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

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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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

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BILL NUMBER: AB 2222	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MAY 31, 2016
	AMENDED IN ASSEMBLY  APRIL 6, 2016

INTRODUCED BY   Assembly Member Holden
    (   Coauthor:   Assembly Member  
Gonzalez   ) 

                        FEBRUARY 18, 2016

   An act  to amend Section 39719 of the Health and Safety
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.  
gases. 


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2222, as amended, Holden. Greenhouse Gas Reduction Fund:
Transit Pass Program.
    The California Global Warming Solutions Act of 2006
designates the State Air Resources Board as the state agency charged
with monitoring and regulating sources of emissions of greenhouse
gases. The act authorizes the state board to include the use of
market-based compliance mechanisms.  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  
establish  the Transit Pass  Program,  
Program  to be administered by the Department of 
Transportation. The bill would require that funding be allocated by
the Controller, as specified, upon a determination by the department,
that transit pass programs of public agencies to provide free or
reduced-fare transit passes to public school students and community
college, California State University, and University of California
meet certain requirements.   Transportation with moneys
from the Greenhouse Gas Reduction Fund, upon appropriation, to
support transit pass programs that provide free or reduced-fare
transit passes to specified pupils and students.  The bill would
require the  Department of Transportation  
department  , in coordination with the  State Air
Resources Board,   state board,  to develop
guidelines that describe the criteria that eligible transit providers
 shall   are required to  use to make
available free or reduced-fare transit passes to eligible
participants and the methodologies that eligible participants would
use to demonstrate that the proposed expenditures will reduce
greenhouse gas emissions.  The bill would require that at
least 30% of the moneys allocated under the Transit Pass Program
benefit disadvantaged communities, as specified.   The
bill would exempt those guidelines from the Administrative Procedure
Act.  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   moneys  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 
pupils and  students and whether the program is increasing
transit ridership among  pupils and  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   moneys
 by formula to eligible transit providers.
   The bill would require, for purposes of determining an eligible
transit provider's eligibility for  funds  
moneys  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   moneys  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   no
 . 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.
   (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.
   (c) Targeting student transit passes to  low-income 
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.
   (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.
   (e) Student transit pass programs can help the state reduce
greenhouse gas emissions, vehicle miles traveled, petroleum use, and
air  pollution,   pollution  and improve
overall community health.
   (f) Student transit passes lower pollution around elementary
schools, thereby improving student health.
   (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.
   (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.
   (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.
   (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
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.   SEC. 2.   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   program, upon
appropriation by the Legislature from the Greenhouse Gas Reduction
Fund, created pursuant to Section 16428.8 of the Government Code,
 shall be allocated by the  Controller, as provided in
Section 75242,   Controller  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. 
 any of the following:  
   (a) Pupils attending public middle schools or high schools that
are eligible for funding under Title I of the federal No Child Left
Behind Act of 2001 (20 U.S.C. Sec. 6301 et seq.).  
   (b) Students attending a California community college who qualify
for a waiver of student fees pursuant to subdivision (g) of Section
76300 of the Education Code.  
   (c) A student who attends a campus of the California State
University or the University of California and who receives an award
under the Cal Grant Program established in Chapter 1.7 (commencing
with Section 69430) of Part 42 of Division 5 of Title 3 of the
Education Code, the federal Pell Grant Program established under
Title IV of the federal Higher Education Act of 1965 (20 U.S.C. Sec.
1070 et seq.), or both. 
   75241.  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.
   (c) "Eligible transit provider" means a transportation agency,
transportation planning agency, or county transportation commission
that is eligible to receive  funds   moneys
 from a state transit assistance fund pursuant to the
distribution formula in subdivision (b) or (c) of Section 99312
 of,   of  and Sections 99313 and 99314
 of,   of  the Public Utilities Code.
   (d) "Program" means the Transit Pass Program established 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) 
    75242.    (a)    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), 
 (c),  and the amount of funding requested that is currently
available. 
   (c) 
    (b)  (1) Moneys allocated for the program shall be
expended to provide low- or no-cost public transit passes to 
students   students, as specified in Section 75240,
 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
  moneys  will further reduce the cost of the
transit pass or expand program eligibility. 
   (d) 
    (c)  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  the  guidelines
for the program  established  pursuant to this part.
   (1) The guidelines shall ensure that  funds  
moneys  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) 
    (d)  Eligible transit providers and eligible
participants shall enter into agreements pursuant to the guidelines
developed pursuant to subdivision  (d)   (c)
 to ensure that free or reduced-fare transit passes are
distributed to students. 
   (e) Moneys from the Affordable Housing and Sustainable Communities
Program (Part 1 (commencing with Section 75200)), the Low Carbon
Transit Operations Program (Part 3 (commencing with Section 75230)),
and other low carbon transportation programs may be used to augment a
free or reduced-fare transit pass program. Those moneys shall 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. 

   75243.  (a) At least 33 percent of the moneys allocated pursuant
to 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   moneys 
distributed to a transportation planning agency pursuant to the
distribution formula in subdivisions (b) and (c) of Section 99312
 of,  of  and Sections 99313 and 99314
 of,   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   moneys
 shall be allocated to eligible transit providers pursuant to
the distribution formula in subdivisions (b) and (c) of Section 99312
 of,   of  and Sections 99313 and 99314
 of,   of  the Public Utilities Code.
   (c) Any  funds   moneys  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.