AB 2222: Transit Pass Program: free or reduced-fare transit passes.
- Session Year: 2015-2016
- House: Assembly
- Latest Version Date: 2016-08-02
The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The act authorizes the state board to include the use of market-based compliance mechanisms. Existing law requires all moneys, except for fines and penalties, collected by the State Air Resources Board from a market-based compliance mechanism to be deposited in the Greenhouse Gas Reduction Fund.
Existing law establishes the California Community Colleges, under the administration of the Board of Governors of the California Community Colleges, the California State University, under the administration of the Trustees of the California State University, and the University of California, under the administration of the Regents of the University of California, as the 3 segments of public postsecondary education in this state. Each of these segments is authorized to provide instruction and other services to the students who attend the institutions under their respective jurisdictions. Existing law also authorizes the governing board of a school district to provide for the transportation of pupils to and from school whenever in the judgment of the board the transportation is advisable and good reasons exist to do so.
This bill would establish the Transit Pass Program to be administered by the Department of Transportation with moneys from the Greenhouse Gas Reduction Fund, made available, upon appropriation, appropriation by the Legislature, to support transit pass programs that provide free or reduced-fare transit passes to specified pupils and students. The bill would require the department, in coordination with the state board, department to develop guidelines that describe the criteria that eligible transit providers are required to use to make available free or reduced-fare transit passes to eligible participants and the methodologies that eligible participants would use to demonstrate that the proposed expenditures will reduce greenhouse gas emissions. participants. The bill would exempt those guidelines from the Administrative Procedure Act. The bill would require eligible transit providers and eligible participants to enter into agreements for the distribution of free or reduced-fare transit passes to students.
This bill would require that the guidelines ensure that moneys from the program are used to expand eligibility or further reduce the cost of a transit pass under existing programs. The bill would require the department to develop performance measures and reporting requirements to evaluate the effectiveness of the program, including an annual update of the number of free or reduced-fare transit passes distributed to pupils and students and whether the program is increasing transit ridership among pupils and students. The bill would set a minimum allocation of $20,000 for each eligible transit provider and would provide for the distribution and allocation of remaining Transit Pass Program moneys by formula to eligible transit providers.
The bill would require, for purposes of determining an eligible transit providers eligibility for moneys distributed to a transportation planning agency from the Public Transportation Account, that free or discounted transit fare passes be calculated at their full retail value. The bill would authorize the use of moneys from the Affordable Housing and Sustainable Communities Program, the Low Carbon Transit Operations Program, and other low carbon transportation programs to augment a free or reduced-fare transit pass program, as specified.
The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The act authorizes the state board to include the use of market-based compliance mechanisms. Existing law requires all moneys, except for fines and penalties, collected by the State Air Resources Board from the auction or sale of allowances as part of a market-based compliance mechanism relative to reduction of greenhouse gas emissions to be deposited in the Greenhouse Gas Reduction Fund. Existing law continuously appropriates 10% of the annual proceeds of the fund to the Transit and Intercity Rail Capital Program and 5% of the annual proceeds of the fund to the Low Carbon Transit Operations Program.
This bill would continuously appropriate $50,000,000 annually from the Greenhouse Gas Reduction Fund for establish the Transit Pass Program, Program to be administered by the Department of Transportation. The bill would require that funding be allocated by the Controller, as specified, upon a determination by the department, that transit pass programs of public agencies to provide free or reduced-fare transit passes to public school students and community college, California State University, and University of California meet certain requirements. Transportation with moneys from the Greenhouse Gas Reduction Fund, upon appropriation, to support transit pass programs that provide free or reduced-fare transit passes to specified pupils and students. The bill would require the Department of Transportation department, in coordination with the State Air Resources Board, state board, to develop guidelines that describe the criteria that eligible transit providers shall are required to use to make available free or reduced-fare transit passes to eligible participants and the methodologies that eligible participants would use to demonstrate that the proposed expenditures will reduce greenhouse gas emissions. The bill would require that at least 30% of the moneys allocated under the Transit Pass Program benefit disadvantaged communities, as specified. The bill would exempt those guidelines from the Administrative Procedure Act. The bill would require eligible transit providers and eligible participants to enter into agreements for the distribution of free or reduced-fare transit passes to students.
This bill would require that the guidelines ensure that funds moneys from the program are used to expand eligibility or further reduce the cost of a transit pass under existing programs. The bill would require the department to develop performance measures and reporting requirements to evaluate the effectiveness of the program, including an annual update of the number of free or reduced-fare transit passes distributed to pupils and students and whether the program is increasing transit ridership among pupils and students. The bill would set a minimum allocation of $20,000 for each eligible transit provider and would provide for the distribution and allocation of remaining Transit Pass Program funds moneys by formula to eligible transit providers.The bill would require, for purposes of determining an eligible transit providers eligibility for funds moneys distributed to a transportation planning agency from the Public Transportation Account, that free or discounted transit fare passes be calculated at their full retail value. The bill would authorize the use of funds moneys from the Affordable Housing and Sustainable Communities Program, the Low Carbon Transit Operations Program, and other low carbon transportation programs to augment a free or reduced-fare transit pass program, as specified. By continuously appropriating moneys from the Greenhouse Gas Reduction Fund for the Transit Pass Program, the bill would make an appropriation.Existing law requires all moneys, except for fines and penalties, collected by the State Air Resources Board from the auction or sale of allowances as part of a market-based compliance mechanism relative to reduction of greenhouse gas emissions to be deposited in the Greenhouse Gas Reduction Fund. Existing law continuously appropriates 10% of the annual proceeds of the fund to the Transit and Intercity Rail Capital Program and 5% of the annual proceeds of the fund to the Low Carbon Transit Operations Program.
This bill would continuously appropriate $50,000,000 annually from the Greenhouse Gas Reduction Fund for the Transit Pass Program, to be administered by the Department of Transportation. The bill would provide for moneys made available for the program to require that funding be allocated by the Controller, as directed specified, upon a determination by the department, to support that transit pass programs of public agencies that to provide free or reduced-fare transit passes to public school students and community college, California State University, and University of California students. meet certain requirements. The bill would require the Department of Transportation, in coordination with the State Air Resources Board, to develop guidelines that describe the criteria that eligible transit providers shall use to make available free or reduced-fare transit passes to eligible participants and the methodologies that recipient public agencies eligible participants would use to demonstrate that the proposed expenditures will reduce greenhouse gas emissions. The bill would require that at least 50 percent 30% of the moneys allocated under the Transit Pass Program to benefit disadvantaged communities, as specified. The bill would require eligible transit providers and eligible participants to enter into agreements for the distribution of free or reduced-fare transit passes to students.
This bill would require that the guidelines ensure that funds from the program are used to expand eligibility or further reduce the cost of a transit pass under existing programs. The bill would require the department to develop performance measures and reporting requirements to evaluate the effectiveness of the program, including an annual update of the number of free or reduced-fare transit passes distributed to students and whether the program is increasing transit ridership among students. The bill would set a minimum allocation of $20,000 for each eligible transit provider and would provide for the distribution and allocation of remaining Transit Pass Program funds by formula to eligible transit providers.
The bill would require, for purposes of determining an eligible transit providers eligibility for funds distributed to a transportation planning agency from the Public Transportation Account, that free or discounted transit fare passes be calculated at their full retail value. The bill would authorize the use of funds from the Affordable Housing and Sustainable Communities Program, the Low Carbon Transit Operations Program, and other low carbon transportation programs to augment a free or reduced-fare transit pass program, as specified. By continuously appropriating moneys from the Greenhouse Gas Reduction Fund for the Transit Pass Program, the bill would make an appropriation.
Existing law requires all moneys, except for fines and penalties, collected by the State Air Resources Board from the auction or sale of allowances as part of a market-based compliance mechanism relative to reduction of greenhouse gas emissions to be deposited in the Greenhouse Gas Reduction Fund. Existing law continuously appropriates 10% of the annual proceeds of the fund to the Transit and Intercity Rail Capital Program and 5% of the annual proceeds of the fund to the Low Carbon Transit Operations Program.
This bill would continuously appropriate $50,000,000 annually from the Greenhouse Gas Reduction Fund for the Transit Pass Program, to be administered by the Department of Transportation. The bill would provide for moneys made available for the program to be allocated by the Controller, as directed by the department, to support transit pass programs of public agencies that provide free or reduced-fare transit passes to public school students and community college, California State University, and University of California students. The bill would require the Department of Transportation, in coordination with the State Air Resources Board, to develop guidelines that describe the methodologies that recipient public agencies would use to demonstrate that the proposed expenditures will reduce greenhouse gas emissions. The bill would require at least 50 percent of the moneys allocated under the Transit Pass Program to benefit disadvantaged communities, as specified.
The Legislature finds and declares all of the following:
(a)California landmark laws and regulations for reducing greenhouse gases address one of the most important issues of our time, and dramatically increasing the use of public transportation is a vital component in reducing greenhouse gas emissions by 80 percent by the year 2050.
(b)Student transit pass programs have been shown to increase overall transit ridership and fill empty seats on trains and buses, resulting in reduced costs per rider and improved service because of higher demand.
(c)Targeting student transit passes to low-income middle school, high school, college, and university students can promote the development of lifelong transit riders and further bolster the capacity and reliability of our transit systems.
(d)Student transit pass programs in this state and across the country have resulted in significant increases in transit ridership and have made it easier and cheaper for students to get to schools and to jobs.
(e)Student transit pass programs can help the state reduce greenhouse gas emissions, vehicle miles traveled, petroleum use, and air pollution and improve overall community health.
(f)Student transit passes lower pollution around elementary schools, thereby improving student health.
(g)Schools are often the major generators of traffic in cities, and student transit pass programs can help reduce the traffic and parking problems in neighborhoods around schools.
(h)Student transit pass programs can reduce the need for colleges to use campus land for expensive parking structures when this land and money could be better used for educational purposes.
(i)Student transit pass programs have decreased the need to drive to and from school, along with the costs associated with driving to and from school, thereby reducing the overall cost of school attendance and reducing parental burdens for working families.
(j)A University of California, Los Angeles, study of 35 college and university student transit pass programs across the United States in 2001 showed ridership increases of 71 to 200 percent after the implementation of these programs.
SEC. 2.Part 4 (commencing with Section 75240) is added to Division 44 of the Public Resources Code, to read:4.Transit Pass Program75240.The Transit Pass Program is hereby created, to be administered by the Department of Transportation. Moneys made available for the program, upon appropriation by the Legislature from the Greenhouse Gas Reduction Fund, created pursuant to Section 16428.8 of the Government Code, Legislature, shall be allocated by the Controller to support transit pass programs that provide free or reduced-fare transit passes to any of the following:
(a)Pupils attending public middle schools or high schools that are eligible for funding under Title I of the federal No Child Left Behind Act of 2001 (20 U.S.C. Sec. 6301 et seq.).
(b)Students attending a California community college who qualify for a waiver of student fees pursuant to subdivision (g) of Section 76300 of the Education Code.
(c)A student who attends a campus of the California State University or the University of California and who receives an award under the Cal Grant Program established in Chapter 1.7 (commencing with Section 69430) of Part 42 of Division 5 of Title 3 of the Education Code, the federal Pell Grant Program established under Title IV of the federal Higher Education Act of 1965 (20 U.S.C. Sec. 1070 et seq.), or both.
75241.As used in this part, the following terms are defined as follows:
(a)Department means the Department of Transportation.
(b)Eligible participant means a public agency, including, but not limited to, a transit operator, school district, community college district, the California State University, or the University of California.
(c)Eligible transit provider means a transportation agency, transportation planning agency, or county transportation commission that is eligible to receive moneys from a state transit assistance fund pursuant to the distribution formula in subdivision (b) or (c) of Section 99312 of and Sections 99313 and 99314 of the Public Utilities Code.
(d)Program means the Transit Pass Program established pursuant to this part.
75242.(a)Moneys shall be allocated by the Controller consistent with the requirements of this part and with Section 39712 of the Health and Safety Code, upon a determination by the department that the expenditures proposed by an eligible transit provider meet the requirements of this part and the guidelines developed pursuant to subdivision (c), and the amount of funding requested that is currently available.
(b)(1)Moneys allocated for the program shall be expended to provide low- or no-cost public transit passes to students, as specified in Section 75240, through programs that support new or existing transit pass programs.
(2)An eligible transit provider may consider granting priority to an application from an eligible participant with an existing, successful transit pass program, provided that the eligible participant can demonstrate that the additional moneys will further reduce the cost of the transit pass or expand program eligibility.
(c)The department, in coordination with the State Air Resources Board, department shall develop guidelines that describe the criteria that eligible transit providers shall use to make available free or reduced-fare transit passes to eligible participants and the methodologies that eligible participants shall use to demonstrate that the proposed expenditures will reduce greenhouse gas emissions. participants. The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code) shall not apply to the development of the guidelines for the program established pursuant to this part.
(1)The guidelines shall ensure that moneys from the program are used to expand eligibility or further reduce the cost of a transit pass under existing programs.
(2)The department shall develop performance measures and reporting requirements to evaluate the effectiveness of the program, including an annual update of the number of free or reduced-fare transit passes distributed to students and whether the program is increasing transit ridership among students.
(d)Eligible transit providers and eligible participants shall enter into agreements pursuant to the guidelines developed pursuant to subdivision (c) to ensure that free or reduced-fare transit passes are distributed to students.
(e)Moneys from the Affordable Housing and Sustainable Communities Program (Part 1 (commencing with Section 75200)), the Low Carbon Transit Operations Program (Part 3 (commencing with Section 75230)), and other low carbon transportation programs may be used to augment a free or reduced-fare transit pass program. Those moneys shall remain subject to the requirements to benefit disadvantaged communities consistent with the guidance provided by the State Air Resources Board pursuant to Section 39715 of the Health and Safety Code.
75244.For the purposes of determining an eligible transit providers eligibility for moneys distributed to a transportation planning agency pursuant to the distribution formula in subdivisions (b) and (c) of Section 99312 of and Sections 99313 and 99314 of the Public Utilities Code, free or reduced-fare transit passes made available pursuant to the program shall be calculated at their full retail value.
75245.(a)Each eligible transit provider shall receive twenty thousand dollars ($20,000) from the program.
(b)After the initial twenty-thousand-dollar ($20,000) amount is allocated, the remaining program moneys shall be allocated to eligible transit providers pursuant to the distribution formula in subdivisions (b) and (c) of Section 99312 of and Sections 99313 and 99314 of the Public Utilities Code.
(c)Any moneys allocated during a fiscal year not distributed pursuant to subdivisions (a) or (b) shall be added to the allocation for the following fiscal year to be distributed pursuant to this section.
The Legislature finds and declares all of the following:
(a)California landmark laws and regulations for reducing greenhouse gases address one of the most important issues of our time, and dramatically increasing the use of public transportation is a vital component in reducing greenhouse gas emissions by 80 percent by the year 2050.
(b)Student transit pass programs have been shown to increase overall transit ridership and fill empty seats on trains and buses, resulting in reduced costs per rider and improved service because of higher demand.
(c)Targeting student transit passes to low-income middle school, high school, college, and university students can promote the development of lifelong transit riders and further bolster the capacity and reliability of our transit systems.
(d)Student transit pass programs in this state and across the country have resulted in significant increases in transit ridership and have made it easier and cheaper for students to get to schools and to jobs.
(e)Student transit pass programs can help the state reduce greenhouse gas emissions, vehicle miles traveled, petroleum use, and air pollution, pollution and improve overall community health.
(f)Student transit passes lower pollution around elementary schools, thereby improving student health.
(g)Schools are often the major generators of traffic in cities, and student transit pass programs can help reduce the traffic and parking problems in neighborhoods around schools.
(h)Student transit pass programs can reduce the need for colleges to use campus land for expensive parking structures when this land and money could be better used for educational purposes.
(i)Student transit pass programs have decreased the need to drive to and from school, along with the costs associated with driving to and from school, thereby reducing the overall cost of school attendance and reducing parental burdens for working families.
(j)A University of California, Los Angeles, study of 35 college and university student transit pass programs across the United States in 2001 showed ridership increases of 71 to 200 percent after the implementation of these programs.
SEC. 2.Section 39719 of the Health and Safety Code is amended to read:39719.(a)The Legislature shall appropriate the annual proceeds of the fund for the purpose of reducing greenhouse gas emissions in this state in accordance with the requirements of Section 39712.
(b)To carry out a portion of the requirements of subdivision (a), annual proceeds are continuously appropriated for the following:
(1)Beginning in the 201516 fiscal year, and notwithstanding Section 13340 of the Government Code, 35 percent of annual proceeds are continuously appropriated, without regard to fiscal years, for transit, affordable housing, and sustainable communities programs as follows:
(A)Ten percent of the annual proceeds of the fund is hereby continuously appropriated to the Transportation Agency for the Transit and Intercity Rail Capital Program created by Part 2 (commencing with Section 75220) of Division 44 of the Public Resources Code.
(B)Five percent of the annual proceeds of the fund is hereby continuously appropriated to the Low Carbon Transit Operations Program created by Part 3 (commencing with Section 75230) of Division 44 of the Public Resources Code. Funds shall be allocated by the Controller, according to requirements of the program, and pursuant to the distribution formula in subdivision (b) or (c) of Section 99312 of, and Sections 99313 and 99314 of, the Public Utilities Code.
(C)Twenty percent of the annual proceeds of the fund is hereby continuously appropriated to the Strategic Growth Council for the Affordable Housing and Sustainable Communities Program created by Part 1 (commencing with Section 75200) of Division 44 of the Public Resources Code. Of the amount appropriated in this subparagraph, no less than 10 percent of the annual proceeds, shall be expended for affordable housing, consistent with the provisions of that program.
(2)Beginning in the 201516 fiscal year, notwithstanding Section 13340 of the Government Code, 25 percent of the annual proceeds of the fund is hereby continuously appropriated to the High-Speed Rail Authority for the following components of the initial operating segment and Phase I Blended System as described in the 2012 business plan adopted pursuant to Section 185033 of the Public Utilities Code:
(A)Acquisition and construction costs of the project.
(B)Environmental review and design costs of the project.
(C)Other capital costs of the project.
(D)Repayment of any loans made to the authority to fund the project.
(3)(A)Beginning in the 201617 fiscal year, fifty million dollars ($50,000,000) annually from the proceeds of the fund is hereby continuously appropriated to the Transit Pass Program created pursuant to Part 4 (commencing with Section 75240) of Division 44 of the Public Resources Code.
(B)Funds shall be allocated to eligible transit providers in accordance with the requirements of the Transit Pass Program and the allocation method described in Section 75245 of the Public Resources Code.
(c)In determining the amount of annual proceeds of the fund for purposes of the calculation in subdivision (b), the funds subject to Section 39719.1 shall not be included.
SEC. 3. SEC. 2.Part 4 (commencing with Section 75240) is added to Division 44 of the Public Resources Code, to read:4.Transit Pass Program75240.The Transit Pass Program is hereby created, to be administered by the Department of Transportation. Moneys made available for the program program, upon appropriation by the Legislature from the Greenhouse Gas Reduction Fund, created pursuant to Section 16428.8 of the Government Code, shall be allocated by the Controller, as provided in Section 75242, Controller to support transit pass programs that provide free or reduced-fare transit passes to public school students and community college, California State University, and University of California students. any of the following:
(a)Pupils attending public middle schools or high schools that are eligible for funding under Title I of the federal No Child Left Behind Act of 2001 (20 U.S.C. Sec. 6301 et seq.).
(b)Students attending a California community college who qualify for a waiver of student fees pursuant to subdivision (g) of Section 76300 of the Education Code.
(c)A student who attends a campus of the California State University or the University of California and who receives an award under the Cal Grant Program established in Chapter 1.7 (commencing with Section 69430) of Part 42 of Division 5 of Title 3 of the Education Code, the federal Pell Grant Program established under Title IV of the federal Higher Education Act of 1965 (20 U.S.C. Sec. 1070 et seq.), or both.
75241.As used in this part, the following terms are defined as follows:
(a)Department means the Department of Transportation.
(b)Eligible participant means a public agency, including, but not limited to, a transit operator, school district, community college district, the California State University, or the University of California.
(c)Eligible transit provider means a transportation agency, transportation planning agency, or county transportation commission that is eligible to receive funds moneys from a state transit assistance fund pursuant to the distribution formula in subdivision (b) or (c) of Section 99312 of, of and Sections 99313 and 99314 of, of the Public Utilities Code.
(d)Program means the Transit Pass Program established pursuant to this part.
75242.(a)Funding for the program is continuously appropriated pursuant to Section 39719 of the Health and Safety Code from the Greenhouse Gas Reduction Fund established pursuant to Section 16428.8 of the Government Code.
(b)
75242.(a)Moneys shall be allocated by the Controller consistent with the requirements of this part and with Section 39712 of the Health and Safety Code, upon a determination by the department that the expenditures proposed by an eligible transit provider meet the requirements of this part and the guidelines developed pursuant to subdivision (d), (c), and the amount of funding requested that is currently available.
(c)
(b)(1)Moneys allocated for the program shall be expended to provide low- or no-cost public transit passes to students students, as specified in Section 75240, through programs that support new or existing transit pass programs.
(2)An eligible transit provider may consider granting priority to an application from an eligible participant with an existing, successful transit pass program, provided that the eligible participant can demonstrate that the additional funds moneys will further reduce the cost of the transit pass or expand program eligibility.
(d)
(c)The department, in coordination with the State Air Resources Board, shall develop guidelines that describe the criteria that eligible transit providers shall use to make available free or reduced-fare transit passes to eligible participants and the methodologies that eligible participants shall use to demonstrate that the proposed expenditures will reduce greenhouse gas emissions. The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code) shall not apply to the development of the guidelines for the program established pursuant to this part.
(1)The guidelines shall ensure that funds moneys from the program are used to expand eligibility or further reduce the cost of a transit pass under existing programs.
(2)The department shall develop performance measures and reporting requirements to evaluate the effectiveness of the program, including an annual update of the number of free or reduced-fare transit passes distributed to students and whether the program is increasing transit ridership among students.
(e)
(d)Eligible transit providers and eligible participants shall enter into agreements pursuant to the guidelines developed pursuant to subdivision (d) (c) to ensure that free or reduced-fare transit passes are distributed to students.
(e)Moneys from the Affordable Housing and Sustainable Communities Program (Part 1 (commencing with Section 75200)), the Low Carbon Transit Operations Program (Part 3 (commencing with Section 75230)), and other low carbon transportation programs may be used to augment a free or reduced-fare transit pass program. Those moneys shall remain subject to the requirements to benefit disadvantaged communities consistent with the guidance provided by the State Air Resources Board pursuant to Section 39715 of the Health and Safety Code.
75243.(a)At least 33 percent of the moneys allocated pursuant to the program shall benefit disadvantaged communities consistent with the guidance provided by the State Air Resources Board pursuant to Section 39715 of the Health and Safety Code.
(b)Moneys from the Affordable Housing and Sustainable Communities Program, the Low Carbon Transit Operations Program, and other low carbon transportation programs may be used to augment a free or reduced-fare transit pass program and remain subject to the requirements to benefit disadvantaged communities consistent with the guidance provided by the State Air Resources Board pursuant to Section 39715 of the Health and Safety Code.
75244.For the purposes of determining an eligible transit providers eligibility for funds moneys distributed to a transportation planning agency pursuant to the distribution formula in subdivisions (b) and (c) of Section 99312 of, of and Sections 99313 and 99314 of, of the Public Utilities Code, free or reduced-fare transit passes made available pursuant to the program shall be calculated at their full retail value.
75245.(a)Each eligible transit provider shall receive twenty thousand dollars ($20,000) from the program.
(b)After the initial twenty-thousand-dollar ($20,000) amount is allocated, the remaining program funds moneys shall be allocated to eligible transit providers pursuant to the distribution formula in subdivisions (b) and (c) of Section 99312 of, of and Sections 99313 and 99314 of, of the Public Utilities Code.
(c)Any funds moneys allocated during a fiscal year not distributed pursuant to subdivisions (a) or (b) shall be added to the allocation for the following fiscal year to be distributed pursuant to this section.
The Legislature finds and declares all of the following:
(a)California landmark laws and regulations for reducing greenhouse gases address one of the most important issues of our time, and dramatically increasing the use of public transportation is a vital component in reducing greenhouse gas emissions by 80 percent by the year 2050.
(a)
(b)Student transit pass programs have been shown to increase overall transit ridership and fill empty seats on trains and buses, resulting in reduced costs per rider and improved service because of higher demand.
(b)
(c)Targeting student transit passes to middle school, high school, college, and university students can promote the development of lifelong transit riders and further bolster the capacity and reliability of our transit systems.
(c)
(d)Student transit pass programs in this state and across the country have resulted in significant increases in transit ridership and have made it easier and cheaper for students to get to schools and to jobs.
(d)
(e)Student transit pass programs can help the state reduce greenhouse gas emissions, vehicle miles traveled, petroleum use, and air pollution, and improve overall community health.
(e)
(f)Student transit passes lower pollution around elementary schools, thereby improving student health.
(f)
(g)Schools are often the major generators of traffic in cities, and student transit pass programs can help reduce the traffic and parking problems in neighborhoods around schools.
(g)
(h)Student transit pass programs can reduce the need for colleges to use campus land for expensive parking structures when this land and money could be better used for educational purposes.
(h)
(i)Student transit pass programs have decreased the need to drive to and from school, along with the costs associated with driving to and from school, thereby reducing the overall cost of school attendance and reducing parental burdens for working families.
(i)
(j)A University of California, Los Angeles, study of 35 college and university student transit pass programs across the United States in 2001 showed ridership increases of 71 to 200 percent after the implementation of these programs.
SEC. 2.Section 39719 of the Health and Safety Code is amended to read:39719.(a)The Legislature shall appropriate the annual proceeds of the fund for the purpose of reducing greenhouse gas emissions in this state in accordance with the requirements of Section 39712.
(b)To carry out a portion of the requirements of subdivision (a), annual proceeds are continuously appropriated for the following:
(1)Beginning in the 201516 fiscal year, and notwithstanding Section 13340 of the Government Code, 35 percent of annual proceeds are continuously appropriated, without regard to fiscal years, for transit, affordable housing, and sustainable communities programs as following: follows:
(A)Ten percent of the annual proceeds of the fund is hereby continuously appropriated to the Transportation Agency for the Transit and Intercity Rail Capital Program created by Part 2 (commencing with Section 75220) of Division 44 of the Public Resources Code.
(B)Five percent of the annual proceeds of the fund is hereby continuously appropriated to the Low Carbon Transit Operations Program created by Part 3 (commencing with Section 75230) of Division 44 of the Public Resources Code. Funds shall be allocated by the Controller, according to requirements of the program, and pursuant to the distribution formula in subdivision (b) or (c) of Section 99312 of, and Sections 99313 and 99314 of, the Public Utilities Code.
(C)Twenty percent of the annual proceeds of the fund is hereby continuously appropriated to the Strategic Growth Council for the Affordable Housing and Sustainable Communities Program created by Part 1 (commencing with Section 75200) of Division 44 of the Public Resources Code. Of the amount appropriated in this subparagraph, no less than 10 percent of the annual proceeds, shall be expended for affordable housing, consistent with the provisions of that program.
(2)Beginning in the 201516 fiscal year, notwithstanding Section 13340 of the Government Code, 25 percent of the annual proceeds of the fund is hereby continuously appropriated to the High-Speed Rail Authority for the following components of the initial operating segment and Phase I Blended System as described in the 2012 business plan adopted pursuant to Section 185033 of the Public Utilities Code:
(A)Acquisition and construction costs of the project.
(B)Environmental review and design costs of the project.
(C)Other capital costs of the project.
(D)Repayment of any loans made to the authority to fund the project.
(3)(A)Beginning in the 201617 fiscal year, fifty million dollars ($50,000,000) annually from the proceeds of the fund is hereby continuously appropriated to the Transit Pass Program created pursuant to Part 4 (commencing with Section 75240) of Division 44 of the Public Resources Code.
(B)Funds shall be allocated to eligible transit providers in accordance with the requirements of the Transit Pass Program and the allocation method described in Section 75245 of the Public Resources Code.
(c)In determining the amount of annual proceeds of the fund for purposes of the calculation in subdivision (b), the funds subject to Section 39719.1 shall not be included.
SEC. 3.Part 4 (commencing with Section 75240) is added to Division 44 of the Public Resources Code, to read:4.Transit Pass Program75240.The Transit Pass Program is hereby created, to be administered by the Department of Transportation. Moneys made available for the program shall be allocated by the Controller, as directed by the department, provided in Section 75242, to support transit pass programs that provide free or reduced-fare transit passes to public school students and community college, California State University, and University of California students.
75241.An eligible applicant under the program shall be As used in this part, the following terms are defined as follows:
(a)Department means the Department of Transportation.
(b)Eligible participant means a public agency, including, but not limited to, a transit operator, school district, community college district, the California State University, or the University of California, or a city or county. California.
(c)Eligible transit provider means a transportation agency, transportation planning agency, or county transportation commission that is eligible to receive funds from a state transit assistance fund pursuant to the distribution formula in subdivision (b) or (c) of Section 99312 of, and Sections 99313 and 99314 of, the Public Utilities Code.
(d)Program means the Transit Pass Program established pursuant to this part.
75242.The Department of Transportation, in coordination with the State Air Resources Board, shall develop guidelines that describe the methodologies that recipient public agencies shall use to demonstrate that the proposed expenditures will reduce greenhouse gas emissions. Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of the Government Code does not apply to the development of guidelines for the program pursuant to this part.
75242.(a)Funding for the program is continuously appropriated pursuant to Section 39719 of the Health and Safety Code from the Greenhouse Gas Reduction Fund established pursuant to Section 16428.8 of the Government Code.
(b)Moneys shall be allocated by the Controller consistent with the requirements of this part and with Section 39712 of the Health and Safety Code, upon a determination by the department that the expenditures proposed by an eligible transit provider meet the requirements of this part and the guidelines developed pursuant to subdivision (d), and the amount of funding requested that is currently available.
(c)(1)Moneys allocated for the program shall be expended to provide low- or no-cost public transit passes to students through programs that support new or existing transit pass programs.
(2)An eligible transit provider may consider granting priority to an application from an eligible participant with an existing, successful transit pass program, provided that the eligible participant can demonstrate that the additional funds will further reduce the cost of the transit pass or expand program eligibility.
(d)The department, in coordination with the State Air Resources Board, shall develop guidelines that describe the criteria that eligible transit providers shall use to make available free or reduced-fare transit passes to eligible participants and the methodologies that eligible participants shall use to demonstrate that the proposed expenditures will reduce greenhouse gas emissions. The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code) shall not apply to the development of guidelines for the program pursuant to this part.
(1)The guidelines shall ensure that funds from the program are used to expand eligibility or further reduce the cost of a transit pass under existing programs.
(2)The department shall develop performance measures and reporting requirements to evaluate the effectiveness of the program, including an annual update of the number of free or reduced-fare transit passes distributed to students and whether the program is increasing transit ridership among students.
(e)Eligible transit providers and eligible participants shall enter into agreements pursuant to the guidelines developed pursuant to subdivision (d) to ensure that free or reduced-fare transit passes are distributed to students.
75243.(a)At least 50 33 percent of the moneys allocated pursuant to this part the program shall benefit disadvantaged communities consistent with the guidance provided by the State Air Resources Board pursuant to Section 39715 of the Health and Safety Code.
(b)Moneys from the Affordable Housing and Sustainable Communities Program, the Low Carbon Transit Operations Program, and other low carbon transportation programs may be used to augment a free or reduced-fare transit pass program and remain subject to the requirements to benefit disadvantaged communities consistent with the guidance provided by the State Air Resources Board pursuant to Section 39715 of the Health and Safety Code.
75244.For the purposes of determining an eligible transit providers eligibility for funds distributed to a transportation planning agency pursuant to the distribution formula in subdivisions (b) and (c) of Section 99312 of, and Sections 99313 and 99314 of, the Public Utilities Code, free or reduced-fare transit passes made available pursuant to the program shall be calculated at their full retail value.
75245.(a)Each eligible transit provider shall receive twenty thousand dollars ($20,000) from the program.
(b)After the initial twenty-thousand-dollar ($20,000) amount is allocated, the remaining program funds shall be allocated to eligible transit providers pursuant to the distribution formula in subdivisions (b) and (c) of Section 99312 of, and Sections 99313 and 99314 of, the Public Utilities Code.
(c)Any funds allocated during a fiscal year not distributed pursuant to subdivisions (a) or (b) shall be added to the allocation for the following fiscal year to be distributed pursuant to this section.
The Legislature finds and declares all of the following:
(a)Student transit pass programs have been shown to increase overall transit ridership and fill empty seats on trains and buses, resulting in reduced costs per rider and improved service because of higher demand.
(b)Targeting student transit passes to middle school, high school, college, and university students can promote the development of lifelong transit riders and further bolster the capacity and reliability of our transit systems.
(c)Student transit pass programs in this state and across the country have resulted in significant increases in transit ridership and have made it easier and cheaper for students to get to schools and to jobs.
(d)Student transit pass programs can help the state reduce greenhouse gas emissions, vehicle miles traveled, petroleum use, and air pollution, and improve overall community health.
(e)Student transit passes lower pollution around elementary schools, thereby improving student health.
(f)Schools are often the major generators of traffic in cities, and student transit pass programs can help reduce the traffic and parking problems in neighborhoods around schools.
(g)Student transit pass programs can reduce the need for colleges to use campus land for expensive parking structures when this land and money could be better used for educational purposes.
(h)Student transit pass programs have decreased the need to drive to and from school, along with the costs associated with driving to and from school, thereby reducing the overall cost of school attendance and reducing parental burdens for working families.
(i)A University of California, Los Angeles, study of 35 college and university student transit pass programs across the United States in 2001 showed ridership increases of 71 to 200 percent after the implementation of these programs.
SEC. 2.Section 39719 of the Health and Safety Code is amended to read:39719.(a)The Legislature shall appropriate the annual proceeds of the fund for the purpose of reducing greenhouse gas emissions in this state in accordance with the requirements of Section 39712.
(b)To carry out a portion of the requirements of subdivision (a), annual proceeds are continuously appropriated for the following:
(1)Beginning in the 201516 fiscal year, and notwithstanding Section 13340 of the Government Code, 35 percent of annual proceeds are continuously appropriated, without regard to fiscal years, for transit, affordable housing, and sustainable communities programs as following:
(A)Ten percent of the annual proceeds of the fund is hereby continuously appropriated to the Transportation Agency for the Transit and Intercity Rail Capital Program created by Part 2 (commencing with Section 75220) of Division 44 of the Public Resources Code.
(B)Five percent of the annual proceeds of the fund is hereby continuously appropriated to the Low Carbon Transit Operations Program created by Part 3 (commencing with Section 75230) of Division 44 of the Public Resources Code. Funds shall be allocated by the Controller, according to requirements of the program, and pursuant to the distribution formula in subdivision (b) or (c) of Section 99312 of, and Sections 99313 and 99314 of, the Public Utilities Code.
(C)Twenty percent of the annual proceeds of the fund is hereby continuously appropriated to the Strategic Growth Council for the Affordable Housing and Sustainable Communities Program created by Part 1 (commencing with Section 75200) of Division 44 of the Public Resources Code. Of the amount appropriated in this subparagraph, no less than 10 percent of the annual proceeds, shall be expended for affordable housing, consistent with the provisions of that program.
(2)Beginning in the 201516 fiscal year, notwithstanding Section 13340 of the Government Code, 25 percent of the annual proceeds of the fund is hereby continuously appropriated to the High-Speed Rail Authority for the following components of the initial operating segment and Phase I Blended System as described in the 2012 business plan adopted pursuant to Section 185033 of the Public Utilities Code:
(A)Acquisition and construction costs of the project.
(B)Environmental review and design costs of the project.
(C)Other capital costs of the project.
(D)Repayment of any loans made to the authority to fund the project.
(3)Beginning in the 201617 fiscal year, fifty million dollars ($50,000,000) annually from the proceeds of the fund is hereby continuously appropriated to the Transit Pass Program created pursuant to Part 4 (commencing with Section 75240) of Division 44 of the Public Resources Code.
(c)In determining the amount of annual proceeds of the fund for purposes of the calculation in subdivision (b), the funds subject to Section 39719.1 shall not be included.
SEC. 3.Part 4 (commencing with Section 75240) is added to Division 44 of the Public Resources Code, to read:4.Transit Pass Program75240.The Transit Pass Program is hereby created, to be administered by the Department of Transportation. Moneys made available for the program shall be allocated by the Controller, as directed by the department, to support transit pass programs that provide free or reduced-fare transit passes to public school students and community college, California State University, and University of California students.
75241.An eligible applicant under the program shall be a public agency, including, but not limited to, a transit operator, school district, community college district, the California State University, the University of California, or a city or county.
75242.The Department of Transportation, in coordination with the State Air Resources Board, shall develop guidelines that describe the methodologies that recipient public agencies shall use to demonstrate that the proposed expenditures will reduce greenhouse gas emissions. Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of the Government Code does not apply to the development of guidelines for the program pursuant to this part.
75243.At least 50 percent of the moneys allocated pursuant to this part shall benefit disadvantaged communities consistent with the guidance provided by the State Air Resources Board pursuant to Section 39715 of the Health and Safety Code.
|
Date
|
Status
|
|---|---|
| Jun 2, 2016 | Read third time. Passed. Ordered to the Senate. |
| Aug 11, 2016 | In committee: Held under submission. |
| Aug 8, 2016 | Referred to APPR. suspense file. |
| Aug 2, 2016 | Read second time and amended. Re-referred to Com. on APPR. |
| Aug 1, 2016 | From committee: Amend, and do pass as amended and re-refer to Com. on APPR. (Ayes 6. Noes 0.) (June 29). |
| Jun 22, 2016 | From committee: Do pass and re-refer to Com. on E.Q. (Ayes 7. Noes 0.) (June 21). Re-referred to Com. on E.Q. |
| Jun 9, 2016 | Referred to Coms. on T. & H. and E.Q. |
| Jun 6, 2016 | In Senate. Read first time. To Com. on RLS. for assignment. |
| Jun 2, 2016 | Read third time. Passed. Ordered to the Senate. (Ayes 72. Noes 7.) |
| Jun 2, 2016 | Read third time. Passed. Ordered to the Senate. (Ayes 72. Noes 7. Page 5187.) |
| Feb 18, 2016 | Read first time. To print. |
| Jun 1, 2016 | Read second time. Ordered to third reading. |
| May 31, 2016 | Read second time and amended. Ordered returned to second reading. |
| May 27, 2016 | From committee: Amend, and do pass as amended. (Ayes 18. Noes 2.) (May 27). |
| Apr 27, 2016 | In committee: Set, first hearing. Referred to APPR. suspense file. |
| Apr 12, 2016 | From committee: Do pass and re-refer to Com. on APPR. (Ayes 16. Noes 0.) (April 11). Re-referred to Com. on APPR. |
| Apr 7, 2016 | Re-referred to Com. on TRANS. |
| Apr 6, 2016 | From committee chair, with author's amendments: Amend, and re-refer to Com. on TRANS. Read second time and amended. |
| Mar 3, 2016 | Referred to Com. on TRANS. |
| Feb 19, 2016 | From printer. May be heard in committee March 20. |
|
Date
|
Description
|
Location
|
Votes
|
|
|---|---|---|---|---|
| Aug 8, 2016 | Placed on suspense file | Senate Standing Committee on Appropriations |
Passed |
|
| Jun 29, 2016 | Do pass as amended, but first amend, and re-refer to the Committee on [Appropriations] | Senate Standing Committee on Environmental Quality |
Passed |
|
| Jun 21, 2016 | Do pass, but first be re-referred to the Committee on [Environmental Quality] | Senate Standing Committee on Transportation and Housing |
Passed |
|
| Jun 2, 2016 | AB 2222 HOLDEN Assembly Third Reading | Assembly Floor |
Passed |
|
| May 27, 2016 | Do pass as amended. | Assembly Standing Committee on Appropriations |
Passed |
|
| Apr 11, 2016 | Do pass and be re-referred to the Committee on [Appropriations] | Assembly Standing Committee on Transportation |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
|
Organization
|
Position
|
Date
|
|---|---|---|
| American Academy of Pediatrics | * Support | Jun 21, 2016 |
| American Lunch Association in California | ** Support | Apr 11, 2016 |
| Amigos de los Rios | ** Support | Jun 21, 2016 |
| ASPIRANET | ** Support | Jun 21, 2016 |
| Associated Students of Santa Monica College | ** Support | Jun 21, 2016 |
| Association for Commuter Transportation, Southern California Chapter | ** Support | Jun 21, 2016 |
| Bay Area Rapid Transit | ** Support | Jun 21, 2016 |
| Bike East Bay | ** Support | Apr 11, 2016 |
| Bike San Gabriel Valley | ** Support | Apr 11, 2016 |
| Bike SLO County | ** Support | Apr 11, 2016 |
| Breathe California | ** Support | Apr 11, 2016 |
| California Bicycle Coalition | * Support | Apr 11, 2016 |
| California Chamber Of Commerce | ** Against | Apr 11, 2016 |
| California Federation Of Teachers | ** Support | Jun 21, 2016 |
| California League Of Conservation Voters | ** Support | Apr 11, 2016 |
| California Pan-Ethnic Health Network | ** Support | Apr 11, 2016 |
| California Public Reaseach Group UCLA | * Support | Jun 21, 2016 |
| California State Polytechnic University, Pomona | ** Support | Jun 21, 2016 |
| California State Student Association | * Support | Jun 21, 2016 |
| California State University | ** Support | Jun 21, 2016 |
| California Walks | * Support | Apr 11, 2016 |
| Californians with Disabilities Rights | * Support | Apr 11, 2016 |
| CALPIRG | ** Support | Apr 11, 2016 |
| Catholic Charities, Diocese of Stockton | ** Support | Apr 11, 2016 |
| Center for Climate Change and Health | ** Support | Apr 11, 2016 |
| Cerritos College | ** Support | Jun 21, 2016 |
| Chico Velo | ** Support | Apr 11, 2016 |
| Children'S Defense Fund | ** Support | Jun 21, 2016 |
| City of Fresno | * Support | Apr 11, 2016 |
| Climate Plan | * Support | Apr 11, 2016 |
| Coalition For Clean Air | * Support | Apr 11, 2016 |
| College of the Canyons | ** Support | Jun 21, 2016 |
| Comite Civico Del Valle | ** Support | Apr 11, 2016 |
| Community college association for student advocacy | * Support | Apr 11, 2016 |
| Community College League of California | ** Support | Jun 21, 2016 |
| Environmental Council of Sacramento | ** Support | Apr 11, 2016 |
| Five private citizens | ** Support | Apr 11, 2016 |
| Gamaliel of California | ** Support | Jun 21, 2016 |
| Honorable Mark Ridley-Thomas, | ** Support | Apr 11, 2016 |
| Honorable Mike Eng, Forty-Ninth Assembly District , | ** Support | Apr 11, 2016 |
| Inland Empire Biking Alliance | ** Support | Apr 11, 2016 |
| Investing in Place | ** Support | Jun 21, 2016 |
| Kings Canyon Unified School District | ** Support | Jun 21, 2016 |
| Leadership Council for Justice and Accountability | * Support | Apr 11, 2016 |
| Leadership Counsel for Justice and Accountability | * Support | Apr 11, 2016 |
| Livable Communities, Inc. | ** Support | Apr 11, 2016 |
| Los Angeles College Faculty Guild, AFT Local 1521 | ** Support | Jun 21, 2016 |
| Los Angeles Community College District | ** Support | Jun 21, 2016 |
| Los Angeles County Bicycle Coalition | ** Support | Apr 11, 2016 |
| Los Angeles County Board of Supervisors | ** Support | Jun 21, 2016 |
| Los Angeles County Board of Supervisors, Second District | ** Support | Apr 11, 2016 |
| Los Angeles County Metropolitan Transportation Authority | * Support | Jun 21, 2016 |
| Los Angeles Job Corps | ** Support | Jun 21, 2016 |
| Los Angeles Trade-Technical College | ** Support | Jun 21, 2016 |
| Los Rios Community College District | ** Support | Jun 21, 2016 |
| Marin County Bicycle Coalition | ** Support | Apr 11, 2016 |
| Merced, County Of | * Support | Apr 11, 2016 |
| Mike Eng, Retired Assemblyman | ** Support | Jun 21, 2016 |
| Move LA | ** Support | Jun 21, 2016 |
| Mt. San Antonio College | ** Support | Jun 21, 2016 |
| Napa County Bicycle Coalition | ** Support | Apr 11, 2016 |
| National Association Of Social Workers, California Chapter | ** Support | Jun 21, 2016 |
| Orange County Transportation Authority | * Support | Jun 21, 2016 |
| Orthopaedic High School | ** Support | Apr 11, 2016 |
| Pasadena Area Community College District | ** Support | Jun 21, 2016 |
| Pasadena City College | ** Support | Jun 21, 2016 |
| Peralta Community College District | ** Support | Jun 21, 2016 |
| Policy Link | * Support | Apr 11, 2016 |
| PolicyLink | * Support | Apr 11, 2016 |
| Prevention Institute | ** Support | Jun 21, 2016 |
| Public Advocates | ** Support | Jun 21, 2016 |
| Safe Routes to School National Partnership | ** Support | Jun 21, 2016 |
| San Diego Community College District | ** Support | Jun 21, 2016 |
| San Diego County Bicycle Coalition | ** Support | Apr 11, 2016 |
| San Francisco Bay Area Rapid Transit District | * Support | Jun 21, 2016 |
| Santa Barbara Bicycle Coalition | ** Support | Apr 11, 2016 |
| Santa Monica College | * Support | Apr 11, 2016 |
| Santa Monica Community College | ** Support | Jun 21, 2016 |
| Silicon Valley Bicycle Coalition | ** Support | Apr 11, 2016 |
| Social Action Partners | ** Support | Jun 21, 2016 |
| Sonoma State University | * Support | Apr 11, 2016 |
| Transform | ** Support | Jun 21, 2016 |
| Trust For Public Land, The | ** Support | Apr 11, 2016 |
| Union Of Concerned Scientists | ** Support | Jun 21, 2016 |
| University of California, Los Angeles professor Donald Shoup | ** Support | Jun 21, 2016 |
| University Of Southern California The | ** Support | Jun 21, 2016 |
| Ventura County Transportation Commission | * Support | Jun 21, 2016 |
| Walk San Francisco | ** Support | Apr 11, 2016 |
SENATE COMMITTEE ON
Senator Ricardo Lara, Chair
2015 - 2016 Regular Session
AB 2222 (Holden) - Transit Pass Program: free or reduced-fare transit passes
Version: | Policy Vote: |
Urgency: | Mandate: |
Hearing Date: | Consultant: |
This bill meets the criteria for referral to the Suspense File.
Bill Summary:
AB 2222 would establish the Transit Pass Program, which would be administered by the Department of Transportation (Caltrans), upon appropriation of funding by the Legislature, to provide transit agencies with funding to support transit pass programs that provide free or reduced-fare transit passes to low-income middle school, high school, and college students, as specified.
Fiscal Impact:
- Approximately $5 million in cost pressures to fund the program at the minimum level of $20,000 per eligible transit agency. Absent a specified funding source, these costs represent a General Fund cost pressure. To the extent existing transit special funds are used to fund the program, there would be a commensurate decrease in funding available for other transit priorities.
- Estimated Caltrans administrative costs of approximately $200,000 for two years, and $100,000 ongoing. Initial costs would be incurred to develop and adopt guidelines, performance measures, and reporting requirements related to establishing the program, and ongoing costs would be related to administering the program. (State Highway Account)
- Potential California Air Resources Board (CARB) costs in the low hundreds of thousands annually, to the extent it is determined that the Transit Pass Program, by virtue of its placement in the Public Resources Code, would require CARB to provide guidance on how to report and quantify greenhouse gas (GHG) emission reductions and maximizing benefits to disadvantaged communities. (see recommended amendments below)
Background:
Existing law, as enacted by SB 862 (Committee on Budget and Fiscal Review), Chap. 36/2014, establishes a long-term plan for the expenditure of revenues generated through CARB’s cap-and-trade auctions. Specifically, existing law requires that cap-and-trade funds deposited into the Greenhouse Gas Reduction Fund (GGRF) are continuously appropriated as follows: 25% for the high-speed rail project; 20% for affordable housing and sustainable communities grants; 10% for the Transit and Intercity Rail Capital Program (TIRCP); and 5% for the Low-Carbon Transit Operations Program (LCTOP). The remaining 40% is available for annual appropriation by the Legislature.
TIRCP is a competitive grant program that funds capital improvements to reduce GHG emissions and modernize California’s intercity, commuter, and urban rail and bus systems to achieve specific policy objectives, with a goal of providing at least 25% of available funding to projects that provide a direct benefit to disadvantaged communities. LCTOP provides operating and capital assistance for transit agencies to reduce GHG emissions and improve mobility, with a priority on serving disadvantaged communities. For agencies whose service area includes disadvantaged communities, at least 50% of the total monies received must be spent on projects that will benefit those areas. LCTOP funds are allocated to transit agencies pursuant to the State Transit Assistance statutory formula. Free or reduced-fare transit programs are an eligible expenditure under the LCTOP.
Proposed Law:
AB 2222 would establish the Transit Pass Program to provide low-income students with free or reduced-fare transit passes. Specifically, this bill would:
- Require Caltrans to administer the program, upon appropriation of funds by the Legislature for the program.
- Require the funds to be allocated by the State Controller to support new or existing transit pass programs that provide free or reduced-fare transit passes to any of the following:
- Students attending public middle or high schools that are eligible for funding under the federal No Child Left Behind Act.
- Students attending a community college who qualify for a student fee waiver.
- Students attending a California State University (CSU) or University of California (UC) who are Cal Grant or federal Pell Grant recipients.
- Authorize eligible transit providers that would be distributing funds to consider prioritizing applications by specified entities with existing, successful transit pass programs, to the extent the entity demonstrates that additional funding will further reduce the cost of the transit pass or expand program eligibility.
- Require Caltrans to develop program guidelines that would ensure funds are used to expand eligibility or further reduce the cost of a transit pass, and to develop performance measures and reporting requirements to evaluate whether the program is increasing transit ridership among students. The guidelines would be exempt from the Administrative Procedure Act requirements.
- Require transit providers and participants to enter into agreements to ensure that free or reduced-fare transit passes are distributed to students.
- Require $20,000 to be provided to each transit provider, and specify that any additional available funds would be allocated to transit agencies pursuant to existing State Transit Assistance distribution formulas, as specified. Any funds allocated, but not distributed, during a fiscal year shall be distributed the following fiscal year.
Staff Comments:
Currently, many transit agencies in California use existing transit funding to provide free or reduced fare transit passes to students for use on their systems. For example, the San Francisco Muni offers the “Free Muni for Youth” program that gives free access to Muni to low and moderate income youth, from five to 18 years old. Sacramento Regional Transit also offers students from age five to 18 a 50% discounted fare for monthly passes. The Los Angeles County Metropolitan Transportation Authority (Metro) has been offering reduced fares for both K-12 and college students since the early 1990s, with programs that provide a 54% discount on monthly passes both college students, and a 76% discount for the K-12 program. Most of the programs require proof of the students being registered in school, but the SF Muni program is based upon family income level. Additionally, some transit agencies have developed agreements directly with schools in their jurisdictions to partner and provide free or reduced passes to all students. For example, The University of California Los Angeles (UCLA) and the University of Southern California (USC) provide free passes for their students in partnership with Metro. In the Sacramento area, the University of California at Davis offers a variety of travel options at reduced rates for students and faculty. While the funding provided by this bill could be used to enhance existing programs, it may also be used to supplant resources provided under current transit pass programs, and act as an indirect subsidy for other transit operations.
Recommended Amendments:
While the bill was recently amended to remove GGRF as a specified source of funding for the Transit Pass Program, the proposed statutes for the program would remain in Division 44 of the Public Resources Code, which includes specified programs for the expenditure of GGRF monies. CARB indicates this could imply that they would be required to perform oversight functions that are required for the other GGRF programs in Division 44, which would trigger additional costs. To avoid this ambiguity and the potential costs, staff recommends an amendment to move the provisions of the bill to Division 10 of the Public Utilities Code, which contains laws specific to transit districts.
-- END --
SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
Senator Wieckowski, Chair
2015 - 2016 Regular
Bill No: AB 2222
Author: | Holden | ||
Version: | 5/31/2016 | Hearing Date: | 6/29/2016 |
Urgency: | No | Fiscal: | Yes |
Consultant: | Rebecca Newhouse | ||
SUBJECT: Greenhouse Gas Reduction Fund: Transit Pass Program.
ANALYSIS:
Existing law:
- Under the California Global Warming Solutions Act of 2006 (also known as AB 32), requires the California Air Resources Board (ARB) to determine the 1990 statewide greenhouse gas (GHG) emissions level and approve a statewide GHG emissions limit that is equivalent to that level, to be achieved by 2020, and to adopt GHG emissions reductions measures by regulation. ARB is authorized to include the use of market-based mechanisms to comply with these regulations. (Health and Safety Code §38500 et seq.)
- Establishes the Greenhouse Gas Reduction Fund (GGRF) in the State Treasury, requires all moneys, except for fines and penalties, collected pursuant to a market-based mechanism be deposited in the fund. (Government Code §16428.8)
- Prohibits the state from approving allocations for a measure or program using GGRF moneys except after determining that the use of those moneys furthers the regulatory purposes of AB 32, and requires moneys from the GGRF be used to facilitate the achievement of reductions of GHG emissions in California. (HSC §39712)
- Establishes the Low Carbon Transit Operations Program (LCTOP), funded through a continuous appropriation of the GGRF, to fund capital improvements and operational investments that reduce GHG emissions and modernize California’s intercity, commuter, and urban rail systems to achieve specified goals.
This bill:
- Creates the Transit Pass Program, to be funded from the GGRF upon appropriation by the Legislature, and administered by the state Department of Transportation (Caltrans).
- Requires the program to support new or existing programs that provide free- or reduced-fare transit passes to any of the following:
- Students attending public middle schools or high schools that are eligible for funding under the federal No Child Left Behind Act.
- Students attending a community college who qualify for a waiver of student fees.
- Students attending a California State University (CSU) or University of California (UC) campus who receive an award under the state Cal Grant or federal Pell Grant program.
- Defines an eligible transit provider as a transportation agency, transportation planning agency, or county transportation commission that is eligible to receive State Transit Assistance program funds.
- Defines an eligible participant as a public agency, including, but not limited to, a transit operator, school district, community college district, CSU, or UC.
- Authorizes an eligible transit provider to consider prioritizing an application from an eligible participant with an existing, successful transit pass program, provided the participant can demonstrate that additional funding will further reduce the cost of the transit pass or expand program eligibility.
- Requires Caltrans, in coordination with ARB, to develop guidelines and reporting requirements for the program, including, but not limited to, requiring participants to demonstrate that proposed expenditures will reduce GHG emissions; ensuring program funds are used to expand eligibility or further reduce the cost of a transit pass; and developing performance measures to evaluate whether the program is increasing transit ridership among students.
- Requires transit providers and participants to enter into agreements to ensure that free or reduced-fare transit passes are distributed to students.
- Authorizes funds from the Affordable Housing and Sustainable Communities Program (AHSC), LCTOP, and other low carbon transportation programs to be used to augment a free or reduced-fare transit pass program.
- Requires that free or reduced-fare transit passes offered under the program are counted at full retail value for the purposes of the transit provider’s eligibility for State Transit Assistance funding.
- Provides that each eligible transit provider shall receive $20,000 from the program. After the initial $20,000 amount is allocated, remaining program funds shall be distributed pursuant to the State Transit Assistance formula. Any funds allocated, but not distributed, during a fiscal year shall be distributed the following fiscal year.
Background
- Cap-and-trade auction revenue. Since November 2012, ARB has conducted 15 cap-and-trade auctions, generating over $4 billion in proceeds to the state.
State law specifies that the auction revenues must be used to facilitate the achievement of GHG emissions reductions and outlines various categories of allowable expenditures.
Budget allocations. SB 862 (Committee on Budget and Fiscal Review, Chapter 36, Statutes of 2014), a budget trailer bill, established a long-term cap-and-trade expenditure plan by continuously appropriating portions of the funds for designated programs or purposes. The legislation appropriates 25% for the state’s high-speed rail project, 20% for affordable housing and sustainable communities grants, 10% to the Transit and Intercity Rail Capital Program, and 5% for the Low-Carbon Transit Operations Program. The remaining 40% is available for annual appropriation by the Legislature.
The Governor’s 2016-17 proposed budget appropriates over $3 billion to a variety of programs and projects in the transportation, energy, natural resources, and waste diversion sectors.
- GGRF public transportation funding. The Transit and Intercity Rail Capital Program (TIRCP) funds transformational capital improvements for GHG emission reductions that expand and improve rail service, and integrate state and local rail and other transit systems, including the high-speed rail system. The TIRCP has received $265 million to date, with $200 million estimated for the 2016-17 fiscal year.
The LCTOP provides operating and capital assistance to transit agencies to reduce GHG emissions and improve mobility, with a priority on serving disadvantaged communities. The program requires transit agencies to demonstrate that each expenditure directly enhances or expands transit service to increase mode share and that each expenditure reduces greenhouse gas emissions. Eligible projects include expanded, new, or enhanced transit services; conversion or retrofit of transit vehicles and equipment to zero-emission; expanded intermodal transit facilities; and infrastructure to support zero-emission or plug-in hybrid vehicles. The program guidelines also specify that free or reduced-fair transit vouchers are eligible projects under LCTOP.
For agencies whose service area includes disadvantaged communities, at least 50% of the total moneys received is required to benefit disadvantaged communities.
The LCTOP is not a competitive program, but based on project eligibility according to statute, program guidelines, and an established transportation funding formula.
This program is administered by Caltrans in coordination with ARB and the State Controller’s Office. LCTOP funding to date is $145 million, with $100 million estimated for the 2016-17 fiscal year.
- Transit passes. Currently, many transit agencies in California provide free or reduced fare transit passes to students for use on their systems. For example, the San Francisco (SF) Muni offers the Free Muni for Youth program that gives free access to Muni to low and moderate income youth, from five to 18 years old. Sacramento Regional Transit also offers students from age five to 18 a 50% discounted fare for monthly passes. The Los Angeles County Metropolitan Transportation Authority (Metro) has been offering reduced fares for both K-12 and college students since the early 1990s. Specifically, Metro has programs for both college students, with a 54% discount on a monthly pass, and a 76% discount for the K-12 program. Most of the programs require proof of the students being registered in school; however the SF Muni program is based upon family income level. Additionally, transit agencies have developed agreements directly with schools in their jurisdictions to partner and provide free or reduced passes to all students. The University of California Los Angeles (UCLA) and the University of Southern California (USC) provide free passes for their students in partnership with Metro. In the Sacramento area, the University of California at Davis offers a variety of travel options at reduced rates for students and faculty.
Comments
- Purpose of Bill. According to the author, “In order to achieve California’s greenhouse gas reduction goals, our state must take steps to reduce automobile trips and promote the use and growth of our mass transit systems. AB 2222 targets one of the largest ‘drive-alone’ populations in our state, students, and provides meaningful financial incentives to promote transit ridership. AB 2222 not only reduces the financial burden of transportation on California students but will promote active transportation and transit usage in the next generation of Californians.”
- Will funds be additional, or replacement? As noted in the background, there are numerous reduced fare programs across the state for colleges in California, as well as reduced fare programs for youth populations. Will this program add to and enhance those existing programs, or will moneys from the program created through this bill be used to simply displace current funding for reduced fare programs, so that those general funds can be used by participants for other purposes?
- Middle and high school students. According to the author, AB 2222 is intended to address GHG and other transportation impacts from “drive alone” populations of college and high-school students, and cites an article written about results of a program providing unlimited access to transit at UCLA. The article states that bus ridership for commuting to campus increased by 56% during the first year, and solo driving fell by 20%.
In addition to targeting college students, AB 2222 includes middle school students, who are too young to drive to school, and high school students, many of whom are also too young to drive. TransForm, one of the sponsors of this bill, states that parents of schoolchildren add to traffic congestion by dropping off and picking up their children, and that teenagers often skip school because it is too difficult to get to and from school. Other supporters state that early and regular interaction with transit is likely to create lifetime transit users.
By including school districts (over 1800 in California), and targeting low-income middle school and high school students, the scope is significantly expanded beyond “drive alone” populations, such as college students.
- Creating another grant program. Establishing a new program takes effort and money to administer. For example, public engagement/outreach and workshops are necessary to create the program; staff time is required to review proposals and process funds. Also, anytime a new program is created, and funded through GGRF, there are various requirements that need to be met by the agency administering the program as well as ARB. ARB must provide new program guidance on how to report and quantify GHG reductions and on how to maximize benefits to disadvantaged communities. Each administering agency has to do an expenditure report to document how the program will reduce GHG emissions. Creating new programs that overlap with existing programs that serve the same purpose may create governmental inefficiencies and avoidable expenses.
Specifically, AB 2222 creates a new program using a similar framework to current state law that establishes the LCTOP. Like LCTOP, guidelines for the program are developed by Caltrans in coordination with ARB, moneys are allocated by the Controller, and transit agencies are allocated funds. In fact, the guidelines for LCTOP specify that eligible projects under the program include reduced fare transit vouchers. The list of LCTOP projects includes several expenditures for reduced transit fares targeting various populations, including reduced fares for Mendocino college students, students in the City of LA, and a student transit pass program in the North County Transit District.
Is an additional program needed when these types of projects are eligible, and already being funded, under LCTOP? It may instead be more prudent to increase the appropriation for LCTOP to accommodate a greater number of reduced fare transit pass programs.
Additionally, a program that integrates reduced fares with new or expanded transit routes, such as LCTOP, instead of a program focused solely on reduced fares, may work even more effectively to increase ridership and change behaviors.
- Existing programs qualify. Existing programs are eligible for funding through this program if moneys used for those programs increase eligibility or further reduce the cost of a transit pass. It follows, then, that AB 2222 allows existing programs to qualify for funding even with the most modest of fare decreases. This raises questions with regard to the additionality of GHG emissions reductions in those situations, and to what extent the program will result in GHG emissions reductions. How significant do fare decreases need to be to change behaviors and result in GHG emissions reductions?
Additionally, authorizing existing transit fare programs under the bill raises implementation questions. For example, moneys received pursuant to this bill can be used for existing reduced transit fare programs, but only for low-income students as defined in the bill. It is unclear how this requirement will be implemented and seems to create administrative difficulties for ensuring the moneys are only spent to subsidize transit passes for low-income students.
- Prioritization of GHG emissions reductions? AB 2222 does not specify how a transit provider prioritizes which participants, including transit operator, school district, community college, a CSU, or a UC, receive reduced or free transit passes. The only mention of prioritization in the bill is a provision authorizing eligible transit providers to consider granting priority to applicants with existing successful transit pas programs.
- Amendment. Although the program created in AB 2222 has a laudable goal of increasing transit ridership, it is unclear that the program is structured in a way to ensure significant GHG emissions reductions. An amendment is needed to remove provisions related to the use of GGRF moneys to fund the program.
Related/Prior Legislation
SB 951 (McGuire) would have created a pilot program to provide veterans with free access to transit services. This bill was held on the suspense file in Senate Appropriations Committee.
DOUBLE REFERRAL:
This measure was heard in the Senate Transportation and Housing Committee on June 21, 2016, and passed out of committee with a vote of 7-0.
SOURCE:
TransForm, MoveLA
SUPPORT:
Amigos de los Rios
Aspiranet
Association for Commuter Transportation, Southern California Chapter
Bike San Gabriel
California Bicycle Coalition
California Federation of Teachers
California Housing Partnership Corporation
California Pan Ethnic Health Network
California ReLEAF
California State Polytechnic University, Pomona
California State Student Association
California State University
CalPIRG
Catholic Charities of the diocese of Stockton
Center for Community Action and Environmental Justice
Circulate San Diego
Climate Resolve
Coalition for Clean Air
East LA Community Corporation
East Los Angeles College
FAST
Gamaliel of California
Housing California
Investing in Place
Kings Canyon Unified School District
LA Mas
LAANE
Leadership Council for Justice and Accountability
Long Beach Community College District
Los Angeles Business Council
Los Angeles Community College District
Los Angeles County Bicycle Coalition
Los Angeles County Metropolitan Transportation Authority
Los Angeles Neighborhood Initiative
Los Angeles Urban League
Los Angeles Walks
Los Rios Community College District
Mt. San Antonio College
Orange County Transportation Authority
Pacoima Beautiful
Pasadena Area Community College District
Peralta Community College District
PolicyLink
Prevention Institute
Public Advocates
Safe Routes to School
San Diego Community College District
San Francisco Bay Area Rapid Transit District
San Jose Evergreen Community College District
SLATE Z
Southeast Asian Community Alliance
The Trust for Public Land
Union of Concerned Scientists
University of California, Los Angeles
University of Southern California (USC)
Ventura County Transportation Commission
Youth Policy Institute
1 Individual
OPPOSITION:
California Taxpayers Association
-- END --
COMMITTEE ON TRANSPORTATION AND HOUSING
Senator Jim Beall, Chair
2015 - 2016 Regular
Bill No: AB 2222 Hearing Date: 6/21/2016
Author: | Holden | ||
Version: | 5/31/2016 | ||
Urgency: | No | Fiscal: | Yes |
Consultant: | Erin Riches | ||
SUBJECT: Greenhouse Gas Reduction Fund: Transit Pass Program
DIGEST: This bill creates a program to fund free or reduced-fare transit passes for students.
ANALYSIS:
AB 32 (Núñez and Pavley, Chapter 488, Statutes of 2006) requires the state Air Resources Board (ARB) to develop a plan to reduce emissions to 1990 levels by 2020. It also requires ARB to ensure that programs to reduce greenhouse gas (GHG) emissions are targeted, to the extent feasible, to the most disadvantaged communities (DACs) in the state. AB 32 authorizes ARB to deposit any fees paid by GHG emission sources into the Greenhouse Gas Reduction Fund (GGRF).
The 2014-15 budget agreement provides that for 2015-16 and beyond, 25% of GGRF revenues shall be appropriated to the state’s high-speed rail project, 20% for grants under the Affordable Housing and Sustainable Communities (AHSC) program, 10% to the Transit and Intercity Capital Rail Program (TIRCP), and 5% to the Low Carbon Transit Operations program (LCTOP). The remaining 40% is available for annual appropriation by the Legislature.
The 2014-15 budget agreement established two new transit assistance programs. TIRCP is a competitive grant program that funds capital improvements to reduce GHG emissions and modernize California’s intercity, commuter, and urban rail and bus systems to achieve specific policy objectives, with a goal of providing at least 25% of available funding to projects that provide a direct benefit to DACs. LCTOP provides operating and capital assistance for transit agencies to reduce GHG emissions and improve mobility, with a priority on serving DACs. For agencies whose service area includes DACs, at least 50% of the total monies received must be spent on projects that will benefit DACs. LCTOP funds are allocated to transit agencies pursuant to the State Transit Assistance statutory formula.
This bill:
- Creates the Transit Pass Program, to be funded from the GGRF upon appropriation by the Legislature, and administered by the state Department of Transportation (Caltrans).
- Requires the program to support new or existing programs that provide free- or reduced-fare transit passes to low-income students at public middle schools, public high schools, community colleges, the California State University (CSU), or the University of California (UC).
- Authorizes an eligible transit provider to consider prioritizing an application from an eligible participant with an existing, successful transit pass program, provided the participant can demonstrate that additional funding will further reduce the cost of the transit pass or expand program eligibility.
- Requires Caltrans, in coordination with ARB, to develop guidelines and reporting requirements for the program, including but not limited to requiring participants to demonstrate that proposed expenditures will reduce GHG emissions; ensuring program funds are used to expand eligibility or further reduce the cost of a transit pass; and developing performance measures to evaluate whether the program is increasing transit ridership among students.
- Requires transit providers and participants to enter into agreements to ensure that free or reduced-fare transit passes are distributed to students.
- Authorizes funds from AHSC, LCTOP, and other low-carbon transportation programs to be used to augment a free or reduced-fare transit pass program.
- Requires that free or reduced-fare transit passes offered under the program are counted at full retail value for the purposes of the transit provider’s eligibility for State Transit Assistance funding.
- Provides that each eligible transit provider shall receive $20,000 from the program; after that initial amount is allocated, remaining program funds shall be distributed pursuant to the State Transit Assistance formula. Any funds allocated, but not distributed, during a fiscal year shall be distributed the following fiscal year.
COMMENTS:
- Purpose. The author states that it is difficult for students to afford the cost of purchasing, fueling, and maintaining a car in addition to tuition and other student fees. The author states that transit pass programs have proven to be successful; for example, programs at UC Davis and CSU Sacramento increased transit ridership by over 70%, and similar programs at Rio Hondo Community College and Pasadena City College improved student transit ridership by 40%. However, transit pass programs tend to be small and student-driven. This bill encourages transit agencies to increase transit pass programs to more schools and students across the state. By doing so, this bill seeks to provide California’s low-income students with an affordable alternative to using cars to travel to and from school, reduce vehicle miles traveled, and instill transit ridership into the next generation of Californians.
- Why another new program? The Legislature just established a new transit operations assistance program, LCTOP, in the 2014-15 budget agreement. LCTOP funds can be used for transit pass programs; in fact, the Orange County Transportation Authority (OCTA), writing in support of this bill, notes that it used LCTOP funds to establish a reduced-fare transit pass program for youths aged 6-18. According to OCTA, program funds from this bill could help it expand its transit pass program. Creating a new statewide program, however, along with developing guidelines and reporting requirements, is a process that will take a number of months, as opposed to simply increasing the appropriation to LCTOP. The author states that LCTOP does not require funds to be used on transit passes, and that many larger agencies instead use the money for new equipment and infrastructure. The author further states that LCTOP conditions much of the funding on continuously expanding services, and that many agencies indicate they would not take the money if it forced them to add new service each year rather than handing out passes for existing routes close to schools.
- Appropriate use of GGRF funds? Existing law requires GGRF monies to be used to facilitate the achievement of GHG emissions reductions. The author cites a UCLA study finding that high school and college students represent one of the largest segments of “drive-alone” automobile users in the state. This study found that providing free or low-cost access to public transit significantly reduced the demand for student parking on college campuses and decreased traffic in neighborhoods near schools. However, this bill includes middle school students, who are too young to drive to school; many high school students are too also young to drive to school. TransForm, one of the sponsors of this bill, states that parents of schoolchildren add to traffic congestion by dropping off and picking up their children, and that teenagers often skip school because it is too difficult to get to and from school.
- Double-referred. This bill has also been referred to the Committee on Environmental Quality.
Related Legislation:
SB 951 (McGuire) — would have created a pilot program to provide veterans with free access to transit services. This bill was held on suspense in the Senate Appropriations Committee.
SB 824 (Beall) — makes a number of modifications to LCTOP. This bill is pending hearing in the Assembly Transportation Committee.
AB 2090 (Alejo) — authorizes LCTOP funds to be appropriated to support operation of an existing transit service if the governing board of the requesting transit agency declares a fiscal emergency under the California Environmental Quality Act (CEQA). This bill will be also heard in this committee today.
Assembly Votes:
Floor: 72-7
Appr: 18-2
Trans: 16-0
FISCAL EFFECT: Appropriation: Fiscal Com.: Local:
POSITIONS: (Communicated to the committee before noon on Wednesday,
June 15, 2016.)
SUPPORT:
Move LA (co-sponsor)
TransForm (co-sponsor)
Aspiranet
Amigos de los Rios
Associated Students of Santa Monica College
Association for Commuter Transportation, Southern California Chapter
Bay Area Rapid Transit
California Federation of Teachers
California Pan Ethnic Health Network
California State Polytechnic University, Pomona
California State Student Association
California State University
Cerritos College
Children’s Defense Fund
College of the Canyons
Community College League of California
Gamaliel of California
Investing in Place
Kings Canyon Unified School District
Los Angeles College Faculty Guild, AFT Local 1521
Los Angeles Community College District
Los Angeles County Board of Supervisors
Los Angeles County Board of Supervisors member Mark Ridley-Thomas
Los Angeles County Metropolitan Transportation Authority
Los Angeles Job Corps
Los Angeles Trade-Technical College
Los Angeles Unified School District Board Member Monica Garcia
Los Rios Community College District
Mike Eng, Retired Assemblyman
Mt. San Antonio College
National Association of Social Workers, California Chapter
Orange County Transportation Authority
Pasadena Area Community College District
Pasadena City College
Peralta Community College District
Prevention Institute
Public Advocates
Safe Routes to School National Partnership
San Diego Community College District
San Francisco Bay Area Rapid Transit District
Santa Monica Community College
Social Action Partners
TRUST South L.A.
Union of Concerned Scientists
University of California, Los Angeles professor Donald Shoup
University of Southern California
Ventura County Transportation Commission
4 individuals
OPPOSITION:
None received
-- END –
ASSEMBLY THIRD READING
ATR Bill Id:AB 2222
Author:(Holden)
As Amended Ver:
Majority vote
Committee | Votes | Ayes | Noes |
Transportation | 16-0 | Frazier, Linder, Baker, Bloom, Brown, Chu, Daly, Dodd, Eduardo Garcia, Gomez, Kim, Mathis, Medina, Melendez, Nazarian, O'Donnell | |
Appropriations | 18-2 | Gonzalez, Bloom, Bonilla, Bonta, Calderon, Chang, Daly, Eggman, Eduardo Garcia, Roger Hernández, Holden, Jones, Obernolte, Quirk, Santiago, Wagner, Weber, Wood | Bigelow, Gallagher |
SUMMARY: Creates a Transit Pass Program to be administered by the California Department of Transportation (Caltrans) to provide free or reduced cost transit passes to low income students. Funding for the program would be appropriated by the Legislature from the Greenhouse Gas Reduction Fund (GGRF). Specifically, this bill:
- Makes finding and declarations that increasing the use of public transportation is a vital component to reducing greenhouse gas emissions in California, and student transit pass programs have been shown to increase transit ridership.
- Authorizes funding to be appropriated by the Legislature from the GGRF to be allocated to eligible transit providers for the Transit Pass Program.
- Creates the Transit Pass Program to be administered by Caltrans to support local transit pass programs that provide free or reduced fare transit passes to low income students from K-12 public schools, community colleges, the California State University (CSU) and the University of California (UC).
- Defines low income students as:
- Pupils attending middle or high-schools that are eligible for funding under Title I of the No Child Left Behind Act;
- Students attending community college who qualify for a waiver of student fees; and,
- Students attending a CSU or UC who receive an award under the Cal Grant Program or the federal Pell Grant Program.
- Defines eligible participants as a public agency, (including a transit operator), school districts, community college districts, the CSU, and the UC.
- Defines eligible transit provider as a transportation agency, transportation planning agency, or a county transportation commission that receives funds from State Transit Assistance (STA).
- Requires Caltrans, in coordination with the Air Resources Board (ARB), to develop guidelines and reporting requirements for the program, including ensuring that existing transit pass programs expend funds to expand eligibility or further reduce the cost of the transit passes, and developing performance measures to evaluate the effectiveness of the program.
- Requires transit agencies and eligible participants to enter into agreements to ensure transit passes are distributed to students.
- Allows funds to be expended to support new or existing transit pass programs.
- Allows transit agencies to give priority to applicants with an existing transit pass program provided they can demonstrate that the funds will further reduce the cost of the transit pass or expand eligibility.
- Authorizes transit pass programs can be funded from other sources, including the Affordable Housing and Sustainable Communities, the Low Carbon Transportation, and the Low Carbon Transit Operations programs (LCTOP).
- Requires that free or reduced fare transit passes offered under the program are counted at full retail value for the purposes of the transit operator’s eligibility for STA funding.
- Requires that each eligible transit agency receive a minimum allocation of $20,000 and the remainder of the funds be distributed based on existing STA formulas.
- Requires that any funds that are not utilized by a transit agency in a fiscal year be added to the allocation for the program for the next fiscal year.
FISCAL EFFECT: According to the Assembly Appropriations Committee, administrative costs to Caltrans and the ARB, assuming a $50 million annual program, would be around $750,000 annually to: develop and update program guidelines; develop performance measures and quantification methodology to determine greenhouse gas reductions; determine reporting requirements; determine allocations; track disbursements; and ensure compliance with program requirements.
COMMENTS: This bill would establish a transit pass program to provide free or reduced cost transit passes to low income K-12, community college and university students throughout California. The program would be funded by an appropriation of the Legislature from the GGRF. The program would be administered by Caltrans and the funds would be distributed by the Controller according to existing transit formulas. The program structure mirrors the existing LCTOP which provides funds from the GGRF for the expansion of transit services.
Currently, many transit agencies in California provide free or reduced fare transit passes to students for use on their systems. For example, the San Francisco (SF) Muni offers the Free Muni for Youth program that gives free access to Muni to low and moderate income youth, from five to 18 years old. Sacramento Regional Transit also offers students from age five to 18 a 50% discounted fare for monthly passes. The Los Angeles County Metropolitan Transportation Authority (Metro) has been offering reduced fares for both K-12 and college students since the early 1990s. Specifically, Metro has programs for both college students, with a 54% discount on a monthly pass, and a 76% discount for the K-12 program. Most of the programs require proof of the students being registered in school; however the SF Muni program is based upon family income level. Additionally, transit agencies have developed agreements directly with schools in their jurisdictions to partner and provide free or reduced passes to all students. The University of California, Los Angeles (UCLA) and the University of Southern California (USC) provide free passes for their students in partnership with Metro. In the Sacramento area, the University of California, Davis offers a variety of travel options at reduced rates for students and faculty through their goClub. Most transit agencies subsidize the free or reduced fare programs as part of their existing operating budget or utilize funding from other local or private sources. Additionally, the current LCTOP, funded from the GGRF, allows transit agencies to use funds for transit passes.
According to the author, this bill would provide hard-working, budget conscious students with low-cost transit passes that will enable them to commute to and from their destination, while providing local transportation agencies with statistically proven source of new riders. A study conducted by UCLA found that high-school and college students represent one of the largest segments of "drive alone" automobile users in California. The study found that providing free or low-cost access to public transit significantly reduced the demand for student parking at college campuses and that over half of college students polled favored increasing student fees to help fund low-cost transit programs.
As the state and regions continue to work toward the goal of reducing greenhouse gas emissions, as well as cutting other forms of air pollution, as set forth in AB 32 (Núñez), Chapter 488, Statutes of 2006, increasing the mode shift from single occupant car trips to public transportation is critical for success. Encouraging people to learn about and feel confident using public transportation at a young age will support this effort. The state is currently spending cap and trade funds to expand transit capacity to attract new riders and expanding student transit pass programs could help this effort.
Committee Concerns: It is unclear how recipient transit agencies or schools would expand an existing transit pass program or create a new program only for low income students as defined in the bill. Additionally, as stated previously increasing single occupant vehicle mode shift to transit is a top priority and limiting the transit pass program to only low income students may negatively impact this goal.
Please see the policy committee analysis for full discussion of this bill.
Analysis Prepared by: Melissa White / TRANS. / (916) 319-2093 FN: 0003246
Date of Hearing: April 27, 2016
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Lorena Gonzalez, Chair
ABPCA Bill Id:AB 2222
Author:(Holden) – As Amended Ver:April 6, 2016
Policy Committee: | Transportation | Vote: | 16 - 0 |
|
|
Urgency: No State Mandated Local Program: No Reimbursable: No
SUMMARY:
This bill continuously appropriates $50 million per year from the Greenhouse Gas Reduction Fund (GGRF) for a program, to be administered by Caltrans, to provide free or reduced cost public transit passes to students. Specifically, this bill:
- Establishes the Transit Pass Program to support local transit pass programs that provide free or reduced fares to students from K-12 public schools, community colleges, the California State University (CSU) and the University of California (UC).
- Requires Caltrans, in coordination with the Air Resources Board (ARB), to develop guidelines and reporting requirements for the program, including ensuring that existing transit pass programs expend funds to expand eligibility or further reduce the cost of the transit passes, and to develop performance measures to evaluate program effectiveness.
- Requires that each eligible transit agency receive a minimum allocation of $20,000 and the remainder of the funds be distributed based on existing State Transit Assistance formulas.
- Requires at least 33% of program funds to benefit disadvantaged communities.
FISCAL EFFECT:
Continuous special fund appropriation of $50 million (GGFR). Administrative costs to Caltrans and the ARB for a $50 million annual program would be at least $700,000 annually to: develop and update program guidelines; develop performance measures and quantification methodology to determine greenhouse gas reductions; determine reporting requirements; determine allocations; track disbursements; and ensure compliance with program requirements.
COMMENTS:
- Purpose. According to the author, this bill would provide hard-working, budget conscious students with low-cost transit passes that will enable them to commute to and from their destination, while providing local transportation agencies with statistically proven source of new riders. A study conducted by UCLA found that providing free or low-cost access to public transit significantly reduced the demand for student parking at college campuses and that over half of college students polled favored increasing student fees to help fund low-cost transit programs.
- Background. Many transit agencies in California provide free or reduced fare transit passes to students for use on their systems. For example, the San Francisco Muni offers the Free Muni for Youth program that gives free access to low and moderate income youth, from five to 18 years old. Sacramento Regional Transit also offers students from age five to 18 a 50% discounted fare for monthly passes. The Los Angeles County Metropolitan Transportation Authority (Metro) has been offering reduced fares for both K-12 and college students since the early 1990s. Specifically, Metro has programs for both college students, with a 54% discount on a monthly pass, and a 76% discount for the K-12 program.
Additionally, transit agencies have developed agreements directly with schools in their jurisdictions to partner and provide free or reduced passes to all students. The University of California Los Angeles (UCLA) and the University of Southern California (USC) provide free passes for their students in partnership with Metro.
- GGRF. Current law continuously appropriates 60% of GGRF fund proceeds for transit, affordable housing and sustainable communities programs, and high-speed rail.
- Related Legislation. AB 1555 (Gomez), pending in the Assembly Budget Committee, appropriates $800 million from the GGRF to fund a variety of programs, including $10 million for active transportation and transit passes.
Analysis Prepared by: Chuck Nicol / APPR. / (916) 319-2081
Date of Hearing: April 11, 2016
ASSEMBLY COMMITTEE ON TRANSPORTATION
Jim Frazier, Chair
ABPCA Bill Id:AB 2222 (
Author:Holden) – As Amended Ver:April 6, 2016
SUBJECT: Transit passes
SUMMARY: Continuously appropriates $50 million per year from the Greenhouse Gas Reduction Fund (GGRF) for a Transit Pass Program to be administered by the California Department of Transportation (Caltrans) to provide free or reduced cost transit passes to students. Specifically, this bill:
- Makes finding and declarations that increasing the use of public transportation is a vital component to reducing greenhouse gas emissions in California, and student transit pass programs have been shown to increase transit ridership.
- Continuously appropriates $50 million annually, beginning in 2016-17, from the GGRF to be allocated to eligible transit providers for the Transit Pass Program.
- Creates the Transit Pass Program to be administered by Caltrans to support local transit pass programs that provide free or reduced fare transit passes to students from K-12 public schools, community colleges, the California State University (CSU) and the University of California (UC).
- Defines eligible participants as a public agency, (including a transit operator), school districts, community college districts, the CSU, and the UC.
- Defines eligible transit provider as a transportation agency, transportation planning agency, or a county transportation commission that receives funds from State Transit Assistance (STA).
- Requires Caltrans, in coordination with the Air Resources Board (ARB), to develop guidelines and reporting requirements for the program, including ensuring that existing transit pass programs expend funds to expand eligibility or further reduce the cost of the transit passes, and developing performance measures to evaluate the effectiveness of the program.
- Requires transit agencies and eligible participants to enter into agreements to ensure transit passes are distributed to students.
- Allows funds to be expended to support new or existing transit pass programs.
- Allows transit agencies to give priority to applicants with an existing transit pass program provided they can demonstrate that the funds will further reduce the cost of the transit pass or expand eligibility.
- Authorizes transit pass programs can be funded from other sources, including the Affordable Housing and Sustainable Communities, the Low Carbon Transportation, and the Low Carbon Transit Operations programs (LCTOP).
- Requires that free or reduced fare transit passes offered under the program are counted at full retail value for the purposes of the transit operator’s eligibility for STA funding.
- Requires that each eligible transit agency receive a minimum allocation of $20,000 and the remainder of the funds be distributed based on existing STA formulas.
- Requires that any funds that are not utilized by a transit agency in a fiscal year be added to the allocation for the program for the next fiscal year.
- Requires at least 33% of the funds allocated benefit disadvantaged communities.
EXISTING LAW:
- Requires ARB, pursuant to AB 32 (Núñez), Chapter 488, Statutes of 2006, to develop a plan of how to reduce statewide greenhouse gas emissions to 1990 levels by 2020. Under AB 32, ARB is authorized to include the use of market-based mechanisms to comply with these regulations (cap and trade).
- Establishes the GGRF in the State Treasury and requires all money collected pursuant to cap and trade, with limited exceptions, be deposited into the fund and makes the GGRF funds available for appropriation by the Legislature.
- Established the Affordable Housing and Sustainable Communities, the Low Carbon Transportation, and the LCTOP programs and continuously appropriates 60% of GGRF fund proceeds, beginning in the 2015-16 fiscal year, for transit, affordable housing and sustainable communities programs, and high-speed rail.
- Requires, pursuant to SB 535 (de León), Chapter 830, Statutes of 2012, that a minimum of 25% of the moneys available in GGRF be used to benefit disadvantaged communities.
- Provides funding for public transportation through the Transportation Development Act (TDA), including STA which is derived from the statewide sales tax on diesel fuel. STA funds are appropriated by the Legislature and are allocated by formula with 50% of being allocated according to population and 50% being allocated according to transit operator revenues from the prior fiscal year.
- Requires transit operators to maintain a specified ratio of fare revenues to operating costs in order to be eligible to receive TDA funds.
FISCAL EFFECT: Unknown
COMMENTS: This bill would establish a transit pass program to provide free or reduced cost transit passes to K-12, community college and university students throughout California. The program would be funded at $50 million per year to be continuously appropriated from the GGRF. The program would be administered by Caltrans and the funds would be distributed by the Controller according to existing transit formulas. The program structure mirrors the existing LCTOP which provides funds from the GGRF for the expansion of transit services. Transit agencies and schools, community colleges and CSU and UC would be eligible for the funding. The intent of the program is to encourage the creation of transit pass programs and to expand current transit pass programs, including further reducing fares for students.
Currently, many transit agencies in California provide free or reduced fare transit passes to students for use on their systems. For example, the San Francisco (SF) Muni offers the Free Muni for Youth program that gives free access to Muni to low and moderate income youth, from five to 18 years old. Sacramento Regional Transit also offers students from age five to 18 a 50% discounted fare for monthly passes. The Los Angeles County Metropolitan Transportation Authority (Metro) has been offering reduced fares for both K-12 and college students since the early 1990s. Specifically, Metro has programs for both college students, with a 54% discount on a monthly pass, and a 76% discount for the K-12 program. Most of the programs require proof of the students being registered in school; however the SF Muni program is based upon family income level. Additionally, transit agencies have developed agreements directly with schools in their jurisdictions to partner and provide free or reduced passes to all students. The University of California Los Angeles (UCLA) and the University of Southern California (USC) provide free passes for their students in partnership with Metro. In the Sacramento area, the University of California at Davis offers a variety of travel options at reduced rates for students and faculty through their goClub.
Most transit agencies subsidize the free or reduced fare programs as part of their existing operating budget or utilize funding from other local or private sources. The current LCTOP, funded from the GGRF, allows transit agencies to use funds for transit passes. For example, in 2014-15, the Mendocino Transit Authority used LCTOP funds to subsidize bus fares for Mendocino college students. Additionally, $25 million in funding for student transit passes was discussed as part of the 2015-16 state budget deliberations, but no final agreement on an overall package was reached.
According to the author, this bill would provide hard-working, budget conscious students with low-cost transit passes that will enable them to commute to and from their destination, while providing local transportation agencies with statistically proven source of new riders. A study conducted by UCLA found that high-school and college students represent one of the largest segments of “drive alone” automobile users in California. The study found that providing free or low-cost access to public transit significantly reduced the demand for student parking at college campuses and that over half of college students polled favored increasing student fees to help fund low-cost transit programs.
In writing in support of this bill, MoveLA said that universal “any line, any time” student transit pass programs at colleges and universities would encourage students to make decisions about where to live and work based on the proximity of transit, thereby helping to create a “transit culture” in LA County - and perhaps encouraging students to become transit riders for life.
The California State Polytechnic University, Pomona added that many of their students are first generation college students from families of modest means. Students currently must pay very high parking fees and the transit pass program proposed by AB 2222 would offer students an affordable transportation alternative and a reliable means to get to campus. They add that encouraging student transit use could also reduce the need for the university to spend precious resources expanding parking facilities.
As the state and regions continue to work toward the goal of reducing greenhouse gas emissions, as well as cutting other forms of air pollution, as set forth in AB 32, increasing the mode shift from single occupant car trips to public transportation is critical for success. Encouraging people to learn about and feel confident using public transportation at a young age will support this effort. The state has chosen to expend cap and trade funds on both transit capital and operating expenses to expand capacity to attract new riders. The program created by this bill will allow transit agencies and schools to build upon existing success or provide new options for travel in their communities.
Related legislation: AB 1555 (Gomez), would appropriate $800 million from the GGRF to fund a variety of programs including $10 million for active transportation and transit pass investments. AB 1555 currently awaiting a hearing in the Committee on Natural Resources.
SB 951 (McGuire), would create and appropriate $3 million annually from the GGRF through 2020-21 for the Golden State Patriot Passes pilot program to provide veterans with free access to transit. SB 951 is scheduled to be heard in the Senate Committee on Environmental Quality on April 20, 2016.
Previous Legislation: SB 862 (Committee on Budget and Fiscal Review), Chapter 36, Statues of 2014 created and funded the Affordable Housing and Sustainable Communities, the Low Carbon Transportation, and the Low Carbon Transit Operations programs.
AB 1002 (Bloom) of 2013, would have increased the tax on vehicle registrations by $6. 40% of the revenues would have been appropriated to transportation commissions and transit operators to support transit operations and maintain and expand reduced fare programs, including transit passes for students, low-income youth, seniors, and persons with disabilities. AB 1002 failed passage in the Committee on Local Government.
SB 535 (de León), Chapter 830, Statutes of 2012, required, among other things, that a minimum of 25% of the moneys available in GGRF be used to benefits disadvantaged communities.
AB 32 (Núñez), Chapter 488, Statutes of 2006, developed a plan of how to reduce statewide greenhouse gas emission to 1990 levels by 2020.
REGISTERED SUPPORT / OPPOSITION:
Support
TransForm (Sponsor)
American Lunch Association in California
Amigos de los Rios
Bike East Bay
Bike San Gabriel Valley
Bike SLO County
Breathe California
California Bicycle Coalition
California Federation of Teachers
California League of Conservation Voters
California Pan-Ethnic Health Network
California State University
California Walks
CALPIRG
Catholic Charities, Diocese of Stockton
Center for Climate Change and Health
Cerritos College
Chico Velo
Coalition for Clean Air
Comite Civico del Valle
Community College League of California
Environmental Council of Sacramento
Gamaliel of California
Honorable Mark Ridley-Thomas,
Los Angeles County Board of Supervisors, Second District
Honorable Mike Eng, Forty-Ninth Assembly District (retired),
Vice-President, Los Angeles Community College District
Inland Empire Biking Alliance
Leadership Counsel for Justice and Accountability
Livable Communities, Inc.
Los Angeles Community College District
Los Angeles County Bicycle Coalition
Los Angeles Job Corps
Los Angeles Trade-Technical College
Los Rios Community College District
Marin County Bicycle Coalition
MoveLA
Mt. San Antonio College
Napa County Bicycle Coalition
Orthopaedic High School
Pasadena City College District
Peralta Community College District
PolicyLink
Public Advocates
Safe Routes to School National Partnership
San Diego County Bicycle Coalition
Santa Barbara Bicycle Coalition
Silicon Valley Bicycle Coalition
Trust for Public Land
Walk San Francisco
Five private citizens
Opposition
California Chamber of Commerce
Analysis Prepared by: Melissa White / TRANS. / (916) 319-2093
Discussed in Hearing
Senate Standing Committee on Transportation and Housing
Assembly Floor
Senate Standing Committee on Transportation and Housing
Bill Author
Bill Co-Author(s):