BILL ANALYSIS Ó Senate Appropriations Committee Fiscal Summary Senator Kevin de León, Chair SB 1368 (Wolk) - State highways: relinquishment of park-and-ride lots. Amended: As Introduced Policy Vote: T&H 11-0 Urgency: No Mandate: No Hearing Date: May 23, 2014 Consultant: Mark McKenzie SUSPENSE FILE. Bill Summary: SB 1368 would authorize the California Transportation Commission (CTC) to relinquish a park-n-ride lot to a joint powers authority (JPA) that is formed to provide transportation services. Fiscal Impact: Potential one-time costs of over $150,000 to the Department of Transportation (Caltrans) to relinquish each park-and-ride lot, depending on the terms of the relinquishment agreement. (State Highway Account) Ongoing savings to Caltrans from reduced maintenance and rehabilitation costs for relinquished park-and-ride lots. (State Highway Account) Background: The Legislature has provided statutory authorization to CTC to relinquish a number of state highway segments to local jurisdictions under specified conditions. Relinquishment provides the recipient agency with greater control over local transportation projects and relieves Caltrans of any further responsibility to improve, maintain, or repair infrastructure related to the relinquished segment of state highway. Generally, relinquishments are subject to terms and conditions of agreements between Caltrans and a local jurisdiction seeking control of a local highway segment. CTC must determine that the agreement for relinquishment, which typically involves a one-time payment of State Highway Account funds to the local entity, is in the best interests of the state. Some agreements for relinquishments are negotiated at no costs to the state. Existing law, SB 415 (Price), Chap. 353/2012, authorizes the CTC to relinquish a park-and-ride lot to a county transportation commission or a regional transportation planning agency (RTPA) SB 1368 (Wolk) Page 1 on terms and conditions that CTC finds to be in the best interests of the state. Caltrans and the local transportation entity must enter into an agreement providing for that relinquishment, including a requirement that the local entity maintain an equal or greater number of parking spaces in the lot. Caltrans has relinquished park-and-ride lots to cities and counties pursuant to statutory authority provided in Streets and Highways Code Section 73. The authority to relinquish these facilities to RTPAs or county transportation commissions, as authorized by SB 415, has not been exercised to date. Proposed Law: SB 1368 would authorize CTC to relinquish a park-and-ride lot to a JPA formed for purposes of providing transportation services in the same manner authorized under current law for relinquishing those facilities to a county transportation commission or RTPA. Staff Comments: This bill is intended to allow the Solano County Transit (SolTrans) Joint Powers Authority to take ownership of a park-and-ride lot facility known as the Curtola Park-and-Ride Lot that is located within state highway right-of-way. Soltrans is a JPA comprised of the City of Benicia, the City of Vallejo, and the Solano Transportation Authority that provides unified public transit services in the southern Solano County cities of Benicia and Vallejo. Soltrans would like to assume ownership of the lot to increase parking supply, improve transit operations, facilitate carpools, modernize on-site amenities, and serve a transit hub to nearby facilities such as the Vallejo Transit Center and the Vallejo Ferry Terminal. Caltrans has been engaged in ongoing dialogue with SolTrans, the City of Vallejo, and the Solano County Transit Authority regarding planned improvements to the Curtola Park-and-Ride Lot. Caltrans indicates that local jurisdictions frequently seek concessions-typically future maintenance funds as well as upfront rehabilitation from the department-as part of relinquishment agreements. Depending on the outcome of negotiations between Caltrans and transportation JPAs, the number of lots proposed for relinquishment, and the condition of those lots, potential one-time special fund costs could exceed $150,000. Any upfront costs would be offset in future years by ongoing savings related to avoided maintenance and SB 1368 (Wolk) Page 2 rehabilitation costs. Current federal regulations do not allow for the relinquishment of park-and-ride facilities procured with federal funds.