Assembly Budget Subcommittee No. 3 Hearing on Transportation Tax
Swap
The transportation coalition, which includes CSAC, the California
Transit Association, the League of California Cities, the
Regional Council of Rural Counties, and a number of private
sector organizations such as the Associated General Contractors
and the California Alliance for Jobs remains steadfast in our
position that the transportation tax swap fix must be
comprehensive in nature – including both a revalidation of the
17.3-cent replacement excise tax and the 1.75 percent sales tax
rate on diesel and the weight fee transfer for general fund
relief.
The Legislature began budget subcommittee hearings this week, and
in particular the Assembly Budget Subcommittee No. 3 on Resources
and Transportation heard from the Department of Finance and the
Legislative Analysts Office on options for fixing the
transportation tax swap. Supervisor Diane Dillon, Napa County,
testified on behalf of all 58 counties, highlighting the negative
consequences that would be felt statewide should the Legislature
and Governor fail to fix the swap. At risk is $2.5-$3.5 billion
in transportation funding and 45,000 to 63,000 jobs. Counties
would have to lay off public works staff and be unable to keep
local roads safe, reliable, and accessible to all users. The
public would experience a substantial decrease in the quality of
the county-maintained system and counties’ ability to respond to
emergencies would be in jeopardy.
As previously reported, The Governor’s January 2011-12 state
budget proposal includes all elements of a comprehensive fix
consistent with the transportation coalition’s proposal. While
the Assembly Budget Subcommittee No. 3 did not take any action on
Wednesday, legislative and budget staff report that a
comprehensive tax swap fix will be part of an overall budget
solution. At this time, the Governor and Legislature are aiming
to take action on the budget by March 7th.
CSAC Housing, Land Use, & Transportation Policy Committee Meeting
A friendly reminder that the CSAC Housing, Land Use, and
Transportation Policy Committee is meeting on Thursday, February
3rd from 9:30 to 11:00 a.m. at the CSAC Office in Sacramento. A
conference call line is also available for those unable to travel
for the meeting. CSAC staff will provide a state budget and
legislative update and the Committee is also set to take action
on revisions to the CSAC Platform. A copy of the
agenda and location and conference call in information
can be found on the CSAC website.
