BILL NUMBER: SB 455 AMENDED
BILL TEXT
AMENDED IN SENATE APRIL 16, 2009
INTRODUCED BY Senator Lowenthal
FEBRUARY 26, 2009
An act to amend Sections 11005, 11005.2, 11007.1, 11011.13,
13332.11, 13332.12, 14255, 14662, 14666, 14666.6, 14666.8, and 14667
of the Government Code, to amend Sections 10106 and 10107 of the
Public Contract Code, to amend Section 185020 of , and to add
Sections 185039, 185040, and 185041 to, the Public Utilities
Code, and to add Chapter 20.1 (commencing with Section 2704.30) to
Division 3 of the Streets and Highways Code, relating to high-speed
rail.
LEGISLATIVE COUNSEL'S DIGEST
SB 455, as amended, Lowenthal. High-speed rail.
Existing law creates the High-Speed Rail Authority with specified
powers and duties relative to development and implementation of a
high-speed train system. The authority is composed of 9 members,
including 5 members appointed by the Governor.
This bill would provide that the members of the authority
appointed by the Governor are subject to appointment with the advice
and consent of the Senate. The bill would require the members of
the authority, at a scheduled board meeting, to cause to be prepared
an overall project schedule with project delivery milestones on a
quarterly basis, and to approve a quarterly contract status report,
beginning at the first board meeting after March 1, 2010. The bill
would also require the members of the authority to approve all
contract amendments at a scheduled board meeting.
Existing law, pursuant to the Safe, Reliable High-Speed Passenger
Train Bond Act for the 21st Century, approved by the voters as
Proposition 1A at the November 4, 2008, general election, provides
for the issuance of $9.95 billion for high-speed train capital
projects and other associated purposes. Existing law defines Phase I
of the high-speed train project to be between San Francisco Transbay
Terminal and Los Angeles Union Station and Anaheim.
This bill would require the authority to ensure that projects
undertaken by the authority, including projects for acquisition of
right-of-way, are consistent with specified criteria.
Existing law generally requires the approval of the Department of
General Services before a state agency may acquire, hire, dispose of,
or let real property in fee or in a lesser interest, subject to
certain exceptions, including real property obtained for highway
purposes by the Department of Transportation. Existing law requires
the Department of General Services to inventory state-owned property,
other than property owned by the Department of Transportation and
certain other state agencies. Existing law provides that property
acquired by the Department of Transportation for highway purposes and
leased back for commercial or business uses to the former owner for
a term exceeding 6 months may be insured for loss by fire at the
request of the former owner with the premium for the insurance
included in the rent.
This bill would enact similar exceptions, authorizations, and
exemptions relative to real property obtained for high-speed rail
purposes by the High-Speed Rail Authority. The bill would make
various additional conforming changes.
Existing law generally requires the approval of the Department of
Finance and the State Public Works Board before a state agency may
expend funds from an appropriation for capital outlay purposes. These
provisions do not apply to the Department of Transportation and
certain other state agencies.
This bill would also make these provisions inapplicable to the
High-Speed Rail Authority.
Existing law provides that the Department of Transportation is the
responsible agency for projects for various purposes under the
Public Contract Code, except with respect to projects under the
jurisdiction of other specified state agencies.
This bill would provide that the High-Speed Rail Authority is the
responsible agency for projects under its jurisdiction.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 11005 of the Government Code is amended to
read:
11005. (a) Unless the Legislature specifically provides that
approval is not required, every gift or dedication to the state of
personal property, or every gift to the state of real property in fee
or in any lesser estate or interest, shall be approved by the
Director of Finance, and every contract for the acquisition or hiring
of real property in fee or in any lesser estate or interest, entered
into by or on behalf of the state, shall be approved by the Director
of General Services. Any contract entered into in violation of this
section is void. This section applies to any state agency that, by
general or specific statute, is expressly or impliedly authorized to
enter into transactions referred to in this section.
(b) This section does not apply (1) to unconditional gifts of
money, (2) to the acquisition or hiring by the Department of
Transportation of real property in fee or in any lesser estate or
interest for highway purposes, but does apply to the hiring by that
department of office space in any office building, (3) to contracts
entered into under the authority of Chapter 4 (commencing with
Section 11770) of Part 3 of Division 2 of the Insurance Code, (4) to
the receipt of donated, unencumbered personal property from private
sources received in conjunction with the administration of the
Federal Surplus Personal Property Program by the Department of
General Services, (5) to the receipt of gifts of personal property in
the form of interpretive or historical objects, each valued at
fifteen thousand dollars ($15,000) or less, by the Department of
Parks and Recreation, (6) to the acceptance by the State Coastal
Conservancy of offers to dedicate public accessways made pursuant to
Division 20 (commencing with Section 30000) of the Public Resources
Code, or (7) to the acquisition or hiring by the High-Speed Rail
Authority of real property in fee or in any lesser estate or interest
for high-speed rail purposes, but does apply to the hiring by that
authority of office space in any office building.
SEC. 2. Section 11005.2 of the Government Code is amended to read:
11005.2. Unless the Legislature specifically provides that
approval by the Director of General Services is not required, every
conveyance, contract, or agreement whereby an interest of the state
in any real property is conveyed, demised, or let to any person,
shall, before the conveyance, contract, or agreement is executed or
entered into, be approved by the Director of General Services. Any
conveyance, contract, or agreement executed or entered into in
violation of this section is void. This section shall apply to any
state agency which, by general or specific statute, is expressly or
impliedly authorized to enter into transactions referred to in this
section.
This section does not apply to real property acquired by the
Department of Transportation for highway purposes, real property
acquired by the High-Speed Rail Authority for high-speed rail
purposes, or real property administered by the State Lands
Commission, the Controller, or the State Compensation Insurance Fund.
SEC. 3. Section 11007.1 of the Government Code is amended to read:
11007.1. (a) The Department of Transportation, when it has
acquired title to any real property for highway purposes and leases
that property for commercial or business uses to the former owner for
a term exceeding six months, may secure insurance against the risk
of damage or destruction by fire where the former owner requests this
coverage and the premium therefor is included in the rental agreed
to be paid.
(b) The High-Speed Rail Authority, when it has acquired title to
any real property for high-speed rail purposes and leases that
property for commercial or business uses to the former owner for a
term exceeding six months, may secure insurance against the risk of
damage or destruction by fire where the former owner requests this
coverage and the premium therefor is included in the rental agreed to
be paid.
SEC. 4. Section 11011.13 of the Government Code is amended to
read:
11011.13. As used in Section 11011.15, "agency" means any state
agency, department, division, bureau, board, commission, and the
California State University. "Agency" does not mean the Legislature,
the University of California, the Department of Transportation, or
the High-Speed Rail Authority.
SEC. 5. Section 13332.11 of the Government Code is amended to
read:
13332.11. (a) (1) Except as otherwise specified in paragraph (2),
no funds appropriated for capital outlay may be expended by any
state agency, including the University of California, the California
State University, and the community colleges, until the Department of
Finance and the State Public Works Board have approved preliminary
plans for the project to be funded from a capital outlay
appropriation.
(2) Paragraph (1) shall not apply to any of the following:
(A) Amounts for acquisition of real property in fee, or any other
lesser interest.
(B) Amounts for equipment or minor capital outlay projects.
(C) Amounts appropriated for preliminary plans, surveys, and
studies.
(b) Notwithstanding subdivision (a), approvals by the State Public
Works Board and the Department of Finance for the University of
California and the community colleges shall apply only to the
allocation of state capital outlay funds appropriated by the
Legislature, including land acquisition and equipment funds.
(c) Any appropriated amounts for working drawings or construction
where the working drawings or construction have been started by any
state agency prior to approval of the preliminary plans by the State
Public Works Board, and all amounts not approved by the board under
this section shall be reverted to the fund from which the
appropriation was made. No major project for which a capital outlay
appropriation is made shall be put out to bid until the working
drawings have been approved by the Department of Finance. No
substantial change shall be made to the approved preliminary plans or
approved working drawings without written approval by the Department
of Finance. Any proposed construction bid alternates shall be
approved by the Department of Finance.
(d) The Department of Finance shall approve the use of funds from
a capital outlay appropriation for the purchase of any significant
unit of equipment.
(e) The State Public Works Board may augment a major project in an
amount of up to 20 percent of the total of the capital outlay
appropriations for the project, irrespective of whether any such
appropriation has reverted. The State Public Works Board shall defer
all augmentations in excess of 20 percent of the amount appropriated
for each capital outlay project until the Legislature makes
additional funds available for the specific project.
(f) In addition to the powers provided by Section 15849.6, the
State Public Works Board may further increase the additional amount
in Section 15849.6 to include a reasonable construction reserve
within the construction fund for any capital outlay project without
augmenting the project. The amount of the construction reserve shall
be within the 20 percent augmentation limitation. The State Public
Works Board may use this amount to augment the project, when and if
necessary, after the lease revenue bonds are sold to assure
completion of the project. Upon completion of the project, any amount
remaining in the construction reserve funds shall be used to offset
rental payments.
(g) Augmentations in excess of 10 percent of the amount
appropriated for each capital outlay project shall be reported to the
Chairperson of the Joint Legislative Budget Committee, or his or her
designee, 20 days prior to board approval, or not sooner than
whatever lesser time the chairperson, or his or her designee, may in
each instance determine.
(h) Prior to State Public Works Board action on any capital outlay
appropriation, the Department of Finance shall certify, in writing,
to the Chairperson of the Joint Legislative Budget Committee, the
chairpersons of the respective fiscal committees, and the legislative
advisors of the board that the requested action is in accordance
with the legislatively approved scope and cost. If, pursuant to the
other provisions of this section, the Department of Finance approves
changes to the approved scope or cost, or both, the department shall
report the changes and associated cost implications.
(i) The State Public Works Board shall defer action with respect
to approval of an acquisition project, when it is determined that the
estimated cost of the total acquisition project, as approved by the
Legislature is in excess of 20 percent of the amount appropriated,
unless it is determined that a lesser portion of the property is
sufficient to meet the objectives of the project approved by the
Legislature, and the Chairperson of the Joint Legislative Budget
Committee, or his or her designee, is provided a 20-day prior
notification of the proposed reductions in the acquisition project,
or whatever lesser period the chairperson, or his or her designee,
may in each instance determine.
(j) The State Public Works Board shall defer action with respect
to the approval of preliminary plans when it is determined that the
estimated cost of the total capital outlay construction project, as
approved by the Legislature, is in excess of 20 percent of the amount
appropriated.
(k) Nothing in this section shall be construed to limit or control
the Department of Transportation, the High-Speed Rail Authority, or
the California Exposition and State Fair in the expenditure of all
funds appropriated to any of them for capital outlay purposes.
SEC. 6. Section 13332.12 of the Government Code is amended to
read:
13332.12. (a) Any acquisition of land or other real property
authorized in any appropriation, except an appropriation from the
California Water Fund or an appropriation to the Department of
Transportation or the High-Speed Rail Authority for capital outlay
purposes, shall be subject to the provisions of the Property
Acquisition Law. Nothing in this section shall be construed as
exempting the California Coastal Commission from this section.
(b) All property acquisitions, including those exempted pursuant
to subdivision (a), shall be reported to the State Public Works
Board.
SEC. 7. Section 14255 of the Government Code is amended to read:
14255. Whenever provision is made by law for any project that is
not under the jurisdiction of the Department of Water Resources, the
Department of Boating and Waterways pursuant to Article 2.5
(commencing with Section 65) of Chapter 2 of Division 1 of the
Harbors and Navigation Code, the Department of Corrections and
rehabilitation pursuant to Chapter 11 (commencing with Section 7000)
of Title 7 of Part 3 of the Penal Code, the High-Speed Rail
Authority, or the Department of General Services, the project shall
be under the sole charge and direct control of the Department of
Transportation.
SEC. 8. Section 14662 of the Government Code is amended to read:
14662. The Director of General Services may acquire any easements
or rights-of-way which the director determines to be necessary for
the proper utilization of real property owned or being acquired by
the state.
This section does not apply to land, easements, or rights-of-way
to be acquired by the Department of Transportation or the High-Speed
Rail Authority.
SEC. 9. Section 14666 of the Government Code is amended to read:
14666. With the approval of the state agency concerned, the
director may grant and convey in the name of the state, easements and
rights-of-way across real property belonging to the state not used
for highway rights-of-way or high-speed rail rights-of-way, for those
purposes and upon that consideration and subject to those
conditions, limitations, restrictions, and reservations as the
director deems are in the interest of the state. All revenue received
in connection with the granting and conveying of those easements and
rights-of-way, including charges made for administrative costs,
shall be deposited in the General Fund for appropriation as provided
in Section 15863. Any expenditure in connection with the granting and
conveying of those easements and rights-of-way or investigating
proposed gifts of real property to the state may be allocated from
the appropriation made pursuant to Section 15863.
SEC. 10. Section 14666.6 of the Government Code is amended to
read:
14666.6. (a) With the approval of the state agency concerned, the
director shall negotiate in the name of the state, access to
state-owned property, not used for highway or high-speed rail
purposes, for those purposes and subject to those conditions,
limitations, restrictions, and reservations determined by the
director to be in the best interest of the state. To the extent
permitted under existing law, the director shall determine the amount
of consideration for, and means of access, which means shall
include, but not be limited to, any of the following: lease, permit,
or other form of providing a monetary or service consideration for
the access.
(b) The Director of Transportation shall negotiate in the name of
the state, access to state-owned highway rights-of-way, for those
purposes and subject to those conditions, limitations, restrictions,
and reservations determined by the Director of Transportation to be
in the best interest of the state. To the extent permitted under
existing law, the Director of Transportation shall determine the
amount of consideration for, and means of access, which means shall
include, but not be limited to, any of the following: lease, permit,
or other form of providing a monetary or service consideration for
the access.
(c) The High-Speed Rail Authority shall negotiate in the name of
the state, access to state-owned high-speed rail rights-of-way, for
those purposes and subject to those conditions, limitations,
restrictions, and reservations determined by the authority to be in
the best interest of the state. To the extent permitted under
existing law, the authority shall determine the amount of
consideration for, and any means of access, which means shall
include, but not be limited to, any of the following: lease, permit,
or other form of providing a monetary or service consideration for
the access.
(d) This section applies to various telecommunications and
information technologies, including, but not limited to, voice data,
video, and fiber-optic technologies.
(e) Any payments received under the provisions of this section for
a grant or conveyance through land or facilities controlled by the
Department of Transportation or the high-speed Rail Authority,
including but not limited to rights-of-way along the state highway
system or the high-speed rail system, as the case may be, shall be
deposited in the State Transportation Fund.
SEC. 11. Section 14666.8 of the Government Code is amended to
read:
14666.8. (a) The director shall, within 120 days of the operative
date of this section, compile and maintain an inventory of
state-owned real property that may be available for lease to
providers of wireless telecommunications services for location of
wireless telecommunications facilities. This inventory shall be the
state's sole inventory of state-owned real property available for
this purpose. The term "state-owned real property," as used in this
section, excludes property owned or managed by the Department of
Transportation, property owned or managed by the High-Speed Rail
Authority, and property subject to Section 7901 of the Public
Utilities Code.
(b) The director shall provide, in a cost-effective manner, upon
payment of any applicable fee, a requesting party a copy of the
inventory.
(c) On behalf of the state, the director may negotiate and enter
into an agreement to lease department-managed and state-owned real
property to any provider of wireless telecommunications services for
location of its facilities. A lease for this purpose shall do all of
the following:
(1) Provide for fair market value to be paid by the provider of
wireless telecommunications service to the state to the extent
permitted under existing state law.
(2) Designate a lease term that is acceptable to the director and
the state agency that has control over the property. The duration of
the initial lease term for any wireless facility may not exceed 10
years, and the lease may provide for a negotiated number of renewal
terms, not to exceed five years for each term.
(3) Provide for the use of the wireless provider's facilities
located on the state-owned real property by any appropriate state
agency if technically, legally, aesthetically, and economically
feasible.
(4) Facilitate, to the greatest extent possible, agreements among
providers of wireless telecommunications services for colocation of
their facilities on state-owned real property.
(d) Nothing in this section alters any existing rights of
telegraph or telephone corporations pursuant to Section 7901 of the
Public Utilities Code.
(e) Notwithstanding any other provision of law, any revenue
collected from a lease entered into pursuant to this section to use
property that was acquired with money from a fund other than the
General Fund shall be deposited into the fund from which the money
was obtained. Money received and deposited into a fund pursuant to
this section shall be available upon appropriation by the
Legislature, notwithstanding any other provision of law.
(f) Before making any state-owned real property that is part of
the State Water Resources Development System, as described in Section
12931 of the Water Code, available for leasing under this section,
the director shall consult with the Department of Water Resources as
to whether the proposed location of a wireless telecommunication
facility is technically, legally, environmentally, and economically
feasible for wireless telecommunication purposes.
SEC. 12. Section 14667 of the Government Code is amended to read:
14667. With the approval of the state agency concerned, the
director may quitclaim in the name of the state, the right, title and
interest of the state in and to easements and rights-of-way owned by
the state, other than those acquired for highway purposes or for
high-speed rail purposes, which the director determines are no longer
needed for state purposes.
(a) Unless the conveyance of the easement or right-of-way is made
to the federal government, or an agency thereof, or to a county,
city, district, or other local governmental agency of this state, the
director shall comply with the provisions of this subdivision. Prior
to the disposition of any easement or right-of-way owned by the
state pursuant to this section, notice thereof shall be published
pursuant to Section 6061 of the Government Code in a newspaper
published in the county in which the easement or right-of-way is
situated, and if there is no newspaper published in such county,
notice shall be published in a newspaper published in an adjoining
county and shall be posted in at least three public places in the
county in which the easement or right-of-way is situated, including
one posting on the real property in which the easement or
right-of-way is located.
(b) If the easement or right-of-way was acquired by the state for
a price approximating its market value at the time of acquisition,
the director, when disposing of that easement or right-of-way, shall
make a reasonable effort to obtain as the price for the sale thereof
an amount approximately equivalent to the current market value at the
time of disposition.
SEC. 13. Section 10106 of the Public Contract Code is amended to
read:
10106. For purposes of this part:
(a) "Department" means any of the following:
(1) The Department of Water Resources as to any project under the
jurisdiction of that department.
(2) The Department of General Services as to any project under the
jurisdiction of that department.
(3) The Department of Boating and Waterways as to any project
under the jurisdiction of that department pursuant to Article 2.5
(commencing with Section 65) of Chapter 2 of Division 1 of the
Harbors and Navigation Code.
(4) The Department of Corrections and Rehabilitation with respect
to any project under its jurisdiction pursuant to Chapter 11
(commencing with Section 7000) of Title 7 of Part 3 of the Penal
Code.
(5) The Military Department as to any project under the
jurisdiction of that department.
(6) The High-Speed Rail Authority as to any project under the
jurisdiction of that authority.
(7) The Department of Transportation as to all other projects.
(b) "Director" means the director of each department as defined
herein respectively, or the executive director in the case of the
High-Speed Rail Authority.
SEC. 14. Section 10107 of the Public Contract Code is amended to
read:
10107. Whenever provision is made by law for any project that is
not under the jurisdiction of the Department of Water Resources, the
Department of Boating and Waterways pursuant to Article 2.5
(commencing with Section 65) of Chapter 2 of Division 1 of the
Harbors and Navigation Code, the Department of Corrections and
Rehabilitation pursuant to Chapter 11 (commencing with Section 7000)
of Title 7 of Part 3 of the Penal Code, the High-Speed Rail
Authority, or the Department of General Services, the project shall
be under the sole charge and direct control of the Department of
Transportation.
SEC. 15. Section 185020 of the Public Utilities Code is amended to
read:
185020. (a) There is in state government a High-Speed Rail
Authority.
(b) (1) The authority is composed of nine members as follows:
(A) Five members appointed by the Governor, with the advice and
consent of the Senate.
(B) Two members appointed by the Senate Committee on Rules.
(C) Two members appointed by the Speaker of the Assembly.
(2) For the purposes of making appointments to the authority, the
Governor, the Senate Committee on Rules, and the Speaker of the
Assembly shall take into consideration geographical diversity to
ensure that all regions of the state are adequately represented.
(c) Except as provided in subdivision (d), and until their
successors are appointed, members of the authority shall hold office
for terms of four years. A vacancy shall be filled by the appointing
power making the original appointment, by appointing a member to
serve the remainder of the term.
(d) (1) On and after January 1, 2001, the terms of all persons who
are then members of the authority shall expire, but those members
may continue to serve until they are reappointed or until their
successors are appointed. In order to provide for evenly staggered
terms, persons appointed or reappointed to the authority after
January 1, 2001, shall be appointed to initial terms to expire as
follows:
(A) Of the five persons appointed by the Governor, one shall be
appointed to a term which expires on December 31, 2002, one shall be
appointed to a term which expires on December 31, 2003, one shall be
appointed to a term which expires on December 31, 2004, and two shall
be appointed to terms which expires on December 31, 2005.
(B) Of the two persons appointed by the Senate Committee on Rules,
one shall be appointed to a term which expires on December 31, 2002,
and one shall be appointed to a term which expires on December 31,
2004.
(C) Of the two persons appointed by the Speaker of the Assembly,
one shall be appointed to a term which expires on December 31, 2003,
and one shall be appointed to a term which expires on December 31,
2005.
(2) Following expiration of each of the initial terms provided for
in this subdivision, the term shall expire every four years
thereafter on December 31.
(e) Members of the authority are subject to the Political Reform
Act of 1974 (Title 9 (commencing with Section 81000)).
(f) From among its members, the authority shall elect a
chairperson, who shall preside at all meetings of the authority, and
a vice chairperson to preside in the absence of the chairperson. The
chairperson shall serve a term of one year.
(g) Five members of the authority constitute a quorum for taking
any action by the authority.
SEC. 16. Section 185039 is added to the
Public Utilities Code , to read:
185039. The members of the authority, at a scheduled board
meeting, shall cause to be prepared an overall project schedule with
project delivery milestones for all aspects of the high-speed rail
project. Elements of the project schedule that are critical to
ensuring that the project remains on schedule shall be identified.
Any issues that have affected the project schedule or that may affect
the project schedule shall be identified. The schedule shall be
published and reported on to the members of the authority each
calendar quarter beginning with the first scheduled board meeting of
the members of the authority after March 31, 2010. The report shall
include a discussion of the status of the high-speed rail project,
including the extent to which project delivery milestones are being
met, and a discussion of the delays associated with any milestones
and the ramifications for overall project delivery. Copies of the
report shall be submitted to the Legislature and to the Legislative
Analyst's Office.
SEC. 17. Section 185040 is added to the
Public Utilities Code , to read:
185040. (a) The members of the authority shall approve a
quarterly written report at a scheduled board meeting, beginning with
the first board meeting after March 31, 2010, to be submitted to the
Legislature and to the Legislative Analyst's Office, on the status
of contracts with the authority for the previous quarter. The report
shall include the status of contracts with firms providing
professional services and the status of construction contracts.
(b) In reporting on the status of contracts with firms providing
professional services, all of the following shall be reported:
(1) Changes or modifications in the scope of the services being
provided by any contractor during the quarter and the reasons for the
changes.
(2) Changes or modifications in the schedule for those contracts.
(3) Changes or modifications in the budget or contracted amount
for those contracts.
SEC. 18. Section 185041 is added to the
Public Utilities Code , to read:
185041. The members of the authority shall approve all amendments
to contracts at a scheduled board meeting. Each proposed contract
amendment shall be submitted to the members of the authority
accompanied by a written report from the executive director
explaining the purpose and need for the amendment. The report shall
include an explanation of the consequences that the amendment will
have on the overall project budget and the project schedule for the
work that is the subject of the contract.
SEC. 16. SEC. 19. Chapter 20.1
(commencing with Section 2704.30) is added to Division 3 of the
Streets and Highways Code, to read:
CHAPTER 20.1. IMPLEMENTATION OF THE SAFE, RELIABLE HIGH-SPEED
PASSENGER TRAIN BOND ACT FOR THE 21ST CENTURY
2704.30. (a) When making investments in Phase I of the high-speed
train project as defined in paragraph (2) of subdivision (b) of
Section 2704.04, or investments pursuant to paragraph (3) of
subdivision (b) of Section 2704.04, the High-Speed Rail Authority
shall ensure that projects undertaken by the authority, including
acquisition of right-of-way, that are funded pursuant to Chapter 20
(commencing with Section 2704) or any other funds available to the
authority for capital outlay purposes, are consistent with one or
more of the following criteria:
(1) The project provides for enhancement of railroad access to
stations and terminals, with priority to be given to those stations
and terminals that serve the largest employment centers.
(2) The project provides improvements to travel time, service
reliability, safety, and service frequency for existing commuter and
intercity passenger train services.
(3) The project provides for improvement of the connections from
the San Joaquin Valley to southern California and from the San
Joaquin Valley to the Bay Area.
(b) With respect to projects undertaken pursuant to paragraphs
(1), (2), and (3) of subdivision (a), the projects shall result in
right-of-way or facilities that are capable of being converted to use
by high-speed passenger train service, or are otherwise consistent
with the operation of high-speed passenger train service, at the time
the authority is prepared to begin the operation of high-speed
passenger train service.