Bill Text: CA AB2222 | 2015-2016 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Transit Pass Program: free or reduced-fare transit passes.

Spectrum: Partisan Bill (Democrat 3-0)

Status: (Failed) 2016-11-30 - From Senate committee without further action. [AB2222 Detail]

Download: California-2015-AB2222-Amended.html
BILL NUMBER: AB 2222	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 6, 2016

INTRODUCED BY   Assembly Member Holden

                        FEBRUARY 18, 2016

   An act to amend Section 39719 of the Health and Safety 
Code    Code,   and to add Part 4 (commencing with
Section 75240) to Division 44 of the Public Resources Code, relating
to greenhouse gases, and making an appropriation therefor.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2222, as amended, Holden.  Transit passes. 
 Greenhouse Gas Reduction Fund: Transit Pass Program. 
   Existing law requires all moneys, except for fines and penalties,
collected by the State Air Resources Board from the auction or sale
of allowances as part of a market-based compliance mechanism relative
to reduction of greenhouse gas emissions to be deposited in the
Greenhouse Gas Reduction Fund. Existing law continuously appropriates
10% of the annual proceeds of the fund to the Transit and Intercity
Rail Capital Program and 5% of the annual proceeds of the fund to the
Low Carbon Transit Operations Program.
   This bill would continuously appropriate $50,000,000 annually from
the Greenhouse Gas Reduction Fund for the Transit Pass Program, to
be administered by the Department of Transportation. The bill would
 provide for moneys made available for the program to
  require that funding  be allocated by the
Controller, as  directed   specified, upon a
determination  by the department,  to support 
 that  transit pass programs of public agencies 
that   to  provide free or reduced-fare transit
passes to public school students and community college, California
State University, and University of California  students.
  meet certain requirements.  The bill would
require the Department of Transportation, in coordination with the
State Air Resources Board, to develop guidelines that describe 
the criteria that eligible transit providers shall use to make
available free or reduced-fare transit passes to eligible
participants and  the methodologies that  recipient
public agencies   eligible participants  would use
to demonstrate that the proposed expenditures will reduce greenhouse
gas emissions. The bill would require  that  at least
 50 percent  30%  of the moneys allocated
under the Transit Pass Program  to  benefit
disadvantaged communities, as specified.  The bill would require
eligible transit providers and eligible participants to enter into
agreements for the distribution of free or reduced-fare transit
passes to students   . 
   This bill would require that the guidelines ensure that funds from
the program are used to expand eligibility or further reduce the
cost of a transit pass under existing programs. The bill would
require the department to develop performance measures and reporting
requirements to evaluate the effectiveness of the program, including
an annual update of the number of free or reduced-fare transit passes
distributed to students and whether the program is increasing
transit ridership among students. The bill would set a minimum
allocation of $20,000 for each eligible transit provider and would
provide for the distribution and allocation of remaining Transit Pass
Program funds by formula to eligible transit providers.  
   The bill would require, for purposes of determining an eligible
transit provider's eligibility for funds distributed to a
transportation planning agency from the Public Transportation
Account, that free or discounted transit fare passes be calculated at
their full retail value. The bill would authorize the use of funds
from the Affordable Housing and Sustainable Communities Program, the
Low Carbon Transit Operations Program, and other low carbon
transportation programs to augment a free or reduced-fare transit
pass program, as specified. By continuously appropriating moneys from
the Greenhouse Gas Reduction Fund for the Transit Pass Program, the
bill would make an appropriation. 
   Vote: majority. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  The Legislature finds and declares all of the
following: 
   (a) California landmark laws and regulations for reducing
greenhouse gases address one of the most important issues of our
time, and dramatically increasing the use of public transportation is
a vital component in reducing greenhouse gas emissions by 80 percent
by the year 2050.  
   (a) 
    (b)  Student transit pass programs have been shown to
increase overall transit ridership and fill empty seats on trains and
buses, resulting in reduced costs per rider and improved service
because of higher demand. 
   (b) 
    (c)  Targeting student transit passes to middle school,
high school, college, and university students can promote the
development of lifelong transit riders and further bolster the
capacity and reliability of our transit systems. 
   (c) 
    (d)  Student transit pass programs in this state and
across the country have resulted in significant increases in transit
ridership and have made it easier and cheaper for students to get to
schools and to jobs. 
   (d) 
    (e)  Student transit pass programs can help the state
reduce greenhouse gas emissions, vehicle miles traveled, petroleum
use, and air pollution, and improve overall community health.

   (e) 
    (f)  Student transit passes lower pollution around
elementary schools, thereby improving student health. 
   (f) 
    (g)  Schools are often the major generators of traffic
in cities, and student transit pass programs can help reduce the
traffic and parking problems in neighborhoods around schools.

   (g) 
    (h)  Student transit pass programs can reduce the need
for colleges to use campus land for expensive parking structures when
this land and money could be better used for educational purposes.

   (h) 
    (i)  Student transit pass programs have decreased the
need to drive to and from school, along with the costs associated
with driving to and from school, thereby reducing the overall cost of
school attendance and reducing parental burdens for working
families. 
   (i) 
    (j)  A University of California, Los Angeles, study of
35 college and university student transit pass programs across the
United States in 2001 showed ridership increases of 71 to 200 percent
after the implementation of these programs.
  SEC. 2.  Section 39719 of the Health and Safety Code is amended to
read:
   39719.  (a) The Legislature shall appropriate the annual proceeds
of the fund for the purpose of reducing greenhouse gas emissions in
this state in accordance with the requirements of Section 39712.
   (b) To carry out a portion of the requirements of subdivision (a),
annual proceeds are continuously appropriated for the following:
   (1) Beginning in the 2015-16 fiscal year, and notwithstanding
Section 13340 of the Government Code, 35 percent of annual proceeds
are continuously appropriated, without regard to fiscal years, for
transit, affordable housing, and sustainable communities programs as
 following:   follows: 
   (A) Ten percent of the annual proceeds of the fund is hereby
continuously appropriated to the Transportation Agency for the
Transit and Intercity Rail Capital Program created by Part 2
(commencing with Section 75220) of Division 44 of the Public
Resources Code.
   (B) Five percent of the annual proceeds of the fund is hereby
continuously appropriated to the Low Carbon Transit Operations
Program created by Part 3 (commencing with Section 75230) of Division
44 of the Public Resources Code. Funds shall be allocated by the
Controller, according to requirements of the program, and pursuant to
the distribution formula in subdivision (b) or (c) of Section 99312
of, and Sections 99313 and 99314 of, the Public Utilities Code.
   (C) Twenty percent of the annual proceeds of the fund is hereby
continuously appropriated to the Strategic Growth Council for the
Affordable Housing and Sustainable Communities Program created by
Part 1 (commencing with Section 75200) of Division 44 of the Public
Resources Code. Of the amount appropriated in this subparagraph, no
less than 10 percent of the annual proceeds, shall be expended for
affordable housing, consistent with the provisions of that program.
   (2) Beginning in the 2015-16 fiscal year, notwithstanding Section
13340 of the Government Code, 25 percent of the annual proceeds of
the fund is hereby continuously appropriated to the High-Speed Rail
Authority for the following components of the initial operating
segment and Phase I Blended System as described in the 2012 business
plan adopted pursuant to Section 185033 of the Public Utilities Code:

   (A) Acquisition and construction costs of the project.
   (B) Environmental review and design costs of the project.
   (C) Other capital costs of the project.
   (D) Repayment of any loans made to the authority to fund the
project.
   (3)  (A)    Beginning in the 2016-17 fiscal
year, fifty million dollars ($50,000,000) annually from the proceeds
of the fund is hereby continuously appropriated to the Transit Pass
Program created pursuant to Part 4 (commencing with Section 75240) of
Division 44 of the Public Resources Code. 
   (B) Funds shall be allocated to eligible transit providers in
accordance with the requirements of the Transit Pass Program and the
allocation method described in Section 75245 of the Public Resources
Code. 
   (c) In determining the amount of annual proceeds of the fund for
purposes of the calculation in subdivision (b), the funds subject to
Section 39719.1 shall not be included.
  SEC. 3.  Part 4 (commencing with Section 75240) is added to
Division 44 of the Public Resources Code, to read:

      PART 4.  Transit Pass Program


   75240.  The Transit Pass Program is hereby created, to be
administered by the Department of Transportation. Moneys made
available for the program shall be allocated by the Controller, as
 directed by the department,   provided in
Section 75242,  to support transit pass programs that provide
free or reduced-fare transit passes to public school students and
community college, California State University, and University of
California students.
   75241.   An eligible applicant under the program shall be
  As used in this part, the following terms are defined
as follows:  
   (a) "Department" means the Department of Transportation. 
    (b)     "Eligible participant" means 
a public agency, including, but not limited to, a transit operator,
school district, community college district, the California State
University,  or  the University of  California, or a
city or county.   California.  
   (c) "Eligible transit provider" means a transportation agency,
transportation planning agency, or county transportation commission
that is eligible to receive funds from a state transit assistance
fund pursuant to the distribution formula in subdivision (b) or (c)
of Section 99312 of, and Sections 99313 and 99314 of, the Public
Utilities Code.  
   (d) "Program" means the Transit Pass Program established pursuant
to this part.  
   75242.  The Department of Transportation, in coordination with the
State Air Resources Board, shall develop guidelines that describe
the methodologies that recipient public agencies shall use to
demonstrate that the proposed expenditures will reduce greenhouse gas
emissions. Chapter 3.5 (commencing with Section 11340) of Part 1 of
Division 3 of the Government Code does not apply to the development
of guidelines for the program pursuant to this part.  
   75242.  (a) Funding for the program is continuously appropriated
pursuant to Section 39719 of the Health and Safety Code from the
Greenhouse Gas Reduction Fund established pursuant to Section 16428.8
of the Government Code.
   (b) Moneys shall be allocated by the Controller consistent with
the requirements of this part and with Section 39712 of the Health
and Safety Code, upon a determination by the department that the
expenditures proposed by an eligible transit provider meet the
requirements of this part and the guidelines developed pursuant to
subdivision (d), and the amount of funding requested that is
currently available.
   (c) (1) Moneys allocated for the program shall be expended to
provide low- or no-cost public transit passes to students through
programs that support new or existing transit pass programs.
   (2) An eligible transit provider may consider granting priority to
an application from an eligible participant with an existing,
successful transit pass program, provided that the eligible
participant can demonstrate that the additional funds will further
reduce the cost of the transit pass or expand program eligibility.
   (d) The department, in coordination with the State Air Resources
Board, shall develop guidelines that describe the criteria that
eligible transit providers shall use to make available free or
reduced-fare transit passes to eligible participants and the
methodologies that eligible participants shall use to demonstrate
that the proposed expenditures will reduce greenhouse gas emissions.
The Administrative Procedure Act (Chapter 3.5 (commencing with
Section 11340) of Part 1 of Division 3 of Title 2 of the Government
Code) shall not apply to the development of guidelines for the
program pursuant to this part.
   (1) The guidelines shall ensure that funds from the program are
used to expand eligibility or further reduce the cost of a transit
pass under existing programs.
   (2) The department shall develop performance measures and
reporting requirements to evaluate the effectiveness of the program,
including an annual update of the number of free or reduced-fare
transit passes distributed to students and whether the program is
increasing transit ridership among students.
   (e) Eligible transit providers and eligible participants shall
enter into agreements pursuant to the guidelines developed pursuant
to subdivision (d) to ensure that free or reduced-fare transit passes
are distributed to students. 
   75243.   (a)    At least  50 
 33  percent of the moneys allocated pursuant to 
this part   the program  shall benefit
disadvantaged communities consistent with the guidance provided by
the State Air Resources Board pursuant to Section 39715 of the Health
and Safety Code. 
   (b) Moneys from the Affordable Housing and Sustainable Communities
Program, the Low Carbon Transit Operations Program, and other low
carbon transportation programs may be used to augment a free or
reduced-fare transit pass program and remain subject to the
requirements to benefit disadvantaged communities consistent with the
guidance provided by the State Air Resources Board pursuant to
Section 39715 of the Health and Safety Code.  
   75244.  For the purposes of determining an eligible transit
provider's eligibility for funds distributed to a transportation
planning agency pursuant to the distribution formula in subdivisions
(b) and (c) of Section 99312 of, and Sections 99313 and 99314 of, the
Public Utilities Code, free or reduced-fare transit passes made
available pursuant to the program shall be calculated at their full
retail value.  
   75245.  (a) Each eligible transit provider shall receive twenty
thousand dollars ($20,000) from the program.
   (b) After the initial twenty-thousand-dollar ($20,000) amount is
allocated, the remaining program funds shall be allocated to eligible
transit providers pursuant to the distribution formula in
subdivisions (b) and (c) of Section 99312 of, and Sections 99313 and
99314 of, the Public Utilities Code.
   (c) Any funds allocated during a fiscal year not distributed
pursuant to subdivisions (a) or (b) shall be added to the allocation
for the following fiscal year to be distributed pursuant to this
section.                        
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