AB 730, as amended, Alejo. Monterey-Salinas Transit District.
Existing law creates the Monterey-Salinas Transit District to include all of the County of Monterey, with specified powers and duties relative to provision of public transit service. Existing law authorizes the district to issue bonds under the Revenue Bond Law of 1941, payable from revenues of any facility or enterprise to be acquired or constructed by the district. Under that law, issuance of revenue bonds generally requires voter approval, unless an exemption is provided.
This bill would revise these provisions. The bill would exempt the district from the requirement to seek voter approval prior to issuing revenue bonds, and would instead authorize those bonds to be issued by a 2⁄3 vote of the district’s board. The bill would authorize the district to pledge revenues or other moneys available to the district from any source, including a transactions and use tax, to payment of those bonds. The bill would impose a maximum amount of $50,000,000 on revenue bonds that may be issued by the district. The bill would limit use of revenue bonds to a project or projects not located on or adjacent to the former Fort Ord, except as specifiedbegin insert, and would require the duration of bonds issued for acquisition of equipment, defined to include vehicles, to not exceed the useful life of the equipmentend insert. The bill would make other related changes.
Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 106061 of the Public Utilities Code is
2repealed.
Section 106062 of the Public Utilities Code is amended
4to read:
The district may issue bonds not to exceed the amount
6of fifty million dollars ($50,000,000), payable in whole or in part
7from revenues of any enterprise acquired, constructed, or
8completed, or to be acquired, constructed, or completed, by the
9district, in the manner provided by the Revenue Bond Law of 1941
10(Chapter 6 (commencing with Section 54300) of Part 1 of Division
112 of Title 5 of the Government Code), all of the provisions of which
12are applicable to the district, except that Article 3 (commencing
13with 54380) of Chapter 6 of Part 1 of Division 2 of Title 5 of the
14Government Code and the restrictions in that article, including,
15but not limited to, restrictions on the securing of bonds by the
16taxing power or the proceeds of taxation, do not apply to the
17issuance
and sale of bonds pursuant to this article and, instead, the
18district shall authorize the issuance of those bonds by resolution
19of its governing board approved by a two-thirds vote of the board.
20The district is a local agency within the meaning of the Revenue
21Bond Law of 1941. The term “enterprise” as used in the Revenue
22Bond Law of 1941 shall, for all purposes of this section, include
23transit equipment or facilities and any and all additions and
24improvements thereto and all other equipment or facilities
25authorized to be acquired, constructed, or completed by the district,
26but only for a project or projects not located on or adjacent to the
27former Fort Ord, except a project or projects located entirely within
28the existing right of way of State Highway Route 1 owned by the
29Department of Transportation or within the existing right of way
30of the Monterey branch rail line owned by the Transportation
31Agency
of Monterey County. begin insertBonds issued for the acquisition of
P3 1equipment shall be of a duration that does not exceed the useful
2life of the equipment. end insertAny revenues or other income, receipts, or
3amounts made available to the district, including, but not limited
4to, the proceeds of a transactions and use tax, shall be deemed
5revenues of the enterprise for purposes of the Revenue Bond Law
6of 1941. Nothing in this article shall prevent the district from
7availing itself of, or making use of, any procedure provided in this
8part for the issuance of bonds of any type or character for any
9enterprise authorized under this part, and all proceedings may be
10carried on simultaneously or in the alternative, as the board may
11determine. As used in this section, “equipment” includes
12“vehicles.”
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