BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB  266
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          ASSEMBLY THIRD READING
          AB 266 (Carter)
          As Amended  April 20, 2009
          Majority vote 

           TRANSPORTATION      11-2        APPROPRIATIONS      12-5        
           
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          |Ayes:|Eng, Jeffries,            |Ayes:|De Leon, Ammiano, Charles   |
          |     |Blumenfield, Buchanan,    |     |Calderon, Davis, Fuentes,   |
          |     |Furutani, Galgiani,       |     |Hall, John A. Perez, Price, |
          |     |Bonnie Lowenthal, Niello, |     |Skinner, Solorio,           |
          |     |                          |     |Torlakson, Krekorian        |
          |     |John A. Perez, Solorio,   |     |                            |
          |     |Torlakson                 |     |                            |
          |     |                          |     |                            |
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          |Nays:|Garrick, Miller           |Nays:|Nielsen, Duvall, Harkey,  |
          |     |                          |     |Miller, Audra Strickland  |
          |     |                          |     |                          |
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           SUMMARY  :  Requires the California Transportation Commission  
          (CTC) to develop an assessment of transportation funding and  
          needs, as prescribed, every five years.  Specifically,  this  
          bill  :  

          1)Requires CTC, on an every five-year basis, to assess the  
            following:  

             a)   The total costs of programmed state transportation  
               projects and federally earmarked projects in the state,  
               including projects in the state transportation improvement  
               program (STIP), the Traffic Congestion Relief Program  
               (TCRP), bond-funded projects, and projects specifically  
               identified for funding in the federal Safe, Accountable,  
               Flexible, Efficient Transportation Equity Act:  A Legacy  
               for Users (SAFETEA-LU) or other federal laws;  

             b)   The unfunded portions of programmed state projects and  
               federally earmarked projects;  

             c)   Total funding provided from state and federal sources  
               for transportation projects;  








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             d)   Statewide unmet transportation project needs, including  
               public transportation needs and local street and road  
               system needs; and,

             e)   Recommendations by the CTC on how state and local  
               transportation agencies should address shortfalls and unmet  
               needs identified in the assessment.  

          2)Requires the California Department of Transportation  
            (Caltrans) to assist in conducting the assessment.  

          3)Requires CTC to consult with regional transportation planning  
            agencies (RTPAs), the California Transit Association, the  
            League of California Cities, and the California State  
            Association of Counties.  

          4)Requires CTC to submit a report to the Legislature on or  
            before March 1, 2011, the results from the initial assessment;  
            subsequent reports are to be submitted every five years  
            thereafter.  

           EXISTING LAW  :  

          1)Creates CTC and makes it responsible for programming  
            allocating funds for the construction of transportation  
            projects in the state.  

          2)Requires, by August 15 of  each odd-numbered year, CTC to  
            adopt a five-year estimate, in annual increments, of all state  
            and federal funds reasonably expected to be available during  
            the following five fiscal years.  

          3) Requires each Regional Transportation Agency (RTPA) to  
            prepare and adopt a regional transportation plan (RTP).  The  
            plan is to be action-oriented and pragmatic and consider both  
            short-term and long-term policy guidance.  RTPs are to  
            include:  

             a)   A policy element that describes the transportation  
               issues in the region, identifies and quantifies regional  
               needs, and describes the desired short-range and long-range  
               (20 years) transportation goals;  









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             b)   An action element that describes the programs and  
               actions necessary to implement the plan and assigns  
               implementation responsibilities.  The action element may  
               describe all projects proposed for development during the  
               20-year life of the plan; and,

             c)   A financial element that summarizes the cost to  
               implement the plan, constrained by a realistic projection  
               of available revenues.  

            RTPs may, but are not required to, include needs assessments.   


           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee, recurring special fund costs of about $250,000 every  
          five years to the CTC for the needs assessment.  (State Highway  
          Account)

           COMMENTS  :  This bill is consistent with the Legislative  
          Analyst's Office (LAO) annual recommendations for legislation.   
          In its recommendation, the LAO cites:  "The first step in  
          identifying a solution to a problem is identifying the scope of  
          the problem.  Yet, when it comes to transportation, there is  
          currently no requirement that Caltrans or any other state entity  
          assess and report on the state's overall transportation needs on  
          a regular basis.  

          "While Caltrans and RTPAs must regularly update funding and  
          scheduling documents, such as the State Transportation  
          Improvement Program and the State Highway Operation and  
          Protection Program, these documents provide no information about  
          unfunded needs.  Similarly, RTPAs are required to adopt 20-year  
          long range planning documents under both state and federal law,  
          but these documents are not compiled to provide a view of the  
          state's needs as a whole."  

          In 1999, CTC released the "Inventory of Ten-Year Funding Needs  
          for California's Transportation Systems."  The study was  
          completed in response to SR 8 (Burton) of 1999, and noted the  
          following:  "The report demonstrates substantial unfunded need  
          for reinvesting in California's existing transportation system.   
          It also demonstrates the substantial funding requirements to  
          expand those systems, both through lower cost operational  
          improvements and through more costly capacity increases.  These  








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          costs, while substantial, reflect the challenges of aging  
          transportation systems and "catching up" with three decades of  
          population growth that out-paced highway and roadway capacity  
          increases by a factor of over two, and growth in vehicle miles  
          traveled that have out-paced population by a factor of nearly  
          three."  

          Previous legislation:  Last session, Assembly Member Carter  
          introduced AB 945, which was nearly identical to this bill.  AB  
          945 passed the Legislature on a party- line vote and was  
          ultimately vetoed by the Governor, who stated in his veto  
          message, "Californians do not need another report to tell them  
          that the state's transportation needs are great."  

          In 2005, Senator Torlakson introduced SB 275 that would have  
          required CTC to submit a 10-year needs assessment plan on the  
          state's transportation system to the Legislature, on or before  
          October 1, 2006, and on a 10-year rolling basis thereafter.  SB  
          275 also passed the Legislature and was ultimately vetoed by the  
          Governor for reasons similar to his veto message for AB 945.  

          Writing in support of this bill, the California Transit  
          Association (CTA) asserts that the state's transportation needs  
          have neared $200 billion and that, even with the influx in  
          transportation dollars as a result of passage of Proposition 1B,  
          transportation needs continue to go unmet.  CTA suggests that a  
          needs assessment is necessary to not only reduce traffic  
          congestion but also to improve air quality statewide.  
           

          Analysis Prepared by  :   Janet Dawson / TRANS. / (916) 319-2093 


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