Amended in Senate August 19, 2016

Amended in Senate August 15, 2016

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

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(Coauthors: Assembly Members Bloom, Calderon, Chiu, and Nazarian)

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(Coauthors: Senatorsbegin delete Beall and Hillend deletebegin insert Beall, Galgiani, Hill, Leno, and Mendozaend insert)

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.

This bill would provide for the purposes of a certainbegin insert required fundingend insert plan that a corridor or usable segment thereof would be “suitable and ready for high-speed train operation” if specified conditions are met.begin insert The bill would also require the authority to include in its business plan and project update report information describing the use of these bond proceeds demonstrating that the investments made are consistent with the authority’s current business plan and advance the development of the Phase I blended system as described in the business plan.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:

P2    1

SECTION 1.  

(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.

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.

12(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,” which
15would enable high-speed trains to share infrastructure with existing
16passenger rail service providers as part of a blended system, and
17is consistent with Proposition 1A.

18(d) Also in 2012, using the Revised Business Plan as a
19guidepost, the Legislature passed and the Governor signed SB
201029 of the 2011-12 Regular Session (Chapter 152 of the Statutes
21of 2012), appropriating over $7.5 billion in state and federal
22funding to begin construction of the project in the central valley
P3    1and in the Bookends, and for local connectivity projects throughout
2the state.

3(e) Of the amount appropriated, the Legislature dedicated $1.1
4billion to passenger rail projects on the system’s Bookends that
5will ultimately be part of the blended system utilizing shared
6infrastructure.

7(f) In 2013, the Legislature passed and the Governor signed SB
8557 of the 2013-14 Regular Session (Chapter 216 of the Statutes
9of 2013), which reaffirmed the Legislature’s commitment to
10investments in the Bookends.

11(g) It is the intent of the Legislature, in appropriating funding
12for initial investments, that these projects should proceed to
13construction in the near-term to provide economic benefits, create
14jobs, and advance improved, safer, and cleaner rail transportation
15and that these initial investments are consistent with and further
16the goals of Proposition 1A.

17(h) Consistent with Proposition 1A, these early investments will
18enable passenger train service providers to begin using the
19improvements on a corridor or useable segment thereof while
20additional work is completed to enable high-speed train service.

21(i) Furthermore, it is the intent of the Legislature that nothing
22in this act relieves the High-Speed Rail Authority from its duties
23under Proposition 1A, including the submission to the Director of
24Finance of the plan required pursuant to subdivision (d) of Section
252704.08 of the Streets and Highways Code.

26(j) As established in Proposition 1A, the required plan shall be
27informed by the work of one or more independent financial services
28firms, financial consulting firms, or other consultants, pursuant to
29paragraph (2) of subdivision (d) of Section 2704.08 of the Streets
30and Highways Code.

31(k) This act clarifies that early investments in the Bookends and
32elsewhere along the system, as defined in SB 1029 of the 2011-12
33Regular Session (Chapter 152 of the Statutes of 2012), which will
34ultimately be used by high-speed rail trains, are consistent with
35the intent of the Legislature in appropriating funding and is
36consistent with Proposition 1A.

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SEC. 2.  

Section 2704.78 is added to the Streets and Highways
38Code
, to read:

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2704.78.  

begin insert(a)end insertbegin insertend insert For purposes of the funding plan required
40pursuant to subdivision (d) of Section 2704.08, a corridor or usable
P4    1segment thereof is “suitable and ready for high-speed train
2operation” if the bond proceeds, as appropriated pursuant to Senate
3Bill 1029 of the 2011-12 Regular Session (Chapter 152 of the
4Statutes of 2012), are to be used for a capital cost for a project that
5would enable high-speed trains to operate immediately or after
6additional planned investments are made on the corridor or useable
7 segment thereof and passenger train service providers will benefit
8from the project in the near-term.

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9
(b) In each report prepared pursuant to Sections 185033 and
10185033.5 of the Public Utilities Code, the authority shall include
11information describing the use of bond proceeds appropriated by
12Section 2.00 of the Budget Act of 2012, as added by Section 3 of
13Chapter 152 of the Statutes of 2012, demonstrating that the
14investments made are consistent with the authority’s current
15business plan and advance the development of the Phase I blended
16system as described in the business plan.

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