BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 1290
                                                                  Page  1

          Date of Hearing:   May 15, 2013

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                AB 1290 (John A. Perez) - As Amended:  April 23, 2013 

          Policy Committee:                               
          TransportationVote:11-4

          Urgency:     No                   State Mandated Local Program:  
          Yes    Reimbursable:              Yes

           SUMMARY  

          This bill expands the membership of the California  
          Transportation Commission (CTC), and enhances oversight  
          regarding implementation of sustainable communities strategies  
          (SCSs). Specifically, this bill:

          1)Expands the CTC from 13 to 18 members by (a) increasing from  
            one to two the voting members appointed by the Assembly  
            Speaker and Senate Rules Committee, respectively, and (b) by  
            adding, as non-voting members, the Secretary of the  
            Transportation Agency, the Chair of the Air Resources Board  
            and the Director of Housing and Community Development.

          2)Requires the CTC's Committee on Planning to also monitor  
            outcomes from land development and transportation investment  
            in accordance with SCSs.

          3)Requires the CTC, by October 15, 2014, and every two years  
            thereafter, to receive from metropolitan planning  
            organizations (MPOs) that prepare SCS reports (discussed  
            below), reports describing progress in implementing their  
            respective SCSs and in attaining greenhouse gas reductions.  
            The CTC is authorized, after receiving the second round of  
            reports (in 2016), to prepare guidelines to ensure consistency  
            in future submitted reports.

          4)Expands the CTC's annual report to include a summary  
            assessment of the state's progress toward achieving greenhouse  
            gas emission reductions, based on land development and  
            transportation investments.









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          5)Requires the MPOs that prepare SCSs to submit biennial reports  
            to the CTC describing the region's progress in implementing  
            its SCS and any challenges being faced with implementation.

          6)Requires the Strategic Growth Council (SGC) to identify  
            activities, programs, and local assistance funding of its  
            member agencies having a significant effect on implementing  
            SCSs and notify the agencies of such.

          7)Requires each member agency of the SGC to report annually to  
            the Council and to the CTC on steps it has taken to ensure its  
            policies, activities, programs, and local assistance funding  
            help reduce greenhouse gases, and to explain, in the context  
            of their respective missions, any statutory constraints  
            preventing the agency from pursing policies, activities,  
            programs, and local assistance funding that would help attain  
            greenhouse gas emission reduction targets.   

           FISCAL EFFECT  

          1)Ongoing special fund costs to the CTC of about $175,000, for  
            one position plus the costs associated with additional  
            commission members. [State Highway Account]

          2)State-reimbursable costs for 18 MPOs to prepare biennial  
            progress reports. Assuming $20,000 to $50,000 per MPO,  
            statewide costs would range between $360,000 and $900,000  
            every two years.

          3)Minor one-time cost of about $30,000 per agency for the SGC  
            member agencies (Natural Resources, Environmental Protection,  
            Business, Transportation and Housing, and Health and Human  
            Services) to provide the initial report to the SGC and the  
            CTC. Costs should be absorbable thereafter.

           COMMENTS  

           Purpose  . According to the author, AB 1290 modifies the CTC  
          organizational structure and composition to improve its capacity  
          to analyze and integrate connections between transportation and  
          land use into its administrative programs and review processes.  
          The author notes that, since 2006, several actions have altered  
          the course of transportation policy in California, including  
          approval of $20 billion in transportation infrastructure bonds,  
          enactment of AB 32 (Nunez) to set limits on greenhouse gas  








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          emissions and SB 375 (Steinberg) to require development of SCSs,  
          and the Governor's reorganization plan to increased coordination  
          and integration of housing and transportation policies.  

          The author contends that, in light of these significant policy  
          shifts, it is critical that the CTC's statutorily described  
          mission is updated to support the statewide goals related to  
          greenhouse gas emission reductions, SCSs, and coordinated  
          housing and transportation policies.  

          In addition to restructuring the CTC, AB 1290 imposes reporting  
          requirements on state and regional agencies directed at  
          providing ongoing assessments of the progress being made toward  
          meeting greenhouse gas emission reduction goals.  

           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081