BILL NUMBER: AB 422	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MARCH 17, 2015

INTRODUCED BY   Assembly Member McCarty

                        FEBRUARY 19, 2015

   An act to add Section 102584 to the Public Utilities Code,
relating to transit.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 422, as amended, McCarty. Sacramento Regional Transit District:
line of credit.
   Existing law provides for the creation of the Sacramento Regional
Transit District, with specified powers and duties relative to the
provision of public transit services. Existing law authorizes the
district to engage in temporary borrowing, as specified.
   This bill would  additionally  authorize the
district to seek and receive a  short term  
short-term  revolving line of credit for operating purposes in
anticipation of receipt of operating grants, with the extension of
credit to the district evidenced by a  note.  
note, in addition to and as an alternative to temporary borrowing, as
specified.  The bill would authorize the district to pledge
anticipated grants and other available  revenues 
 funds  as security for repayment of the note and would
prescribe other terms.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


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

  SECTION 1.  Section 102584 is added to the Public Utilities Code,
to read:
   102584.  In addition  to   to, and as an
alternative to,  the borrowing authority in Section 102582, the
district may seek and obtain a  short term  
short-term  revolving line of credit for operating purposes in
anticipation of receipt of operating grants, with the extension of
credit to the district evidenced by a note. The district may pledge
the anticipated grants and any other  available revenues
  funds available to the district, including, but not
limited to, fare revenues collected by the district in connection
with the operation of its transit system and any other revenues,
income, or receipts,  as security for repayment of the note 
, the interest on the note, and the related obligations evidenced by
the note  . The note shall have a maturity date of not more
than 60 months from the date of issuance. The district may pledge
anticipated operating grants  and other available funds 
over a multiyear  period, as long as the note is paid in full
by the maturity date.   period.  The maximum
indebtedness under the note shall not exceed 85 percent of the amount
of the anticipated grants and other funds pledged to repay the note
 , the interest on the note, and the related obligations
evidenced by the note  .