| 1 | 1 | | CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Assembly Bill No. 939Introduced by Assembly Member SchultzFebruary 19, 2025 An act to add Chapter 12.6 (commencing with Section 8881) to Division 1 of Title 2 of the Government Code, relating to transportation, by providing the funds necessary therefor through an election for the issuance and sale of bonds of the State of California and for the handling and disposition of those funds. LEGISLATIVE COUNSEL'S DIGESTAB 939, as introduced, Schultz. The Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026.The Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006, approved by the voters as Proposition 1B at the November 7, 2006, statewide general election, authorizes the issuance of bonds in the amount of $19,925,000,000 pursuant to the State General Obligation Bond Law for specified purposes, including high-priority transportation corridor improvements, State Route 99 corridor enhancements, trade infrastructure and port security projects, schoolbus retrofit and replacement purposes, state transportation improvement program augmentation, transit and passenger rail improvements, state-local partnership transportation projects, transit security projects, local bridge seismic retrofit projects, highway-railroad grade separation and crossing improvement projects, state highway safety and rehabilitation projects, local street and road improvement, congestion relief, and traffic safety.This bill would enact the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026 which, if approved by the voters, would authorize the issuance of bonds in the amount of $20,000,000,000 pursuant to the State General Obligation Bond Law to finance transit and passenger rail improvements, local streets and roads and active transportation projects, zero-emission vehicle investments, transportation freight infrastructure improvements, and grade separations and other critical safety improvements.The bill would provide for the submission of the bond act to the voters at the November 3, 2026, statewide general election.Digest Key Vote: 2/3 Appropriation: NO Fiscal Committee: YES Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Chapter 12.6 (commencing with Section 8881) is added to Division 1 of Title 2 of the Government Code, to read: CHAPTER 12.6. The Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026 Article 1. General Provisions8881. This chapter shall be known, and may be cited, as the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026.8881.2. The people of California find and declare all of the following:8881.3. For purposes of this chapter, the following definitions apply:(a) Committee means the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created pursuant to Section 8881.102.(b) Fund means the Safe, Sustainable, Traffic-Reducing Transportation Fund created pursuant to Section 8881.4.(c) State General Obligation Bond Law means the State General Obligation Bond Law (Chapter 4 (commencing with Section 16720) of Part 3 of Division 4), as it may be amended from time to time.8881.4. (a) The proceeds of bonds, excluding those issued in accordance with Section 8881.109, issued and sold pursuant to this chapter shall be deposited in the Safe, Sustainable, Traffic-Reducing Transportation Fund, which is hereby created in the State Treasury. All moneys in the fund, notwithstanding Section 13340, are hereby continuously appropriated without respect to fiscal years for the purposes of this chapter.(b) Proceeds of bonds issued and sold pursuant to this chapter shall be allocated according to the following schedule:(1) Six billion dollars ($6,000,000,000) for transit capital improvements.(2) Four billion dollars ($4,000,000,000) for intercity, regional, and commuter passenger rail improvements.(3) Three billion five hundred million dollars ($3,500,000,000) for local street and road maintenance, safety, rehabilitation, and active transportation projects, including micromobility and station area improvements.(4) Three billion dollars ($3,000,000,000) for zero-emission vehicle investments, including rolling stock, battery electric technology vehicles, and hydrogen technology vehicles.(5) Two billion five hundred million dollars ($2,500,000,000) for transportation freight infrastructure improvements, including airport, border, ports, railyards, and trucking depots.(6) One billion dollars ($1,000,000,000) for grade separations and other critical safety improvements. Article 2. Transit Capital Improvements8881.20. [reserved] Article 3. Passenger Rail Improvements8881.30. [reserved] Article 4. Local Streets and Roads and Active Transportation Projects8881.40. [reserved] Article 5. Zero-Emission Vehicle Investments8881.50. [reserved] Article 6. Transportation Freight Infrastructure Improvements8881.60. [reserved] Article 7. Grade Separations and Other Critical Safety Improvements8881.70. [reserved] Article 8. Fiscal Provisions8881.100. (a) Bonds in the total amount of twenty billion dollars ($20,000,000,000), not including the amount of any refunding bonds issued in accordance with Section 8881.109, may be issued and sold for the purposes expressed in this chapter and to reimburse the General Obligation Bond Expense Revolving Fund pursuant to Section 16724.5. The bonds, when sold, issued, and delivered, shall be and constitute a valid and binding obligation of the State of California, and the full faith and credit of the State of California is hereby pledged for the punctual payment of both principal of, and interest on, the bonds as the principal and interest become due and payable.(b) The Treasurer shall issue and sell the bonds authorized in subdivision (a) in the amount determined by the committee to be necessary or desirable pursuant to Section 8881.103. The bonds shall be issued and sold upon the terms and conditions specified in a resolution to be adopted by the committee pursuant to Section 16731.8881.101. (a) The bonds authorized by this chapter shall be prepared, executed, issued, sold, paid, and redeemed as provided in the State General Obligation Bond Law, as amended from time to time, and all of the provisions of that law apply to the bonds and to this chapter and are hereby incorporated in this chapter as though set forth in full in this chapter, except that subdivisions (a) and (b) of Section 16727 shall not apply.(b) For purposes of this chapter, the references to committee in the State General Obligation Bond Law shall mean the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created in Section 8881.102, and the references to board in the State General Obligation Bond Law shall mean the Secretary of Transportation.8881.102. (a) Solely for the purpose of authorizing the issuance and sale pursuant to the State General Obligation Bond Law of the bonds authorized by this chapter, the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee is hereby created.(b) The committee consists of the Controller, the Treasurer, the Director of Finance, and the Secretary of Transportation. Notwithstanding any other law, any member may designate a representative to act as that member in the members place for all purposes, as though the member were personally present.(c) The Treasurer shall serve as chairperson of the committee. A majority of the committee may act for the committee.8881.103. The committee shall determine by resolution whether or not it is necessary or desirable to issue and sell bonds authorized pursuant to this chapter in order to carry out the actions specified in this chapter and, if so, the amount of bonds to be issued and sold. Successive issues of bonds may be authorized and sold to carry out those actions progressively, and it is not necessary that all of the bonds authorized to be issued be sold at any one time.8881.104. There shall be collected each year and in the same manner and at the same time as other state revenue is collected, in addition to the ordinary revenues of the state, a sum in an amount required to pay the principal of, and interest on, the bonds becoming due each year. It is the duty of all officers charged by law with any duty in regard to the collection of the revenue to do and perform each and every act that is necessary to collect that additional sum.8881.105. Notwithstanding Section 13340, there is hereby continuously appropriated from the General Fund in the State Treasury, for the purposes of this chapter and without regard to fiscal years, an amount that equals the total of the following:(a) The sum annually necessary to pay the principal of, and interest on, bonds issued and sold pursuant to this chapter, as the principal and interest become due and payable.(b) The sum necessary to carry out Section 8881.107.8881.106. The board may request the Pooled Money Investment Board to make a loan from the Pooled Money Investment Account, in accordance with Section 16312, for the purpose of carrying out this chapter less any amount withdrawn pursuant to Section 8881.107 and not yet returned to the General Fund. The amount of the request shall not exceed the amount of the unsold bonds that the committee has, by resolution, authorized to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to this section and not yet repaid and any amount withdrawn from the General Fund pursuant to Section 8881.107 and not yet returned to the General Fund. The board shall execute any documents required by the Pooled Money Investment Board to obtain and repay the loan. Any amounts loaned shall be deposited in the fund to be allocated by the board in accordance with this chapter.8881.107. For the purposes of carrying out this chapter, the Director of Finance may authorize the withdrawal from the General Fund of an amount not to exceed the amount of the unsold bonds that have been authorized by the committee to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to Section 8881.106 and not yet repaid, and any amount withdrawn from the General Fund pursuant to this section and not yet returned to the General Fund. Any amounts withdrawn shall be deposited in the fund. Any moneys made available under this section shall be returned to the General Fund from proceeds received from the sale of bonds for the purpose of carrying out this chapter.8881.108. All moneys deposited in the fund that are derived from premium and accrued interest on bonds sold pursuant to this chapter shall be reserved in the fund and shall be available for transfer to the General Fund as a credit to expenditures for bond interest, except those amounts derived from premium may be reserved and used to pay the cost of bond issuance before any transfer to the General Fund.8881.109. The bonds issued and sold pursuant to this chapter may be refunded in accordance with Article 6 (commencing with Section 16780) of Chapter 4 of Part 3 of Division 4, which is a part of the State General Obligation Bond Law. Approval by the voters of the state for the issuance of the bonds described in this chapter includes the approval of the issuance of any bonds issued to refund any bonds originally issued under this chapter or any previously issued refunding bonds. Any bond refunded with the proceeds of refunding bonds as authorized by this section may be legally defeased to the extent permitted by law in the manner and to the extent set forth in the resolution, as amended from time to time, authorizing that refunded bond.8881.110. Notwithstanding any other provision of this chapter, or of the State General Obligation Bond Law, if the Treasurer sells bonds pursuant to this chapter that include a bond counsel opinion to the effect that the interest on the bonds is excluded from gross income for federal tax purposes under designated conditions or is otherwise entitled to any federal tax advantage, the Treasurer may maintain separate accounts for the investment of bond proceeds and for the investment of earnings on those proceeds. The Treasurer may use or direct the use of those proceeds or earnings to pay any rebate, penalty, or other payment required under federal law or take any other action with respect to the investment and use of those bond proceeds or earnings required or desirable under federal law to maintain the tax exempt status of those bonds and to obtain any other advantage under federal law on behalf of the funds of this state.8881.111. The proceeds from the sale of bonds authorized by this chapter are not proceeds of taxes as that term is used in Article XIIIB of the California Constitution, and the disbursement of these proceeds is not subject to the limitations imposed by that article.SEC. 2. Section 1 of this act shall take effect upon the approval by the voters of the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026, as set forth in Section 1 of this act.SEC. 3. Section 1 of this act shall be submitted to the voters at the November 3, 2026 statewide general election in accordance with provisions of the Government Code and the Elections Code governing the submission of a statewide measure to the voters.SEC. 4. The provisions of this act are severable. If any provision of this act or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application. |
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| 3 | 3 | | CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Assembly Bill No. 939Introduced by Assembly Member SchultzFebruary 19, 2025 An act to add Chapter 12.6 (commencing with Section 8881) to Division 1 of Title 2 of the Government Code, relating to transportation, by providing the funds necessary therefor through an election for the issuance and sale of bonds of the State of California and for the handling and disposition of those funds. LEGISLATIVE COUNSEL'S DIGESTAB 939, as introduced, Schultz. The Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026.The Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006, approved by the voters as Proposition 1B at the November 7, 2006, statewide general election, authorizes the issuance of bonds in the amount of $19,925,000,000 pursuant to the State General Obligation Bond Law for specified purposes, including high-priority transportation corridor improvements, State Route 99 corridor enhancements, trade infrastructure and port security projects, schoolbus retrofit and replacement purposes, state transportation improvement program augmentation, transit and passenger rail improvements, state-local partnership transportation projects, transit security projects, local bridge seismic retrofit projects, highway-railroad grade separation and crossing improvement projects, state highway safety and rehabilitation projects, local street and road improvement, congestion relief, and traffic safety.This bill would enact the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026 which, if approved by the voters, would authorize the issuance of bonds in the amount of $20,000,000,000 pursuant to the State General Obligation Bond Law to finance transit and passenger rail improvements, local streets and roads and active transportation projects, zero-emission vehicle investments, transportation freight infrastructure improvements, and grade separations and other critical safety improvements.The bill would provide for the submission of the bond act to the voters at the November 3, 2026, statewide general election.Digest Key Vote: 2/3 Appropriation: NO Fiscal Committee: YES Local Program: NO |
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| 9 | 9 | | CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION |
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| 11 | 11 | | Assembly Bill |
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| 13 | 13 | | No. 939 |
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| 15 | 15 | | Introduced by Assembly Member SchultzFebruary 19, 2025 |
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| 17 | 17 | | Introduced by Assembly Member Schultz |
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| 18 | 18 | | February 19, 2025 |
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| 20 | 20 | | An act to add Chapter 12.6 (commencing with Section 8881) to Division 1 of Title 2 of the Government Code, relating to transportation, by providing the funds necessary therefor through an election for the issuance and sale of bonds of the State of California and for the handling and disposition of those funds. |
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| 22 | 22 | | LEGISLATIVE COUNSEL'S DIGEST |
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| 24 | 24 | | ## LEGISLATIVE COUNSEL'S DIGEST |
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| 26 | 26 | | AB 939, as introduced, Schultz. The Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026. |
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| 28 | 28 | | The Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006, approved by the voters as Proposition 1B at the November 7, 2006, statewide general election, authorizes the issuance of bonds in the amount of $19,925,000,000 pursuant to the State General Obligation Bond Law for specified purposes, including high-priority transportation corridor improvements, State Route 99 corridor enhancements, trade infrastructure and port security projects, schoolbus retrofit and replacement purposes, state transportation improvement program augmentation, transit and passenger rail improvements, state-local partnership transportation projects, transit security projects, local bridge seismic retrofit projects, highway-railroad grade separation and crossing improvement projects, state highway safety and rehabilitation projects, local street and road improvement, congestion relief, and traffic safety.This bill would enact the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026 which, if approved by the voters, would authorize the issuance of bonds in the amount of $20,000,000,000 pursuant to the State General Obligation Bond Law to finance transit and passenger rail improvements, local streets and roads and active transportation projects, zero-emission vehicle investments, transportation freight infrastructure improvements, and grade separations and other critical safety improvements.The bill would provide for the submission of the bond act to the voters at the November 3, 2026, statewide general election. |
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| 30 | 30 | | The Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006, approved by the voters as Proposition 1B at the November 7, 2006, statewide general election, authorizes the issuance of bonds in the amount of $19,925,000,000 pursuant to the State General Obligation Bond Law for specified purposes, including high-priority transportation corridor improvements, State Route 99 corridor enhancements, trade infrastructure and port security projects, schoolbus retrofit and replacement purposes, state transportation improvement program augmentation, transit and passenger rail improvements, state-local partnership transportation projects, transit security projects, local bridge seismic retrofit projects, highway-railroad grade separation and crossing improvement projects, state highway safety and rehabilitation projects, local street and road improvement, congestion relief, and traffic safety. |
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| 32 | 32 | | This bill would enact the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026 which, if approved by the voters, would authorize the issuance of bonds in the amount of $20,000,000,000 pursuant to the State General Obligation Bond Law to finance transit and passenger rail improvements, local streets and roads and active transportation projects, zero-emission vehicle investments, transportation freight infrastructure improvements, and grade separations and other critical safety improvements. |
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| 34 | 34 | | The bill would provide for the submission of the bond act to the voters at the November 3, 2026, statewide general election. |
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| 36 | 36 | | ## Digest Key |
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| 38 | 38 | | ## Bill Text |
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| 40 | 40 | | The people of the State of California do enact as follows:SECTION 1. Chapter 12.6 (commencing with Section 8881) is added to Division 1 of Title 2 of the Government Code, to read: CHAPTER 12.6. The Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026 Article 1. General Provisions8881. This chapter shall be known, and may be cited, as the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026.8881.2. The people of California find and declare all of the following:8881.3. For purposes of this chapter, the following definitions apply:(a) Committee means the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created pursuant to Section 8881.102.(b) Fund means the Safe, Sustainable, Traffic-Reducing Transportation Fund created pursuant to Section 8881.4.(c) State General Obligation Bond Law means the State General Obligation Bond Law (Chapter 4 (commencing with Section 16720) of Part 3 of Division 4), as it may be amended from time to time.8881.4. (a) The proceeds of bonds, excluding those issued in accordance with Section 8881.109, issued and sold pursuant to this chapter shall be deposited in the Safe, Sustainable, Traffic-Reducing Transportation Fund, which is hereby created in the State Treasury. All moneys in the fund, notwithstanding Section 13340, are hereby continuously appropriated without respect to fiscal years for the purposes of this chapter.(b) Proceeds of bonds issued and sold pursuant to this chapter shall be allocated according to the following schedule:(1) Six billion dollars ($6,000,000,000) for transit capital improvements.(2) Four billion dollars ($4,000,000,000) for intercity, regional, and commuter passenger rail improvements.(3) Three billion five hundred million dollars ($3,500,000,000) for local street and road maintenance, safety, rehabilitation, and active transportation projects, including micromobility and station area improvements.(4) Three billion dollars ($3,000,000,000) for zero-emission vehicle investments, including rolling stock, battery electric technology vehicles, and hydrogen technology vehicles.(5) Two billion five hundred million dollars ($2,500,000,000) for transportation freight infrastructure improvements, including airport, border, ports, railyards, and trucking depots.(6) One billion dollars ($1,000,000,000) for grade separations and other critical safety improvements. Article 2. Transit Capital Improvements8881.20. [reserved] Article 3. Passenger Rail Improvements8881.30. [reserved] Article 4. Local Streets and Roads and Active Transportation Projects8881.40. [reserved] Article 5. Zero-Emission Vehicle Investments8881.50. [reserved] Article 6. Transportation Freight Infrastructure Improvements8881.60. [reserved] Article 7. Grade Separations and Other Critical Safety Improvements8881.70. [reserved] Article 8. Fiscal Provisions8881.100. (a) Bonds in the total amount of twenty billion dollars ($20,000,000,000), not including the amount of any refunding bonds issued in accordance with Section 8881.109, may be issued and sold for the purposes expressed in this chapter and to reimburse the General Obligation Bond Expense Revolving Fund pursuant to Section 16724.5. The bonds, when sold, issued, and delivered, shall be and constitute a valid and binding obligation of the State of California, and the full faith and credit of the State of California is hereby pledged for the punctual payment of both principal of, and interest on, the bonds as the principal and interest become due and payable.(b) The Treasurer shall issue and sell the bonds authorized in subdivision (a) in the amount determined by the committee to be necessary or desirable pursuant to Section 8881.103. The bonds shall be issued and sold upon the terms and conditions specified in a resolution to be adopted by the committee pursuant to Section 16731.8881.101. (a) The bonds authorized by this chapter shall be prepared, executed, issued, sold, paid, and redeemed as provided in the State General Obligation Bond Law, as amended from time to time, and all of the provisions of that law apply to the bonds and to this chapter and are hereby incorporated in this chapter as though set forth in full in this chapter, except that subdivisions (a) and (b) of Section 16727 shall not apply.(b) For purposes of this chapter, the references to committee in the State General Obligation Bond Law shall mean the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created in Section 8881.102, and the references to board in the State General Obligation Bond Law shall mean the Secretary of Transportation.8881.102. (a) Solely for the purpose of authorizing the issuance and sale pursuant to the State General Obligation Bond Law of the bonds authorized by this chapter, the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee is hereby created.(b) The committee consists of the Controller, the Treasurer, the Director of Finance, and the Secretary of Transportation. Notwithstanding any other law, any member may designate a representative to act as that member in the members place for all purposes, as though the member were personally present.(c) The Treasurer shall serve as chairperson of the committee. A majority of the committee may act for the committee.8881.103. The committee shall determine by resolution whether or not it is necessary or desirable to issue and sell bonds authorized pursuant to this chapter in order to carry out the actions specified in this chapter and, if so, the amount of bonds to be issued and sold. Successive issues of bonds may be authorized and sold to carry out those actions progressively, and it is not necessary that all of the bonds authorized to be issued be sold at any one time.8881.104. There shall be collected each year and in the same manner and at the same time as other state revenue is collected, in addition to the ordinary revenues of the state, a sum in an amount required to pay the principal of, and interest on, the bonds becoming due each year. It is the duty of all officers charged by law with any duty in regard to the collection of the revenue to do and perform each and every act that is necessary to collect that additional sum.8881.105. Notwithstanding Section 13340, there is hereby continuously appropriated from the General Fund in the State Treasury, for the purposes of this chapter and without regard to fiscal years, an amount that equals the total of the following:(a) The sum annually necessary to pay the principal of, and interest on, bonds issued and sold pursuant to this chapter, as the principal and interest become due and payable.(b) The sum necessary to carry out Section 8881.107.8881.106. The board may request the Pooled Money Investment Board to make a loan from the Pooled Money Investment Account, in accordance with Section 16312, for the purpose of carrying out this chapter less any amount withdrawn pursuant to Section 8881.107 and not yet returned to the General Fund. The amount of the request shall not exceed the amount of the unsold bonds that the committee has, by resolution, authorized to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to this section and not yet repaid and any amount withdrawn from the General Fund pursuant to Section 8881.107 and not yet returned to the General Fund. The board shall execute any documents required by the Pooled Money Investment Board to obtain and repay the loan. Any amounts loaned shall be deposited in the fund to be allocated by the board in accordance with this chapter.8881.107. For the purposes of carrying out this chapter, the Director of Finance may authorize the withdrawal from the General Fund of an amount not to exceed the amount of the unsold bonds that have been authorized by the committee to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to Section 8881.106 and not yet repaid, and any amount withdrawn from the General Fund pursuant to this section and not yet returned to the General Fund. Any amounts withdrawn shall be deposited in the fund. Any moneys made available under this section shall be returned to the General Fund from proceeds received from the sale of bonds for the purpose of carrying out this chapter.8881.108. All moneys deposited in the fund that are derived from premium and accrued interest on bonds sold pursuant to this chapter shall be reserved in the fund and shall be available for transfer to the General Fund as a credit to expenditures for bond interest, except those amounts derived from premium may be reserved and used to pay the cost of bond issuance before any transfer to the General Fund.8881.109. The bonds issued and sold pursuant to this chapter may be refunded in accordance with Article 6 (commencing with Section 16780) of Chapter 4 of Part 3 of Division 4, which is a part of the State General Obligation Bond Law. Approval by the voters of the state for the issuance of the bonds described in this chapter includes the approval of the issuance of any bonds issued to refund any bonds originally issued under this chapter or any previously issued refunding bonds. Any bond refunded with the proceeds of refunding bonds as authorized by this section may be legally defeased to the extent permitted by law in the manner and to the extent set forth in the resolution, as amended from time to time, authorizing that refunded bond.8881.110. Notwithstanding any other provision of this chapter, or of the State General Obligation Bond Law, if the Treasurer sells bonds pursuant to this chapter that include a bond counsel opinion to the effect that the interest on the bonds is excluded from gross income for federal tax purposes under designated conditions or is otherwise entitled to any federal tax advantage, the Treasurer may maintain separate accounts for the investment of bond proceeds and for the investment of earnings on those proceeds. The Treasurer may use or direct the use of those proceeds or earnings to pay any rebate, penalty, or other payment required under federal law or take any other action with respect to the investment and use of those bond proceeds or earnings required or desirable under federal law to maintain the tax exempt status of those bonds and to obtain any other advantage under federal law on behalf of the funds of this state.8881.111. The proceeds from the sale of bonds authorized by this chapter are not proceeds of taxes as that term is used in Article XIIIB of the California Constitution, and the disbursement of these proceeds is not subject to the limitations imposed by that article.SEC. 2. Section 1 of this act shall take effect upon the approval by the voters of the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026, as set forth in Section 1 of this act.SEC. 3. Section 1 of this act shall be submitted to the voters at the November 3, 2026 statewide general election in accordance with provisions of the Government Code and the Elections Code governing the submission of a statewide measure to the voters.SEC. 4. The provisions of this act are severable. If any provision of this act or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application. |
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| 42 | 42 | | The people of the State of California do enact as follows: |
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| 44 | 44 | | ## The people of the State of California do enact as follows: |
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| 46 | 46 | | SECTION 1. Chapter 12.6 (commencing with Section 8881) is added to Division 1 of Title 2 of the Government Code, to read: CHAPTER 12.6. The Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026 Article 1. General Provisions8881. This chapter shall be known, and may be cited, as the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026.8881.2. The people of California find and declare all of the following:8881.3. For purposes of this chapter, the following definitions apply:(a) Committee means the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created pursuant to Section 8881.102.(b) Fund means the Safe, Sustainable, Traffic-Reducing Transportation Fund created pursuant to Section 8881.4.(c) State General Obligation Bond Law means the State General Obligation Bond Law (Chapter 4 (commencing with Section 16720) of Part 3 of Division 4), as it may be amended from time to time.8881.4. (a) The proceeds of bonds, excluding those issued in accordance with Section 8881.109, issued and sold pursuant to this chapter shall be deposited in the Safe, Sustainable, Traffic-Reducing Transportation Fund, which is hereby created in the State Treasury. All moneys in the fund, notwithstanding Section 13340, are hereby continuously appropriated without respect to fiscal years for the purposes of this chapter.(b) Proceeds of bonds issued and sold pursuant to this chapter shall be allocated according to the following schedule:(1) Six billion dollars ($6,000,000,000) for transit capital improvements.(2) Four billion dollars ($4,000,000,000) for intercity, regional, and commuter passenger rail improvements.(3) Three billion five hundred million dollars ($3,500,000,000) for local street and road maintenance, safety, rehabilitation, and active transportation projects, including micromobility and station area improvements.(4) Three billion dollars ($3,000,000,000) for zero-emission vehicle investments, including rolling stock, battery electric technology vehicles, and hydrogen technology vehicles.(5) Two billion five hundred million dollars ($2,500,000,000) for transportation freight infrastructure improvements, including airport, border, ports, railyards, and trucking depots.(6) One billion dollars ($1,000,000,000) for grade separations and other critical safety improvements. Article 2. Transit Capital Improvements8881.20. [reserved] Article 3. Passenger Rail Improvements8881.30. [reserved] Article 4. Local Streets and Roads and Active Transportation Projects8881.40. [reserved] Article 5. Zero-Emission Vehicle Investments8881.50. [reserved] Article 6. Transportation Freight Infrastructure Improvements8881.60. [reserved] Article 7. Grade Separations and Other Critical Safety Improvements8881.70. [reserved] Article 8. Fiscal Provisions8881.100. (a) Bonds in the total amount of twenty billion dollars ($20,000,000,000), not including the amount of any refunding bonds issued in accordance with Section 8881.109, may be issued and sold for the purposes expressed in this chapter and to reimburse the General Obligation Bond Expense Revolving Fund pursuant to Section 16724.5. The bonds, when sold, issued, and delivered, shall be and constitute a valid and binding obligation of the State of California, and the full faith and credit of the State of California is hereby pledged for the punctual payment of both principal of, and interest on, the bonds as the principal and interest become due and payable.(b) The Treasurer shall issue and sell the bonds authorized in subdivision (a) in the amount determined by the committee to be necessary or desirable pursuant to Section 8881.103. The bonds shall be issued and sold upon the terms and conditions specified in a resolution to be adopted by the committee pursuant to Section 16731.8881.101. (a) The bonds authorized by this chapter shall be prepared, executed, issued, sold, paid, and redeemed as provided in the State General Obligation Bond Law, as amended from time to time, and all of the provisions of that law apply to the bonds and to this chapter and are hereby incorporated in this chapter as though set forth in full in this chapter, except that subdivisions (a) and (b) of Section 16727 shall not apply.(b) For purposes of this chapter, the references to committee in the State General Obligation Bond Law shall mean the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created in Section 8881.102, and the references to board in the State General Obligation Bond Law shall mean the Secretary of Transportation.8881.102. (a) Solely for the purpose of authorizing the issuance and sale pursuant to the State General Obligation Bond Law of the bonds authorized by this chapter, the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee is hereby created.(b) The committee consists of the Controller, the Treasurer, the Director of Finance, and the Secretary of Transportation. Notwithstanding any other law, any member may designate a representative to act as that member in the members place for all purposes, as though the member were personally present.(c) The Treasurer shall serve as chairperson of the committee. A majority of the committee may act for the committee.8881.103. The committee shall determine by resolution whether or not it is necessary or desirable to issue and sell bonds authorized pursuant to this chapter in order to carry out the actions specified in this chapter and, if so, the amount of bonds to be issued and sold. Successive issues of bonds may be authorized and sold to carry out those actions progressively, and it is not necessary that all of the bonds authorized to be issued be sold at any one time.8881.104. There shall be collected each year and in the same manner and at the same time as other state revenue is collected, in addition to the ordinary revenues of the state, a sum in an amount required to pay the principal of, and interest on, the bonds becoming due each year. It is the duty of all officers charged by law with any duty in regard to the collection of the revenue to do and perform each and every act that is necessary to collect that additional sum.8881.105. Notwithstanding Section 13340, there is hereby continuously appropriated from the General Fund in the State Treasury, for the purposes of this chapter and without regard to fiscal years, an amount that equals the total of the following:(a) The sum annually necessary to pay the principal of, and interest on, bonds issued and sold pursuant to this chapter, as the principal and interest become due and payable.(b) The sum necessary to carry out Section 8881.107.8881.106. The board may request the Pooled Money Investment Board to make a loan from the Pooled Money Investment Account, in accordance with Section 16312, for the purpose of carrying out this chapter less any amount withdrawn pursuant to Section 8881.107 and not yet returned to the General Fund. The amount of the request shall not exceed the amount of the unsold bonds that the committee has, by resolution, authorized to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to this section and not yet repaid and any amount withdrawn from the General Fund pursuant to Section 8881.107 and not yet returned to the General Fund. The board shall execute any documents required by the Pooled Money Investment Board to obtain and repay the loan. Any amounts loaned shall be deposited in the fund to be allocated by the board in accordance with this chapter.8881.107. For the purposes of carrying out this chapter, the Director of Finance may authorize the withdrawal from the General Fund of an amount not to exceed the amount of the unsold bonds that have been authorized by the committee to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to Section 8881.106 and not yet repaid, and any amount withdrawn from the General Fund pursuant to this section and not yet returned to the General Fund. Any amounts withdrawn shall be deposited in the fund. Any moneys made available under this section shall be returned to the General Fund from proceeds received from the sale of bonds for the purpose of carrying out this chapter.8881.108. All moneys deposited in the fund that are derived from premium and accrued interest on bonds sold pursuant to this chapter shall be reserved in the fund and shall be available for transfer to the General Fund as a credit to expenditures for bond interest, except those amounts derived from premium may be reserved and used to pay the cost of bond issuance before any transfer to the General Fund.8881.109. The bonds issued and sold pursuant to this chapter may be refunded in accordance with Article 6 (commencing with Section 16780) of Chapter 4 of Part 3 of Division 4, which is a part of the State General Obligation Bond Law. Approval by the voters of the state for the issuance of the bonds described in this chapter includes the approval of the issuance of any bonds issued to refund any bonds originally issued under this chapter or any previously issued refunding bonds. Any bond refunded with the proceeds of refunding bonds as authorized by this section may be legally defeased to the extent permitted by law in the manner and to the extent set forth in the resolution, as amended from time to time, authorizing that refunded bond.8881.110. Notwithstanding any other provision of this chapter, or of the State General Obligation Bond Law, if the Treasurer sells bonds pursuant to this chapter that include a bond counsel opinion to the effect that the interest on the bonds is excluded from gross income for federal tax purposes under designated conditions or is otherwise entitled to any federal tax advantage, the Treasurer may maintain separate accounts for the investment of bond proceeds and for the investment of earnings on those proceeds. The Treasurer may use or direct the use of those proceeds or earnings to pay any rebate, penalty, or other payment required under federal law or take any other action with respect to the investment and use of those bond proceeds or earnings required or desirable under federal law to maintain the tax exempt status of those bonds and to obtain any other advantage under federal law on behalf of the funds of this state.8881.111. The proceeds from the sale of bonds authorized by this chapter are not proceeds of taxes as that term is used in Article XIIIB of the California Constitution, and the disbursement of these proceeds is not subject to the limitations imposed by that article. |
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| 47 | 47 | | |
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| 48 | 48 | | SECTION 1. Chapter 12.6 (commencing with Section 8881) is added to Division 1 of Title 2 of the Government Code, to read: |
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| 49 | 49 | | |
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| 50 | 50 | | ### SECTION 1. |
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| 51 | 51 | | |
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| 52 | 52 | | CHAPTER 12.6. The Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026 Article 1. General Provisions8881. This chapter shall be known, and may be cited, as the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026.8881.2. The people of California find and declare all of the following:8881.3. For purposes of this chapter, the following definitions apply:(a) Committee means the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created pursuant to Section 8881.102.(b) Fund means the Safe, Sustainable, Traffic-Reducing Transportation Fund created pursuant to Section 8881.4.(c) State General Obligation Bond Law means the State General Obligation Bond Law (Chapter 4 (commencing with Section 16720) of Part 3 of Division 4), as it may be amended from time to time.8881.4. (a) The proceeds of bonds, excluding those issued in accordance with Section 8881.109, issued and sold pursuant to this chapter shall be deposited in the Safe, Sustainable, Traffic-Reducing Transportation Fund, which is hereby created in the State Treasury. All moneys in the fund, notwithstanding Section 13340, are hereby continuously appropriated without respect to fiscal years for the purposes of this chapter.(b) Proceeds of bonds issued and sold pursuant to this chapter shall be allocated according to the following schedule:(1) Six billion dollars ($6,000,000,000) for transit capital improvements.(2) Four billion dollars ($4,000,000,000) for intercity, regional, and commuter passenger rail improvements.(3) Three billion five hundred million dollars ($3,500,000,000) for local street and road maintenance, safety, rehabilitation, and active transportation projects, including micromobility and station area improvements.(4) Three billion dollars ($3,000,000,000) for zero-emission vehicle investments, including rolling stock, battery electric technology vehicles, and hydrogen technology vehicles.(5) Two billion five hundred million dollars ($2,500,000,000) for transportation freight infrastructure improvements, including airport, border, ports, railyards, and trucking depots.(6) One billion dollars ($1,000,000,000) for grade separations and other critical safety improvements. Article 2. Transit Capital Improvements8881.20. [reserved] Article 3. Passenger Rail Improvements8881.30. [reserved] Article 4. Local Streets and Roads and Active Transportation Projects8881.40. [reserved] Article 5. Zero-Emission Vehicle Investments8881.50. [reserved] Article 6. Transportation Freight Infrastructure Improvements8881.60. [reserved] Article 7. Grade Separations and Other Critical Safety Improvements8881.70. [reserved] Article 8. Fiscal Provisions8881.100. (a) Bonds in the total amount of twenty billion dollars ($20,000,000,000), not including the amount of any refunding bonds issued in accordance with Section 8881.109, may be issued and sold for the purposes expressed in this chapter and to reimburse the General Obligation Bond Expense Revolving Fund pursuant to Section 16724.5. The bonds, when sold, issued, and delivered, shall be and constitute a valid and binding obligation of the State of California, and the full faith and credit of the State of California is hereby pledged for the punctual payment of both principal of, and interest on, the bonds as the principal and interest become due and payable.(b) The Treasurer shall issue and sell the bonds authorized in subdivision (a) in the amount determined by the committee to be necessary or desirable pursuant to Section 8881.103. The bonds shall be issued and sold upon the terms and conditions specified in a resolution to be adopted by the committee pursuant to Section 16731.8881.101. (a) The bonds authorized by this chapter shall be prepared, executed, issued, sold, paid, and redeemed as provided in the State General Obligation Bond Law, as amended from time to time, and all of the provisions of that law apply to the bonds and to this chapter and are hereby incorporated in this chapter as though set forth in full in this chapter, except that subdivisions (a) and (b) of Section 16727 shall not apply.(b) For purposes of this chapter, the references to committee in the State General Obligation Bond Law shall mean the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created in Section 8881.102, and the references to board in the State General Obligation Bond Law shall mean the Secretary of Transportation.8881.102. (a) Solely for the purpose of authorizing the issuance and sale pursuant to the State General Obligation Bond Law of the bonds authorized by this chapter, the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee is hereby created.(b) The committee consists of the Controller, the Treasurer, the Director of Finance, and the Secretary of Transportation. Notwithstanding any other law, any member may designate a representative to act as that member in the members place for all purposes, as though the member were personally present.(c) The Treasurer shall serve as chairperson of the committee. A majority of the committee may act for the committee.8881.103. The committee shall determine by resolution whether or not it is necessary or desirable to issue and sell bonds authorized pursuant to this chapter in order to carry out the actions specified in this chapter and, if so, the amount of bonds to be issued and sold. Successive issues of bonds may be authorized and sold to carry out those actions progressively, and it is not necessary that all of the bonds authorized to be issued be sold at any one time.8881.104. There shall be collected each year and in the same manner and at the same time as other state revenue is collected, in addition to the ordinary revenues of the state, a sum in an amount required to pay the principal of, and interest on, the bonds becoming due each year. It is the duty of all officers charged by law with any duty in regard to the collection of the revenue to do and perform each and every act that is necessary to collect that additional sum.8881.105. Notwithstanding Section 13340, there is hereby continuously appropriated from the General Fund in the State Treasury, for the purposes of this chapter and without regard to fiscal years, an amount that equals the total of the following:(a) The sum annually necessary to pay the principal of, and interest on, bonds issued and sold pursuant to this chapter, as the principal and interest become due and payable.(b) The sum necessary to carry out Section 8881.107.8881.106. The board may request the Pooled Money Investment Board to make a loan from the Pooled Money Investment Account, in accordance with Section 16312, for the purpose of carrying out this chapter less any amount withdrawn pursuant to Section 8881.107 and not yet returned to the General Fund. The amount of the request shall not exceed the amount of the unsold bonds that the committee has, by resolution, authorized to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to this section and not yet repaid and any amount withdrawn from the General Fund pursuant to Section 8881.107 and not yet returned to the General Fund. The board shall execute any documents required by the Pooled Money Investment Board to obtain and repay the loan. Any amounts loaned shall be deposited in the fund to be allocated by the board in accordance with this chapter.8881.107. For the purposes of carrying out this chapter, the Director of Finance may authorize the withdrawal from the General Fund of an amount not to exceed the amount of the unsold bonds that have been authorized by the committee to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to Section 8881.106 and not yet repaid, and any amount withdrawn from the General Fund pursuant to this section and not yet returned to the General Fund. Any amounts withdrawn shall be deposited in the fund. Any moneys made available under this section shall be returned to the General Fund from proceeds received from the sale of bonds for the purpose of carrying out this chapter.8881.108. All moneys deposited in the fund that are derived from premium and accrued interest on bonds sold pursuant to this chapter shall be reserved in the fund and shall be available for transfer to the General Fund as a credit to expenditures for bond interest, except those amounts derived from premium may be reserved and used to pay the cost of bond issuance before any transfer to the General Fund.8881.109. The bonds issued and sold pursuant to this chapter may be refunded in accordance with Article 6 (commencing with Section 16780) of Chapter 4 of Part 3 of Division 4, which is a part of the State General Obligation Bond Law. Approval by the voters of the state for the issuance of the bonds described in this chapter includes the approval of the issuance of any bonds issued to refund any bonds originally issued under this chapter or any previously issued refunding bonds. Any bond refunded with the proceeds of refunding bonds as authorized by this section may be legally defeased to the extent permitted by law in the manner and to the extent set forth in the resolution, as amended from time to time, authorizing that refunded bond.8881.110. Notwithstanding any other provision of this chapter, or of the State General Obligation Bond Law, if the Treasurer sells bonds pursuant to this chapter that include a bond counsel opinion to the effect that the interest on the bonds is excluded from gross income for federal tax purposes under designated conditions or is otherwise entitled to any federal tax advantage, the Treasurer may maintain separate accounts for the investment of bond proceeds and for the investment of earnings on those proceeds. The Treasurer may use or direct the use of those proceeds or earnings to pay any rebate, penalty, or other payment required under federal law or take any other action with respect to the investment and use of those bond proceeds or earnings required or desirable under federal law to maintain the tax exempt status of those bonds and to obtain any other advantage under federal law on behalf of the funds of this state.8881.111. The proceeds from the sale of bonds authorized by this chapter are not proceeds of taxes as that term is used in Article XIIIB of the California Constitution, and the disbursement of these proceeds is not subject to the limitations imposed by that article. |
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| 53 | 53 | | |
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| 54 | 54 | | CHAPTER 12.6. The Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026 Article 1. General Provisions8881. This chapter shall be known, and may be cited, as the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026.8881.2. The people of California find and declare all of the following:8881.3. For purposes of this chapter, the following definitions apply:(a) Committee means the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created pursuant to Section 8881.102.(b) Fund means the Safe, Sustainable, Traffic-Reducing Transportation Fund created pursuant to Section 8881.4.(c) State General Obligation Bond Law means the State General Obligation Bond Law (Chapter 4 (commencing with Section 16720) of Part 3 of Division 4), as it may be amended from time to time.8881.4. (a) The proceeds of bonds, excluding those issued in accordance with Section 8881.109, issued and sold pursuant to this chapter shall be deposited in the Safe, Sustainable, Traffic-Reducing Transportation Fund, which is hereby created in the State Treasury. All moneys in the fund, notwithstanding Section 13340, are hereby continuously appropriated without respect to fiscal years for the purposes of this chapter.(b) Proceeds of bonds issued and sold pursuant to this chapter shall be allocated according to the following schedule:(1) Six billion dollars ($6,000,000,000) for transit capital improvements.(2) Four billion dollars ($4,000,000,000) for intercity, regional, and commuter passenger rail improvements.(3) Three billion five hundred million dollars ($3,500,000,000) for local street and road maintenance, safety, rehabilitation, and active transportation projects, including micromobility and station area improvements.(4) Three billion dollars ($3,000,000,000) for zero-emission vehicle investments, including rolling stock, battery electric technology vehicles, and hydrogen technology vehicles.(5) Two billion five hundred million dollars ($2,500,000,000) for transportation freight infrastructure improvements, including airport, border, ports, railyards, and trucking depots.(6) One billion dollars ($1,000,000,000) for grade separations and other critical safety improvements. Article 2. Transit Capital Improvements8881.20. [reserved] Article 3. Passenger Rail Improvements8881.30. [reserved] Article 4. Local Streets and Roads and Active Transportation Projects8881.40. [reserved] Article 5. Zero-Emission Vehicle Investments8881.50. [reserved] Article 6. Transportation Freight Infrastructure Improvements8881.60. [reserved] Article 7. Grade Separations and Other Critical Safety Improvements8881.70. [reserved] Article 8. Fiscal Provisions8881.100. (a) Bonds in the total amount of twenty billion dollars ($20,000,000,000), not including the amount of any refunding bonds issued in accordance with Section 8881.109, may be issued and sold for the purposes expressed in this chapter and to reimburse the General Obligation Bond Expense Revolving Fund pursuant to Section 16724.5. The bonds, when sold, issued, and delivered, shall be and constitute a valid and binding obligation of the State of California, and the full faith and credit of the State of California is hereby pledged for the punctual payment of both principal of, and interest on, the bonds as the principal and interest become due and payable.(b) The Treasurer shall issue and sell the bonds authorized in subdivision (a) in the amount determined by the committee to be necessary or desirable pursuant to Section 8881.103. The bonds shall be issued and sold upon the terms and conditions specified in a resolution to be adopted by the committee pursuant to Section 16731.8881.101. (a) The bonds authorized by this chapter shall be prepared, executed, issued, sold, paid, and redeemed as provided in the State General Obligation Bond Law, as amended from time to time, and all of the provisions of that law apply to the bonds and to this chapter and are hereby incorporated in this chapter as though set forth in full in this chapter, except that subdivisions (a) and (b) of Section 16727 shall not apply.(b) For purposes of this chapter, the references to committee in the State General Obligation Bond Law shall mean the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created in Section 8881.102, and the references to board in the State General Obligation Bond Law shall mean the Secretary of Transportation.8881.102. (a) Solely for the purpose of authorizing the issuance and sale pursuant to the State General Obligation Bond Law of the bonds authorized by this chapter, the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee is hereby created.(b) The committee consists of the Controller, the Treasurer, the Director of Finance, and the Secretary of Transportation. Notwithstanding any other law, any member may designate a representative to act as that member in the members place for all purposes, as though the member were personally present.(c) The Treasurer shall serve as chairperson of the committee. A majority of the committee may act for the committee.8881.103. The committee shall determine by resolution whether or not it is necessary or desirable to issue and sell bonds authorized pursuant to this chapter in order to carry out the actions specified in this chapter and, if so, the amount of bonds to be issued and sold. Successive issues of bonds may be authorized and sold to carry out those actions progressively, and it is not necessary that all of the bonds authorized to be issued be sold at any one time.8881.104. There shall be collected each year and in the same manner and at the same time as other state revenue is collected, in addition to the ordinary revenues of the state, a sum in an amount required to pay the principal of, and interest on, the bonds becoming due each year. It is the duty of all officers charged by law with any duty in regard to the collection of the revenue to do and perform each and every act that is necessary to collect that additional sum.8881.105. Notwithstanding Section 13340, there is hereby continuously appropriated from the General Fund in the State Treasury, for the purposes of this chapter and without regard to fiscal years, an amount that equals the total of the following:(a) The sum annually necessary to pay the principal of, and interest on, bonds issued and sold pursuant to this chapter, as the principal and interest become due and payable.(b) The sum necessary to carry out Section 8881.107.8881.106. The board may request the Pooled Money Investment Board to make a loan from the Pooled Money Investment Account, in accordance with Section 16312, for the purpose of carrying out this chapter less any amount withdrawn pursuant to Section 8881.107 and not yet returned to the General Fund. The amount of the request shall not exceed the amount of the unsold bonds that the committee has, by resolution, authorized to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to this section and not yet repaid and any amount withdrawn from the General Fund pursuant to Section 8881.107 and not yet returned to the General Fund. The board shall execute any documents required by the Pooled Money Investment Board to obtain and repay the loan. Any amounts loaned shall be deposited in the fund to be allocated by the board in accordance with this chapter.8881.107. For the purposes of carrying out this chapter, the Director of Finance may authorize the withdrawal from the General Fund of an amount not to exceed the amount of the unsold bonds that have been authorized by the committee to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to Section 8881.106 and not yet repaid, and any amount withdrawn from the General Fund pursuant to this section and not yet returned to the General Fund. Any amounts withdrawn shall be deposited in the fund. Any moneys made available under this section shall be returned to the General Fund from proceeds received from the sale of bonds for the purpose of carrying out this chapter.8881.108. All moneys deposited in the fund that are derived from premium and accrued interest on bonds sold pursuant to this chapter shall be reserved in the fund and shall be available for transfer to the General Fund as a credit to expenditures for bond interest, except those amounts derived from premium may be reserved and used to pay the cost of bond issuance before any transfer to the General Fund.8881.109. The bonds issued and sold pursuant to this chapter may be refunded in accordance with Article 6 (commencing with Section 16780) of Chapter 4 of Part 3 of Division 4, which is a part of the State General Obligation Bond Law. Approval by the voters of the state for the issuance of the bonds described in this chapter includes the approval of the issuance of any bonds issued to refund any bonds originally issued under this chapter or any previously issued refunding bonds. Any bond refunded with the proceeds of refunding bonds as authorized by this section may be legally defeased to the extent permitted by law in the manner and to the extent set forth in the resolution, as amended from time to time, authorizing that refunded bond.8881.110. Notwithstanding any other provision of this chapter, or of the State General Obligation Bond Law, if the Treasurer sells bonds pursuant to this chapter that include a bond counsel opinion to the effect that the interest on the bonds is excluded from gross income for federal tax purposes under designated conditions or is otherwise entitled to any federal tax advantage, the Treasurer may maintain separate accounts for the investment of bond proceeds and for the investment of earnings on those proceeds. The Treasurer may use or direct the use of those proceeds or earnings to pay any rebate, penalty, or other payment required under federal law or take any other action with respect to the investment and use of those bond proceeds or earnings required or desirable under federal law to maintain the tax exempt status of those bonds and to obtain any other advantage under federal law on behalf of the funds of this state.8881.111. The proceeds from the sale of bonds authorized by this chapter are not proceeds of taxes as that term is used in Article XIIIB of the California Constitution, and the disbursement of these proceeds is not subject to the limitations imposed by that article. |
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| 55 | 55 | | |
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| 56 | 56 | | CHAPTER 12.6. The Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026 |
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| 57 | 57 | | |
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| 58 | 58 | | CHAPTER 12.6. The Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026 |
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| 59 | 59 | | |
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| 60 | 60 | | Article 1. General Provisions8881. This chapter shall be known, and may be cited, as the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026.8881.2. The people of California find and declare all of the following:8881.3. For purposes of this chapter, the following definitions apply:(a) Committee means the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created pursuant to Section 8881.102.(b) Fund means the Safe, Sustainable, Traffic-Reducing Transportation Fund created pursuant to Section 8881.4.(c) State General Obligation Bond Law means the State General Obligation Bond Law (Chapter 4 (commencing with Section 16720) of Part 3 of Division 4), as it may be amended from time to time.8881.4. (a) The proceeds of bonds, excluding those issued in accordance with Section 8881.109, issued and sold pursuant to this chapter shall be deposited in the Safe, Sustainable, Traffic-Reducing Transportation Fund, which is hereby created in the State Treasury. All moneys in the fund, notwithstanding Section 13340, are hereby continuously appropriated without respect to fiscal years for the purposes of this chapter.(b) Proceeds of bonds issued and sold pursuant to this chapter shall be allocated according to the following schedule:(1) Six billion dollars ($6,000,000,000) for transit capital improvements.(2) Four billion dollars ($4,000,000,000) for intercity, regional, and commuter passenger rail improvements.(3) Three billion five hundred million dollars ($3,500,000,000) for local street and road maintenance, safety, rehabilitation, and active transportation projects, including micromobility and station area improvements.(4) Three billion dollars ($3,000,000,000) for zero-emission vehicle investments, including rolling stock, battery electric technology vehicles, and hydrogen technology vehicles.(5) Two billion five hundred million dollars ($2,500,000,000) for transportation freight infrastructure improvements, including airport, border, ports, railyards, and trucking depots.(6) One billion dollars ($1,000,000,000) for grade separations and other critical safety improvements. |
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| 61 | 61 | | |
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| 62 | 62 | | Article 1. General Provisions |
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| 63 | 63 | | |
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| 64 | 64 | | Article 1. General Provisions |
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| 65 | 65 | | |
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| 66 | 66 | | 8881. This chapter shall be known, and may be cited, as the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026. |
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| 67 | 67 | | |
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| 68 | 68 | | |
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| 69 | 69 | | |
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| 70 | 70 | | 8881. This chapter shall be known, and may be cited, as the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026. |
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| 71 | 71 | | |
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| 72 | 72 | | 8881.2. The people of California find and declare all of the following: |
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| 73 | 73 | | |
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| 74 | 74 | | |
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| 75 | 75 | | |
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| 76 | 76 | | 8881.2. The people of California find and declare all of the following: |
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| 77 | 77 | | |
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| 78 | 78 | | 8881.3. For purposes of this chapter, the following definitions apply:(a) Committee means the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created pursuant to Section 8881.102.(b) Fund means the Safe, Sustainable, Traffic-Reducing Transportation Fund created pursuant to Section 8881.4.(c) State General Obligation Bond Law means the State General Obligation Bond Law (Chapter 4 (commencing with Section 16720) of Part 3 of Division 4), as it may be amended from time to time. |
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| 79 | 79 | | |
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| 80 | 80 | | |
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| 81 | 81 | | |
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| 82 | 82 | | 8881.3. For purposes of this chapter, the following definitions apply: |
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| 83 | 83 | | |
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| 84 | 84 | | (a) Committee means the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created pursuant to Section 8881.102. |
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| 85 | 85 | | |
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| 86 | 86 | | (b) Fund means the Safe, Sustainable, Traffic-Reducing Transportation Fund created pursuant to Section 8881.4. |
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| 87 | 87 | | |
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| 88 | 88 | | (c) State General Obligation Bond Law means the State General Obligation Bond Law (Chapter 4 (commencing with Section 16720) of Part 3 of Division 4), as it may be amended from time to time. |
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| 89 | 89 | | |
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| 90 | 90 | | 8881.4. (a) The proceeds of bonds, excluding those issued in accordance with Section 8881.109, issued and sold pursuant to this chapter shall be deposited in the Safe, Sustainable, Traffic-Reducing Transportation Fund, which is hereby created in the State Treasury. All moneys in the fund, notwithstanding Section 13340, are hereby continuously appropriated without respect to fiscal years for the purposes of this chapter.(b) Proceeds of bonds issued and sold pursuant to this chapter shall be allocated according to the following schedule:(1) Six billion dollars ($6,000,000,000) for transit capital improvements.(2) Four billion dollars ($4,000,000,000) for intercity, regional, and commuter passenger rail improvements.(3) Three billion five hundred million dollars ($3,500,000,000) for local street and road maintenance, safety, rehabilitation, and active transportation projects, including micromobility and station area improvements.(4) Three billion dollars ($3,000,000,000) for zero-emission vehicle investments, including rolling stock, battery electric technology vehicles, and hydrogen technology vehicles.(5) Two billion five hundred million dollars ($2,500,000,000) for transportation freight infrastructure improvements, including airport, border, ports, railyards, and trucking depots.(6) One billion dollars ($1,000,000,000) for grade separations and other critical safety improvements. |
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| 91 | 91 | | |
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| 92 | 92 | | |
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| 93 | 93 | | |
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| 94 | 94 | | 8881.4. (a) The proceeds of bonds, excluding those issued in accordance with Section 8881.109, issued and sold pursuant to this chapter shall be deposited in the Safe, Sustainable, Traffic-Reducing Transportation Fund, which is hereby created in the State Treasury. All moneys in the fund, notwithstanding Section 13340, are hereby continuously appropriated without respect to fiscal years for the purposes of this chapter. |
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| 95 | 95 | | |
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| 96 | 96 | | (b) Proceeds of bonds issued and sold pursuant to this chapter shall be allocated according to the following schedule: |
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| 97 | 97 | | |
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| 98 | 98 | | (1) Six billion dollars ($6,000,000,000) for transit capital improvements. |
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| 99 | 99 | | |
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| 100 | 100 | | (2) Four billion dollars ($4,000,000,000) for intercity, regional, and commuter passenger rail improvements. |
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| 101 | 101 | | |
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| 102 | 102 | | (3) Three billion five hundred million dollars ($3,500,000,000) for local street and road maintenance, safety, rehabilitation, and active transportation projects, including micromobility and station area improvements. |
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| 103 | 103 | | |
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| 104 | 104 | | (4) Three billion dollars ($3,000,000,000) for zero-emission vehicle investments, including rolling stock, battery electric technology vehicles, and hydrogen technology vehicles. |
|---|
| 105 | 105 | | |
|---|
| 106 | 106 | | (5) Two billion five hundred million dollars ($2,500,000,000) for transportation freight infrastructure improvements, including airport, border, ports, railyards, and trucking depots. |
|---|
| 107 | 107 | | |
|---|
| 108 | 108 | | (6) One billion dollars ($1,000,000,000) for grade separations and other critical safety improvements. |
|---|
| 109 | 109 | | |
|---|
| 110 | 110 | | Article 2. Transit Capital Improvements8881.20. [reserved] |
|---|
| 111 | 111 | | |
|---|
| 112 | 112 | | Article 2. Transit Capital Improvements |
|---|
| 113 | 113 | | |
|---|
| 114 | 114 | | Article 2. Transit Capital Improvements |
|---|
| 115 | 115 | | |
|---|
| 116 | 116 | | 8881.20. [reserved] |
|---|
| 117 | 117 | | |
|---|
| 118 | 118 | | |
|---|
| 119 | 119 | | |
|---|
| 120 | 120 | | 8881.20. [reserved] |
|---|
| 121 | 121 | | |
|---|
| 122 | 122 | | Article 3. Passenger Rail Improvements8881.30. [reserved] |
|---|
| 123 | 123 | | |
|---|
| 124 | 124 | | Article 3. Passenger Rail Improvements |
|---|
| 125 | 125 | | |
|---|
| 126 | 126 | | Article 3. Passenger Rail Improvements |
|---|
| 127 | 127 | | |
|---|
| 128 | 128 | | 8881.30. [reserved] |
|---|
| 129 | 129 | | |
|---|
| 130 | 130 | | |
|---|
| 131 | 131 | | |
|---|
| 132 | 132 | | 8881.30. [reserved] |
|---|
| 133 | 133 | | |
|---|
| 134 | 134 | | Article 4. Local Streets and Roads and Active Transportation Projects8881.40. [reserved] |
|---|
| 135 | 135 | | |
|---|
| 136 | 136 | | Article 4. Local Streets and Roads and Active Transportation Projects |
|---|
| 137 | 137 | | |
|---|
| 138 | 138 | | Article 4. Local Streets and Roads and Active Transportation Projects |
|---|
| 139 | 139 | | |
|---|
| 140 | 140 | | 8881.40. [reserved] |
|---|
| 141 | 141 | | |
|---|
| 142 | 142 | | |
|---|
| 143 | 143 | | |
|---|
| 144 | 144 | | 8881.40. [reserved] |
|---|
| 145 | 145 | | |
|---|
| 146 | 146 | | Article 5. Zero-Emission Vehicle Investments8881.50. [reserved] |
|---|
| 147 | 147 | | |
|---|
| 148 | 148 | | Article 5. Zero-Emission Vehicle Investments |
|---|
| 149 | 149 | | |
|---|
| 150 | 150 | | Article 5. Zero-Emission Vehicle Investments |
|---|
| 151 | 151 | | |
|---|
| 152 | 152 | | 8881.50. [reserved] |
|---|
| 153 | 153 | | |
|---|
| 154 | 154 | | |
|---|
| 155 | 155 | | |
|---|
| 156 | 156 | | 8881.50. [reserved] |
|---|
| 157 | 157 | | |
|---|
| 158 | 158 | | Article 6. Transportation Freight Infrastructure Improvements8881.60. [reserved] |
|---|
| 159 | 159 | | |
|---|
| 160 | 160 | | Article 6. Transportation Freight Infrastructure Improvements |
|---|
| 161 | 161 | | |
|---|
| 162 | 162 | | Article 6. Transportation Freight Infrastructure Improvements |
|---|
| 163 | 163 | | |
|---|
| 164 | 164 | | 8881.60. [reserved] |
|---|
| 165 | 165 | | |
|---|
| 166 | 166 | | |
|---|
| 167 | 167 | | |
|---|
| 168 | 168 | | 8881.60. [reserved] |
|---|
| 169 | 169 | | |
|---|
| 170 | 170 | | Article 7. Grade Separations and Other Critical Safety Improvements8881.70. [reserved] |
|---|
| 171 | 171 | | |
|---|
| 172 | 172 | | Article 7. Grade Separations and Other Critical Safety Improvements |
|---|
| 173 | 173 | | |
|---|
| 174 | 174 | | Article 7. Grade Separations and Other Critical Safety Improvements |
|---|
| 175 | 175 | | |
|---|
| 176 | 176 | | 8881.70. [reserved] |
|---|
| 177 | 177 | | |
|---|
| 178 | 178 | | |
|---|
| 179 | 179 | | |
|---|
| 180 | 180 | | 8881.70. [reserved] |
|---|
| 181 | 181 | | |
|---|
| 182 | 182 | | Article 8. Fiscal Provisions8881.100. (a) Bonds in the total amount of twenty billion dollars ($20,000,000,000), not including the amount of any refunding bonds issued in accordance with Section 8881.109, may be issued and sold for the purposes expressed in this chapter and to reimburse the General Obligation Bond Expense Revolving Fund pursuant to Section 16724.5. The bonds, when sold, issued, and delivered, shall be and constitute a valid and binding obligation of the State of California, and the full faith and credit of the State of California is hereby pledged for the punctual payment of both principal of, and interest on, the bonds as the principal and interest become due and payable.(b) The Treasurer shall issue and sell the bonds authorized in subdivision (a) in the amount determined by the committee to be necessary or desirable pursuant to Section 8881.103. The bonds shall be issued and sold upon the terms and conditions specified in a resolution to be adopted by the committee pursuant to Section 16731.8881.101. (a) The bonds authorized by this chapter shall be prepared, executed, issued, sold, paid, and redeemed as provided in the State General Obligation Bond Law, as amended from time to time, and all of the provisions of that law apply to the bonds and to this chapter and are hereby incorporated in this chapter as though set forth in full in this chapter, except that subdivisions (a) and (b) of Section 16727 shall not apply.(b) For purposes of this chapter, the references to committee in the State General Obligation Bond Law shall mean the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created in Section 8881.102, and the references to board in the State General Obligation Bond Law shall mean the Secretary of Transportation.8881.102. (a) Solely for the purpose of authorizing the issuance and sale pursuant to the State General Obligation Bond Law of the bonds authorized by this chapter, the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee is hereby created.(b) The committee consists of the Controller, the Treasurer, the Director of Finance, and the Secretary of Transportation. Notwithstanding any other law, any member may designate a representative to act as that member in the members place for all purposes, as though the member were personally present.(c) The Treasurer shall serve as chairperson of the committee. A majority of the committee may act for the committee.8881.103. The committee shall determine by resolution whether or not it is necessary or desirable to issue and sell bonds authorized pursuant to this chapter in order to carry out the actions specified in this chapter and, if so, the amount of bonds to be issued and sold. Successive issues of bonds may be authorized and sold to carry out those actions progressively, and it is not necessary that all of the bonds authorized to be issued be sold at any one time.8881.104. There shall be collected each year and in the same manner and at the same time as other state revenue is collected, in addition to the ordinary revenues of the state, a sum in an amount required to pay the principal of, and interest on, the bonds becoming due each year. It is the duty of all officers charged by law with any duty in regard to the collection of the revenue to do and perform each and every act that is necessary to collect that additional sum.8881.105. Notwithstanding Section 13340, there is hereby continuously appropriated from the General Fund in the State Treasury, for the purposes of this chapter and without regard to fiscal years, an amount that equals the total of the following:(a) The sum annually necessary to pay the principal of, and interest on, bonds issued and sold pursuant to this chapter, as the principal and interest become due and payable.(b) The sum necessary to carry out Section 8881.107.8881.106. The board may request the Pooled Money Investment Board to make a loan from the Pooled Money Investment Account, in accordance with Section 16312, for the purpose of carrying out this chapter less any amount withdrawn pursuant to Section 8881.107 and not yet returned to the General Fund. The amount of the request shall not exceed the amount of the unsold bonds that the committee has, by resolution, authorized to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to this section and not yet repaid and any amount withdrawn from the General Fund pursuant to Section 8881.107 and not yet returned to the General Fund. The board shall execute any documents required by the Pooled Money Investment Board to obtain and repay the loan. Any amounts loaned shall be deposited in the fund to be allocated by the board in accordance with this chapter.8881.107. For the purposes of carrying out this chapter, the Director of Finance may authorize the withdrawal from the General Fund of an amount not to exceed the amount of the unsold bonds that have been authorized by the committee to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to Section 8881.106 and not yet repaid, and any amount withdrawn from the General Fund pursuant to this section and not yet returned to the General Fund. Any amounts withdrawn shall be deposited in the fund. Any moneys made available under this section shall be returned to the General Fund from proceeds received from the sale of bonds for the purpose of carrying out this chapter.8881.108. All moneys deposited in the fund that are derived from premium and accrued interest on bonds sold pursuant to this chapter shall be reserved in the fund and shall be available for transfer to the General Fund as a credit to expenditures for bond interest, except those amounts derived from premium may be reserved and used to pay the cost of bond issuance before any transfer to the General Fund.8881.109. The bonds issued and sold pursuant to this chapter may be refunded in accordance with Article 6 (commencing with Section 16780) of Chapter 4 of Part 3 of Division 4, which is a part of the State General Obligation Bond Law. Approval by the voters of the state for the issuance of the bonds described in this chapter includes the approval of the issuance of any bonds issued to refund any bonds originally issued under this chapter or any previously issued refunding bonds. Any bond refunded with the proceeds of refunding bonds as authorized by this section may be legally defeased to the extent permitted by law in the manner and to the extent set forth in the resolution, as amended from time to time, authorizing that refunded bond.8881.110. Notwithstanding any other provision of this chapter, or of the State General Obligation Bond Law, if the Treasurer sells bonds pursuant to this chapter that include a bond counsel opinion to the effect that the interest on the bonds is excluded from gross income for federal tax purposes under designated conditions or is otherwise entitled to any federal tax advantage, the Treasurer may maintain separate accounts for the investment of bond proceeds and for the investment of earnings on those proceeds. The Treasurer may use or direct the use of those proceeds or earnings to pay any rebate, penalty, or other payment required under federal law or take any other action with respect to the investment and use of those bond proceeds or earnings required or desirable under federal law to maintain the tax exempt status of those bonds and to obtain any other advantage under federal law on behalf of the funds of this state.8881.111. The proceeds from the sale of bonds authorized by this chapter are not proceeds of taxes as that term is used in Article XIIIB of the California Constitution, and the disbursement of these proceeds is not subject to the limitations imposed by that article. |
|---|
| 183 | 183 | | |
|---|
| 184 | 184 | | Article 8. Fiscal Provisions |
|---|
| 185 | 185 | | |
|---|
| 186 | 186 | | Article 8. Fiscal Provisions |
|---|
| 187 | 187 | | |
|---|
| 188 | 188 | | 8881.100. (a) Bonds in the total amount of twenty billion dollars ($20,000,000,000), not including the amount of any refunding bonds issued in accordance with Section 8881.109, may be issued and sold for the purposes expressed in this chapter and to reimburse the General Obligation Bond Expense Revolving Fund pursuant to Section 16724.5. The bonds, when sold, issued, and delivered, shall be and constitute a valid and binding obligation of the State of California, and the full faith and credit of the State of California is hereby pledged for the punctual payment of both principal of, and interest on, the bonds as the principal and interest become due and payable.(b) The Treasurer shall issue and sell the bonds authorized in subdivision (a) in the amount determined by the committee to be necessary or desirable pursuant to Section 8881.103. The bonds shall be issued and sold upon the terms and conditions specified in a resolution to be adopted by the committee pursuant to Section 16731. |
|---|
| 189 | 189 | | |
|---|
| 190 | 190 | | |
|---|
| 191 | 191 | | |
|---|
| 192 | 192 | | 8881.100. (a) Bonds in the total amount of twenty billion dollars ($20,000,000,000), not including the amount of any refunding bonds issued in accordance with Section 8881.109, may be issued and sold for the purposes expressed in this chapter and to reimburse the General Obligation Bond Expense Revolving Fund pursuant to Section 16724.5. The bonds, when sold, issued, and delivered, shall be and constitute a valid and binding obligation of the State of California, and the full faith and credit of the State of California is hereby pledged for the punctual payment of both principal of, and interest on, the bonds as the principal and interest become due and payable. |
|---|
| 193 | 193 | | |
|---|
| 194 | 194 | | (b) The Treasurer shall issue and sell the bonds authorized in subdivision (a) in the amount determined by the committee to be necessary or desirable pursuant to Section 8881.103. The bonds shall be issued and sold upon the terms and conditions specified in a resolution to be adopted by the committee pursuant to Section 16731. |
|---|
| 195 | 195 | | |
|---|
| 196 | 196 | | 8881.101. (a) The bonds authorized by this chapter shall be prepared, executed, issued, sold, paid, and redeemed as provided in the State General Obligation Bond Law, as amended from time to time, and all of the provisions of that law apply to the bonds and to this chapter and are hereby incorporated in this chapter as though set forth in full in this chapter, except that subdivisions (a) and (b) of Section 16727 shall not apply.(b) For purposes of this chapter, the references to committee in the State General Obligation Bond Law shall mean the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created in Section 8881.102, and the references to board in the State General Obligation Bond Law shall mean the Secretary of Transportation. |
|---|
| 197 | 197 | | |
|---|
| 198 | 198 | | |
|---|
| 199 | 199 | | |
|---|
| 200 | 200 | | 8881.101. (a) The bonds authorized by this chapter shall be prepared, executed, issued, sold, paid, and redeemed as provided in the State General Obligation Bond Law, as amended from time to time, and all of the provisions of that law apply to the bonds and to this chapter and are hereby incorporated in this chapter as though set forth in full in this chapter, except that subdivisions (a) and (b) of Section 16727 shall not apply. |
|---|
| 201 | 201 | | |
|---|
| 202 | 202 | | (b) For purposes of this chapter, the references to committee in the State General Obligation Bond Law shall mean the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee created in Section 8881.102, and the references to board in the State General Obligation Bond Law shall mean the Secretary of Transportation. |
|---|
| 203 | 203 | | |
|---|
| 204 | 204 | | 8881.102. (a) Solely for the purpose of authorizing the issuance and sale pursuant to the State General Obligation Bond Law of the bonds authorized by this chapter, the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee is hereby created.(b) The committee consists of the Controller, the Treasurer, the Director of Finance, and the Secretary of Transportation. Notwithstanding any other law, any member may designate a representative to act as that member in the members place for all purposes, as though the member were personally present.(c) The Treasurer shall serve as chairperson of the committee. A majority of the committee may act for the committee. |
|---|
| 205 | 205 | | |
|---|
| 206 | 206 | | |
|---|
| 207 | 207 | | |
|---|
| 208 | 208 | | 8881.102. (a) Solely for the purpose of authorizing the issuance and sale pursuant to the State General Obligation Bond Law of the bonds authorized by this chapter, the Safe, Sustainable, Traffic-Reducing Transportation Bond Finance Committee is hereby created. |
|---|
| 209 | 209 | | |
|---|
| 210 | 210 | | (b) The committee consists of the Controller, the Treasurer, the Director of Finance, and the Secretary of Transportation. Notwithstanding any other law, any member may designate a representative to act as that member in the members place for all purposes, as though the member were personally present. |
|---|
| 211 | 211 | | |
|---|
| 212 | 212 | | (c) The Treasurer shall serve as chairperson of the committee. A majority of the committee may act for the committee. |
|---|
| 213 | 213 | | |
|---|
| 214 | 214 | | 8881.103. The committee shall determine by resolution whether or not it is necessary or desirable to issue and sell bonds authorized pursuant to this chapter in order to carry out the actions specified in this chapter and, if so, the amount of bonds to be issued and sold. Successive issues of bonds may be authorized and sold to carry out those actions progressively, and it is not necessary that all of the bonds authorized to be issued be sold at any one time. |
|---|
| 215 | 215 | | |
|---|
| 216 | 216 | | |
|---|
| 217 | 217 | | |
|---|
| 218 | 218 | | 8881.103. The committee shall determine by resolution whether or not it is necessary or desirable to issue and sell bonds authorized pursuant to this chapter in order to carry out the actions specified in this chapter and, if so, the amount of bonds to be issued and sold. Successive issues of bonds may be authorized and sold to carry out those actions progressively, and it is not necessary that all of the bonds authorized to be issued be sold at any one time. |
|---|
| 219 | 219 | | |
|---|
| 220 | 220 | | 8881.104. There shall be collected each year and in the same manner and at the same time as other state revenue is collected, in addition to the ordinary revenues of the state, a sum in an amount required to pay the principal of, and interest on, the bonds becoming due each year. It is the duty of all officers charged by law with any duty in regard to the collection of the revenue to do and perform each and every act that is necessary to collect that additional sum. |
|---|
| 221 | 221 | | |
|---|
| 222 | 222 | | |
|---|
| 223 | 223 | | |
|---|
| 224 | 224 | | 8881.104. There shall be collected each year and in the same manner and at the same time as other state revenue is collected, in addition to the ordinary revenues of the state, a sum in an amount required to pay the principal of, and interest on, the bonds becoming due each year. It is the duty of all officers charged by law with any duty in regard to the collection of the revenue to do and perform each and every act that is necessary to collect that additional sum. |
|---|
| 225 | 225 | | |
|---|
| 226 | 226 | | 8881.105. Notwithstanding Section 13340, there is hereby continuously appropriated from the General Fund in the State Treasury, for the purposes of this chapter and without regard to fiscal years, an amount that equals the total of the following:(a) The sum annually necessary to pay the principal of, and interest on, bonds issued and sold pursuant to this chapter, as the principal and interest become due and payable.(b) The sum necessary to carry out Section 8881.107. |
|---|
| 227 | 227 | | |
|---|
| 228 | 228 | | |
|---|
| 229 | 229 | | |
|---|
| 230 | 230 | | 8881.105. Notwithstanding Section 13340, there is hereby continuously appropriated from the General Fund in the State Treasury, for the purposes of this chapter and without regard to fiscal years, an amount that equals the total of the following: |
|---|
| 231 | 231 | | |
|---|
| 232 | 232 | | (a) The sum annually necessary to pay the principal of, and interest on, bonds issued and sold pursuant to this chapter, as the principal and interest become due and payable. |
|---|
| 233 | 233 | | |
|---|
| 234 | 234 | | (b) The sum necessary to carry out Section 8881.107. |
|---|
| 235 | 235 | | |
|---|
| 236 | 236 | | 8881.106. The board may request the Pooled Money Investment Board to make a loan from the Pooled Money Investment Account, in accordance with Section 16312, for the purpose of carrying out this chapter less any amount withdrawn pursuant to Section 8881.107 and not yet returned to the General Fund. The amount of the request shall not exceed the amount of the unsold bonds that the committee has, by resolution, authorized to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to this section and not yet repaid and any amount withdrawn from the General Fund pursuant to Section 8881.107 and not yet returned to the General Fund. The board shall execute any documents required by the Pooled Money Investment Board to obtain and repay the loan. Any amounts loaned shall be deposited in the fund to be allocated by the board in accordance with this chapter. |
|---|
| 237 | 237 | | |
|---|
| 238 | 238 | | |
|---|
| 239 | 239 | | |
|---|
| 240 | 240 | | 8881.106. The board may request the Pooled Money Investment Board to make a loan from the Pooled Money Investment Account, in accordance with Section 16312, for the purpose of carrying out this chapter less any amount withdrawn pursuant to Section 8881.107 and not yet returned to the General Fund. The amount of the request shall not exceed the amount of the unsold bonds that the committee has, by resolution, authorized to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to this section and not yet repaid and any amount withdrawn from the General Fund pursuant to Section 8881.107 and not yet returned to the General Fund. The board shall execute any documents required by the Pooled Money Investment Board to obtain and repay the loan. Any amounts loaned shall be deposited in the fund to be allocated by the board in accordance with this chapter. |
|---|
| 241 | 241 | | |
|---|
| 242 | 242 | | 8881.107. For the purposes of carrying out this chapter, the Director of Finance may authorize the withdrawal from the General Fund of an amount not to exceed the amount of the unsold bonds that have been authorized by the committee to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to Section 8881.106 and not yet repaid, and any amount withdrawn from the General Fund pursuant to this section and not yet returned to the General Fund. Any amounts withdrawn shall be deposited in the fund. Any moneys made available under this section shall be returned to the General Fund from proceeds received from the sale of bonds for the purpose of carrying out this chapter. |
|---|
| 243 | 243 | | |
|---|
| 244 | 244 | | |
|---|
| 245 | 245 | | |
|---|
| 246 | 246 | | 8881.107. For the purposes of carrying out this chapter, the Director of Finance may authorize the withdrawal from the General Fund of an amount not to exceed the amount of the unsold bonds that have been authorized by the committee to be sold for the purpose of carrying out this chapter, excluding any refunding bonds authorized pursuant to Section 8881.109, less any amount loaned pursuant to Section 8881.106 and not yet repaid, and any amount withdrawn from the General Fund pursuant to this section and not yet returned to the General Fund. Any amounts withdrawn shall be deposited in the fund. Any moneys made available under this section shall be returned to the General Fund from proceeds received from the sale of bonds for the purpose of carrying out this chapter. |
|---|
| 247 | 247 | | |
|---|
| 248 | 248 | | 8881.108. All moneys deposited in the fund that are derived from premium and accrued interest on bonds sold pursuant to this chapter shall be reserved in the fund and shall be available for transfer to the General Fund as a credit to expenditures for bond interest, except those amounts derived from premium may be reserved and used to pay the cost of bond issuance before any transfer to the General Fund. |
|---|
| 249 | 249 | | |
|---|
| 250 | 250 | | |
|---|
| 251 | 251 | | |
|---|
| 252 | 252 | | 8881.108. All moneys deposited in the fund that are derived from premium and accrued interest on bonds sold pursuant to this chapter shall be reserved in the fund and shall be available for transfer to the General Fund as a credit to expenditures for bond interest, except those amounts derived from premium may be reserved and used to pay the cost of bond issuance before any transfer to the General Fund. |
|---|
| 253 | 253 | | |
|---|
| 254 | 254 | | 8881.109. The bonds issued and sold pursuant to this chapter may be refunded in accordance with Article 6 (commencing with Section 16780) of Chapter 4 of Part 3 of Division 4, which is a part of the State General Obligation Bond Law. Approval by the voters of the state for the issuance of the bonds described in this chapter includes the approval of the issuance of any bonds issued to refund any bonds originally issued under this chapter or any previously issued refunding bonds. Any bond refunded with the proceeds of refunding bonds as authorized by this section may be legally defeased to the extent permitted by law in the manner and to the extent set forth in the resolution, as amended from time to time, authorizing that refunded bond. |
|---|
| 255 | 255 | | |
|---|
| 256 | 256 | | |
|---|
| 257 | 257 | | |
|---|
| 258 | 258 | | 8881.109. The bonds issued and sold pursuant to this chapter may be refunded in accordance with Article 6 (commencing with Section 16780) of Chapter 4 of Part 3 of Division 4, which is a part of the State General Obligation Bond Law. Approval by the voters of the state for the issuance of the bonds described in this chapter includes the approval of the issuance of any bonds issued to refund any bonds originally issued under this chapter or any previously issued refunding bonds. Any bond refunded with the proceeds of refunding bonds as authorized by this section may be legally defeased to the extent permitted by law in the manner and to the extent set forth in the resolution, as amended from time to time, authorizing that refunded bond. |
|---|
| 259 | 259 | | |
|---|
| 260 | 260 | | 8881.110. Notwithstanding any other provision of this chapter, or of the State General Obligation Bond Law, if the Treasurer sells bonds pursuant to this chapter that include a bond counsel opinion to the effect that the interest on the bonds is excluded from gross income for federal tax purposes under designated conditions or is otherwise entitled to any federal tax advantage, the Treasurer may maintain separate accounts for the investment of bond proceeds and for the investment of earnings on those proceeds. The Treasurer may use or direct the use of those proceeds or earnings to pay any rebate, penalty, or other payment required under federal law or take any other action with respect to the investment and use of those bond proceeds or earnings required or desirable under federal law to maintain the tax exempt status of those bonds and to obtain any other advantage under federal law on behalf of the funds of this state. |
|---|
| 261 | 261 | | |
|---|
| 262 | 262 | | |
|---|
| 263 | 263 | | |
|---|
| 264 | 264 | | 8881.110. Notwithstanding any other provision of this chapter, or of the State General Obligation Bond Law, if the Treasurer sells bonds pursuant to this chapter that include a bond counsel opinion to the effect that the interest on the bonds is excluded from gross income for federal tax purposes under designated conditions or is otherwise entitled to any federal tax advantage, the Treasurer may maintain separate accounts for the investment of bond proceeds and for the investment of earnings on those proceeds. The Treasurer may use or direct the use of those proceeds or earnings to pay any rebate, penalty, or other payment required under federal law or take any other action with respect to the investment and use of those bond proceeds or earnings required or desirable under federal law to maintain the tax exempt status of those bonds and to obtain any other advantage under federal law on behalf of the funds of this state. |
|---|
| 265 | 265 | | |
|---|
| 266 | 266 | | 8881.111. The proceeds from the sale of bonds authorized by this chapter are not proceeds of taxes as that term is used in Article XIIIB of the California Constitution, and the disbursement of these proceeds is not subject to the limitations imposed by that article. |
|---|
| 267 | 267 | | |
|---|
| 268 | 268 | | |
|---|
| 269 | 269 | | |
|---|
| 270 | 270 | | 8881.111. The proceeds from the sale of bonds authorized by this chapter are not proceeds of taxes as that term is used in Article XIIIB of the California Constitution, and the disbursement of these proceeds is not subject to the limitations imposed by that article. |
|---|
| 271 | 271 | | |
|---|
| 272 | 272 | | SEC. 2. Section 1 of this act shall take effect upon the approval by the voters of the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026, as set forth in Section 1 of this act. |
|---|
| 273 | 273 | | |
|---|
| 274 | 274 | | SEC. 2. Section 1 of this act shall take effect upon the approval by the voters of the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026, as set forth in Section 1 of this act. |
|---|
| 275 | 275 | | |
|---|
| 276 | 276 | | SEC. 2. Section 1 of this act shall take effect upon the approval by the voters of the Safe, Sustainable, Traffic-Reducing Transportation Bond Act of 2026, as set forth in Section 1 of this act. |
|---|
| 277 | 277 | | |
|---|
| 278 | 278 | | ### SEC. 2. |
|---|
| 279 | 279 | | |
|---|
| 280 | 280 | | SEC. 3. Section 1 of this act shall be submitted to the voters at the November 3, 2026 statewide general election in accordance with provisions of the Government Code and the Elections Code governing the submission of a statewide measure to the voters. |
|---|
| 281 | 281 | | |
|---|
| 282 | 282 | | SEC. 3. Section 1 of this act shall be submitted to the voters at the November 3, 2026 statewide general election in accordance with provisions of the Government Code and the Elections Code governing the submission of a statewide measure to the voters. |
|---|
| 283 | 283 | | |
|---|
| 284 | 284 | | SEC. 3. Section 1 of this act shall be submitted to the voters at the November 3, 2026 statewide general election in accordance with provisions of the Government Code and the Elections Code governing the submission of a statewide measure to the voters. |
|---|
| 285 | 285 | | |
|---|
| 286 | 286 | | ### SEC. 3. |
|---|
| 287 | 287 | | |
|---|
| 288 | 288 | | SEC. 4. The provisions of this act are severable. If any provision of this act or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application. |
|---|
| 289 | 289 | | |
|---|
| 290 | 290 | | SEC. 4. The provisions of this act are severable. If any provision of this act or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application. |
|---|
| 291 | 291 | | |
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| 292 | 292 | | SEC. 4. The provisions of this act are severable. If any provision of this act or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application. |
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| 293 | 293 | | |
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| 294 | 294 | | ### SEC. 4. |
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