BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      AB 1164


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          ASSEMBLY THIRD READING


          AB  
          1164 (Gatto)


          As Amended  April 21, 2015


          Majority vote


           ------------------------------------------------------------------- 
          |Committee       |Votes |Ayes                  |Noes                |
          |----------------+------+----------------------+--------------------|
          |Transportation  |16-0  |Frazier, Achadjian,   |                    |
          |                |      |Baker, Bloom, Chu,    |                    |
          |                |      |Daly, Dodd, Eduardo   |                    |
          |                |      |Garcia, Gomez, Kim,   |                    |
          |                |      |Linder, Medina,       |                    |
          |                |      |Melendez, Nazarian,   |                    |
          |                |      |O'Donnell, Santiago   |                    |
          |                |      |                      |                    |
          |----------------+------+----------------------+--------------------|
          |Appropriations  |17-0  |Frazier, Achadjian,   |                    |
          |                |      |Baker, Bloom, Chu,    |                    |
          |                |      |Daly, Dodd, Eduardo   |                    |
          |                |      |Garcia, Gomez, Kim,   |                    |
          |                |      |Linder, Medina,       |                    |
          |                |      |Melendez, Nazarian,   |                    |
          |                |      |O'Donnell, Santiago   |                    |
           ------------------------------------------------------------------- 


          SUMMARY:  Requires the California Department of Transportation  
          (Caltrans) to conduct an annual evaluation and rating of the  
          quality of the state highway system, using specified measurements,  
          and to report on its findings.  Specifically, this bill:  








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          1)Requires Caltrans to conduct an annual evaluation and rating of  
            the overall quality of the state highway system and the  
            resources needed to provide a system in good repair.


          2)Requires the evaluation to demonstrate how resource, staffing,  
            and programming decisions impact the overall condition of the  
            state highway system.  


          3)Requires the evaluation to address the number of distressed lane  
            miles, bridge conditions, and life cycle


          4)Requires Caltrans, until March 31, 2020, to submit annual  
            reports to the Legislature regarding its evaluation and rating.   



          FISCAL EFFECT:  According to the Assembly Appropriations  
          Committee, Caltrans indicates that, while it is already doing much  
          of the work required in this bill, because this bill does not  
          fully align with requirements of the federal Moving Ahead for  
          Progress in the 21st Century Act (MAP-21), the bill will entail  
          more work, which nevertheless can be accomplished within existing  
          resources."


          COMMENTS:  Caltrans is responsible for maintaining and operating  
          the approximately 50,000 lane-mile state highway system, including  
          nearly 13,000 bridges.  The department monitors the condition and  
          operational performance of the state highway through periodic  
          inspections, traffic studies, and system analysis.  From this,  
          Caltrans prepares its ten-year State Highway Operation Protection  
          Plan (SHOPP) plan.  The plan is required by existing law to  
          include the identified needs for a ten-year period based on  
          quantifiable accomplishments and a cost estimate for at least the  








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          first five years.  According to Caltrans, the goal-constrained  
          needs developed as a part of this analysis represents the  
          estimated cost to meet reasonable performance goals.  For example,  
          for pavements, the goal is to reduce the current level of  
          distressed lane miles of pavement on the state highway system down  
          to 10% in ten years.  Other elements of the SHOPP have similar  
          performance goals, such as:


          1)Roadway preservation:  Reduce to 10% the number of distressed  
            lane miles.


          2)Bridge preservation:  Reduce to 3% of bridges distressed.


          3)Major damage:  Restore damage within 180 days.


          Through the 10-year SHOPP plan, and other tools, Caltrans uses a  
          strategic approach to managing highway assets.  This approach has  
          been already endorsed at the federal and state level.  In fact,  
          recent legislation at both the federal and state levels already  
          requires Caltrans to develop a system to evaluate its assets much  
          like the one required by this bill.  For example, MAP-21 requires  
          each state to develop a risk-based asset management plan for the  
          national highway system to improve or preserve the condition of  
          the assets and the performance of the system.  The plans are to  
          include strategies that lead to progress toward achieving specific  
          targets related to asset condition and performance.  At a minimum,  
          states must address pavements and bridges but are encouraged to  
          include all infrastructure assets within the highway right-of-way  
          in their asset management plan.  


          Last session, the Legislature passed and the Governor signed SB  
          486 (DeSaulnier), Chapter 917, Statutes of 2014, that, among other  
          things, requires Caltrans to prepare an asset management plan to  
          guide development of the SHOPP.  Asset management is a strategic  








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          and systematic process of operating, maintaining, and improving  
          physical assets.  Caltrans focuses on engineering and economic  
          analysis, based upon quality information, to identify a structured  
          sequence of maintenance, preservation, repair, rehabilitation, and  
          replacement actions that will achieve and sustain a desired and  
          sustainable state of good repair over the lifecycle of the assets  
          at minimum practicable cost.


          Unlike MAP-21, SB 486 did not identify specific categories of  
          assets to include in the asset management plan.  Instead it  
          requires California Transportation Commission to adopt targets and  
          performance measures that reflect state policy goals and  
          objectives.  


          The author believes the state highway system is in dire need of  
          improvement.  He notes that it is operating well beyond its design  
          life and beyond its capacity.  Additionally, he is concerned that  
          continued population growth imposes even greater wear and tear on  
          the already-aging system.  He introduced AB 1164 to provide a  
          valuable tool for decision makers to help them prioritize  
          projects.  


          Committee concern:  The author's desire for a performance  
          management approach to managing the state's highway system is just  
          the sort of approach that could lead to a better use of the  
          state's limited transportation resources.  The problem with this  
          bill is, however, this approach is already being done at the  
          local, state, and federal levels. 


          Please see the policy committee analysis for full discussion of  
          this bill.












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          Analysis Prepared by:                                               
          Janet Dawson / TRANS. / (916) 319-2093  FN: 0000779