BILL ANALYSIS Ó
AB 2411
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Date of Hearing: April 20, 2016
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Lorena Gonzalez, Chair
AB
2411 (Frazier) - As Introduced February 19, 2016
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Urgency: No State Mandated Local Program: NoReimbursable: No
SUMMARY:
This bill deletes the statutory transfer of miscellaneous
revenues within the State Highway Account (SHA) to the
Transportation Debt Service Fund, and instead, retains these
revenues in the SHA, to be used solely for purposes delineated
in Article XIX of the California Constitution.
FISCAL EFFECT:
AB 2411
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Miscellaneous revenues to the SHA have ranged from $60 million
to $70 million annually in the last four years. This bill would
increase transportation funding by this amount and require a
like amount of General Fund revenues to instead pay
transportation bond debt service.
COMMENTS:
Background and Purpose. Article XIX of the state Constitution
restricts the use of revenues from taxes imposed by the state on
motor vehicle fuels to the research, planning, construction,
improvement, maintenance, and operation of public streets and
highways and exclusive public mass transit guideways, including
mitigation of their environmental effects. These taxes are the
main state source Caltrans' funding. Long-standing policy held
that any money generated by Caltrans, for example, from document
sales, property rentals, or surplus property sales (i.e
miscellaneous revenue), was similarly Article XIX protected. To
address the state's recent budget challenges, however, budget
trailer bill legislation instead directed miscellaneous revenues
toward retirement of debt on state transportation bonds.
The author argues that, with the state's General Fund budget no
longer in crisis and the state's large and growing unmet need
for transportation funding, these annual revenues should once
again be used for transportation needs.
Analysis Prepared by:Chuck Nicol / APPR. / (916)
319-2081
AB 2411
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