BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 464
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          Date of Hearing:   May 4, 2011

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                 AB 464 (Olsen) - As Introduced:  February 15, 2011 

          Policy Committee:                              
          TransportationVote:11-1

          Urgency:     No                   State Mandated Local Program: 
          No     Reimbursable:               

           SUMMARY  

          This bill adds 15 miles of County Road J-59 in Stanislaus and 
          Tuolumne Counties to the state highway system.

           FISCAL EFFECT  

             1)   Caltrans estimates that bringing the county road up to 
               state highway standards will cost $25 million to $30 
               million. Though existing law specifically relieves Caltrans 
               of responsibility for any road until it is first brought up 
               to state standards, state assumption of a local road 
               creates fiscal pressure to restore the road to state 
               standards.

             2)   Annual maintenance costs, at $12,000 per mile, would be 
               $180,000.

           COMMENTS  

           1)Purpose  . County Route J-59, from State Route 132 to the 
            junction of State Routes 108 and 120, is a 15-mile stretch of 
            road running roughly parallel to the Sierras. According to the 
            author, this road is predominantly used as an interregional 
            connector road for commercial transportation and is therefore 
            appropriate to become a state highway.  The author also 
            indicates that transferring the road to Caltrans while the 
            road is in excellent condition (having just undergone a $4 
            million overlay) will ensure that there is no financial burden 
            to the state.

           2)Caltrans Concerns  . Caltrans agrees that the route serves an 








                                                                  AB 464
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            interregional function and could appropriately be a state 
            highway route, but argues that, despite the recent overlay 
            project, the roadway is not up to state highway standards-for 
            example, lacking adequate shoulders. Aside from design 
            deficiencies, however, Caltrans asserts that, when maintenance 
            and rehabilitation needs for the state highway system already 
            exceed available funds by billions of dollars, assuming 
            another highway segment into the state highway system is not 
            prudent.  The sponsors counter that they have been unfairly 
            bearing the costs for this highway, which should have been the 
            state's responsibility all along.

           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081