BILL ANALYSIS                                                                                                                                                                                                    Ó



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          ASSEMBLY THIRD READING
          AB 1290 (John A. Pérez)
          As Amended  April 23, 2013
          Majority vote 

           TRANSPORTATION      11-4        APPROPRIATIONS      12-5        
           
           ----------------------------------------------------------------- 
          |Ayes:|Lowenthal, Achadjian,     |Ayes:|Gatto, Bocanegra,         |
          |     |Ammiano, Blumenfield,     |     |Bradford,                 |
          |     |Bonta, Daly, Frazier,     |     |Ian Calderon, Campos,     |
          |     |Gatto, Holden, Nazarian,  |     |Eggman, Gomez, Hall,      |
          |     |Quirk-Silva               |     |Ammiano, Pan, Quirk,      |
          |     |                          |     |Weber                     |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |Nays:|Linder, Buchanan,         |Nays:|Harkey, Bigelow,          |
          |     |Morrell, Patterson        |     |Donnelly, Linder, Wagner  |
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Modifies the composition of the California  
          Transportation Commission (CTC) and imposes new duties relative  
          to assessing progress in implementing sustainable communities  
          strategies (SCSs).  Specifically,  this bill  :  

          1)Expands membership of the CTC from 13 to 18 members by adding  
            members appointed as follows:

             a)   One voting member appointed by the Speaker of the  
               Assembly;

             b)   One voting member appointed by the Senate Committee on  
               Rules; and,

             c)   The Secretary of the Transportation Agency, the  
               Chairperson of the State Air Resources Board, and the  
               Director of Housing and Community Development, each to be  
               non-voting, ex officio members.  

          2)Directs the Governor, in appointing members to the CTC, to  
            make every effort to assure that transportation expertise that  
            has not traditionally been represented on the commission is  
            reflected in appointments to the commission, with particular  
            emphasis on stakeholders involved and engaged in, among other  








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            things, efforts to make California's transportation system  
            more sustainable.  

          3)Expands the prescribed responsibilities of the CTC's Committee  
            on Planning to include the responsibility to monitor outcomes  
            from land development and transportation investments relative  
            to adopted SCSs.  

          4)By October 15, 2014, and every two years thereafter, requires  
            the CTC to receive from those transportation planning agencies  
            that are required to prepare an SCS, reports (discussed below)  
            describing progress in implementing their SCSs and in  
            attaining greenhouse gas reductions; authorizes the CTC, after  
            receiving the second round of reports (in 2016) and after  
            consulting with transportation planning agencies, to prepare  
            guidelines to ensure that the reports are concise, coherent,  
            focused on state objectives, and comparable across the state.   


          5)Clarifies that the CTC's requirement to include with each  
            revision of its Regional Transportation Plan (RTP) guidelines  
            a summary of best practices or projects that have been  
            employed to promote health and health equity for purposes of  
            sharing ideas among transportation planning agencies.  

          6)Expands elements of the CTC's required annual report to  
            include an assessment of progress around the state toward  
            achieving greenhouse gas emission reductions, based on land  
            developments and transportation investments.  

          7)For transportation planning agencies that prepare SCSs,  
            requires those agencies to submit annual reports to the CTC  
            that describes the region's progress in implementing its  
            sustainable communities strategy.  The report shall include an  
            assessment of progress made, along with any challenges the  
            region is facing, with respect to its ability to implement  
            policies and projects that were set forth in its sustainable  
            communities strategy.  

          8)Requires the Regional Transportation Improvement Program  
            (RTIP) to include a discussion of how it relates to the  
            region's SCS; this provision applies only to regions that are  
            required to prepare an SCS.  









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          9)Requires the Strategic Growth Council (Council) to do the  
            following:

             a)   Identify activities, programs, and local assistance  
               funding of member agencies that have a significant effect  
               on the implementation of SCSs;

             b)   Notify its member agencies of the identified activities,  
               programs, and local assistance funding; and, 

             c)   Require each member agency to report annually by August  
               15 to the Council and to the CTC on steps it has taken to  
               ensure that its policies, activities, programs, and local  
               assistance funding help reduce greenhouse gas; member  
               agencies are also required to explain in the context of  
               their missions any statutory constraints that prevent the  
               agency from pursuing policies, activities, programs, and  
               local assistance funding that would help attain greenhouse  
               gas emission reduction targets.  

          10)Deletes obsolete provisions.  

           EXISTING LAW  : 

          1)Establishes the CTC to advise and assist the Secretary of the  
            Business, Transportation and Housing Agency and the  
            Legislature in formulating and evaluating state policies and  
            plans for transportation programs in the state.  

          2)Prescribes membership of the CTC as follows:

             a)   Nine members appointed by the Governor with consent of  
               the Senate;

             b)   One member appointed by the Speaker of the Assembly;

             c)   One member appointed by the Senate Committee on Rules;  
               and,

             d)   Two ex officio, non-voting members, appointed one each  
               by the Speaker of the Assembly and the Senate Committee on  
               Rules.

          3)Requires the CTC to organize itself into at least four  








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            committees, as follows:  aeronautics, streets and highways,  
            mass transportation, and planning; vests with the planning  
            committee the responsibility to monitor transportation  
            planning and programming processes related to RTPs.  

          4)Authorizes the CTC to prescribe guidelines for preparation of  
            RTPs.  

          5)Requires metropolitan planning organizations (MPOs) and  
            transportation planning agencies to adopt and submit an  
            updated RTP to the CTC and to the Department of Transportation  
            (Caltrans) every four or five years, depending on air quality  
            attainment within the region.  

          6)For MPOs, requires their RTPs to include an SCS to achieve  
            greenhouse gas emission reduction targets established by the  
            California Air Resources Board (Board).  

          7)Requires MPOs to submit their adopted SCS to the Board for  
            review and acceptance or rejection of the MPO's determination  
            that its SCS will, if implemented, achieve the established  
            greenhouse gas reduction targets; provides that an SCS is not  
            subject to any state approval, except for this review.  

          8)Provides that projects programmed for funding before December  
            31, 2011, or projects that are specifically in a sales tax  
            measure adopted prior to December 31, 2010, are not subject to  
            the constraints of an SCS.  

          9)Establishes the Council and prescribes its membership, to  
            include:

             a)   Director of State Planning and Research;

             b)   Secretary of the Resources Agency;

             c)   Secretary of Environmental Protection;

             d)   Secretary of Business, Transportation and Housing;

             e)   Secretary of California Health and Human Services; and, 

             f)   One public member, appointed by the Governor.  









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          10)Tasks the Council with coordinating activities and  
            identifying funding programs of its member agencies to do the  
            following:

             a)   Improve air and water quality;

             b)   Protect natural resources and agriculture lands;

             c)   Increase the availability of affordable housing;

             d)   Promote public health;

             e)   Improve transportation;

             f)   Encourage greater infill and compact development;

             g)   Revitalize community and urban centers; and,

             h)   Assist state and local entities in planning sustainable  
               communities and in meeting AB 32 (Nunez), Chapter 488,  
               Statutes of 2006 

             i)   goals.  

          11)Requires the Council to recommend policies and investment  
            strategies and priorities to the Governor, the Legislature,  
            and to appropriate state agencies to encourage the development  
            of sustainable communities.  

          12)Directs the Council to provide, fund, and distribute data to  
            local government and regional agencies to assist them in  
            planning sustainable communities.  

          13)Sets forth a process to develop the State Transportation  
            Improvement Program (STIP), which is comprised of the  
            interregional transportation improvement program submitted by  
            Caltrans and RTIPs submitted by transportation planning  
            agencies.  

          14)Grants the CTC authority to adopt or reject, in its entirety,  
            an RTIP submitted to it by a transportation planning agency;  
            generally requires projects identified in RTIPs to be  
            consistent with RTPs.  









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           FISCAL EFFECT  :  According to Assembly Appropriations Committee:

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

          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  :  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 points out that, since 2006, there have been  
          significant policies that have altered the course of  
          transportation policy in California, including:

          1)The Highway Safety, Traffic Reduction, Air Quality, and Port  
            Security Act of 2006 that resulted in nearly $20 billion in  
            transportation infrastructure bonds;

          2)The California Global Warming Solutions Act (AB 32 (Nunez),  
            Chapter 488, Statutes of 2006), that set a greenhouse gas  
            emissions limit equivalent to the statewide greenhouse gas  
            emissions levels in 1990 to be achieved by 2020;

          3)SB 375 (Steinberg), Chapter 728, Statutes of 2008, that  
            requires development of SCSs; and,

          4)The Governor's reorganization plan that requires increased  
            coordination and integration of housing and transportation  
            policies.  

          The author contends that, in light of these significant policy  
          shifts, it is therefore critical that the CTC's statutorily  
          described mission is updated to support the statewide goals  








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          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  
          reducing greenhouse gas.  

          Understandably, policy makers are scurrying to assess the real  
          effects of California's recent series of landmark policies  
          related to greenhouse gas reductions and specific efforts are  
          underway to this end.  For example, the Council recently  
          released a request for proposal to secure the services of a  
          consultant to bring together the state's 18 MPOs so that they  
          can, as a group, assess the first round of SCSs and formulate a  
          common understanding of what was learned, what needs to be  
          improved, and where the SCS process should be heading over the  
          next few cycles.  

          Unfortunately, given the long-term nature of community and  
          infrastructure development, the actual outcomes of these policy  
          shifts may not be known for some time.  In the meantime, experts  
          suggest that the best short-term indicator of likely long-term  
          outcomes is an analysis of changing land use decisions and  
          associated public investments.  The reporting requirements  
          imposed by this bill will provide the data by which some of  
          these early-term assessments may be made.  

           
          Analysis Prepared by  :    Janet Dawson / TRANS. / (916) 319-2093 


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