Item Coversheet

Agenda Item 3.3.1

TAMC Logo     
TRANSPORTATION AGENCY FOR MONTEREY COUNTY
Memorandum
To: 

Board of Directors

From:

Christina Watson, Director of Planning

Meeting Date:

February 28, 2018

Subject:

State Legislative Update


RECOMMENDED ACTION:

RECEIVE state legislative update and APPROVE positions on proposed ballot measures.

SUMMARY:

The Executive Committee received a state legislative update and recommended the Board approve a "support" position on Proposition 68, the "California Drought, Water, Parks, Climate, Coastal Protection, and Outdoor Access For All Act of 2018", and Proposition 69, the "California Transportation Taxes and Fees Lockbox and Appropriations Limit Exemption Amendment", on the June 2018 ballot, and an "oppose" position on the proposed repeal of Senate Bill 1 in November 2018.

FINANCIAL IMPACT:

While an effort has not yet qualified, there is a credible threat that a measure to repeal Senate Bill (SB) 1 will appear on the November 2018 ballot. If SB 1 were repealed, it would lead to the loss in Monterey County of over $30 million per year for local road improvements, about $2.25 million in transit funding, stability in the State Transportation Improvement Program, and unknown competitive grant funds.

DISCUSSION:

Governor Brown announced his draft budget on January 10, 2018. Online as a web attachment is an analysis from Gus Khouri. Essentially, the budget relies on the transportation funding brought in by the new Senate Bill (SB) 1 (Beall), passed in April 2017.

 

SB 1, the Road Repair and Accountability Act of 2017, is a transportation investment plan to rebuild California by fixing neighborhood streets, highways and bridges and targeting funds toward transit and congested trade and commute corridor improvements. New funding from the gas tax will enable local communities to address significant maintenance, rehabilitation and safety needs on the local street and road system. In addition to $30.4 million coming directly to Monterey County for road rehabilitation projects each year, SB 1 directs approximately $2.25 million to Monterey-Salinas Transit, stabilizes the variations in the State Transportation Improvement Program, and provides funding through competitive grant programs such as the Transit and Intercity Rail Capital Program (TIRCP), for which TAMC applied for the Rail Extension to Monterey County project. An initiative is being circulated for signatures to place a measure on the November ballot to repeal SB 1 (see web attachment). The Executive Committee recommends an "oppose" position on the proposed November ballot measure to repeal this critical transportation funding source.

 

On the June 5, 2018 ballot, Proposition 69, the "California Transportation Taxes and Fees Lockbox and Appropriations Limit Exemption Amendment", was Assembly Constitutional Amendment (ACA) 5 (Frazier), which TAMC supported in 2017 (see web attachment). This measure would require that revenue from the diesel sales tax and Transportation Improvement Fee, as enacted by SB 1, be used for transportation-related purposes; and exempt revenue generated by SB 1 tax increases and fee schedules from state appropriations limits.

 

Also on the June 5 ballot, Proposition 68, the "California Drought, Water, Parks, Climate, Coastal Protection, and Outdoor Access For All Act of 2018", was SB 5 (De León), which TAMC also supported in 2017 (see web attachment). If passed, this measure would issue $4 billion in bonds for water, parks, and other projects. TAMC could be eligible for trails and wildlife crossing funds.

 

The Executive Committee recommends a "support" position on the June ballot measures.

WEB ATTACHMENTS: