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AB-198 Transportation.(2021-2022)

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Date Published: 06/25/2022 07:52 PM
AB198:v97#DOCUMENT

Amended  IN  Senate  June 25, 2022
Amended  IN  Assembly  February 18, 2021

CALIFORNIA LEGISLATURE— 2021–2022 REGULAR SESSION

Assembly Bill
No. 198

Introduced by Committee on Budget (Assembly Members Ting (Chair), Arambula, Bennett, Bloom, Carrillo, Chiu, Cooper, Frazier, Friedman, Cristina Garcia, Jones-Sawyer, Lee, McCarty, Medina, Mullin, Nazarian, O’Donnell, Ramos, Reyes, Luz Rivas, Blanca Rubio, Stone, Wicks, and Wood)

January 08, 2021

An act relating to the Budget Act of 2021. An act to amend Section 14533.5 of, to add Section 14669.20 to, and to add Chapter 6 (commencing with Section 14560) to Part 5.3 of Division 3 of Title 2 of, the Government Code, to amend Section 39719 of, and to add and repeal Section 39719.3 of, the Health and Safety Code, to amend Section 6821 of the Public Contract Code, to add Sections 185033.7 and 185036.5 to, and to add Division 19.7 (commencing with Section 187000) to, the Public Utilities Code, to amend Section 117 of, and to add Sections 104.3 and 2196.2 to, the Streets and Highways Code, and to amend Section 22511.55 of the Vehicle Code, relating to transportation, and making an appropriation therefor, to take effect immediately, bill related to the budget.


LEGISLATIVE COUNSEL'S DIGEST


AB 198, as amended, Committee on Budget. Budget Act of 2021. Transportation.
(1) Existing law requires the Department of Transportation to advance funds to a public entity eligible for those funds for a guideway project when specified conditions exist, including, among others, that the California Transportation Commission has allocated the funds pursuant to specified provisions of law. If, upon completion of the project, the advance, together with specified interest on the advance, exceeds that portion of the actual reimburseable costs for which the public entity has not been reimbursed, existing law requires the public entity to repay the excess to the state for deposit in an account from which the advance was made. Existing law requires the department to submit a report to the Legislature if the department encounters any substantial problems in carrying out the funding advance program.
This bill would revise and recast the funding advance program to authorize, instead of require, the department to advance funds for a transit or passenger rail project or project component when specified conditions exist. The bill would authorize the department to adopt guidelines to advance funds under these provisions. The bill would revise the conditions that are required to be met before the department may advance funds by, among other things, authorizing the funds to be advanced if the commission has allocated funds pursuant to the Transit and Intercity Rail Capital Program. The bill would require the lead applicant agency or the recipient agency to repay the amount of the funds advanced plus a specified amount of interest to the state if the department, the Transportation Agency, or any other state agency charged with monitoring the stewardship of public funds makes a certain finding with regard to the use of funds available to the project. If the lead applicant agency or the recipient agency fails to repay the state, the bill would authorize the agency that makes the finding to request the Controller, Treasurer, or any other authorized state agency to demand a transfer of an amount equal to the amount paid to the recipient agency to be paid to the state or to withhold payment from future apportionments or any other funds to the recipient agency. The bill would delete the requirement for the department to submit the above-described report to the Legislature.
(2) Existing law vests the California Transportation Commission with various powers and duties relative to the programming of transportation capital projects and allocation of funds to those projects pursuant to the state transportation improvement program and various other transportation funding programs. Existing law creates the Department of Transportation with various powers and duties relative to the state highway system and other transportation programs.
This bill would establish the Transportation Infrastructure Climate Adaptation Strategy Grant Program as a competitive grant program to be awarded and administered by the department to provide funding to local agencies to identify transportation-related climate vulnerabilities through the development of climate adaptation plans and to identify ways to incorporate transportation-related climate adaptation needs into existing transportation plans. The bill would establish the Local Transportation Infrastructure Climate Adaptation Project Program, to be administered by the commission, for purposes of developing and implementing projects adapting local transportation infrastructure to climate change. The bill would require a local agency that receives funding under the grant programs to submit various reports to the commission or the department, as applicable, regarding the expenditure of those funds. The bill would establish the State Transportation Infrastructure Climate Adaptation Program, to be administered by the department, for purposes of planning, developing, and implementing projects adapting state transportation infrastructure to climate change. The bill would require the department, as part of the State Transportation Infrastructure Climate Adaptation Program, to develop a program of its top priority climate adaptation projects and to submit projects in this program to the commission for adoption. The bill would require the administrators of these programs to only award grants under those programs upon an appropriation by the Legislature. The bill would require the department to post various reports on its internet website, and submit a 5-year performance report to the commission, regarding the expenditure of funds.
(3) Existing law generally authorizes the Director of General Services to hire, lease, lease-purchase, or lease with the option to purchase real property for the use of a state agency, but prohibits the director from entering into a lease-purchase agreement for office space without specific legislative authorization.
Existing law specifically authorizes the Department of General Services, with the consent of the Department of the California Highway Patrol, to enter into a lease-purchase agreement, or lease with an option to purchase agreement, for a build-to-suit office facility to replace the Department of the California Highway Patrol area office in the City of Tracy in the County of San Joaquin. Existing law prescribes certain requirements for this project, including that the lease and all related agreements be approved by the Department of Finance, specified legislative notice requirements be satisfied, and that it be subject to the Property Acquisition Law.
This bill would, similarly, authorize the Department of General Services, with the consent of the Department of the California Highway Patrol, to enter into a lease-purchase agreement, or lease with an option to purchase agreement, for a build-to-suit office facility to replace the Department of the California Highway Patrol area office in the City of Santa Ana in the County of Orange, as specified.
(4) Existing law authorizes the Department of Transportation to utilize the design-build method of procurement for up to 10 projects on the state highway system, based on either best value or lowest responsible bid. Existing law establishes a procedure for submitting bids that includes a requirement that design-build entities provide a statement of qualifications submitted to the transportation entity that is verified under oath, subject to penalty of perjury. Existing law repeals these provisions on January 1, 2034, or one year from the date that the Department of Transportation posts on its internet website that the provisions related to the construction inspection services of these projects have been held invalid by a court.
This bill would authorize the department to utilize the design-build method of procurement for an additional 6 projects per fiscal year in the 2022–23 and 2023–24 fiscal years pursuant to these provisions. By authorizing the design-build method of procurement for an overall greater number of projects, the bill would expand the number of projects in which the statement of qualifications requirement, subject to penalty of perjury, is applicable, thereby expanding the scope of a crime and imposing a state-mandated local program.
(5) The California High-Speed Rail Act creates the High-Speed Rail Authority to develop and implement a high-speed rail system in the state, with specified powers and duties. The act requires the authority to prepare, publish, adopt, and submit to the Legislature a business plan containing specified elements on a biennial basis and to also provide on a biennial basis a project update report, approved by the Secretary of Transportation as consistent with specified criteria, to the budget committees and the appropriate policy committees of both houses of the Legislature, on the development and implementation of intercity high-speed train service, as provided.
This bill would require the authority to develop schedules for the delivery of specified tasks relating to the high-speed rail project for inclusion in the project update report and the business plan and would also require the authority to include certain other information in the project update report and the business plan relating to the Merced to Bakersfield segment of the high-speed rail project. The bill would require the authority to notify the chairpersons of the relevant committees of both houses of the Legislature before submitting a federal grant application for funding for implementation of the high-speed rail project and before releasing a request for proposals after June 1, 2022, for contracts relating to specified aspects of the high-speed rail system.
This bill would establish the High-Speed Rail Authority Office of the Inspector General and would provide that the office is not a subdivision of any other governmental entity. The bill would require the Governor to appoint the High-Speed Rail Authority Inspector General to a 4-year term from a list of 3 qualified individuals nominated by the Joint Legislative Audit Committee. The bill would authorize the inspector general to initiate audits and reviews related to the delivery of the high-speed rail project and the selection and oversight of contractors, as provided. The bill would impose other duties and responsibilities on the inspector general relating to the oversight of the High-Speed Rail Authority. The bill would require the inspector general to submit annual reports to the Legislature and Governor regarding its findings. This bill would make it a misdemeanor for the inspector general, an employee of the inspector general, and certain other persons to divulge or make known certain information, as specified. By creating a new crime, this bill would impose a state-mandated local program.
(6) The Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century, approved by the voters as Proposition 1A at the November 4, 2008, statewide general election, provides for the issuance of general obligation bonds in the amount of $9,000,000,000 for high-speed rail purposes and $950,000,000 for other related rail purposes. The Budget Act of 2021 appropriates various amounts from the High-Speed Passenger Train Bond Fund to the High-Speed Rail Authority for high-speed rail purposes, subject to certain conditions and provisions.
This bill would provide that funds appropriated from the High-Speed Passenger Train Bond Fund to the High-Speed Rail Authority in the Budget Act of 2021 or any subsequent amendments to the Budget Act of 2021 are for the purpose of implementing the Merced to Bakersfield segment of the high-speed rail project and would also provide that these funds are to be used exclusively for the Merced to Bakersfield segment.
(7) The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The act authorizes the state board to include in its regulation of those emissions the use of market-based compliance mechanisms. Existing law requires all moneys, except for fines and penalties, collected by the state board from the auction or sale of allowances as part of a market-based compliance mechanism to be deposited in the Greenhouse Gas Reduction Fund. Existing law continuously appropriates 25% of the annual proceeds of the fund to the High-Speed Rail Authority for certain components of a specified high-speed rail project.
This bill would prohibit the authority, beginning with the 2022–23 fiscal year, from entering into new funding commitments with these funds appropriated from the Greenhouse Gas Reduction Fund for activities outside of the Merced to Bakersfield segment, except under specified circumstances. The bill would make this prohibition inoperative on June 30, 2030, or when the Merced to Bakersfield segment is fully funded, whichever is sooner.
(8) Existing law vests the Department of Transportation with full possession and control of all state highways and all property and rights in property acquired for state highway purposes. Existing law authorizes the department to do any act necessary, convenient, or proper for the construction, improvement, maintenance, or use of all highways that are under its jurisdiction, possession, or control.
This bill would establish the Reconnecting Communities: Highways to Boulevards Pilot Program under the administration of the department to provide funding, upon appropriation by the Legislature, for the purpose of awarding competitive grants to eligible entities, in partnership with the department, for planning or implementing the conversion or transformation of underutilized state highways into multimodal corridors that serve residents of underserved communities, as provided.
(9) Under existing law, the Department of Transportation’s acquisition of any right-of-way over any real property for state highway purposes includes the right of the department to issue certain permits for the location in the right-of-way of any structures or fixtures necessary to telegraph, telephone, or electrical lines or of any ditches, pipes, drains, sewers, or underground structures, unless otherwise specifically provided in the instrument conveying title.
This bill would apply that permitting authority to a right-of-way over any real property for state highway purposes that is owned or controlled by the department, and would additionally specify the right of the department to issue those permits for the location in the right-of-way of any structures or fixtures necessary to advanced communication or information services lines.
(10) Existing law establishes the Transportation Agency, which consists of various departments and state entities, including the Department of Transportation and the California Transportation Commission. Existing law requires the agency to prepare a state freight plan on or before December 31, 2014, and every 5 years thereafter, with specified elements to govern the immediate and long-range planning activities and capital investments of the state with respect to the movement of freight. Existing law requires the commission, upon appropriation by the Legislature, to allocate certain revenues deposited in the Trade Corridor Enhancement Account and certain federal funds for eligible infrastructure projects, and prohibits these funds from being allocated to projects that include the purchase of fully automated cargo handling equipment, as provided.
This bill would, upon an appropriation for its purposes, require the Transportation Agency, in consultation with the Department of Transportation, to develop and administer contracts, grants, or other funding mechanisms to invest in port-specific high-priority projects that increase goods movement capacity on rail and roadways serving ports and at port terminals, as provided. The bill would require that 70% of the allocated funds be used for infrastructure projects, each supporting goods movement related to the Port of Los Angeles, the Port of Long Beach, or both, and 30% of the allocated funds be used for other high-priority projects supporting ports and goods movement infrastructure in the rest of the state, including inland ports. The bill would authorize public agencies to partner with private operators to implement eligible projects and would prohibit funds from being allocated to projects that include the purchase of fully automated cargo handling equipment, as provided. The bill would require the agency to develop guidelines for project selection in consultation with the ports and other stakeholders, as provided.
(11) Existing law authorizes the Department of Motor Vehicles to issue a distinguishing placard to a qualified disabled veteran or person with a disability, upon application, to be displayed upon a parked vehicle for the purposes of identifying eligibility for certain parking privileges.
Existing law requires the department to annually compare their record of placardholders with the records of the Office of Vital Records of the State Department of Public Health and the Social Security Administration’s Death Master File to identify placardholders that are deceased and to withhold any renewal notices for deceased persons.
This bill would, instead of the Social Security Administration’s Death Master File, require the department to compare their records with a nationwide vital statistics clearinghouse. The bill would also require the department to, based on this record check, withhold any placard that would have been sent to a deceased person.
Existing law requires the department to send renewal forms for placards by mail, and for the renewal forms to be returned by mail or in person.
This bill would remove the requirement that the renewal form be sent by mail and the requirement that it be returned by mail or in person.
(12) This bill would appropriate $200,000 from the State Highway Account in the State Transportation Fund to the Transportation Agency for compliance and oversight activities related to federal infrastructure funding.
(13) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.
(14) This bill would declare that it is to take effect immediately as a bill providing for appropriations related to the Budget Bill.

This bill would express the intent of the Legislature to enact statutory changes, relating to the Budget Act of 2021.

Vote: MAJORITY   Appropriation: NOYES   Fiscal Committee: NOYES   Local Program: NOYES  

The people of the State of California do enact as follows:


SECTION 1.

 (a) It is the intent of the Legislature for the High-Speed Rail Authority to do both of the following:
(1) Complete the full Phase 1 System as identified in paragraph (2) of subdivision (b) of Section 2704.04 of the Streets and Highways Code.
(2) Until the completion of the Merced to Bakersfield segment, prioritize funding for all of the following:
(A) Completing planning and construction of the Merced to Bakersfield segment.
(B) Meeting legal and funding commitments made as of June 1, 2022, to eligible recipients of the proceeds of bonds from the High-Speed Passenger Train Bond Fund created pursuant to Section 2704.05 of the Streets and Highways Code for capital improvements to intercity and commuter rail lines and urban rail systems that provide direct connectivity to the high-speed train system and its facilities, as specified in subdivision (a) of Section 2704.095 of the Streets and Highways Code.
(C) Completing any planning or environmental work required as part of an existing federal grant agreement as of June 1, 2022.
(b) For purposes of this section, the “Merced to Bakersfield segment” means a 171-mile electrified dual-track segment that is usable for high-speed rail service in the central valley from Merced to Bakersfield, with a new combined station in downtown Merced, and connections to the Amtrak San Joaquins and the Altamont Corridor Express.

SEC. 2.

 Section 14533.5 of the Government Code is amended to read:

14533.5.
 (a) The department shall may advance funds for an exclusive public mass transit guideway project to a public entity eligible for those funds a transit or passenger rail project or project component when all of the following conditions exist:
(1) The lead applicant agency for, and all direct recipients of, advance funds are public agencies.

(1)

(2) The commission has allocated the funds pursuant to Section either of the following:
(A) Section 14533 of this code and in accordance with Section 99317 of the Public Utilities Code or Section 199 of the Streets and Highways Code. Code.
(B) The Transit and Intercity Rail Capital Program (Part 2 (commencing with Section 75220) of Division 44 of the Public Resources Code).
(3) The lead applicant agency requests advance funds in its application for the applicable program or as soon as the lead applicant agency anticipates a need for advance funds.
(4) The direct recipients of the advance funds have a record of good financial management and have not been sanctioned by any state or federal agency.
(5) The lead applicant agency or any other recipient of the advance funds offers sufficient security, as determined by the department.
(6) The project or project component for which the advance funds are requested is to be delivered by a specified date or dates.

(2)

(7) The financing plan and the schedule for the project have been approved by the department pursuant to Section 14085. 14085, if applicable.

(3)

(8) The department and the public entity direct recipients have entered into a fund transfer agreement which specifies the terms of the advance and the procedure for periodic reimbursement of actual costs incurred for the project. project or project component.

(4)

(9) The public entity lead applicant agency has demonstrated to the satisfaction of the department that the advance is required to pay current expenses on the project or project component for which the allocation is authorized.

(5)The advance does not exceed 10 percent of the allocation authorized.

(6)

(10) The advance will not jeopardize the timely discharge of the other commitments against the account in the State Transportation Fund from which the advance is made.
(11) Upon request of the department, the recipient agency provides a finding approved by its governing body that demonstrates a financial need for an advance payment pursuant to the program to deliver the project or project component.
(b) The lead applicant agency may request advance funds within approximately 30 days before the project incurs an eligible capital expense. All interest accrued on the advance funds shall be used only for eligible project costs and shall be deducted from future payments under the program or returned to the department.

(b)

(c) If, upon completion of the project, project or project component, the advance of funds, together with interest on the advance of funds earned for the full period of the advance equivalent to the average rate earned by investments in the Pooled Money Investment Account during the same period, exceeds that portion of the actual reimbursable costs for which the public entity recipient has not been reimbursed, the public entity lead applicant agency or the recipient agency shall repay the excess amount to the state for deposit in the account from which the advance was made.

(c)If the department encounters any substantial problems in carrying out this section, it shall promptly prepare and submit to the Legislature a report which summarizes the procedures adopted to carry out the section, identifies any problems encountered, and indicates the direct and indirect costs to the state incurred in carrying out the section.

(d) The lead applicant agency or the recipient agency shall repay the amount of the funds advanced, plus an amount equal to the interest that the money would have earned in the Pooled Money Investment Account, to the state if the department, the Transportation Agency, or any other state agency charged with monitoring the stewardship of public funds finds any of the following:
(1) The lead applicant agency or the recipient agency misused any public funds available to the project or project components.
(2) The lead applicant agency or the recipient agency made an expenditure that is not eligible under the applicable program.
(3) The improvement or rolling stock is not delivered in accordance with the fund transfer agreement.
(4) The lead applicant agency or the recipient agency breached the advance payment procedures developed by the department pursuant to subdivision (f).
(5) The lead applicant agency or the recipient agency is obligated to reimburse the state pursuant to subdivision (b) or (c).
(e) If the lead applicant agency or recipient agency fails to repay any money to the state pursuant to subdivision (d), the agency that makes the finding may request the Controller, Treasurer, or any other authorized state agency to demand a transfer of an amount equal to the amount paid to the recipient agency to be paid to the state or may withhold payment from future apportionments or any other funds to the recipient agency.
(f) The department may develop guidelines to advance funds under this section.

SEC. 3.

 Chapter 6 (commencing with Section 14560) is added to Part 5.3 of Division 3 of Title 2 of the Government Code, to read:
CHAPTER  6. Transportation Infrastructure: Climate Adaptation Grant Programs

14560.
 (a) The Legislature finds and declares all of the following:
(1) Sea level rise and other climate-fueled hazards are threatening the state’s critical surface transportation infrastructure and surrounding communities.
(2) Large-scale investment will be needed to make the state’s transportation assets and its communities resilient to climate hazards. In the San Francisco Bay area alone, the Metropolitan Transportation Commission and Association of Bay Area Governments estimate a nineteen billion dollars ($19,000,000,000) cost to adapt for just two feet of sea level rise.
(3) Since 2015, the state enacted several laws and took administrative action directed to incorporate climate adaptation into transportation investment decisions. Executive Order B-30-15 requires the consideration of climate change in all state investment decisions; Senate Bill 379 (Chapter 608 of the Statutes of 2015) requires local governments to incorporate climate adaptation and resiliency strategies into general plans; and the Road Repair and Accountability Act of 2017 (Chapter 5 of the Statutes of 2017) includes funding for climate change adaptation planning grants.
(4) Critical multistakeholder adaptation planning work has already begun around the state.
(5) The federal Infrastructure Investment and Jobs Act of 2021 (IIJA) (Public Law 117-58) increases California’s National Highway Performance Program funds to twelve billion eight hundred million dollars ($12,800,000,000) over the five-year funding period and newly allows those dollars to be spent on resilience, including an allowance for up to 15 percent of the funds to be spent on protective features anywhere on the federal aid highway system.
(6) The IIJA also creates a new resilience formula program, the Promoting Resilient Operations for Transformative, Efficient, and Cost-saving Transportation (PROTECT) program, which provides California with approximately six hundred thirty million dollars ($630,000,000) over five years. These funds can be used for planning and resilience improvements that protect surface transportation assets.
(b) The intent of this chapter is to provide for the funding of the identification of climate vulnerabilities, the assessment of the risks created by those vulnerabilities, and the planning, development, and implementation of transportation projects that adapt to those risks and support the holistic and comprehensive adaptation to climate change.

14561.
 For purposes of this chapter, the following definitions apply:
(a) “Adaptation Planning Guide” means the document created and updated by the Office of Emergency Services, in coordination with the Office of Planning and Research and the Natural Resources Agency, pursuant to Section 71356 of the Public Resources Code.
(b) “California State Adaptation Strategy” means the state’s climate adaptation strategy updated pursuant to Section 71153 of the Public Resources Code.
(c) “Local agency” means any of the following:
(1) A transportation planning agency described in Section 29532 or 29532.1.
(2) A county transportation commission established under Section 130050, 130050.1, or 130050.2 of the Public Utilities Code.
(3) Any other local or regional transportation entity that is designated by statute as a regional transportation agency.
(4) A joint exercise of powers authority established pursuant to Chapter 5 (commencing with Section 6500) of Division 7 of Title 1, with the consent of a transportation planning agency or a county transportation commission for the jurisdiction in which the transportation project will be developed.
(5) A local transportation authority created or designated pursuant to Division 12.5 (commencing with Section 131000) or Division 19 (commencing with Section 180000) of the Public Utilities Code.
(6) The Santa Clara Valley Transportation Authority established pursuant to Part 12 (commencing with Section 100000) of Division 10 of the Public Utilities Code.
(7) A city, county, or a city and a county.
(8) A federally recognized Native American tribe.
(d) “Natural infrastructure” has the same meaning as defined in subsection (a) of Section 101 of Title 23 of the United States Code.
(e) “PROTECT program” means the federal Promoting Resilient Operations for Transformative, Efficient, and Cost-saving Transportation program established pursuant to Section 176 of Title 23 of the United States Code.
(f) “Resilience improvement plan” means a resilience improvement plan developed as part of the PROTECT program pursuant to Section 176 of Title 23 of the United States Code.
(g) “Under-resourced community” has the same meaning as defined in Section 71130 of the Public Resources Code.
(h) “Vulnerable community” has the same meaning as the definition of “vulnerable communities” that was adopted by the Integrated Climate Adaptation and Resiliency Program Technical Advisory Council at the council’s April 2, 2018, meeting and recorded in the resource guide published by the Office of Planning and Research in July 2018 titled “Defining Vulnerable Communities in the Context of Climate Adaptation.”

14562.
 (a) The Transportation Infrastructure Climate Adaptation Strategy Grant Program is hereby established as a competitive grant program to be awarded and administered by the department to provide funding to local agencies for both of the following purposes:
(1) To identify transportation-related climate vulnerabilities through the development of climate adaptation plans, including climate action plans, hazard mitigation plans, safety elements of required general plans, and resilience improvement plans.
(2) Consistent with the principles of the California State Adaptation Strategy, the resilience improvement plan prepared by the department pursuant to Section 14563, and any applicable regional resilience improvement plans, to identify ways to incorporate transportation-related climate adaptation needs into existing transportation plans.
(b) Upon appropriation of funds by the Legislature, including funds allocated to this program from the PROTECT program, the department shall allocate funds for grants to local agencies for any of the following purposes to adapt to the changing climate:
(1) Climate change adaptation planning that identifies transportation system vulnerabilities and climate-related risks to existing transportation infrastructure, including resilience improvement plans.
(2) Climate adaptation planning that identifies projects to adapt to specific identified climate risks to existing transportation infrastructure.
(3) Planning for specific climate projects that can be programmed in existing local or regional transportation plans.
(c) The department shall administer the program in consultation with the Transportation Agency, the commission, the Natural Resources Agency, the Office of Planning and Research, the Integrated Climate Adaptation and Resiliency Program Technical Advisory Council, and other state or local agencies that have adopted climate adaptation plans or strategies. The department shall ensure that, to the extent practical, the program is coordinated with other state-administered programs that fund climate adaptation activities.
(d) The department may allocate funds to local agencies pursuant to subdivision (b) by providing grants for any of the following:
(1) Technical assistance for under-resourced and vulnerable communities.
(2) Specific work within a local agency’s climate adaptation plans, climate action plans, hazard mitigation plans, or safety elements of required general plans, that will lead to the identification and development of capital projects that can be programmed as part of local or regional transportation plans.
(3) Development and preparation of planning documents for transportation capital projects, or projects that may use natural infrastructure or provide multiple benefits, that adapt to identified climate vulnerabilities and that can be programmed through an existing local or regional transportation plan.
(e) (1) The department shall develop guidelines for the implementation of this program. The guidelines for this program are exempt from the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1).
(2) The guidelines shall require that each administrative cycle considers climate equity across regions of the state, and considers adaptation strategies with multiple cobenefits that support other state goals and that benefit adaptation efforts, in order to identify, develop, and implement capital improvement projects that meet both of the following requirements:
(A) The project is aligned with state and local strategies for adapting to climate change impacts, including the resilience improvement plan prepared by the department pursuant to Section 14563 and applicable regional resilience improvement plans.
(B) The project is consistent with the principles of the California State Adaptation Strategy, as well as relevant climate action plans, hazard mitigation plans, and safety elements of required general plans.
(3) The guidelines shall require that funding to local agencies is made for the identification of climate vulnerabilities, identification of specific climate risks to transportation infrastructure, and development of projects that correct or adapt to an identified climate risk to transportation infrastructure.
(4) The guidelines shall require that any work funded by this program shall include a multistakeholder process that provides an opportunity for public input from communities potentially impacted by any projects identified or developed as part of the grant.
(f) Nothing in this section shall limit the department from awarding funds to more than one phase of the same project, but no single project shall be awarded all of the funding available under the program.

14563.
 (a) The State Transportation Infrastructure Climate Adaptation Program is hereby established, to be administered by the department, for purposes of planning, developing, and implementing projects adapting state transportation infrastructure to climate change.
(b) (1) Upon appropriation of funds by the Legislature, including funds allocated to this program from the PROTECT program, the department shall prepare the resilience improvement plan for the state and shall develop a program of its top priority climate adaptation projects identified through its Adaptation Priorities Report process that will result in more resilient transportation infrastructure. The department shall submit projects in this program to the commission for adoption.
(2) In developing the program of projects pursuant to paragraph (1), the department shall consider all of the following:
(A) The department shall consult the 2020 and 2021 adaptation priority reports or any subsequent updates.
(B) The degree of risk for recurring damage or asset failure due to climate threats.
(C) The benefits of the project to preserving or enhancing regional or statewide mobility, economy, goods movement, and safety, and other benefits associated with protecting the asset.
(D) The benefits of the project to preserving or protecting adjacent communities, the environment, and other critical infrastructure.
(E) The degree to which the project incorporates environmental equity, protects vulnerable and under-resourced communities, and provides benefits to underserved communities, consistent with the California State Adaptation Strategy.
(3) In developing the program of projects pursuant to paragraph (1), the department may also consider, as secondary factors, cobenefits including reductions in emissions of greenhouse gases and vehicle miles traveled.
(4) In developing the program of projects pursuant to paragraph (1), the department may prioritize projects with local sponsors or additional sources of funding. The department may consider joint proposals for projects on the state highway system that are also eligible for funding under the program established pursuant to Section 14564.
(c) No later than April 1 of each year, the department shall provide the Legislature with a list of projects funded pursuant to this section, consistent with Section 9795.
(d) The department may use funds appropriated for this program to fund the development and implementation of projects described in subdivision (b) that are included in the State Highway Operation and Protection Program.
(e) The department may use funds appropriated for this program to develop project initiation documents for the purposes of providing engineering details that document the scope, cost, and schedule for projects described in subdivision (b).
(f) The department shall develop the program of projects pursuant to subdivision (b) in consultation with the Transportation Agency, the commission, the Natural Resources Agency, the Office of Planning and Research, the Integrated Climate Adaptation and Resiliency Program Technical Advisory Council, and other relevant state or local agencies that have adopted climate adaptation plans or strategies. The department shall ensure that, to the extent practical, the program established pursuant to this section is coordinated with other state-administered programs that fund climate adaptation activities.
(g) A state highway system project funded pursuant to this program shall, to the extent practicable, be consistent with the state’s asset management plan prepared pursuant to Section 14526.4.
(h) Nothing in this section shall limit the department from programming funds to more than one phase of the same project, but no single project shall be awarded all of the funding available under the program.

14564.
 (a) The Local Transportation Infrastructure Climate Adaptation Project Program is hereby established, to be administered by the commission, for purposes of developing and implementing projects adapting local transportation infrastructure to climate change.
(b) Upon appropriation of funds by the Legislature, including funds allocated to this program from the PROTECT program, the commission shall allocate funds for grants to local agencies for the development and implementation of projects that are intended to adapt to the changing climate and that meet all of the following criteria:
(1) The project increases climate resiliency and protects at-risk transportation infrastructure using California’s climate projections, as specified in Planning and Investing for a Resilient California: A Guidebook for State Agencies.
(2) The project is consistent with state, regional, or local climate adaptation reports, plans, and the Adaptation Planning Guide, including meeting the climate resiliency goals of the region where the project is located.
(3) The local agency conducts outreach to under-resourced and vulnerable communities related to the proposed project, consistent with the California State Adaptation Strategy.
(4) The project incorporates environmental equity, protects vulnerable and under-resourced communities, and provides meaningful benefits to underserved communities, consistent with the California State Adaptation Strategy.
(c) (1) The commission shall develop guidelines for the implementation of this program. The guidelines for this program are exempt from the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1).
(2) The guidelines shall consider project prioritization based on all of the following factors:
(A) The degree of risk for recurring damage or asset failure due to climate threats.
(B) The benefits of the project to preserving or enhancing regional or statewide mobility, economy, goods movement, and safety, and other benefits associated with protecting the asset.
(C) The benefits of the project to preserving or protecting adjacent communities, the environment, and other critical infrastructure.
(D) The degree to which the project incorporates environmental equity, protects vulnerable and under-resourced communities, and provides benefits to underserved communities, consistent with the California State Adaptation Strategy.
(3) The guidelines may also consider, as secondary project prioritization criteria, cobenefits such as reductions in greenhouse gas emissions and vehicle miles traveled.
(4) The guidelines shall require that each administrative cycle considers climate equity across regions of the state, and considers adaptation strategies that benefit adaptation efforts, in order to develop and implement capital improvement projects that meet both of the following requirements:
(A) The project is aligned with state and local strategies for adapting to climate change impacts.
(B) The project is consistent with the principles of the California State Adaptation Strategy, as well as relevant climate action plans, hazard mitigation plans, and safety elements of required general plans.
(5) The guidelines shall require that funding to local agencies is made for the development and implementation of transportation capital projects that correct or adapt to an identified climate risk to transportation infrastructure.
(6) The guidelines shall authorize, in addition to conventional transportation infrastructure projects, transportation-focused capital projects funded through this program to use natural infrastructure or provide multiple benefits if the project is consistent with applicable climate adaptation plans and necessary to increase the resilience of transportation infrastructure.
(7) The guidelines shall require that any projects funded by this program be developed with a multistakeholder process that provides an opportunity for public input from communities potentially impacted by the project.
(d) An application submitted by a local agency for funding through the grant program shall include at a minimum all of the following:
(1) An explanation of how the proposed transportation project adapts existing infrastructure to an identified climate risk.
(2) An explanation of how the project incorporates the use of California’s climate projections as specified in the Adaptation Planning Guide and other relevant state guidance documents.
(3) Identification of strategies and actions that demonstrate that the proposed project is consistent with applicable state, regional, or local climate adaptation plans or reports.
(4) An explanation of the outreach that the local agency conducted to under-resourced and vulnerable communities related to the proposed project.
(5) Identification of measures to improve equity and protect under-resourced and vulnerable communities in actions to meet the region’s climate resiliency goals.
(6) Demonstration that the project is consistent with an applicable sustainable communities strategy adopted as part of a regional transportation plan pursuant to Section 65080.
(e) An application may be submitted for a project that is also eligible for funding under Section 14563 if it meets the requirements of Section 14563 and is considered for programming by the department subject to the requirements of that section.
(f) The commission shall administer the program in consultation with the Transportation Agency, the department, the Natural Resources Agency, the Office of Planning and Research, the Integrated Climate Adaptation and Resiliency Program Technical Advisory Council, and other state or local agencies that have adopted climate assessments adaptation plans or strategies. The commission shall ensure that, to the extent practical, the program is coordinated with other state-administered programs that fund climate adaptation activities.
(g) Nothing in this section shall limit the commission from awarding funds to more than one phase of the same project, but no single project shall be awarded all of the funding available under the program

14565.
 (a) (1) A local agency that receives an allocation of funds pursuant to Section 14562 shall submit a report, in the form and manner prescribed by the department, to the department by April 1 of the fiscal year following the receipt of those funds, and annually thereafter until those funds are expended. The report shall contain the status of the planning receiving funding from the grant program. The department shall make a report submitted pursuant to this paragraph publicly available on its internet website.
(2) A local agency that receives an allocation of funds pursuant to Section 14564 shall submit a report, in the form and manner prescribed by the commission, to the commission by April 1 of the fiscal year following the receipt of those funds, and annually thereafter until those funds are expended. The report shall contain the status of the project receiving funding from the grant program. The commission shall make a report submitted pursuant to this paragraph publicly available on its internet website.
(b) (1) For purposes of Sections 14562 and 14564, the department and commission, as appropriate, shall maintain records of the following information and shall make that information publicly available on its internet website, as applicable:
(A) The application status for each grant applicant.
(B) The information described in subdivision (a) for each recipient of grant program funds.
(2) The department or commission, as applicable, may request additional information, as needed, from a grant applicant or recipient to meet other applicable reporting or audit requirements.
(c) No later than July 1, 2028, the department and each local agency that receives an allocation of grant funds pursuant to this chapter shall submit a five-year performance report on the use of those funds to the commission. In the report, the department or the local agency, as applicable, shall evaluate the actions it took in support of its proposed uses of those funds, as specified in the grant application.
(d) The commission and the department, as applicable, may monitor expenditures and activities of a grant recipient, as deemed necessary, to ensure compliance with requirements of this chapter.
(e) (1) The department shall post a report on its internet website by April 1 of the fiscal year following its receipt of funds pursuant to this chapter, and annually thereafter, until those funds are expended. The report shall contain the status of the department’s project initiation documents and projects receiving funding under this chapter.
(2) No later than July 1, 2028, the department shall post on its internet website a five-year performance report on its use of funds for its project initiation documents and projects receiving funding under this chapter.

SEC. 4.

 Section 14669.20 is added to the Government Code, to read:

14669.20.
 (a) The Department of General Services, with the consent of the Department of the California Highway Patrol, may enter into a lease-purchase agreement, or lease with an option to purchase agreement, for a build-to-suit office facility to replace the Department of the California Highway Patrol area office in the City of Santa Ana in the County of Orange. The new facility shall be located in the Department of the California Highway Patrol’s City of Santa Ana service area on approximately five acres and shall be designed and built to standards prescribed in the Essential Services Buildings Seismic Safety Act of 1986 (Chapter 2 (commencing with Section 16000) of Division 12.5 of the Health and Safety Code). This replacement facility project shall have oversight, testing, and inspection in a manner consistent with state infrastructure projects. The facility shall be anticipated to contain approximately 41,000 square feet of office space together with ancillary improvements to include, but not be limited to, an automotive service area, a fuel island, a truck and bus citation clearance area, a communications tower with radio vault, public parking for the main building, and secured parking for patrol vehicles.
(b) Any lease and all related agreements authorized by this section are subject to Department of Finance approval, the legislative notice requirements prescribed in Section 13332.10, and the Property Acquisition Law (Part 11 (commencing with Section 15850)).

SEC. 5.

 Section 39719 of the Health and Safety Code is amended to read:

39719.
 (a) The Legislature shall appropriate the annual proceeds of the fund for the purpose of reducing greenhouse gas emissions in this state in accordance with the requirements of Section 39712.
(b) To carry out a portion of the requirements of subdivision (a), the annual proceeds of the fund are continuously appropriated for the following:
(1) Beginning in the 2015–16 fiscal year, and notwithstanding Section 13340 of the Government Code, 35 percent of the annual proceeds of the fund are continuously appropriated, without regard to fiscal years, for transit, affordable housing, and sustainable communities programs as follows:
(A) Ten percent of the annual proceeds of the fund is hereby continuously appropriated to the Transportation Agency for the Transit and Intercity Rail Capital Program created by Part 2 (commencing with Section 75220) of Division 44 of the Public Resources Code.
(B) Five percent of the annual proceeds of the fund is hereby continuously appropriated to the Low Carbon Transit Operations Program created by Part 3 (commencing with Section 75230) of Division 44 of the Public Resources Code. Moneys shall be allocated by the Controller, according to requirements of the program, and pursuant to the distribution formula in subdivision (b) or (c) of Section 99312 of, and Sections 99313 and 99314 of, the Public Utilities Code.
(C) Twenty percent of the annual proceeds of the fund is hereby continuously appropriated to the Strategic Growth Council for the Affordable Housing and Sustainable Communities Program created by Part 1 (commencing with Section 75200) of Division 44 of the Public Resources Code. Of the amount appropriated in this subparagraph, no less than 10 percent of the annual proceeds of the fund shall be expended for affordable housing, consistent with the provisions of that program.
(2) Beginning in the 2015–16 fiscal year, notwithstanding Section 13340 of the Government Code, and subject to the requirements of Section 39719.3, 25 percent of the annual proceeds of the fund is hereby continuously appropriated to the High-Speed Rail Authority for the following components of the initial operating segment and Phase I Blended System as described in the 2012 business plan adopted pursuant to Section 185033 of the Public Utilities Code:
(A) Acquisition and construction costs of the project.
(B) Environmental review and design costs of the project.
(C) Other capital costs of the project.
(D) Repayment of any loans made to the authority to fund the project.
(3) (A) Beginning in the 2020–21 fiscal year, and until June 30, 2030, 5 percent of the annual proceeds of the fund, up to the sum of one hundred thirty million dollars ($130,000,000), is hereby annually transferred to the Safe and Affordable Drinking Water Fund established pursuant to Section 116766 for the purposes of Chapter 4.6 (commencing with Section 116765) of Part 12 of Division 104.
(B) Moneys transferred under this paragraph shall be used for the purpose of facilitating the achievement of reductions of greenhouse gas emissions in this state in accordance with the requirements of Section 39712 or to improve climate change adaptation and resiliency of disadvantaged communities or low-income households or communities, consistent with Division 25.5 (commencing with Section 38500). For purposes of the moneys transferred under this paragraph, a state agency may also comply with the requirements of paragraphs (2) and (3) of subdivision (a) of Section 16428.9 of the Government Code by describing how each proposed expenditure will improve climate change adaptation and resiliency of disadvantaged communities or low-income households or communities.
(4) Notwithstanding Section 13340 of the Government Code, for each fiscal year, beginning in the 2022–23 fiscal year through the 2028-29 fiscal year, the sum of two hundred million dollars ($200,000,000) is hereby continuously appropriated, to the Department of Forestry and Fire Protection and allocated as follows:
(A) One hundred sixty-five million dollars ($165,000,000) for healthy forest and fire prevention programs and projects that improve forest health and reduce emissions of greenhouse gases caused by uncontrolled wildfires.
(B) Thirty-five million dollars ($35,000,000) for the completion of prescribed fire and other fuel reduction projects through proven forestry practices consistent with the recommendations of the California Forest Carbon Plan, including the operation of year-round prescribed fire crews and implementation of a research and monitoring program for climate adaptation.
(c) In determining the amount of the annual proceeds of the fund for purposes of the calculation in paragraphs (1) to (3), inclusive, of subdivision (b), the funds subject to Section 39719.1 and the sum set forth in paragraph (4) of subdivision (b) shall not be included.

SEC. 6.

 Section 39719.3 is added to the Health and Safety Code, to read:

39719.3.
 (a) For purposes of this section, the following definitions apply:
(1) “Fully funded” means the High-Speed Rail Authority has secured funding to complete the Merced to Bakersfield segment within the timelines identified in the most recent business plan prepared pursuant to Section 185033 of the Public Utilities Code or project update report prepared pursuant to Section 185033.5 of the Public Utilities Code and the High-Speed Rail Authority Office of the Inspector General has confirmed that the High-Speed Rail Authority has secured that funding.
(2) “Merced to Bakersfield segment” means a 171-mile electrified dual-track segment that is usable for high-speed rail service in the central valley from Merced to Bakersfield, with a new combined station in downtown Merced, and connections to the Amtrak San Joaquins and the Altamont Corridor Express.
(b) Notwithstanding paragraph (2) of subdivision (b) of Section 39719, beginning with the 2022–23 fiscal year, it is the intent of the Legislature that the High-Speed Rail Authority prioritize use of the funds provided pursuant to Section 39719 to complete the Merced to Bakersfield segment.
(c) Beginning with the 2022–23 fiscal year, the High-Speed Rail Authority shall not enter into new funding commitments with funds provided pursuant to paragraph (2) of subdivision (b) of Section 39719 for activities outside the Merced to Bakersfield segment, except for the following purposes:
(1) Completion of environmental clearance activities and planning activities required by federal grant agreements or other existing agreements.
(2) State operations activities related to construction management and project development and enterprisewide capital expenditures.
(3) (A) Additional activities, not to cumulatively exceed five hundred million dollars ($500,000,000), that maximize the efficiency of delivering the project, excluding paragraphs (1) and (2).
(B) The High-Speed Rail Authority shall provide advance notification of work described in subparagraph (A) to the High-Speed Rail Authority Office of the Inspector General (OIG) and the chairs of the relevant committees of both houses of the Legislature. The OIG shall conduct a cost-benefit analysis of the proposed work outside the Merced to Bakersfield segment within 60 days of notification and make a finding as to whether or not expenditure of funds for the proposed work will result in a delay in the completion of the Merced to Bakersfield segment. After that time, the OIG shall provide its analysis to chairpersons of the committees of both houses of the Legislature that consider appropriations and the chairpersons of the committees and the appropriate subcommittees of both houses of the Legislature that consider the State Budget before contracts for projects outside of the Merced to Bakersfield segment are considered by the High-Speed Rail Authority for approval.
(C) Before expenditure of funds pursuant to this paragraph, the High-Speed Rail Authority shall provide notification of grant applications to the chairpersons of the committees of both houses of the Legislature that consider appropriations and the chairpersons of the committees and the appropriate subcommittees of both houses of the Legislature that consider the State Budget. Approval of the grant application by the Department of Finance may be authorized no sooner than 30 days after notification in writing to the chairpersons of the committees in each house of the Legislature that consider appropriations and the chairpersons of the committees and the appropriate subcommittees in each house of the Legislature that consider the State Budget.
(d) (1) This section shall become inoperative on June 30, 2030, or when the Merced to Bakersfield segment is fully funded, whichever is sooner, and shall be repealed on January 1 of the following year.
(2) The High-Speed Rail Authority shall inform the Legislature when the Merced to Bakersfield segment is fully funded in compliance with Section 9795 of the Government Code.

SEC. 7.

 Section 6821 of the Public Contract Code is amended to read:

6821.
 (a) The department may utilize the design-build method of procurement for up to 10 projects, and an additional 6 projects per fiscal year in the 2022–23 and 2023–24 fiscal years, on the state highway system, based on either best value or lowest responsible bid.
(b) A regional transportation agency may utilize the design-build method of procurement to design and construct projects on or adjacent to the state highway system, including related nonhighway portions of the project, based on either best value or lowest responsible bid. A regional transportation agency and the department shall enter into a cooperative agreement reflecting the roles and responsibilities assigned by law for a project on or interfacing with the state highway system authorized under this subdivision. The cooperative agreement shall also include the requirement to develop a mutually agreed upon issue resolution process with a primary objective to ensure the project stays on schedule and issues between the parties are resolved in a timely manner.
(c) (1) A regional transportation agency may utilize the design-build method of procurement, based on either best value or lowest responsible bid, to design and construct projects on expressways that are not on the state highway system if the projects are developed in accordance with an expenditure plan approved by voters as of January 1, 2014.
(2) The entity responsible for the maintenance of the local streets and roads within the jurisdiction of the expressway shall be responsible for the maintenance of the expressway.
(d) A city, county, or city and county shall not utilize the design-build method of procurement under this chapter. A regional transportation agency shall not utilize the design-build method of procurement on behalf of a city, county, or city and county.
(e) The design-build authorization in subdivisions (a) and (b) shall not include the authority to perform construction inspection services for projects on or interfacing with the state highway system, which shall be performed by the department consistent with Section 91.2 of the Streets and Highway Code.
(f) (1) Not later than the first day of July that occurs two years after a design-build contract is awarded, and each July 1 thereafter until a project is completed, the department or the regional transportation agency shall submit a report on the progress of the project and compliance with this section to the legislative policy committees having jurisdiction over transportation matters.
(2) The requirement of submitting a report imposed under paragraph (1) is inoperative on the first day of July four years after the first report was submitted, pursuant to Section 10231.5 of the Government Code.
(3) A report to be submitted pursuant to paragraph (1) shall be submitted in compliance with Section 9795 of the Government Code.

SEC. 8.

 Section 185033.7 is added to the Public Utilities Code, to read:

185033.7.
 (a) For purposes of this section, the following definitions apply:
(1) “Merced to Bakersfield segment” means a 171-mile electrified dual-track segment that is usable for high-speed rail service in the central valley from Merced to Bakersfield, with a new combined station in downtown Merced, and connections to the Amtrak San Joaquins and the Altamont Corridor Express.
(2) “Phase 1 System” means Phase 1 of the high-speed train project described in Section 2704.04 of the Streets and Highways Code.
(b) (1) As part of the project update report that is due on or before March 1, 2023, pursuant to Section 185033.5, the authority shall develop schedules related to the delivery of all of the following tasks:
(A) Completion of the 119-mile dual track segment from Madera to Poplar Avenue, which means Avenue 19 in the County of Madera to one mile north of the Tulare-Kern county line southward to north of Bakersfield, currently near Poplar Avenue.
(B) Completion of right-of-way, planning, and advance engineering for extensions to Merced and Bakersfield.
(C) Completion of an agreement or agreements between the state, the San Joaquin Joint Powers Authority, the San Joaquin Regional Rail Commission, and the authority that details the role of each in planning, constructing, and funding the connection in the City of Merced.
(D) Completion of an agreement or agreements between the state, the San Joaquin Joint Powers Authority, the San Joaquin Regional Rail Commission, and the authority covering the planning, funding, and operation of the proposed high-speed rail services from Merced to Bakersfield and the authority and approval for the San Joaquin Joint Powers Authority to contract for the operation of the high-speed rail services.
(E) Provision of an updated cost estimate with a stated probability level, or levels, of its ongoing contracts and for the work it is funding and managing that is required to complete the Merced to Bakersfield segment extensions.
(F) Completion of a funding plan that includes any additional federal funding awards for the Merced to Bakersfield segment.
(G) Additional milestones required for the completion of the Merced to Bakersfield segment and the full Phase 1 System pursuant to subparagraphs (A) to (F), inclusive.
(2) The delivery schedules developed pursuant to paragraph (1) shall be included and updated in each subsequent business plan adopted pursuant to Section 185033 and project update report prepared pursuant to Section 185033.5.
(c) (1) In order to demonstrate reasonable likelihood of adequate funding to complete the Merced to Bakersfield segment, the authority shall provide all of the following information in the project update report that is due on or before March 1, 2023, pursuant to Section 185033.5:
(A) Estimated and actual civil works costs of the Merced to Bakersfield segment.
(B) Estimated and actual right-of-way, acquisitions, utilities, and other third-party agreement costs.
(C) Estimates of contract costs, including contingencies to cover change orders.
(D) Other costs, estimated and actual, including, but not limited to, rolling stock, interim use, and stations.
(E) Costs reported in a manner than can be comparable across reports.
(F) Updates on the authority’s progress on achieving project milestones, as established in the project update report or the business plan adopted pursuant to Section 185033.
(G) Funding commitments beyond the Merced to Bakersfield segment, and spending to meet those commitments to date, including funding sources used to meet identified funding commitments.
(2) The information specified in paragraph (1) shall be included and updated in each subsequent business plan adopted pursuant to Section 185033 and project update report prepared pursuant to Section 185033.5.

SEC. 9.

 Section 185036.5 is added to the Public Utilities Code, to read:

185036.5.
 (a) For purposes of this section, “Merced to Bakersfield segment” has the same meaning as defined in Section 185033.7.
(b) Before submitting a federal grant application for funding for implementation of the high-speed rail project, the authority shall notify the chairpersons of the relevant committees of both houses of the Legislature of the authority’s intent to apply for federal funding. This notification shall include, but not is limited to, all of the following information:
(1) Amount of federal funding for which the authority is applying.
(2) Activities for which the funding will be used, including whether the planned activities are located on the Merced to Bakersfield segment.
(3) The expected source and level of state matching funding required for a successful grant application.
(4) If there is expected matching state funding that would be spent outside the Merced to Bakersfield segment, the notification shall include an explanation of the need for the proposed spending and how it is consistent with the Legislature’s stated goal of prioritizing the construction of the Merced to Bakersfield segment, as described in Section 1 of the act adding this section.
(c) (1) Before releasing a request for proposals (RFP) after June 1, 2022, the authority shall notify the chairpersons of the relevant committees of both houses of the Legislature of the authority’s intent to release the RFP if it would involve any of the following:
(A) Track and systems.
(B) Leasing or procurement of train sets.
(C) Any work with an estimated value of over two hundred fifty million dollars ($250,000,000) or a duration of 10 years or more.
(2) The notification required pursuant to paragraph (1) shall include, but not is limited to, all of the following information:
(A) Expected value and duration of the contract.
(B) Activities for which the authority will be contracting.
(C) How the proposed contract is consistent with the Legislature’s stated goal of prioritizing the completion of the Merced to Bakersfield segment, as described in Section 1 of the act adding this section.

SEC. 10.

 Division 19.7 (commencing with Section 187000) is added to the Public Utilities Code, to read:

DIVISION 19.7. High-Speed Rail Authority Office of the Inspector General

CHAPTER  1. General Provisions and Definitions

187000.
 (a) The Legislature finds and declares that ensuring that information available to make fiscally responsible decisions about the project is accurate, current, and impartial is critical to better ensuring the success of the project and to meet the expectations of the state’s taxpayers and the intent of the Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century (Chapter 20 (commencing with Section 2704) of Division 3 of the Streets and Highways Code).
(b) In establishing this division, it is the intent of the Legislature to provide decisionmakers with impartial information about how to proceed with the project.

187010.
 Unless the context requires otherwise, for purposes of this division, the following definitions apply:
(a) “Inspector General” means the High-Speed Rail Authority Inspector General appointed pursuant to Section 187020.
(b) “Merced to Bakersfield segment” means a 171-mile electrified dual-track segment that is usable for high-speed rail service in the central valley from Merced to Bakersfield, with a new combined station in downtown Merced, and connections to the Amtrak San Joaquins and the Altamont Corridor Express.
(c) “Office” means the High-Speed Rail Authority Office of the Inspector General established pursuant to Section 187020.
(d) “Project” means the high-speed rail project undertaken by the High-Speed Rail Authority pursuant to Division 19 (commencing with Section 185000) of this code and Chapter 20 (commencing with Section 2704) and Chapter 20.5 (commencing with Section 2704.75) of Division 3 of the Streets and Highways Code.

CHAPTER  2. The High-Speed Rail Authority Office of Inspector General

187020.
 (a) (1) There is hereby created the High-Speed Rail Authority Office of the Inspector General.
(2) The Governor shall appoint the High-Speed Rail Authority Inspector General to a four-year term from a list of three qualified individuals nominated by the Joint Legislative Audit Committee. The Joint Legislative Audit Committee shall select the three qualified individuals from a pool of candidates after conducting a comprehensive search for qualified individuals. The Joint Legislative Audit Committee shall provide at least 120 days’ notice that it is seeking applicants for nomination by providing notice in the Journals of the Senate and the Assembly and by advertising in appropriate newspapers and with nationally acknowledged professional journals and associations. Names for consideration by the Joint Legislative Audit Committee may be submitted by members of the Legislature, professional organizations, individuals, and other entities. The Inspector General shall be chosen without reference to party affiliation and solely on the ground of fitness to perform the duties of the High-Speed Rail Authority Inspector General.
(3) The Legislature and the Governor may provide suggested qualifications to the Joint Legislative Audit Committee to consider when making its nominations.
(b) The Office of the Inspector General shall not be a subdivision of any other governmental entity.
(c) The Inspector General may not be removed from office by the Governor during that term, except for good cause.

187022.
 (a) In coordination with the High-Speed Rail Authority, the Inspector General shall be provided with appropriate and adequate office space at the High-Speed Rail Authority’s offices or other facilities as necessary, together with such equipment, office supplies, maintenance services, and communications facilities and services as may be necessary for the operation of the Inspector General’s offices.
(b) For each fiscal year, the Inspector General shall provide the Department of Finance with the office’s proposed budget by September 1 of each year. If the amount of the Inspector General’s proposed budget differs from the amount included in the Governor’s Budget, the Department of Finance shall provide a notification to the chairs and vice chairs of the budget committees of both houses of the Legislature and the Legislative Analyst’s Office identifying the differences and explaining the reasons for the differences. This notification shall be provided no later than January 10 of each year.
(c) The annual salary for the Inspector General shall be equal to that of the Inspector General of the Department of Corrections and Rehabilitation established pursuant to Chapter 8.2 (commencing with Section 6125) of Title 7 of Part 3 of the Penal Code.

187024.
 Subject to applicable law, the Inspector General shall select, appoint, and employ officers and employees necessary to carry out the functions of the office. In making these selections, the Inspector General shall ensure that those officers and employees have the requisite training and experience to enable the Inspector General to carry out their duties effectively.

CHAPTER  3. Responsibilities of the High-Speed Rail Authority Inspector General

187030.
 (a) The Inspector General may, under policies developed by the Inspector General, initiate an audit or review on the Inspector General’s own accord regarding oversight related to delivery of the project, and the selection and oversight of contractors related to the project. Following a completed audit or review, the Inspector General may perform a followup audit or review to determine what measures the High-Speed Rail Authority implemented to address the Inspector General’s findings and to assess the effectiveness of those measures. In considering what audits and reviews to perform, the Inspector General may consider input received from the Legislature, the Governor, and the High-Speed Rail Authority.
(b) The duties and responsibilities of the Inspector General shall include, but are not limited to, all of the following:
(1) Commencing with the project update report required pursuant to Section 185033.5 that is due on or before March 1, 2023, to conduct independent fiscal estimates and reviews of the High-Speed Rail Authority’s plans and estimates for project advancement and make findings of the reasonableness of those plans and estimates.
(2) Commencing with the project update report required pursuant to Section 185033.5 that is due on or before March 1, 2023, to monitor progress toward meeting the milestones toward the implementation of the successful completion of the Merced to Bakersfield segment of the project, consistent with subdivision (a).
(3) To conduct audits and investigations relating to delivery of the project.
(4) To identify best practices in the delivery of capital projects and recommend policies to enable the High-Speed Rail Authority to adopt these practices when practicable.
(5) To recommend policies promoting efficiency in the administration of programs and operations as part of any audit findings.
(6) To review the High-Speed Rail Authority process for considering proposed and executed change orders and to make any recommendations to ensure the process is appropriate for determining the merit and reasonableness of change orders.
(7) To review the High-Speed Rail Authority’s contracts and contracting practices to determine whether they are executed consistent with state and federal laws and policies and are conducted in a fair and reasonable manner, providing the state with valued services at reasonable cost.
(8) To review proposed agreements to ensure that they are in the best interest of the state, the High-Speed Rail Authority’s statutory mission, and state priorities.
(c) The Inspector General shall not investigate personnel issues regarding employees of the High-Speed Rail Authority.
(d) Nothing in this division is intended to infringe upon the authority of the High-Speed Rail Authority’s own audits and controls.

187032.
 (a) In connection with duties authorized pursuant to this division, the Office of the Inspector General may do any of the following:
(1) Administer oaths.
(2) Certify to all official acts.
(3) Receive and investigate complaints or information from any person concerning the existence of an activity constituting a violation of laws, rules, or regulations, or mismanagement, gross waste of funds, abuse of authority, or a substantial and specific danger to the public health and safety. Once a complaint or information has been received from an employee of the High-Speed Rail Authority:
(A) The Inspector General shall not disclose the identity of the employee without the consent of the employee, unless the Inspector General determines that the disclosure is unavoidable during the course of the investigation or the disclosure is made to an official of the Department of Justice responsible for determining whether a prosecution should be undertaken.
(B) No action constituting a reprisal, or threat of reprisal, for making the complaint or providing the information may be taken by any employee of the High-Speed Rail Authority in a position to take those actions, unless the complaint was made or the information was disclosed with the knowledge that it was false or with willful disregard for its truth or falsity.
(4) Issue subpoenas for the attendance of witnesses and the production of papers, books, accounts, or documents in any medium, or for the making of oral or written sworn statements, in any interview conducted pursuant to duties authorized by this division.
(b) Any subpoena issued under this division extends as process to all parts of the state and may be served by any person authorized to serve process of courts of record or by any person designated for that purpose by the office. The person serving this process may receive compensation as is allowed by the office, not to exceed the fees prescribed by law for similar service.

187034.
 Notwithstanding any other law, the Inspector General during regular business hours or at any other time determined necessary by the Inspector General shall have access to and authority to examine and reproduce any and all books, accounts, reports, vouchers, correspondence, files, documents, and other records, and to examine the bank accounts, money, or other property of the High-Speed Rail Authority in connection with duties authorized by this division. Any officer or employee of any agency or entity having these records or property in their possession or under their control shall permit access to, and examination and reproduction thereof consistent with the provisions of this division, upon the request of the Inspector General or the Inspector General’s authorized representative.

187036.
 It is a misdemeanor for the Inspector General or any employee or former employee of the Inspector General to divulge or make known in any manner not expressly permitted by law to any person not employed by the Inspector General any particulars of any record, document, or information the disclosure of which is restricted by law from release to the public. This prohibition is also applicable to any person who has been furnished a draft copy of any report for comment or review or any person or business entity that is contracting with or has contracted with the Inspector General and to the employees and former employees of that person or business entity or the employees of any state agency or public entity that has assisted the Inspector General in connection with duties authorized by this division.

187038.
 (a) Notwithstanding Section 10231.5 of the Government Code, the Inspector General shall report at least annually to the Legislature and the Governor a summary of its findings, positive and negative, of any reviews, investigations, or audits conducted pursuant to this division, when the High-Speed Rail Authority provides statutorily required documents to the Legislature, and upon request of the Legislature or Governor. The summary shall be posted on the office’s internet website and otherwise made available to the public upon its release to the Legislature and the Governor. The summary shall include, but not be limited to, significant problems discovered by the office, and whether previous recommendations the office has made have been implemented.
(b) Notwithstanding Section 10231.5 of the Government Code, the Inspector General shall report annually to the Legislature and the Governor on findings related to the High-Speed Rail Authority’s planning and delivery of the project. This report shall include updates on the High-Speed Rail Authority’s efforts to remedy any identified findings, and whether any identified findings have been addressed.
(c) The Inspector General shall maintain a list of identified findings, and the status of the High-Speed Rail Authority’s efforts to address them, and shall post that list on the office’s internet website.
(d) Reports to be submitted to the Legislature pursuant to subdivisions (a) and (b) shall be submitted in compliance with Section 9795 of the Government Code.

SEC. 11.

 Section 104.3 is added to the Streets and Highways Code, to read:

104.3.
 (a) For purposes of this section, the following definitions apply:
(1) “Federal Reconnecting Communities Pilot Program” means the Reconnecting Communities Pilot Program established pursuant to Section 11509 of the federal Infrastructure Investment and Jobs Act (Public Law 117-58).
(2) “Joint powers authority” means a joint exercise of powers authority established pursuant to Chapter 5 (commencing with Section 6500) of Division 7 of Title 1 of the Government Code.
(3) “Program” means the Reconnecting Communities: Highways to Boulevard Pilot Program established pursuant to subdivision (b).
(b) The Reconnecting Communities: Highways to Boulevards Pilot Program is hereby established, to be administered by the department, with guidance from the Transportation Agency, and in consultation with the commission, the Department of Housing and Community Development, the Strategic Growth Council, and the Governor’s Office of Planning and Research, to provide funding, upon appropriation by the Legislature, for the purpose of awarding competitive grants to eligible entities, in partnership with the department, for planning or implementing the conversion or transformation of underutilized state highways into multimodal corridors that serve residents of underserved communities.
(c) The purpose of the program is to achieve the following goals:
(1) Restore community connectivity through the removal, retrofit, mitigation, or replacement of eligible transportation infrastructure facilities that create barriers to mobility, access, or economic development.
(2) Provide matching funding for potential federal grant funds.
(3) Advance health and equity outcomes for underserved communities by removing health, safety, and access barriers associated with transportation infrastructure within communities.
(4) Improve access to opportunity by improving travel options and reducing combined household transportation and housing costs for underserved communities.
(5) Create opportunities for implementation of affordable housing and affirmatively furthering fair housing.
(6) Avoid or minimize direct and indirect displacement effects from project implementation.
(7) Advance community-based or community-driven transportation planning.
(d) The program shall set aside 25 percent of available funding for planning and 75 percent for implementation.
(e) Eligible applicants under the program may include, but are not limited to, any of the following:
(1) For planning grants, a nonprofit organization, a community-based organization, a faith-based organization, a coalition or association of nonprofit organizations, a local agency, a regional agency, a joint powers authority, a tribal government, or a transit agency.
(2) For implementation grants, a local, regional, or state transportation agency, a joint powers authority, or a tribal government.
(f) Eligible project types under the program for implementation grants include, but are not limited to, any of the following:
(1) Conversion or capping of an access-controlled state-operated transportation route to increase access for bicycles, pedestrians, and transit.
(2) Conversion of a state highway serving as a main street into a multimodal surface street that allows for bicycle, pedestrian, and transit access.
(3) A project that significantly enhances multimodal connectivity along or across a state highway without conversion or capping.
(4) Implementation of early action implementation plans developed under subdivision (g).
(5) Other implementation activities authorized for funding under the federal Reconnecting Communities Pilot Program.
(g) Eligible project types under the program for planning grants include, but are not limited to, the following activities leading to any of the eligible implementation project types:
(1) Community engagement, consultation, and leadership activities.
(2) Planning studies, needs assessments, feasibility studies, scenario planning, conceptual designs, and other planning products.
(3) Project plans and design documents needed to deliver implementation projects.
(4) Environmental review, consultation, or other efforts required under any state and federal environmental laws relating to the review or approval of an eligible project.
(5) Early action implementation plans for interim design solutions that demonstrate proof of concept for projects.
(6) Establishment of a community land trust for the development and use of excess or surplus land created by the removal, retrofit, or transformation of an underutilized highway.
(7) Other transportation and community-based transportation planning activities required to advance a specific project.
(8) Other planning activities authorized for funding under the federal Reconnecting Communities Pilot Program.
(h) (1) Within one year of the effective date of this section, the department shall develop guidelines, including project selection criteria, program evaluation metrics, and targeted technical assistance strategies to implement the program. The guidelines shall be exempt from the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code).
(2) In developing guidelines pursuant to this section, the department shall solicit input from local communities.
(3) The guidelines shall include, but shall not be limited to, all of the following:
(A) (i) A requirement that 100 percent of the program funds are awarded to projects that benefit underserved communities. For purposes of the program, the department shall establish a data-driven definition for underserved communities that may include, but need not be limited to, disadvantaged communities, as identified pursuant to Section 39711 of the Health and Safety Code, and low-income communities, as defined in paragraph (2) of subdivision (d) of Section 39713 of the Health and Safety Code.
(ii) A project eligible under the program shall clearly demonstrate a direct and meaningful benefit to an underserved community, and be adjacent to, or directly located in, an underserved community.
(iii) A project eligible under the program shall require that the applicant demonstrate that the project is developed in partnership with the department and that it would be consistent with the requirements of the federal Reconnecting Communities Pilot Program, regardless of the availability of funding from the federal program.
(B) Project selection criteria that includes, but is not limited to, all of the following:
(i) The ability of the project to successfully compete for federal grant funding.
(ii) The demonstrated need of the applicant to address the goals of the program as described in subdivision (c).
(iii) The demonstrated leadership and involvement from local community members and organizations in the creation of the project, or the anticipated leadership or involvement from local community members and organizations in the planning process for which funds are being requested.
(iv) The demonstrated commitment of local, regional, or federal funds as leveraged match to state grants.
(v) In awarding planning grants, the prioritization of applications that demonstrate multistakeholder partnerships with local and regional agencies, community-based organizations, and other stakeholders, as appropriate.
(C) Development of performance metrics to measure project outcomes in order to inform future implementation of the program.

SEC. 12.

 Section 117 of the Streets and Highways Code is amended to read:

117.
 Unless otherwise specifically provided in the instrument conveying title, the acquisition acquisition, ownership, or control by the department of any right-of-way over any real property for state highway purposes, purposes includes the right of the department to issue, under Chapter 3 (commencing with Section 660), permits for the location in the right-of-way of any structures or fixtures necessary to telegraph, telephone, or electric power advanced communication or information services, or electrical lines or of any ditches, pipes, drains, sewers, or underground structures.

SEC. 13.

 Section 2196.2 is added to the Streets and Highways Code, to read:

2196.2.
 (a)  Subject to the appropriation of funds for this purpose, the Transportation Agency, in consultation with the Department of Transportation, shall develop and administer contracts, grants, or other funding mechanisms to invest in port-specific high-priority projects that increase goods movement capacity on rail and roadways serving ports and at port terminals.
(b) It is the intent of the Legislature that funds appropriated for this section achieve the following goals:
(1) Improve the capacity of California ports to manage increasing volumes of freight and improve the efficiency of goods movement to, from, and through California ports.
(2) Reduce greenhouse gas emissions and freight-related air pollution.
(3) Promote transportation equity.
(4) Maintain, enhance, and modernize the multimodal freight transportation system.
(5) Grow the economic competitiveness of California’s freight sector through increased system efficiency and productivity.
(6) Reduce freight-related deaths and injuries.
(7) Improve system resilience by addressing infrastructure vulnerabilities associated with security threats, climate change, and natural disasters.
(c) Of the funds appropriated for this section, no more than 2 percent may be used for state operations and other administrative costs, with the remaining funding to be used for investments in eligible projects.
(d) Projects eligible for funding include, but are not limited to, the following:
(1) Port-specific high-priority projects.
(2) Intermodal railyard expansion and electrification.
(3) Goods movement railway corridor capacity projects.
(4) High-priority grade separations.
(5) Zero-emission goods movement demonstration projects.
(e) Funding for projects eligible pursuant to subdivision (a) shall be allocated to public agencies that administer or operate the projects as follows:
(1) Seventy percent for infrastructure projects, each supporting goods movement related to the Port of Los Angeles, the Port of Long Beach, or both.
(2) Thirty percent for other high-priority projects supporting ports and goods movement infrastructure in the rest of the state, including inland ports.
(f) Public agencies may partner with private operators of projects, such as freight railroads, to implement an eligible project.
(g) Funds awarded under this section shall not be used for the purchase of fully automated cargo handling equipment nor for infrastructure that is used to support fully automated cargo handling equipment.
(h) (1) The Transportation Agency shall develop guidelines for project selection in consultation with the ports and other stakeholders consistent with the goals listed in subdivision (b). The guidelines shall be exempt from the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code).
(2) In developing the guidelines pursuant to paragraph (1), and consistent with the goal of leveraging as much matching funding as possible as stated in subdivision (i), program guidelines may prioritize projects for which local, federal, or private match funding is available.
(i) (1) It is the intent of the Legislature that the allocation of funding described in this section be used to leverage the maximum amount of federal funding and financing available to California from federal infrastructure credit programs through the Transportation Agency and the United States Department of Transportation Emerging Projects Agreement, from the federal Infrastructure Investment and Jobs Act 2021 (Public Law 117–58), and from other subsequent federal actions.
(2) In developing the guidelines pursuant to paragraph (1) of subdivision (h), and consistent with the goal of leveraging as much matching funding as possible, the Transportation Agency may prioritize projects for which local, federal, or private match funding is available.
(j) Notwithstanding subdivision (d), allocations pursuant to this section shall comply with the requirements of paragraph (3) of subdivision (c) of Section 2192.
(k) The Transportation Agency shall, as part of the annual budget process, report to the Legislature on the implementation of this section. The report shall include, but not be limited to, the following information:
(1) The number of grants awarded, the dollar value of those awards, and the location of those awards.
(2) A description of the projects funded under this section, including the specific improvements funded and the likely impact of those projects on the port with which they are associated.
(3) Any lessons learned from the implementation of this section, including opportunities for additional investments in California’s multimodal freight transportation system.

SEC. 14.

 Section 22511.55 of the Vehicle Code is amended to read:

22511.55.
 (a) (1) A disabled person or disabled veteran may apply to the department for the issuance of a distinguishing placard. The placard may be used in lieu of the special license plate or plates issued under Section 5007 for parking purposes described in Section 22511.5 when (A) suspended from the rearview mirror, (B) if there is no rearview mirror, when displayed on the dashboard of a vehicle, or (C) inserted in a clip designated for a distinguishing placard and installed by the manufacturer on the driver’s side of the front window. It is the intent of the Legislature to encourage the use of distinguishing placards because they provide law enforcement officers with a more readily recognizable symbol for distinguishing vehicles qualified for the parking privilege. The placard shall be the size, shape, and color determined by the department and shall bear the International Symbol of Access adopted pursuant to Section 3 of Public Law 100-641, commonly known as the “wheelchair symbol.” The department shall incorporate instructions for the lawful use of a placard, and a summary of the penalties for the unlawful use of a placard, into the identification card issued to the placard owner.
(2) (A) The department may establish procedures for the issuance and renewal of the placards. The procedures shall include, but are not limited to, advising an applicant in writing on the application for a placard of the procedure to apply for a special license plate or plates, as described in Section 5007, and the fee exemptions established pursuant to Section 9105 and in subdivision (a) of Section 10783 of the Revenue and Taxation Code. The placards shall have a fixed expiration date of June 30 every two years. A portion of the placard shall be printed in a contrasting color that shall be changed every two years. The size and color of this contrasting portion of the placard shall be large and distinctive enough to be readily identifiable by a law enforcement officer in a passing vehicle.
(B) As used in this section, “year” means the period between the inclusive dates of July 1 through June 30.
(C) Prior to the end of each year, the department shall, for the most current three years available, compare its record of disability placards issued against the records of the Office of Vital Records of the State Department of Public Health, or its successor, and the Social Security Administration’s Death Master File, a nationwide vital statistics clearinghouse, and withhold any renewal notices or placards that otherwise would have been sent for a placardholder identified as deceased.
(D) The department shall, six years after the first issuance of a placard and every six years thereafter, send the placardholder a renewal form by mail at least 90 days prior to the June 30 expiration date of the current placard. Certification of medical disability and proof of true full name is not required for the renewal. A placardholder who wishes to renew a placard shall fill out the form and submit it to the department either by mail or in person prior to expiration of the current placard.
(3) Except as provided in paragraph (4), a person shall not be eligible for more than one placard at a time.
(4) Organizations and agencies involved in the transportation of disabled persons or disabled veterans may apply for a placard for each vehicle used for the purpose of transporting disabled persons or disabled veterans.
(5) The department shall require a person who applies for a placard pursuant to this section to provide proof of the person’s true full name and date of birth that shall be established by submitting one of the following to the department:
(A) A copy or facsimile of the applicant’s state issued driver’s license or identification card.
(B) A copy or facsimile of the document required for an applicant for a driver’s license or identification card to establish the applicant’s true full name.
(C) An applicant unable to establish legal presence in the United States may fulfill the true full name and date of birth requirement by providing the department a copy or facsimile of the documents used to establish identity pursuant to Section 12801.9.
(b) (1) Except as provided in paragraph (4), prior to issuing an original distinguishing placard to a disabled person or disabled veteran, the department shall require the submission of a certificate, in accordance with paragraph (2), signed by the physician and surgeon, or to the extent that it does not cause a reduction in the receipt of federal aid highway funds, by a nurse practitioner, certified nurse-midwife, or physician assistant, substantiating the disability, unless the applicant’s disability is readily observable and uncontested. The disability of a person who has lost, or has lost use of, one or more lower extremities or one hand, for a disabled veteran, or both hands, for a disabled person, or who has significant limitation in the use of lower extremities, may also be certified by a licensed chiropractor. The disability of a person related to the foot or ankle may be certified by a licensed podiatrist. The blindness of an applicant shall be certified by a licensed physician and surgeon who specializes in diseases of the eye or a licensed optometrist. The physician and surgeon, nurse practitioner, certified nurse-midwife, physician assistant, chiropractor, or optometrist certifying the qualifying disability shall provide a full description of the illness or disability on the form submitted to the department.
(2) The physician and surgeon, nurse practitioner, certified nurse midwife, physician assistant, chiropractor, podiatrist, or optometrist who signs a certificate submitted under this subdivision shall retain information sufficient to substantiate that certificate and, upon request of the department, shall make that information available for inspection by the Medical Board of California or the appropriate regulatory board.
(3) The department shall maintain in its records all information on an applicant’s certification of permanent disability and shall make that information available to eligible law enforcement or parking control agencies upon a request pursuant to Section 22511.58.
(4) For a disabled veteran, the department shall accept, in lieu of the certificate described in paragraph (1), a certificate from a county veterans service officer, the Department of Veterans Affairs, or the United States Department of Veterans Affairs that certifies that the applicant is a disabled veteran as described in Section 295.7.
(c) A person who is issued a distinguishing placard pursuant to subdivision (a) may apply to the department for a substitute placard without recertification of eligibility, if that placard is lost or stolen. The department shall not issue a substitute placard to a person more than four times in a two-year renewal period. A person who requires a substitute placard in excess of the four replacements authorized pursuant to this subdivision shall reapply to the department for a new placard and submit a new certificate of disability as described in subdivision (b).
(d) The distinguishing placard shall be returned to the department not later than 60 days after the death of the disabled person or disabled veteran to whom the placard was issued.
(e) The department shall print on any distinguishing placard issued on or after January 1, 2005, the maximum penalty that may be imposed for a violation of Section 4461. For purposes of this subdivision, the “maximum penalty” is the amount derived from adding all of the following:
(1) The maximum fine that may be imposed under Section 4461.
(2) The penalty required to be imposed under Section 70372 of the Government Code.
(3) The penalty required to be levied under Section 76000 of the Government Code.
(4) The penalty required to be levied under Section 1464 of the Penal Code.
(5) The surcharge required to be levied under Section 1465.7 of the Penal Code.
(6) The penalty authorized to be imposed under Section 4461.3.

SEC. 15.

 It is the goal of the Legislature as part of the 2022 Budget agreement to provide two billion dollars ($2,000,000,000), for each fiscal year, for the 2023–24 and 2024–25 fiscal years for transit and intercity rail capital projects. It is the goal of the Legislature that each recipient of funding described in subdivision (a) of Section 99313 of the Public Utilities Code will receive a minimum allocation of three hundred thousand dollars ($300,000) from Transit and Intercity Rail Capital Program funds described in this section, with the balance of the Transit and Intercity Rail Capital Program funds described in this section allocated on a population-based formula to each recipient of funding described in subdivision (a) of Section 99313 of the Public Utilities Code. It is the intent of the Legislature that these funds will be used consistent with the uses identified Item 0521-131-0001 of Section 2.00 of the Budget Act of 2021.

SEC. 16.

 (a) For purposes of this section, the “Merced to Bakersfield segment” means a 171-mile electrified dual-track segment that is usable for high-speed rail service in the central valley from Merced to Bakersfield, with a new combined station in downtown Merced, and connections to the Amtrak San Joaquins and the Altamont Corridor Express.
(b) (1) Funds appropriated from the High-Speed Passenger Train Bond Fund to the High-Speed Rail Authority in the Budget Act of 2021 or any subsequent amendments to the Budget Act of 2021 are for the purpose of implementing the Merced to Bakersfield segment of the high-speed rail project.
(2) The funds described in paragraph (1) shall be used exclusively for the Merced to Bakersfield segment. The High-Speed Rail Authority shall not use the funding to contract for, or provide funding for, activities beyond the operating corridor between Merced and Bakersfield, including, but not limited to, planning, preconstruction, property acquisition, and construction.
(3) Of the amount appropriated in the Budget Act of 2021, or any subsequent amendments to the Budget Act of 2021, as described paragraph (1), two billion two hundred million dollars ($2,200,000,000) shall only be made available to the High-Speed Rail Authority after both of the following have occurred:
(A) A project update report is approved pursuant to Section 185033.5 of the Public Utilities Code and reviewed by the High-Speed Rail Authority Inspector General or a report is submitted by the High-Speed Rail Authority Inspector General to the Governor and Legislature pursuant to Section 187038 of the Public Utilities Code.
(B) No sooner than 60 days after the condition specified in subparagraph (A) has been satisfied, the High-Speed Rail Authority notifies the Joint Legislative Budget Committee that these remaining funds are necessary to meet project milestones established in the most recent project update report approved pursuant to Section 185033.5 of the Public Utilities Code.

SEC. 17.

  No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.

SEC. 18.

 The sum of two hundred thousand dollars ($200,000) is hereby appropriated from the State Highway Account in the State Transportation Fund to the Transportation Agency for compliance and oversight activities related to federal infrastructure funding.

SEC. 19.

  This act is a bill providing for appropriations related to the Budget Bill within the meaning of subdivision (e) of Section 12 of Article IV of the California Constitution, has been identified as related to the budget in the Budget Bill, and shall take effect immediately.
SECTION 1.

It is the intent of the Legislature to enact statutory changes, relating to the Budget Act of 2021.