BILL ANALYSIS                                                                                                                                                                                                    �



                                                                AB 1458
                                                                Page  1

        (  Without Reference to File  )

        CONCURRENCE IN SENATE AMENDMENTS
        AB 1458 (Buchanan and Achadjian)
        As Amended  June 28, 2012
        Majority vote
         
         ----------------------------------------------------------------- 
        |ASSEMBLY:  |     |(April 26,      |SENATE: |36-0 |(July 5, 2012) |
        |           |     |2012)           |        |     |               |
         ----------------------------------------------------------------- 
                  (vote not relevant)           
         
         Original Committee Reference:    P.E., R. & S.S.  

         SUMMARY  :  Retains the California Transportation Commission's (CTC) 
        status as an independent entity if the Governor's Reorganization 
        Plan No. 2 of 2012 (GRP 2) is enacted.

         The Senate amendments  delete the Assembly version of this bill, and 
        instead:

        1)State that CTC shall retain its status as an independent entity to 
          perform its duties and functions prescribed to it under current 
          law if GRP 2 is enacted.

        2)Declare that this bill shall prevail over any provision of GRP 2 
          regardless of the dates on which this bill and GRP 2 take effect.  

         
         EXISTING LAW  : 

        1)Establishes in state government the CTC as an independent entity 
          responsible for programming and allocating funds for the 
          construction of highway, passenger rail and transit improvements 
          throughout California. 

        2)Requires CTC to advise and assist the Secretary of the Business, 
          Transportation, and Housing Agency (BTH) and the Legislature in 
          formulating and evaluating state policies and plans for 
          California's transportation programs.

         AS PASSED BY THE ASSEMBLY  , this bill deleted the Joint Legislative 
        Retirement Committee (JLRC) from statute.









                                                                AB 1458
                                                                Page  2

         FISCAL EFFECT  :  Unknown

         COMMENTS  :  CTC was established as an independent entity in 1978 by 
        AB 402 (Chapter 1106, Statutes of 1977) out of a growing concern for 
        a single, unified California transportation policy. 

        CTC is responsible for programming and allocating funds for the 
        construction of highway, passenger rail, and transit improvements 
        throughout California.  CTC advises and assists the Secretary of BTH 
        and the Legislature in formulating and evaluating state 
        transportation policies and programs.  CTC is also an active 
        participant in the initiation and development of state and federal 
        legislation to secure financial stability for the state's 
        transportation needs. 

        GRP 2 places CTC under the newly formed California Transportation 
        Agency (CTA), a significant structural change for the previously 
        independent entity.  CTA's Secretary would have the ability to 
        review and approve CTC's budgets and operations, and CTC would 
        coexist with other transportation entities.  

        CTC was created as an independent entity to advise and sometimes 
        disagree with other transportation-related entities, and critics are 
        concerned that losing its autonomy within the agency structure could 
        undermine CTC's core mission. There are additional concerns that 
        placing CTC, whose members are already dominated by Governor's 
        appointees, within an agency would unduly favor the Administration. 

        Should GRP 2 become effective July 3, 2012, this bill preserves 
        CTC's independence. 


         Analysis Prepared by  :   Sarah Weaver / SPECIAL COMM. ON GRP NO. 2 / 
        (916) 319-3874


                                                                 FN: 0004344