REPORT TO COUNCIL
SUBJECT
Title
Approve Road Maintenance and Rehabilitation Projects for the Road Repair and Accountability Act of 2017 - Local Streets and Roads Funding Program and Approve Budget Modification No. 11
Report
BACKGROUND
On April 28, 2017, the Governor signed Senate Bill (SB) 1, which is known as the Road Repair and Accountability Act of 2017. To address basic road maintenance, rehabilitation and critical safety needs on both the state highway and local streets and road system, SB 1 increases fuel excise taxes, diesel fuel sale taxes, and vehicle registration fees as appended below:
* An additional 12 cents per gallon increase to the gasoline excise tax effective November 1, 2017.
* An additional 20 cents per gallon increase to the diesel fuel excise tax effective November 1, 2017.
* An additional vehicle registration tax called the "Transportation Improvement Fee" with rates based on the value of the motor vehicle effective January 1, 2018.
* An additional $100 vehicle registration fee on zero emissions (ZEV) vehicles model year 2020 or later effective July 1, 2020.
* Annual rate increase to these taxes beginning on July 1, 2020 (July 1, 2021 for ZEV fee) and every July 1st thereafter equal to the change in California Consumer Price Index (CPI).
Beginning November 1, 2017, a percentage of this new funding will be apportioned to the cities and counties by the formula that is currently used for distribution of Highway User Tax Account (HUTA), which is based on the proportion of the population, number of registered vehicles, and number of miles of maintained roadways.
EXISTING POLICY
General Plan Chapter 3, Land Use and Transportation Element:
* Goal A: Protect the quality of life, the natural environment, and property investment, preserve home rule, secure fair share funding, and provide leadership in the region.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a "project" within the meaning of the California Environmental Q...
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