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STATE OF CALIFORNIA

Public Utilities Commission

San Francisco

M e m o r a n d u m

Date:

March 6, 2008

   

To:

The Commission

(Meeting of March 13, 2008)

     

From:

Pamela C. Loomis, Deputy Director

Office of Governmental Affairs (OGA) - Sacramento

   

Subject:

AB 660 (Galgiani) - Railroad-highway grade separations.

As amended: January 24, 2008

 

· The ranking on the priority list does not guarantee that the project will be funded by Section 190. The proponent must provide Department of Transportation (Caltrans) prescribed documentation that the project is ready to proceed by no later than by April 1 of each year. Required documentation includes agreements with the affected railroad, (e.g., evidence that the railroad will contribute 10% of the project cost), environmental documents, and certification by the local governing body that sufficient local funds are available to complete the project, etc. (Title 21 C.C.R. § 1554.)

· In recent years, local governments have consistently failed to complete the required documentation by Caltrans' April 1 deadline. For example, no new projects were funded by the Section 190 program in the 2005-06 FY because local governments did not submit the necessary documentation prior to the April 1, 2005 deadline.

· Furthermore, in prior years, projects ranking as low as number 52 received funding because projects ranking higher on the priority list were not ready to proceed by the April 1 deadline. Unfortunately, even though Caltrans may allocate funds for a project, unless the local government is prepared to proceed to construction within the contract period, the funds not used are automatically reverted back to the Section 190 program account.

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