AC TRANSIT DISTRICT GM Memo No. 07-225 Board of Directors ...

BRIEFING MEMO
AC TRANSIT DISTRICT GM Memo No. 07-225
Board of Directors
Executive Summary Meeting Date: October 17, 2007
Committees:
Planning Committee
External Affairs Committee
Rider Complaint Committee
Board of Directors
Finance Committee
Operations Committee
Paratransit Committee
Financing Corporation
SUBJECT:
Legislative Report
RECOMMENDED ACTION:
Fiscal Impact:
None
Information Only Briefing Item Recommended Motion
Background/Discussion:
Lynn Suter and Associates report on legislative affairs.
Prior Relevant Board Actions/Policies:
Attachments:
Legislative Report from Lynn Suter and Associates
Approved by: Rick Fernandez, General Manager
Prepared by: Mary King, Acting Deputy General Manager
Date Prepared: October 5, 2007
BOARD ACTION: Approved as Recommended [ ] Other [ ]
Approved with Modification(s) [ ]
[To be filled in by District Secretary after Board/Committee Meeting]
The above order was passed on
___________________, 2007.
Linda Nemeroff, District Secretary
By

3
Lynn M. Suter
and Associates
Government Relations
GM 07-225 Attachment
October 2, 2007
TO:
Greg Harper, President, and
Members of the AC Transit Board of Directors
Mary King, Acting DGM
FR:
RE:
Lynn M. Suter & Associates
Legislative Update
Special Sessions: There has been a lot of activity but little progress on both special
session topics. Yesterday at 2:00 p.m. we enjoyed one of those legislative whip-lash
moments. The Senate went into session to consider Senate PresProTem Perata's $6.8
billion water bond package at the same time the Governor held a press conference to
explain his latest 200 page Health Coverage Proposal.
Water bonds: The water bond package in SBX2 2 was presented to the Senate
Committee on Natural Resources and Water on Monday. The Senate Appropriations
Committee approved it Tuesday morning and then it was presented on the Senate Floor
that afternoon. The failure on the Senate Floor (23-12) was no surprise - - Republicans
will not negotiate until water storage (read: reservoir) construction funding is included.
Perata vows to take the package to the ballot via the initiative route. Also failing passage
in the Senate Natural Resources Committee on Monday was a competing Republican
package totaling $9 billion that would include $5.1 billion for two new dams and
increased capacity for a third (Los Vaqueros in CoCoCounty). The Governor and
Republican leadership declared that they, too, will take the initiative route with their
proposal. While the Assembly held one informational hearing on the topic, it is unclear if
they plan on pursuing their own proposal that would likely face the same fate on the
Assembly Floor.
More Dam Water Wars: Special Session bills will miss the deadline for placement on
the February 5 ballot. Central Valley Ag interests say they'll put up $1 million to get the
signature gathering process started for the Republican package. Looks like combating
water-bond forces will face an initiative road-show rather than passage of a Special
Session compromise. The Governor insists the parties can still come together in a "bipartisan
manner" on a compromise so that when people turn on their faucets in 40 years
"there's water coming out." Hang in there - - we certainly haven't heard the last of this
debate. Despite the sound and fury, compromise is still possible. Deadline for the June
ballot is January 24.
1127-11 th Street, Suite 512 ν Sacramento, CA 95814 ν Telephone 916/442-0412 ν Facsimile 916/444-0383
email: lmsa@lmsa.com

Health Coverage gamble: Enter the lottery! Meanwhile, back in Gov-land, his new
health coverage plan includes state lottery funding instead of the proposed new tax on
docs and additional fees on employers. Docs have been fighting a 2% fee on their
revenues to fund an insurance purchasing pool, and it looks like they won. The gov
proposes to lease administration of the lottery to a private company, magically producing
additional revenues for the purchasing pool. We don't know if his numbers are right or
wrong, but we're sure they are suspect. Number-crunching hasn't been this Admin's high
suit in any area, so there's no reason to expect it now. He still has no author for the bill,
but announced it would be a "Committee Bill." That seems entirely unlikely to us, but
the Governor may have a definition of "Committee Bill" that transcends our usual
understanding. The Gov's new proposal, as with past efforts, makes everything
contingent upon (a) more federal money and (b) passage of a finance package by voters.
In other words, if passed, the Gov can declare victory on a health care package that never
goes into effect.
Prop 1B Transit Capital Funds: Caltrans has released draft guidelines for implementing
the Public Transportation, Improvement and Service Enhancement Account Program
(PTMISEA). These guidelines provide the framework for the allocation of $600 million
in PTMISEA funds appropriated in the 2007-08 budget. In short, the guidelines are
consistent with the implementing statute. However, the debate continues on whether
these funds should flow along the same path as STA revenue, or can these funds bypass
the regional entity and be allocated directly to the operators.
The comment period on the draft guidelines closed October 8. The final guidelines are
expected to be released by October 22, and application deadline is currently scheduled for
November 30 th .
Transit Oriented Development Program: Last month the Department of Housing and
Community Development (HCD) released draft guidelines for the Transit Oriented
Development program contained in Prop 1C. The budget appropriated $90 million for
this program. The guidelines were widely criticized by cities, counties, and transit
operators across the state. In response to this criticism, HCD is expected to release
revised guidelines by mid-October. A brief comment period will follow the release of the
revised guidelines, and HCD plans to release a Notice of Funding Availability (NOFA)
for the TOD program in early November
In addition, HCD has recently scheduled a series of stakeholder meetings to review its
plans for the Infill Incentive Account program, which is also funded by Prop 1C bonds.
The Legislature appropriated $300 million in the 2007-08 budget for this program and
adopted implementation language in SB 86, which was a budget trailer bill. A
stakeholder meeting is scheduled for October 22 in Oakland from 1-4 p.m. in the
auditorium of the Elihu M. Harris Building. HCD plans to issue a NOFA for this
program in January.
Budget News: Our prediction that this year’s fiscal plan wouldn’t last 90 days was
grossly optimistic. Department of Finance and others are lowering their expectations just
2

one month after passage of the tardy state budget. When the budget was signed last
month, Department of Finance was estimating a $5 billion shortfall based upon reduced
income tax revenues. That projection is now up to an $8.6 billion deficit, according to
latest DOF numbers which consider reduced revenues and base-line spending needs.
Among other FY 2007-08 Budget assumptions that cause even wider discrepancies are:
• EdFund will be sold for $1 billion. This is a precarious number, at best. Nobody
really knows how much EdFund would generate in one-time funding, or if it can
be sold at all.
• Ballot initiatives by rival tribes could block compacts just approved for additional
slot machines. In addition, the per-machine revenues may not be achievable.
• The California Transit Association has sued to block divergence of $1.3 billion in
mass transit funds to the state general fund.
• STRS sued and won at trial and appellate court levels to block tapping the refund
for $500 million. The Governor has agreed to return the $500 million to STRS,
an amount that would severely cut into the state’s reserve account.
• The budget does not fund major state employee pay raises, including a stalled
contract with the CCPOA - - an amount estimated at $300 million during Sessionend
attempts at legislation sponsored by prison employees.
• Plummeting home sales are steeper than predicted, and will cut further into state
income tax revenues. The following is a link to DOF’s September revenue
forecast: http://www.dof.ca.gov/HTML/FINBULL/2007_FB/September/
Legislation
The Legislature adjourned on September 12 th , which was two days earlier than scheduled.
This has sparked a debate over the Governor’s signing deadline. As you know, at the end
of session the Governor has 30 days to act on bills. Many assumed that the deadline this
year would be October 12 th . While Legislative Counsel initially agreed with this date,
Leg Counsel has rescinded that opinion and now declares the Governor has until
midnight on October 14 th to sign or veto bills.
That extra time will be needed. To date the there remain 596 bills pending on the
Governor’s desk. Given the large number of bills still pending, we will send an updated
bill chart prior to the Board meeting next week.
3

Bill Topic Status Client-Position
AB 57 (Soto) Highways: federal Governor’s Desk AC Transit-Support
E-09/12/2007 funds: Safe Routes to
School.
NOTE: AB 57 repeals the sunset date for the Safe Routes to
School (SRTS) grant program, thereby extending the program
indefinitely. The bill also specifies that any budget appropriation
for this program shall be in addition to any federal funds allocated
for this program.
AB 118 (Nunez)
E-09/27/2007
Alternative fuels and
vehicle technologies:
funding programs.
Governor’s Desk
AC Transit-Support
& Seek Amendments
NOTE: The bill would enact the California Alternative and
Renewable Fuel, Vehicle Technology, Clean Air, and Carbon
Reduction Act of 2007. Beginning July 1, 2008, this bill would
increase vehicles registration fees and vessel registration fees, as
well as increase the smog abatement fee.
The purpose of this bill is to create a funding source for research,
development, and deployment of clean fuels and advanced vehicle
technologies. The goal is to increase the use of less carbon
intensive fuels and to increase the diversification of the state’s fuel
market.
SB 118 would establish two programs. One administered by
CARB which would focus on grants and loans that reduce
emissions, and one by the Energy Commission which would
provide grants and loans on the development and deployment of
alternative fuel vehicles. Both of these programs could be an
important funding source for AC’s fuel cell and alternative fuel
program.
Prior versions of the bill excluded local public agencies from
applying for these funds, raised concerns that mandated programs
would not be eligible, and did not mention hydrogen as an
alternative fuel. All of theses issues have been corrected.
AB 193 (Committee
on Budget)
E-09/10/2007
Transportation Signed Into Law AC Transit-Watch
revenues.
Chapter 313, Statutes
of 2007
NOTE: As requested by the Governor, this bill makes the
corrections to the budget trailer bill that redirected spill over funds
to the Transportation Debt Service Fund, which is used to
4

eimburse the general fund for debt service payments on
transportation bonds. The Governor vetoed a portion of the fund
transfer due to technical errors in the implementing language. AB
193 restores the veto and corrects the errors.
SB 193 also eliminates duplicative reporting requirements for the
Local Street and Road program in Prop 1B. The implementation
language in SB 88 required cities and counties to follow a more
general reporting requirement as well as a reporting process that
applied only to the local street and road program. SB 193
eliminates the requirement for cities and counties to follow the
general reporting requirements.
AB 196 (Committee
on Budget)
E-09/10/2007
Transportation bond Signed Into Law AC Transit-Watch
funds: cities and
counties.
Chapter 314, Statutes
of 2007
NOTE: This bill cleans-up the implementation language for the
Local Street and Road program in Prop 1B. The budget
appropriated $950 million for this program. AB 196 specifies that
$400 million shall be allocated to counties and $550 million to
cities, which is consistent with the original appropriation request
for this program.
With this appropriation, a total of $600 million will remain for
future appropriation to counties and a total of $450 million will
remain for future appropriation to cities.
AB 490 (Hancock)
C-09/11/2007
Local government: Signed Into Law AC Transit-Sponsor
public utility districts:
Alameda-Contra Chapter 213, Statutes
Costa Transit of 2007
District: San
Francisco Bay Area
Rapid Transit
District:
compensation of
directors.
NOTE: As you know, the Governor signed AB 490 into law. The
provisions of this bill take affect on January 1, 2008.
As signed into law, AB 490 increased the compensation rate for
AC Transit’s board from $500 to $1,000 per month if specified
attendance requirements are met. In addition, the bill allows the
Board to adjust the compensation rate for inflation. The bill also
5

allowed BART to make inflationary adjustments, and updated the
compensation rate for Public Utility Districts.
AB 574 (Torrico)
E-09/11/2007
High-occupancy toll Governor’s Desk AC Transit-Watch
(HOT) lanes.
NOTE: As sent to the Governor AB 574 would eliminate the fouryear
sunset date for each of authorized high-occupancy toll lane
(HOT) projects in the Counties of Alameda, San Diego, and Santa
Clara. The bill also allows each entity authorized to operate the
HOT lanes to bond off of the revenue stream.
AB 665 (DeSaulnier)
E-09/12/2007
So far, signals from the Governor’s office are positive for a
signing. The Governor’s staff is carefully reviewing each word
and every comma placement to make sure there are no hidden
surprises.
Growth management. Governor’s Desk
AC Transit-Watch
NOTE: This bill requires the Department of Housing and
Community Development, to the extent funds are available, to
produce an annual Growth Management Information Report and
requests the University of California to produce a study on land
use planning and growth management strategies.
AB 945 (Carter)
E-09/11/2007
Transportation needs Governor’s Desk AC Transit-Watch
assessment.
NOTE: This bill requires the California Transportation
Commission to prepare transportation needs assessment every five
years.
The bill directs the CTC to work with regional transportation
planning agencies, and statewide associations such as the League
of Cities, CSAC, and the California Transit Association.
AB 1091 (Bass)
E-09/12/2007
Transit-Oriented Governor’s Desk AC Transit-Watch
Development
Implementation
Program.
NOTE: For projects funded by the Transit-Oriented Development
Implementation Program in Prop 1C, this bill expands the radius
between an eligible project and a transit station from one-quarter
mile to one-half mile. The bill also specifies that the distance must
be readily walkable, but the bill does not define the term “readily
walkable.”
6

AB 1492 (Laird)
E-09/28/2007
Vehicles: transit Governor’s Desk AC Transit-Support
buses: right-of-way.
NOTE: This bill allows the Santa Cruz Metropolitan Transit
District (SCMTD) and the Santa Clara Valley Transportation
Authority (VTA) to resume a pilot project that requires motorists
to yield to a transit bus that is equipped with a right-of-way yield
sign on the left rear of the bus.
AB 1543 (Leno)
E-09/12/2007
Treasure Island Governor’s Desk AC Transit-Watch
Transportation
Management.
NOTE: This bill creates the Treasure Island Transportation
Management Act to develop and fund an innovative and
sustainable transportation plan for Treasure Island and Yerba
Buena Island in San Francisco Bay.
The bill allows the San Francisco Board of Supervisors to create an
administrative entity that would be in charge of administering
congestion pricing fees, on- and off-street parking fees, and a
transit pass fee on residents and other users of Treasure Island.
The revenue would be used to fund ferry, bus and other
transportation services on and to the island.
AB 1581 (Fuller)
E-09/06/2007
AB 1672 (Nunez)
E-09/11/2007
Traffic-actuated Signed Into Law AC Transit-Watch
signals: bicycles:
motorcycles. Chapter 337, Statutes
of 2007
NOTE: This bill requires cities and counties, upon first placement
of a traffic-actuated signal or replacement of the loop detector of a
traffic-actuated signal, to install those signals that detect
motorcycle and bicycle traffic on the roadway.
California Governor’s Desk AC Transit-Watch
Transportation
Commission.
NOTE: This bill would require the CTC to consult with the chairs
of the appropriate policy and budget committees 60 days prior to
adopting changes to guidelines for the expenditure of Proposition
1B funds.
In addition, AB 1672 would increase the voting members on the
7

CTC from 9 to 11 members. One new member would be
appointed by the Senate Rules Committee and one by the Speaker
of the Assembly
SB 70 (Florez)
E-09/19/2007
SB 717 (Perata)
E-09/17/2007
Biodiesel.
09/19/2007-Enrolled. AC Transit-Support
To Governor at 11:45
a.m. (09/19/2007-S
ENROLLED)
NOTE: This bill authorizes the State of California, cities, counties,
mass transit districts, and school districts to use a biodiesel fuel
blend of greater than 20 percent biodiesel to operate all their
diesel-powered vehicles if certain conditions are met. In addition,
SB 70 defines and specifies standards for biodiesel, biodiesel
blends, renewable diesel, and renewable diesel blends.
Transportation Governor’s Desk AC Transit-Support
Investment Fund.
NOTE: This bill would continue the transfer of Prop 42 sales tax
revenue to the Transportation Investment Fund (TIF) beginning in
fiscal year 2008-09 according to the existing 40-40-20 formula.
The bill also alters the division of the 20% allocated to the Public
Transportation Account. As amended the transit share would be
split with 75% allocated pursuant to the State Transit Assistance
formula and 25% allocated to transit capital projects programmed
through the STIP.
SB 976 (Torlakson)
E-09/17/2007
San Francisco Bay Governor’s Desk AC Transit-Watch
Area Water
Emergency
Transportation
Authority.
NOTE: This bill would overhaul the authorizing statute for the
Water Transit Authority. In summary, SB 976 makes the
following changes:
♦ Renames the WTA the San Francisco Bay Area Water
Emergency Transportation Authority.
♦ Reduces its board from 11 to 5 members. The Governor
appoints three members, the Speaker one member, and
Senate Rules Committee appoints one member. The board
members must be Bay Area residents
♦ Authorizes the WETA to operate ferry service in the Bay
Area.
8

♦ Consolidates the operation of all ferry service, except for
Golden Gate Ferry service, under the control of WETA.
♦ Repeals existing law prohibiting the WETA to receive STA
and TDA funds, as well as seek tax revenue.
♦ Makes conforming changes in statute regarding RM 2
funded ferry projects.
9

3
Lynn M. Suter
and Associates
Government Relations
GM 07-225
October 15, 2007
TO:
Greg Harper, President, and
Members of the AC Transit Board of Directors
Mary King, Acting DGM
FR:
RE:
Lynn M. Suter & Associates
Sign/Veto Update
Legislation
October 14 th was the deadline for the Governor to take action on all bills sent to his office
at the end of session. The following is the final status of those bills we were tracking. If
a chapter number does not appear, it’s because a number has not been assigned yet.
The score card: For the 2007 session Governor Schwarzenegger signed 750 bills and
vetoed 214. This veto rate is consistent with past sessions where he has vetoed a little
over 20% of all measures that reach his desk. Peter Detwiler with the Senate Local
Government Committee has provided us with some interesting sign/veto factoids:
• Schwarzenegger vetoed more bills in four years (1,019) than Reagan did in eight
years (843).
• Schwarzenegger signed the lowest number of bills of any recent governor (729 in
2005).
• Schwarzenegger holds the record for the lowest annual average (836 a year over four
years).
• Wilson signed the fewest bills of any recent, two-term governor (9,324 over eight
years).
• Deukmejian vetoed the most bills (2,298 over eight years).
• Deukmejian vetoed the most bills in a single year (436 in 1990).
• But the highest percentage of bills vetoed came from Davis (24.91% in 2000).
• In his five years, Davis vetoed twice as many bills (1,098) as Brown did in eight years
(528).
• In 1982, Brown vetoed just 30 bills, setting the record for the lowest number of
vetoes.
• The five years with the highest number of chaptered bills were all with Republican
governors (1971, 1984, 1967, 1990, 1988).
• Although political conservatives, Deukmejian and Reagan signed more bills than
Brown, the more activist liberal.
1127-11 th Street, Suite 512 ν Sacramento, CA 95814 ν Telephone 916/442-0412 ν Facsimile 916/444-0383
email: lmsa@lmsa.com

Bill Topic Status Client-Position
AB 57 (Soto) Highways: federal Signed Into Law AC Transit-Support
E-09/12/2007 funds: Safe Routes to
School.
Chapter 484, Statues
of 2007
NOTE: AB 57 repeals the sunset date for the Safe Routes to
School (SRTS) grant program, thereby extending the program
indefinitely. The bill also specifies that any budget appropriation
for this program shall be in addition to any federal funds allocated
for this program.
AB 118 (Nunez)
E-09/27/2007
Alternative fuels and
vehicle technologies:
funding programs.
Signed Into Law
AC Transit-Support
& Seek Amendments
Chapter
NOTE: The bill would enact the California Alternative and
Renewable Fuel, Vehicle Technology, Clean Air, and Carbon
Reduction Act of 2007. Beginning July 1, 2008, this bill would
increase vehicles registration fees and vessel registration fees, as
well as increase the smog abatement fee.
The purpose of this bill is to create a funding source for research,
development, and deployment of clean fuels and advanced vehicle
technologies. The goal is to increase the use of less carbon
intensive fuels and to increase the diversification of the state’s fuel
market.
SB 118 would establish two programs. One administered by
CARB which would focus on grants and loans that reduce
emissions, and one by the Energy Commission which would
provide grants and loans on the development and deployment of
alternative fuel vehicles. Both of these programs could be an
important funding source for AC’s fuel cell and alternative fuel
program.
Prior versions of the bill excluded local public agencies from
applying for these funds, raised concerns that mandated programs
would not be eligible, and did not mention hydrogen as an
alternative fuel. While we have been told that AC should be
eligible to apply for these funds, clean-up legislation may be
necessary to clarify that AC Transit’s fuel cell program is an
eligible applicant.
2

AB 193 (Committee
on Budget)
E-09/10/2007
Transportation Signed Into Law AC Transit-Watch
revenues.
Chapter 313, Statutes
of 2007
NOTE: As requested by the Governor, this bill makes the
corrections to the budget trailer bill that redirected spill over funds
to the Transportation Debt Service Fund, which is used to
reimburse the general fund for debt service payments on
transportation bonds. The Governor vetoed a portion of the fund
transfer due to technical errors in the implementing language. AB
193 restores the veto and corrects the errors.
SB 193 also eliminates duplicative reporting requirements for the
Local Street and Road program in Prop 1B. The implementation
language in SB 88 required cities and counties to follow a more
general reporting requirement as well as a reporting process that
applied only to the local street and road program. SB 193
eliminates the requirement for cities and counties to follow the
general reporting requirements.
AB 196 (Committee
on Budget)
E-09/10/2007
Transportation bond Signed Into Law AC Transit-Watch
funds: cities and
counties.
Chapter 314, Statutes
of 2007
NOTE: This bill cleans up the implementation language for the
Local Street and Road program in Prop 1B. The budget
appropriated $950 million for this program. AB 196 specifies that
$400 million shall be allocated to counties and $550 million to
cities, which is consistent with the original appropriation request
for this program.
With this appropriation, a total of $600 million will remain for
future appropriation to counties and a total of $450 million will
remain for future appropriation to cities.
AB 490 (Hancock)
C-09/11/2007
Local government: Signed Into Law
public utility districts:
Alameda-Contra Chapter 213, Statutes
Costa Transit of 2007
District: San
Francisco Bay Area
Rapid Transit
District:
compensation of
directors.
AC Transit-Sponsor
3

NOTE: As you know, the Governor signed AB 490 into law. The
provisions of this bill take affect on January 1, 2008.
As signed into law, AB 490 increased the compensation rate for
AC Transit’s board from $500 to $1,000 per month if specified
attendance requirements are met. In addition, the bill allows the
Board to adjust the compensation rate for inflation. The bill also
allowed BART to make inflationary adjustments, and updated the
compensation rate for Public Utility Districts.
AB 574 (Torrico)
E-09/11/2007
High-occupancy toll Signed Into Law AC Transit-Watch
(HOT) lanes.
Chapter 498, Statutes
of 2007
NOTE: As sent to the Governor AB 574 would eliminate the fouryear
sunset date for each of authorized high-occupancy toll lane
(HOT) projects in the Counties of Alameda, San Diego, and Santa
Clara. The bill also allows each entity authorized to operate the
HOT lanes to bond off of the revenue stream.
So far, signals from the Governor’s office are positive for a
signing. The Governor’s staff is carefully reviewing each word
and every comma placement to make sure there are no hidden
surprises.
AB 665 (DeSaulnier)
E-09/12/2007
Growth management. Vetoed
AC Transit-Watch
NOTE: This bill requires the Department of Housing and
Community Development, to the extent funds are available, to
produce an annual Growth Management Information Report and
requests the University of California to produce a study on land
use planning and growth management strategies.
In his veto message the Governor stated that, “some of the criteria
called for in the report would require data which would be
problematic, if not impossible, to gather. Also, while the bill
provides that the report is only required to the extent funding is
available, the bill requires HCD to make efforts to obtain the
needed funding. This provision would place unnecessary pressure
on HCD's general fund programs.”
4

AB 945 (Carter)
E-09/11/2007
Transportation needs Vetoed
AC Transit-Watch
assessment.
NOTE: This bill requires the California Transportation
Commission to prepare transportation needs assessment every five
years. The Governor’s veto message stated that in addition to the
STIP and 20 year regional transportation plans, “Californians do
not need another report to tell them that the state's transportation
needs are great.”
The bill directs the CTC to work with regional transportation
planning agencies, and statewide associations such as the League
of Cities, CSAC, and the California Transit Association.
Unfortunately, the bill was not amended to specifically require
consultation with transportation authorities and congestion
management agencies.
AB 1091 (Bass)
E-09/12/2007
Transit-Oriented Vetoed
AC Transit-Watch
Development
Implementation
Program.
NOTE: For projects funded by the Transit-Oriented Development
Implementation Program in Prop 1C, this bill expands the radius
between an eligible project and a transit station from one-quarter
mile to one-half mile. The also specifies that the distance must be
readily walkable, but the bill does not define the term “readily
walkable.”
According to the Governor, “This bill could substantially reduce
the effectiveness of (the Prop 1C TOD) program by allowing for
developments one-half mile in distance from a transit station. This
half-mile measurement could be taken from the outer edge of the
development, and could result in a walking distance substantially
greater than one-half mile, which could discourage many residents
from utilizing public transit. This bill is inconsistent with the
State's goals to reduce vehicle emissions and encourage
alternative methods of transportation.”
5

AB 1492 (Laird)
E-09/28/2007
Vehicles: transit Signed Into Law AC Transit-Support
buses: right-of-way.
Chapter 451, Statutes
of 2007
NOTE: This bill allows the Santa Cruz Metropolitan Transit
District (SCMTD) and the Santa Clara Valley Transportation
Authority (VTA) to resume a pilot project that requires motorists
to yield to a transit bus that is equipped with a right-of-way yield
sign on the left rear of the bus.
AB 1543 (Leno)
E-09/12/2007
Treasure Island Vetoed
AC Transit-Watch
Transportation
Management.
NOTE: This bill creates the Treasure Island Transportation
Management Act to develop and fund an innovative and
sustainable transportation plan for Treasure Island and Yerba
Buena Island in San Francisco Bay.
The bill allows the San Francisco Board of Supervisors to create an
administrative entity that would be in charge of administering
congestion pricing fees, on- and off-street parking fees, and a
transit pass fee on residents and other users of Treasure Island.
The revenue would be used to fund ferry, bus and other
transportation services on and to the island.
The veto message included the following statement, “The bill
provides an exemption to existing law that prohibits local agencies
from imposing new taxes, permit fees, or other charges for the
privilege of using its streets and roads. This exemption would
allow the imposition of automobile congestion fees, on- and offstreet
parking fees, and transit pass fees on both residents and
other users. While such an exemption may be appropriate for the
islands, any new fees proposed as a result of this exemption should
be approved by a vote of the people. On numerous bills attempting
to raise fees for local purposes, I have held that such fees should
be approved by a vote of the people. This measure does not include
such a provision. For this reason, I am returning this bill without
my signature.”
6

AB 1581 (Fuller)
E-09/06/2007
Traffic-actuated Signed Into Law AC Transit-Watch
signals: bicycles:
motorcycles. Chapter 337, Statutes
of 2007
NOTE: This bill requires cities and counties, upon first placement
of a traffic-actuated signal or replacement of the loop detector of a
traffic-actuated signal, to install those signals that detect
motorcycle and bicycle traffic on the roadway.
AB 1672 (Nunez)
E-09/11/2007
California Signed Into Law AC Transit-Watch
Transportation
Commission. Chapter 717, Statutes
of 2007
NOTE: This bill would require the CTC to consult with the chairs
of the appropriate policy and budget committees 60 days prior to
adopting changes to guidelines for the expenditure of Proposition
1B funds.
In addition, AB 1672 would increase the voting members on the
CTC from 9 to 11 members. One new member would be
appointed by the Senate Rules Committee and one by the Speaker
of the Assembly
SB 70 (Florez)
E-09/19/2007
Biodiesel. Vetoed AC Transit-Support
NOTE: This bill authorizes the State of California, cities, counties,
mass transit districts, and school districts to use a biodiesel fuel
blend of greater than 20 percent biodiesel to operate all their
diesel-powered vehicles if certain conditions are met. In addition,
SB 70 defines and specifies standards for biodiesel, biodiesel
blends, renewable diesel, and renewable diesel blends.
The Governor’s veto message contained the following statement:
“I support the goal to increase the use of biodiesel fuels, but this
bill is a piecemeal approach to transportation fuels standards.
Pursuant to AB 1007 (Chapter 371, Statutes of 2005), the
California Energy Commission, in partnership with the Air
Resources Board, will shortly release the State Alternative Fuels
Plan to increase the use of alternative transportation fuels in
California. This effort will identify the most effective strategies for
the State to use to increase the level of alternative fuel use in the
California market. Until the AB 1007 report's findings are known
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and reviewed, I believe it is at best premature to consider this
measure at this time. Finally, this bill only encourages the use of
biodiesel blend fuels in school and transit buses, excluding
renewable diesel fuels which are potentially higher quality than
biodiesel and which could greatly expand the supply of attractive
diesel fuels.”
SB 717 (Perata)
E-09/17/2007
Transportation Signed Into Law AC Transit-Support
Investment Fund.
Chapter
NOTE: This bill would continue the transfer of Prop 42 sales tax
revenue to the Transportation Investment Fund (TIF) beginning in
fiscal year 2008-09 according to the existing 40-40-20 formula.
The bill also alters the division of the 20% allocated to the Public
Transportation Account. As amended the transit share would be
split with 75% allocated pursuant to the State Transit Assistance
formula and 25% allocated to transit capital projects programmed
through the STIP.
SB 976 (Torlakson)
E-09/17/2007
San Francisco Bay Signed Into Law AC Transit-Watch
Area Water
Emergency
Transportation
Authority.
Chapter
NOTE: This bill would overhaul the authorizing statute for the
Water Transit Authority, and would create the San Francisco Bay
Area Water Emergency Transportation Authority.
The Governor issued the following statement in signing this bill:
“While I support this bill and its goals, many issues remain to be
concluded to their ultimate resolution including implementation,
scope of authority, and operations. These issues must be resolved
in an equitable manner for the operators and passengers, both
current and future. The Legislature has committed to providing
that equity and I am signing this bill based on that commitment to
the Bay Area. I urge the Legislature and the new created authority
to work with Bay Area cities, ferry operators, commuters, and all
other interested parties to ensure that equity is provided in the
appropriate manner.”
In summary, SB 976 makes the following changes:
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♦ Renames the WTA the San Francisco Bay Area Water
Emergency Transportation Authority.
♦ Reduces its board from 11 to 5 members. The Governor
appoints three members, the Speaker one member, and
Senate Rules Committee appoints one member. The board
members must be Bay Area residents
♦ Authorizes the WETA to operate ferry service in the Bay
Area.
♦ Consolidates the operation of all ferry service, except for
Golden Gate Ferry service, under the control of WETA.
♦ Repeals existing law prohibiting the WETA to receive STA
and TDA funds, as well as seek tax revenue.
♦ Makes conforming changes in statute regarding RM 2
funded ferry projects.
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