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SB-1390 Montclair to Ontario Airport Construction Authority.(2019-2020)

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Date Published: 02/21/2020 09:00 PM
SB1390:v99#DOCUMENT


CALIFORNIA LEGISLATURE— 2019–2020 REGULAR SESSION

Senate Bill
No. 1390


Introduced by Senator Portantino

February 21, 2020


An act to add Chapter 6.5 (commencing with Section 132500) to Division 12.7 of the Public Utilities Code, relating to transportation.


LEGISLATIVE COUNSEL'S DIGEST


SB 1390, as introduced, Portantino. Montclair to Ontario Airport Construction Authority.
Existing law creates the Metro Gold Line Foothill Extension Construction Authority for the purpose of awarding and overseeing all design and construction contracts for completion of the Los Angeles-Pasadena Foothill Extension Gold Line light rail project extending from Union Station in the City of Los Angeles to Sierra Madre Villa Boulevard in the City of Pasadena and any mass transit guideway that may be planned east of Sierra Madre Villa Boulevard along the rail right-of-way extending to the City of Montclair.
This bill would create the Montclair to Ontario Airport Construction Authority for purposes of awarding and overseeing all design and construction contracts for completion of an extension of the Metro Gold Line light rail project from the City of Montclair to the Ontario International Airport. The bill would prescribe the powers and duties of the construction authority.
The bill would require the construction authority to be governed by a board consisting of 7 voting members and one nonvoting member. The city councils of the Cities of Montclair, Ontario, Rancho Cucamonga, and Upland would each appoint one member to the governing board and the Los Angeles County Metropolitan Transportation Authority (LACMTA), Ontario International Airport Authority (OIAA), and San Bernardino County Transportation Authority (SBCTA) would each appoint one member. The nonvoting member would be appointed by the Governor.
The bill would require the construction authority and SBCTA to enter into an agreement for the construction authority to hold in trust all real property interests held by SBCTA that are necessary for the planning, design, and construction of the project at no cost to the construction authority.
The bill would require SBCTA to transfer the unencumbered balance of all local funds programmed for completion of the project, the unencumbered balance of all funds identified by a local transaction and use tax measure, and an unspecified source of funding to the construction authority for completion of the project. The bill would authorize the construction authority to receive allocations of state and federal funds for the project, and would require the unencumbered balance of funds programmed or allocated by SBCTA for completion of the project and that have been identified in unspecified documents to be allocated to the construction authority for completion of the project.
The bill would require the construction authority to enter into a memorandum of understanding with LACMTA that specifically authorizes LACMTA to review any significant changes in the scope of the design or construction, or both design and construction, of the project, as specified. The bill would require the construction authority to coordinate its work in the City of Montclair with the Metro Gold Line Foothill Extension Construction Authority, as specified, and would require the construction authority to coordinate its work in the City of Ontario with the OIAA.
The bill would prohibit the construction authority from encumbering the project with any obligation that is transferable to LACMTA or SBCTA upon completion of the design and construction of the project without the consent of those entities, except the bill would require LACMTA to assume responsibility for operating all completed phases of the project and would require SBCTA to reimburse LACMTA for the costs of operating the project. The bill would require the construction authority to be dissolved upon completion of the project.
This bill would create a state-mandated local program by imposing these duties on local government entities.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: YES  

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


SECTION 1.

 Chapter 6.5 (commencing with Section 132500) is added to Division 12.7 of the Public Utilities Code, to read:
CHAPTER  6.5. Montclair to Ontario Airport Construction Authority

132500.
 For purposes of this chapter, the following definitions apply:
(a) “Authority” means the Montclair to Ontario Airport Construction Authority created by this chapter.
(b) “Board” means the governing board of the authority.
(c) “Extension cities” means the Cities of Montclair, Ontario, Rancho Cucamonga, and Upland.
(d) “Foothill Gold Line Construction Authority” means the Metro Gold Line Foothill Extension Construction Authority created pursuant to Section 132405.
(e) “LACMTA” means the Los Angeles County Metropolitan Transportation Authority.
(f) “OIAA” means the Ontario International Airport Authority.
(g) “Project” means the extension of the Metro Gold Line light rail project from the City of Montclair to the Ontario International Airport.
(h) “SBCTA” means the San Bernardino County Transportation Authority.

132505.
 The authority is hereby created for purposes of awarding and overseeing all design and construction contracts for completion of the project.

132510.
 (a) The authority has all of the powers necessary for planning, acquiring, leasing, developing, jointly developing, owning, controlling, using, jointly using, disposing of, designing, procuring, and building the project, including, but not limited to, all of the following:
(1) Acceptance of grants, fees, allocations, and transfers of funds from federal, state, and local agencies, as well as private entities.
(2) Acquiring, through purchase or through eminent domain proceedings, any property necessary for, incidental to, or convenient for, the exercise of the powers of the authority.
(3) Incurring indebtedness, secured by pledges of revenue available for project completion.
(4) Contracting with public and private entities for services related to the planning, design, and construction of the project. These contracts may be assigned separately or may be combined to include any or all tasks necessary for completion of the project.
(5) Entering into cooperative or joint development agreements with local governments or private entities. These agreements may be entered into for any project-related purpose, including, but not limited to, the purpose of sharing costs, selling or leasing land, air, or development rights, the transferring of passengers, making pooling arrangements, or for any other purpose that is necessary for, incidental to, or convenient for the full exercise of the powers granted the authority. For purposes of this paragraph, “joint development” includes, but is not limited to, an agreement with any person, firm, corporation, association, or organization for the operation of facilities or development of projects adjacent to, or physically or functionally related to, the project.
(6) Relocation of utilities, as necessary for completion of the project.
(b) The duties of the authority include, but are not limited to, all of the following:
(1) Conducting the financial studies and the planning and engineering necessary for completion of the project.
(2) Adoption of an administrative code, not later than 60 days after establishment of the authority, for administration of the authority in accordance with any applicable laws, including, but not limited to, the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5 of the Government Code), this chapter, laws generally applicable to local agency procurements and contracts, laws relating to contracting goals for minority and women business participation, and the Political Reform Act of 1974 (Title 9 (commencing with Section 81000) of the Government Code).
(c) Board members and alternate members shall not be considered financially interested for purposes of Section 1090 of the Government Code solely by virtue of their holding office with the authority and, concurrently, holding office with an entity set forth in subdivision (a) of Section 132515, an extension city, or both that entity and city, and they may participate in decisions and agreements regarding the authority, any of the entities set forth in subdivision (a) of Section 132515, and any of the extension cities. The participation described in this clause shall not constitute a conflict of interest for purposes of Section 1090 of the Government Code, or an incompatible employment, activity, or enterprise for purposes of Section 1126 of the Government Code.

132515.
 (a) The authority shall be governed by a board consisting of seven voting members and one nonvoting member who shall be appointed as follows:
(1) Four members shall be appointed by the city councils of the Cities of Montclair, Ontario, Rancho Cucamonga, and Upland, with each city council appointing one member by a majority vote of the membership of that city council.
(2) One member shall be appointed by the OIAA.
(3) One member shall be appointed by SBCTA.
(4) One member shall be appointed by LACMTA.
(5) One nonvoting member shall be appointed by the Governor.
(b) All members shall serve a term of not more than four years, with no limit on the number of terms that may be served by any person.
(c) Each appointing authority shall also appoint an alternate member to serve in a member’s absence. If the position of a voting member becomes vacant, the alternate member shall serve until the position is filled as required pursuant to subdivision (a).
(d) Four members of the board shall constitute a quorum.
(e) The board shall elect a chairperson and vice chairperson from among the membership of the board.
(f) Each member of the board may be compensated at a rate of not more than one hundred fifty dollars ($150) per day spent attending to the business of the authority. Compensation, if paid, shall not exceed six hundred dollars ($600) per month, plus expenses directly related to the performance of duties imposed by the authority, including, but not limited to, travel and personal expenses.
(g) Members appointed to the board may include members of the entities set forth in subdivision (a), and members of the city councils or other elected officials of the extension cities, or both. The simultaneous membership described in this subdivision shall not constitute a violation of Section 1099 of the Government Code.

132520.
 (a) The board may appoint an executive director to serve at the pleasure of the authority.
(b) The executive director is exempt from all civil service provisions and shall be paid a salary established by the board.
(c) The executive director may appoint staff or retain consultants as necessary to carry out the duties of the authority.
(d) All contracts approved and awarded by the executive director shall be awarded in accordance with state laws generally applicable to local agency procurements and contracts, subject to the provisions of this chapter. Awards shall be based on price or competitive negotiation, or on both of those things.

132525.
 The authority and SBCTA shall expeditiously enter into an agreement for the authority to hold in trust all real property interests held by SBCTA that are necessary for the planning, design, and construction of the project at no cost to the authority.

132530.
 (a) The SBCTA shall transfer the unencumbered balance of all local funds programmed for completion of the project, the unencumbered balance of all funds that have been identified by Measure I, and ____ to the authority for completion of the project.
(b) The authority is eligible to receive allocations of state and federal funds for the project. The unencumbered balance of funds currently programmed or allocated by SBCTA for completion of the project and that have been identified in ____ and ____ shall be allocated to the authority for completion of the project.
(c) For purposes of this section, “Measure I” means Ordinance No. 04-01 adopted by the San Bernardino County Transportation Authority and approved by the voters of the County of San Bernardino at the November 2, 2004, statewide general election that authorizes the imposition of a transactions and use tax to fund transportation project improvements and programs.

132535.
 (a) The authority shall design the project in accordance with LACMTA design criteria and standards.
(b) The authority shall enter into a memorandum of understanding with LACMTA that shall specifically authorize LACMTA to review any significant changes in the scope of the design or construction, or both design and construction, of the project. For purposes of this subdivision, the term “significant change” means any change of mode or technology, or any other substantive change that affects the connectivity and operation of the project as part of the overall transit system operated by LACMTA, or any combination of those things. Design and construction of a light rail project that is consistent with the current scope of the project shall not be deemed to be a significant change in the scope of the project and shall not require concurrence by LACMTA.
(c) The authority shall coordinate its work in the City of Montclair with the Foothill Gold Line Construction Authority and shall not modify any portion of the Metro Gold Line light rail project that has been or is being designed or constructed, or both, by the Foothill Gold Line Construction Authority without the approval of the Foothill Gold Line Construction Authority, unless the Foothill Gold Line Construction Authority no longer exists.
(d) The authority shall coordinate its work in the City of Ontario with the OIAA.

132540.
 The authority shall not encumber any future farebox revenue anticipated from the operation of the project.

132545.
 Except as provided in this chapter, the authority shall not encumber the project with any obligation that is transferable to LACMTA or SBCTA upon completion of the design and construction of the project without the consent of LACMTA or SBCTA, respectively. The design and construction to be administered by the authority does not include rolling stock, which is a component of the operation of the project and shall be administered by LACMTA. This section does not apply to any joint development agreements, as authorized by paragraph (5) of subdivision (a) of Section 132510, that may be used to contribute to the financing of project design and construction.

132550.
 (a) LACMTA shall assume responsibility for operating all completed phases of the project. SBCTA shall reimburse LACMTA for the costs of operating the project.
(b) The authority shall be dissolved when project construction has been completed.

SEC. 2.

 If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.