BILL ANALYSIS                                                                                                                                                                                                    �



                                                                      



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                                 THIRD READING


          Bill No:  SB 822
          Author:   Evans (D)
          Amended:  3/24/11
          Vote:     21

           
           SENATE BUDGET & FISCAL REVIEW COMMITTEE  :  12-0, 5/12/11
          AYES:  Leno, Anderson, DeSaulnier, Evans, Fuller, Hancock, 
            La Malfa, Liu, Lowenthal, Rubio, Wolk, Wright
          NO VOTE RECORDED:  Huff, Alquist, Emmerson, Simitian


           SUBJECT  :    Infrastructure plan

           SOURCE  :     Author


           DIGEST  :    This bill requires that the Governor annually 
          submit to the Treasurer a copy of the five-year 
          infrastructure plan.

           ANALYSIS  :    As part of the annual state budget proposal, 
          the Governor must submit a five-year infrastructure plan to 
          the Legislature.  This annual, five-year plan must 
          identify:  

                 Infrastructure projects requested by state 
               agencies.
                 Transportation projects identified in the State 
               Transportation Improvement Program.
                 K-12 school infrastructure needs.
                 Higher education facility needs.  

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          The plan must estimate the costs of those infrastructure 
          projects.  The plan must also identify the criteria and 
          priorities for funding infrastructure, funding sources, the 
          effect on the state government's debt position, and 
          recommend specific projects for funding and capital outlay 
          appropriations (AB 1473 �Hertzberg], Chapter 606, Statutes 
          of 1999).  The criteria for selecting state agencies' 
          infrastructure projects must be consistent with the state 
          planning priorities adopted in 2002.  The State Department 
          of Finance issued the California Five-Year Infrastructure 
          Plan in 2002, 2003, 2006, 2007, and 2008.  The Department 
          intends to issue a new five-year plan in January 2012.

          This bill requires that the annual five-year infrastructure 
          plan, which statute requires to be submitted to the 
          Legislature, also be submitted to the Treasurer.   The 
          five-year infrastructure report is publicly available and 
          posted on the Department of Finance website at the 
          following link:  
          http://www.dof.ca.gov/capital_outlay/reports/.  Since the 
          report is already publicly available, this would merely 
          provide a formal delivery to the Treasurer.

           Comments
           
          According to the author's office, it is appropriate that 
          the infrastructure report also be delivered to the 
          Treasurer since that office manages the sale of 
          voter-approved general obligation (GO) bonds and public 
          lease-revenue bonds to fund a variety of infrastructure 
          projects throughout the state.  The author's office notes 
          that the Treasurer's office is currently sponsoring SB 907 
          (Evans), a companion bill that creates the Master Plan for 
          Infrastructure Financing and Development Commission to 
          provide the state with independent and comprehensive 
          information to assist policymakers in analyzing and 
          prioritizing California's infrastructure needs.  The 
          Commission will include the Treasurer and be charged also 
          with assessing the viability of various financing 
          mechanisms to meet the state's infrastructure development 
          needs into the long-term future.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes   
          Local:  No







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          DLW:do  5/13/11   Senate Floor Analyses 

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