Bill Text

PDF |Add To My Favorites | print page

AB-1969 Transportation funds: transportation planning agencies: transit operators: fare revenue ratios: exemptions.(2017-2018)

SHARE THIS:share this bill in Facebookshare this bill in Twitter
Date Published: 04/19/2018 04:00 AM
AB1969:v97#DOCUMENT

Amended  IN  Assembly  April 18, 2018
Amended  IN  Assembly  March 19, 2018

CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Assembly Bill No. 1969


Introduced by Assembly Member Salas

January 31, 2018


An act to amend Section 99268.2 of the Public Utilities Code, relating to transportation.


LEGISLATIVE COUNSEL'S DIGEST


AB 1969, as amended, Salas. Transportation funds: transportation planning agencies: transit operators: fare revenues. revenue ratios: exemptions.
Existing law provides various sources of funding to public transit operators. Under the Mills-Alquist-Deddeh Act, also known as the Transportation Development Act, certain revenues are available, among other things, for allocation by the transportation planning agency to transit operators, subject to certain financial requirements for an operator to meet in order to be eligible to receive the moneys. Existing law sets forth alternative ways an operator may qualify for funding, including a standard under which the allocated moneys do not exceed 50% of the operator’s total operating costs, as specified, or the maintenance by the operator of a specified ratio of fare revenues to operating costs. Existing law generally establishes the required fare revenues to operating cost ratio as 20% in urbanized areas and 10% in nonurbanized areas.

Existing law creates the California Transportation Commission, with various powers and duties relative to the programming of transportation capital projects and the allocation of funds to those projects, among other transportation responsibilities.

This bill would authorize a transportation planning agency to grant an exemption, for up to 5 years, to an operator that fails to maintain the generally established ratio described above to request an exemption from the California Transportation Commission, and would require the operator to be granted a temporary exemption while the commission reviews the request. The bill would authorize the commission to grant the operator’s request and allow the operator to instead maintain a lower ratio, which would be set by the commission. applicable fare-revenue-to-cost ratio if, based on that agency’s determination, an exemption is appropriate, as specified. The bill would require the commission agency to consider specified factors in determining whether to grant the exemption request. exemption. The bill would authorize an operator granted a temporary exemption, or an exemption from the commission, to receive be allocated the revenues it would have qualified for had it maintained the ratio described above. applicable ratio.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YESNO   Local Program: NO  

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


SECTION 1.

 Section 99268.2 of the Public Utilities Code is amended to read:

99268.2.
 (a) In the case of an operator required to be in compliance with Section 99268 under Section 99268.1, the operator may be allocated additional funds that could not be allocated to it because of those requirements, requirements if it maintains, for the fiscal year, a ratio of fare revenues to operating cost, as defined by subdivision (a) of Section 99247, at least equal to one-fifth if serving an urbanized area or one-tenth if serving a nonurbanized area, except as described in subdivision (b).
(b) (1) An A transportation planning agency may grant an exemption, for up to five years, to an operator that fails to maintain the ratio described in subdivision (a) may request an exemption from the California Transportation Commission, and shall be granted a temporary exemption while the California Transportation Commission determines whether to grant the request. if, based on the agency’s determination, an exemption is appropriate. An operator operating pursuant to either granted an exemption may be allocated the additional funds described in subdivision (a).

(2)The California Transportation Commission may grant the operator’s exemption request and, upon granting the request, may instead require the operator to maintain a lower ratio, which shall be determined by the commission.

(3)

(2) In determining whether to grant the operator’s exemption request, the California Transportation Commission operator an exemption, the transportation planning agency shall consider all of the following:
(A) The population served by the operator, including the population’s affluence and dependence on public transit.
(B) The geographic area served by the operator.
(C) The availability of local funds to meet the ratio.
(D) The price of the operator’s fares in comparison to similar operators.
(E) The population density of the operator’s service area.
(F) The effect of lost funding on the operator’s ability to meet the requirements described in subdivision (a) in the future.