From: Martin Engel <martinengel_at_(domain_name_was_removed)>
Date: Sun Mar 02 2008 - 15:22:26 PST

Honorable Mayor and members of the Menlo Park City Council.

The article by Steve Lawrence has been reprinted in a number of newspapers. It describes a new piece of legislation, AB3034. If this bill passes the State Legislature, and that seems very likely, it will assure that the present bond issue ($10 billion) for the California high speed rail remains fixed on the November ballot. As Lawrence points out, this legislation was negotiated with the Governor and will doubtless be approved by the Legislature.

If, eight months from now, the voters, by a majority, pass this ballot initiative, it becomes a statement of fact that Atherton and Menlo Park's rail crossing streets will become grade separated (or closed off). It also becomes a statement of fact that the high speed train will share the Caltrain right-of-way with an additional two tracks.

Despite several years of immersion in this subject, I am today at a loss for any advice or guidance. It is my conviction that it won't matter what Menlo Park or Atherton want or don't want, do or don't do about any of this. If the voters approve, CHSRA and Caltrain, with the pump now primed with $10 billion, will pursue their agenda and their design choices relentlessly. The only possible option to deflect this agenda in Menlo Park may be litigation such as court-ordered injunctions. However, I am not sanguine about the efficacy of such efforts were we to pursue them.

It is my purpose here to acquaint you with the situation as I understand it at this time. AB3034 is re-printed in its entirety, below.

As I private citizen, I can only tell you that this is indeed bad news for the City of Menlo Park.

Respectfully,

Martin Engel

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Bill seeks to modify high-speed rail bond on California ballot

By STEVE LAWRENCE Associated Press Writer

Article Launched: 02/28/2008 06:11:21 PM PST

SACRAMENTO-Two Democrats have introduced legislation sought by Gov. Arnold Schwarzenegger that could broaden voter support for a twice-delayed, $9.9 billion high-speed-rail bond on the November ballot.

he bill by Assemblywomen Cathleen Galgiani of Tracy and Fiona Ma of San Francisco would allow the bonds to be used for all segments of the proposed 700-mile rail system. The bond's current language dedicates the money only for the proposed segment between the Los Angeles and San Francisco areas.

Their bill also would put a 10 percent cap on the amount of state bond money that could be spent on studies, planning and engineering work instead of construction. In addition, it would require the state's high-speed rail board to have a detailed funding plan in place for each segment of the system before awarding a construction contract for that segment.

The board has recommended that California link its major cities with trains running at top speeds of more than 200 mph as a way to ease increasing congestion on freeways and at airports.

In addition to Los Angeles and San Francisco, the trains would reach Sacramento, Fresno, San Jose, Oakland, Irvine, Riverside and San Diego. The $40 billion rail network would be built over a 20-year period.

Schwarzenegger has been hot and cold on it. He twice supported legislation that postponed the bond measure from going to the ballot, but last May wrote an op-ed piece saying high-speed rail would be a "tremendous benefit" for California.

In January, when he released his state budget proposals, Schwarzenegger dropped a request that lawmakers delay a vote on the bonds a third time. But he said he wanted legislation requiring the rail board to identify federal and private funding to help finance the project before moving ahead with construction.

A spokeswoman for Schwarzenegger, Sabrina Lockhart, said Thursday that the administration worked with the rail board to draft the Galgiani and Ma bill.

"As it stands today, it addresses the concerns the governor outlined in his budget proposals," she said. "We are happy that this legislation has been introduced and will be monitoring the bill as it makes its way through the Legislature."

Ma and Mehdi Morshed, the rail board's executive director, said the bill could broaden public support for the bonds by allowing all areas served by the project to compete for money.

The bill would require the board to give top priority for bond funding to segments of the project that could attract the most federal, local government or private financing and that also could be used by other passenger trains.

But those commuter train systems would have to use the same equipment as high-speed rail to mesh with the faster train service once it began, Morshed said.

"Everyone has a fair shot at it," Morshed said. "If they can come up with more money or a better proposal, then they get to the head of the line."

Quentin Kopp, a former state senator who chairs the rail board, said he had been told by Schwarzenegger's chief of staff, Susan Kennedy, that the Republican governor supports the bond proposal.

But Kopp said Schwarzenegger had not agreed to a request that he serve as a co-chair of the campaign to pass the bonds. He hopes to line up a "dream team" of current and former public officials to persuade voters to approve sale of the bonds.

Lockhart said she had no comment about whether the governor would eventually agree to help lead the campaign.

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AB 3034, as introduced, Galgiani. Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century.

http://leginfo.ca.gov/pub/07-08/bill/asm/ab_3001-3050/ab_3034_bill_20080222_intr\ oduced.html

BILL NUMBER: AB 3034	INTRODUCED
	BILL TEXT

INTRODUCED BY Assembly Members Galgiani and Ma

(Principal coauthor: Assembly Member Davis)
(Coauthor: Senator Steinberg)

                         FEBRUARY 22, 2008

    An act to amend Sections 2704.04, 2704.06, 2704.08, and 2704.095 of the Streets and Highways Code, and to amend Sections 1, 3, and 4 of Chapter 697 of the Statutes of 2002, relating to transportation, and declaring the urgency thereof, to take effect immediately.

        LEGISLATIVE COUNSEL'S DIGEST     AB 3034, as introduced, Galgiani. Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century.

    Existing law, Chapter 697 of the Statutes of 2002, as amended by Chapter 71 of the Statutes of 2004 and Chapter 44 of the Statutes of 2006, provides for submission of the Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century to the voters for approval at the November 4, 2008, general election. Subject to voter approval, the act would provide for the issuance of $9.95 billion of general obligation bonds, $9 billion of which would be available in conjunction with any available federal funds for planning and construction of a high-speed train system pursuant to the business plan of the High-Speed Rail Authority, and $950 million of which would be available for capital projects on other passenger rail lines to provide connectivity to the high-speed train system and for capacity enhancements and safety improvements to those lines.

    This bill would make various revisions to the bond act to be submitted to the voters. The bill would refer to construction of a high-speed train system consistent with the authority's certified environmental impact report of November 2005, rather than with the final business plan of June 2000. The bill would revise the descriptions of route segments of the proposed high-speed train system. The bill would require excess revenues from operation of the high-speed train system beyond the amount needed for high-speed train purposes, as defined by the authority, to be deposited in the General Fund. The bill would require that not more than 10% of bond proceeds be used for environmental studies, planning, and engineering activities, and would require the authority to have a detailed funding plan for each segment of the system that identifies the full cost of construction and the sources of revenues for that segment, prior to awarding a construction contract for the segment. The bill would require the authority to give priority in selecting each specific segment for construction to those segments that require the least amount of bond funds as a percentage of total cost of construction, among other considerations.

    This bill would declare that it is to take effect immediately as an urgency statute.

    Vote: 2/3. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:    SECTION 1. Section 1 of Chapter 697 of the Statutes of 2002, as amended by Section 1 of Chapter 71 of the Statutes of 2004, is amended to read:

    Section 1. (a) In light of the events of September 11, 2001, it is very clear that a high-speed passenger train network as described in the High-Speed Rail Authority's Business Plan is essential for the transportation needs of the growing population and economic activity of this state The continuing growth in California's population and the resulting increase in traffic congestion, air pollution, greenhouse gas emissions, and loss of land make it imperative that the state proceed quickly to construct a state-of-the- art high-speed passenger train network to serve major metropolitan areas .

(b) The initial high-speed train network linking San
Francisco and the bay area to Los Angeles will serve as the backbone of what will become an extensive 700-mile system that will link all of the state's major population centers, including Sacramento, the bay area, the Central Valley, Los Angeles, the Inland Empire, Orange County, and San Diego, and address the needs of the state   The High-Speed Rail Authority, after extensive studies and analysis, proposes the construction of a new high-speed train network that serves major population centers in the state and that links regional and local transit systems to form an integrated transportation network throughout the state. The network will link all of the state's major population centers, including Sacramento, the Bay Area, the Central Valley, Los Angeles, the Inland Empire, Orange County, and San Diego .

(c) The high-speed train network proposed by the authority will
cost about one-third of what it would cost to provide the same level of mobility and service with highway and airport improvements and will contribute significantly toward a reduction in air pollution and global warming.

(d) The high-speed train network, once it is completed and becomes
operational, will contribute significantly toward the goal of reducing greenhouse gas emissions and other air pollutants and will help reduce California's dependence on foreign energy sources.

(c)

     (e) The high-speed passenger train bond funds are intended to encourage the federal government and the private sector to make a significant contribution toward the construction of the high-speed train network.

(d) The initial segments shall be built in a manner that yields
maximum benefit consistent with available revenues.

(e) After the initial investment from the state, operating
revenues from the initial segments and funds from the federal government and the private sector will be used to pay for expansion of the system. It is the intent of the Legislature that the entire high-speed train system shall be constructed as quickly as possible in order to maximize ridership and the mobility of Californians.

(f) At a minimum, the entire 700-mile system described in
the High-Speed Rail Authority's Business Plan should be constructed and in revenue service by 2020 It is the intent of the Legislature that the entire high-speed train system shall be constructed as quickly as possible in order to maximize ridership and the mobility of Californians, and that it be completed no later than 2020, and that all phases shall be built in a manner that yields maximum benefit consistent with available revenues .

   SEC. 2. Section 2704.04 of the Streets and Highways Code, as added by Section 2 of Chapter 697 of the Statutes of 2002, is amended to read:

    2704.04. (a) It is the intent of the Legislature by enacting this chapter and of the people of California by approving the bond measure pursuant to this chapter to initiate the construction of a high-speed train network consistent with the authority's Final Business Plan of June 2000 certified environmental impact report of November 2005 .

(b) (1) Nine billion dollars ($9,000,000,000) of the proceeds of
bonds authorized pursuant to this chapter, as well as federal funds and other revenues made available to the authority, to the extent consistent with federal and other fund source conditions, shall be used for planning and eligible capital costs, as defined in subdivision (c), for the segment of the high-speed train system between San Francisco Transbay Terminal and Los Angeles Union Station. Once construction of the San Francisco-Los Angeles segment is fully funded, all remaining funds described in this subdivision shall be used for planning and eligible capital costs, as defined in subdivision (c), for the following additional high-speed train segments without preference to order purpose of including, but not limited to, the following high-speed train system segments :

(A) Oakland-San Jose Sacramento

to Stockton to Fresno .

(B) Sacramento-Merced San Francisco
Transbay Terminal to San Jose to Fresno .

(C) Los Angeles-Inland Empire Oakland to
San Jose .

(D) Inland Empire-San Diego Fresno to
Bakersfield to Palmdale to Los Angeles Union Station to Anaheim to Irvine .

(E) Los Angeles-Irvine Los Angeles Union
Station to Riverside to San Diego .

(F) Los Angeles Union Station to Irvine.
(2) Revenues generated by operations above and beyond operating
and maintenance costs shall be used to fund complete construction of the high-speed train system ,

   as defined by the authority If excess revenues exceed the amount needed for the high-speed train system, those revenues shall be deposited in the General Fund .

(c) Capital costs eligible to be paid from proceeds of bonds
authorized for high-speed train purposes pursuant to this chapter include all activities necessary for acquisition of right-of-way, construction of tracks, structures, power systems, and stations, purchase of rolling stock and related equipment, and other related capital facilities and equipment.

(d) Proceeds of bonds authorized pursuant to this chapter shall
not be used for any operating or maintenance costs of trains or facilities.

(e) The State Auditor shall perform periodic audits of the
authority's use of proceeds of bonds authorized pursuant to this chapter for consistency with the requirements of this chapter.

   SEC. 3. Section 2704.06 of the Streets and Highways Code, as added by Section 2 of Chapter 697 of the Statutes of 2002, is amended to read:

    2704.06. Nine billion dollars ($9,000,000,000) of the money in the fund, upon appropriation by the Legislature, shall be available, without regard to fiscal years, for planning and construction of a high-speed train system in this state, consistent with the authority' s Final Business Plan of June 2000 certified environmental impact report of November 2005 , as subsequently modified pursuant to environmental studies conducted by the authority.

   SEC. 4. Section 2704.08 of the Streets and Highways Code, as added by Section 2 of Chapter 697 of the Statutes of 2002, is amended to read:

    2704.08. (a) Proceeds of bonds authorized for high-speed train purposes pursuant to this chapter shall not be used for more than one-half of the total cost of construction of track and station costs of each segment of the high-speed train system.

(b) Not more than 10 percent of the proceeds of bonds authorized
pursuant to this chapter shall be used for environmental studies, planning, and engineering activities.

(c) In selecting each specific segment for construction and prior
to awarding a construction contract, the authority shall have a detailed funding plan for that segment that identifies the full cost of constructing the segment and the sources of all revenues needed to complete construction of the segment.

(d) In selecting each specific segment for construction, the
authority shall give priority to those segments that require the least amount of bond funds as a percentage of total cost of construction, shall consider the utility of that segment for other passenger rail services, and shall ensure that any other passenger service provided on that segment will not result in any operating or maintenance cost to the authority.

   SEC. 5. Section 2704.095 of the Streets and Highways Code, as added by Section 2 of Chapter 697 of the Statutes of 2002, is amended to read:

    2704.095. (a) (1) Of the proceeds of bonds authorized pursuant to this chapter, nine hundred fifty million dollars ($950,000,000) shall be allocated to eligible recipients for capital improvements to intercity and commuter rail lines and urban rail systems to

   that provide direct connectivity to the high-speed train system and its facilities, or that are part of the construction of the high-speed train system as that system is described in subdivision (b) of Section 2704.04 and to , or that provide capacity enhancements and safety improvements. Funds under this section shall be available upon appropriation by the Legislature in the Annual Budget act for the eligible purposes described in subdivision (d).

(2) Twenty percent (one hundred ninety million dollars
($190,000,000)) of the amount authorized by this section shall be allocated for intercity rail to the Department of Transportation, for state-supported intercity rail lines that provide regularly scheduled service and use public funds to operate and maintain rail facilities, rights-of-way, and equipment. A minimum of 25 percent of the amount available under this paragraph (forty-seven million five hundred thousand dollars ($47,500,000)) shall be allocated to each of the state's three intercity rail corridors.

    The California Transportation Commission shall allocate the available funds to eligible recipients consistent with this section and shall develop guidelines , in consultation with the authority, to implement the requirements of this section. The guidelines shall include provisions for the administration of funds, including, but not limited to, the authority of the intercity corridor operators to loan these funds by mutual agreement between intercity rail corridors.

(3) Eighty percent (seven hundred sixty million dollars
($760,000,000)) of the amount authorized by this section shall be allocated to eligible recipients, except intercity rail, as described in subdivision (c) based upon a percentage amount calculated to incorporate all of the following:

(A) One-third of the eligible recipient's percentage share of
statewide track miles.

(B) One-third of the eligible recipient's percentage share of
statewide annual vehicle miles.

(C) One-third of the eligible recipient's percentage share of
statewide annual passenger trips.

    The California Transportation Commission shall allocate the available funds to eligible recipients consistent with this section and shall develop guidelines to implement the requirements of this section.

(b) For the purposes of this section, the following terms have the
following meanings:

(1) "Track miles" means the miles of track used by a public agency
or joint powers authority for regular passenger rail service.

(2) "Vehicle miles" means the total miles traveled, commencing
with pullout from the maintenance depot, by all locomotives and cars operated in a train consist for passenger rail service by a public agency or joint powers authority.

(3) "Passenger trips" means the annual unlinked passenger
boardings reported by a public agency or joint powers authority for regular passenger rail service.

(4) "Statewide" when used to modify the terms in paragraphs (A),
(B), and (C) of paragraph (3) of subdivision (a) means the combined total of those amounts for all eligible recipients.

(c) Eligible recipients for funding under paragraph (3) of
subdivision (a) shall be public agencies and joint powers authorities that operate regularly scheduled passenger rail service in the following categories:

(1) Commuter rail.
(2) Light rail.
(3) Heavy rail.
(4) Cable car.
(d) Funds allocated pursuant to this section shall be used for
connectivity with the high-speed train system or for the rehabilitation or modernization of, or safety improvements to, tracks utilized for public passenger rail service, signals, structures, facilities, and rolling stock.

(e) Eligible recipients may use the funds for any eligible rail
element set forth in subdivision (d).

(f) In order to be eligible for funding under this section, an
eligible recipient under paragraph (3) of subdivision (a) shall provide matching funds in an amount not less than the total amount allocated to the recipient under this section.

(g) An eligible recipient of funding under paragraph (3) of
subdivision (a) shall certify that it has met its matching funds requirement, and all other requirements of this section, by resolution of its governing board, subject to verification by the California Transportation Commission.

(h) Funds made available to an eligible recipient under paragraph
(3) of subdivision (a) shall supplement existing local, state, or federal revenues being used for maintenance or rehabilitation of the passenger rail system. Eligible recipients of funding under paragraph (3) of subdivision (a) shall maintain their existing commitment of local, state, or federal funds for these purposes in order to remain eligible for allocation and expenditure of the additional funding made available by this section.

(i) In order to receive any allocation under this section, an
eligible recipient under paragraph (3) of subdivision (a) shall annually expend from existing local, state, or federal revenues being used for the maintenance or rehabilitation of the passenger rail system in an amount not less than the annual average of its expenditures from local revenues for those purposes during the 1998-99, 1999-2000, and 2000-01 fiscal years.

(j) Funds allocated pursuant to this section to the Southern
California Regional Rail Authority for eligible projects within its service area shall be apportioned each fiscal year in accordance with memorandums of understanding to be executed between the Southern California Regional Rail Authority and its member agencies. The memorandum or memorandums of understanding shall take into account the passenger service needs of the Southern California Regional Rail Authority and of the member agencies, revenue attributable to member agencies, and separate contributions to the Southern California Regional Rail Authority from the member agencies.

   SEC. 6. Section 3 of Chapter 697 of the Statutes of 2002, as amended by Section 3 of Chapter 44 of the Statutes of 2006, is amended to read:

    Sec. 3. Section 2 of Chapter 697 of the Statutes of 2002, as amended by Sections 2 and 3 of Chapter 71 of the Statutes of 2004,   and as further amended by Sections 1 and 2 of   the act amending this section in the 2005-06 Regular Session    Chapter 44 of the Statutes of 2006, and as further amended by Sections 2 to 5, inclusive, of the act amending this section in the 2007- 08 Regular Session , shall take effect upon the adoption by the voters of the Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century, as set forth in Section 2 of Chapter 697 of the Statutes of 2002, as amended by Sections 2 and 3 of Chapter 71 of the Statutes of 2004, and as further amended by Sections 1 and 2 of the act amending this section in the 2005-06 Regular Session   Chapter 44 of the Statutes of 2006, and as further amended by Sections 2 to 5, inclusive, of the act amending this section in the 2007-08 Regular Session .

   SEC. 7. Section 4 of Chapter 697 of the Statutes of 2002, as amended by Section 4 of Chapter 44 of the Statutes of 2006, is amended to read:

    Sec. 4. (a) Section 2 of Chapter 697 of the Statutes of 2003 2002 , as amended by Sections 2 and 3 of Chapter 71 of the Statutes of 2004, and as further amended by Sections 1 and 2 of the act amending this section in the 2005-06 Regular Session Chapter 44 of the Statutes of 2006, and as further amended by Sections 2 to 5, inclusive, of the act amending this section in the 2007-08 Regular Session , shall be submitted to the voters at the November 4, 2008, general election in accordance with provisions of the Government Code and the Elections Code governing the submission of statewide measures to the voters.

(b) Notwithstanding any other provision of law, all ballots of the
November 4, 2008, general election shall have printed thereon and in a square thereof, exclusively, the words "Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century" and in the same square under those words, the following in 8-point type: "This act provides for the Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century. For the purpose of reducing traffic on the state's highways and roadways, upgrading commuter transportation, improving people's ability to get safely from city to city, alleviating congestion at airports, reducing air pollution, and providing for California's growing population, shall the state build a high-speed train system and improve existing passenger rail lines serving the state's major population centers by creating a rail trust fund that will issue bonds totaling $9.95 billion, paid from existing state funds at an average cost of ____ dollars ($____) per year over the 30-year life of the bonds, with all expenditures subject to an independent audit?" The blank space in the question to appear on the ballot pursuant to this subdivision shall be filled in by the Attorney General with the appropriate figure provided by the Legislative Analyst relative to the annual average cost of the bonds. Opposite the square, there shall be left spaces in which the voters may place a cross in the manner required by law to indicate whether they vote for or against the measure.

(c) Notwithstanding Sections 13247 and 13281 of the Elections
Code, the language in subdivision (b) shall be the only language included in the ballot label for the condensed statement of the ballot title, and the Attorney General shall not supplement, subtract from, or revise that language, except that the Attorney General may include the financial impact summary prepared pursuant to Section 9087 of the Elections Code and Section 88003 of the Government Code. The ballot label is the condensed statement of the ballot title and the financial impact summary.

(d) Where the voting in the election is done by means of voting
machines used pursuant to law in the manner that carries out the intent of this section, the use of the voting machines and the expression of the voters' choice by means thereof are in compliance with this section.

   SEC. 8. This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the Constitution and shall go into immediate effect. The facts constituting the necessity are:

    In order to modify the provisions of a general obligation bond measure on the November 4, 2008, general election ballot that would authorize the issuance and sale of bonds for the financing of a high-speed passenger train system and for other related purposes, it is necessary that this act take effect immediately.

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Martin Engel
1621 Stone Pine Lane
Menlo Park, CA 94025
650:323-1670
martinengel@earthlink.net
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Received on Sun Mar 2 15:23:44 2008