BILL ANALYSIS �
AB 1081
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ASSEMBLY THIRD READING
AB 1081 (Medina)
As Amended May 24, 2013
Majority vote
ECONOMIC DEVELOPMENT 8-0 TRANSPORTATION 15-0
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|Ayes:|Medina, Mansoor, Daly, |Ayes:|Lowenthal, Linder, |
| |Fong, Fox, Melendez, V. | |Achadjian, Ammiano, |
| |Manuel P�rez, Brown | |Blumenfield, Bonta, |
| | | |Buchanan, Daly, Frazier, |
| | | |Gatto, Holden, Morrell, |
| | | |Nazarian, Patterson, |
| | | |Quirk-Silva |
| | | | |
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APPROPRIATIONS 17-0
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|Ayes:|Gatto, Harkey, Bigelow, | | |
| |Bocanegra, Bradford, Ian | | |
| |Calderon, Campos, | | |
| |Donnelly, Eggman, Gomez, | | |
| |Hall, Ammiano, Linder, | | |
| |Pan, Quirk, Wagner, Weber | | |
| | | | |
| | | | |
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SUMMARY : Requires goods movement-related infrastructure to be
considered and included within the state five-year
infrastructure plan. Specifically, this bill :
1) Makes findings and declarations that California's:
a) Significance in the global marketplace is the result of
many factors including its strategic west coast location
which provides direct access to Asian markets;
b) Largest industry sectors are trade, transportation, and
utilities and the state leads the nation in export-related
jobs; and,
c) Infrastructure is aging and requires maintenance, as well
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as improvements and expansion.
2) Require the state's five-year infrastructure plan to include
identification of goods movement- related infrastructure
including the need for new, rehabilitated, modernized,
improved, or renovated infrastructure that has been identified
by state and federal agencies and regional transportation
agencies.
3) Requires the five-year infrastructure plan to additionally
include recommendations for private sector financing of goods
movement-related infrastructure including, but not limited to,
public pension funds, private sector investors, and commercial
and industrial users who would benefit from the enhanced
logistical network.
EXISTING LAW :
1)Requires the Governor to annually submit a proposed five-year
infrastructure plan to the Legislature in conjunction with the
Governor's Budget.
2)Requires the plan to identify state infrastructure needs and
set out priorities for funding.
3)Does not require the plan to identify specific infrastructure
projects to be funded, but requires the plan to be
sufficiently detailed to provide a clear understanding of the
type and amount of infrastructure to be funded and the
programmatic objectives to be achieved by that funding.
4) Requires the infrastructure plan to include the following:
a) New, rehabilitated, modernized, improved, or renovated
infrastructure, which is requested by state agencies
including the estimated cost and funding options;
b) Aggregate funding for transportation as identified in the
State Transportation Improvement Program;
c) Infrastructure needs for K-12 public schools necessary to
accommodate increased enrollment, class size reduction, and
school modernization; and,
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d) Instructional and instructional support facilities for the
University of California, California State University, and
the California Community College System.
FISCAL EFFECT : According to the Assembly Appropriations
Committee, Department of Finance (DOF) costs of approximately
$75,000.
COMMENTS : This bill requires the consideration of goods
movement within DOF's state infrastructure plan. Given the
significance of global logistical networks to efficiently
support expanded supply chains, California is potentially at an
infrastructure disadvantage due to the demand for improvements
currently exceeding the supply of financial resources. In
proposing a heightened priority for planning and funding goods
movement infrastructure, the author notes the changing global
economy and the expanding investment opportunities with public
pension funds, among others. Moreover, world class
infrastructure plays a key role in business attraction, as
multinational companies consistently rank the quality of
infrastructure among their top four criteria in making
investment decisions. According to the American Society of
Civil Engineers, the 2012 California Infrastructure Report Card
reports that California possesses an estimated $65 billion a
year investment gap. The impact of this lack of investment is
compounded by the substantial new investments made in other
states and nations, including the expansion of the Panama Canal.
This bill would provide greater certainty and strategic
direction to the deployment of state infrastructure expenditures
within the broader context of public and private sector
infrastructure investments.
Analysis Prepared by : Manny Leon / TRANS. / (916) 319-2093
FN: 0001001