BILL NUMBER: SB 1420	CHAPTERED
	BILL TEXT

	CHAPTER   796
	FILED WITH SECRETARY OF STATE   SEPTEMBER 24, 1996
	APPROVED BY GOVERNOR   SEPTEMBER 22, 1996
	PASSED THE SENATE   AUGUST 30, 1996
	PASSED THE ASSEMBLY   AUGUST 29, 1996
	AMENDED IN ASSEMBLY   AUGUST 27, 1996
	AMENDED IN ASSEMBLY   JUNE 17, 1996

INTRODUCED BY  Senators Kopp and Costa

                        JANUARY 23, 1996

   An act to add Division 19.5 (commencing with Section 185000) to
the Public Utilities Code, relating to transportation.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1420, Kopp.  Transportation:  High-Speed Rail Act.
   Existing law provides for the funding and regulation of rail
transportation.  An existing Intercity High-Speed Rail Commission was
created in 1993 to conduct studies and to prepare a high-speed rail
plan for the state.
   This bill would create the High-Speed Rail Authority in state
government.  The bill would prescribe the membership of the
authority, and provide for the compensation of members.  The bill
would require the authority to direct the development and
implementation of intercity high-speed rail service that is fully
coordinated with other public transportation services.  The authority
would be required to prepare a plan for the construction and
operation of a high-speed train network for the state, consistent
with and continuing the work of the Intercity High-Speed Rail
Commission, and to submit that plan to the Legislature and the
Governor, or to the voters of the state, for approval, except as
specified.  The bill would terminate the authority on December 31,
2000, unless that plan has been so approved by that date.  The bill
would prescribe various powers of the authority relative to planning,
contracting for the construction of, financing, and operating, a
high-speed rail system.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Division 19.5 (commencing with Section 185000) is added
to the Public Utilities Code, to read:

      DIVISION 19.5.  CALIFORNIA HIGH-SPEED RAIL SERVICE
      CHAPTER 1.  GENERAL PROVISIONS, FINDINGS, AND DEFINITIONS

   185000.  This division shall be  known, and may be cited, as the
California High-Speed Rail Act.
   185010.  The Legislature hereby finds and declares all of the
following:
   (a) California, over the past decades, has built an extensive
network of freeways and airports to meet the state's growing
transportation needs.
   (b) These facilities are not adequate to meet the mobility needs
of the current population.
   (c) The population of the state and the travel demands of its
citizens are expected to continue to grow at a rapid rate.
   (d) The cost of expanding the current network of highways and
airports fully to meet current and future transportation needs is
prohibitive, and a total expansion strategy would be detrimental to
air quality.
   (e) Intercity rail service, when coordinated with urban transit
and airports, is an efficient, practical, and less polluting
transportation mode that can fill the gap between future demand and
present capacity.
   (f) Advances in rail technology have allowed intercity rail
systems in Europe and Japan to attain speeds of up to 200 miles per
hour and compete effectively with air travel for trips in the 200 to
500-mile range.
   (g) Development of a high-speed rail system is a necessary and
viable alternative to automobile and air travel in the state.
   (h) In order for the state to have a comprehensive network of
high-speed intercity rail systems by the year 2020, it must begin
preparation of a high-speed intercity rail plan similar to California'
s former freeway plan and designate an entity with stable and
predictable funding sources to implement the plan.
   (i) Utilizing existing human and manufacturing resources to build
a large network of high-speed rail systems will generate jobs and
economic growth for today's population and produce a transportation
network for future generations.
   (j) Upon confirmation of the need and costs by detailed studies,
the private sector, together with the state, can build and operate
new high-speed intercity rail systems utilizing private and public
financing.
   (k) The existing high-speed rail commission is completing its work
and a successor authority to continue planning is necessary.
   185012.  As used in this division, unless the context requires
otherwise, the following terms have the following meanings:
   (a) "Authority" means the High-Speed Rail Authority.
   (b) "Department" means the Department of Transportation.
   (c) "High-speed rail" means intercity passenger rail service that
utilizes an alignment and technology that makes it capable of
sustained speeds of 200 miles per hour or greater.

      CHAPTER 2.  THE HIGH-SPEED RAIL AUTHORITY

   185020.  (a) There is in state government a High-Speed Rail
Authority consisting of nine members.
   (b) The authority is composed of nine members as follows:
   (1) Five members appointed by the Governor.
   (2) Two members appointed by the Senate Committee on Rules.
   (3) Two members appointed by the Speaker of the Assembly.
   (c) Members of the authority shall hold office for terms of four
years.  A vacancy shall be filled by the appointing power making the
original appointment, by appointing a member to serve the remainder
of the term.
   (d) (1) The authority shall be terminated on December 31, 2000,
unless a financial plan for the implementation of a high-speed rail
system has been approved by the Legislature by the enactment of a
statute, or by the voters, pursuant to Section 185036, prior to that
date.
   (2) If the authority exists after January 1, 2001, the appointing
powers shall, by lot, select members' terms in such a way that new
appointments are evenly staggered.
   (e) Members of the authority are subject to the Political Reform
Act of 1974 (Title 9 (commencing with Section 81000)).
   (f) From among its members, the authority shall elect a
chairperson, who shall preside at all meetings of the authority, and
a vice chairperson to preside in the absence of the chairperson.
   (g) Five members of the authority constitute a quorum for taking
any action by the authority.
   185022.  (a) Each member of the authority shall receive
compensation of one hundred dollars ($100) for each day that the
member is attending to the business of the authority, but shall not
receive more than five hundred dollars ($500) in any calendar month.

   (b) Members of the authority shall be reimbursed for their actual
travel expenses incurred in attending to the business of the
authority.
   185024.  (a) The authority shall appoint an executive director,
who shall serve at the pleasure of the authority, to administer the
affairs of the authority as directed by the authority.
   (b) The executive director is exempt from civil service and shall
be paid a salary established by the authority and approved by the
Department of Personnel Administration.
   (c) The executive director may, as authorized by the authority,
appoint necessary staff to carry out the provisions of this part.

      CHAPTER 3.  RESPONSIBILITIES OF THE AUTHORITY

   185030.  The authority shall direct the development and
implementation of intercity high-speed rail service that is fully
integrated with the state's existing intercity rail and bus network,
consisting of interlinked conventional and high-speed rail lines and
associated feeder buses.  The intercity network in turn shall be
fully coordinated and connected with commuter rail lines and urban
rail transit lines developed by local agencies, as well as other
transit services, through the use of common station facilities
whenever possible.
   185032.  The authority shall prepare a plan for the construction
and operation of a high-speed train network for the state, consistent
with and continuing the work of the Intercity High-Speed Rail
Commission conducted prior to January 1, 1997.  The plan, upon
completion, shall be either submitted to the Legislature and the
Governor for approval by the enactment of a statute or to the voters
of the state for approval.
   185034.  The authority may do any of the following:
   (1) Conduct engineering and other studies related to the selection
and acquisition of rights-of-way and the selection of a franchisee,
including, but not limited to, environmental impact studies,
socioeconomic impact studies, and financial feasibility studies.
   (2) Evaluate alternative high-speed rail technologies, systems and
operators, and select an appropriate high-speed rail system.
   (3) Establish criteria for the award of a franchise.
   (4) Accept grants, fees, and allocations from the state, from
political subdivisions of the state or from the federal government,
foreign governments, and private sources.
   (5) Select a proposed franchisee, a proposed route, and proposed
terminal sites.
   (6) Enter into contracts with public and private entities for the
preparation of the plan.
   (7) Prepare a detailed financing plan, including any necessary
taxes, fees, or bonds to pay for the construction of the high-speed
train network.
   (8) Develop a proposed high-speed rail financial plan, including
necessary taxes, bonds, or both, or other indebtedness, and submit
the plan to the Secretary of State for placement on the ballot at the
November general election in 1998 or 2000.  If a plan is submitted,
the Secretary of State shall place it on the ballot unless the the
Secretary of the Business, Transportation and Housing Agency or the
Director of Finance notifies the Secretary of State that the
financial plan is not consistent with the state's transportation
needs or the fiscal condition of the state.
   185036.  Upon approval by the Legislature, by the enactment of a
statute, or approval by the voters of a financial plan providing the
necessary funding for the construction of a high-speed network, the
authority may do any of the following:
   (a) Enter into contracts with private or public entities for the
design, construction and operation of high-speed trains.  The
contracts may be separated into individual tasks or segments or may
include all tasks and segments, including a design-build or
design-build-operate contract.
   (b) Acquire rights-of-way through purchase or eminent domain.
   (c) Issue debt, secured by pledges of state funds, federal grants,
or project revenues.  The pledge of state funds shall be limited to
those funds expressly authorized by statute or voter-approved
initiatives.
   (d) Enter into cooperative or joint development agreements with
local governments or private entities.
   (e) Set fares and schedules.
   (f) Relocate highways and utilities.