BILL ANALYSIS                                                                                                                                                                                                    �



                                                                AB 1465
                                                                Page  1
        ( Without Reference to File  )

        CONCURRENCE IN SENATE AMENDMENTS
        AB 1465 (Budget Committee)
        As Amended  June 13, 2012
        Majority vote.  Budget Bill Appropriation Takes Effect Immediately
         
         
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        |ASSEMBLY:  |     |(March 22,      |SENATE: |25-14|(June 15,      |
        |           |     |2012)           |        |     |2012)          |
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             (vote not relevant)                     
         
         Original Committee Reference:    BUDGET  

         SUMMARY  :  Contains necessary statutory changes in the area of 
        transportation to implement changes to the Budget Act of 2011 and 
        includes provisions necessary to achieve $997.4 million of General 
        Fund solutions assumed in the 2012-13 budget package.

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

        1)Transfer funding from the Motor Vehicle Fuel Account to the 
          General Fund, resulting in a General Fund savings of $312.2 
          million in 2012-13 and $128.8 million in savings in ongoing fiscal 
          years.  This provision sunsets after three years and at that time 
          these funds will be transferred to the Highway Users Tax Account.

        2)Transfer additional weight fee revenues to the General Fund, 
          resulting in a $385.2 million in General Fund savings in 2012-13 
          and $47.5 million in General Fund savings 2013-14.  Current law 
          permanently directs truck weight fee revenue to the General Fund 
          for eligible debt service in a given fiscal year.  However, since 
          annual truck weight fee revenue currently exceeds eligible debt 
          service, excess truck weight fee revenue has been transferred to 
          the General Fund in 2010-11 and 2011-12 as a pre-funding of 
          out-year bond debt.  Both types of transfers to the General Fund - 
          either for current-year or for out-year General Obligation bond 
          debt - provide a General Fund budget benefit in the year the 
          transfer is made.  This provision provides the authority in 
          2012-13 and ongoing to pre-fund out-year debt, to realize 
          additional savings.

        3)Facilitate a $432.2 million loan to the General Fund from the 








                                                                AB 1465
                                                                Page  2
          Motor Vehicle Account, resulting in a budget solution of that 
          amount.  The language specifies that the loan be repaid by June 
          30, 2016.

        4)Allow Caltrans to post advertising for projects on the 
          department's Web site in lieu of trade publications and 
          newspapers.

        5)Add an appropriation allowing this bill to take effect immediately 
          upon enactment.

         AS PASSED BY THE ASSEMBLY  , this bill expressed the intent of the 
        Legislature to enact statutory changes relating to the Budget Act of 
        2012. 

         FISCAL EFFECT  :  The provisions of this bill result in $997.4 million 
        in General Fund solutions assumed in the 2012-13 budget package.

         COMMENTS  :  This budget trailer bill contains transportation 
        statutory changes necessary to implement the 2012-13 budget package.

         Analysis Prepared by  :    Christian Griffith / BUDGET/ (916) 
        319-2099FN: 0004087