2420-2424

STREETS AND HIGHWAYS CODE
SECTION 2420-2424




2420.  This chapter may be cited as the Transportation Economic
Stimulus Act of 2009.



2421.  The Legislature finds and declares all of the following:
   (a) Congress has enacted the American Recovery and Reinvestment
Act of 2009 (Public Law 111-5), which provides in part for
supplemental federal funding to the states for purposes of the
federal-aid highway program.
   (b) It is in the interest of the state to ensure that the highway
infrastructure investment funds apportioned to the state under the
federal act are fully obligated within the constraints of that act.
   (c) It is the intent of the Legislature that the department, in
consultation with the commission, regional transportation planning
agencies, counties, and cities, shall have sufficient authority to
make full and expeditious use of federal funds apportioned to the
state for economic stimulus.
   (d) It is the intent of the Legislature that, to the extent
allowable under the federal act, priority be given to the use of
stimulus funds available for expenditure by the Department of
Transportation for projects that repair or rehabilitate the existing
transportation system and to advance funds for projects under the
Highway Safety, Traffic Reduction, Air Quality, and Port Security
Bond Act of 2006 that have been delayed or are in jeopardy of being
canceled due to the state's inability to issue general obligation
bonds in the short term. In the programming of these funds,
consideration shall be given to activities that put Californians to
work and provide needed economic stimulus throughout the state.
   (e) It is the intent of the Legislature that highway
infrastructure investment funds made available under the American
Recovery and Reinvestment Act of 2009 are used to contribute to a
transportation system that is in sound structural condition,
accommodates all users, is environmentally sustainable, and allows
for the efficient mobility of goods and people.
   (f) It is the intent of the Legislature that the deadlines for
obligating and liquidating funds established by the American Recovery
and Reinvestment Act of 2009 apply to all federal funds appropriated
by this chapter.
   (g) It is the intent of the Legislature that the recipients of
highway infrastructure investment funds made available under the
federal act, including state, regional, and local agencies, shall
adhere to principles and policies that ensure government oversight
and management of the contracting process to ensure taxpayer funds
are spent wisely; contracts are not wasteful, inefficient, or subject
to misuse; unnecessary no-bid and cost-plus contracts are avoided;
and contracts are awarded according to the best interests of
California taxpayers.
   (h) As used in this chapter, "federal act" shall mean the American
Recovery and Reinvestment Act of 2009.



2422.  (a) Notwithstanding any other provision of law, the
Legislature hereby appropriates to the department the sum of two
billion five hundred sixty-nine million five hundred sixty-eight
thousand three hundred twenty dollars ($2,569,568,320), and any
additional funds, made available to the state as highway
infrastructure investment funds pursuant to Title XII of Division A
of the American Recovery and Reinvestment Act of 2009 and apportioned
to the state pursuant to Title 23 of the United States Code to carry
out projects eligible under that act and in accordance with this
chapter.
   (b) The funds appropriated by this section shall be available for
obligation and expenditure by the dates specified in the federal
requirements implementing the federal act.
   (c) It is the intent of the Legislature to allow for such
flexibility as is necessary to permit the successful implementation
of the appropriations made by this section. The Legislature hereby
authorizes the Department of Finance to appropriately itemize and
schedule these appropriations, or to make adjustments as are
necessary, in order to successfully carry out the intent of the
federal act.
   (d) The Director of Finance shall, within 90 days after the
enactment of this chapter, furnish the chairpersons of the committees
in each house of the Legislature that consider appropriations and
the state budget, and the Chairperson of the Joint Legislative Budget
Committee, with a report that describes the schedule of funding. The
Director of Finance shall provide notification to the Legislature of
any changes in that schedule 30 days prior to any change taking
effect.


2423.  (a) The federal highway infrastructure investment funds made
available to the state under the formula apportionments of the
American Recovery and Reinvestment Act of 2009 shall be considered
part of the surface transportation program as set forth in paragraphs
(3) and (4) of subdivision (d) of Section 133 of Title 23 of the
United States Code. These formula funds shall be apportioned 37.5
percent for expenditure by the state to be programmed by the
department and allocated by the commission, and 62.5 percent to the
metropolitan planning organizations, county transportation
commissions, and regional transportation planning agencies in
accordance with subdivisions (b) and (c) of Section 182.6.
   (b) (1) Funds available to be programmed by the department
pursuant to subdivision (a) shall be programmed for eligible projects
consistent with the federal act and this chapter.
   (2) (A) A minimum of nine hundred thirty-five million dollars
($935,000,000) of the funds available pursuant to paragraph (1) shall
be programmed for projects in the state highway operations and
protection program.
   (B) Not more than three hundred ten million dollars ($310,000,000)
of the funds available pursuant to subparagraph (A) may be loaned
pursuant to Section 8879.77 of the Government Code to advance
projects to be funded with moneys from the Highway Safety, Traffic
Reduction, Air Quality, and Port Security Bond Act of 2006.
   (c) Pursuant to the American Recovery and Reinvestment Act of
2009, 3 percent of the federal funds, which is approximately
seventy-seven million dollars ($77,000,000), made available to the
state shall be used for transportation enhancement activities. Funds
allocated pursuant to this section for transportation enhancement
activities are not subject to the requirements of the state
transportation improvement program. Any funds apportioned to the
state pursuant to paragraph (2) of subdivision (d) of Section 133 of
Title 23 of the United States Code shall be distributed such that
37.5 percent of these funds shall be made available to the department
and allocated by the commission and 62.5 percent shall be made
available to the metropolitan planning organizations, county
transportation commissions, and regional transportation planning
agencies in accordance with the formula in subdivisions (b) and (c)
of Section 182.6.
   (1) In programming and allocating these funds, the department and
the metropolitan planning organizations, county transportation
commissions, and regional transportation agencies shall give priority
to the sponsors of eligible projects that partner with, or commit to
employ the services of, a community conservation corps or the
California Conservation Corps to construct or undertake the project,
provided those projects meet the requirements of the American
Recovery and Reinvestment Act of 2009.
   (2) After all eligible projects have been selected pursuant to
paragraph (1), the department and the metropolitan planning
organizations, county transportation commissions, and regional
transportation agencies shall next give priority to projects that
provide facilities for pedestrians and bicyclists, provided those
projects meet the requirements of the American Recovery and
Reinvestment Act of 2009.
   (3) After all eligible projects have been selected pursuant to
paragraph (2), the department and the metropolitan planning
organizations, county transportation commissions, and regional
transportation agencies may fund any project eligible in accordance
with paragraph (35) of subdivision (a) of Section 101 of Title 23 of
the United States Code.
   (d) It is the intent of the Legislature that at least 40 percent
of the funds apportioned to a metropolitan planning organization,
county transportation commission, or regional transportation planning
agency be available for suballocation by that entity to a city,
county, or city and county for projects that meet the requirements of
the American Recovery and Reinvestment Act of 2009 and this chapter.
   (1) Any funds suballocated by a metropolitan planning
organization, county transportation commission, or regional
transportation planning agency that will not be obligated by a city,
county, or city and county by the deadlines specified in the American
Recovery and Reinvestment Act of 2009 shall be reallocated and
available for expenditure as determined by the metropolitan planning
organization, county transportation commission, or regional
transportation planning agency.
   (2) A metropolitan planning organization, county transportation
commission, or regional transportation agency that suballocates funds
to a city, county, or city and county under this chapter shall
establish reporting procedures for the city, county, or city and
county to ensure that funds are obligated and expended in accordance
with the American Recovery and Reinvestment Act of 2009 and this
chapter.
   (e) (1) A metropolitan planning organization, county
transportation commission, or regional transportation planning agency
receiving funds under this chapter shall notify the department of
the projected amount of obligational authority that the entity
intends to use, including for funds that the entity suballocated to a
city, county, or city and county pursuant to subdivision (d). The
report shall include, but not be limited to, a list of projects that
will be obligated by the following deadlines:
   (A) By June 1, 2009, for the funds required to be obligated within
120 days of federal apportionment.
   (B) By February 1, 2010, for any funds that will not be obligated
within one year of federal apportionment.
   (2) Any federal obligational authority that will not be used shall
be redistributed by the department to other projects in a manner
that ensures that the state will continue to compete for and receive
increased obligational authority during the federal redistribution of
obligational authority. To the extent practical, the funds shall be
obligated within the geographic areas relinquishing the obligational
authority.
   (f) Funds apportioned by this chapter are not eligible to be
exchanged for nonfederal State Highway Account funds as provided in
subdivision (g) or (h) of Section 182.6.
   (g) The public participation requirements under Title 23 of the
United States Code shall apply to all transportation projects using
federal funds made available pursuant to this chapter.



2424.  (a) The department, metropolitan planning organizations,
county transportation commissions, regional transportation planning
agencies, counties, cities, and a city and county shall comply with
all reporting requirements to the Federal Highway Administration
(FHWA) established in federal law regarding funds made available
under the American Recovery and Reinvestment Act of 2009.
   (b) In complying with the requirements of subdivision (a), the
department, metropolitan planning organizations, county
transportation commissions, regional transportation planning
agencies, counties, cities, and a city and county shall provide the
same data they provide to the FHWA to the department under the same
timelines required by the FHWA or federal law. Regional entities
shall include in the data provided to the department information on
the use of federal funds made available under the American Recovery
and Reinvestment Act of 2009 that were suballocated to cities and
counties within their jurisdiction.
   (c) All jurisdictions that received and obligated or expended
federal funds for transportation enhancement activities pursuant to
federal law and this chapter shall include in the data they provide
to the department pursuant to subdivision (b) a description of the
number, value, and type of project that involved the participation of
a community conservation corps or the California Conservation Corps.
   (d) The department, within 30 days of receiving the information
required pursuant to subdivisions (b) and (c), shall compile the
information and submit a report to the budget committees and policy
committees with jurisdiction over transportation matters in each
house of the Legislature.