BILL ANALYSIS Ó
SENATE COMMITTEE ON APPROPRIATIONS
Senator Ricardo Lara, Chair
2015 - 2016 Regular Session
AB 2730 (Alejo) - Department of Transportation: Prunedale
Bypass: County of Monterey: disposition of excess properties
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|Version: May 31, 2016 |Policy Vote: T. & H. 11 - 0 |
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|Urgency: No |Mandate: No |
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|Hearing Date: August 8, 2016 |Consultant: Mark McKenzie |
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This bill meets the criteria for referral to the Suspense File.
Bill
Summary: AB 2730 would reserve proceeds from the sale of any
excess properties originally acquired by the Department of
Transportation (Caltrans) for the Prunedale Bypass in Monterey
County and require that the funds be used for other state
highway projects in the State Route (SR) 101 Corridor in
Monterey County.
Fiscal
Impact:
Redirection of $5 -$12 million to projects in a specific
highway corridor in Monterey County. Proceeds from the sale
of excess Caltrans properties are currently used to offset
General Fund payments for transportation-related debt service,
so the redirection would result in a commensurate increase in
General Fund costs.
AB 2730 (Alejo) Page 1 of
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Background: Under existing law, whenever Caltrans determines that real
property acquired for highway purposes is no longer necessary,
that property may be sold or exchanged upon terms, standards,
and conditions established by the California Transportation
Commission (CTC). If a proposed state highway route location is
rescinded, existing law requires Caltrans to sell any excess
real property acquired for the rescinded route location and use
the proceeds to fund the state highway project that is proposed
as the alternative to the rescinded route. Proceeds from the
sale of excess properties are deposited into the State Highway
Account, and historically these funds have been programmed for
use on other state highway projects. Existing law currently
requires proceeds to be transferred to the Transportation Debt
Service Fund to pay debt-service on transportation-related
general obligation bonds, offsetting General Fund costs for debt
service.
Initially planned in the 1950s, the Prunedale Bypass Project
intended to re-route State Highway 101 around the community of
Prunedale to alleviate congestions caused by local and transient
traffic. In preparation for the project and in an effort to
preserve right-of-way related to the project, Caltrans purchased
over 140 parcels of land totaling 353 acres. However, the
Prunedale Bypass has since been abandoned and is no longer in
the area's long-range plans. Caltrans indicates that there are
currently 112 parcels totaling 304 acres that do not have a
planned use.
Proposed Law:
SB 2730 would require the net proceeds from the sale of excess
properties acquired by Caltrans for a replacement alignment for
SR 101, known formerly as the Prunedale Bypass, to be reserved
in the State Highway Account for programming and allocation by
CTC through the State Transportation Improvement Program (STIP)
for other state highway projects in the SR 101 corridor in
Monterey County. These funds would be exempt from the existing
"north/south split" and county share formulas that otherwise
apply to STIP funding.
Related
AB 2730 (Alejo) Page 2 of
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Legislation: SB 791 (Corbett), Chap. 705/2008, directed
proceeds from the sale of surplus properties in the SR 84 and SR
238 corridors that were originally purchased to construct the
Hayward Bypass to "local alternative transportation improvement
projects" within the same area, as specified.
Staff
Comments: Caltrans estimates the fair market value of the
parcels subject to the bill's requirements could be $5 million
to $12 million. Actual values would depend upon future
appraisals and the sales prices realized at auction. Any
administrative and appraisal costs incurred by Caltrans would be
reimbursed from sales proceeds.
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