California State Rail Plan 2007-08 to 2017-18

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2007-08 – 2017-18 California State Rail PlanAs well, many of the passenger rail projects improved the infrastructure andincreased capacity on two major freight railroads in the state. In addition, statefunding for grade crossing improvements is provided by the Section 130 gradecrossing program and short line preservation program.STATE GENERAL FUND PROGRAMSRecognizing the need for increased public investment in freight rail infrastructure,other states have implemented programs paid through general state revenues. Forexample, Washington State created “The Essential Rail Assistance Account” adedicated rail account in the state treasury to be used acquisition or rehabilitationof rail lines, equipment, mitigation of port or mainline congestion and corridorpreservation. An additional statute spells out the benefits, roles, andresponsibilities of public-private partnerships as a means of developinginnovatively financed transportation infrastructure projects. An interestinginnovation is the purchase and maintenance of specialized freight cars to ensureadequate equipment for agricultural uses. Recent monies used for freight railprojects have totaled $31.5 million between 1990 and 2005, with most of thesefunds allocated between 2003 and 2005.Florida provides the Strategic Intermodal System (SIS) program, which offers asteady stream of funding. Currently the SIS provides about $9 million annually;when matched with private funds the total rises to about $16 million. It isestimated that about $81 million in combined public and private funds will beavailable between 2006 and 2010 to upgrade Florida’s rail network, but that willfund only about 10% of the identified needs.Virginia uses the Rail Preservation and Development Program to assist short linerailroads operating in Virginia. It has grown steadily from $500,000 in 1991 tonearly $3 million in 2004. This program focuses on rail line preservation.An additional program is the Rail Industrial Access Program that identifiesopportunities for constructing or refurbishing track to allow new rail service intoindustrial locations. Funds are not exclusive to rail but must compete with roadand airport projects. It is estimated that nearly 20,000 new jobs have beengenerated with this program as well as four billion dollars in planned capitalimprovements.The Rail Freight Program (RFP) is an Illinois Department of Transportationsponsoredprogram that provides capital assistance to communities, railroads andshippers to preserve and improve rail freight service in the state. The RFP’sprimary goal is to facilitate investments in rail service and infrastructure byserving as a link between interested parties and channeling government funds toprojects that achieve statewide economic development. Capital funding isprovided in the form of low interest loans and/or grants. In 2006 the RFPprovided seven million dollars in state and federal funding for the construction ofnew infrastructure and rehabilitation of existing track. California should248
Chapter XVIII – Fundinginvestigate “best practices” from other states as part of a comprehensive approachto developing its own model-funding template.Currently, Article 19 of the California Constitution identifies authorized uses ofthe states motor fuel tax revenues. However, it restricts the State’s ability to useState Highway Account funds for purposes other than highway, roadway, andsome passenger mass transit guideway purposes. Therefore, if the highest publicinvestment need is a rail freight project, it is not fundable from the State HighwayAccount. A legislative solution to this restriction might be to create a separateGoods Movement Investment Fund, fiscally separate from the State TransportationFund.A Goods Movement Investment Fund would be created in the State Treasury.The statutory language would specify the purpose of the fund as two-fold. First, itwould be to receive non-Article 19 restricted State revenues (such as those fromthe General Fund), and federal funds authorized for goods movement projectpurposes. Second, it would be for the purpose of allocation of such funds to keygoods movement transportation projects, such as investments in public and privatefreight rail system improvements. Expenditure of available funds would be basedon an annual discretionary program, prepared and recommended by theDepartment, and approved by the California Transportation Commission.BOND FUNDINGTrade Corridors Improvement Fund (TCIF)Public participation and interest in rail projects has been relatively well advancedin California, particularly in the passenger sector. In November 2006, the votersof California broadened its traditional support for bond-funded passenger railprograms to include freight rail infrastructure by passing Proposition 1B. One ofthe key elements of the legislation is the $2 billion dedicated to the TradeCorridors Improvement Fund (TCIF). The TCIF specifically acknowledges theimportance of freight rail to the overall goods movement system, and allows thefreight rail industry to partner with the public sector in funding freight railinfrastructure. Other rail-related funds identified in the legislation included $250million for highway-rail grade separation projects.The California Transportation Commission (CTC) will develop the guidelines andselect the projects to be funded from the TCIF. As of September 2007,the Administration has requested the CTC to adopt guidelines and approve aprogram of infrastructure projects by December 31, 2007. In addition,the California State Legislature is considering criteria for implementingProposition 1B, contained in Senate Bill 9. As of September 2007, this bill has notyet been passed by the Legislature, although it has been amended several times.As currently written, this bill could limit the use of TCIF funds for freight railprojects, so a dialogue with the bill’s sponsor is ongoing.249
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California State Rail Plan 2007-08
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2007-08 - 2017-18 California State
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Table of ContentsTable of Contents(
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Table of FiguresTable of FiguresFig
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California State Rail Plan 2007-08
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CALIFORNIA TRANSPORTATION PLAN 2025
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during evenings and weekends.• Cr
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ArcataFortunaScotia• Improved Amt
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SouthernCaliforniaCommuterRailChapt
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NorthernCaliforniaCommuterRail• C
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AUBURN-OAKLAND REGIONAL RAIL SERVIC
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AMTRAK PLANNINGIn April 2005, Amtra
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it is in the strategic interest of
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INTRODUCTIONGovernment Code Section
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PART IPASSENGER RAIL ELEMENT3
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Chapter I - California’s Vision f
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Chapter II - Capital ProgramCHAPTER
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Chapter II - Capital ProgramFigure
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Chapter II - Capital Programevaluat
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Chapter II - Capital Programsignals
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Chapter II - Capital ProgramThe Dep
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Chapter II - Capital ProgramIn the
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Chapter II - Capital Programsupplem
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Chapter II - Capital ProgramA numbe
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Chapter III - Operations ProgramCHA
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Chapter III - Operations ProgramADM
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Chapter III - Operations Programcon
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Chapter IV - Marketing ProgramCHAPT
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Chapter IV - Marketing Programprodu
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Chapter IV - Marketing ProgramGROUP
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Chapter IV - Marketing ProgramThe f
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Chapter IV - Marketing ProgramBEYON
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Chapter V - The California Passenge
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Chapter VI - Pacific Surfliner Rout
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California State Rail Plan 2007-08 to 2017-18

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