BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 1348
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          SENATE THIRD READING
          SB 1348 (Steinberg)
          As Amended August 9, 2010
          Majority vote

           SENATE VOTE  :35-0  
          
           TRANSPORTATION      12-0        APPROPRIATIONS      17-0        
           
           ----------------------------------------------------------------- 
          |Ayes:|Bonnie Lowenthal,         |Ayes:|Fuentes, Conway,          |
          |     |Jeffries,                 |     |Bradford,                 |
          |     |Bill Berryhill,           |     |Charles Calderon, Coto,   |
          |     |Blumenfield, Buchanan,    |     |Davis,                    |
          |     |Eng, Furutani, Galgiani,  |     |De Leon, Gatto, Hall,     |
          |     |Hayashi, Miller, Niello,  |     |Harkey, Miller, Nielsen,  |
          |     |Portantino                |     |Norby, Skinner, Solorio,  |
          |     |                          |     |Torlakson, Torrico        |
          |-----+--------------------------+-----+--------------------------|
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Codifies the process by which the California  
          Transportation Commission (CTC) is to adopt guidelines.   
          Specifically,  this bill  :  

          1)Makes legislative findings and declarations regarding the need  
            to ensure that CTC's process for adopting program guidelines  
            is understandable, predictable, and transparent and provides  
            ample opportunity for public review and comment on proposed  
            guidelines.  

          2)Provides, notwithstanding any other provision, in instances  
            where CTC adopts guidelines the guidelines will be exempt from  
            the Administrative Procedure Act (APA).  

          3)Sets forth a process governing CTC's adoption of guidelines  
            after January 1, 2011, except for guidelines adopted to  
            implement the State Transportation Improvement Program (STIP),  
            as follows:  

             a)   CTC's legal counsel is required to review the proposed  
               guidelines for necessity, authority, clarity, consistency,  
               reference, and redundancy recommend any changes to CTC  
               commissioners.  Comments and recommendations made by legal  








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               counsel will be subject to attorney-client privilege,  
               unless waived.  The CTC Executive Director is required  
               distribute the recommendations and communications with  
               legal counsel to all commissioners;

             b)   Program or policy guidelines are to be first presented  
               at a CTC meeting for purposes of receiving public comment;

             c)   Final proposed guidelines will be presented at a CTC  
               meeting; 

             d)   At least 45 days prior to the meeting, copies of the  
               proposed guidelines must be distributed and be made  
               available in electronic format;

             e)   Proposed guidelines must include a notice of the right  
               of the public comment on the guidelines;

             f)   Following the proposed guideline review process, CTC  
               staff will summarize all comments and explain any changes  
               to the guidelines in response to comments made.  Staff  
               recommendations and summary must be made public 15 days  
               prior to a regular CTC meeting; and, 

             g)   Guidelines must be adopted by a majority of the  
               commission membership.  

          4)Requires CTC to maintain complete files on guideline adoption  
            proceedings, including a summary of each objection or  
            recommendation made and an explanation of how the proposed  
            guidelines was changed to accommodate each objection or  
            recommendation, or the reason no change was made.  

          5)Requires the CTC to include in its annual report to the  
            Legislature an accounting of its activities related to  
            guideline adoption during the prior year.  

           EXISTING LAW  : 

          6)Establishes the CTC and prescribes its membership and  
            responsibilities, including advising and assisting the  
            Secretary of the Business, Transportation and Housing Agency  
            and the Legislature in formulating and evaluating state  
            policies and plans for transportation programs in the state.  









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          7)In various provisions, directs CTC to establish guidelines to  
            implement specific programs. 

          8)Sets forth the Administrative Procedures Act (APA) and vests  
            with the Office of Administrative Law (OAL) the responsibility  
            for an orderly review of adopted regulations.  

          9)Prohibits any state agency from issuing utilizing, enforcing,  
            or attempting to enforce any "guideline, criterion, bulletin,  
            manual, instruction, order, standard of general application,  
            or other rule."  

          10)Excludes from provisions of the APA any regulation that  
            relates only to the internal management of a state agency.

          11)Defines "regulation" to mean "every rule, regulation, order,  
            or standard of general application or the amendment,  
            supplement, or revision of any rule, regulation, order, or  
            standard adopted by any state agency to implement, interpret,  
            or make specific the law enforced or administered by it, or to  
            govern its procedure."

          12)Sets forth procedures to be followed by APA for promulgating  
            regulations with timeframes similar to those set forth in this  
            bill.  

           FISCAL EFFECT  :  According to Assembly Appropriations Committee,  
          absorbable costs to the CTC because the process prescribed by  
          the bill is generally in line with the CTC's current practice.    
           

           COMMENTS  :  The author introduced this bill because he believes  
          that, on some occasions, the CTC's process for guideline  
          adoption lacked transparency and has not provided the public  
          with ample opportunity to fully review and comment on items at  
          issue in the proposed guidelines.  This bill would codify a  
          process whereby CTC would adopt program guidelines but it would  
          do so in a way that avoids the often-cumbersome process by which  
          regulations are promulgated via the OAL.  


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


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