BILL NUMBER: ACA 4 CHAPTERED
BILL TEXT
RESOLUTION CHAPTER 87
FILED WITH SECRETARY OF STATE JULY 26, 2001
ADOPTED IN ASSEMBLY JULY 23, 2001
ADOPTED IN SENATE JULY 22, 2001
AMENDED IN SENATE JULY 21, 2001
AMENDED IN SENATE JULY 20, 2001
AMENDED IN ASSEMBLY APRIL 18, 2001
INTRODUCED BY Assembly Members Dutra and Longville
(Principal coauthors: Senators Murray and Karnette)
(Coauthors: Senators Alarcon, Alpert, Costa, Figueroa, and
Machado)
FEBRUARY 22, 2001
Assembly Constitutional Amendment No. 4--A resolution to propose
to the people of the State of California an amendment to the
Constitution of the State, by adding Article XIXB thereto, relating
to transportation.
LEGISLATIVE COUNSEL'S DIGEST
ACA 4, Dutra. Transportation funding: sales and use tax
revenues.
The Sales and Use Tax Law imposes a tax on the gross receipts from
the sale in this state of, or the storage, use, or other consumption
in this state of, tangible personal property. That law requires
revenues derived from those taxes to be deposited in the Retail Sales
Tax Fund. Existing law requires the balance of that fund remaining
after various specified allocations to be allocated to the General
Fund.
This measure would, for the 2003-04 fiscal year and each fiscal
year thereafter, require all moneys that are collected during the
fiscal year under the Sales and Use Tax Law, with respect to the sale
or use of motor vehicle fuel, and that are required to be
transferred to the General Fund pursuant to that law, to instead be
transferred to the Transportation Investment Fund. This measure
would, for the 2003-04 to 2007-08 fiscal years, inclusive, require
moneys in that fund to be allocated for transportation purposes as
provided in a specified statute. This measure would, for the 2008-09
fiscal year and each fiscal year thereafter, require moneys in the
fund to be allocated only for transportation purposes specified by
this measure, and would specify the allowable percentage amount to be
allocated for each specified transportation purpose.
This measure would allow the Legislature to suspend or modify
these requirements under certain circumstances, if the act so
providing is approved by 2/3 of the entire membership of each house
of the Legislature.
WHEREAS, California's continuing economic prosperity and quality
of life depend, in no small part, upon an expansive and efficient
transportation system; and
WHEREAS, The need to maintain, expand, and improve California's
multimodal transportation system increases as California continues to
grow; and
WHEREAS, Public investment in transportation has failed to keep
pace with California's growth, and additional fiscal resources are
needed simply to maintain, much less expand, California's
transportation system; and
WHEREAS, The failure to address California's transportation
funding needs will drain economic vitality, compromise public safety,
and erode quality of life; and
WHEREAS, It is now necessary to address California's
transportation problems by providing additional state funding, in a
manner that protects existing constitutional guarantees set forth in
Section 8 of Article XVI of the California Constitution, for the
funding of public education; now, therefore, be it
Resolved by the Assembly, the Senate concurring, That the
Legislature of the State of California at its 2001-02 Regular Session
commencing on the fourth day of December 2000, two-thirds of the
membership of each house concurring, hereby proposes to the people of
the State of California that the Constitution of the State be
amended by adding Article XIXB thereto, to read:
ARTICLE XIXB
MOTOR VEHICLE FUEL SALES TAX REVENUES AND TRANSPORTATION IMPROVEMENT
FUNDING
SECTION 1. (a) For the 2003-04 fiscal year and each fiscal year
thereafter, all moneys that are collected during the fiscal year from
taxes under the Sales and Use Tax Law (Part 1 (commencing with
Section 6001) of Division 2 of the Revenue and Taxation Code), or any
successor to that law, upon the sale, storage, use, or other
consumption in this State of motor vehicle fuel, and that are
deposited in the General Fund of the State pursuant to that law,
shall be transferred to the Transportation Investment Fund, which is
hereby created in the State Treasury.
(b) (1) For the 2003-04 to 2007-08 fiscal years, inclusive, moneys
in the Transportation Investment Fund shall be allocated, upon
appropriation by the Legislature, in accordance with Section 7104 of
the Revenue and Taxation Code as that section read on the operative
date of this article.
(2) For the 2008-09 fiscal year and each fiscal year thereafter,
moneys in the Transportation Investment Fund shall be allocated
solely for the following purposes:
(A) Public transit and mass transportation.
(B) Transportation capital improvement projects, subject to the
laws governing the State Transportation Improvement Program, or any
successor to that program.
(C) Street and highway maintenance, rehabilitation,
reconstruction, or storm damage repair conducted by cities, including
a city and county.
(D) Street and highway maintenance, rehabilitation,
reconstruction, or storm damage repair conducted by counties,
including a city and county.
(c) For the 2008-09 fiscal year and each fiscal year thereafter,
moneys in the Transportation Investment Fund shall be allocated, upon
appropriation by the Legislature, as follows:
(A) Twenty percent of the moneys for the purposes set forth in
subparagraph (A) of paragraph (2) of subdivision (b).
(B) Forty percent of the moneys for the purposes set forth in
subparagraph (B) of paragraph (2) of subdivision (b).
(C) Twenty percent of the moneys for the purposes set forth in
subparagraph (C) of paragraph (2) of subdivision (b).
(D) Twenty percent of the moneys for the purpose set forth in
subparagraph (D) of paragraph (2) of subdivision (b).
(d) The transfer of revenues from the General Fund of the State to
the Transportation Investment Fund pursuant to subdivision (a) may
be suspended, in whole or in part, for a fiscal year if both of the
following conditions are met:
(1) The Governor has issued a proclamation that declares that the
transfer of revenues pursuant to subdivision (a) will result in a
significant negative fiscal impact on the range of functions of
government funded by the General Fund of the State.
(2) The Legislature enacts by statute, pursuant to a bill passed
in each house of the Legislature by rollcall vote entered in the
journal, two-thirds of the membership concurring, a suspension for
that fiscal year of the transfer of revenues pursuant to subdivision
(a), provided that the bill does not contain any other unrelated
provision.
(e) The Legislature may enact a statute that modifies the
percentage shares set forth in subdivision (c) by a bill passed in
each house of the Legislature by rollcall vote entered in the
journal, two-thirds of the membership concurring, provided that the
bill does not contain any other unrelated provision and that the
moneys described in subdivision (a) are expended solely for the
purposes set forth in paragraph (2) of subdivision (b).