BILL ANALYSIS Ó AB 914 Page 1 Date of Hearing: May 13, 2015 ASSEMBLY COMMITTEE ON APPROPRIATIONS Jimmy Gomez, Chair AB 914 (Brown) - As Amended April 29, 2015 ----------------------------------------------------------------- |Policy |Transportation |Vote:|15 - 0 | |Committee: | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | ----------------------------------------------------------------- Urgency: No State Mandated Local Program: NoReimbursable: No SUMMARY: This bill authorizes the San Bernardino County Transportation Commission to operate a value-pricing program on the Interstate 10 and Interstate 15 corridors within the county. Specifically, this bill: AB 914 Page 2 1)Authorizes the commission to levy and collect tolls for construction, operation, and maintenance expenditures related to the value-pricing program, and requires any excess revenues generated by the program to benefit the two corridors pursuant to an expenditure plan adopted by the commission. 2)Requires the commission to carry out the program in cooperation with the Caltrans pursuant to a cooperative agreement as specified. 3)Requires the commission, within three years after first collecting tolls, to report to the Legislative Analyst on its findings, conclusions, and recommendations concerning the transportation facilities. 4)Declares that the provisions of this bill do not authorize the conversion of any existing non-tolled or nonuser-fee lanes, except than a high-occupancy vehicle (HOV) lane may be converted to a high-occupancy toll (HOT) lane. FISCAL EFFECT: Any costs to the commission are nonreimbursable, as they would be incurred only to the extent the commission elects to exercise the authority provided in the bill. Any costs to the Caltrans would be absorbable within existing resources. COMMENTS: 1)Background. Value-priced toll facilities (e.g., HOT lanes) are AB 914 Page 3 increasingly being implemented in metropolitan areas around the state and the nation, primarily to deal with increased congestion. HOT lanes allow single-occupant or lower-occupancy vehicles to use an HOV lane for a fee while maintaining free or reduced travel to qualifying HOVs. Although value-pricing programs should be primarily a congestion management tool, they may have the added benefit of generating net revenue that can be put back into the corridor from which it was generated for additional improvements or other benefits. 2)Purpose. The San Bernardino Association of Governments (SANBAG), which is also legally organized as the county transportation commission, is proposing two projects for which it is seeking authority to impose tolls: a) The proposed I-10 Corridor Project consists of improving all or a portion of the existing 35-mile stretch of I-10 from the City of Pomona to the City of Redlands. As a major regional east-west freeway corridor, I-10 is heavily used by travelers between Los Angeles and San Bernardino counties and it is also a major truck route between southern California and the rest of the nation. b) The proposed I-15 Corridor Project consists of improvements on the 35-mile stretch of I-15 in San Bernardino County. As a major regional north-south freeway corridor, I-15 is heavily used by commuters and recreational travelers, and is also a major goods-movement corridor. SANBAG hopes to have statutory authority in place to develop toll facilities (including HOT lanes) before it begins the process of applying for financing under the federal AB 914 Page 4 Transportation Infrastructure Finance and Innovation Act (TIFIA). The TIFIA program provides federal credit assistance in the form of direct loans, loan guarantees, and standby lines of credit to finance surface transportation projects of national and regional significance. In the case of HOT lanes, the federal government requires legal authority to be established prior to beginning the process of applying for TIFIA financing. This bill is similar to prior legislation providing similar authority for HOT lane facilities in Alameda, San Diego, and Santa Clara counties. Analysis Prepared by:Chuck Nicol / APPR. / (916) 319-2081