SB 1216: Trade Corridors Improvement Fund: federal funds.

Session Year: 2015-2016
House: Senate

Version:

The Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006 (Proposition 1B) created the Trade Corridors Improvement Fund (TCIF) and provided for allocation by the California Transportation Commission of $2 billion in bond funds for infrastructure improvements on highway and rail corridors that have a high volume of freight movement, and specified categories of projects eligible to receive these funds. Existing law continues the TCIF in existence in order to receive revenues from sources other than the bond act for these purposes.

This bill would require revenues apportioned to the state from the National Highway Freight Program established by the federal Fixing Americas Surface Transportation Act to be allocated for trade corridor improvement projects approved pursuant to these provisions.

Existing law requires the commission, in determining projects eligible for funding, to consult various state freight and regional infrastructure and goods movement plans and the statewide port master plan.

This bill would delete consideration of the State Air Resources Boards Sustainable Freight Strategy and the statewide port master plan and would instead include consideration of the applicable port master plan and, for the nonfederal funds, the California Sustainable Freight Action Plan when determining eligible projects for funding. The bill would also expand eligible projects to include rail landside access improvements, landside freight access improvements to airports, and certain capital and operational improvements. The bill would authorize the commission to revise the guidelines adopted in 2007 for the TCIF and would require the commission to allocate funds to projects pursuant to the guidelines, but would require the commission to allocate the above-referenced federal funds consistent with the original guidelines adopted in 2007, as specified.

The Personal Income Tax Law and the Corporation Tax Law allow various credits against the taxes imposed by those laws, including hiring credits within the specified economic development areas. Existing law requires any bill authorizing a new personal income tax or corporation tax credit to contain, among other things, specific goals, purposes, and objectives that the tax credit will achieve, detailed performance indicators, and data collection requirements, as provided.

This bill, under both laws for taxable years beginning on or after January 1, 2017, and before January 1, 2022, would allow a credit against the net tax or tax in an amount equal to 23.5% of qualified wages paid by a qualified taxpayer, as defined, to qualified full-time employees, as defined, which are persons between 18 and 25 years of age who complete a work readiness program, and meet other specified requirements, not to exceed $15,000 per qualified taxpayer per taxable year, as provided. The bill would also include that additional information required for any bill authorizing a new income tax credit.

This bill would take effect immediately as a tax levy.

Discussed in Hearing