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AB-2712 Bonds: Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century.(2017-2018)

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Date Published: 03/12/2018 09:00 PM
AB2712:v98#DOCUMENT

Amended  IN  Assembly  March 12, 2018

CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Assembly Bill
No. 2712


Introduced by Assembly Member Travis Allen

February 15, 2018


An act to add Section 2704.096 to the Streets and Highways Code, relating to transportation, bond proceeds, and declaring the urgency thereof, to take effect immediately.


LEGISLATIVE COUNSEL'S DIGEST


AB 2712, as amended, Travis Allen. Bonds: Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century.
(1) Existing law, the Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century, approved by the voters as Proposition 1A at the November 4, 2008, general election, provides for the issuance of general obligation bonds in the amount of $9 billion for high-speed rail purposes and $950 million for other related rail purposes. Article XVI of the California Constitution requires measures authorizing general obligation bonds to specify the single object or work to be funded by the bonds and further requires a bond act to be approved by a 2/3 vote of each house of the Legislature and a majority of the voters.
This bill would provide that no further bonds shall be sold for high-speed rail purposes pursuant to the Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century, except as specifically provided with respect to an existing appropriation for high-speed rail purposes for early improvement projects in the Phase 1 blended system. The bill, subject to the above exception, would require redirection of the unspent proceeds received from outstanding bonds issued and sold for other high-speed rail purposes prior to the effective date of these provisions, upon appropriation, for use in retiring the debt incurred from the issuance and sale of those outstanding bonds. The bill, subject to the above exception, would also require the net proceeds of other bonds subsequently issued and sold under the high-speed rail portion of the bond act to be made available, upon appropriation, to fund the construction and maintenance of roads, including the expansion of road capacity. distribution as refunds to California taxpayers in the manner prescribed at the time the appropriation is made. The bill would make no changes to the authorization under the bond act for the issuance of $950 million in bonds for rail purposes other than high-speed rail. These provisions would become effective only upon approval by the voters at the next statewide election.
(2) This bill would declare that it is to take effect immediately as an urgency statute.
Vote: 2/3   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 2704.096 is added to the Streets and Highways Code, to read:

2704.096.
 (a) (1) Notwithstanding any other provision of this chapter, and except as provided in paragraph (2), no further bonds shall be issued and sold for purposes of Section 2704.06 on and after the effective date of this section.
(2) This section shall not apply to bonds issued and sold for purposes of Section 2704.06 with respect to the appropriation in Item 2665-104-6043 of Section 2.00 of the Budget Act of 2012, as added by Section 3 of Chapter 152 of the Statutes of 2012.
(b) Notwithstanding any other provision of this chapter, and except as otherwise provided in paragraph (2) of subdivision (a), the unspent proceeds received from outstanding bonds issued and sold pursuant to Section 2704.06 prior to the effective date of this section shall, upon appropriation by the Legislature, be redirected from high-speed rail purposes for use in retiring the debt incurred from the issuance and sale of those outstanding bonds. distribution as refunds to California taxpayers in the manner prescribed at the time the appropriation is made.

(c)Notwithstanding any other provision of this chapter, the remaining unissued bonds, as of the effective date of this section, that were previously authorized pursuant to Section 2704.06, except as otherwise provided in paragraph (2) of subdivision (a), are hereby authorized to be issued and sold, with the net proceeds, upon appropriation by the Legislature, to be made available to fund the construction and maintenance of roads, including the expansion of road capacity.

SEC. 2.

 Section 1 of this act would modify the single object or work of a general obligation bond act previously submitted to the voters by the Legislature pursuant to Section 1 of Article XVI of the California Constitution, and subsequently approved by the voters as Proposition 1A at the November 4, 2008, statewide general election. Accordingly, Section 1 of this act shall become effective only upon approval by the voters. The Secretary of State shall submit Section 1 of this act to the voters on the ballot of the next statewide election.

SEC. 3.

 This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the California Constitution and shall go into immediate effect. The facts constituting the necessity are:
In order to provide additional funding for the construction and maintenance of roads as quickly as possible, enable the Legislature to more quickly distribute certain moneys as refunds to California taxpayers, it is necessary for this act to take effect immediately.