BILL NUMBER: SBX1 3	AMENDED
	BILL TEXT

	AMENDED IN SENATE  AUGUST 17, 2015

INTRODUCED BY   Senator Vidak
    (   Principal coauthor:   Senator 
 Runner   ) 
    (   Principal   coauthors:  
Assembly Members   Hadley,   Lackey,   and
Wilk   ) 
    (   Coauthors:   Senators  
Anderson,   Bates,   and Huff   ) 
   (  Coauthor:   Assembly Member 
 Salas   Coauthors:   Assembly Members
  Travis Allen,  Bigelow,   Jones, 
 Kim,   Mathis,   and Salas  )

                        JULY 1, 2015

   An act to add Section 2704.096 to the Streets and Highways Code,
relating to transportation.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 3, as amended, Vidak. Transportation bonds: highway, street,
and road projects.
   Existing law, 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, general election, provides for the issuance of
general obligation bonds in the amount of $9 billion for high-speed
rail purposes and $950 million for other related rail purposes.
Article XVI of the California Constitution requires measures
authorizing general obligation bonds to specify the single object or
work to be funded by the bonds and further requires a bond act to be
approved by a 2/3 vote of each house of the Legislature and a
majority of the voters.
   This bill would provide that no further bonds shall be sold for
high-speed rail purposes pursuant to the Safe, Reliable High-Speed
Passenger Train Bond Act for the 21st Century, except as specifically
provided with respect to an existing appropriation for high-speed
rail purposes for early improvement projects in the Phase 1 blended
system. The bill, subject to the above exception, would require
redirection of the unspent proceeds from outstanding bonds issued and
sold for other high-speed rail purposes prior to the effective date
of these provisions, upon appropriation, for use in retiring the debt
incurred from the issuance and sale of those outstanding bonds. The
bill, subject to the above exception, would also require the net
proceeds of bonds subsequently issued and sold under the high-speed
rail portion of the bond act, upon appropriation, to be made
available to the Department of Transportation for repair and new
construction projects on state highways and freeways, and for repair
and new construction projects on local streets and roads, as
specified. The bill would make no changes to the authorization under
the bond act for the issuance of $950 million in bonds for rail
purposes other than high-speed rail. These provisions would become
effective only upon approval by the voters at the June 7, 2016,
statewide primary election.
   Vote: 2/3. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 2704.096 is added to the Streets and Highways
Code, to read:
   2704.096.  (a) (1) Notwithstanding any other provision of this
chapter, and except as provided in paragraph (2), no further bonds
shall be issued and sold for purposes of Section 2704.06 on and after
the effective date of this section.
   (2) This section shall not apply to bonds issued and sold for
purposes of Section 2704.06 with respect to the appropriation in Item
2665-104-6043 of Section 2.00 of the Budget Act of 2012, as added by
Section 3 of Chapter 152 of the Statutes of 2012.
   (b) Notwithstanding any other provision of this chapter, and
except as otherwise provided in paragraph (2) of subdivision (a), the
unspent proceeds from  the  outstanding bonds issued and
sold pursuant to Section 2704.06 prior to the effective date of this
section shall, upon appropriation by the Legislature, be redirected
from high-speed rail purposes for use in retiring the debt incurred
from the issuance and sale of those outstanding bonds.
   (c) Notwithstanding any other provision of this chapter, the
remaining unissued bonds, as of the effective date of this section,
that were previously authorized pursuant to Section 2704.06, except
as otherwise provided in paragraph (2) of subdivision (a), are hereby
authorized to be issued and sold, and 50 percent of the net
proceeds, upon appropriation by the Legislature, shall be made
available to the Department of Transportation to fund repair and new
construction projects on state highways and freeways, and the
remaining 50 percent of the net proceeds, upon appropriation by the
Legislature, shall be made available to the Department of
Transportation to create a program to fund repair and new
construction projects on local streets and roads, with each county to
receive a base amount of the local street and road funding, and any
additional funding to be allocated based on a county's population.
  SEC. 2.  Section 1 of this act would modify the single object or
work of a general obligation bond act previously submitted to the
voters by the Legislature pursuant to Section 1 of Article XVI of the
California Constitution, and subsequently approved by the voters as
Proposition 1A at the November 4, 2008, statewide general election.
Accordingly, Section 1 of this act shall become effective only upon
approval by the voters. The Secretary of State shall submit Section 1
of this act to the voters on the ballot of the June 7, 2016,
statewide primary election.