BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                            



           ----------------------------------------------------------------- 
          |SENATE RULES COMMITTEE            |                        AB 466|
          |Office of Senate Floor Analyses   |                              |
          |1020 N Street, Suite 524          |                              |
          |(916) 651-1520         Fax: (916) |                              |
          |327-4478                          |                              |
           ----------------------------------------------------------------- 
           
                                           
                                    THIRD READING


          Bill No:  AB 466
          Author:   Quirk-Silva (D)
          Amended:  8/29/13 in Senate
          Vote:     21

           
           SENATE TRANSPORTATION & HOUSING COMMITTEE  :  11-0, 6/11/13
          AYES:  DeSaulnier, Gaines, Beall, Cannella, Galgiani, Hueso,  
            Lara, Liu, Pavley, Roth, Wyland

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8

           ASSEMBLY FLOOR  :  75-0, 5/9/13 (Consent) - See last page for vote


           SUBJECT  :    Congestion Mitigation and Air Quality Improvement  
          Program

           SOURCE  :     Author


           DIGEST :    This bill requires the Department of Transportation  
          (Caltrans) to continue allocating federal Congestion Mitigation  
          and Air Quality (CMAQ) Improvement Program funds to regions  
          pursuant to a weighted formula that accounts for population and  
          pollution levels.

           Senate Floor Amendments  of 8/29/13 replace references to "air  
          quality program" with "air quality improvement program" and  
          replace and erroneous reference to "particular matter" with  
          "particulate matter."

           Senate Floor Amendments  of 8/22/13 clarify that the state must  
                                                                CONTINUED





                                                                     AB 466
                                                                     Page  
          2

          meet the federal requirement for states with areas with high  
          levels of particulate matter (PM) to prioritize projects proven  
          to reduce PM 2.5 emissions in those areas.

           ANALYSIS  :    CMAQ helps states meet the requirements of the  
          federal Clean Air Act by providing federal funds for state and  
          local transportation projects that reduce transportation-related  
          air pollution.  This program funds projects to reduce traffic  
          congestion and improve air quality both for areas that do not  
          meet the National Ambient Air Quality Standards for ozone,  
          carbon monoxide, or particulate matter (nonattainment areas),  
          and for former nonattainment areas that are now in compliance  
          (maintenance areas).  

          The U.S. Department of Transportation allocates CMAQ funds to  
          states based on a formula that weighs the severity of a state's  
          air quality problems, along with its population, compared to the  
          nationwide total.  States then sub-allocate funds to  
          metropolitan planning organizations and transportation agencies.  
           CMAQ-eligible projects include transportation control measures  
          such as high-occupancy vehicle lanes, high-occupancy toll lanes,  
          traffic flow improvement programs, and transit improvements.   
          Projects that do not help reduce vehicle emissions, such as  
          routine maintenance and rehabilitation or projects that add  
          capacity to highways, generally do not qualify for CMAQ funding.  
           

          Caltrans has customarily allocated CMAQ funds according to the  
          federal statutory formula.  In July 2012, however, Congress  
          passed and President Obama signed the Moving Ahead for Progress  
          in the 21st Century Act.  This new federal funding  
          authorization, known as MAP-21, changes CMAQ funding to a lump  
          sum allocation, leaving it up to states how to sub-allocate the  
          funds.  It also requires states with areas suffering from high  
          levels of PM to prioritize projects proven to reduce PM 2.5  
          emissions in these areas.  (PM 2.5 are fine particles, emitted  
          from motor vehicles, power plants, and other industrial  
          processes, that can cause serious heart and lung problems when  
          inhaled.)  

          This bill updates references in state statute to reflect the new  
          federal transportation funding authorization act, MAP-21, and  
          requires Caltrans to sub-allocate CMAQ funds pursuant to  
          weighted factors that are virtually identical to those  

                                                                CONTINUED





                                                                     AB 466
                                                                     Page  
          3

          previously specified in federal law, albeit accounting for the  
          new PM 2.5 emphasis.

           Background
           
           MAP-21 implementation  .  MAP-21 authorizes federal transportation  
          funding to states through September 30, 2014.  California  
          expects to receive $445 million in CMAQ funds under the new act.  
           To ensure funding for already-programmed projects, Caltrans and  
          the California Transportation Commission took administrative  
          action last fall to maintain status quo funding through the  
          transition period.  In accordance with that action, this bill  
          establishes the funding distribution for CMAQ in statute, as  
          well as updating references to the federal transportation act.  

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

           SUPPORT  :   (Verified  8/26/13)

          Los Angeles County Metropolitan Transportation Authority
          Metropolitan Transportation Commission
          Orange County Transportation Authority
          Rural County Representatives of California
          Santa Clara Valley Transportation Authority

           OPPOSITION  :    (Verified  8/26/13)

          Department of Finance

           ARGUMENTS IN SUPPORT  :    The author states that while MAP-21  
          consolidates and restructures many federal transportation  
          programs, it retains key programs such as CMAQ.  MAP-21 leaves  
          it up to states how to allocate CMAQ funds; this bill provides a  
          policy framework for that distribution to ensure transparency.   
          By maintaining the longstanding formula distribution, this bill  
          also provides certainty to local transportation agencies.

           ARGUMENTS IN OPPOSITION  :    The Department of Finance (DOF)  
          opposes this bill as unnecessary because current statute allows  
          for conformity with any changes required in MAP-21.  DOF further  
          argues that this bill conflicts with the Brown Administration's  
          MAP-21 implementation strategy of maintaining current funding  
          levels so that currently programmed projects are not  

                                                                CONTINUED





                                                                     AB 466
                                                                     Page  
          4

          interrupted.  Finally, DOF maintains that the two-year funding  
          authorization of MAP-21 is nearly halfway over.
           
          ASSEMBLY FLOOR  :  75-0, 5/9/13
          AYES:  Achadjian, Alejo, Allen, Ammiano, Atkins, Bigelow, Bloom,  
            Blumenfield, Bocanegra, Bonilla, Bonta, Bradford, Brown,  
            Buchanan, Ian Calderon, Campos, Chau, Chávez, Chesbro, Conway,  
            Cooley, Dahle, Daly, Dickinson, Eggman, Fong, Fox, Frazier,  
            Beth Gaines, Garcia, Gatto, Gomez, Gordon, Gorell, Gray,  
            Grove, Hagman, Hall, Harkey, Roger Hernández, Jones,  
            Jones-Sawyer, Levine, Linder, Lowenthal, Maienschein, Mansoor,  
            Medina, Melendez, Mitchell, Morrell, Mullin, Muratsuchi,  
            Nazarian, Nestande, Olsen, Pan, Patterson, Perea, V. Manuel  
            Pérez, Quirk, Quirk-Silva, Rendon, Salas, Skinner, Stone,  
            Ting, Torres, Wagner, Weber, Wieckowski, Wilk, Williams,  
            Yamada, John A. Pérez
          NO VOTE RECORDED:  Donnelly, Holden, Logue, Waldron, Vacancy


          JA:nl  8/30/13   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

                                   ****  END  ****





















                                                                CONTINUED