BILL NUMBER: AB 2703 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY APRIL 8, 2010
INTRODUCED BY Assembly Member John A. Perez
FEBRUARY 19, 2010
An act relating to transportation. An act
to add Section 8879.79 to the Government Code, relating to
transportation.
LEGISLATIVE COUNSEL'S DIGEST
AB 2703, as amended, John A. Perez. Transportation
funding. Federal transportation economic stimulus
funds: 2nd round.
Existing law establishes special procedures and formulas for
allocation and expenditure of federal transportation economic
stimulus funds awarded to the state in 2009. Under these provisions,
the Department of Transportation, with the approval of the Department
of Finance, may make a loan or loans from a specified portion of
those federal funds for the purpose of advancing projects meeting
certain criteria that otherwise would be funded from the Highway
Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of
2006, a general obligation bond measure approved by the voters in
November 2006 as Proposition 1B.
This bill would provide similar authority to advance those
projects with loans of federal funds awarded to the state in 2010
under the 2nd round of federal transportation economic stimulus
funds. In order to be eligible for an advance, a project would need
to have been programmed for Proposition 1B bond funds by an
unspecified date and be ready to be awarded within 90 days of federal
apportionment. Upon repayment of the loans, these funds would be
available for appropriation by the Legislature for the State Highway
Operation and Protection Program.
Existing law generally provides for programming and allocation of
state and federal transportation capital improvement program funds
pursuant to the state transportation improvement program process
administered by the California Transportation Commission. Under these
provisions, 25% of available funds are available for interregional
improvement projects nominated by the Department of Transportation,
subject to a requirement that 60% of these funds be available for
projects in nonurbanized areas on the interregional road system and
for intercity rail projects. The remaining 75% of available funds are
available for regional improvement projects nominated by regional
agencies. All funds programmed through the state transportation
improvement program process are subject to the north-south split, and
the regional improvement funds are further subject to the county
shares formula.
Existing law establishes special procedures and formulas for
allocation and expenditure of federal transportation economic
stimulus funds received by the state in 2009.
This bill would state the intent of the Legislature to enact
legislation to ensure that federal transportation funds received in
2010 are expeditiously awarded to maximize job retention in
California and to ensure robust oversight of those funds.
Vote: majority. Appropriation: no. Fiscal committee: no
yes . State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 8879.79 is added to the
Government Code , to read:
8879.79. (a) The department, with the approval of the Director of
Finance, may make a loan or loans from the State Highway Account of
federal funds made available to it pursuant to the second round of
federal transportation economic stimulus funds awarded to the state
in 2010, for purposes of advancing a project, or a portion of a
project, that has been programmed, on or before ____, 2010, to be
funded by Chapter 12.49 (commencing with Section 8879.20) and that is
ready to be awarded within 90 days of federal apportionment. The
board, as defined in subdivision (a) of Section 8879.22, may request
the department to make a loan or loans. The aggregate amount of the
request shall not exceed the amount of the unsold bonds that the
committee, as defined in subdivision (b) of Section 8879.22, has, by
resolution, authorized to be sold, less any amount loaned pursuant to
Section 8879.31 or 8879.77 or withdrawn pursuant to Section 8879.32.
Any amount loaned shall be deposited in the fund, as defined by
subdivision (c) of Section 8879.22, and shall be transferred to the
appropriate account for the project, or portion of a project, being
advanced. The loan or loans shall be repaid without interest to the
State Highway Account from the proceeds of bonds sold pursuant to
Chapter 12.49 (commencing with Section 8879.20). The board shall
execute any documents as required by the department to obtain and
repay the loan or loans.
(b) Upon repayment of a loan made pursuant to subdivision (a),
those funds shall be available for appropriation by the Legislature
for the State Highway Operation and Protection Program.
SECTION 1. It is the intent of the Legislature
to enact legislation to ensure that federal transportation funds
received in 2010 are expeditiously awarded to maximize job retention
in California and to ensure robust oversight of those funds.