BILL NUMBER: AB 730	CHAPTERED
	BILL TEXT

	CHAPTER  394
	FILED WITH SECRETARY OF STATE  SEPTEMBER 27, 2013
	APPROVED BY GOVERNOR  SEPTEMBER 27, 2013
	PASSED THE SENATE  SEPTEMBER 9, 2013
	PASSED THE ASSEMBLY  SEPTEMBER 10, 2013
	AMENDED IN SENATE  SEPTEMBER 3, 2013
	AMENDED IN ASSEMBLY  APRIL 1, 2013

INTRODUCED BY   Assembly Member Alejo
   (Coauthor: Assembly Member Stone)

                        FEBRUARY 21, 2013

   An act to amend Section 106062 of, and to repeal Section 106061
of, the Public Utilities Code, relating to transportation.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 730, 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
specified, and would require the duration of bonds issued for
acquisition of equipment, defined to include vehicles, to not exceed
the useful life of the equipment. The bill would make other related
changes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 106061 of the Public Utilities Code is
repealed.
  SEC. 2.  Section 106062 of the Public Utilities Code is amended to
read:
   106062.  The district may issue bonds not to exceed the amount of
fifty million dollars ($50,000,000), payable in whole or in part from
revenues of any enterprise acquired, constructed, or completed, or
to be acquired, constructed, or completed, by the district, in the
manner provided by the Revenue Bond Law of 1941 (Chapter 6
(commencing with Section 54300) of Part 1 of Division 2 of Title 5 of
the Government Code), all of the provisions of which are applicable
to the district, except that Article 3 (commencing with 54380) of
Chapter 6 of Part 1 of Division 2 of Title 5 of the Government Code
and the restrictions in that article, including, but not limited to,
restrictions on the securing of bonds by the taxing power or the
proceeds of taxation, do not apply to the issuance and sale of bonds
pursuant to this article and, instead, the district shall authorize
the issuance of those bonds by resolution of its governing board
approved by a two-thirds vote of the board. The district is a local
agency within the meaning of the Revenue Bond Law of 1941. The term
"enterprise" as used in the Revenue Bond Law of 1941 shall, for all
purposes of this section, include transit equipment or facilities and
any and all additions and improvements thereto and all other
equipment or facilities authorized to be acquired, constructed, or
completed by the district, but only for a project or projects not
located on or adjacent to the former Fort Ord, except a project or
projects located entirely within the existing right-of-way of State
Highway Route 1 owned by the Department of Transportation or within
the existing right-of-way of the Monterey branch rail line owned by
the Transportation Agency of Monterey County. Bonds issued for the
acquisition of equipment shall be of a duration that does not exceed
the useful life of the equipment. Any revenues or other income,
receipts, or amounts made available to the district, including, but
not limited to, the proceeds of a transactions and use tax, shall be
deemed revenues of the enterprise for purposes of the Revenue Bond
Law of 1941. Nothing in this article shall prevent the district from
availing itself of, or making use of, any procedure provided in this
part for the issuance of bonds of any type or character for any
enterprise authorized under this part, and all proceedings may be
carried on simultaneously or in the alternative, as the board may
determine. As used in this section, "equipment" includes "vehicles."