LAO 2006-07 Budget Analysis: Transportation Issue-By-Issue TOC Analysis of the 2006-07 Budget Bill
Transportation Issue-By-Issue Contents

Overview

Expenditure Proposal and Trends

Spending by Major Program

Major Budget Changes

Crosscutting Issues

Funding for Transportation Programs

Funding Condition Improved Substantially In Current Year

Bay Bridge Funding Settled; Demand on State Funds Certain

New Federal Transportation Act Provides Funding Through 2009

2006-07 Budget Proposals

Budget Proposals Boost Short-Term Funding

Allocation of Proposed Loan Repayment Does Not Align With Statute

Strategic Growth Plan

Key Elements for Transportation

Implications of Strategic Growth Plan On Long-Term State Transportation Funding

Bonds Provide One-Time Funding Increase

Administration Has Failed to Demonstrate Projects’ Congestion Benefits

Revenue Bonds Would Negatively Impact Future Highway Maintenance and Rehabilitation

Proposal Improves Transportation Funding Stability; But Removes a Tool to Close the State’s Budget Gap

Analyst’s Assessment of Governor’s Proposals

Legislature Should Assess Funding Requirements; Enhance Funding Stability

Long-Range Funding Requirement Should Be Assessed

How Should Stable Funding Be Provided?

Conclusion

Departmental Issues

Department of Transportation (2660)

Insurance Pilot Includes Too Many Projects, Estimated Savings Uncertain

Department Should Report on Success of Insurance Pilot

Governor’s Plan Would Further Reduce Investment in Highway Maintenance

Governor’s Budget Omits Pavement Maintenance Provision

Estimated Capital Outlay Expenditures Likely to Increase

Capital Outlay Support Request Will Be Revised

High-Speed Rail Authority (2665)

Governor Proposes to Indefinitely Postpone High-Speed Rail Bond

California Highway Patrol (2720)

Enhanced Radio System Proposed to Improve Communications

Justification for Additional Wireless 911 Staffing Inadequate

Costs of Additional Staffing for Road Patrol Overestimated

Department of Motor Vehicles (2740)

Registration Suspension Program Will Not Be in Place on Time

Real ID Act of 2005 Will Significantly Increase DMV Costs