BILL NUMBER: SB 907 AMENDED
BILL TEXT
AMENDED IN SENATE MAY 3, 2011
AMENDED IN SENATE APRIL 25, 2011
AMENDED IN SENATE APRIL 11, 2011
AMENDED IN SENATE MARCH 30, 2011
INTRODUCED BY Senator Evans
(Principal coauthor: Assembly Member V. Manuel Pérez)
FEBRUARY 18, 2011
An act to add and repeal Title 18.2 (commencing with Section
99090) of the Government Code, relating to infrastructure financing
and development.
LEGISLATIVE COUNSEL'S DIGEST
SB 907, as amended, Evans. Master Plan for Infrastructure
Financing and Development Commission.
The California Constitution regulates the issuance of debt by the
state and requires that debt in excess of $300,000 for which the
state will be generally obligated be submitted to, and approved by,
the voters.
This bill would create the Master Plan for Infrastructure
Financing and Development Commission, consisting of specified
members, and would require the commission to prepare and submit a
strategy and plan for infrastructure development in California that
meets certain criteria to the Legislature and the Governor by
December 1, 2013. This bill would provide that the commission would
dissolve 30 days after submission of its final report. This bill
would repeal these provisions upon the dissolution of the commission.
The bill would provide that these provisions become operative only
if the funds required to support the commission are appropriated and
made available in the annual Budget Act.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Title 18.2 (commencing with Section 99090) is added to
the Government Code, to read:
TITLE 18.2. Master Plan for Infrastructure Financing and
Development Commission
CHAPTER 1. GENERAL PROVISIONS
99090. The Legislature finds and declares all of the following:
(a) By 2050, an estimated 60 million people will call California
home, twice as many people who lived here in 2003, while our current
infrastructure of schools, universities, roads, housing, and water
delivery was built to serve 25 million residents.
(b) The Governor's Strategic Growth Plan estimates that the state
has approximately five hundred billion dollars ($500,000,000,000) in
infrastructure needs over the next 20 years. While the state needs
five hundred billion dollars ($500,000,000,000) of infrastructure
investment, experts conclude that public funds, including state and
local dollars, can only finance up to three hundred billion dollars
($300,000,000,000) in projects, leaving approximately two hundred
billion dollars ($200,000,000,000) in unfunded infrastructure needs.
(c) California must examine ways to close the infrastructure
financing gap through all types of innovative financing available.
(d) Our state lacks information that is both independent and
comprehensive to assist policymakers to analyze and prioritize the
myriad of California's infrastructure needs. For this reason, it is
necessary to create a strategy and plan for infrastructure
development that enables California to address social, economic, and
resource needs through 2050. This strategy must be founded on the
principle that infrastructure provides a means to achieve public,
economic, and policy objectives. As such, the strategy will assess
infrastructure needs, establish priorities to guide future decisions
that relate to infrastructure projects, and assess the viability of
various financing mechanisms to meet the state's infrastructure
development needs.
(e) It is the mission of the Master Plan for Infrastructure
Financing and Development to develop and recommend a plan and process
to identify, finance, build, and maintain infrastructure necessary
to meet the needs of Californians from the present year to the year
2050. The plan shall be submitted to the Governor and the
Legislature, and shall include, at a minimum, the type, distribution,
and priority for developing infrastructure projects, and a
measurable process to implement the plan. The plan shall also include
a process to periodically adjust the type, distribution, and
priority of infrastructure projects in coming years to meet changing
circumstances.
99091. It is the intent of the Legislature that the Master Plan
for Infrastructure Financing and Development Commission provide a
long-term plan and strategy to meet our state's infrastructure needs
and a prioritized plan that meets those needs by doing all of the
following:
(a) Project population, social, and economic trends through 2050.
(b) Utilizing the projections established pursuant to subdivision
(a), identify the type and distribution of infrastructure needed to
meet California's social, economic, and resource needs through 2050.
(c) Incorporate the findings of ongoing state infrastructure
planning and reporting requirements.
(d) Using the assessment of type, distribution, and priority of
infrastructure needed pursuant to subdivision (b), assess the state's
capital needs for infrastructure projects through 2050, including
opportunities to access private capital to augment or complement
public financing.
(e) Assess the availability of private and public funds, including
the status and fiscal value of dedicating future revenues to
specific construction and maintenance, to support jointly sponsored
projects throughout the period from the present year to 2050.
(f) Recommend a financing plan for the capital needs through the
year 2050, with a priority plan for each five-year interval,
including evaluation and recommendations of various financing methods
that are feasible and may be of benefit to state and local
government as well as private entities partnering with the state to
implement the strategy.
99092. The Master Plan for Infrastructure Financing and
Development Commission is hereby created in state government. For
purposes of this title, "commission" means the Master Plan for
Infrastructure Financing and Development Commission.
CHAPTER 2. COMMISSION STRUCTURE AND STAFF
Article 1. Commission Structure
99095. The commission shall consist of 11 members, to be selected
as follows:
(a) The Treasurer or his or her designee who has a public finance
background.
(b) Six members appointed by the Governor who have the following
qualifications:
(1) One private sector representative from organized labor.
(2) One private sector representative from a statewide
organization representing California businesses.
(3) One member representing the public.
(4) One member of the administration who is a director of a state
agency or department.
(5) One member with expertise and experience in the financing of
large public works projects.
(6) One member who is an economist with demonstrated
accomplishment in understanding and interpreting the California
economy.
(c) Two members appointed by the Speaker of the Assembly who have
the following qualifications:
(1) One member with expertise in transportation.
(2) One member with expertise in natural resources and
conservation.
(d) Two members appointed by the Senate Committee on Rules who
have the following qualifications:
(1) One member with expertise in education infrastructure
planning.
(2) One member with experience in housing, urban planning, or
financing.
99096. (a) The Governor shall appoint the chair of the commission
among those members appointed pursuant to Section 99095. The chair
of the commission shall devote his or her full-time attention to the
responsibilities of the position during the term of the commission's
existence. Salary for the chair shall be ____
comparable to the salary of a director of a state department at the
time of the chair's appointment, but shall not exceed one hundred
fifty thousand dollars ($150,000) per year .
(b) The Treasurer or his or her designee shall be the vice chair
of the commission.
(c) Appointed commission members shall serve at the pleasure of
their appointing powers.
99097. (a) The commission may adopt bylaws for the regulation of
its affairs and the conduct of its business.
(b) The commission shall meet on the call of the chairperson or at
the request of a majority of the members. A majority of all members
of the commission constitutes a quorum for the transaction of
business. All members shall have a vote.
(c) The commission is subject to the provisions of the
Bagley-Keene Open Meeting Act (Article 9 (commencing with Section
11120) of Chapter 1 of Part 1 of Division 3 of Title 2) and the
Political Reform Act of 1974 (Title 9 (commencing with Section
81000)).
(d) The commission may delegate to staff the authority to enter
into contracts for services on its behalf, including interagency
agreements, subject to relevant state law.
99098. Funding for the operating costs of the commission shall be
available upon appropriation by the Legislature.
99099. Except as otherwise provided in this title, members of the
commission shall not receive a salary, and shall be entitled to a
per diem allowance of fifty dollars ($50) for each day's attendance
at a meeting of the commission, not to exceed three hundred dollars
($300) in any month, and reimbursement for expenses incurred in the
performance of their duties under this chapter, including travel and
other necessary expenses.
Article 2. Commission Staff
99100. The chair of the commission, with the concurrence of the
commission, shall appoint an executive director, who shall be exempt
from civil service. Salary for the executive director shall be
____ set by the commission at a rate that is
comparable to the salary of a director of a state department at the
time of the executive director's appointment, but shall not exceed
one hundred fifty thousand dollars ($150,000) per year .
99101. Commission staff may be loaned from relevant agencies, and
the executive director shall examine ways to provide for loan of
staff from state and local government and private nonprofit
organizations who have relevant expertise through partnerships,
subject to approval and direction by the commission and the chair.
Article 3. Commission Duties
99110. (a) The chair of the commission shall appoint the members
on the task force committees described in Article 4 (commencing with
Section 99120), which shall be composed of both members and
nonmembers of the commission. Commission members may chair at least
one task force committee in which they have expertise.
(b) (1) The commission shall submit its final report to the
Governor and Legislature no later than December 1, 2013, and shall
dissolve 30 days after issuance of the final report. To the extent
necessary, the commission shall recommend a method to track the state'
s infrastructure progress and to reassess the master plan
periodically.
(2) A report to be submitted pursuant to paragraph (1) shall be
submitted in compliance with Section 9795.
(c) The final report shall contain a plan identifying the types,
distribution, and priority for developing infrastructure projects
needed to meet California's social, economic, and resource needs
through 2050, and a measurable process to implement the plan. The
plan shall also include a process to periodically adjust the type,
distribution, and priority of infrastructure projects in coming years
to meet changing circumstances.
(d) When developing its recommendations, the commission shall
utilize existing state and local infrastructure reports that reflect
current or future infrastructure needs, including, but not limited to
the following:
(1) The Governor's five-year infrastructure plan, as described in
Article 2 (commencing with Section 13100) of Chapter 2 of Part 3 of
Division 3 of Title 2.
(2) The State Environmental Goals and Policy Report, as described
in Article 5 (commencing with Section 65041) of Chapter 1.5 of
Division 1 of Title 7.
(3) The California Transportation Plan, as described in Chapter
2.3 (commencing with Section 65070) of Division 1 of Title 7.
(4) Sustainable communities strategies, as described in Chapter
2.5 (commencing with Section 65080) of Division 1 of Title 7.
(5) Greenhouse gas emissions reduction planning, as described in
Part 4 (commencing with Section 38560) of Division 25.5 of the Health
and Safety Code.
(6) The California Water Plan, as described in Chapter 1
(commencing with Section 10004) of Part 1.5 of Division 6 of the
Water Code.
(e) The commission shall have authority to call on experts to
assist them or the task force committees in developing the master
plan.
(f) All commission products shall incorporate opportunity for
public comment and participation.
(g) The commission shall establish a timeline for submission of
periodic reports on their findings to the Governor and Legislature
prior to issuance of the final report.
Article 4. Commission Task Force Committees
99120. (a) The commission shall establish working task force
committees that will assess, inventory, and report on the state's
long-term needs and financing alternatives. The task force committees
shall include, but not limited to, the following:
(1) Planning and financing.
(2) Transportation.
(3) Housing.
(4) Natural resources and conservation.
(5) Education.
(b) Each committee shall include the following:
(1) A chair of the task force committee, who may be a commission
member with expertise in the committee's particular study area.
(2) Appropriate experts on the committee's particular study area,
who also have background experience in the following:
(A) Public finance.
(B) Working knowledge of local government.
(C) Working knowledge of state government.
(3) Representatives from the following communities:
(A) Labor.
(B) Business.
(C) Environmental.
(D) Building industry.
(E) Consumer organization.
(F) Taxpayer organization.
(4) Additional experts, or experienced people who are
knowledgeable about the committee's particular study area, as deemed
necessary by the chair, in consultation with the commission.
99121. (a) The chair of each task force committee, with the
concurrence of the commission, shall develop a work plan, assign
responsibilities and deadlines for performance, and shall convene
meetings of the task force committees. Task force committees shall
meet as necessary to meet the goals of the work plan.
(b) Task force committee members shall establish a method for
reaching consensus on their findings and recommendations to the
commission. The chair of each task force committee shall be
responsible of presenting the committee's final recommendations to
the commission.
(c) At the direction of the chair of the commission, the task
force committees shall provide analyses and commentary to the
commission in a timely matter for all commission products.
CHAPTER 3. REPEAL
99122. This title shall remain in effect only until the
commission is dissolved pursuant to subdivision (b) of Section 99110,
and as of that date is repealed, unless a later enacted statute,
that is enacted before the commission is dissolved, deletes or
extends that date.
99123. (a) This title shall become operative only if the funds
required to support the commission are appropriated, and made
available for purposes of this title in the annual Budget Act, in
accordance with Section 12 of Article IV of the California
Constitution, or ensuing authorizing statutes.
(b) The funds shall be appropriated from the California Debt and
Investment Advisory Commission fund, established pursuant to Section
8856 of the Government Code.
(c) The Legislature declares that the use of the California Debt
and Investment Advisory Commission funds for purposes of this title
are appropriate and consistent with paragraph (4) of subdivision (h)
of Section 8855 of the Government Code.