BILL NUMBER: AB 194	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  JUNE 1, 2015
	AMENDED IN ASSEMBLY  APRIL 7, 2015

INTRODUCED BY   Assembly Member Frazier

                        JANUARY 28, 2015

   An act to amend Section 149.7 of, and to add Section 149.2 to, the
Streets and Highways Code, relating to transportation.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 194, as amended, Frazier. High-occupancy toll lanes.
   Existing law provides that the Department of Transportation has
full possession and control of the state highway system. Existing law
authorizes the department to construct exclusive or preferential
lanes for buses only or for buses and other high-occupancy vehicles.
   Existing law authorizes a regional transportation agency, as
defined, in cooperation with the department to apply to the
California Transportation Commission to develop and operate
high-occupancy toll (HOT) lanes, including administration and
operation of a value-pricing program and exclusive or preferential
lane facilities for public transit, consistent with established
standards, requirements, and limitations that apply to specified
facilities. Existing law requires the commission to conduct at least
one public hearing in northern California and one in southern
California for each eligible application submitted by the regional
transportation agency. Existing law limits the number of approved
facilities to not more than 4, 2 in northern California and 2 in
southern California, and provides that no applications may be
approved on or after January 1, 2012.
   This bill would also authorize a regional transportation agency,
in cooperation with the department, to apply to the commission to
develop other toll facilities, as specified. The bill would delete
the requirement that the facilities be consistent with the
established standards, requirements, and limitations that apply to
specified facilities and would instead require the commission to
establish guidelines for the development and operation of the
facilities approved by the commission on or after January 1, 2016,
subject to specified minimum requirements. The bill would provide
that these provisions do not authorize or prohibit the conversion of
any existing nontoll or nonuser-fee lanes into tolled or user-fee
lanes, except that a high-occupancy vehicle lane may be converted
into a high-occupancy toll lane pursuant to its provisions. The bill
would authorize a regional transportation agency to issue bonds,
refunding bonds, or bond anticipation notes backed by revenues
generated from the facilities. The bill would additionally authorize
the Santa Clara Valley Transportation Authority to apply to the
commission for purposes of the above-described provisions. The bill
would remove the limitations on the number of approved facilities and
would delete the January 1, 2012, deadline for HOT lane
applications. The bill would delete the requirement that the
commission conduct at least one public hearing in northen California
and one in southern California for each eligible application and
would instead require the commission to conduct at least one public
hearing. The bill would provide that each application is subject to
the review and approval of the commission and would require a
regional transportation agency that applies to the commission to
reimburse the commission for all of the commission's  cost
  costs  and  expense  
expenses  incurred in processing the application. Before
submitting an application to the commission, the bill would require a
regional transportation agency to consult with  a 
 every  local transportation  authority 
 authority, or every congestion management agency,  whose
jurisdiction includes the facility that the regional transportation
agency proposes to develop and operate pursuant to the
above-described provisions. The bill would require the regional
transportation agency to give a local transportation authority 
or congestion management agency  , as specified, the option of
entering into agreements, as needed, for project development,
engineering, financial studies, and environmental documentation for
each construction project or segment, and would authorize the local
transportation authority  or congestion management agency 
to be the lead agency for those construction projects or segments.
   This bill would additionally authorize the department, in
cooperation with a regional transportation agency, as applicable, to
apply to the commission to develop and operate HOT lanes or other
toll facilities and associated facilities pursuant to similar
provisions.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


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

   SECTION 1.    The Legislature finds and declares that
high-occupancy toll lanes, express lanes, and toll roads provide an
opportunity to more effectively manage state highways in order to
increase passenger throughput and to reduce delays for freight
shipments and trav   elers, especially those traveling by
carpool, vanpool, or bus. 
   SECTION 1.   SEC. 2.   Section 149.2 is
added to the Streets and Highways Code, to read:
   149.2.  (a) The department, in cooperation with a regional
transportation agency, as applicable, may apply to the commission to
develop and operate high-occupancy toll lanes or other toll
facilities, including the administration and operation of a value
pricing program and exclusive or preferential lane facilities for
public transit or freight.
   (b) Each application for the development and operation of the
facilities described in subdivision (a) shall be subject to review
and approval by the commission pursuant to eligibility criteria
established by the commission. For each eligible application, the
commission shall conduct at least one public hearing.
   (c) The commission shall establish guidelines for the development
and operation of facilities described in subdivision (a) and approved
by the commission pursuant to this section, subject to the following
minimum requirements:
   (1) The department shall develop and operate the facilities in
cooperation with regional transportation agencies, as applicable, and
with the active participation of the Department of the California
Highway Patrol.
   (2) The department shall be responsible for establishing,
collecting, and administering tolls.
   (3) The department shall be responsible for paying for the
maintenance of the facilities.
   (4) The revenue generated from the operation of the facilities
shall be available to the department for the direct expenses related
to the maintenance, administration, and operation of the facilities,
including toll collection and enforcement.
   (5) All remaining revenue generated by the facilities shall be
used in the corridor from which the revenue was generated pursuant to
an expenditure plan developed by the department and approved by the
commission.
   (6) This section shall not prevent any regional transportation
agency or local agency from constructing facilities that compete with
the facilities approved by the commission and the department shall
not be entitled to compensation for the adverse effects on toll
revenue due to those competing facilities.
   (d) The department shall provide any information or data requested
by the commission or the Legislative Analyst relating to a facility
that the department develops or operates pursuant to this section.
The commission, in cooperation with the Legislative Analyst, shall
annually prepare a report on the progress of the development and
operation of a facility authorized under this section. The commission
may submit this report as a section in its annual report to the
Legislature required pursuant to Section 14535 of the Government
Code.
   (e) Nothing in this section shall authorize or prohibit the
conversion of any existing nontoll or nonuser-fee lanes into tolled
or user-fee lanes, except that a high-occupancy vehicle lane may be
converted into a high-occupancy toll lane.
  SEC. 2.   SEC. 3.   Section 149.7 of the
Streets and Highways Code is amended to read:
   149.7.  (a) A regional transportation agency, as defined in
subdivision (h), in cooperation with the department, may apply to the
commission to develop and operate high-occupancy toll lanes or other
toll facilities, including the administration and operation of a
value pricing program and exclusive or preferential lane facilities
for public transit or freight.
   (b)  Each application for the development and operation of the
facilities described in subdivision (a) shall be subject to review
and approval by the commission pursuant to eligibility criteria
established by the commission. For each eligible application, the
commission shall conduct at least one public hearing.
   (c) A regional transportation agency that applies to the
commission to develop and operate facilities described in subdivision
(a) shall reimburse the commission for all of the commission's costs
and expenses incurred in processing the application.
   (d) The commission shall establish guidelines for the development
and operation of facilities described in subdivision (a) and approved
by the commission on or after January 1, 2016, pursuant to this
section, subject to the following minimum requirements:
   (1) The regional transportation agency shall develop and operate
the facilities in cooperation with the department, and the active
participation of the Department of the California Highway Patrol,
pursuant to an agreement that addresses all matters related to
design, construction, maintenance, and operation of state highway
system facilities in connection with the facilities.
   (2) The regional transportation agency shall be responsible for
establishing, collecting, and administering tolls.
   (3) The regional transportation agency shall be responsible for
paying for the maintenance of the facilities, pursuant to an
agreement between the department and the regional transportation
agency.
   (4) The revenue generated from the operation of the facilities
shall be available to the regional transportation agency for the
direct expenses related to the maintenance, administration, and
operation of the facilities, including toll collection and
enforcement.
   (5) All remaining revenue generated by the facilities shall be
used in the corridor from which the revenue was generated pursuant to
an expenditure plan adopted by the regional transportation agency.
   (6) This section shall not prevent the department or any local
agency from constructing facilities that compete with the facilities
approved by the commission and the regional transportation agency
shall not be entitled to compensation for the adverse effects on toll
revenue due to those competing facilities.
   (e) A regional transportation agency that develops or operates a
facility, or facilities, described in subdivision (a) shall provide
any information or data requested by the commission or the
Legislative Analyst. The commission, in cooperation with the
Legislative Analyst, shall annually prepare a report on the progress
of the development and operation of a facility authorized under this
section. The commission may submit this report as a section in its
annual report to the Legislature required pursuant to Section 14535
of the Government Code.
   (f) (1) A regional transportation agency may issue bonds,
refunding bonds, or bond anticipation notes, at any time, to finance
construction of, and construction-related expenditures for,
facilities approved pursuant to this section, and construction and
construction-related expenditures that are included in the
expenditure plan adopted pursuant to paragraph (5) of subdivision
(d), payable  solely  from the revenues generated
from the respective facilities.
   (2)  Any bond   A bond, refunding bond, or
bond anticipation note  issued pursuant to this subdivision
shall contain on its face a statement to the following effect:

   "Neither the full faith and credit nor the taxing power of the
State of California is pledged to the payment of principal of, or the
interest on, this  bond."   instrument. 
 " 

   (g) (1) Before submitting an application pursuant to subdivision
(a), a regional transportation agency shall consult with  any
  every  local transportation authority designated
pursuant to Division 12.5 (commencing with Section 131000) or
Division 19 (commencing with Section 180000) of the Public Utilities
 Code   Code, or every congestion management
agency,  whose jurisdiction includes the facility that the
regional transportation agency proposes to develop and operate.
   (2) A regional transportation agency shall give a local
transportation authority  or congestion management agency 
described in paragraph (1) the option to enter into agreements, as
needed, for project development, engineering, financial studies, and
environmental documentation for each construction project or segment
that is part of the facility. The local transportation authority 
or congestion management agency  may be the lead agency for
these construction projects or segments.
   (h) Notwithstanding Section 143, for purposes of this section,
"regional transportation agency" means any of the following:
   (1) A transportation planning agency described in Section 29532 or
29532.1 of the Government Code.
   (2) A county transportation commission established under Section
130050, 130050.1, or 130050.2 of the Public Utilities Code.
   (3) Any other local or regional transportation entity that is
designated by statute as a regional transportation agency.
   (4) A joint exercise of powers authority established pursuant to
Chapter 5 (commencing with Section 6500) of Division 7 of Title 1 of
the Government Code, with the consent of a transportation planning
agency or a county transportation commission for the jurisdiction in
which the transportation project will be developed.
   (5) The Santa Clara Valley Transportation Authority established
pursuant to Part 12 (commencing with Section 100000) of Division 10
of the Public Utilities Code.
   (i) Nothing in this section shall authorize or prohibit the
conversion of any existing nontoll or nonuser-fee lanes into tolled
or user-fee lanes, except that a high-occupancy vehicle lane may be
converted into a high-occupancy toll lane.