BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 2034


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          Date of Hearing:  April 20, 2016


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                               Lorena Gonzalez, Chair


          AB  
          2034 (Salas) - As Amended March 17, 2016


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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill deletes the January 1, 2017, sunset for Caltrans to  
          waive its 11th Amendment right to sovereign immunity from  
          lawsuits brought in federal court, so that Caltrans can  
          continue, indefinitely, to assume the role of the U.S.  
          Department of Transportation (U.S. DOT) for National  
          Environmental Policy Act (NEPA) decision making.










                                                                    AB 2034


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          FISCAL EFFECT:


          Based on results to date (see below), Caltrans should continue  
          saving considerable time, and thus related costs, on projects  
          requiring NEPA review, while also incurring limited legal costs.


          COMMENTS:


          1)Background. Federal legislation enacted in 2005 established  
            the Surface Transportation Project Delivery Pilot Program  
            (later called the NEPA Assignment). California was designated  
            as one of five states eligible to participate in a multi-year  
            program delegating the responsibilities of the U.S. Department  
            of Transportation and U.S. Federal Highway Administration  
            (FHWA) under NEPA to those states. The states were subjected  
            to the same procedural and substantive requirements as if they  
            were carried out by U.S. DOT, including making Caltrans the  
            lead agency for environmental reviews for projects subject to  
            NEPA. 

            To participate in the NEPA Assignment, participating states  
            were required to accept the financial costs associated with  
            the delegated authority, as well as full liability for  
            lawsuits filed under NEPA in federal court. Therefore,  
            participating states were required to obtain a limited waiver  
            of their 11th Amendment sovereign immunity, thereby allowing  
            them to be sued in federal court and providing them the  
            ability to defend against claims that may be brought against  
            the NEPA document. AB 1039 (Núñez), Chapter 31, Statutes of  
            2006, in part granted the necessary waiver of sovereign  
            immunity to Caltrans until January 1, 2009, and subsequent  
            legislation twice extended the expiration of this waiver.



            In reports to the Legislature and the FHWA regarding this  








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            program, Caltrans has reported that the NEPA assignment has  
            been successful in reducing the amount of time for reviews and  
            approvals of NEPA documents and also resulted in streamlining  
            the environmental review process for joint NEPA/CEQA  
            documents. With regard to litigation, thus far Caltrans' has  
            been involved in a seven minor NEPA lawsuits and has expended  
            minimal time, comparatively, addressing these lawsuits.  With  
            respect to cost and time savings achieved by NEPA Assignment,  
            the benefits have clearly outweighed the costs.


          2)Purpose. According to the author, by allowing Caltrans to  
            continue the NEPA Assignment program indefinitely, will create  
            circumstances by which transportation projects can continue to  
            be delivered more quickly.


          Analysis Prepared by:Chuck Nicol / APPR. / (916)  
          319-2081