BILL ANALYSIS �
AJR 53
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Date of Hearing: August 18, 2014
ASSEMBLY COMMITTEE ON TRANSPORTATION
Bonnie Lowenthal, Chair
AJR 53 (Rendon) - As Introduced: August 11, 2014
SUBJECT : National Freight Network Trust Fund Act of 2014
SUMMARY : Urges Congress to pass and the President of the United
States to sign the National Freight Network Trust Fund Act of
2014 which would provide a dedicated federal funding source for
freight-related transportation projects. Specifically, this
bill :
1)Makes a number of findings and declarations regarding the
amount of cargo that moves through California, the importance
goods movement plays as an economic generator, impacts of
freight movement, and the need for a dedicated funding source
for freight-related infrastructure projects.
2)Memorializes Congress and the President of the United States
to enact HR 5101, the National Freight Network Trust Fund Act
of 2014, to improve performance of the national freight
network.
3)Resolves that the Chief Clerk of the Assembly transmit copies
of this resolution to the President and Vice President of the
United States and various members of Congress.
FISCAL EFFECT : Unknown
COMMENTS : A large segment of California's economy and millions
of jobs throughout the state and the nation depend on freight
transportation. In July 2012 the President signed a two-year
federal transportation reauthorization bill, Moving Ahead for
Progress in the 21st Century (MAP-21), that recognized the
importance of a strong freight network to ensure competitiveness
in the global economy. MAP-21 contained a number of
freight-related provisions including establishing a national
freight policy, plan, and network. MAP-21 also encouraged
states to form freight advisory committees to assist in the
development of state freight plans and indicated that states
with completed freight plans would be better positioned to
compete for federal transportation dollars. MAP-21 also
convened a national freight advisory committee to advise the
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development of a national freight strategic plan.
In response to MAP-21's call for development of a state freight
plan, the Legislature passed AB 14 (Lowenthal, Chapter 223
Statutes of 2013) which required the California State
Transportation Agency (CalSTA) to convene a California Freight
Advisory Committee (CFAC) as a stakeholder group to inform the
development of the California Freight Mobility Plan (CFMP). The
CFMP, which is set to be released in December 2014, will outline
the vision and goals for California's freight transportation
system and develop a policy framework for achieving those goals.
In addition to the development of CFMP, the California Air
Resources Board (ARB), in January 2014, directed staff to engage
interested stakeholders to provide input on the development of a
sustainable freight strategy. The strategy is expected to also
be released in December 2014. The purpose of the strategy is to
identify and prioritize actions that will move California
towards a sustainable freight transport system that is
characterized by zero or near-zero emissions. According to ARB,
the strategy will also recognize other freight system priorities
including: keeping California's ports and logistics industry
competitive; creating jobs in California and training local
workers; creating system reliability, improving velocity and
capacity; integrating with the national and international
freight transportation system; transitioning to cleaner,
renewable transportation energy sources; and creating a system
that supports healthy, livable communities.
Unfortunately, the current transportation funding shortfall
makes it doubtful that that state and/or federal freight
planning initiatives will move forward in the near future. This
is particularly true since the stopgap measures that were
recently passed (Transportation Funding Act of 2014) simply
extended MAP-21 provisions through May 2015 and kept the Highway
Trust Fund solvent for a few years and do not provide additional
funding for freight.
To address this issue and provide funds to address critical
goods movement needs, Representative Janice Hahn introduced HR
5101, the National Freight Network Trust Fund Act of 2014, to
create a dedicated funding source for freight transportation
projects. Specifically,
HR 5101 would direct 5% of all import duties already collected
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by Customs and Border Protection at ports of entry and direct
them to freight transportation. The monies would be used
specifically on roadways on the National Network and on roads
and rail that connect to the National Network to ports of entry.
HR 5101 would generate an estimated $1.9 billion annually.
REGISTERED SUPPORT / OPPOSITION :
Support
None on file
Opposition
None on file
Analysis Prepared by : Victoria Alvarez / TRANS. / (916) 319-
2093