BILL ANALYSIS                                                                                                                                                                                                              1
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                SENATE ENERGY, UTILITIES AND COMMUNICATIONS COMMITTEE
                               DEBRA BOWEN, CHAIRWOMAN
          

          AB 2511 -  Dutra                                  Hearing Date:   
          June 25, 2002              A
          As Amended:         June 24, 2002                 Non-FISCAL      
            B

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                                      DESCRIPTION
           
           This bill  authorizes the Santa Clara Valley Transportation  
          Authority (VTA) to take over utility relocation work related to  
          a transit or transportation capital improvement project within  
          its jurisdiction under the following circumstances:

          1.VTA has a relocation agreement with the utility which allows  
            VTA to assume the relocation work.
          2.The utility has abandoned the relocation work.

           This bill  authorizes VTA to hire workers other than the  
          utility's employees to do the relocation work.  If working for  
          VTA is permitted by the applicable collective bargaining  
          agreement, the utility is required to offer a right of first  
          refusal to the utility's employees.  If the utility's employees  
          elect not to contract with VTA, VTA is then required to hire  
          workers from a list provided by the utility and its collective  
          bargaining representative, if they choose to provide a list.

                                      BACKGROUND
           
          A transportation project, like many other development projects,  
          may require electric, gas, telephone or water utility  
          facilities, or cable facilities to be relocated.  These  
          facilities are utility property and, ordinarily, the utility is  
          responsible for relocating them.  Sometimes a formal agreement  
          with the project proponent is necessary, particularly if the  
          project proponent will bear some of the expense.  Utility  
          facilities are typically located in public rights of way or in  











          utility-held easements on private property.

          According to the author, transportation projects undertaken by  
          VTA have been delayed because of utilities' inability or  
          unwillingness to relocate utility facilities in a timely manner.  
           Those particular issues have since been resolved, but VTA  
          anticipates similar problems with future projects.  According to  
          the proponents, this bill is necessary because, while nothing in  
          the law specifically prohibits VTA from undertaking utility  
          relocation work, neither does VTA have specific statutory  
          authority to do it. 











































                                       COMMENTS

          1)Does VTA need any authority to do this?   The VTA's enabling  
            statute (Public Utilities Code Section 100000, et seq.) does  
            not grant VTA specific authority to relocate utility  
            facilities, but it does grant VTA fairly broad powers which  
            would appear to include relocating utility facilities pursuant  
            to an agreement with the utility that owned those facilities,  
            or perhaps even pursuant to eminent domain if necessary.  For  
            example:

            100115.  The district may exercise any and all powers granted  
            by any other law that, by its terms, is applicable to transit  
            districts generally, to public agencies generally, or to any  
            classification of districts or public agencies that includes a  
            district of the type provided for in this part, but the  
            district shall not exercise any power contrary to an express  
            provision of this part.  (No express provision of Part 12 of  
            Division 10 of the Public Utilities Code prohibits VTA from  
            relocating utilities.)

            100120.  The district may make contracts and enter into  
            stipulations of any nature whatsoever, either in connection  
            with eminent domain proceedings or otherwise, including,  
            without limiting the generality of the foregoing, contracts  
            and stipulations to indemnify and save harmless, to employ  
            labor, and to do all acts necessary and convenient for the  
            full exercise of the powers granted in this part.

            While there doesn't appear to be any limitation on VTA's  
            powers which would prevent it from undertaking utility  
            relocation work, VTA might argue that an express provision in  
            statute would give it some comfort and perhaps save some time  
            or avoid litigation.

           2)Who should offer the right of first refusal?   In the case of  
            relocation work assumed by VTA, if working for VTA is  
            permitted by the applicable collective bargaining agreement,  
            this bill requires the utility to offer a right of first  
            refusal for the work to the utility's employees.  Since VTA  
            would be the one offering the contract, not the utility, it  
            seems more appropriate to require VTA to offer the right of  
            first refusal, unless the intent is to have VTA contract with  
            the utility, rather than directly with its employees.   The  










            author and the committee may wish to consider  amending the  
            bill to clarify this issue.
           
                                   ASSEMBLY VOTES
           
          Assembly Floor                     (67-0)
          Assembly Transportation Committee  (17-0)

                                       POSITIONS
           
           Sponsor:
           
          Santa Clara Valley Transportation Authority









































           Support:
           
          California State Association of Counties
          California Transit Association
          City of Moreno Valley
          Metropolitan Transportation Commission
          Orange County Transportation Authority
          Santa Cruz County Regional Transportation Commission
          Self-Help Counties Coalition
          Sempra Energy

           Oppose:
           
          City of Dana Point


          









          Lawrence Lingbloom 
          AB 2511 Analysis
          Hearing Date:  June 25, 2002