BILL ANALYSIS                                                                                                                                                                                                    �



                                                                      



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          |SENATE RULES COMMITTEE            |                  SB 1117|
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                              UNFINISHED BUSINESS


          Bill No:  SB 1117
          Author:   DeSaulnier (D)
          Amended:  8/20/12
          Vote:     21

           
           SENATE TRANSPORTATION & HOUSING COMMITTEE  :  9-0, 4/24/12
          AYES:  DeSaulnier, Gaines, Harman, Kehoe, Lowenthal, 
            Pavley, Rubio, Simitian, Wyland

           SENATE APPROPRIATIONS COMMITTEE  :  5-2, 5/24/12
          AYES:  Kehoe, Alquist, Lieu, Price, Steinberg
          NOES:  Walters, Dutton

           SENATE FLOOR  :  32-3, 5/30/12
          AYES:  Alquist, Blakeslee, Calderon, Cannella, Corbett, 
            Correa, De Le�n, DeSaulnier, Emmerson, Evans, Fuller, 
            Gaines, Hancock, Hernandez, Huff, Kehoe, Leno, Lieu, Liu, 
            Lowenthal, Negrete McLeod, Padilla, Pavley, Price, Rubio, 
            Simitian, Steinberg, Vargas, Wolk, Wright, Wyland, Yee
          NOES:  Anderson, Dutton, Walters
          NO VOTE RECORDED:  Berryhill, Harman, La Malfa, Runner, 
            Strickland

           ASSEMBLY FLOOR  :  53-25, 8/23/12 - See last page for vote


          SUBJECT  :    Rail planning

           SOURCE  :     Author


           DIGEST  :    This bill designates the Department of 
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          Transportation (Caltrans) as the state rail transportation 
          authority to prepare, maintain, coordinate, and administer 
          the State Rail Plan, modifies the requirements of the State 
          Rail Plan, and requires the California Transportation 
          Commission (CTC) to include in its guidelines for regional 
          transportation plans policy direction regarding the 
          integration of all passenger rail services into a 
          coordinated system with emphasis on intermodal facilities 
          and cost-effective rail services, as specified.

           Assembly Amendments  (1) delete the requirement for the CTC 
          to prepare a statewide passenger rail transportation plan 
          for conventional and high-speed intercity passenger rail, 
          commuter rail, and urban rail transit; (2) designate the 
          Caltrans as the state rail transportation authority to 
          prepare, maintain, coordinate, and administer the State 
          Rail Plan; (3) modify the requirements of the State Rail 
          Plan; and (4) require the CTC to include in its guidelines 
          for regional transportation plans policy direction 
          regarding the integration of all passenger rail services 
          into a coordinated system with emphasis on intermodal 
          facilities and cost-effective rail services, as specified.

           ANALYSIS  :    Since 1995, the Caltrans has prepared a 
          10-year intercity rail transportation plan, which it 
          updates biennially.  Caltrans submits the plan to the CTC 
          for its "advice and consent" and then forwards it the 
          Governor, Legislature, and the Public Utilities Commission 
          (PUC). 

          Existing law is very prescriptive as to the contents of the 
          state's intercity passenger rail plan.  It especially 
          emphasizes planning for services that have sound operating 
          economics.  In addition, the plan includes forecasted 
          capital needs and an assessment of funding for both 
          investments and operations.  Caltrans include a summary of 
          the state's commuter rail agencies plans in the state plan. 
           Caltrans is currently updating the plan consistent with 
          federal requirements that each state prepare a state 
          intercity passenger rail plan.  This is the first passenger 
          rail plan required by the federal government. 

          Existing state and federal law requires local commuter and 
          rail transit agencies to prepare rail transit development 

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          plans in coordination with the preparation of the regional 
          transportation plans to ensure the proposed investments are 
          consistent with the forecasted available funding for 
          investing in a region's multimodal regional transportation 
          system.   

          Finally, capital investments in the intercity passenger 
          rail plan and in regional and urban rail transit programs 
          are included in the State Transportation Improvement 
          Program, the state's five-year transportation capital 
          outlay program, which the CTC updates and adopts every two 
          years. 

          SB 375 (Steinberg), Chapter 728, Statutes of 2008, required 
          regional transportation plans to include a Sustainable 
          Communities Strategy designed to achieve the targets for 
          greenhouse gas emission reduction.  This requirement 
          essentially links transportation and land use planning. 

          This bill:

          1. Makes legislative findings and declarations regarding 
             the new planning requirements of the federal Passenger 
             Rail Investment and Improvement Act of 2008 (PRIIA) and 
             the need to build on these new requirements to improve 
             the state's rail planning activities. 

          2. Identifies the Caltrans as the designee to prepare, 
             maintain, coordinate, and administer the federal state 
             rail plan required under PRIIA and to consist of a 
             passenger rail element and a freight rail element. 

          3. Restructures the State Rail Plan, as follows: 

             A.    Requires the State Rail Plan to comply with 
                federal requirements under PRIIA; 

             B.    Adds required elements of the State Rail Plan to 
                include: 

                 (1)        Plans for a comprehensive and integrated 
                     statewide passenger rail system, including 
                     high-speed rail, conventional intercity and 
                     commuter rail, and connections to urban rail 

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                     systems; 

                 (2)        A review of all high-speed rail routes, 
                     the freight rail system, conventional intercity 
                     and commuter rail systems, and urban system 
                     connections to other passenger rail systems, 
                     including a statement of the state's passenger 
                     rail objectives for routes in the state; 

                 (3)        Identification of improvements that have 
                     the potential to benefit both rail freight and 
                     passenger rail services in the state; and, 

                 (4)        An inventory of the existing rail 
                     transportation system, services, and facilities 
                     in the state, and an analysis of the role of 
                     rail within the state's overall transportation 
                     system. 

             C.    Maintains the requirement to include a freight 
                rail element, with specific components, in the State 
                Rail Plan; 

             D.    Deletes specific, detailed requirements of the 
                existing State Rail Plan, including: 

                 (1)        Actual, estimated, and proposed 
                     encumbrances for capital and operating subsidies 
                     and for state operations; 

                 (2)        Identification of high-priority capital 
                     improvement projects; 

                 (3)        Performance evaluation of all services in 
                     operations; 

                 (4)        Recommended levels of service for the 
                     next 10 years; 

                 (5)        Evaluations of regional planning agency 
                     reports of commuter services; 

                 (6)        Maps of existing routes; 


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                 (7)        Expenditure data and strategies related 
                     to Caltrans' marketing activities; 

                 (8)        The specific requirement that the report 
                     be prepared in consultation with Amtrak and the 
                     PUC; 

                 (9)        Discussions of fare policies; and, 

                 (10)       The freight element, including issues 
                     related to environmental aspects, financing, 
                     intermodal connections, current system 
                     deficiencies, new technology, and light density 
                     rail. 

             E.    Modifies required due dates and sets forth a 
                review and submittal process to require Caltrans to: 

                 (1)        Submit the draft State Rail Plan to the 
                     High-Speed Rail Authority (HSRA) and the CTC by 
                     December 1, 2015; 

                 (2)        Prior to submitting the draft plan, 
                     requires Caltrans to hold two public workshops 
                     on the draft plan; 

                 (3)        Submit the final plan to the Business, 
                     Transportation and Housing Agency by March 1, 
                     2016, for approval pursuant to federal 
                     requirements; and, 

                 (4)        Submit the final, approved plan to the 
                     Legislature, the Governor, the PUC, HSRA, and 
                     the CTC. 

          4. Requires the State Rail Plan to be updated every five 
             years, at a minimum. 

          5. Directs the CTC to include in its Regional 
             Transportation Plan (RTP) guidelines: 

             A.    Direction regarding the integration of all 
                passenger rail service into a coordinated system, 
                with emphasis on intermodal facilities connecting 

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                various passenger rail systems with each other as 
                well as with the overall transportation system; and, 

             B.    The provision of cost-effective passenger rail 
                services that contribute to climate stabilization, 
                job access, environmental enhancements, and improved 
                mobility. 

          6. Directs the HSRA to plan for implementation of blended 
             systems, consistent with Proposition 1A (2008), the 
             policy objectives set forth in the State Rail Plan, the 
             HSRA's business plan, and any written, third-party 
             agreements with operators in the corridor; requires the 
             following prescribed elements to be included in the HSRA 
             implementation plan: 

             A.    Identification of investments in passenger rail 
                projects in the San Francisco Transbay 
                Terminal-to-Los Angeles Union Station-to-Anaheim 
                (Phase 1) high-speed rail corridor that benefits 
                conventional intercity and commuter rail services and 
                are compatible with being upgraded to high-speed rail 
                in the future; and, 

             B.    Investments in operable segments in the Phase 1 
                corridor that generate sufficient passenger revenue 
                to be attractive to private investors. 

          7. In developing the blended systems, requires HSRA to 
             consult with Caltrans, regional transportation planning 
             agencies, agencies administering or operating commuter 
             rail, freight railroads operating in conventional 
             intercity and commuter rail corridors and in the Phase 1 
             high-speed rail corridors, and firms that have expertise 
             in commercial high-speed intercity rail operations; also 
             requires that HSRA ensure the blended system is 
             consistent with written, third-party agreements with 
             other operators in the corridor. 

          8. Requires the HSRA to submit its draft blended program to 
             the CTC, Caltrans and the Legislature by December 31, 
             2013, and to subsequently incorporate it into its 
             business plan.


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           Comments
           
           Purpose of this bill  .  Because California may be embarking 
          upon a major rail transportation program by investing in 
          high-speed rail, the author believes that it is important 
          to have an overall policy framework for rail development.  
          Such a plan will ensure that the public is obtaining the 
          greatest return on its investments in the four modes of 
          rail transit.  In addition, the enactment of SB 375 
          established a policy framework that integrates land use and 
          transportation development.  This bill ensures there is a 
          statewide framework for rail development consistent with SB 
          375.

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

          According to the Senate Appropriations Committee:

             Potentially significant costs to Caltrans, likely in 
             the range of $500,000 (State Highway Account) in 2012-13 
             and 2013-14, to assist the CTC in preparing draft 
             policies and a draft plan with requirements and elements 
             that exceed current ongoing efforts related to the 
             preparation of an intercity rail transportation plan. 

             One-time costs to the CTC, likely in the range of 
             $100,000 (State Highway Account) in 2012-13, to develop 
             and adopt policies and guidelines for each of the four 
             rail modes.  Additional CTC costs, likely in the range 
             of $50,000 to $100,000 (State Highway Account) in 2014, 
             to coordinate with stakeholders, review and compile 
             elements of the plan, hold public workshops, and adopt 
             the final plan.

             Absorbable costs to the HSRA to plan for the 
             implementation of an incremental high-speed rail 
             development program (High-Speed Passenger Train Bond 
             Fund).  The enumerated activities are consistent with 
             current efforts related to the biennial business plan.


           ASSEMBLY FLOOR  :  53-25, 8/23/12
          AYES:  Achadjian, Alejo, Allen, Ammiano, Atkins, Beall, 

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            Block, Blumenfield, Bonilla, Bradford, Brownley, 
            Buchanan, Butler, Charles Calderon, Campos, Carter, 
            Cedillo, Chesbro, Davis, Dickinson, Eng, Feuer, Fletcher, 
            Fong, Fuentes, Furutani, Galgiani, Gatto, Gordon, Hall, 
            Hayashi, Hill, Huber, Hueso, Huffman, Lara, Bonnie 
            Lowenthal, Ma, Mendoza, Mitchell, Monning, Pan, Perea, V. 
            Manuel P�rez, Portantino, Skinner, Solorio, Swanson, 
            Torres, Wieckowski, Williams, Yamada, John A. P�rez
          NOES:  Bill Berryhill, Conway, Cook, Donnelly, Beth Gaines, 
            Garrick, Grove, Hagman, Halderman, Harkey, Jeffries, 
            Jones, Knight, Logue, Mansoor, Miller, Morrell, Nestande, 
            Nielsen, Norby, Olsen, Silva, Smyth, Valadao, Wagner
          NO VOTE RECORDED:  Gorell, Roger Hern�ndez


          JJA:k  8/25/12   Senate Floor Analyses 

                       SUPPORT/OPPOSITION:  NONE RECEIVED

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