BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  SB 204
                                                                  Page  1

          Date of Hearing:   August 8, 2012

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                     SB 204 (Liu) - As Amended:  August 6, 2012 

          Policy Committee:                              
          TransportationVote:12-0
                        Local Government                        7-1

          Urgency:     No                   State Mandated Local Program: 
          No     Reimbursable:               

           SUMMARY  

          This bill authorizes the Los Angeles County Metropolitan 
          Transportation Authority (LACMTA) to develop a local alternative 
          transportation improvement program (LATIP) for the State Route 
          (SR) 710 North Gap Closure Project. Specifically, this bill:

          1)Authorizes the LACMTA, in consultation with Caltrans and 
            jointly with the cities containing excess 
            properties-properties previously acquired but no longer needed 
            to construct a surface freeway in the SR 710 Study Area-to 
            develop and file a LATIP with the California Transportation 
            Commission (CTC), and stipulates that the CTC has final 
            authority regarding the content and approval of the LATIP.

          2)Requires the CTC and Caltrans to declare the properties 
            acquired for the SR 710 extension in Pasadena, South Pasadena, 
            Alhambra, and Los Angeles as surplus state property upon 
            either elimination of a surface freeway alternative from 
            further consideration in the environmental review or 
            completion of the draft EIR and selection by Caltrans of the 
            locally preferred alternative, whichever occurs first. 
            Caltrans is to then proceed with selling excess properties, 
            and tenants of any non-residential properties are to be 
            offered right of first refusal to purchase at fair market 
            value.

          3)Stipulates that all net proceeds from the sale of excess 
            properties are to be allocated by the CTC to fund the LATIP, 
            and prohibits these proceeds from being used to advance a 
            subsurface alternative for the SR 710 North Gap Closure 








                                                                  SB 204
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            Project.

          4)Requires relocation assistance and replacement of low and 
            moderate income housing, as specified, for persons displaced 
            through implementation of the LATIP, and prohibits proceeds 
            from sale of the excess properties to be used for replacement 
            housing.

          5)Authorizes LACMTA, with the CTC's concurrence, to advance a 
            project in the LATIP using its own funds, prior to the 
            availability of funds from the sale of excess property being 
            available.

           FISCAL EFFECT  

          Caltrans owns 587 homes within the 710 corridor. The number of 
          these homes to be declared surplus will depend on the type of 
          project selected to replace the long-planned project for which 
          these homes were originally purchased by the state. Per the 
          bill's provisions, sale of some or all of these properties will 
          generate unknown but significant revenue that cannot be used to 
          offset costs of replacement housing, but must instead be used to 
          fund LATIP. Therefore, significant costs will be incurred from 
          some other, unidentified source, to fund the replacement 
          housing.

           COMMENTS  

           1)Background .  I-710 is a major north-south interstate freeway 
            running 23 miles through Los Angeles County-from Long Beach to 
            Alhambra, stopping short of the originally planned terminus in 
            Pasadena.  Construction of the 4.5-mile segment between 
            Alhambra and Pasadena, through South Pasadena, has been 
            delayed for decades due to community opposition. Alternative 
            concepts have been proposed and evaluated to close the 4.5 
            mile gap, but none have been successful in satisfying the 
            regional mobility needs and community/environmental concerns.  
            The previous alternatives considered would traverse highly 
            urbanized neighborhoods and require substantial amounts of 
            right-of-way along the alignments.

            In response to this reaction and to lessen the potential 
            impact of completing the SR 710, a tunnel concept was proposed 
            for assessment as a potential option to the surface 
            alternatives. The authority has completed the feasibility 








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            assessment of a tunnel alternative and concluded that this 
            concept is feasible and that no insurmountable environmental 
            issues would preclude further consideration of the tunnel 
            alternative. LACMTA is currently in the midst of an 
            environmental review of the SR 710 study area.

           2)Purpose  . SB 204 is intended to ensure that proceeds from any 
            disposition of these homes will be allocated to fund 
            alternative transportation projects within this corridor. SB 
            204 is similar to AB 1386 (Hayashi)/Chapter 291 of 2009, which 
            directed the proceeds from the sale of excess properties in 
            the SR 84 and SR 238 corridors to a special fund to be used to 
            implement LATIPs in those corridors.

           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081