BILL ANALYSIS Ó AB 1164 Page 1 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: AB 1164 Page 2 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 AB 1164 Page 3 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 AB 1164 Page 4 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. AB 1164 Page 5 Analysis Prepared by: Janet Dawson / TRANS. / (916) 319-2093 FN: 0000779