Amended in Senate August 1, 2016

Amended in Senate June 21, 2016

Amended in Assembly March 17, 2016

California Legislature—2015–16 Regular Session

Assembly BillNo. 1889


Introduced by Assembly Member Mullin

February 11, 2016


An act to add Section 2704.78 to the Streets and Highways Code, relating to transportation.

LEGISLATIVE COUNSEL’S DIGEST

AB 1889, as amended, Mullin. High-Speed Rail Authority: high-speed train operation.

Existing law creates the High-Speed Rail Authority with specified powers and duties relative to the development and implementation of a high-speed train system. Existing law, pursuant to the Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century, approved by the voters as Proposition 1A at the November 4, 2008, statewide general election, provides for the issuance of $9.95 billion for high-speed train capital projects and other associated purposes. The bond act requires the authority to expend the proceeds of the bond act pursuant to certain planning and reporting requirements, which require the authority to approve that the corridor or usable segment would be suitable and ready for high-speed train operations.

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The Budget Act of 2012 made appropriations for the support of state government, including an appropriation for, among other things, state operations, local assistance, or capital outlay for high-speed rail projects, as specified.

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This bill would provide for the purposes ofbegin delete that appropriation that the approval by the authorityend deletebegin insert a certain planend insert that a corridor or usable segment thereof would bebegin delete suitableend deletebegin insert “suitableend insert and ready for high-speed trainbegin delete operation is conclusive.end deletebegin insert operation” if specified conditions are met.end insert

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

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begin insertSECTION 1.end insert  

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(a) In passing AB 3034 (Chapter 267 of the
2Statutes of 2008), the Legislature placed before the voters the Safe,
3Reliable High-Speed Passenger Train Bond Act for the 21st
4Century (Proposition 1A), which was approved and provides $9
5billion to initiate the construction of a high-speed train system
6connecting the San Francisco Transbay Terminal to Los Angeles
7Union Station and Anaheim and linking California’s major
8population centers.

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9
(b) Additionally, Proposition 1A included $950 million for
10intercity, commuter, and urban rail systems that will ultimately
11provide connectivity to the high-speed train system.

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(c) In 2012, the High-Speed Rail Authority released the Revised
132012 Business Plan, which called for near-term investments in
14northern and southern California, known as the “Bookends,”
15which would enable high-speed trains to share infrastructure with
16existing passenger rail service providers as part of a blended
17system, as envisioned in Proposition 1A.

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18
(d) Also in 2012, using the Revised Business Plan as a guidepost,
19the Legislature passed and the Governor signed SB 1029 (Chapter
20152 of the Statutes of 2012), appropriating over $7.5 billion in
21state and federal funding to begin construction of the project in
22the central valley and in the Bookends, and for local connectivity
23projects throughout the state.

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(e) Of the amount appropriated, the Legislature dedicated $1.1
25billion to passenger rail projects on the system’s Bookends that
26will ultimately be part of the blended system utilizing shared
27infrastructure.

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(f) In 2013, the Legislature passed and the Governor signed SB
29557 (Chapter 216 of the Statutes of 2013), which reaffirmed the
30Legislature’s commitment to investments in the Bookends.

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(g) It is the intent of the Legislature, in appropriating funding
2for initial investments, that these projects should proceed to
3construction in the near-term to provide economic benefits, create
4jobs, and advance improved, safer, and cleaner rail transportation
5and that these initial investments are consistent with and further
6the goals of Proposition 1A.

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(h) Consistent with Proposition 1A, these early investments will
8enable passenger train service providers to begin using the
9improvements on a corridor or useable segment thereof while
10additional work is completed to enable high-speed train service.

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(i) Furthermore, it is the intent of the Legislature that nothing
12in this act relieves the High-Speed Rail Authority from its duties
13under Proposition 1A, including the submission to the Director of
14Finance of the plan required pursuant to subdivision (d) of Section
152704.08 of the Streets and Highways Code.

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(j) As established in Proposition 1A, the required plan shall be
17informed by the work of one or more independent financial services
18firms, financial consulting firms, or other consultants, pursuant
19to paragraph (2) of subdivision (d) of Section 2704.08 of the Streets
20and Highways Code.

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(k) This act clarifies that early investments in the Bookends and
22elsewhere along the system, which will ultimately be used by
23high-speed rail trains, are consistent with the intent of the
24Legislature in appropriating funding and with the will of the voters
25in approving Proposition 1A.

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26begin insert

begin insertSEC. 2.end insert  

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begin insertSection 2704.78 is added to the end insertbegin insertStreets and Highways
27Code
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begin insert, to read:end insert

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begin insert2704.78.end insert  

For purposes of the funding plan required pursuant
29to subdivision (d) of Section 2704.08, a corridor or usable segment
30thereof is “suitable and ready for high-speed train operation” if
31bond proceeds are to be used for a capital cost for a project that
32would enable high-speed trains to operate immediately or after
33additional planned investments are made on the corridor or
34useable segment thereof and passenger train service providers
35will benefit from the project in the near-term.

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SECTION 1.  

Section 2704.78 is added to the Streets and
37Highways Code
, to read:

38

2704.78.  

(a) For the purposes of expenditure or liquidation of
39the appropriation made by Item 2665-104-6043 of Section 2.00
40of the Budget Act of 2012, as added by Section 3 of Chapter 152
P4    1of the Statutes of 2012, the approval made by the High-Speed Rail
2Authority pursuant to Section 2704.08 that a corridor or usable
3segment thereof would be suitable and ready for high-speed train
4operation, within the meaning Section 2704.08, shall be conclusive.

5(b) This section does not relieve the High-Speed Rail Authority
6of its duties under Section 2704.08, including the report required
7by subdivision (d) of that section.

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