BILL NUMBER: SB 872 INTRODUCED
BILL TEXT
INTRODUCED BY Senator Ackerman
FEBRUARY 23, 2007
An act to add Chapter 16 (commencing with Section 2600) to
Division 3 of the Streets and Highways Code, relating to
transportation.
LEGISLATIVE COUNSEL'S DIGEST
SB 872, as introduced, Ackerman. State-Local Partnership Program.
Existing law provides various sources of funding for
transportation capital projects. Proposition 1B, approved by the
voters at the November 7, 2006, statewide general election, enacts
the Highway Safety, Traffic Reduction, Air quality, and Port Security
Bond Act of 2006, which authorizes the issuance of $19.925 billion
of general obligation bonds for various transportation purposes,
including $1 billion for the State-Local Partnership Program Account,
to be allocated by the California Transportation Commission over a
5-year period to eligible transportation projects nominated by
transportation agencies, subject to appropriation by the Legislature.
This bill would create the State-Local Partnership Program and
state the intent of the Legislature to appropriate $200,000,000 per
year for 5 years beginning in the 2010-11 fiscal year. The bill would
provide for allocation of state funds to eligible highway and mass
transit guideway projects nominated by local agencies that are to be
funded with at least 50% of local funds derived from a locally
imposed transportation sales tax. The bill would specify the process
for applying for, receiving, and expending these funds. The bill
would state the intent of the Legislature in that regard.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Chapter 16 (commencing with Section 2600) is added to
Division 3 of the Streets and Highways Code, to read:
CHAPTER 16. STATE-LOCAL PARTNERSHIP PROGRAM
2600. (a) It is the intent of the Legislature to initiate a
state-local partnership program for financing transportation
improvement projects, as a successor to the former program created
through enactment of Chapter 105 of the Statutes of 1989. Locally
funded and constructed highway and exclusive mass transit guideway
projects will provide economic and transportation benefits for the
state and, therefore, it is appropriate to provide state matching
funds for these projects.
(b) The state-local partnership program is hereby created to carry
out the intent of subdivision (a). The Legislature intends to
appropriate two hundred million dollars ($200,000,000) per year
beginning with the 2010-11 fiscal year to implement this program.
2601. For the purposes of this chapter, the following terms have
the following meanings:
(a) "Applicant" means a city, county, or any local entity that is
authorized to impose taxes or fees and that has responsibility for
constructing highways or guideways.
(b) "Commission" means the California Transportation Commission.
(c) "Eligible project" means a local road, state highway, or
exclusive public mass transit guideway improvement project that meets
all of the following conditions:
(1) Upon completion of the project, it would constitute a usable
segment that would increase the capacity of the highway or guideway
or would extend service to new areas.
(2) The applicant has committed, or is capable of committing, to
pay the local share from local funds to complete the project.
(3) The project is sponsored or cosponsored by the appropriate
transportation planning agency, county transportation commission or
authority, or congestion management agency.
(4) The project is not receiving any other state funds.
(5) The project has a minimum cost of twenty-five million dollars
($25,000,000).
(6) The applicant has completed, or is capable of completing, all
project development work so that the contracts for the project can be
awarded no later than June 30 of the fiscal year following the year
in which the funds are appropriated.
(7) Improvements to state highways are consistent with state and
federal standards, are designed to minimize long-term maintenance
costs, and are approved by the department.
(d) "Local funds" means revenues from any locally imposed sales
tax for transportation.
(e) "Local share" means the total cost of completing the project
less any state matching funds applied for through this program and
any federal funds. The local share of the project shall constitute at
least 50 percent of the total project cost.
(f) "State share" means the amount of state funds applied for,
which in no case may exceed the local share. The state share shall
not be subject to Section 188 or 188.8.
2062. The state-local partnership program shall be implemented
under the following procedures:
(a) Applicants shall submit eligible projects for the five-year
period 2010-11 to 2015-16, inclusive, to the department no later than
September 30, 2009.
(b) The department shall review the applications for consistency
with the requirements of this chapter and shall compile a list of all
eligible projects no later than January 31, 2010.
(c) The commission shall approve the list of projects no later
than April 1, 2010.
(d) The Legislature intends to appropriate a maximum of two
hundred million dollars ($200,000,000) in each fiscal year for five
years beginning with the 2010-11 fiscal year.
(e) The applicant shall let construction contracts no later than
June 30 of the fiscal year following the year in which the funds are
appropriated. If the applicant fails to meet contracting or funding
obligations pursuant to this chapter, the funds shall revert to the
commission for reallocation.
(f) The funds appropriated shall be expended no later than June
30, 2018.
2063. The approved state-local partnership program may be amended
pursuant to this section if an applicant is unable to meet its
funding or contract award obligations in the time required, pursuant
to the following procedures:
(a) Applicants shall submit eligible projects by September 30 of
the fiscal year following the fiscal year the funds are returned.
(b) The department shall review the applications for consistency
with the requirements of this chapter and shall compile a list of all
eligible projects no later than November 30.
(c) The commission shall approve the list of projects no later
than January 31.