BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 2574
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          Date of Hearing:   April 28, 2014

                        ASSEMBLY COMMITTEE ON TRANSPORTATION
                               Bonnie Lowenthal, Chair
                  AB 2574 (Rodriguez) - As Amended:  March 17, 2014
           
          SUBJECT  :  Metro Gold Line Foothill Extension Construction  
          Authority

           SUMMARY  :  Authorizes the extension of the Gold Line light rail  
          line from the City of Montclair in San Bernardino County to the  
          City of Ontario in San Bernardino County. Specifically,  this  
          bill  :  

          1)Redefines the Gold Line light rail project to include an  
            extension to the City of Ontario.  

          2)Redefines the extension cities for the Gold Line to include  
            the cities of Upland and Ontario.  

          3)Authorizes the Los Angeles Metropolitan Transportation  
            Authority (Metro) to operate the project to the LA/Ontario  
            International Airport.  

           EXISTING LAW  : 

          1)Creates the Metro Gold Line Foothill Extension Authority  
            (Authority) for the purpose of awarding and overseeing all  
            design and construction contracts for completion of the Gold  
            Line light rail project and grants the Authority all the  
            powers necessary for planning, acquiring, developing, owning,  
            using, designing, procuring, and building the project.  

          2)Defines the Gold Line project as the Los Angeles-Pasadena  
            Foothill Extension Gold Line light rail project, formerly  
            known as the Los Angeles-Pasadena Metro Blue Line, extending  
            from Union Station in the City of Los Angeles to Sierra Madre  
            Villa Boulevard in the City of Pasadena and any mass transit  
            guideway that may be planned east of Sierra Madre Villa  
            Boulevard along the rail right-of-way extending to the City of  
            Montclair.  

          3)Defines the extensions cities as the cities of Arcadia,  
            Monrovia, Duarte, Irwindale, Azusa, Glendora, San Dimas, La  
            Verne, Pomona, Claremont, and Montclair.  








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          4)Prescribes the roles, responsibilities, and membership of the  
            Authority and requires the Authority to adhere to applicable  
            laws, specifically including those related to open meetings,  
            contracts and procurement, and conflict of interest.  

          5)Requires the Authority to be governed by a board consisting of  
            five voting members and four nonvoting members appointed as  
            follows:

             a)   Three voting members appointed by the city councils of  
               the cities of Los Angeles, Pasadena, and South Pasadena,  
               with each city council appointing one member by a majority  
               vote of the membership of that city council;

             b)   One voting member to be appointed by the president of  
               the governing board of the San Gabriel Valley Council of  
               Governments, subject to confirmation by that board;

             c)   One voting member to be appointed by Metro;

             d)   One nonvoting member to be appointed by the Governor;

             e)   Two nonvoting members to be appointed by the city  
               councils of the Cities of Pasadena and South Pasadena, with  
               each city appointing one nonvoting member; and,

             f)   One nonvoting member to be appointed by the president of  
               the board of directors of the San Bernardino Associated  
               Governments (SANBAG), subject to confirmation by that  
               board.  

          6)Requires Metro to assume responsibility for operating all  
            completed phases of the project.  

          7)Gives Metro the authority to operate the portion of the  
            project located in the County of San Bernardino, extending  
            approximately one-half mile from the Los Angeles and San  
            Bernardino County line to the Montclair Transit Center.  

          8)Specifies that with respect to the portion of the project on  
            the right-of-way owned by SANBAG, Metro's authority to operate  
            the project shall be contingent upon the approval of SANBAG's  
            board, acting as the county transportation commission, through  
            approval of an operations and maintenance agreement with  








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            Metro.  

          9)Requires the operations and maintenance agreement to provide  
            that SANBAG reimburse Metro for the costs of operating that  
            portion of the line located in the County of San Bernardino.  

          10)  Requires the Authority to enter into a construction  
            agreement with SANBAG, acting as the county transportation  
            commission, prior to the commencement of construction of the  
            portion of the project in the County of San Bernardino.  

          11)  Specifies that Metro is not required to allocate funds to  
            the project beyond funds that were allocated as of January 1,  
            2012.  

          12)  Requires that the Authority be dissolved when project  
            construction has been completed.  

           FISCAL EFFECT  :  Unknown

           COMMENTS  :  The Authority (formerly known as the Pasadena Metro  
          Blue Line Construction Authority) was created by statute in 1998  
          to oversee the planning, design, and construction of a light  
          rail line from east Pasadena to Claremont. Currently, the  
          Authority has sufficient resources to build the line as far as  
          Azusa. Metro operates the light rail service and maintains the  
          line to east Pasadena.  

          In 2012, the Authority, working with Metro, proposed an  
          extension of the Gold Line from its current terminus in Pasadena  
          to Montclair, about a half mile into San Bernardino County.  The  
          Authority felt that Montclair, with its TransCenter regional  
          transit hub, was a logical terminus for the next phase of the  
          light-rail service. The extension required a statutory change  
          because the law at the time only authorized the line to go as  
          far as Claremont, west of Montclair in Los Angeles County.  

          The Authority sponsored, and the Legislature passed, AB 1600  
          (Torres), Chapter 189, Statutes of 2012 to authorize the  
          Montclair extension.  Additionally, because Metro's jurisdiction  
          stops at the Los Angeles County line, the bill gave Metro the  
          authority to operate the extension into Montclair. The bill  
          additionally added a nonvoting member to the Authority board  
          representing SANBAG, required SANBAG's approval for Metro to  
          operate the line within San Bernardino County (which is proposed  








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          to be built on right-of-way owned by SANBAG), and required  
          SANBAG to reimburse Metro for the costs of operating the portion  
          of the line within San Bernardino County. AB 1600 had no  
          opposition because the Authority, SANBAG, and Metro worked  
          together to craft the language in the bill.  

          This bill would extend the Gold Line to Ontario to connect with  
          the LA/Ontario International Airport, and eight-mile extension  
          beyond the Montclair TransCenter. Unlike with the half-mile  
          portion within San Bernardino County to Montclair, the current  
          language in the bill does not give SANBAG any approval over  
          Metro's authority to operate the project within the county,  
          although SANBAG would still be required to reimburse Metro for  
          all operational costs.  

          The author introduced this bill to grant the Authority the legal  
          authority to initiate feasibility and planning studies for what  
          it believes should be the final extension of the Gold Line  
          system.  The Authority is statutorily restricted to work related  
          to the project as defined, which under current law ends at  
          Montclair.  

           Arguments in support  :  Writing in support, the Gold Line Phase  
          II Joint Powers Authority states that this bill will "allow the  
          Construction Authority to continue planning the final extension  
          of the light rail line from the Montclair TransCenter to the  
          LA/Ontario Airport.  The member cities of the JPA strongly  
          support extending the line to the airport, and believe that the  
          planning work should continue moving forward, knowing that we  
          are many years from being ready for construction.  Without  
          planning the project now, there is little change for it to  
          succeed later. To that end, the Construction Authority's Board  
          of Directors has already agreed to fund the initial stages of  
          planning with its own money."  

           Arguments in opposition  :  Writing in opposition, SANBAG states  
          that it is "deeply concerned that this bill is premature as  
          results from the present Ontario Airport Access study are not  
          anticipated until later in 2014.  This study is analyzing more  
          than 30 alternatives for connections to the LA/Ontario  
          International Airport and an extension of the Gold Line is but  
          one of these options.  Additionally, as funding for the  
          presently authorized extension to Montclair is not secured, and  
          appears to be dependent on a future, unscheduled local  
          transportation sales tax measure in L.A. County, the need for  








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          authority to extend the Gold Line to Ontario International  
          Airport is premature and should be sought later when all  
          jurisdictions have a better understanding of funding  
          opportunities and the need for the extension is better  
          understood."  

           Committee concerns  :  When AB 1600 came through the Legislature,  
          it had no opposition.  The Authority, Metro, and SANBAG worked  
          together to craft language that worked to protect the interests  
          of the three entities.  AB 2574 is different.  SANBAG opposes  
          this bill and neither SANBAG nor Metro had a role in crafting  
          the language prior to the bill being introduced.  AB 1600  
          centered around a half-mile extension into San Bernardino  
          County, while AB 2574 is about a far more substantial  
          distance-eight miles.  The author and sponsor thought that  
          applying the terms of the agreement negotiated for Montclair to  
          the Ontario extension would be sufficient, but it is not  
          unreasonable to expect that the terms negotiated for a half-mile  
          stretch on right-of-way already owned by SANBAG might not be the  
          same terms SANBAG and Metro would negotiate for a much longer  
          extension of the line.  

          The five voting member's on the Authority's board are all  
          appointed by government entities in Los Angeles County.  While  
          SANBAG has a seat at the table via its nonvoting member, it has  
          no vote on a proposed project that would extend a significant  
          distance into its jurisdiction and that it would be required to  
          pay to operate.  

          For an extension of the Gold Line to Ontario Airport to have any  
          hope of becoming a reality, the Authority, SANBAG, and Metro  
          will have to work collaboratively for years to come.  Given the  
          level of acrimony over this bill, things are not off to an  
          auspicious start.  Under the terms set forth in this bill, the  
          project is doomed to fail.  

           Previous legislation  :  AB 1600 (Torres), Chapter 189, Statutes  
          of 2012, authorized the extension of the Gold Line to the City  
          of Montclair.  

          AB 706 (Torres) Chapter 533, Statutes of 2011, reconstituted the  
          Pasadena Metro Blue Line Construction Authority as the Metro  
          Gold Line Foothill Extension Construction Authority and  
          specifically exempted city elected officials and the governing  
          board members of the Authority from incompatible office  








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          provisions of existing law.  

          SB 1847 (Schiff) Chapter 1021, Statutes of 1998, established the  
          Pasadena Metro Blue Line
          Construction Authority, predecessor to the Authority, as an  
          independent transportation planning, design and construction  
          agency responsible for the design, contracting and construction  
          of the Los Angeles-to-Pasadena Metro Gold Line (formerly the  
          Pasadena Blue Line).  

           Double-referral  :  This bill was also referred to the Committee  
          on Local Government, where it is scheduled to be heard on April  
          30 should it pass out of this committee.  

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          Metro Gold Line Foothill Extension Construction Authority  
          (sponsor)
          City of Arcadia
          City of Azusa
          City of Claremont
          City of Duarte
          City of Glendora
          City of Irwindale
          City of La Verne
          City of Monrovia
          City of Pasadena
          City of Pomona
          City of San Dimas
          City of South Pasadena
          Gold Line Phase II Joint Powers Authority
          San Gabriel Valley Council of Governments

           Opposition 
           
          City of Adelanto
          City of Hesperia
          City of Rancho Cucamonga
          City of Victorville
          Inland Action
          Move I.E.
          San Bernardino Associated Governments
          Self-Help Counties Coalition








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          Analysis Prepared by  :   Anya Lawler / TRANS. / (916) 319-2093