BILL ANALYSIS
SENATE RULES COMMITTEE
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IN CONFERENCE
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Bill No: SB 457
Author: Kelley (R)
Amended: 8/31/95
Vote: 21
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SENATE TRANSPORTATION COMMITTEE: 9-0, 4/18/95
AYES: Ayala, Boatwright, Hayden, Johnston, Monteith,
Polanco, Russell, Kelley, Kopp
SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8
SENATE FLOOR: 33-1, 5/18/95
AYES: Ayala, Beverly, Boatwright, Campbell, Costa, Craven,
Dills, Greene, Haynes, Hughes, Johannessen, Johnson,
Johnston, Kelley, Kopp, Leonard, Leslie, Lewis, Lockyer,
Maddy, Marks, Mountjoy, O'Connell, Peace, Petris,
Polanco, Rogers, Rosenthal, Russell, Solis, Thompson,
Watson, Wright
NOES: Hurtt
NOT VOTING: Alquist, Calderon, Hayden, Killea, Mello,
Monteith
ASSEMBLY FLOOR: 71-4, 9/7/95 - See last page for vote
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SUBJECT: Transportation: intercity commuter rail
service
SOURCE: Author
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DIGEST: This bill requires the California Transportation
Commission to conduct a public hearing on any request for
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SB
457
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extension of the existing three-year period which a new
rail service must maintain a ratio of fare revenues to
avoidable costs.
Assembly Amendments:
1. Require transfer of funds from the department to the
authority.
2. Add the Los Angeles-San Bernardino-Las Vegas, Nevada
rail corridor for intercity commutes.
ANALYSIS: Under existing law, any new commuter rail
service must maintain a ratio of fare revenues to avoidable
cost of at least 40 percent by its third year of operation
in order to receive state funds. The ratio for intercity
rail is 55 percent. For any new or existing service not
achieving the above ratios, the California Transportation
Commission may grant a waiver, for not to exceed three
years.
This bill would require the commission to conduct a public
hearing on any request for extension and that such waivers
be annually reviewed and reconsidered. It prohibits the
use of state subsidies for any service that does not meet
the above requirements.
The bill would require the department to transfer to the
Southern California Regional Rail Authority, through an
interagency agreement, all responsibility for administering
a specified intercity rail service between the Cities of
San Diego and Santa Barbara. The bill would require the
agreement to contain specified provisions and to be
executed on or before July 1, 1996 . The bill would also
require the department and the authority to enter into an
agreement , to be effective April 1, 1996, to transfer from
the department to the authority funds necessary to operate
intercity rail services in service in southern California.
The transfer of the funds would constitute an
appropriation. The bill would prescribe a formula for the
expenditure of those funds.
The bill would provide a process whereby the authority
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would submit to the commission, not later than September 1
of each year, a business plan relating to the intercity
rail service , the . The department and the commission
would review the business plan and would make suggestions
for improvement , and the . The authority would submit the
final plan to the Governor and the Legislature on or before
November 1 of each year . The bill would require the
authority to submit the initial business plan pursuant to
that process on April 1, 1996 the commencement date of the
interagency agreement .
Existing law authorizes the department to enter into
contracts with the National Railroad Passenger Corporation
(Amtrak) to provide commuter and intercity passenger rail
services.
This bill would authorize the department to also enter into
those contracts with other rail operators.
Existing law establishes a state transportation funding
plan for the expenditure, during the 10-year period from
July 1, 1990, to June 30, 2000, of new revenues resulting
from the enactment of transportation revenue measures in
1989. That plan calls for the expenditure of
$3,000,000,000 for intercity rail, commuter rail, and urban
rail transit, and specifies the eligible corridors within
each category.
This bill would include the Los Angeles-San Bernardino-Las
Vegas, Nevada rail corridor among the eligible intercity
rail corridors.
The bill also makes the following legislative declaration:
The Legislature finds and declares that intercity and
commuter rail service is a vital element of the state
transportation network. The Legislature further declares
that the state should give reasonable consideration to
funding passenger rail service in the allocation of
transportation resources, and it is the Legislature's
intent that the allocation of these resources be
determined on the basis of efficiency, performance and
geographical equity.
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FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes
Local: No
SUPPORT: (Verified 9/7/95)
Riverside County Transportation Commission
ARGUMENTS IN SUPPORT: Proponents state that, oCurrently,
approximately $40 million is available from the
Transportation Planning and Development Account for state
support of intercity rail services. These dollars are
directed at so called o403(b) serviceso with the vast bulk
of these dollars going to the support of the Capitol and
San Jose intercity rail services in Northern California.
Rail service in Southern California is classified as
commuter rail and is primarily supported by local funding.
It seems fair and reasonable that rail service in this part
of the state should be eligible for a greater amount of
funding support.o
ASSEMBLY FLOOR:
AYES: Aguiar, Alby, Alpert, Archie-Hudson, Baca, Baldwin,
Battin, Boland, Bordonaro, Bowen, Bowler, Brewer, V.
Brown, W. Brown, Brulte, Burton, Bustamante, Cannella,
Conroy, Cortese, Cunneen, Davis, Ducheny, Escutia,
Figueroa, Firestone, Friedman, Frusetta, Gallegos,
Goldsmith, Granlund, Harvey, Hauser, Hawkins, Hoge,
House, Isenberg, Kaloogian, Katz, Knight, Knox, Kuehl,
Kuykendall, Machado, Margett, Martinez, Mazzoni,
McDonald, McPherson, Miller, Morrissey, Morrow, W.
Murray, Napolitano, Olberg, Poochigian, Pringle, Rainey,
Rogan, Setencich, Sher, Speier, Sweeney, Takasugi,
Thompson, Tucker, Vasconcellos, Villaraigosa, Weggeland,
Woods, Allen
NOES: Bates, Campbell, Hannigan, Lee
NOT VOTING: Caldera, Knowles, K. Murray, Richter,
RJG:sl 9/8/95 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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