BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON TRANSPORTATION AND HOUSING
                              Senator Jim Beall, Chair
                                2015 - 2016  Regular 

          Bill No:          SB 951            Hearing Date:    3/29/2016
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          |Author:   |McGuire                                               |
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          |Version:  |3/17/2016    Amended                                  |
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          |Urgency:  |No                     |Fiscal:      |Yes             |
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          |Consultant|Erin Riches                                           |
          |:         |                                                      |
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          SUBJECT:  Transportation: Golden State Patriot Passes Program


            DIGEST:  This bill creates a pilot program to provide veterans  
          with free access to transit services.  

          ANALYSIS:
          
          AB 32 (Núñez and Pavley, Chapter 488, Statutes of 2006) requires  
          the state Air Resources Board (ARB) to develop a plan to reduce  
          emissions to 1990 levels by 2020.  It also requires ARB to  
          ensure that programs to reduce greenhouse gas (GHG) emissions  
          are targeted, to the extent feasible, to the most disadvantaged  
          communities (DACs) in the state.  AB 32 authorizes ARB to  
          deposit any fees paid by GHG emission sources into the  
          Greenhouse Gas Reduction Fund (GGRF).

          SB 535 (De León, Chapter 830, Statutes of 2012) requires 25% of  
          GGRF funds to be allocated to projects that provide benefits to  
          DACs, and at least 10% to projects located within DACs.  DACs  
          were identified by the California Environmental Protection  
          Agency using census tract data based on geographic,  
          socioeconomic, public health, and environmental hazard criteria.  
           

          The 2014-15 budget agreement provides that for 2015-16 and  
          beyond, 25% of GGRF revenues shall be appropriated to the  
          state's high-speed rail project, 20% for affordable housing and  
          sustainable communities grants, 10% to intercity capital rail  
          projects, and 5% for low-carbon transit operations.  The  







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          remaining 40% is available for annual appropriation by the  
          Legislature.

          This bill:

          1)Creates a pilot program, the Golden State Patriot Passes  
            Program, to be administered by the state Department of  
            Transportation (Caltrans).  
             
          2)Provides an annual appropriation of $3 million in GGRF monies  
            for fiscal years 2017-18 to 2020-21 for this program.

          3)Requires Caltrans, in coordination with ARB, to develop  
            guidelines for participating transit providers to demonstrate  
            that proposed expenditures will reduce GHG emissions and  
            increase veteran mobility.   

          4)Requires Caltrans, by January 1, 2018, to select three transit  
            operator applicants to receive program funding.  Specifically:

             a)   Prohibits Caltrans from selecting an applicant that  
               already provides veterans with free access to transit  
               services in its service area.

             b)   Requires Caltrans to select applicants that serve  
               entirely different counties.  

             c)   Provides that Caltrans shall select one applicant that  
               primarily serves an urban area, one that primarily serves a  
               suburban area, and one that primarily serves a rural area  
               (to be defined by Caltrans based on Census data).  Sets  
               maximum allocations of $2 million for an urban area  
               applicant, $900,000 for a suburban area applicant, and  
               $100,000 for a rural area applicant.

          5)Limits applicants to public agencies, including, but not  
            limited to, transit operators within a city or county.

          6)Requires a transit operator that is selected for the program  
            to provide a local match for any state funding it receives.  

          7)Requires Caltrans to ensure that benefits are provided by the  
            program to DACs.  

          8)Requires participating transit operators to submit a report to  








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            Caltrans by February 1, 2021, and requires Caltrans to submit  
            a report to the Legislature by August 1, 2021.  The reports  
            shall include, but not be limited to, cost, use of monies,  
            estimated reduction in GHG emissions, and ridership.  

          9)Provides that in order to participate in the program, a  
            veteran must provide a veterans identification card issued by  
            a veterans service organization, or a driver's license or  
            identification card identifying the holder as a veteran.  

          10)Sunsets the program on January 1, 2022.


          
          COMMENTS:

          1)Purpose.  The author states that there is a significant need  
            to not only provide better services for California's roughly 2  
            million veterans, but also to make sure all our veterans,  
            especially the most vulnerable, have access and transportation  
            to these services.  Only 19% of veterans in California utilize  
            the benefits to which they are entitled.  Approximately 26% of  
            veterans report having a disability; of these, 32% indicate  
            that their disability has interfered with obtaining or holding  
            a job.  Additionally, 18- to 30-year-old veterans living in  
            poverty are 3.5 times more likely to become homeless as  
            compared to non-veteran adults living in poverty.  With  
            veterans being more vulnerable to unemployment and  
            homelessness, it is paramount to provide them with affordable  
            means to succeed.  

          2)Sonoma County Veterans Subsidized Fare Program.  Sonoma County  
            launched a pilot program on January 1, 2015 to provide  
            veterans free use of Sonoma County Transit.  Specifically, a  
            veteran showing a U.S. Department of Veterans Affairs (VA)  
            identification card or a Sonoma County Veterans identification  
            card upon boarding a bus rides free, and Sonoma County Transit  
            is reimbursed by the county.  The county budgeted $45,000  
            (general fund) for this program for the year and came in under  
            budget.  The county board of supervisors unanimously voted in  
            November to make the program permanent as of January 1, 2016.   


            From January through June 2015, nearly 14,000 veteran trips  
            were provided through this program, with the majority of trips  








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            occurring on weekdays.  During this period, veteran ridership  
            increased by 34%.  Approximately 19% of trips occurred on the  
            route that serves the VA Outpatient Clinic.  During this  
            period, 845 Sonoma County Veterans identification cards were  
            issued; county staff estimated that about half of these were  
            issued specifically in relation to this program.  

          3)Is a bill necessary? As discussed above, Sonoma County is  
            already operating a successful program to provide free transit  
            passes to veterans, without any state authorization or  
            funding.  The author hopes to build on the success of this  
            program by providing GGRF monies to help incentivize transit  
            agencies across the state to implement similar programs.  

          4)Appropriate use of GGRF funds?  Existing law (AB 1532, Pérez,  
            Chapter 807, Statutes of 2012) specifies that GGRF revenues  
            must be used to facilitate the achievement of GHG emissions  
            reductions.  The author indicates that by getting more  
            veterans onto transit, this bill will help reduce GHG  
            emissions while enabling veterans to connect to key services.   
            However, emissions reductions would only occur if veterans are  
            switching from car travel to bus travel in order to get to  
            these services; the author contends that this bill is needed  
            because many veterans currently cannot obtain transport to  
            services.  Because this bill requires Caltrans to develop  
            guidelines for transit providers to demonstrate GHG  
            reductions, and requires Caltrans to report to the  
            Legislature, the Legislature will have the opportunity to  
            evaluate the effectiveness of the program in reducing GHG  
            emissions.

          5)Double-referred.  This bill was amended to its current form  
            after it was referred to this committee by Rules Committee.   
            Should this bill pass this committee, it will be referred to  
            the Rules Committee for re-referral to the Environmental  
            Quality Committee.  

          Related Legislation:
          
          SB 1259 (Runner) - exempts veterans from payments of tolls or  
          related fine on toll roads, high-occupancy toll lanes, toll  
          bridges, toll highways, vehicular crossings, or any other toll  
          facility.  This bill will be heard in this committee on April  
          19, 2016.









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          AB 2222 (Holden) - provides a continuous appropriation of $50  
          million per year from the GGRF for the Transit Pass Program, to  
          be administered by Caltrans.  This program would support transit  
          pass programs of public agencies that provide free or  
          reduced-fare transit passes to public school students and  
          community college, California State University, and University  
          of California students.  AB 2222 requires at least 50% of  
          program funding to benefit disadvantaged communities.  This bill  
          is pending in the Assembly Transportation Committee.

          FISCAL EFFECT:  Appropriation:  No    Fiscal Com.:  Yes     
          Local:  No


            POSITIONS:  (Communicated to the committee before noon on  
          Wednesday,
                          March 23, 2016.)
          
            SUPPORT:  

          American G.I. Forum of California
          AMVETS - Department of California (co-sponsor)
          California Association of County Veterans Service Officers
          Military Officers Association of America, California Council of  
          Chapters
          Military Order of the Purple Heart of the U.S.A Inc., Department  
          of California
          Sonoma County Board of Supervisors 
          Sonoma County Transit
          VFW - Department of California
          Vietnam Veterans of America - California State Council  
          (co-sponsor)

          OPPOSITION:

          None received

          
          

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