BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                           1614 (Budget Com.)
          
          Hearing Date:  10/07/2010           Amended: 10/07/2010
          Consultant: Mark McKenzie       Policy Vote: N/A
          _________________________________________________________________ 
          ____
          BILL SUMMARY:   AB 1614, an urgency measure, would make numerous  
          statutory changes that are necessary to implement the  
          Transportation-related provisions of the Budget Bill.
          _________________________________________________________________ 
          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2010-11      2011-12       2012-13     Fund
           Cumulative impact      Unknown net revenue impact.      Various
                                 Potentially significant special fund  
          revenue 
                                 gains if federal approval is granted to  
          authorize 
                                 advertising on changeable message signs.
          _________________________________________________________________ 
          ____

          STAFF COMMENTS: This bill may meet the criteria for referral to  
          the Suspense File.
          
          This bill includes the following key changes to implement the  
          2010-11 State Budget:

          1.  Proposition 1B - Transportation Corridor Improvement Funds  .   
             Requires the California Transportation Commission (CTC) to  
             report to the Legislature semiannually on the expenditure of  
             Transportation Corridor Improvement Funds (TCIF) for railroad  
             projects.  Additionally, requires the CTC to report and  
             provide a copy of any memorandum of understanding executed  
             between a railroad company and any state or local  
             transportation agency where TCIF funds are a funding source  
             for the project.

          2.  Proposition 1B - Water Transit  .  For recipients of  
             Proposition 1B bond funds for regional public waterborne  
             transit, extends the expenditure period from three years to  
             four years.  Proposition 1B provides $250 million to Regional  










             public waterborne transit agencies.  The funds are available  
             to build ferry terminals, among other uses.

          3.  Proposition 1B - Local Streets and Roads  .  Provides cities  
             and counties a one-year extension to expend Proposition 1B  
             Local Streets and Roads funds for any year in which Highway  
             Users Tax Account funds for local transportation projects are  
             borrowed, deferred, or shifted.

          4.  Inter-fund Transportation Cashflow Loans  .  Extends the sunset  
             from June 30, 2011 to June 30, 2014, for cashflow borrowing  
             among transportation special funds.  The transportation  
             special funds that are eligible for cashflow borrowing are  
             the State Highway Account, the Public Transportation Account,  
             the Transportation Investment Fund, the Transportation  
             Deferred Investment Fund, and the Traffic Congestion Relief  
             Fund.
          Page 2
          AB 1614 (Budget Committee)

          5.  High-Speed Rail Authority (HSRA) - Exempt Positions  .   
             Authorizes the Governor to appoint six management level  
             exempt positions to the HSRA upon the recommendation of the  
             executive director.  Compensation for these positions shall  
             not exceed the highest comparable compensation for a position  
             of that type, as established through a salary survey, and  
             shall require approval of the Department of Personnel  
             Administration.

          6.  HSRA - Biannual Reporting  .  Requires the HSRA to report  
             biannually to the Legislature, beginning March 1, 2011, on  
             the status of development and implementation of intercity  
             high-speed rail service.

          7.  HSRA - Peer Review Group  .  Requires that the members of the  
             High Speed Rail Independent Peer Review Group be designated  
             by October 1, 2010, and requires that group to designate a  
             chairperson.  Additionally, requires the HSRA to designate a  
             liaison for the Independent Peer Review Group.  Lastly,  
             authorizes the members of the peer review group to collect a  
             $100 per-day per diem that cannot exceed $500 per month. 

          8.  Department of Transportation (Caltrans) - Capital Outlay  
             Support Budget Request .  Requires Caltrans to report annually  
             to the Legislature with supplemental information on the  
             Capital Outlay Support budget request, including anticipated  










             and realized project costs and schedules for the Capital  
             Outlay Support Program.

          9.  Advertising on Changeable Message Signs  .  Authorizes an  
             experimental program that would allow advertising on upgraded  
             changeable message signs on highway right of way.  A federal  
             waiver, or a change in federal law, is necessary to implement  
             this program and this bill states the program cannot be  
             implemented unless approved by the federal government.

          10.  Fuel Tax Swap - GO Bond Savings .  The State Treasurer and the  
             Department of Finance estimate lower bond debt service costs  
             from transportation-related general obligation bonds in  
             2010-11.  This savings is estimated to reduce bond-related  
             expenditures from fuel tax swap revenues by about $112  
             million.  This bill directs that savings to additional loans  
             to the General Fund.

          11.  Fuel Tax Swap - Local Transportation Subventions  .  Provides  
             additional clarification that local governments are not  
             subject to the same maintenance-of-effort and other  
             requirements under Proposition 42 when they are apportioned  
             fuel excise tax revenues. 

          12.  CHP - License Plate Reader Technology  .  Places in statute the  
             California Highway Patrol (CHP) internal policy for retaining  
             information gathered from license plate reader (LPR) systems.  
              Prohibits the retention of data for more than 72 hours for  
             all instances when the data is not being used for legitimate  
             law enforcement purposes.  Additionally, prohibits the CHP  
             from selling LPR data and requires that CHP monitor its use  
             internally.

          Page 3
          AB 1614 (Budget Committee)

          13.  CHP and Local Law Enforcement:  DUI Checkpoints and Vehicle  
             Impoundment  .  Amends statute to revise and better define the  
             conditions under which a law enforcement entity can impound a  
             vehicle at a sobriety checkpoint.  In the case of a driver  
             who is not suspected of drunk driving, but who is driving  
             without a valid driver's license, the vehicle cannot be  
             impounded unless the vehicle cannot be safely parked or no  
             licensed driver can be found to drive the vehicle.  

          14.  Department of Motor Vehicles (DMV) - Veterans' Benefits  .   










             Requires DMV to update application forms to provide a space  
             for an applicant to indicate whether they served in the armed  
             forces.  Data collected from willing veterans will be shared  
             with the Department of Veterans affairs in order to identify  
             if they are eligible for federal benefits.