BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 516
                                                                  Page  1

          Date of Hearing:   May 4, 2011

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

               AB 516 (V. Manuel Perez) - As Amended:  April 13, 2011 

          Policy Committee:                              
          TransportationVote:12-2

          Urgency:     No                   State Mandated Local Program: 
          No     Reimbursable:               

           SUMMARY  

          This bill modifies the state's Safe Routes to School (SR2S) 
          grant program to increase participation of low-income schools. 
          Specifically, this bill:

          1)Allows grants to be awarded directly to school districts.

          2)Requires Caltans, in awarding grants, to consider the 
            following additional factors:

             a)   Use of a public participation process, as specified, by 
               the applicant.

             b)   The benefit to a low-income schools, as defined.

          3)Requires Caltrans to consider waiving the 10% local match 
            requirement for projects involving low-income schools.

           FISCAL EFFECT  

          Annual revenue loss of up to $1 million in local match funding 
          for the grant program to the extent this match is waived for 
          low-income schools. Annual state funding for the program totals 
          about $25 million, and 35% to 44% of projects have been awarded 
          to low-income schools. Encompassing the additional factors 
          required in this bill would likely increase the percentage of 
          grants going to low-income schools.

           COMMENTS  

           1)Background  . The goal of both the federal and state SR2S 








                                                                  AB 516
                                                                  Page  2

            programs is to remove barriers that prevent children from 
            walking or biking to school. In 1999, California was the first 
            state to enact its own SR2S program, with dedicated funding 
            from the State Highway Account, on the premise that 
            encouraging more children to walk and bicycle to school would 
            result in healthier children, improved air quality, reduced 
            fuel consumption and greenhouse gas emissions, and less 
            traffic congestion near schools. The state SR2S program was 
            funded at $24.25 million in the latest annual cycle (October 
            2010) and funds are distributed on a statewide, competitive 
            basis.  Applications exceed available funds by a 6:1 ratio. 
            Typical projects include installing curbs, sidewalks, traffic 
            signals, crosswalks, warning signs, and bicycle paths.

           2)Purpose  .  According to the author, AB 516 is intended to 
            ensure disadvantaged communities receive equitable access to 
            SR2S funds by requiring Caltrans to give priority to proposals 
            that benefit these communities and provide community residents 
            with a stronger role in development of SR2S project proposals.

           3)Prior Legislation  . This bill is similar to AB 2147 (V. Manuel 
            Perez) of 2010, which was vetoed by Governor Schwarzenegger, 
            who argued that the bill was unnecessary given the relative 
            success of low-income communities in obtaining grants.

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