BILL NUMBER: SBX1 1 AMENDED
BILL TEXT
AMENDED IN SENATE SEPTEMBER 1, 2015
AMENDED IN SENATE AUGUST 25, 2015
AMENDED IN SENATE JULY 14, 2015
INTRODUCED BY Senator Beall
JUNE 22, 2015
An act to add Sections 14526.7, 14526.8, 14528, 14528.1,
and 16321 to the Government Code, to amend Sections 7360 and
60050 of, and to add Sections 7361.2, 7653.2, 60050.2, and
60201.4 to, of the Revenue and Taxation Code, to
add Section 2103.1 to, to add Article 8 (commencing with Section
228) to Chapter 1 of Division 1 of, and to add Chapter 2 (commencing
with Section 2030) to Division 3 of, the Streets and Highways Code,
and to add Sections 9250.3 and 9250.6 to the Vehicle Code, relating
to transportation, making an appropriation therefor, and declaring
the urgency thereof, to take effect immediately.
LEGISLATIVE COUNSEL'S DIGEST
SB 1, as amended, Beall. Transportation funding.
(1) Existing law provides various sources of funding for
transportation purposes, including funding for the state highway
system and the local street and road system. These funding sources
include, among others, fuel excise taxes, commercial vehicle weight
fees, local transactions and use taxes, and federal funds. Existing
law imposes certain registration fees on vehicles, with revenues from
these fees deposited in the Motor Vehicle Account and used to fund
the Department of Motor Vehicles and the Department of the California
Highway Patrol. Existing law provides for the monthly transfer of
excess balances in the Motor Vehicle Account to the State Highway
Account.
This bill would create the Road Maintenance and Rehabilitation
Program to address deferred maintenance on the state highway system
and the local street and road system. The bill would require
the California Transportation Commission to adopt performance
criteria to ensure efficient use of the funds available for the
program. system and for oth er specified
purposes. The bill would provide for the deposit of various
funds for the program in the Road Maintenance and Rehabilitation
Account, which the bill would create in the State Transportation
Fund, including revenues attributable to a $0.12 per gallon increase
in the motor vehicle fuel (gasoline) tax imposed by the bill and
$0.10 of a $0.22 per gallon increase in the diesel fuel excise tax
imposed by the bill, including an inflation adjustment, as provided,
a $0.12 per gallon storage tax on motor vehicle fuel and
$0.10 of the $0.22 per gallon storage tax on diesel fuel imposed by
the bill, an increase of $35 in the annual vehicle
registration fee, a new $100 annual vehicle registration fee
applicable to zero-emission motor vehicles, as defined, a new annual
road access charge on each vehicle, as defined, of $35, and
repayment, over a 3-year period, of outstanding loans made in
previous years from certain transportation funds to the General Fund.
The bill would continuously appropriate the funds in the account
for road maintenance and rehabilitation purposes and would allocate
5% of available funds to counties that approve a transactions and use
tax on or after July 1, 2015, with the remaining funds to be
allocated 50% for maintenance of the state highway system or to the
state highway operation and protection program, and 50% to cities and
counties pursuant to a specified formula. The bill would impose
various requirements on agencies receiving these funds.
funds and would require the California Transportation
Commission to adopt performance criteria related to highway
performance goals, greenhouse gas emissions, social equity impacts,
and public health impacts, as specified. The bill would require the
commission to an nually evaluate the department and each
city and county receiving these revenues to determine effectiveness
in reducing deferred maintenance and improving roadway conditions, as
well as in meeting the performance criteria. The bill would
authorize the commission to withhold future allocations of funds or
to reapportion funds to other agencies under certain conditions.
The bill would authorize a city or county to spend its
apportionment of funds under the program on transportation priorities
other than those allowable pursuant to the program if the city's or
county's average Pavement Condition Index meets or exceeds 85.
(2) The Highway Safety, Traffic Reduction, Air Quality, and Port
Security Bond Act of 2006 (Proposition 1B) created the Trade
Corridors Improvement Fund and provided for allocation by the
California Transportation Commission of $2 billion in bond funds for
infrastructure improvements on highway and rail corridors that have a
high volume of freight movement, and specified categories of
projects eligible to receive these funds. Existing law continues the
Trade Corridors Improvement Fund in existence in order to receive
revenues from sources other than the bond act for these purposes.
The bill would transfer revenues attributable to $0.12 of the
$0.22 increase in the diesel fuel excise tax and revenues
attributable to $0.12 of the $0.22 per gallon storage tax on diesel
fuel to the Trade Corridors Improvement Fund for
expenditure on eligible projects.
(3) Existing law, as of July 1, 2011, increases the sales and use
tax on diesel and decreases the excise tax, as provided. Existing law
requires the State Board of Equalization to annually modify both the
gasoline and diesel excise tax rates on a going-forward basis so
that the various changes in the taxes imposed on gasoline and diesel
are revenue neutral.
This bill would eliminate the annual rate adjustment to maintain
revenue neutrality for the gasoline and diesel excise tax rates. This
bill would, beginning January July 1,
2019, and every 3rd year thereafter, require the board to recompute
the gasoline and diesel excise tax rates based upon the percentage
change in the California Consumer Price Index transmitted to the
board by the Department of Finance, as prescribed.
(4) Existing law requires the Department of Transportation to
prepare a state highway operation and protection program every other
year for the expenditure of transportation capital improvement funds
for projects that are necessary to preserve and protect the state
highway system, excluding projects that add new traffic lanes. The
program is required to be based on an asset management plan, as
specified. Existing law requires the department to specify, for each
project in the program, the capital and support budget and projected
delivery date for various components of the project. Existing law
provides for the California Transportation Commission to review and
adopt the program, and authorizes the commission to decline
and to adopt the program if it determines that
the program is not sufficiently consistent with the asset management
plan.
This bill, on and after February 1, 2017, would require the
commission to make an allocation of all capital and support costs for
each project in the program, and would require the department to
submit a supplemental project allocation request to the commission
for each project that experiences cost increases above the amounts in
its allocation. The bill would require the commission to establish
guidelines to provide exceptions to the requirement for a
supplemental project allocation requirement that the commission
determines are necessary to ensure that projects are not
unnecessarily delayed.
(5) Existing law requires the Department of Transportation to
prepare and submit to the Governor a proposed budget and to develop
budgeting, accounting, fiscal control, and management information
systems to provide budget oversight.
This bill, by April 1, 2016, would require the department to
present to the California Transportation Commission a plan to
increase department efficiency by up to 30% over the subsequent 3
years, with the ongoing savings to result in increased capital
expenditures in the state highway operation and protection program or
an increase in the state highway maintenance program.
(6) Existing law requires the Department of Transportation to
prepare a State Highway Operation and Protection Program every other
year for the expenditure of transportation capital improvement funds
for projects that are necessary to preserve and protect the state
highway system, excluding projects that add new traffic lanes.
Existing law provides for the programming of transportation capital
improvement funds for other objectives through the State
Transportation Improvement Program administered by the California
Transportation Commission, which includes projects recommended by
regional transportation planning agencies through adoption of a
regional transportation improvement program and projects recommended
by the department through adoption of an interregional transportation
improvement program, as specified.
This bill would require the department or any local agency, when
undertaking any capital improvement project on a state highway or
local street or highway funded through the State Highway Operation
and Protection Program or the State Transportation Improvement
Program, to include new bicycle and pedestrian safety, access, and
mobility improvements, or improve existing facilities, as part of the
project, consistent with the department's adopted Strategic
Management Plan 2015-2020, subject to certain exceptions.
This bill would, to the maximum extent feasible, require all
transportation projects funded through the State Highway Operation
and Protection Program or the State Transportation Improvement
Program to be implemented in a manner that reduces greenhouse gas
emissions and positively benefits vulnerable or disadvantaged
communities, as specified. The bill would require the commission to
adopt performance criteria for these transportation projects relative
to greenhouse gas emissions, social equity impacts, and public
health impacts, and would require the lead agency for each project to
report to the commission with documentation on those matters upon
completion of the project. The bill would require the commission to
evaluate the documentation to determine the effectiveness of each
completed project in meeting the adopted performance criteria, and
would authorize the commission to withhold future funding allocations
from an applicant if it determines that previous use of funding by
the applicant has not adequately furthered the state's climate,
equity, and health goals in tandem with the state's highway and road
system maintenance and preservation goals.
(6)
(7) This bill would declare that it is to take effect
immediately as an urgency statute.
Vote: 2/3. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. The Legislature finds and declares all of the
following:
(a) Over the next 10 years, the state faces a $59 billion
shortfall to adequately maintain the existing state highway system,
in order to keep it in a basic state of good repair.
(b) Similarly, cities and counties face a $78 billion shortfall
over the next decade to adequately maintain the existing network of
local streets and roads.
(c) Statewide taxes and fees dedicated to the maintenance of the
system have not been increased in more than 20 years, with those
revenues losing more than 55 percent of their purchasing power, while
costs to maintain the system have steadily increased and much of the
underlying infrastructure has aged past its expected useful life.
(d) California motorists are spending $17 billion annually in
extra maintenance and car repair bills, which is more than $700 per
driver, due to the state's poorly maintained roads.
(e) Failing to act now to address this growing problem means that
more drastic measures will be required to maintain our system in the
future, essentially passing the burden on to future generations
instead of doing our job today.
(f) A funding program will help address a portion of the
maintenance backlog on the state's road system and will stop the
growth of the problem.
(g) Modestly increasing various fees can spread the cost of road
repairs broadly to all users and beneficiaries of the road network
without overburdening any one group.
(h) Improving the condition of the state's road system will have a
positive impact on the economy as it lowers the transportation costs
of doing business, reduces congestion impacts for employees, and
protects property values in the state.
(i) The federal government estimates that increased spending on
infrastructure creates more than 13,000 jobs per $1 billion spent.
(j) Well-maintained roads benefit all users, not just drivers, as
roads are used for all modes of transport, whether motor vehicles,
transit, bicycles, or pedestrians.
(k) Well-maintained roads additionally provide significant health
benefits and prevent injuries and death due to crashes caused by
poorly maintained infrastructure.
SEC. 2. Section 14526.7 is added to the Government Code, to read:
14526.7. (a) On and after February 1, 2017, an allocation by the
commission of all capital and support costs for each project in the
state highway operation and protection program shall be required.
(b) For a project that experiences increases in capital or support
costs above the amounts in the commission's allocation pursuant to
subdivision (a), a supplemental project allocation request shall be
submitted by the department to the commission for approval.
(c) The commission shall establish guidelines to provide
exceptions to the requirement of subdivision (b) that the commission
determines are necessary to ensure that projects are not
unnecessarily delayed.
SEC. 3. Section 14526.8 is added to the Government Code, to read:
14526.8. (a) On or before April 1, 2016, the department shall
present to the commission a plan to increase department efficiency by
up to 30 percent over the subsequent three years. The ongoing
savings experienced through this increased efficiency shall result in
increased capital expenditures in the department's state highway
operation and protection program or an increase in the department's
state highway maintenance program.
(b) The commission shall consider the reasonableness of the
proposal, and may approve the entire plan or reject all or portions
of the plan. The commission's feedback is intended to ensure that the
department is achieving the savings in the most responsible way
possible.
(c) All future state highway operation and protection program
documents shall identify the increased funding available to the
program as a result of the efficiencies realized due to the
implementation of the plan.
SEC. 4. Section 14528 is added to the
Government Code , to read:
14528. (a) Except as provided in subdivisions (b) and (c), the
department or any local agency, when undertaking any capital
improvement project on a state highway or a local street or highway
that is being funded through the State Highway Operation and
Protection Program or the State Transportation Improvement Program,
shall include new bicycle and pedestrian safety, access, and mobility
improvements, or improve existing facilities, as part of the
project, consistent with the department's adopted Strategic
Management Plan 2015-2020, as follows:
(1) In transit priority areas and on streets and highways with
average daily traffic of 20,000 vehicles or more and a speed limit
over 25 miles per hour, well-lit facilities for bicyclists and
pedestrians shall be provided that are physically separated from
motor vehicles, either as Class I multiuse paths or Class IV bikeways
with separate walkways. In addition, signals or other facilities
shall be provided to enable bicyclists and pedestrians to safely
cross the street or highway.
(2) On streets or highways other than those described in paragraph
(1), facilities for pedestrians and bicyclists shall be provided
when feasible, and reduction of vehicle traffic lanes and
implementation of traffic calming improvements shall be considered.
(b) This section does not apply to capital improvement projects on
street and highway facilities that are closed, by law, to use by
pedestrians, bicyclists, and other nonmotorized users.
(c) The department or a local agency may exempt a capital
improvement project from the requirements of this section through
adoption of a resolution, after at least one public hearing, that
documents that there is a demonstrated and verifiable absence of
future need for active transportation facilities on the highway
segment where the capital improvement project is to be implemented.
(d) (1) As used in this section, "capital improvement project"
includes, but is not limited to, a reconstruction, rehabilitation, or
operational improvement project.
(2) As used in this section, "transit priority area" means an area
within one-half mile of an existing major transit stop, or a planned
transit stop, if the planned stop is scheduled to be completed
within the planning horizon included in the interregional
transportation improvement program submitted pursuant to Section
14526 or a regional transportation improvement program adopted
submitted to Section 14527.
SEC. 5. Section 14528.1 is added to the
Government Code , to read:
14528.1. (a) To the maximum extent feasible, all transportation
projects funded through the State Highway Operation and Protection
Program or the State Transportation Improvement Program shall be
implemented in a manner that reduces greenhouse gas emissions and
positively benefits vulnerable or disadvantaged communities pursuant
to Assembly Bill 32 (Chapter 488, Statutes of 2006), Senate Bill 375
(Chapter 728, Statutes of 2008), and Senate Bill 535 (Chapter 830,
Statutes of 2012).
(b) The commission shall adopt performance criteria for the
transportation projects in subdivision (a) relative to greenhouse gas
emissions, social equity impacts, and public health impacts. The
lead agency on each transportation project shall report to the
commission with documentation on each of the following upon
completion of the project:
(1) A description of and the location of the project.
(2) The amount of funds expended on the project.
(3) The completion date.
(4) The project's estimated useful life.
(5) The projected greenhouse gas emissions resulting from the
project, including an analysis of induced demand and biological
emissions.
(6) A description of mobility benefits provided as a result of the
project to transit, bicycling, and pedestrians.
(7) An analysis of how mobility benefits of the project are
accessible to low-income and disadvantaged community residents within
the project area.
(8) A description and, if feasible, a quantification of the public
health and safety, economic, and environmental cobenefits resulting
from the project. To the extent the performance criteria for each
cobenefit category have not been met, documentation shall be provided
that identifies any statutory or regulatory barriers, or
alternatively, a demonstrated absence of need.
(9) Levels of particulate matter (PM 2.5), oxides of nitrogen
(NOx), and sulphur oxides (SOx) prior to completion of the project,
and projected levels upon completion of the project.
(10) An analysis of air pollution burden on low-income and
disadvantaged community residents within the project area.
(11) Impacts of the project on important habitat, water resources,
and agricultural lands.
(c) The commission shall evaluate the documentation provided
pursuant to subdivision (b) to determine the effectiveness of each
completed project on all of the following:
(1) Reduction of deferred maintenance and improvement of roadway
conditions on the state highway system or local road system.
(2) Reduction of greenhouse gas emissions.
(3) Improvement of public health and air quality.
(4) Improvement of access and mobility for low-income and
disadvantaged community residents.
(5) Enhancement of wildlife connectivity.
(6) Preservation of natural and working lands.
(d) The commission may withhold future funding allocations from an
applicant if it determines that previous use of funding by the
applicant has not adequately furthered the state's climate, equity,
and health goals in tandem with the state's highway and road system
maintenance and preservation goals.
SEC. 4. SEC. 6. Section 16321 is
added to the Government Code, to read:
16321. (a) Notwithstanding any other law, on or before March 1,
2016, the Department of Finance shall compute the amount of
outstanding loans made from the State Highway Account, the Motor
Vehicle Fuel Account, the Highway Users Tax Account, and the Motor
Vehicle Account to the General Fund. The department shall prepare a
loan repayment schedule, pursuant to which the outstanding loans
shall be repaid to the accounts from which the loans were made, as
follows:
(1) On or before June 30, 2016, 33 percent of the outstanding loan
amounts.
(2) On or before June 30, 2017, 33 percent of the outstanding loan
amounts.
(3) On or before June 30, 2018, 34 percent of the outstanding loan
amounts.
(b) Notwithstanding any other provision of law, as the loans are
repaid pursuant to this section, the repaid funds shall be
transferred to the Road Maintenance and Rehabilitation Account
created pursuant to Section 2031 of the Streets and Highways Code.
(c) Funds for loan repayments pursuant to this section shall be
appropriated from the Budget Stabilization Account pursuant to
subclause (II) of clause (ii) of subparagraph (B) of paragraph (1) of
subdivision (c) of Section 20 of Article XVI of the California
Constitution.
SEC. 5. SEC. 7. Section 7360 of the
Revenue and Taxation Code is amended to read:
7360. (a) (1) (A) A tax of eighteen cents ($0.18) is hereby
imposed upon each gallon of fuel subject to the tax in Sections 7362,
7363, and 7364.
(B) In addition to the tax imposed pursuant to subparagraph (A),
on and after the 61st first day of
the first calendar quarter that occurs 90 days after the
effective date of the act adding this subparagraph, a tax of twelve
cents ($0.12) is hereby imposed upon each gallon of fuel
fuel, other than aviation gasoline, subject to
the tax in Sections 7362, 7363, and 7364.
(2) If the federal fuel tax is reduced below the rate of nine
cents ($0.09) per gallon and federal financial allocations to this
state for highway and exclusive public mass transit guideway purposes
are reduced or eliminated correspondingly, the tax rate imposed by
subparagraph (A) of paragraph (1), on and after the date of the
reduction, shall be recalculated by an amount so that the combined
state rate under subparagraph (A) of paragraph (1) and the federal
tax rate per gallon equal twenty-seven cents ($0.27).
(3) If any person or entity is exempt or partially exempt from the
federal fuel tax at the time of a reduction, the person or entity
shall continue to be so exempt under this section.
(b) On and after July 1, 2010, in addition to the tax imposed by
subdivision (a), a tax is hereby imposed upon each gallon of motor
vehicle fuel, other than aviation gasoline, subject to the tax in
Sections 7362, 7363, and 7364 in an amount equal to seventeen and
three-tenths cents ($0.173) per gallon.
(c) Beginning January July 1, 2019,
and every third year thereafter, the State Board of Equalization
shall recompute the rates of the taxes imposed by this section. That
computation shall be made as follows:
(1) The Department of Finance shall transmit to the State Board of
Equalization the percentage change in the California Consumer Price
Index for all items from June November
of three four calendar years prior to
June November of the current
prior calendar year, no later than
August 1, 2018, January 31, 2019, and
August 1 January 31 of every third year
thereafter.
(2) The State Board of Equalization shall do both
all of the following:
(A) Compute an inflation adjustment factor by adding 100 percent
to the percentage change figure that is furnished pursuant to
paragraph (1) and dividing the result by 100.
(B) Multiply the preceding tax rate per gallon by the inflation
adjustment factor determined in subparagraph (A) and round off the
resulting products product to the
nearest tenth of a cent.
(C) Make its determination of the new rate no later than March 1
of the same year as the effective date of the new rate.
SEC. 6. Section 7361.2 is added to the Revenue
and Taxation Code, to read:
7361.2. (a) For the privilege of storing, for the purpose of
sale, each supplier, wholesaler, and retailer owning 1,000 or more
gallons of tax-paid motor vehicle fuel on the 61st day after the
effective date of the act adding this section shall pay a storage tax
of twelve cents ($0.12) per gallon of tax-paid motor vehicle fuel in
storage according to the volumetric measure thereof.
(b) For purposes of this section:
(1) "Owning" means having title to the motor vehicle fuel.
(2) "Retailer" means any person who sells motor vehicle fuel in
this state to a person who subsequently uses the motor vehicle fuel.
(3) "Storing" includes the ownership or possession of tax-paid
motor vehicle fuel outside of the bulk transfer/terminal system,
including the holding of tax-paid motor vehicle fuel for sale at
wholesale or retail locations stored in a container of any kind,
including railroad tank cars and trucks or trailer cargo tanks.
"Storing" also includes tax-paid motor vehicle fuel purchased from
and invoiced by the seller, and tax-paid motor vehicle fuel removed
from a terminal or entered into by a supplier, prior to the date
specified in subdivision (a) and in transit on that date.
(4) "Wholesaler" means any person who sells motor vehicle fuel in
this state for resale to a retailer or to a person who is not a
retailer and subsequently uses the motor vehicle fuel.
SEC. 7. Section 7653.2 is added to the Revenue
and Taxation Code, to read:
7653.2. On or before the 121st day after the effective date of
the act adding this section, each person subject to the storage tax
imposed under Section 7361.2 shall prepare and file with the board,
in a form prescribed by the board, a return showing the total number
of gallons of tax-paid motor vehicle fuel owned by the person on the
61st day after the effective date of the act adding this section, the
amount of the storage tax, and any other information that the board
deems necessary for the proper administration of this part. The
return shall be accompanied by a remittance payable to the Controller
in the amount of tax due.
SEC. 8. Section 60050 of the Revenue and Taxation Code is amended
to read:
60050. (a) (1) A tax of thirteen cents ($0.13) is hereby imposed
upon each gallon of diesel fuel subject to the tax in Sections 60051,
60052, and 60058.
(2) If the federal fuel tax is reduced below the rate of fifteen
cents ($0.15) per gallon and federal financial allocations to this
state for highway and exclusive public mass transit guideway purposes
are reduced or eliminated correspondingly, the tax rate imposed by
paragraph (1) shall be increased by an amount so that the combined
state rate under paragraph (1) and the federal tax rate per gallon
equal what it would have been in the absence of the federal
reduction.
(3) If any person or entity is exempt or partially exempt from the
federal fuel tax at the time of a reduction, the person or entity
shall continue to be exempt under this section.
(b) In addition to the tax imposed pursuant to subdivision (a), on
and after the 61st first day of
the first calendar quarter that occurs 90 days after the
effective date of the act adding this subdivision, an additional tax
of twenty-two cents ($0.22) is hereby imposed upon each gallon of
diesel fuel subject to the tax in Sections 60051, 60052, and 60058.
(c) Beginning January July 1, 2019,
and every third year thereafter, the State Board of Equalization
shall recompute the rates of the taxes imposed by this section. That
computation shall be made as follows:
(1) The Department of Finance shall transmit to the State Board of
Equalization the percentage change in the California Consumer Price
Index for all items from June November
of three four calendar years prior to
June November of the current
prior calendar year, no later than
August 1, 2018, January 31, 2019, and
August 1 January 31 of every third year
thereafter.
(2) The State Board of Equalization shall do both
all of the following:
(A) Compute an inflation adjustment factor by adding 100 percent
to the percentage change figure that is furnished pursuant to
paragraph (1) and dividing the result by 100.
(B) Multiply the preceding tax rate per gallon by the inflation
adjustment factor determined in subparagraph (A) and round off the
resulting products product to the
nearest tenth of a cent.
(C) Make its determination of the new rate no later than March 1
of the same year as the effective date of the new rate.
SEC. 9. Section 60050.2 is added to the Revenue
and Taxation Code, to read:
60050.2. (a) For the privilege of storing, for the purpose of
sale, each supplier, wholesaler, and retailer owning 1,000 or more
gallons of tax-paid diesel fuel on the 61st day after the effective
date of the act adding this section shall pay a storage tax of
twenty-two cents ($0.22) per gallon of tax-paid diesel fuel in
storage according to the volumetric measure thereof.
(b) For purposes of this section:
(1) "Owning" means having title to the diesel fuel.
(2) "Retailer" means any person who sells diesel fuel in this
state to a person who subsequently uses the diesel fuel.
(3) "Storing" includes the ownership or possession of tax-paid
diesel fuel outside of the bulk transfer/terminal system, including
the holding of tax-paid diesel fuel for sale at wholesale or retail
locations stored in a container of any kind, including railroad tank
cars and trucks or trailer cargo tanks. "Storing" also includes
tax-paid diesel fuel purchased from and invoiced by the seller, and
tax-paid diesel fuel removed from a terminal or entered into by a
supplier, prior to the date specified in subdivision (a) and in
transit on that date.
(4) "Wholesaler" means any person who sells diesel fuel in this
state for resale to a retailer or to a person who is not a retailer
and subsequently uses the diesel fuel.
SEC. 10. Section 60201.4 is added to the
Revenue and Taxation Code, to read:
60201.4. On or before the 121st day after the effective date of
the act adding this section, each person subject to the storage tax
imposed under Section 60050.2 shall prepare and file with the board,
in a form prescribed by the board, a return showing the total number
of gallons of tax-paid diesel fuel owned by the person on the 61st
day after the effective date of the act adding this section, the
amount of the storage tax, and any other information that the board
deems necessary for the proper administration of this part. The
return shall be accompanied by a remittance payable to the Controller
in the amount of tax due.
SEC. 11. SEC. 9. Article 8
(commencing with Section 228) is added to Chapter 1 of Division 1 of
the Streets and Highways Code, to read:
Article 8. Road Access Charge
228. (a) In addition to any other charge imposed on a vehicle by
law, an annual road access charge is hereby imposed on each vehicle
described in subdivision (c). The amount of the annual road access
charge shall be thirty-five dollars ($35). The Department of Motor
Vehicles shall collect the charge at the same time and in the same
manner as the department collects the vehicle registration fee
pursuant to Section 9250.3 of the Vehicle Code.
(b) Revenues from the charge, after deduction of the department's
administrative costs related to this section, shall be deposited in
the Road Maintenance and Rehabilitation Account created pursuant to
Section 2031.
(c) As used in this section, "vehicle" means every vehicle subject
to registration in this state. "Vehicle" does not mean either any
vehicle exempted pursuant to the Vehicle Code from the payment of
registration fees or any vehicle for which a certificate of
nonoperation has been filed with the Department of Motor Vehicles
pursuant to Section 4604 of the Vehicle Code during the period of
time covered by the certificate.
SEC. 12. SEC. 10. Chapter 2
(commencing with Section 2030) is added to Division 3 of the Streets
and Highways Code, to read:
CHAPTER 2. ROAD MAINTENANCE AND REHABILITATION PROGRAM
2030. (a) The Road Maintenance and Rehabilitation Program is
hereby created to address deferred maintenance on the state highway
system and the local street and road system. Funds made available by
the program shall be prioritized for expenditure on basic road
maintenance and road rehabilitation projects, and on critical safety
projects. The California Transportation Commission shall adopt
performance criteria pursuant to subdivision (b) of Section 2033
to ensure efficient use of the funds available pursuant to
this chapter for the program.
(b) Funds made available by the program shall be used for projects
that include, but are not limited to, the following:
(1) Road maintenance and rehabilitation.
(2) Safety projects.
(3) Railroad grade separations.
(4) Active transportation and pedestrian and bicycle safety
projects in conjunction with any other allowable project.
(5) Wildlife crossings.
(c) To the extent possible, the department and cities and counties
receiving an apportionment of funds under the program shall use
advanced technologies and material recycling techniques that reduce
the cost of maintaining and rehabilitating the streets and highways.
2031. The following revenues shall be deposited in the Road
Maintenance and Rehabilitation Account, which is hereby created in
the State Transportation Fund:
(a) (1) The revenues
attributable to the increase in the motor vehicle fuel excise tax by
twelve cents ($0.12) per gallon pursuant to subdivision (a) of
Section 7360 of the Revenue and Taxation Code, as adjusted pursuant
to subdivision (c) of that section, and the revenues attributable to
ten cents ($0.10) per gallon of the increase in the diesel fuel
excise tax by twenty-two cents ($0.22) per gallon, pursuant to
subdivision (b) of Section 60050 of the Revenue and Taxation Code, as
adjusted pursuant to subdivision (c) of that section, as provided in
subdivision (a) of Section 2103.1.
(2) The revenues attributable to the storage tax imposed pursuant
to Section 7361.2 of the Revenue and Taxation Code and the revenues
attributable to ten cents ($0.10) of the storage tax per gallon of
tax-paid diesel fuel imposed by Section 60050.2 of the Revenue and
Taxation Code, as provided in subdivision (b) of Section 2103.1.
(b) The revenues from the increase in the vehicle registration fee
pursuant to Section 9250.3 of the Vehicle Code.
(c) The revenues from the increase in the vehicle registration fee
pursuant to Section 9250.6 of the Vehicle Code.
(d) The revenues from the road access charge imposed pursuant to
Section 228.
(e) The revenues from repayment of loans made from the State
Highway Account, the Motor Vehicle Fuel Account, the Highway Users
Tax Account, and the Motor Vehicle Account to the General Fund,
pursuant to the schedule set forth in Section 16321 of the Government
Code.
(f) Any other revenues designated for the program.
2031.5.
Each fiscal year the annual Budget Act shall contain an appropriation
from the Road Maintenance and Rehabilitation Account to the
Controller for the costs of carrying out his or her duties pursuant
to this chapter and to the California Transportation Commission for
the costs of carrying out its duties pursuant to this chapter and
Sections 14526.7 and 14526.8 of the Government Code.
2032. (a) After deducting the amounts appropriated in the annual
Budget Act as provided in Section 2031.5, 5 percent of the remaining
revenues deposited in the Road Maintenance and Rehabilitation Account
shall be set aside for counties in which voters approve, on or after
July 1, 2015, a transactions and use tax for transportation
purposes, and which counties did not, prior to that approval, impose
a transactions and use tax for those purposes. The funds available
under this subdivision in each fiscal year are hereby continuously
appropriated for allocation to each eligible county and each city in
the county for road maintenance and rehabilitation purposes pursuant
to Section 2035. However, funds remaining unallocated under this
subdivision in any fiscal year shall be reallocated on the last day
of the fiscal year pursuant to subdivision (b).
(b) The balance of the revenues deposited in the Road Maintenance
and Rehabilitation Account, including the revenues reallocated for
the purposes of this subdivision pursuant to subdivision (a), are
hereby continuously appropriated as follows:
(1) Fifty percent for allocation to the department for maintenance
of the state highway system or system,
for purposes of the state highway operation and protection
program. program, or for other eligible purposes
pursuant to Section 2030.
(2) Fifty percent for apportionment to cities and counties by the
Controller pursuant to the formula in subparagraph (C) of paragraph
(3) of subdivision (a) of Section 2103 for the purposes authorized by
this chapter, subject to subdivision (d) (e)
of Section 2033 and paragraph (2) of subdivision (a) of
Section 2034.
2033. (a) The commission shall annually evaluate each city and
county receiving funds pursuant to this chapter.
(b) In addition, the commission shall adopt performance criteria
related to highway performance goals, greenhouse gas emissions,
social equity impacts, and public health impacts. These criteria may
include, but are not limited to, the following:
(1) Pavement condition, such as the Pavement Condition Index.
(2) Bridge condition, such as the state's Bridge Health Index.
(3) Maintenance level of service, such as litter removal and
graffiti abatement.
(4) Greenhouse gas emissions, including those resulting from
induced demand, and biological emissions.
(5) Measures of mobility benefits to transit, bicycles, and
pedestrians.
(6) Quantification of the public health and safety, economic, and
environmental cobenefits.
(b)
(c) For each fiscal year in which the department
receives an allocation of funds pursuant to Section 2032, the
department shall submit documentation to the commission that includes
a description and the location of each completed project, the amount
of funds expended on the project, the completion date, and the
project's estimated useful life. The commission shall evaluate the
documentation to determine the effectiveness of the department in
reducing deferred maintenance and improving road
roadway conditions on the state highway system,
system as well as meeting the performance criteria
adopted pursuant to subdivision (b), and may withhold future
funding from the department if it determines that program funds have
not been appropriately spent.
(c)
(d) For each fiscal year in which a city or county
receives an apportionment of funds pursuant to subdivision (a) or
paragraph (2) of subdivision (b) of Section 2032, the commission
shall evaluate the documentation submitted pursuant to subdivision
(b) of Section 2034 to determine the effectiveness of the city or
county in reducing deferred maintenance and improving road
roadway conditions on highways within
its jurisdiction. jurisdiction as well as
meeting the performance criteria adopted pursuant to subdivision (b).
(d)
(e) If the commission determines, with respect to any
given fiscal year, that a city or county has not appropriately spent
its apportionment of funds, the commission shall direct the
Controller to make that city or county ineligible to receive an
apportionment during the next fiscal year. The Controller shall
reapportion that city's or county's share of funds to all other
eligible cities or counties pursuant to paragraph (2) of subdivision
(b) of Section 2032.
(e)
(f) The commission shall include a discussion of its
evaluations pursuant to this section in its annual report to the
Legislature pursuant to Section 14535 of the Government Code.
(g) As used in this section, "highways" includes streets and
roads.
2034. (a) (1) Prior to receiving an apportionment of funds under
the program pursuant to paragraph (2) of subdivision (b) of Section
2032 from the Controller in a fiscal year, an eligible city or county
shall submit to the commission a list of projects proposed to be
funded with these funds pursuant to an adopted city or county budget.
All projects proposed to receive funding shall be included in a city
or county budget that is adopted by the applicable city council or
county board of supervisors at a regular public meeting. The list of
projects proposed to be funded with these funds shall include a
description and the location of each proposed project, a proposed
schedule for the project's completion, and the estimated useful life
of the improvement. The project list shall not limit the flexibility
of an eligible city or county to fund projects in accordance with
local needs and priorities so long as the projects are consistent
with subdivision (d).
(2) The commission shall report to the Controller the cities and
counties that have submitted a list of projects as described in this
subdivision and that are therefore eligible to receive an
apportionment of funds under the program for the applicable fiscal
year. The Controller, upon receipt of the report, shall apportion
funds to eligible cities and counties.
(b) For each fiscal year, each city or county receiving an
apportionment of funds shall, upon expending program funds, submit
documentation to the commission that includes a description and
location of each completed project, the amount of funds expended on
the project, the completion date, and the
estimated useful life of the improvement.
improvement, and a description of how the project contributes to
meeting the performance criteria adopted pursuant to subdivision (b)
of Section 2033. The documentation shall also include a
comparison of the projects the city or county would have completed
without receiving funds under the program compared with the projects
completed with these funds.
(c) The documentation provided pursuant to subdivision (b) shall
be forwarded by the commission to the department, in a manner and
form approved by the department, at the end of each fiscal year as
long as program funds remain available for expenditure. The
department may post the information contained in the documentation on
its Internet Web site.
(d) (1) Funds made available to a city or county under the program
shall be used for improvements to transportation facilities that
will assist in reducing further deterioration of the existing road
system. These improvements may include, but need not be limited to,
pavement maintenance, rehabilitation, installation, construction, and
reconstruction of necessary associated facilities such as drainage
and traffic control devices, or safety projects to reduce fatalities.
(2) Funds made available under the program may also be used for
the following purposes:
(A) To satisfy the local match requirement in order to obtain
state or federal transportation funds for similar purposes.
(B) Active transportation and pedestrian and bicycle safety
projects in conjunction with any other allowable project.
(C) Other eligible purposes consistent with Section 2030.
2035. (a) On or before July 1, 2016, the commission, in
cooperation with the department, transportation planning agencies,
county transportation commissions, and other local agencies, shall
develop guidelines for the allocation of funds pursuant to
subdivision (a) of Section 2032.
(b) The guidelines shall be the complete and full statement of the
policy, standards, and criteria that the commission intends to use
to determine how these funds will be allocated.
(c) The commission may amend the adopted guidelines after
conducting at least one public hearing.
2036. (a) Cities and counties shall maintain their existing
commitment of local funds for street, road, and highway purposes in
order to remain eligible for an allocation or apportionment of funds
pursuant to Section 2032.
(b) In order to receive an allocation or apportionment pursuant to
Section 2032, the city or county shall annually expend from its
general fund for street, road, and highway purposes an amount not
less than the annual average of its expenditures from its general
fund during the 2009-10, 2010-11, and 2011-12 fiscal years, as
reported to the Controller pursuant to Section 2151. For purposes of
this subdivision, in calculating a city's or county's annual general
fund expenditures and its average general fund expenditures for the
2009-10, 2010-11, and 2011-12 fiscal years, any unrestricted funds
that the city or county may expend at its discretion, including
vehicle in-lieu tax revenues and revenues from fines and forfeitures,
expended for street, road, and highway purposes shall be considered
expenditures from the General Fund. One-time allocations that have
been expended for street and highway purposes, but which may not be
available on an ongoing basis, including revenue provided under the
Teeter Plan Bond Law of 1994 (Chapter 6.6 (commencing with Section
54773) of Part 1 of Division 2 of Title 5 of the Government Code),
may not be considered when calculating a city's or county's annual
general fund expenditures.
(c) For any city incorporated after July 1, 2009, the Controller
shall calculate an annual average of expenditure for the period
between July 1, 2009, and December 31, 2015, inclusive, that the city
was incorporated.
(d) For purposes of subdivision (b), the Controller may request
fiscal data from cities and counties in addition to data provided
pursuant to Section 2151, for the 2009-10, 2010-11, and 2011-12
fiscal years. Each city and county shall furnish the data to the
Controller not later than 120 days after receiving the request. The
Controller may withhold payment to cities and counties that do not
comply with the request for information or that provide incomplete
data.
(e) The Controller may perform audits to ensure compliance with
subdivision (b) when deemed necessary. Any city or county that has
not complied with subdivision (b) shall reimburse the state for the
funds it received during that fiscal year. Any funds withheld or
returned as a result of a failure to comply with subdivision (b)
shall be reapportioned to the other counties and cities whose
expenditures are in compliance.
(f) If a city or county fails to comply with the requirements of
subdivision (b) in a particular fiscal year, the city or county may
expend during that fiscal year and the following fiscal year a total
amount that is not less than the total amount required to be expended
for those fiscal years for purposes of complying with subdivision
(b).
2037. A city or county may spend its apportionment of funds under
the program on transportation priorities other than those allowable
pursuant to this chapter if the city's or county's average Pavement
Condition Index meets or exceeds 85.
SEC. 13. SEC. 11. Section 2103.1 is
added to the Streets and Highways Code, to read:
2103.1. (a) Notwithstanding
subdivision (b) of Section 2103, the portion of the revenues in the
Highway Users Tax Account attributable to the increase in the tax
rate on motor vehicle fuel by twelve cents ($0.12) per gallon
pursuant to subdivision (a) of Section 7360 of the Revenue and
Taxation Code, as adjusted pursuant to subdivision (c) of that
section, and the increase in the tax rate on diesel fuel by
twenty-two cents ($0.22) per gallon pursuant to subdivision (b) of
Section 60050 of the Revenue and Taxation Code, as adjusted pursuant
to subdivision (c) of that section, shall be deposited in the Road
Maintenance and Rehabilitation Account created pursuant to Section
2031, except that the portion of the revenues attributable to twelve
cents ($0.12) of that increase in the per gallon tax rate on diesel
fuel, as adjusted, shall be deposited in the Trade Corridors
Improvement Fund for expenditure pursuant to Section 2192.
(b) The portion of the revenues in the Highway Users Tax Account
attributable to the storage tax imposed pursuant to Section 7361.2 of
the Revenue and Taxation Code and the storage tax imposed pursuant
to Section 60050.2 of the Revenue and Taxation Code shall be
deposited in the Road Maintenance and Rehabilitation Account created
pursuant to Section 2031, except that the portion of the revenues
attributable to twelve cents ($0.12) of the storage tax per gallon of
tax-paid diesel fuel imposed by Section 60050.2 of the Revenue and
Taxation Code shall be deposited in the Trade Corridors Improvement
Fund for expenditure pursuant to Section 2192.
SEC. 14. SEC. 12. Section 9250.3 is
added to the Vehicle Code, to read:
9250.3. (a) In addition to any other fees specified in this code,
the Revenue and Taxation Code, or the Streets and Highways Code,
commencing 120 days after the effective date of the act adding this
section, a registration fee of thirty-five dollars ($35) shall be
paid to the department for registration or renewal of registration of
every vehicle subject to registration under this code, except those
vehicles that are expressly exempted under this code from payment of
registration fees.
(b) Revenues from the fee, after deduction of the department's
administrative costs related to this section, shall be deposited in
the Road Maintenance and Rehabilitation Account created pursuant to
Section 2031 of the Streets and Highways Code.
SEC. 15. SEC. 13. Section 9250.6 is
added to the Vehicle Code, to read:
9250.6. (a) In addition to any other fees specified in this code,
the Revenue and Taxation Code, or the Streets and Highways Code,
commencing 120 days after the effective date of the act adding this
section, a registration fee of one hundred dollars ($100) shall be
paid to the department for registration or renewal of registration of
every zero-emission motor vehicle subject to registration under this
code, except those motor vehicles that are expressly exempted under
this code from payment of registration fees.
(b) Revenues from the fee, after deduction of the department's
administrative costs related to this section, shall be deposited in
the Road Maintenance and Rehabilitation Account created pursuant to
Section 2031 of the Streets and Highways Code.
(c) This section does not apply to a commercial motor vehicle
subject to Section 9400.1.
(d) For purposes of this section, "zero-emission motor vehicle"
means a motor vehicle as described in subdivisions (c) and (d) of
Section 44258 of the Health and Safety Code, or any other motor
vehicle that is able to operate on any fuel other than gasoline or
diesel fuel.
SEC. 16. SEC. 14. This act is an
urgency statute necessary for the immediate preservation of the
public peace, health, or safety within the meaning of Article IV of
the Constitution and shall go into immediate effect. The facts
constituting the necessity are:
In order to provide additional funding for road maintenance and
rehabilitation purposes as quickly as possible, it is necessary for
this act to take effect immediately.