Transportation budget trailer bill.

Existing law authorizes the state board under certain circumstances to impose a fee to cover the cost of its regulation of specified activities.

This bill would authorize the state board to impose a fee on any entity regulated by the state board under the Transport Refrigeration Unit Regulation for the state board's reasonable regulatory costs associated with the implementation, administration, and enforcement of that regulation, as specified. The bill would require the revenues collected from the fee to be deposited into the Certification and Compliance Fund and to be expended, upon appropriation by the Legislature, for those costs.

(2) Existing law requires all moneys, except for fines and penalties, collected by the state board as part of a market-based compliance mechanism to be deposited into the Greenhouse Gas Reduction Fund and to be available upon appropriation. Existing law continuously appropriates specified portions of the annual proceeds in the fund to various programs, including 5% for the Low Carbon Transit Operations Program, which is administered by the Department of Transportation and provides operating and capital assistance for transit agencies to reduce the emissions of greenhouse gases and improve mobility. Existing law requires the Controller to allocate funding under the program for the 2019–20 to 2022–23, inclusive, fiscal years to recipient transit agencies pursuant to specified individual operator ratios published by the Controller.

This bill would extend the application of those individual operator ratios to the allocation of that funding through the 2025–26 fiscal year.

(3) Under existing law, public transportation systems funded under the Mills-Alquist-Deddeh Act that provide charter bus services are required to establish rates for those services that, among other things, are either at least equal to the average of the 3 lowest current rates charged by private charter bus carriers operating charters in the same service area of the system or at least equal to the fully allocated cost of each charter operated, as specified.

This bill would revise that rate requirement to instead require rates to be established that are either at least equal to the average of the 3 lowest current rates charged by private charter bus carriers operating charters in the same service area of the system or at least equal to the marginal cost of each charter operated, as specified.

(4) Existing law authorizes the Los Angeles County Metropolitan Transportation Authority, as the successor entity to the Southern California Rapid Transit District, to operate charter bus service, subject to certain limitations.

This bill would authorize the authority to provide charter bus service for the 2026 FIFA World Cup during the period from June 1, 2026, to July 31, 2026, inclusive, in the County of Los Angeles, subject to certain conditions, and would also authorize other public transportation providers, operating under contract with the authority, to provide charter bus services in the County of Los Angeles for the 2026 FIFA World Cup, as specified. The bill would also exempt the operation of these charter bus services from certain requirements applicable to charter bus services performed by public transportation systems receiving funding under the Mills-Alquist-Deddeh Act if the operator establishes rates for those services that meet specified requirements.

(5) Existing law authorizes the Santa Clara Valley Transportation Authority and the San Mateo County Transit District to operate charter bus service, subject to certain limitations.

This bill would authorize those entities and any other public transportation operator providing public transit services in any portion of the greater San Francisco Bay area, as defined, to provide charter bus service for the 2026 FIFA World Cup during the period from June 1, 2026, to July 31, 2026, inclusive, subject to certain conditions. The bill would also exempt the operation of these charter bus services from certain requirements applicable to charter bus services performed by public transportation systems receiving funding under the Mills-Alquist-Deddeh Act if the operator establishes rates for those services that meet specified requirements.

(6) Existing law authorizes the Department of Motor Vehicles to establish a pilot program to evaluate the use of optional mobile or digital alternatives to driver's licenses and identification cards, subject to certain requirements, including, but not limited to, the voluntary participation of persons in the program and a limitation on the percentage of licensed drivers who can participate in the program.

This bill would expand the percentage of licensed drivers who can participate in the program from 5% to 15%.

(7) Existing law authorizes the Department of Transportation, upon adoption of an ordinance or resolution by certain cities, to issue a special permit to the operator of a vehicle, combination of vehicles, or mobile equipment, permitting the operation and movement of the vehicle, combination, or equipment, and its load, on specified portions of state highways, if the vehicle, combination, or equipment, meets specified criteria.

This bill would additionally authorize the department to issue the above-described special permit to operate and move a vehicle, combination of vehicles, or mobile equipment, and its load, on the 1.7-mile portion of State Route 185 that is between High Street and Hegenberger Road, known as International Boulevard in the City of Oakland, if the vehicle, combination, or equipment meets that specified criteria. The bill would authorize the department to issue those permits until December 31, 2031, or until an alternate truck route to San Leandro Street becomes available, as specified. The bill would require the City of Oakland to report certain data to the Legislature and the Department of Transportation on or before January 1, 2031. By increasing the duties of a city, the bill would impose a state-mandated local program.

(8) The Administrative Procedure Act sets forth the requirements for the adoption, publication, review, and implementation of regulations by state agencies.

Existing law, for the 2025–26 fiscal year, appropriates $132,175,000 from the Air Pollution Control Fund to the State Air Resources Board when funds are available from the Hino Consent Decree, to be administered through the Hybrid and Zero-Emission Truck and Bus Voucher Incentive Project, as provided.

This bill would exempt from the requirements of the Administrative Procedure Act guidelines or other standards adopted and used in administering those appropriated moneys.

(9) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.

(10) Existing law establishes the Air Pollution Control Fund for the California Air Resources Board to carry out its duties and functions.

This bill would appropriate, for the 2025–26 fiscal year, $1,000 from the Air Pollution Control Fund to the California Air Resources Board for the Transport Refrigeration Unit Program.

(11) This bill would declare that it is to take effect immediately as a bill providing for appropriations related to the Budget Bill.