Existing law authorizes the formation of the Sacramento Regional Transit District with various powers and duties with respect to transportation planning, programming, construction, and operations. Existing law vests the government of the district in a board of directors and prescribes procedures for increasing the number of members of the board of directors, including authorizing each member entity to make one appointment to the board, as specified.

This bill would authorize the City of Elk Grove to instead appoint 2 members to the board, as specified.

This bill would make legislative findings and declarations as to the necessity of a special statute for the City of Elk Grove.

Existing law authorizes the formation of the Sacramento Regional Transit District with various powers and duties with respect to transportation planning, programming, construction, and operations. Existing law vests the government of the district in a board of directors and prescribes procedures for increasing the number of members of the board of directors, including authorizing each member entity to make one appointment to the board, as specified.

This bill would authorize the City of Elk Grove to instead appoint 2 members to the board, as specified.

This bill would make legislative findings and declarations as to the necessity of a special statute for the City of Elk Grove.

Existing law requires the Sacramento Regional Transit District to award contracts for the construction of transit works or transit facilities that exceed $5,000 to the lowest responsible bidder after competitive bidding, except in an emergency, as specified.

This bill would increase that amount to $25,000.

 CONSENT  

Bill No: AB 354

Author: Stephanie Nguyen (D)

Amended: 3/30/23 in Assembly

Vote: 21

SENATE TRANSPORTATION COMMITTEE: 16-0, 6/13/23

AYES: Gonzalez, Niello, Allen, Archuleta, Becker, Blakespear, Cortese, Dahle, Dodd, Limón, McGuire, Newman, Nguyen, Seyarto, Umberg, Wahab

ASSEMBLY FLOOR: 66-0, 5/11/23 (Consent) - See last page for vote

SUBJECT: Sacramento Regional Transit District: board of directors: membership

SOURCE: Sacramento Regional Transit District

DIGEST:

This bill authorizes the City of Elk Grove to appoint two members, instead of one, to the Sacramento Regional Transit District (SacRT) Board of Directors.

ANALYSIS:

Existing law:

1. Establishes the SacRT Act, which governs the powers and functions of SacRT; establishes SacRT's territory, and planning duties; and, authorizes SacRT to issue general obligation bonds and revenue bonds, as specified.
2. Provides that each appointee to the SacRT Board of Directors shall serve a four-year term, unless earlier removed.
3. Requires the first Board of Directors to consist of seven members appointed within 30 days after the district is formed. Four members of the first SacRT board shall be appointed by the City Council of the City of Sacramento. Three members of the first SacRT board shall be appointed by the Board of Supervisors of the County of Sacramento.
4. Requires the number of members of the SacRT Board of Directors to be increased as follows:
   1. Each member entity that is annexed after initial formation of SacRT shall be entitled to make one appointment to the SacRT board.
   2. A city or county that is not annexed to SacRT may become a participating entity that is entitled to make at least one appointment to the board if the participating entity enters into an agreement with the district that provides for all of the following:
      1. The participating entity agrees to pay its proportionate share of SacRT’s cost to provide rail or other districtwide transit services;
      2. SacRT agrees to maintain a specified level of rail or other districtwide services; and
      3. SacRT is not obligated to provide transit services to any particular location or along any particular route.

This bill:

1. Specifies that for so long as the City of Elk Grove remains annexed into SacRT, the City of Elk Grove may appoint two members to the Board of Directors.
2. Makes other technical and clarifying changes.
3. Finds and declares that a special statute is necessary and that a general statute cannot be made applicable because of the unique circumstances applicable to the City of Elk Grove: In 2000 when the city of Elk Grove was incorporated, the city had a population of 81,663, and, as part of its incorporation, the city was given one seat on the SacRT board of directors; however, 23 years later, the city is now uniquely situated because the City’s population has grown to 178,997, according to the 2021 census, and, given that population increase, the city should have additional representation on the Board of Directors.

Comments:

1. Purpose of the bill. According to the author, “In the year 2000, the City of Elk Grove was annexed and became an incorporated City in the County of Sacramento. At that time, the City had a population of 81,663. As part of its incorporation, the City was given 1 board seat on the Sacramento Regional Transit Board. 23 years later, the City of Elk Grove is now in a unique circumstance as the city’s population is now estimated to be at 178,997 according to the 2021 census. Given the City of Elk Grove’s massive population increase, the need for additional representation on the Sacramento Regional Transit Board is critical. AB 354 will increase the City of Elk Grove’s representation on the transit board from one board seat to two board seats to ensure that the People of Elk Grove have fair representation and a voice on public transportation matters effecting their day-to-day lives.”
2. SacRT. SacRT serves the Cities of Sacramento, Citrus Heights, Elk Grove, Folsom, and Rancho Cordova. It operates 82 bus routes and 43 miles of light rail serving 53 light rail stations and ADA paratransit services a across a 440 square-mile service area, among other services. Currently, SacRT is governed by an 11-member Board of Directors comprised of directors that are appointed by the annexed jurisdictions, which are "member entities," including three members by Sacramento County, four members from City of Sacramento, one member each from the cities of Citrus Heights, Elk Grove, Folsom, and Rancho Cordova.
3. City growth calls for more representation. AB 354 increases the number of seats the City of Elk Grove may appoint to the SacRT board from one to two. According to SacRT, the sponsors of the bill, “Given the City of Elk Grove’s massive population increase, the need for additional representation on the SacRT Board is critical. AB 354 will increase the City of Elk Grove’s representation on the transit board from one board seat to two Board seats to ensure that the People of Elk Grove have fair representation and a voice on public transportation matters affecting their day-to-day lives.”

Related/Prior Legislation

AB 2015 (Cooley, Chapter 182, Statutes of 2022) made various changes to the SacRT Act, including clarified that that each member entity that is annexed after the initial formulation of the transit district is entitled to make one appointment to the Board of Directors and requires that all official acts of the SacRT Board shall require the affirmative vote of a majority of all members of the Board, unless a higher threshold is required by law.

AB 1196 (Cooley, Chapter 272, Statutes of 2021) changed the voting structure for SacRT from a weighted voting structure to a “one member, one vote” voting structure. This bill also removed the code sections pertaining to the weighted voting structure and made other technical and clarifying changes.

AB 709 (McCarty, Chapter 522, Statutes of 2018) made numerous changes to the SacRT Act, including clarifying SacRT’s geographic area and adding a one eighth of one percent sales tax-rate increment to SacRT’s taxation authority.

AB 2137 (Niello, Chapter 272, Statutes, 2006) created SacRTs weighted voting structure.

FISCAL EFFECT: Appropriation: No Fiscal Com.: No Local: No

SUPPORT: (Verified 6/14/23)

Sacramento Regional Transit District (sponsor)

City of Elk Grove

Pat Hume, Sacramento County Supervisor, District 5

OPPOSITION: (Verified 6/14/23)

None received

ASSEMBLY FLOOR: 66-0, 5/11/23

AYES: Addis, Aguiar-Curry, Alanis, Bains, Bennett, Berman, Boerner, Bryan, Calderon, Wendy Carrillo, Chen, Connolly, Megan Dahle, Davies, Essayli, Flora, Mike Fong, Vince Fong, Friedman, Gabriel, Gallagher, Garcia, Gipson, Grayson, Haney, Holden, Hoover, Irwin, Jackson, Jones-Sawyer, Kalra, Lackey, Low, Lowenthal, Maienschein, Mathis, McKinnor, Muratsuchi, Stephanie Nguyen, Pacheco, Papan, Joe Patterson, Pellerin, Petrie-Norris, Quirk-Silva, Ramos, Reyes, Luz Rivas, Robert Rivas, Rodriguez, Blanca Rubio, Sanchez, Santiago, Schiavo, Soria, Ta, Ting, Valencia, Villapudua, Waldron, Wallis, Weber, Wicks, Wilson, Zbur, Rendon

NO VOTE RECORDED: Alvarez, Arambula, Bauer-Kahan, Bonta, Juan Carrillo, Cervantes, Dixon, Hart, Lee, McCarty, Ortega, Jim Patterson, Ward, Wood

Prepared by: Melissa White / TRANS. / (916) 651-4121

6/16/23 13:16:50

**** END ****

SENATE COMMITTEE ON TRANSPORTATION

Senator Lena Gonzalez, Chair

2023 - 2024 Regular

Bill No: Hearing Date: 6/13/2023

SUBJECT:

DIGEST: This bill authorizes the City of Elk Grove to appoint two members, instead of one, to the Sacramento Regional Transit District (SacRT) Board of Directors.

ANALYSIS:

Existing law:

1. Establishes the SacRT Act, which governs the powers and functions of SacRT; establishes SacRT's territory, and planning duties; and, authorizes SacRT to issue general obligation bonds and revenue bonds, as specified.
2. Provides that each appointee to the SacRT Board of Directors shall serve a four-year term, unless earlier removed.
3. Requires the first Board of Directors to consist of seven members appointed within 30 days after the district is formed. Four members of the first SacRT board shall be appointed by the City Council of the City of Sacramento. Three members of the first SacRT board shall be appointed by the Board of Supervisors of the County of Sacramento.
4. Requires the number of members of the SacRT Board of Directors to be increased as follows:
   1. Each member entity that is annexed after initial formation of SacRT shall be entitled to make one appointment to the SacRT board.
   2. A city or county that is not annexed to SacRT may become a participating entity that is entitled to make at least one appointment to the board if the participating entity enters into an agreement with the district that provides for all of the following:
      1. The participating entity agrees to pay its proportionate share of SacRT’s cost to provide rail or other districtwide transit services;
      2. SacRT agrees to maintain a specified level of rail or other districtwide services; and
      3. SacRT is not obligated to provide transit services to any particular location or along any particular route.

This bill:

1. Specifies that for so long as the City of Elk Grove remains annexed into SacRT, the City of Elk Grove may appoint two members to the Board of Directors.
2. Makes other technical and clarifying changes.
3. Finds and declares that a special statute is necessary and that a general statute cannot be made applicable because of the unique circumstances applicable to the City of Elk Grove: In 2000 when the city of Elk Grove was incorporated, the city had a population of 81,663, and, as part of its incorporation, the city was given one seat on the SacRT board of directors; however, 23 years later, the city is now uniquely situated because the City’s population has grown to 178,997, according to the 2021 census, and, given that population increase, the city should have additional representation on the Board of Directors.

COMMENTS:

1. Purpose of the bill. According to the author, “In the year 2000, the City of Elk Grove was annexed and became an incorporated City in the County of Sacramento. At that time, the City had a population of 81,663. As part of its incorporation, the City was given 1 board seat on the Sacramento Regional Transit Board. 23 years later, the City of Elk Grove is now in a unique circumstance as the city’s population is now estimated to be at 178,997 according to the 2021 census. Given the City of Elk Grove’s massive population increase, the need for additional representation on the Sacramento Regional Transit Board is critical. AB 354 will increase the City of Elk Grove’s representation on the transit board from one board seat to two board seats to ensure that the People of Elk Grove have fair representation and a voice on public transportation matters effecting their day-to-day lives.”
2. SacRT. SacRT serves the Cities of Sacramento, Citrus Heights, Elk Grove, Folsom, and Rancho Cordova. It operates 82 bus routes and 43 miles of light rail serving 53 light rail stations and ADA paratransit services a across a 440 square-mile service area, among other services. Currently, SacRT is governed by an 11-member Board of Directors comprised of directors that are appointed by the annexed jurisdictions, which are "member entities," including three members by Sacramento County, four members from City of Sacramento, one member each from the cities of Citrus Heights, Elk Grove, Folsom, and Rancho Cordova.
3. City growth calls for more representation. AB 354 increases the number of seats the City of Elk Grove may appoint to the SacRT board from one to two. According to SacRT, the sponsors of the bill, “Given the City of Elk Grove’s massive population increase, the need for additional representation on the SacRT Board is critical. AB 354 will increase the City of Elk Grove’s representation on the transit board from one board seat to two Board seats to ensure that the People of Elk Grove have fair representation and a voice on public transportation matters affecting their day-to-day lives.”

Related/PREVIOUS Legislation:

AB 2015 (Cooley, Chapter 182, Statutes of 2022) – Made various changes to the SacRT Act, including clarified that that each member entity that is annexed after the initial formulation of the transit district is entitled to make one appointment to the Board of Directors and requires that all official acts of the SacRT Board shall require the affirmative vote of a majority of all members of the Board, unless a higher threshold is required by law.

AB 1196 (Cooley, Chapter 272, Statutes of 2021) – Changed the voting structure for SacRT from a weighted voting structure to a “one member, one vote” voting structure. This bill also removed the code sections pertaining to the weighted voting structure and made other technical and clarifying changes.

AB 709 (McCarty, Chapter 522, Statutes of 2018) – Made numerous changes to the SacRT Act, including clarifying SacRT’s geographic area and adding a one eighth of one percent sales tax-rate increment to SacRT’s taxation authority.

AB 2137 (Niello, Chapter 272, Statutes, 2006) — Created SacRTs weighted voting structure.

FISCAL EFFECT: Appropriation: No Fiscal Com.: No Local: No

POSITIONS: (Communicated to the committee before noon on Wednesday,

June 7, 2023.)

SUPPORT:

Sacramento Regional Transit District (sponsor)

City of Elk Grove

Pat Hume, Sacramento County Supervisor, District 5

OPPOSITION:

None received

-- END --

Date of Hearing: May 3, 2023

ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT

Cecilia Aguiar-Curry, Chair

ABPCA Bill Id:AB 354 (

Author:Stephanie Nguyen) – As Amended Ver:March 30, 2023

SUBJECT: Sacramento Regional Transit District: board of directors: membership.

SUMMARY: Authorizes the City of Elk Grove to appoint two members to the Sacramento Regional Transit District (SacRT) board instead of one. Specifically, this bill:

1. Specifies that for so long as the City of Elk Grove remains annexed into SacRT, the City of Elk Grove may appoint two members to the board.
2. Makes other technical and clarifying changes.
3. Finds and declares that a special statute is necessary and that a general statute cannot be made applicable because of the unique circumstances applicable to the City of Elk Grove: In 2000 when the city of Elk Grove was incorporated, the city had a population of 81,663, and, as part of its incorporation, the city was given one seat on the SacRT board of directors; however, 23 years later, the city is now uniquely situated because the City’s population has grown to 178,997, according to the 2021 census, and, given that population increase, the city should have additional representation on the board.

EXISTING LAW:

1. Establishes the SacRT Act, which governs the powers and functions of SacRT; establishes SacRT's territory, and planning duties; and, authorizes SacRT to issue general obligation bonds and revenue bonds, as specified. [Public Utilities Code (PUC) § 102000 et. Seq.]
2. Provides that each appointee to the SacRT board shall serve a four-year term, unless earlier removed (PUC § 1002100.1)
3. Requires the first board of directors to consist of seven members appointed within 30 days after the district is formed. Four members of the first SacRT board shall be appointed by the City Council of the City of Sacramento. Three members of the first SacRT board shall be appointed by the Board of Supervisors of the County of Sacramento. (PUC § 102100.3)
4. Requires the number of members of the SacRT board to be increased as follows:
   1. Each member entity that is annexed after initial formation of SacRT shall be entitled to make one appointment to the SacRT board (PUC 102100.3).
   2. A city or county that is not annexed to SacRT may become a participating entity that is entitled to make at least one appointment to the board if the participating entity enters into an agreement with the district that provides for all of the following (PUC § 102100.3):
      1. The participating entity agrees to pay its proportionate share of SacRT’s cost to provide rail or other districtwide transit services.
      2. SacRT agrees to maintain a specified level of rail or other districtwide services.
      3. SacRT is not obligated to provide transit services to any particular location or along any particular route.

FISCAL EFFECT: None.

COMMENTS:

1. Sacramento Regional Transit District. SacRT was established by SB 1477 (Rodda), Chapter 1374, Statutes of 1971. SacRT serves citizens in the County of Sacramento and the Cities of Sacramento, Citrus Heights, Elk Grove, Folsom, and Rancho Cordova, by operating over 80 bus routes and 43 miles of light rail across an approximately 400 square-mile service area, among other services.

SacRT is governed by an 11-member Board of Directors comprised of directors that are appointed by the different jurisdictions: three members by Sacramento County, four members by the City of Sacramento, and one member each from the cities of Citrus Heights, Elk Grove, Folsom, and Rancho Cordova.

1. Bill Summary and Author’s Statement. This bill increases the number of seats the City of Elk Grove may appoint to the SacRT board from one to two. This bill is sponsored by SacRT.

According to the author, “In the year 2000, the City of Elk Grove was annexed and became an incorporated City in the County of Sacramento. At that time, the City had a population of 81,663. As part of its incorporation, the City was given 1 board seat on the Sacramento Regional Transit Board. 23 years later, the City of Elk Grove is now in a unique circumstance as the city’s population is now estimated to be at 178,997 according to the 2021 census. Given the City of Elk Grove’s massive population increase, the need for additional representation on the Sacramento Regional Transit Board is critical. AB 354 will increase the City of Elk Grove’s representation on the transit board from one board seat to two board seats to ensure that the People of Elk Grove have fair representation and a voice on public transportation matters effecting their day-to-day lives.”

1. Previous Legislation. AB 2015 (Cooley), Chapter 182, Statutes of 2022, increased, from $100,000 to $125,000, the bid threshold for SacRT’s purchase of supplies, equipment, and materials. This bill also specified that if SacRT establishes a retirement board for the retirement system, board members and employees of the district may serve on its retirement board, and deleted obsolete language in the SacRT Act.

AB 1196 (Cooley), Chapter 272, Statutes of 2021, changed the voting structure for SacRT from a weighted voting structure to a “one member, one vote” voting structure. This bill also removed the code sections pertaining to the weighted voting structure and made other technical and clarifying changes.

AB 709 (McCarty), Chapter 522, Statutes of 2018, made numerous changes to the SacRT Act, including clarifying SacRT’s geographic area and adding a one-eighth of one percent sales tax-rate increment to SacRT’s taxation authority.

1. Arguments in Support. According to SacRT, “Over the past four years, SacRT’s participating entities have all annexed their transit services into our District. The City of Elk Grove being the most recent when it annexed into SacRT effective July 1, 2021. With Elk Grove’s annexation, SacRT’s weighted voting structure was no longer necessary, because each entity on the Board is a member agency. In 2022, AB 1196 was implemented and changed SacRT’s voting structure to one-person one-vote methodology in lieu of the previous weighed vote procedure, which now makes it consistent with the voting structure of most transit agencies, statewide.

“...Given the City of Elk Grove’s massive population increase, the need for additional representation on the SacRT Board is critical. AB 354 will increase the City of Elk Grove’s representation on the transit board from one board seat to two Board seats to ensure that the People of Elk Grove have fair representation and a voice on public transportation matters affecting their day-to-day lives.”

1. Arguments in Opposition. None on file.

REGISTERED SUPPORT / OPPOSITION:

Support

SacRT [SPONSOR]

Opposition

None on file

Analysis Prepared by: Jimmy MacDonald / L. GOV. / (916) 319-3958