BILL ANALYSIS
AB 2224
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 2224 (Nation)
As Amended June 27, 2002
Majority vote
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|ASSEMBLY: |49-22|(May 23, 2002) |SENATE: |22-14|(August 12, |
| | | | | |2002) |
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Original Committee Reference: TRANS.
SUMMARY : Creates the Sonoma-Marin Area Rail Transit (SMART)
District (district) and establishes a comprehensive set of
powers and duties regarding the formation, governance,
organization, maintenance, operation and potential dissolution
of the district.
The Senate amendments :
1)Expand the definition of "rail transit facility," or "rail
transit works" under this bill to include "ancillary bicycle
and pedestrian pathways that provide connections between and
access to station sites," and make related changes throughout
this bill.
2)Clarify that each of the three mayoral/city council appointees
to the district governing board from Sonoma County must be
appointed by the Sonoma County Mayors and Council Members
Association, or its successor.
3)Provide for the selection of a mediator in order to resolve
disputes that may arise when the district and the North Coast
Rail Authority (NCRA) are unable to negotiate a new operating
agreement.
4)Direct the district, when installing commuter stations in
Marin County north of San Rafael, to locate stations only
within areas that are incorporated as of the operative date of
this bill.
5)Specify that the district shall be responsible for any advance
payment of any portion of the NCRA's "Q-Fund" loan repayment
obligation caused by the district's action.
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6)Clarify the Legislature's intent that upon dissolution,
property within the district continue to be held in public
ownership.
7)Renumber and recast this bill's provisions, and make other
technical and clarifying changes.
EXISTING LAW establishes various local entities to carry out
transportation functions within their respective areas of
jurisdiction.
AS PASSED BY THE ASSEMBLY , this bill:
1)Set forth findings and declarations regarding the intent of
the Legislature in creating the district to provide for a
unified, broad institutional structure for the ownership and
governance of a passenger rail system within Sonoma and Marin
counties. Declares that it is the intent of the Legislature
that the district take over and assume the powers, duties,
obligations, liabilities, immunities, and exemptions of both
the SMART Commission and the Northwest Pacific Railroad
Authority (NWPRA), upon their dissolution. Finds that the
Legislature must adopt a special act for the formation of this
district because there is no general law under which the
district could be formed.
2)Specified that all or part of any other contiguous county may
be included within the district. Authorized the district, upon
the dissolution of the SMART Commission and NWPRA, to assume
any existing powers obligations, liabilities, debt, immunities
and exemptions of the governing board of those two preceding
agencies. Also specified that the district shall assume the
rights and obligations of any contracts held by the SMART
Commission or NWPRA that are in effect upon their termination,
including any operating agreements with NCRA. The district
must also renegotiate with NCRA when the current operating
agreements expire. Upon termination of the SMART Commission
and NWPRA, any remaining references in law or regulation to
the preceding agencies shall be deemed to be references to the
district.
3)Authorized the transfer of real or personal property from the
SMART Commission and NWPRA to the district. Also specified
that property owned individually or jointly by the Golden Gate
Bridge Highway and Transportation District (GGHTD), Marin
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County, or the Marin County Transportation District (MCTD), or
any other public agency may be transferred to the district.
Specified that any right-of-way that may be transferred from
GGHTD, MCTD, or Marin County shall be subject to existing
easements issued to NCRA for freight and passenger service.
4)Provided that the government of the district shall be vested
in a board of directors, which shall consist of 12 members.
Appointees to the board shall serve at the pleasure of the
appointing agencies, and any vacancies must be filled within
60 days. The board of directors shall serve staggered,
four-year terms and be appointed as follows:
a) Appointed two members from among the members of the
Sonoma County Board of Supervisors, each of whom shall also
serve on the Sonoma County Transportation Authority (SCTA);
b) Appointed two members from the members of the Marin
County Board of Supervisors;
c) Three members, each of whom shall be a mayor or council
member of a city or town within the County of Sonoma and
represent a city that is located along the rail line. At
least two of these members must also serve on SCTA. No
city may have more than one member;
d) The member of the City Council of the City of Novato who
also serves on the Marin County Congestion Management
Agency (CMA), appointed from among the members of that
agency or its successor;
e) The member of the City Council of the City of San Rafael
who also serves on the Marin County CMA, appointed from
among the members of that agency, or its successor;
f) One member who shall be a mayor of council member of a
city or town within Marin County and a member of the Marin
County CMA, appointed by the Marin County Council of Mayors
and Council Members; and,
g) Two members appointed from the membership of GGBHTD,
neither of whom shall be a member of the Marin or Sonoma
County Boards of Supervisors.
5)Specified that compensation shall be fixed at no more than
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$500 per month, with discretion given to the board of
directors to make allowances for traveling and personal
expenses incurred in the performance of board
responsibilities.
6)Provided a process for the board of directors to restructure
itself in the event that a new territory is annexed. Also
designated the board of directors as the legislative body for
the district, authorized the board to elect a chairperson and
vice-chairperson, establish a schedule and location for
meetings, and further authorized the board to determine all
policies for the district. All meetings of the board shall be
subject to the Ralph M. Brown Act. A majority of the board
establishes a quorum, acts of the board shall be expressed by
motion, ordinance, or resolution, and a majority affirmative
vote, with certain exceptions, shall be necessary and
sufficient to carry out an order. The board shall have the
following powers and duties:
a) Own, operate, manage and maintain a passenger rail
system within the territory of the district;
b) Determine that the rail transit facilities be acquired
and constructed, the manner of operation, and means of
financing such equipment;
c) Adopt an annual budget for the district that provides
for the compensation of its officers and employees;
d) Fix rates, rental charges, and classifications of rail
service;
e) Adopt an administrative code that prescribes the powers
and duties of district officers, the method of appointment
of employees, and management structure, operations and
procedures for the district;
f) Require that a post-audit of the final transactions and
records of the district be made at least annually by a
certified public accountant; and,
g) Adopt rules and regulations providing for the
administration of employer-employee relations.
7)Required the board to appoint a general manager, secretary,
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chief engineer, legal counsel, controller, auditor, treasurer
and other officers, assistants, and deputies as deemed
necessary. Enumerates the powers and duties of the general
manager and provides that the officers shall serve at the
pleasure of the board. The offices of auditor, controller and
treasurer may be held by separate officers or combined into
one office.
8)Clarified that the counties of Marin and Sonoma, GGBHTD, or
any other public agency may, as deemed necessary by the
district, provide assistance to the district, including the
performance of the functions of legal counsel, controller
auditor and treasurer. The district is required to reimburse
other agencies for their services.
9)Enumerated the corporate powers of the district, including the
power of perpetual succession, ability to adopt and alter a
seal at the district's pleasure, and the right to sue and be
sued, except as otherwise provided. Also specified that all
claims for money and damages that may be filed against the
district shall be governed by the provisions of existing law
relative to claims against public entities. The district is
also authorized to make contracts and enter into stipulations
of any nature, employ labor, and other necessary acts.
Officers and employees of the district are prohibited from
having interests in, or deriving profit from, any contract
that is or may be awarded by the district.
10)Established contracting authority for the district, including
the acquisition of services from an independent contractor.
Also defines the district as a "transit operator" for the
purposes of entering into design-build contracts. The
district is required, with specific exceptions, to procure
supplies and equipment using "low-bid" public contracting
procedures for contracts over $40,000. Also established a
protocol for the procurement of goods and services (in any
amount) under emergency conditions. The district is also
authorized to utilize the "competitive negotiation" process
when procuring supplies or equipment that is highly
specialized or unique in nature.
11)Specified that the district is a local agency for the
purposes of receiving funds under the Natural Disaster
Assistance Act. Specified that the district shall be
considered the SMART Authority for the purposes of receiving
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funds that have been made available under the Traffic
Congestion Relief Program (TCRP). The district is permitted
to insure against any accident or destruction of the rail
transit system, loss of revenues, for bond payment purposes,
and for public agency liability.
12)Established powers and duties of the district relating to
property. The district is authorized to take, grant,
purchase, devise or lease, initiate eminent domain proceedings
for condemnation purposes, or otherwise acquire, hold and
enjoy, real property of any kind within or without the
district that is necessary or convenient for the exercise of
its powers. The board is authorized to lease, mortgage, sell,
or otherwise dispose of any real or personal property.
Granted the district eminent domain powers, and placed
requirements on the district to compensate parties when
exercising that authority. The district is also authorized to
enter into joint development agreements for transit-oriented
development purposes. The district may not use eminent domain
for joint development purposes, and must comply with local
zoning laws when engaged in those types of projects. The
district's authority to enter into joint development
agreements shall transfer over to a joint-powers authority
that is managed by the district.
13)Enumerated the powers and duties of the district relative to
acquiring, maintaining and operating transit facilities.
Required the district to comply with the design review process
of a local agency in cases where transit facilities may be
constructed within their boundaries. Restricted the district
from locating facilities in any part of the unincorporated
areas of Sonoma County that are north of Healdsburg. The
design and review and approval of a local agency shall be for
advisory purposes only. Local building ordinances do not
apply to the district except in cases of joint development.
Authorized and provided a process for the district to create
service zones within the boundaries of the district.
14)Directed the district to work with NCRA, the Federal Rail
Authority (FRA), and any of its successor agencies, to achieve
safe, efficient, and compatible operations of both passenger
rail and freight service along the rail line in Sonoma and
Marin counties.
15)Provided authority for the district to submit a resolution to
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the voters proposing a local transportation sales tax.
Required that investments and deposits of district funds be
executed in accordance with current law. Provided the
authority for the district to create special benefit districts
within its territory and impose special benefit assessments.
16)Established detailed requirements for the district regarding
employee relations. Created a process for collective
bargaining within the district relative to general
negotiations, and binding arbitration. Prescribed an
extensive set of terms and conditions regarding the rights and
benefits of employees that are acquired or hired by the
district.
17)Created specific and detailed rights and responsibilities for
the district when the board seeks to incur bonded
indebtedness. Established several requirements for the
issuance of bonds, including a two-thirds approval by the
board of directors, voter approval, maximum rate of interest
(7% per annum), maximum term (no more than 50 years), the
amount of principal, date of election, the initial purpose,
and estimated cost of the proposed bond. The district is also
authorized to issue revenue bonds under separate authority
established by this bill. Authorized the district to execute
trust certificates on rail equipment that is purchased for the
district. The district may borrow money in anticipation of
the sale of bonds that have been authorized but not sold.
18)Established a process for dissolution of the district if no
transit facilities are operated within a specified period of
time.
FISCAL EFFECT : According to the Senate Appropriations Committee
analysis, minor administrative costs to the Department of
Transportation (Caltrans) and the California Transportation
Commission (CTC) from the Public Transportation Account (PTA).
The bill might also result in revenues to the district of $28 -
56 million if a - or -cent sales tax is approved by voters.
COMMENTS : In 1997, the Sonoma County Transportation Authority
and the Marin Planning Agency hired a consultant to conduct a
study of land use and multi-modal transportation alternatives in
Sonoma and Marin Counties. The study recommended that a
commission be formed to guide the design and implementation of
passenger train service to support transportation and land use
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patterns that minimize the negative environmental impacts of
sprawl. In 1998 the two counties formed the SMART Commission to
carry out this recommendation. The Commission was made up of
two supervisors and three city council members from each county.
The SMART Commission conducted an 18-month process to evaluate
alternatives for the development and construction of a rail line
through Sonoma and Marin Counties. Options included variations
on route, schedules, types of rail cars and locomotives, funding
alternatives, and potential environmental impact mitigation.
The SMART Commission ultimately voted in favor of the formation
of a new commuter rail transit agency that would run 68 miles
from Cloverdale to downtown San Rafael, with 11 stations on the
route. The service would begin with 45-minute peak period
headways that would shorten to 30 minutes after the initial six
years of operation.
The service would be funded through a combination of sources,
including contributions from a -cent sales tax in both Sonoma
and Marin counties, rail bond funds from the Clean Air and
Transportation Improvement Act (CATIA), which was passed as
Proposition 116, in 1990.
AB 2928 (Torlakson) Chapter 91, Statutes of 2000, creates the
Traffic Congestion Relief Program (TCRP), to dedicate the
state's share of gasoline sales tax revenues to transportation.
TCRP provided funding for, among other things, a list of 141
projects, including $37 million to the Sonoma-Marin Area Transit
Authority for the implementation of commuter rail passenger
service from Cloverdale south to San Rafael and Larkspur in
Marin and Sonoma Counties.
Analysis Prepared by : Andrew Antwih / TRANS. / (916) 319-2093
FN: 0005974