BILL ANALYSIS
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THIRD READING
Bill No: AB 7X
Author: Evans (D)
Amended: 12/18/08 in Senate
Vote: 27 - Urgency
WITHOUT REFERENCE TO COMMITTEE
SUBJECT : Budget Act of 2008: infrastructure bonds
SOURCE : Author
DIGEST : This bill provides the necessary statutory
changes in the area of infrastructure bonds in order to
enact revisions to the 2008 Budget Act.
ANALYSIS : This omnibus infrastructure bond budget
trailer bill acts as an economic stimulus by appropriating
approximately $2.9 billion in additional infrastructure
bond funds to accelerate the construction of projects that
are ready to go in the 2009 calendar year. According to an
analysis performed by the Federal Highway Administration,
15,000 new jobs are created for every $1 billion in
infrastructure construction contracts. This bill:
1. Public Transit . Appropriates $800 million from
Proposition 1B bond funds (Public Transportation
Modernization, Improvement and Service Enhancement
Account) for allocation to local transit operators for
capitol projects such as the purchase of new buses,
train cars, and rail and transit facility expansion or
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upgrade.
2. Local Streets and Roads . Appropriates $700 million from
Proposition 1B bond funds (Local Streets and Road
Improvement, Congestion Relief, and Traffic Safety
Account of 2006) for allocation to cities and counties
for improvements to local streets and roads and other
local transportation facilities. Of this amount,
$441,795,000 will be allocated to counties and
$258,205,000 will be allocated to cities.
3. Corridor Mobility Improvement Account (CMIA) .
Appropriates $500 million from Proposition 1B bond funds
(CMIA) for allocation to important highway improvement
projects already approved by the California
Transportation Commission.
4. State-Local Partnership . Appropriates $200 million from
Proposition 1B bond funds (State-Local Partnership
Account) to provide match funds for projects primarily
funded by non-bond dollars. This appropriation will
allow the California Transportation Commission to double
the amount of awards to ready-to-go projects in 2009.
5. State Route 99 . Appropriates $170 million from
Proposition 1B bond funds (Route 99 Account) to advance
the construction contract awards for projects that
improve this major corridor.
6. Trade Corridor Improvement Fund (TCIF) . Appropriates
$110 million from Proposition 1B bond funds (TCIF) to
enable out-year projects to be advanced into 2009. This
bond program funds improvements to the state's major
trade thoroughfares.
7. Infill and Mixed-Use Development . Appropriates $60
million from Proposition 1C bond funds (Regional
Planning, Housing, and Infill Incentive Account) to the
California Recycle Underutilized Sites program for
brownfield cleanup that promotes infill residential and
mixed-use development.
8. Housing-Related Parks . Appropriates $30 million from
Proposition 1C bond funds (Housing
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Urban-Suburban-and-Rural Parks Account) to the
Department of Housing and Community Development (HCD) to
fund the creation, development, or rehabilitation of
parks under the Housing-Related Parks Program. This
allows the HCD to award funds in 2009.
9. Integrated Regional Water Management Plans .
Appropriates $100 million from Proposition 84 bond funds
to the Department of Water Resources for integrated
regional water management plans for immediate priority
water supply reliability projects.
10. Stormwater and Floods . Appropriates $100 million from
Proposition 1E bond funds to the Department of Water
Resources to disburse to local agencies and flood
protection agencies to prevent and mitigate the effects
of flash flooding, mudslides, and damage associated with
winter rains in fire damaged areas.
11. Parks Maintenance . Appropriates $100 million from
Proposition 84 bond funds to the Department of Parks and
Recreation for repair and rehabilitation of park
facilities (deferred maintenance). The Department of
Parks and Recreation shall endeavor to use California
construction companies or workers for these activities.
12. California Conservation Corps . Appropriates $16 million
from Proposition 84 bond funds to the California
Conservation Corps for local conservation corps programs
and facilities.
13. "Green" California Partnership Academies . Appropriates
$12.5 million from the Public Interest Research,
Development, and Demonstration Fund to the California
Community Colleges in order to expand the number of high
school Partnership Academies by 61. New Partnership
Academies funded with this appropriation would (a) meet
current statutory requirements for Partnership Academies
and (b) focus on curriculum and career technology
education related to clean technology, renewable energy,
pollution reduction, and other "green" environmental
technologies.
14. Contingent clause . This bill will not be enacted unless
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AB 2X is also enacted.
FISCAL EFFECT : Appropriation: Yes Fiscal Com.: No
Local: No
DLW:mw 12/18/08 Senate Floor Analyses
SUPPORT/OPPOSITION: NONE RECEIVED
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