

   190503.  For purposes of this chapter, the following definitions
shall apply:
   (a) "Authority" means the San Bernardino County Transportation
Authority established pursuant to Section 190505.
   (b) "Local congestion management agency" means a San Bernardino
County congestion management agency established pursuant to
subdivision (a) of Section 65089 of the Government Code.
   (c) "Local transportation authority" means a San Bernardino County
transportation authority established pursuant to Section 180050.
   (d) "Service authority for freeway emergencies" means a San
Bernardino County service authority for freeway emergencies
established pursuant to Section 2551 of the Streets and Highways
Code.
   190505.  (a) There is hereby created the San Bernardino County
Transportation Authority. The authority shall be the successor agency
to the powers, duties, revenues, debts, obligations, liabilities,
immunities, and exemptions of the San Bernardino County
Transportation Commission established pursuant to Section 130050,
local transportation authority, service authority for freeway
emergencies, and local congestion management agency, and of the San
Bernardino Associated Governments, established pursuant to Section
6502 of the Government Code, when it was acting on behalf, or in the
capacity, of those agencies.
   (b) The authority may, at its own election, exercise any statutory
or regulatory powers and rely upon any immunities or exemptions
provided by law for the county transportation commission, local
transportation authority, service authority for freeway emergencies,
or local congestion management agency.
   (c) The governing body of the authority shall consist of the
following members:
   (1) Five members of the San Bernardino County Board of
Supervisors.
   (2) One member from each of the incorporated cities of the County
of San Bernardino, who shall be a mayor or a city council member of
his or her incorporated city.
   (3) One nonvoting member appointed by the Governor.
   (d) Each incorporated city of the County of San Bernardino may
appoint an alternate member to represent it at a meeting, but only if
the regular member cannot attend the meeting. The alternate member
shall be either the mayor or a city council member of that
incorporated city.
   190510.  (a) Any reference in this division, or in any other
provision of law or regulation, to the San Bernardino County
Transportation Commission or to a San Bernardino County
transportation commission, local transportation authority, service
authority for freeway emergencies, or local congestion management
agency, shall be deemed to refer to the authority.
   (b) By operation of law, the authority shall assume the rights,
obligations, assets, and liabilities of the San Bernardino County
Transportation Commission and San Bernardino County local
transportation authority, service authority for freeway emergencies,
and local congestion management agency, and of the San Bernardino
Associated Governments when it was acting on behalf, or in the
capacity, of those agencies, under any contract to which any of them
is a party and which was entered into before January 1, 2017. All
real and personal property owned by any of them shall be transferred
to the authority by operation of law.
   (c) The authority shall indemnify, defend, and hold harmless the
San Bernardino Associated Governments and its member agencies from
any and all powers, duties, debts, obligations, liabilities, or
claims arising out of or related to the powers, duties, debts,
obligations, and liabilities transferred to the authority under this
act by operation of law.
   190512.  Except as otherwise provided in this division, Chapter 1
(commencing with Section 130000), Chapter 2 (commencing with Section
130050), Chapter 3 (commencing with 130100), and Chapter 4
(commencing with Section 130200) of Division 12 shall be applicable
to the authority and shall be in addition to the powers and functions
of the authority set forth in this chapter.
   190514.  Chapter 1 (commencing with Section 180000), Chapter 5
(commencing with Section 180200), and Chapter 6 (commencing with
Section 180250) of Division 19 shall be applicable to the authority
and shall be in addition to the powers and functions of the authority
set forth in this chapter.
   190520.  A majority of the members of the authority shall
constitute a quorum for the transaction of business, and all official
acts of the authority shall require the affirmative vote of a
majority of the members of the authority.
   190530.  (a) After the creation of the authority and on the
effective date of a contract with the San Bernardino County Employees'
Retirement Association providing retirement benefits to the
authority's employees equivalent to those provided to employees of
the San Bernardino Associated Governments, existing balances in the
San Bernardino County Associated Governments' Account in the San
Bernardino County Employees' Retirement Association fund shall be
transferred to the authority's account in that fund.
   (b) After the creation of the authority and on the effective date
of a contract with the California Public Employees' Retirement
System, the authority shall assume all retirement fund obligations of
the retired employees of San Bernardino Associated Governments, and
existing balances in the San Bernardino County Associated Governments'
Account in the California Public Employees' Retirement System fund
shall be transferred to the authority's account in that fund.
   (c) As of the effective date of the transfer of retirement funds
under subdivision (a), all then current employees of the San
Bernardino Associated Governments shall be deemed to be employees of
the authority and all duties and obligations of the employment
relationship shall be assumed by the authority.
   (d) The authority may contract to provide the services of its
employees to San Bernardino Associated Governments upon lawful terms
and conditions as the authority and the San Bernardino Associated
Governments shall agree.
   190550.  Notwithstanding Section 130233, if, after rejecting bids
received under Section 130232, the authority determines and declares,
by a majority vote of all of its members, that the supplies,
equipment, or materials may be purchased at a lower price in the open
market, the authority may proceed to purchase those supplies,
equipment, or materials in the open market without further observance
of the provisions in Article 2 (commencing with Section 130220) of
Chapter 4 of Division 12 regarding contracts, bids, advertisement, or
notice.
  SEC. 50.  Section 149.11 of the Streets and Highways Code, as added
by Chapter 702 of the Statutes of 2015, is amended to read:
   149.11.  (a) (1) Notwithstanding Sections 149 and 30800 of this
code, and Section 21655.5 of the Vehicle Code, the San Bernardino
County Transportation  Commission,   Authority,
 created pursuant to Section  130054  
190505  of the Public Utilities Code, may conduct, administer,
and operate a value-pricing program in the Interstate 10 and
Interstate 15 corridors in the County of San Bernardino. The
value-pricing program may include high-occupancy toll lanes or other
toll facilities. The San Bernardino County Transportation 
Commission   Authority  may also extend the program
to include the approaching and departing connectors on Interstate 10
extending into the County of Los Angeles, as designated by an
agreement with the Los Angeles County Metropolitan Transportation
Authority, and the connection to the Interstate 15 express lanes
project in the County of Riverside, as designated by an agreement
with the Riverside County Transportation Commission. The San
Bernardino County Transportation  Commission  
Authority  may exercise its existing powers of eminent domain
pursuant to Section 130220.5 of the Public Utilities Code to acquire
property necessary to carry out the purposes of the value-pricing
program.
   (2) The value-pricing program authorized pursuant to paragraph (1)
may only be implemented upon a determination that the program and
the resulting facilities will improve the performance of the affected
corridors. Improved performance may be demonstrated by factors that
include, but are not limited to, increased passenger throughput or
improved travel times. The San Bernardino County Transportation
 Commission   Authority  shall make the
determination required by this paragraph in a public meeting prior to
operation of the value-pricing program.
   (3) The San Bernardino County Transportation  Commission
  Authority  shall have the authority to set, levy,
and collect tolls, user fees, or other similar charges payable for
the use of the toll facilities in the County of San Bernardino, and
any other incidental or related fees or charges, and to collect those
revenues, in a manner determined by the San Bernardino County
Transportation  Commission,   Authority, 
in amounts as required for the following expenditures relative to the
program and for the purposes of paragraph (4):
   (A) Development, including the costs of design, construction,
right-of-way acquisition, and utilities adjustment.
   (B) Operations and maintenance, including, but not limited to,
insurance, collection, and enforcement of tolls, fees, and charges.
   (C) Repair, rehabilitation, and reconstruction.
   (D) Indebtedness incurred and internal loans and advances,
including related financial costs.
   (E) Administration, which shall not exceed 3 percent of the
revenues of toll facilities and associated transportation facilities.

   (F) Reserves for the purposes described in subparagraphs (A) to
(E), inclusive.
   (4) All revenue generated pursuant to paragraph (3) in excess of
the expenditure needs of that paragraph shall be used exclusively for
the benefit of the transportation corridors included in the
value-pricing program created pursuant to this section. These excess
revenue expenditures shall be described in an excess revenue
expenditure plan developed in consultation with the department and
adopted and periodically updated by the board of directors of the San
Bernardino County Transportation  Commission  
Authority  and may include, but need not be limited to, the
following eligible expenditures:
   (A) Expenditures to enhance transit service designed to reduce
traffic congestion within the transportation corridors included in
the value-pricing program created pursuant to this section. Eligible
expenditures include, but are not limited to, transit operating
assistance, the acquisition of transit vehicles, and transit capital
improvements otherwise eligible to be funded under the state
transportation improvement program pursuant to Section 164.
   (B) Expenditures to make operational or capacity improvements
designed to reduce traffic congestion or improve the flow of traffic
in the transportation corridors included in the value-pricing program
created pursuant to this section. Eligible expenditures include, but
are not limited to, any phase of project delivery to make capital
improvements to on ramps, off ramps, connector roads, roadways,
bridges, or other structures that are necessary for or related to the
tolled or nontolled transportation facilities in the transportation
corridors included in the value-pricing program created pursuant to
this section.
   (5) To the extent the San Bernardino County Transportation
 Commission   Authority  plans to extend
the value-pricing program into the Counties of Los Angeles or
Riverside, it shall enter into an agreement with the Los Angeles
County Metropolitan Transportation Authority or the Riverside County
Transportation Commission, as applicable, subject to approval of the
board of directors of the San Bernardino County Transportation
 Commission   Authority  and the board of
directors of the affected entity. If the value-pricing program
developed and operated by the San Bernardino County Transportation
 Commission   Authority  connects to, or is
near, similar toll facilities constructed and operated by the Los
Angeles County Metropolitan Transportation Authority or the Riverside
County Transportation Commission, the respective entities shall
enter into an agreement providing for the coordination of the toll
facilities operated by each entity.
   (b) (1) The San Bernardino County Transportation 
Commission   Authority  shall carry out the program
in cooperation with the Department of the California Highway Patrol
pursuant to an agreement that addresses all matters related to
enforcement on state highway system facilities in connection with the
value-pricing program, and with the department pursuant to an
agreement that addresses all matters related to the design,
construction, maintenance, and operation of state highway system
facilities in connection with the value-pricing program, including,
but not limited to, financing, repair, rehabilitation, and
reconstruction.
   (2) The San Bernardino County Transportation  Commission
  Authority  shall be responsible for reimbursing
the department and the Department of the California Highway Patrol
for costs related to the toll facility pursuant to an agreement
between the San Bernardino County Transportation  Commission
  Authority  and the department and between the San
Bernardino County Transportation  Commission  
Authority  and the Department of the California Highway Patrol.
   (c) Single-occupant vehicles that are certified or authorized by
the San Bernardino County Transportation  Commission
  Authority  for entry into, and use of, the
high-occupancy toll lanes implemented pursuant to this section are
exempt from Section 21655.5 of the Vehicle Code, and the driver shall
not be in violation of the Vehicle Code because of that entry and
use.
   (d) (1) The San Bernardino County Transportation 
Commission   Authority  may issue bonds at any time
to finance any costs necessary to implement the program established
pursuant to this section and any expenditures provided for in
paragraphs (3) and (4) of subdivision (a), payable from the revenues
generated from the program and any other sources of revenues
available to the San Bernardino County Transportation 
Commission   Authority  that may be used for these
purposes, including, but not limited to, sales tax revenue,
development impact fees, or state and federal grants.
   (2) The maximum bonded indebtedness that may be outstanding at any
one time shall not exceed an amount that may be serviced from the
projected revenues available as described in paragraph (1).
   (3) The bonds shall bear interest at a rate or rates not exceeding
the maximum allowable by law, payable at intervals determined by the
San Bernardino County Transportation  Commission. 
 Authority. 
   (4) Any bond issued pursuant to this subdivision shall contain on
its face a statement to the following effect:
   "Neither the full faith and credit nor the taxing power of the
State of California is pledged to the payment of principal of, or
interest on, this bond."
   (5) Bonds shall be issued pursuant to a resolution of the
governing board of the San Bernardino County Transportation 
Commission   Authority  adopted by a majority vote
of its governing board. The resolution or bond authorizing instrument
shall state all of the following:
   (A) The purposes for which the proposed debt is to be incurred.
   (B) The estimated cost of accomplishing those purposes.
   (C) The amount of the principal of the indebtedness.
   (D) The maximum term of the bonds and the maximum interest rate.
   (E) The denomination or denominations of the bonds, which shall
not be less than five thousand dollars ($5,000).
   (F) The form of the bonds.
   (e) Not later than three years after  either  the San
Bernardino County Transportation Commission  or the San
Bernardino County Transportation Authority  first collects
revenues from the program authorized by this section, the San
Bernardino County Transportation  Commission  
Authority  shall submit a report to the Legislative Analyst on
its findings, conclusions, and recommendations concerning the
program. The report shall include an analysis of the effect of the
transportation facilities on the adjacent mixed-flow lanes and any
comments submitted by the department and the Department of the
California Highway Patrol regarding operation of the transportation
facilities.
   (f) This section shall not prevent the department or any local
agency from constructing improvements in the transportation corridors
that compete with the program, and the San Bernardino County
Transportation  Commission   Authority 
shall not be entitled to compensation for the adverse effects on toll
revenue due to those competing improvements.
   (g) If any provision of this section or the application thereof is
held invalid, that invalidity shall not affect other provisions or
applications of this section that can be given effect without the
invalid provision or application, and to this extent the provisions
are severable.
   (h) Nothing in this section shall authorize the conversion of any
existing nontoll or nonuser-fee lanes into tolled or user-fee lanes,
except that a high-occupancy vehicle lane may be converted into a
high-occupancy toll lane.
  SEC. 51.  The provisions of this act are severable. If any
provision of this act or its application is held invalid, that
invalidity shall not affect other provisions or applications that can
be given effect without the invalid provision or application.
  SEC. 52.  If the Commission on State Mandates determines that this
act contains costs mandated by the state, reimbursement to local
agencies and school districts for those costs shall be made pursuant
to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of
the Government Code.
        
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