Amended in Senate June 4, 2013

Amended in Assembly April 25, 2013

Amended in Assembly April 16, 2013

Amended in Assembly March 19, 2013

California Legislature—2013–14 Regular Session

Assembly BillNo. 528

Introduced by Assembly Member Lowenthal

February 20, 2013

An act to repeal Sections 14036.2 and 14036.3 of, and to repeal and add Section 14036 of, the Government Code, and to amend Section 185033 of the Public Utilities Code, relating to transportation.


AB 528, as amended, Lowenthal. State Railbegin delete Plan:end deletebegin insert Plan andend insert High-Speed Rail Authority business plan.

(1) Existing law requires the Department of Transportation to prepare a 10-year State Rail Plan bienniallybegin delete for submission to the Legislature, Governor, and specified entitiesend deletebegin insert, and requires the department to submit the State Rail Plan to the California Transportation Commission for its advice and consent on or before October 1 of each odd-numbered year prior to submitting the State Rail Plan to the Legislature, the Governor, and other entities by the following Marchend insert. Existing law requires the plan to consist of 2 elements, a passenger rail element and a freight rail element, and sets forth various items that are required to be included in each element. Existing law separately requires the High-Speed Rail Authority to prepare, publish, adopt, and submit to the Legislature, not later than January 1, 2012, and every 2 years thereafter, abegin delete specifiedend delete business plan,begin delete withend deletebegin insert that includesend insert specified elements, and to publish, at least 60 days prior to the publication of the plan, a draft business plan for public review and comment, as specified.

This bill would revisebegin delete and recastend delete the items required to be included in thebegin delete 2 elements of theend delete State Rail Plan andbegin delete in the elements ofend delete the business planbegin delete, and would eliminate the 10-year timeframe for the State Rail Planend delete.begin insert The bill would require the State Rail Plan to be submitted to the commission for advice 6 months prior to submitting the final State Rail Plan to the Transportation Agency for approval, and, on or before March 1, 2017, would require the approved State Rail Plan to be submitted to the Legislature, the Governor, and other specified entities. The bill would require the state rail plan to be updated, at a minimum, every 5 years.end insert The bill would change, from January 1 to May 1 of each even-numbered year, the date by which the High-Speed Rail Authority is required to prepare, publish, adopt, and submit the business plan to the Legislature.

(2) Existing law requires the department to identify in the rail passenger development plan the 3 most decrepit intercity rail passenger stations in the state used by trains operated by the National Railroad Passenger Corporation (AMTRAK) and those rail passenger stations that require upgraded parking facilities, as specified. Existing law requires the department to consider and estimate the cost of specified types of rail service improvements to the San Joaquin Amtrak route, and to report its findings in the rail passenger development plan submitted in 1991 pursuant to the provisions governing the preparation of the State Rail Plan.

This bill would repeal these requirements.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1


The Legislature finds and declares all of the

3(a) Passage of the federal Passenger Rail Investment and
4Improvement Act of 2008 (49 U.S.C. Sec. 22701 etbegin delete seq.).end deletebegin insert seq.)end insert
5 requires comprehensive rail plans in order for states to be eligible
6for new federal rail capital grants. To comply with federal law,
7the state rail plan must include, at a minimum, all of the following:

P3    1(1) An inventory of the existing rail transportation system and
2rail services and facilities within the state, and an analysis of the
3role of rail transportation within the state’s surface transportation

5(2) A review of all rail lines within the state, including proposed
6high-speed rail corridors.

7(3) A statement of the state’s passenger rail objectives.

8(4) A general analysis of the transportation, economic, and
9environmental impacts of rail in the state, including congestion
10mitigation, trade and economic development, air quality, land use,
11energy use, and community impacts.

12(5) A long-range investment program for current and future
13freight and passenger rail infrastructure in the state.

14(b) The Department of Transportation, pursuant to Section 14036
15of the Government Code, is responsible for the preparation of a
16state rail plan. Furthermore, the department has been designated
17by the Federal Railroad Administration as the responsible agency
18for development of the federally required state rail plan.

19(c) Implementation of any recommended passenger rail services
20identified in the plan is contingent upon a negotiated agreement
21between a freight rail operator and the passenger service sponsor
22or operator.

23(d) Used and unused capacity of freight railroads is important
24to the economic well-being of the state as it supports the state’s
25role as the nation’s gateway for international trade, provides an
26environmentally preferred alternative for the movement of goods,
27and supports employment opportunities in the goods movement
28logistics industry.


SEC. 2.  

Section 14036 of the Government Code is repealed.


SEC. 3.  

Section 14036 is added to the Government Code, to



(a) The department shall prepare a State Rail Plan.begin insert The
33plan shall be submitted to the California Transportation
34Commission for its advice six months prior to the submission of
35the plan pursuant to subdivisions (c) and (d).end insert
Pursuant to Section
3622702 of Title 49 of the United States Code, the department is
37designated as the state rail transportation authority to prepare,
38maintain, coordinate, and administer the plan.

39(b) Thebegin delete passenger rail elementend deletebegin insert planend insert shall contain all of the

P4    1(1) A statement of compliance with the requirements set forth
2in the federal Passenger Rail Investment and Improvement Act of
32008 (Public Law 110-432; 49 U.S.C. Sec. 22701 et seq.).

4(2) Plans for a comprehensive and integrated statewide passenger
5rail system, including high-speed rail, conventional intercity and
6commuter rail, and connections to urban rail systems.begin insert Related to
7the conventional intercity passenger rail program, these plans
8shall include all of the following:end insert

begin insert

9(A) Recommendations for service levels of, and a capital
10program for, existing and proposed intercity passenger rail
11services over a 10-year period, including a list of service
12enhancements on existing and additional routes, with
13recommendations regarding funding and priority. The plans shall
14explain how the recommended service levels support the
15comprehensive and integrated passenger rail system.

end insert
begin insert

16(B) All actual capital and operating expenditures over the prior
17five years.

end insert
begin insert

18(C) All proposed capital and operating expenditures for the
19next five years.

end insert
begin insert

20(D) A performance evaluation for the prior five years for each
21existing route.

end insert
begin insert

22(E) A discussion of fare policies and practices.

end insert

23(3) A review of all high-speed rail routes, the rail freight system,
24conventional intercity and commuterbegin insert passengerend insert rail systems, and
25urban rail system connections to high-speed rail and conventional
26intercity and commuterbegin insert passengerend insert rail systems, including a
27statement of the state’s passenger rail objectives for routes in the

29(4) In consultation with the freight railroad industry, an
30identification of the improvements that have utility to both rail
31freight and passenger rail services in the state.

32(5) An inventory of the existing rail transportation system and
33rail services and facilities in the state, and an analysis of the role
34of rail transportation within the state’s overall transportation

begin delete

36(c) The freight rail element shall contain discussions of all of
37the following:

end delete
begin insert

38(6) A freight rail element that contains all of the following:

end insert
begin delete

10 39(1)

end delete

P5    1begin insert(A)end insert Environmental impacts that include air quality, land use,
2and community impacts.

begin delete

12 3(2)

end delete

4begin insert(B)end insert Financing issues that include the planned means to obtain
5federal and state funding.

begin delete

14 6(3)

end delete

7begin insert(C)end insert Rail issues that include regional, intrastate, and interstate

begin delete

16 9(4)

end delete

10begin insert(D)end insert Intermodal connections that include seaports and intermodal

begin delete

18 12(5)

end delete

13begin insert(E)end insert A statement of current system deficiencies.

begin delete

19 14(6)

end delete

15begin insert(F)end insert Service objectives that improve efficiency, accessibility,
16and safety.

begin delete

21 17(7)

end delete

18begin insert(G)end insert New technology that includes logistics and process

begin delete

23 20(8)

end delete

21begin insert(H)end insert Light density rail line analyses that include traffic density,
22track characteristics, project selection criteria, and benefit-cost

begin delete


end delete

25begin insert(c)end insert The final plan shall be submitted to the Transportation
26Agency for approval pursuant to Section 22702 of Title 49 of the
27United States Code. On or before March 1, 2017, the approved
28plan shall be submitted to the Legislature pursuant to Section 9795,
29the Governor, the Public Utilities Commission, the High-Speed
30Rail Authority, and the commission.

begin delete


end delete

32begin insert(d)end insert The plan shall be updated, at a minimum, every five years


SEC. 4.  

Section 14036.2 of the Government Code is repealed.


SEC. 5.  

Section 14036.3 of the Government Code is repealed.


SEC. 6.  

Section 185033 of the Public Utilities Code is amended
37to read:



(a) The authority shall prepare, publish, adopt, and
39submit to the Legislature, not later than May 1, 2014, and every
40two years thereafter, a business plan. At least 60 days prior to the
P6    1publication of the plan, the authority shall publish a draft business
2plan for public review and comment. The draft plan shall also be
3submitted to the Senate Committee on Transportation and Housing,
4the Assembly Committee on Transportation, the Senate Committee
5on Budget and Fiscal Review, and the Assembly Committee on

7(b) (1) The business plan shall include, but need not be limited
8to, all of the following elements:

9(A) begin deleteThe end deletebegin insertA description of theend insert type of service the authority is
10developing and the proposed chronology for the construction of
11the statewide high-speed rail system, and the estimated capital
12costs for each segment or combination of segments.

13(B) begin deleteUsing the most recent patronage forecast for the system,
14develop a end delete
begin insertAend insert forecast of the expected patronage, service levels, and
15operating and maintenance costs for the Phase 1 corridor as
16identified in paragraph (2) of subdivision (b) of Section 2704.04
17of the Streets and Highways Code and by each segment or
18combination of segments for which a project level environmental
19analysis is being prepared for Phase 1. The forecast shall assume
20a high, medium, and low level of patronage and a realistic operating
21planning scenario for each level of service.

22(C) begin deleteBased on the patronage forecast in subparagraph (A),
23develop alternative end delete
begin insertAlternativeend insert financial scenarios forbegin delete theend delete different
24levels of service,begin insert based on the patronage forecast in subparagraph
25(B),end insert
andbegin delete identifyend delete the operating break-even points for each
26alternative. Each scenario shall assume the terms of subparagraph
27(J) of paragraph (2) of subdivision (c) of Section 2704.08 of the
28Streets and Highways Code.

29(D) begin deleteIdentify the end deletebegin insertTheend insert expected schedule for completing
30environmental review, and initiating and completing construction
31for each segment or combination of segments of Phase 1.

32(E) An estimate and description of the total anticipated federal,
33state, local, and other funds the authority intends to access to fund
34the construction and operation of the system, and the level of
35confidence for obtaining each type of funding.

36(F) begin deleteIdentify end deletebegin insertAnyend insert written agreements with public or private
37entities to fund components of the high-speed rail system, including
38stations and terminals, andbegin delete identifyend delete any impediments to the
39completion of the system.

P7    1(G) begin deleteIdentify alternative end deletebegin insertAlternativeend insert public-private development
2strategies for the implementation of Phase 1.

3(H) A discussion of all reasonably foreseeable risks the project
4may encounter, including, but not limited to, risks associated with
5the project’s finances, patronage, right-of-way acquisition,
6environmental clearances, construction, equipment, and technology,
7and other risks associated with the project’s development. The
8plan shall describe the authority’s strategies, processes, or other
9actions it intends to utilize to manage those risks.

10(2) To the extent feasible, the business plan should draw upon
11information and material developed according to other
12 requirements, including, but not limited to, the preappropriation
13review process and the preexpenditure review process in the Safe,
14Reliable High-Speed Passenger Train Bond Act for the 21st
15Century pursuant to Section 2704.08 of the Streets and Highways
16Code. The authority shall hold at least one public hearing on the
17business plan and shall adopt the plan at a regularly scheduled
18meeting. When adopting the plan, the authority shall take into
19consideration comments from the public hearing and written
20comments that it receives in that regard, and any hearings that the
21Legislature may hold prior to adoption of the plan.