BILL NUMBER: SB 1474	CHAPTERED
	BILL TEXT

	CHAPTER   256
	FILED WITH SECRETARY OF STATE   JULY 22, 1996
	APPROVED BY GOVERNOR   JULY 20, 1996
	PASSED THE ASSEMBLY   JULY 9, 1996
	PASSED THE SENATE   APRIL 18, 1996
	AMENDED IN SENATE   APRIL 16, 1996
	AMENDED IN SENATE   MARCH 21, 1996

INTRODUCED BY  Senator Kopp

                        FEBRUARY 6, 1996

   An act to amend Section 66516 of, and to add Section 66516.5 to,
the Government Code, and to amend Sections 29142.4 and 99314.7 of the
Public Utilities Code, relating to transportation.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1474, Kopp.  Transportation:  Metropolitan Transportation
Commission:  regional transit coordinating councils:  duties.
   Existing law requires the Metropolitan Transportation Commission,
in coordination with the transit operator coordinating council
established by the commission pursuant to a specified provision of
existing law, to adopt rules and regulations to promote the
coordination of fares and schedules for all public transit systems
within its jurisdiction.
   This bill would, instead, require the commission to adopt the
specified rules and regulations in coordination with a regional
transit coordinating council.
   The bill would authorize the commission, in consultation with the
council, to identify those functions performed by individual public
transit systems that could be consolidated to improve service.  The
bill would authorize the commission to recommend that those functions
be consolidated, as specified.
   The bill would also authorize the commission to improve service
coordination and effectiveness in specified transit corridors by
adopting specified improvements in those corridors.


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


  SECTION 1.  Section 66516 of the Government Code is amended to
read:
   66516.  The commission, in coordination with the regional transit
coordinating council established by the commission pursuant to
Section 29142.4 of the Public Utilities Code, shall adopt rules and
regulations to promote the coordination of fares and schedules for
all public transit systems within its jurisdiction.  The commission
shall require every system to enter into a joint fare revenue sharing
agreement with connecting systems consistent with the commission's
rules and regulations.
  SEC. 2.  Section 66516.5 is added to the Government Code, to read:

   66516.5.  The commission may do the following:
   (a) In consultation with the regional transit coordinating
council, identify those functions performed by individual public
transit systems that could be consolidated to improve the efficiency
of regional transit service, and recommend that those functions be
consolidated and performed through inter-operator agreements or as
services contracted to a single entity.
   (b) Improve service coordination and effectiveness in those
transit corridors identified as transit corridors of regional
significance by the commission in consultation with the regional
transit coordinating council by recommending improvements in those
corridors, including, but not limited to, reduction of duplicative
service and institution of coordinated service across public transit
system boundaries.
  SEC. 3.  Section 29142.4 of the Public Utilities Code is amended to
read:
   29142.4.  No funds shall be allocated to an entity pursuant to
Section 29142.2, after January 1, 1978, unless, as determined by the
Metropolitan Transportation Commission, the transit operator:
   (a) Is a participating member of a regional transit coordinating
council which the commission shall establish to better coordinate
routes, schedules, fares, and transfers among the San Francisco Bay
area transit operators and to explore potential advantages of joint
ventures in areas such as marketing, maintenance, and purchasing.
The commission shall be a member of the council.
   (b) Establishes, for the period for which the funds are allocated,
fare levels such that fare revenues equal at least 33 percent of its
operating cost, which shall be all of its costs in the expense
object classes, exclusive of the costs of the depreciation and
amortization expense object classes, of the uniform system of
accounts and records adopted by the State Controller pursuant to
Section 99243.  The allocation period shall not be less than one
calendar quarter nor longer than one fiscal year, as determined by
the commission.  For purposes of this subdivision, the two special
transit service districts of the Alameda-Contra Costa Transit
District shall be considered separate transit districts.  On and
after July 1, 1981, the commission may grant, any operator which was
in compliance with the 33 percent requirement prior to that date, a
credit not to exceed 5 percent to meet that requirement on the basis
of special operating characteristics of its transit system,
including, but not limited to, its transfer and special fare
policies.  In no event shall the combined fare revenues of the three
operators, excluding any credit granted by the commission, be less
than 33 percent of their combined operating cost.
   (c) Has complied with standards established by the commission
pursuant to Section 66517.5 of the Government Code.
  SEC. 4.  Section 99314.7 of the Public Utilities Code is amended to
read:
   99314.7.  (a) In allocating funds for operating purposes pursuant
to Sections 99313 and 99314, the Metropolitan Transportation
Commission shall apply the following eligibility standards to the
operators within the region subject to its jurisdiction:
   (1) An operator is not eligible for its full allocation under this
section unless the operator has been found to have made reasonable
effort in implementing productivity improvements pursuant to Section
99244.  In determining whether a reasonable effort has been made, the
Metropolitan Transportation Commission shall give consideration to
whether the operator would qualify for funding under Section 99314.6.
  The amount of funds allocated shall be reduced in an amount that
the Metropolitan Transportation Commission deems proportionate to the
failure of the operator to implement the recommended improvements.
The Metropolitan Transportation Commission shall adopt rules and
regulations, in cooperation with the affected operators, governing
the allocation of any funds withheld under this paragraph, subject to
paragraphs (2) and (3).
   (2) Notwithstanding paragraph (1), an operator shall not receive
any funds pursuant to Section 99313 or 99314 unless it has complied
with the applicable rules , regulations, and recommendations adopted
by the Metropolitan Transportation Commission pursuant to Sections
66516 and 66516.5 of the Government Code.
   (3) Funds withheld from allocation to an operator pursuant to
paragraph (1) shall be retained by the Metropolitan Transportation
Commission for reallocation to that operator for two years following
the year of ineligibility.  With respect to the funds withheld from
an operator pursuant to paragraph (1), the Metropolitan
Transportation Commission shall reallocate those funds to the
operator if the operator complies with that paragraph within two
years.  Funds not reallocated to the operator, and funds withheld
pursuant to paragraph (2), shall be allocated to any eligible
operator within the region subject to the jurisdiction of the
Metropolitan Transportation Commission for the purpose of improving
coordination among the operators, or to any operator whose increase
in total operating cost per revenue vehicle hour is less than the
increase in the Consumer Price Index.  Funds allocated for these
purposes are exempt from subdivision (a).
   (b) For purposes of this section, "operating cost," "revenue
vehicle hour," and "Consumer Price Index" have the same meaning as
defined in Section 99314.6.