BILL ANALYSIS                                                                                                                                                                                                    �






           SENATE TRANSPORTATION & HOUSING COMMITTEE       BILL NO: Sb 486
          SENATOR MARK DESAULNIER, CHAIRMAN              AUTHOR:  desaulnier
                                                         VERSION: 8/20/14
          Analysis by:  Eric Thronson                    FISCAL:  yes
          Hearing date:  August 27, 2014



          SUBJECT:

          State transportation planning

          DESCRIPTION:

          This bill modifies the state's transportation planning process  
          to align it better with the regional transportation planning  
          process and to add increased opportunity for public input in the  
          state's transportation plans.

          ANALYSIS:

          The California Transportation Commission (CTC) is responsible  
          for advising and assisting the administration and the  
          Legislature in formulating and evaluating state policies and  
          plans for California's transportation programs.  A large part of  
          this responsibility currently includes approving various  
          programs of transportation projects funded by state and federal  
          funds and proposed by both the state and regional transportation  
          planning entities.

          Existing law requires regional transportation planning agencies  
          to develop transportation priorities through an inclusive,  
          exhaustive transportation planning process that orchestrates a  
          longer term vision, represented by the Regional Transportation  
          Plan (RTP).  Then the regional entities conduct further public  
          input processes to determine a short-term list of specific  
          projects based on the region's reasonably expected revenues.   
          This project list, the Regional Transportation Improvement  
          Program (RTIP), sets forth the highest priority projects  
          intended to implement the region's long-term vision.  

          Existing law requires the California Department of  
          Transportation (Caltrans) to develop a five-year Interregional  
          Transportation Improvement Plan (ITIP) consisting of projects  
          improving interregional movement of people, vehicles, and goods.  
           Existing law does not outline a public input process for  




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          Caltrans as it develops the ITIP.

          Every two years Caltrans submits the ITIP, and the regional  
          transportation entities submit their RTIPs, to CTC for inclusion  
          in the State Transportation Improvement Plan (STIP).  The STIP  
          is a five-year program of future state transportation funding  
          allocations for state highway improvements, intercity rail, and  
          regional highway and transit improvements.  Existing law  
          allocates 75% of STIP funds to counties by formula for projects  
          in the RTIP, while the ITIP receives 25% of these funds.  Before  
          adopting the STIP, the CTC must hold two public hearings to  
          reconcile any objections by any region to the ITIP and any  
          objections by Caltrans to any RTIP.  

          In addition, every two years Caltrans prepares and submits to  
          the CTC a State Highway Operation and Protection Program  
          (SHOPP).  The SHOPP is the state's program for repairing and  
          reconstructing the state highway system.  Projects generally  
          include pavement and bridge rehabilitation, major  
          reconstruction, and safety improvements.  Currently, Caltrans  
          spends about $2.3 billion annually from state fuel excise taxes  
          and federal funds for the SHOPP, making it the state's largest  
          transportation program.

          Existing law requires Caltrans to develop a California  
          Transportation Plan by December 31, 2015, and every five years  
          thereafter.  The California Transportation Plan must include the  
          following:

                 A policy element that describes the state's  
               transportation policies and system performance objectives  
               consistent with stated legislative intent

                 A strategies element that incorporates the broad system  
               concepts and strategies synthesized from adopted RTPs

                 Recommendations to the Legislature and the governor to  
               achieve the plan's broad system concepts, strategies, and  
               performance objectives

           This bill  modifies the state's transportation planning process  
          to align it better with the regional transportation planning  
          process and to add increased opportunity for public input in the  
          state's transportation plans.  Specifically, this bill:

                 Requires Caltrans to submit to the CTC for approval an  




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               Interregional Transportation Strategic Plan (ITSP),  
               consistent with the California Transportation Plan, to  
               provide concise policy guidance for managing the state's  
               interregional transportation system.

                 Limits the ITIP to include only projects consistent with  
               the ITSP.

                 Requires the CTC to hold public hearings on the draft  
               ITIP, and Caltrans to consider the public input in  
               developing its final ITIP, before the CTC adopts the final  
               plan and includes it in the STIP.

                 Defines an Asset Management Plan as a document assessing  
               the health and condition of the state highway system  
               through which Caltrans may determine the most effective way  
               to apply the state's limited resources.

                 Requires Caltrans to develop an Asset Management Plan to  
               guide selection of projects included in the SHOPP.  

                 Requires the CTC to adopt targets and performance  
               measures for the Asset Management Plan that reflect state  
               transportation goals and objectives, and then to review and  
               approve the Asset Management Plan developed by Caltrans.

                 Provides that the CTC may adopt the SHOPP only if it  
               finds the program to be sufficiently consistent with the  
               Asset Management Plan and other legislatively determined  
               funding priorities.
                 Requires Caltrans to report quarterly to CTC on the  
               capital and support expenditures for all recently completed  
               major SHOPP projects, as well as develop a plain-language  
               performance report to increase transparency and  
               accountability of the SHOPP.
          
                 Allows the CTC to establish guidelines for the  
               preparation of subsequent California Transportation Plans  
               following the first plan due in 2015.

          COMMENTS:

           1.Purpose  .  The genesis of this bill is, at least in part, a  
            recently released report issued by the State Smart  
            Transportation Initiative (SSTI).  The California  
            Transportation Agency commissioned SSTI to assess Caltrans'  




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            performance and to make recommendations for improvement.  

            In its report, SSTI concludes that Caltrans is significantly  
            out of step with best practices in the transportation field  
            and with many of the state's policy expectations.  SSTI cites  
            numerous areas in which Caltrans' performance is inconsistent  
            and sometimes directly at odds with the state's overarching  
            policies.  

            SSTI asserts that California would be better served by a state  
            transportation department that is better aligned with  
            California's overarching policy goals, particularly those  
            related to sustainability.  The author introduced this bill to  
            do just that: better align Caltrans' planning processes with  
            state priorities to ensure the state's transportation  
            investments reflect these priorities.  

            Specifically, this bill aims to use CTC meetings as a way to  
            facilitate public input to influence Caltrans' development of  
            the ITIP and SHOPP, as well as create the opportunity for CTC  
            and the public to influence the long-range planning documents  
            from which Caltrans selects projects.  In this way, the  
            state's transportation planning processes tends to model the  
            regional transportation planning process and creates more  
            transparency and accountability.

           2.Concurrence hearing  .  This bill is back in the Senate on  
            concurrence and has been referred to this committee pursuant  
            to Senate Rule 29.10 because Assembly amendments deleted all  
            contents of the bill as passed by the Senate.  At the 29.10  
            hearing, the committee may not amend the bill further and may  
            only hold the bill or return the bill to the Senate floor.
          
          Assembly Votes:

               Floor:    79-0
               Appr: 12-0
               Trans:    14-0

          POSITIONS:  (Communicated to the committee before noon on  
          Monday,August 26, 2014.)

               SUPPORT:  California Association of Councils of Governments
                         Self-Help Counties Coalition

               OPPOSED:  None received.




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