BILL ANALYSIS                                                                                                                                                                                                    �






                  SENATE COMMITTEE ON BUDGET AND FISCAL REVIEW
                                Mark Leno, Chair
                                        
          Bill No:       AB 1458
          Author:        Committee on Budget
          As Amended:    June 12, 2014
          Consultant:    Farra Bracht
          Fiscal:        Yes
          Hearing Date:  June 15, 2014
          
          Subject:  Budget Act of 2014: Transportation.  

          Summary:  Provides for statutory changes necessary to enact  
          the transportation provisions of the Budget Act of 2014.

          Background:  As part of the 2014-15 budget package, AB 1458  
          makes statutory changes to implement the budget act.
               
          Proposed Law:  

          This bill makes all of the following statutory changes:

             1.   Funding for the California Aid to Airports Program  
               (CAAP). Authorizes the Department of Transportation to  
               transfer funds from the Local Airport Loan Account  
               (LALA) to the Aeronautics Account to fund the CAAP if  
               funds in the LALA exceed projected needs and the  
               transfers do not reduce the fund balance below $5  
               million. The LALA provides discretionary state loans  
               to eligible airports. The CAAP provides grants to fund  
               operational safety and airport improvement projects  
               within California's air transportation system of 245  
               public-use airports and leverages about $275 million  
               in federal funds annually. This proposal would retain  
               a healthy fund balance so that loans could still be  
               provided to airports and, at the same time, increase  
               the funding available for projects at public-use  
               airports.  
          
             2.   Right-of-Way Costs for Transportation Projects.  
               Closes a loophole in the state transportation  
               improvement program (STIP) process that programs and  
               allocates funds for transportation capital projects  
               over a multi-year period. This change would help to  
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               better ensure that project costs shown in the STIP  
               better reflect actual right-of-way purchase costs and  
               thereby improve the process for allocating  
               transportation funds. 

             3.   Date of Program Adoption for the Active  
               Transportation Program (ATP). Changes the date of  
               adoption for the 2015 program of projects for the ATP  
               from April 1, 2015 to December 31, 2015, so that the  
               adoption of the initial program of projects does not  
               overlap with the call for projects for the second  
               round of funding.  This is a one-time change. Beyond  
               this date, programs of projects would be adopted by  
               April 1 of each odd-numbered year, or alternatively,  
               on an annual basis. The ATP is intended to encourage  
               use of active modes of transportation such as biking  
               and walking. 

             4.   AB 60 (Alejo), Chapter 524, Statutes of 2013,  
               Affidavit-Related Language. Allows an applicant to use  
               the Department of Motor Vehicle's driver's license  
               application to declare that he or she has never been  
               issued a social security number or is not presently  
               eligible for one. Existing law requires an applicant  
               to submit an affidavit attesting that he or she is  
               both ineligible for a social security account number  
               and unable to submit proof of authorized presence in  
               the United States.  

             5.   Study of Advertising on Electronic Changeable  
               Message Signs. Requires the Department of  
               Transportation to report by January 10, 2015 to the  
               budget and appropriate policy committees of both  
               houses of the Legislature, on the subject of  
               advertising on electronic changeable message signs on  
               the state highway system. The report will assess the  
               feasibility of a pilot project and include estimates  
               of revenue. 

             6.   Fresno County Proposition 42 Maintenance of Effort  
               Extension (MOE). Extends until June 30, 2020, Fresno  
               County's requirement that it meet its MOE currently  
               owed to its local Transportation Investment Fund for  
               the 2009-10 fiscal year. The extension of the MOE is  
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               conditioned on the County of Fresno continuing to  
               provide medical services to the indigent and  
               undocumented persons consistent with the eligibility  
               and benefit provisions that were in effect in the  
               2013-14 fiscal year.  

             7.   Cap on Clean Air Vehicle Program. Increases the cap  
               on the "green sticker" Clean Air Vehicle program from  
               40,000 to 55,000. This program allows certain  
               low-emission and energy-efficient vehicles with a  
               single occupant to use high-occupancy vehicle lanes. 

             8.   Study of Funding for the Off-Highway-Vehicle (OHV)  
               Trust Fund. Requires the Department of Transportation  
               in cooperation with the Department of Parks and  
               Recreation and the Department of Motor Vehicles to  
               conduct an updated study of OHV utilization to  
               determine the appropriate transfer of gas taxes to the  
               OHV trust fund. The study is due to the Legislature by  
               January 1, 2016. 

          Fiscal Effect: The funding related to the changes in this  
          bill is contained in the 2014-15 budget.

          Support:   NA

          Opposed:  NA

          Comments:  This bill provides the necessary statutory  
          references to enact the 2014-15 budget related to  
          transportation. 

          
          









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