163-164.56

STREETS AND HIGHWAYS CODE
SECTION 163-164.56




163.  The Legislature, through the enactment of this section,
intends to establish a policy for the use of all transportation funds
that are available to the state, including the State Highway
Account, the Public Transportation Account, and federal funds. For
the purposes of this section, "federal funds" means any obligational
authority to be provided under annual federal transportation
appropriations acts. The department and the commission shall prepare
fund estimates pursuant to Sections 14524 and 14525 of the Government
Code based on the following:
   (a) Annual expenditures for the administration of the department
shall be the same as the most recent Budget Act, adjusted for
inflation.
   (b) Annual expenditures for the maintenance and operation of the
state highway system shall be the same as the most recent Budget Act,
adjusted for inflation and inventory, or, when a maintenance plan
has been enacted pursuant to Section 164.6, maintenance expenditures
shall be based on planned expenditures in that plan.
   (c) Annual expenditure for the rehabilitation of the state highway
system shall be the same as the most recent Budget Act, or, when a
long-range rehabilitation plan has been enacted pursuant to Section
164.6, shall be based on planned expenditures in that long-range
plan.
   (d) Annual expenditures for local assistance shall be the amount
required to fund local assistance programs required by state or
federal law or regulations, including, but not limited to, railroad
grade crossing maintenance, bicycle transportation account,
congestion mitigation and air quality, regional surface
transportation programs, local highway bridge replacement and
rehabilitation, local seismic retrofit, local hazard elimination and
safety, and local emergency relief.
   (e) After deducting expenditures for administration, operation,
maintenance, local assistance, safety, and rehabilitation pursuant to
subdivisions (a), (b), (c), and (d), and for expenditures pursuant
to Section 164.56, the remaining funds shall be available for capital
improvement projects to be programmed in the state transportation
improvement program.


164.  (a) Funds made available for transportation capital
improvement projects under subdivision (e) of Section 163 shall be
programmed and expended for the following program categories:
   (1) Twenty-five percent for interregional improvements.
   (2) Seventy-five percent for regional improvements.
   (b) Sixty percent of the funds available for interregional
improvements under paragraph (1) of subdivision (a) shall be
programmed and expended for improvements to state highways that are
specified in Sections 164.10 to 164.20, inclusive, and that are
outside the boundaries of an urbanized area with a population of more
than 50,000, and for intercity rail improvements.
   (c) Not less than 15 percent of the amount of funds programmed
under subdivision (b) shall be programmed for intercity rail
improvement projects, including separation of grade projects.
   (d) Funds made available under paragraph (1) of subdivision (a)
shall be used for transportation improvement projects that are needed
to facilitate interregional movement of people and goods. The
projects may include state highway, intercity passenger rail, mass
transit guideway, or grade separation projects.
   (e) Funds made available under paragraph (2) of subdivision (a)
shall be used for transportation improvement projects that are needed
to improve transportation within the region. The projects may
include, but shall not be limited to, improving state highways, local
roads, public transit, intercity rail, pedestrian, and bicycle
facilities, and grade separation, transportation system management,
transportation demand management, soundwall projects, intermodal
facilities, safety, and providing funds to match federal funds.



164.1.  (a) Federal funds derived from apportionments made to the
state under Section 1101(a)(11) of the federal Safe, Accountable,
Flexible, Efficient Transportation Equity Act: A Legacy for Users
(SAFETEA-LU; P.L. 109-59) for the coordinated border infrastructure
program established under Section 1303 of that act shall be included
and separately identified in the fund estimates prepared pursuant to
Sections 14524 and 14525 of the Government Code, the interregional
transportation improvement program submitted by the department
pursuant to Section 14526 of the Government Code, and the state
transportation improvement program adopted by the commission pursuant
to Section 14529 of the Government Code. Except as otherwise
provided in subdivision (b), these funds shall be programmed,
allocated, and expended in the same manner as other federal funds
made available for capital improvement projects in the state
transportation improvement program.
   (b) Notwithstanding any other provision of law:
   (1) The programming, allocation, and expenditure of the funds
described in subdivision (a) may be for any purpose authorized under
federal law, including projects in Mexico.
   (2) The funds described in subdivision (a) shall not be subject to
the distribution formulas and limitations described in Section 164.
   (3) The nonfederal match for the funds described in subdivision
(a) may be programmed from any available local source, or any
available state transportation funding source, including other state
transportation improvement program funding, if the regional
transportation planning agency concurs.



164.3.  The interregional road system shall include, and shall be
limited to, those routes that are specified in Sections 164.10 to
164.20, inclusive.


164.6.  (a) The department shall prepare a 10-year state
rehabilitation plan for the rehabilitation and reconstruction, or the
combination thereof, by the State Highway Operation and Protection
Program, of all state highways and bridges owned by the state. The
plan shall identify all rehabilitation needs for the 10-year period
beginning on July 1, 1998, and ending on June 30, 2008, and shall
include a schedule of improvements to complete all needed
rehabilitation during the life of the plan not later than June 30,
2008. The plan shall be updated every two years beginning in 2000.
The plan shall include specific milestones and quantifiable
accomplishments, such as miles of highways to be repaved and number
of bridges to be retrofitted. The plan shall contain strategies to
control cost and improve the efficiency of the program, and include a
cost estimate for at least the first five years of the program.
   (b) The department shall prepare a five-year maintenance plan that
addresses the maintenance needs of the state highway system. The
plan shall be updated every two years, concurrent with the
rehabilitation plan described in subdivision (a). The maintenance
plan shall include only maintenance activities that, if the
activities were not performed, could result in increased State
Highway Operation and Protection Program costs in the future. These
activities may include roadway, structural, and drainage maintenance.
The maintenance plan shall identify any existing backlog in these
maintenance activities and shall recommend a strategy, specific
activities, and an associated funding level to reduce or prevent any
backlog during the plan's five-year period. The maintenance plan
shall include specific goals and quantifiable accomplishments, such
as lane-miles of highway to be repaved and the number of bridge decks
to be sealed. The maintenance plan shall contain strategies to
control cost and improve the efficiency of these maintenance
activities, and include a cost estimate for the five years of the
plan.
   (c) The rehabilitation plan and the maintenance plan shall attempt
to balance resources between State Highway Operation and Protection
Program activities and maintenance activities in order to achieve
identified milestones and goals at the lowest possible long-term
total cost. If the maintenance plan recommends increases in
maintenance spending, it shall identify projected future State
Highway Operation and Protection Program costs that would be avoided
by increasing maintenance spending. The department's maintenance
division shall develop a budget model that allows it to achieve the
requirements of this subdivision.
   (d) The rehabilitation plan shall be submitted to the commission
for review and comments not later than January 31 of each
odd-numbered year, and shall be transmitted to the Governor and the
Legislature not later than May 1 of each odd-numbered year. The
maintenance plan shall be transmitted to the Governor, the
Legislature, and the commission not later than January 31 of each
odd-numbered year.
   (e) The rehabilitation plan and the maintenance plan shall be the
basis for the department's budget request and for the adoption of
fund estimates pursuant to Section 163.



164.10.  For purposes of subdivision (e) of Section 164.3, the
eligible interregional and intercounty routes include all of the
following:
   Route 1.
   Route 2, between the north urban limits of Los Angeles-Long Beach
and Route 138.
   Route 4, between the east urban limits of Antioch-Pittsburg and
Route 89.
   Route 5.
   Route 6.
   Route 7.
   Route 8.
   Route 9, between the north urban limits of Santa Cruz and the
south urban limits of San Jose.
   Route 10, between the east urban limits of San
Bernardino-Riverside and the Arizona state line.



164.11.  For purposes of subdivision (e) of Section 164.3, the
eligible interregional and intercounty routes include all of the
following:
   Route 12.
   Route 14.
   Route 15.
   Route 16, between the east urban limits of Sacramento and Route
49.
   Route 17, between the north urban limits of Santa Cruz and the
south urban limits of San Jose.
   Route 18, between the City of San Bernardino and the junction with
Routes 18 and 138 in Los Angeles County.
   Route 20.
   Route 25, between Route 146 in San Benito County and Route 101 in
Santa Clara County.
   Route 28.
   Route 29.



164.12.  For purposes of subdivision (e) of Section 164.3, the
eligible interregional and intercounty routes include all of the
following:
   Route 36, between Route 5 and Route 395.
   Route 37, between the east urban limits of San Francisco-Oakland
near Novato and the west urban limits of San Francisco-Oakland near
Vallejo.
   Route 38, between the east urban limits of San
Bernardino-Riverside and Route 18 west of Big Bear Lake.
   Route 40.
   Route 41, between Route 1 and Yosemite National Park.
   Route 44, between the east urban limits of Redding and Route 36.
   Route 46, between Route 1 and Route 99.
   Route 49, between Route 41 and Route 89.



164.13.  For purposes of subdivision (e) of Section 164.3, the
eligible interregional and intercounty routes include all of the
following:
   Route 50.
   Route 53.
   Route 58, between Route 5 and Route 15.
   Route 62.
   Route 63, between the north urban limits of Visalia and Route 180.
   Route 65, between the north urban limits of Bakersfield and Route
198 near Exeter, and between Route 80 and Route 99 near Yuba City.
   Route 68.



164.14.  For purposes of Section 164.3, the eligible interregional
and intercounty routes include the following:
   Route 70, between Route 99 north of Sacramento and Route 395.
   Route 74.
   Route 78.
   Route 79, between Route 8 and Route 10.
   Route 80.
   Route 84, between Route 580 and Route 4.
   Route 86, between Route 111 in Brawley and Route 10.
   Route 88.
   Route 89.


164.15.  For purposes of Section 164.3, the eligible interregional
and intercounty routes include all of the following:
   Route 94, except within the urban limits of the County of San
Diego.
   Route 95, between Route 10 and the Nevada state line.
   Route 97.
   Route 98, between Route 111 and Route 7.
   Route 99, with routing to be determined via Route 70 or via Route
99 between Route 70 north of Sacramento and Route 149 north of
Oroville.
   Route 101.
   Route 108, from Route 132 in Modesto to Route 120 east of Oakdale,
and between Route 120 at Yosemite Junction and Route 395.
   Route 111, between the Mexico border near Calexico and Route 10
near Whitewater.
   Route 113, between Route 80 and Route 5.
   Route 116, between Route 1 and Route 12.



164.16.  For purposes of Section 164.3, the eligible interregional
and intercounty routes include all of the following:
   Route 120, between Route 5 and Route 395.
   Route 126, between the east urban limits of
Oxnard-Ventura-Thousand Oaks and Route 5.
   Route 127.
   Route 128.
   Route 129, between Route 1 and Route 101.
   Route 132, west of Route 99, and between Route 99 and Route 108.
   Route 138, between Route 5 and Route 14 in Los Angeles County and
between Route 14 in Los Angeles County and Route 18 near Crestline in
San Bernardino County.
   Route 139, between Route 299 and the Oregon state line.
   Route 246, between Route 1 and Route 101.



164.17.  For purposes of subdivision (e) of Section 164.3, the
eligible interregional and intercounty routes include all of the
following:
   Route 140, between the east urban limits of Merced and Yosemite
National Park.
   Route 146.
   Route 149.
   Route 152, between Route 101 and Route 99.
   Route 154.
   Route 156, between Route 1 and Route 152.



164.18.  For purposes of subdivision (e) of Section 164.3, the
eligible interregional and intercounty routes include all of the
following:
   Route 160, between the north urban limits of Antioch-Pittsburg and
the south urban limits of Sacramento.
   Route 168, between the east urban limits of Fresno and Route 168
at Florence Lake Road, and between Route 168 near Lake Sabrina and
Route 395.
   Route 178, between the east urban limits of Bakersfield and Route
14.
   Route 180, between the east urban limits of Fresno and Kings
Canyon National Park.
   Route 188.
   Route 190, between Route 65 and Route 127.
   Route 198, between Route 5 and the Sequoia National Park.
   Route 199.


164.19.  For purposes of Section 164.3, the eligible interregional
and intercounty routes include the following:
   Route 203.
   Route 205.
   Route 207.
   Route 215.
   Route 239.
   Route 243.
   Route 267.
   Route 299, between Route 101 and Route 89, and between Route 139
and Route 395.


164.20.  For purposes of subdivision (e) of Section 164.3, the
eligible interregional and intercounty routes include all of the
following:
   Route 330, between the north urban limits of San
Bernardino-Riverside and Route 18.
   Route 371.
   Route 395.
   Route 505.
   Route 580.
   Route 680.
   Route 905, except within the urban limits of San Diego.



164.53.  (a) A local agency may request authorization from the
commission to make advance expenditures of funds, other than state or
federal funds, for a project which is included in the priority list
for the allocation of transit capital improvement funds pursuant to
Section 99317 of the Public Utilities Code, or is included in the
adopted state transportation improvement program, or is specifically
authorized by Chapter 3 (commencing with Section 99620) of Part 11.5
of Division 10 of the Public Utilities Code.
   (b) If the commission approves a request submitted pursuant to
subdivision (a), the approved advance expenditures shall be
considered either part of the nonfederal share of project costs, or
part of the match from public or private sources, for projects which
are included in the transit capital improvement program pursuant to
Section 99317 of the Public Utilities Code, or included in the state
transportation improvement program, or which are authorized by
Chapter 3 (commencing with Section 99620) of Part 11.5 of Division 10
of the Public Utilities Code.
   (c) The commission's approval of a request pursuant to subdivision
(b) does not, in and of itself, constitute an obligation to allocate
state funds for the project.
   (d) The commission, in consultation with the department and local
transportation officials, shall develop and adopt guidelines to
implement this section. The guidelines shall include a requirement
that the advance expenditure of funds will result in the completion
of an operable segment of a transportation project. The acquisition
of right-of-way needed either for a usable urban or commuter rail
project or an operable segment of an urban or commuter rail project
meets that requirement.
   (e) The commission shall prepare a report on the progress and
impact of the advance expenditure program authorized by this section
and shall include the report as an element of the annual report to
the Legislature required pursuant to Sections 14535 and 14536 of the
Government Code.



164.56.  (a) It is the intent of the Legislature to allocate ten
million dollars ($10,000,000) annually to the Environmental
Enhancement and Mitigation Program Fund, which is hereby created.
   (b) Local, state, and federal agencies and nonprofit entities may
apply for and may receive grants, not to exceed five million dollars
($5,000,000) for any single grant, to undertake environmental
enhancement and mitigation projects that are directly or indirectly
related to the environmental impact of modifying existing
transportation facilities or for the design, construction, or
expansion of new transportation facilities.
   (c) Projects eligible for funding include, but are not limited to,
all of the following:
   (1) Highway landscaping and urban forestry projects designed to
offset vehicular emissions of carbon dioxide.
   (2) Acquisition or enhancement of resource lands to mitigate the
loss of, or the detriment to, resource lands lying within the
right-of-way acquired for proposed transportation improvements.
   (3) Roadside recreational opportunities, including roadside rests,
trails, trailheads, and parks.
   (4) Projects to mitigate the impact of proposed transportation
facilities or to enhance the environment, where the ability to
effectuate the mitigation or enhancement measures is beyond the scope
of the lead agency responsible for assessing the environmental
impact of the proposed transportation improvement.
   (d) Grant proposals shall be submitted to the Resources Agency for
evaluation in accordance with procedures and criteria prescribed by
the Resources Agency. The Resources Agency shall evaluate proposals
submitted to it and prepare a list of proposals recommended for
funding. The list may be revised at any time. Prior to including a
proposal on the list, the Resources Agency shall make a finding that
the proposal is eligible for funding pursuant to subdivision (f).
   (e) Within the fiscal limitations of subdivisions (a) and (b), the
commission shall annually award grants to fund proposals that are
included on the list prepared by the Resources Agency pursuant to
subdivision (d).
   (f) Projects funded pursuant to this section shall be projects
that contribute to mitigation of the environmental effects of
transportation facilities, as provided for by Section 1 of Article
XIX of the California Constitution.
   (g) Notwithstanding Section 7550.5 of the Government Code, on or
before December 31 of each year, the commission shall provide the
Assembly Committee on Budget and the Senate Committee on Budget and
Fiscal Review with a list of projects funded from the Environmental
Enhancement and Mitigation Program during the previous fiscal year
and a copy of the most recent criteria for allocating grants pursuant
to this section.