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Item 16 - Assembly Bill 2438 (Friedman) State Trasportation Funding Alignment

Yucaipa City Council
June 27, 2022

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Item 16 - Assembly Bill 2438 (Friedman) State Trasportation Funding Alignment
Meeting
June 27, 2022
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Yucaipa City Council
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Text extracted from the city's file for reading and search. Open the original on coydocs.yucaipa.gov. That file is the official record.

Agenda Item No. 16

CITY OF YUCAIPA

AGENDA REPORT
TO: Honorable Mayor and City Council
FROM: Raymond A. Casey, City Manager
Shane Massoud, Public Information Officer/Grant Coordinator FOR: City Council Meeting of June 27, 2022
SUBJECT: Assembly Bill 2438 (Friedman) — State Transportation Funding Alignment with Greenhouse Gas Reduction Goals.

RECOMMENDATION:

That City Council review and approve a letter of opposition for Assembly Bill 2438 (Friedman), the State Transportation Funding Alignment with Greenhouse Gas Reduction Goals, which would require all transportation projects funded at the local or state level to align with the California Transportation Plan (CTP) and the Climate Action Plan for Transportation Infrastructure adopted by the California State Transportation Agency.

BACKGROUND:

In 2017, Senate Bill (SB) 1 by Senator Jim Beall, passed which increased several taxes and fees to raise the equivalent of roughly $52.4 billion over ten years in new transportation revenues, adjusted for inflation every year, and directs the funding to be used towards deferred maintenance on the state highways system, local streets and roads, as well as to improve the state's trade corridors, transit, and active transportation facilities.

SB 1 provides funding for projects on the state highway system and other transportation improvements through state programs such as the State Highway Operation and Protection Program (SHOPP), SB 1 competitive programs (Solutions for Congested Corridors Program (SCCP), Trade Corridor Enhancement Program (TCEP) and the Local Partnership Program). SB 1 also provides funds to cities and counties through the Road Maintenance and Rehabilitation Program (commonly known as the Local Streets and Roads Program), to support the improvements of local streets, roads, and other transportation facilities. Additionally, SB 1 also provides funding for projects on the state highway system, intercity rail, and regional highway and transit improvements, under the State Transportation Improvement Program (STIP), which consists of two broad sub -programs: the Regional Improvement Program (RIP) and the Interregional Improvement Program (IIP).
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DISCUSSION:

Assembly Bill 2438 (AB), authored by the Assembly Transportation Committee Chair, Assemblymember Laura Friedman (D-Glendale), would require all funds apportioned or awarded from the Local Streets and Roads Program, State Highway Operation and Protection Program (SHOPP), State Transportation Improvement Program (STIP), and the SB 1 competitive programs (Solutions for Congested Corridor Program, Trade Corridor Enhancement Program, and Local Partnership Program) to be consistent with the California Transportation Plan, Climate Action Plan for Transportation Infrastructure (CAPTI), and California's AB 32 and SB 375 greenhouse gas reduction standards.

The California Transportation Plan (CTP) is developed by Caltrans and updated every five years.

The CPT provides a common framework for guiding transportation decisions and investments by all levels of government and the private sector that meet California's multimodal needs while reducing greenhouse gas emissions. Additionally, the Climate Action Plan for Transportation Infrastructure, which builds on executive orders signed by Governor Newsom in 2019 and 2020, details how the state recommends investing billions of discretionary transportation dollars annually to aggressively combat and adapt to climate change while supporting public health, safety, and equity goals. The California State Transportation Agency adopted the CAPTI on July 12, 2021.

AB 32, the California Global Warming Solutions Act of 2006, established California's first greenhouse gas reduction target and called on the state to reduce emissions to 1990 levels by 2020. AB 32 also required CARB to develop a Scoping Plan, a suite of measures aimed at achieving that goal. SB 375 (Chapter 728 of the Statutes of 2008) directs the California Air Resources Board to set regional targets for reducing greenhouse gas emissions from the automobile and light -duty truck sector for 2020 and 2035. Additionally, SB 375 requires Metropolitan Planning Organizations (MPOs) to create Sustainable Communities Strategies in conjunction with their Regional Transportation Plans.

AB 2438 would affect SB 1 (Chapter 5, 2017 statutes), programs and transportation funds approved by the Legislature and upheld by the voters against a referendum that sought to repeal it (Proposition 6, 2018). CAPTI was not approved by the Legislature or by the voters but was instead adopted by an administrative agency. AB 2438 could, therefore, limit and constrain the original intent for these SB 1's statutory programs by administrative action. Additionally, when the regional transportation agencies, MPOs, and stakeholder organizations, supported and advocated for SB 1 to provide new and stable revenue sources for road safety improvements, expand transit, invest in goods movement infrastructure and grade separations, and repair local streets, highways, and bridges, there were promises that SB 1 funds would only be used for transportation -related purposes and that these funds would not be held hostage for unrelated policy priorities, regardless of how important those other priorities are. Unfortunately, AB 2438 would void that agreement by adding new criteria for SB 1 funded transportation programs, and like other Statewide programs would be prioritized administratively, likely favoring highly urbanized areas at the expense of rural and suburban communities, like Yucaipa.

Secondly, AB 2438 would require the California State Transportation Agency, Caltrans, and the California Transportation Commission, in consultation with the State Air Resources Board and the Strategic Growth Council, to jointly prepare a report to the Legislature on or before January -130-

1, 2025, that comprehensively reevaluates transportation program funding levels, projects, and eligibility criteria with the objective of aligning the largest funding programs with the goals set forth in the above -described plans and away from projects that increase vehicle capacity.

In conclusion, City Staff is recommending that City Council review and approve a letter of opposition for Assembly Bill 2438 (Friedman), the State Transportation Funding Alignment with Greenhouse Gas Reduction Goals.

ATTACHMENTS:

Assembly Floor Analysis
Executive Order N-19-19
Executive Order N-79-20
Letter of Opposition
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AB 2438

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ASSEMBLY THIRD READING
AB 2438 (Friedman)
As Amended March 21, 2022
Majority vote

SUMMARY
Requires specified state transportation funding programs to align with state climate plans and goals and requires the California Transportation Plan (CTP) to be fiscally constrained.

Major Provisions
1) Requires the following transportation programs' goals and guidelines:
a) State Highway Operation and Protection Program (SHOPP) b) State Transportation Improvement Program (STIP)
c) Solutions for Congested Corridor Program (SCCP)
d) Trade Corridor Enhancement Program (TCEP)
e) Local Partnership Program (LPP)
f) Local Streets and Roads Program (LSR)
Align with the CTP, the Climate Action Plan for Transportation Infrastructure (CAPTI), California Global Warming Solutions Act of 2006, and SB 375 (Steinberg), Chapter 728, Statutes of 2008.
2) Requires the California State Transportation Agency (Ca1STA) the Department of Transportation (Caltrans), the California Transportation Commission (CTC), in consultation with the State Air Resources Board (ARB), and the Strategic Growth Council (SGC), to jointly prepare and submit a report to the Legislature on or before January 1, 2025 evaluating transportation program funding levels, projects, and eligibility criteria with the objective of aligning the largest funding programs with the CTP, CAPTI, and greenhouse gas emissions reduction standards set forth in the California Global Warming Solutions Act of 2006 and SB 375 (Steinberg), and away from projects that increase vehicle capacity. 3) Requires the CTP to include a financial element that summarizes its cost of implementation constrained by a realistic projection of available revenues, as well as recommendations for allocation of funds.

COMMENTS
Over $30 billion (federal, state, and local funds combined) is spent annually in California maintaining and expanding transportation infrastructure. These funds are allocated through various plans and projects that are implemented by federal, state, regional and local agencies.

Decisions about how to spend billions in federal, state, and local transportation funds are critical to improving Californians' access to social and economic opportunities, as well as to helping the state meet its climate goals.
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AB 2438

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Nearly 40% of California's greenhouse gas (GHG) emissions are generated by the transportation sector, which includes both the light -duty (passenger) and medium- and heavy-duty fleets.

Heavy-duty diesel trucks also contribute to unhealthy levels of ozone, inhalable particulate matter, carbon monoxide, NOx, and sulfur dioxide, affecting local air quality. Transportation sources account for roughly 80% of smog -forming emissions and 90% of diesel particulate emissions in California.

Within the transportation sector, measures to reduce GHG emissions include requiring the use of low carbon fuels, cleaner vehicles, and strategies to promote sustainable communities and improved transportation choices that reduce growth in the number of vehicle miles traveled (VMT). California has targeted a 15% reduction in VMT by 2050 as part of its larger strategy to reduce GHG emissions 80% from 1990 levels by 2050. According to the U.S. Federal Highway Administration December 2021 Traffic Volume Trends data, after a sharp drop in 2020, total VMT and per capita VMT surged back to pre -pandemic levels in 2021.

In July 2021 Ca1STA adopted CAPTI, which details how the state recommends investing billions of discretionary transportation dollars annually to aggressively combat and adapt to climate change while supporting public health, safety, and equity. In August 2021, the CTC endorsed CAPTI's framework and strategies and adopted STEP guidelines which require state planning and investment be guided by climate preparedness, reduce GHG emissions, uncertain climate impacts, protecting vulnerable populations, and natural infrastructure solutions.

With these stated goals, the 2022 STIP will program approximately $2.1 billion over FY 2025-26 and 2026-27. Of this funding, approximately $350 million is recommended for widening, expressways or HOV projects.

At the March 2022 CTC meeting, changes to the SHOPP guidelines were presented, which include a requirement that, "Caltrans shall take Climate Action Plan for Transportation Infrastructure (CAPTI) strategies as well as the Caltrans Equity Statement into consideration in the development and implementation of the State Highway System Management Plan." New Federal Funding Intended to Help State Combat the Climate Crisis. California is preparing to receive approximately $40 billion over five years from the federal government's Infrastructure Investment and Jobs Act (IIJA). A December 2021 memo from the Federal Highway Administration (FHWA) on IIAJ implementation states, "Projects to be prioritized include those that maximize the existing right-of-way for accommodation of non -motorized modes and transit options that increase safety, accessibility, and/or connectivity ... improve the condition and safety of existing transportation infrastructure within the right-of-way before advancing projects that add new general purpose travel lanes serving single occupancy vehicles." This is to say, the Biden Administration prioritizes climate, equity, and mode shift equally with road maintenance and rehabilitation.

AB 285 Report Finds Most Transportation Programs' Are Not Well Aligned with State Climate Goals. The Strategic Growth Council's California Transportation Assessment Report, pursuant to AB 285 (Friedman), Chapter 605, Statutes of 2019, includes findings and provides recommendations to help the state align transportation funding with state climate goals. The report focused on reviewing programs that only make up —2% of transportation funding expenditures —the Sustainable Transportation Planning Grant program (STPG), Transformative Climate Communities (TCC), Affordable Housing and Sustainable Communities (AHSC), Transit and Intercity Rail Capital Program (TIRCP), and Low -Carbon Transit operations -133-

AB 2438

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Program (LCTOP). STPG, TCC, and TIRCP were all found to have a high levels of alignment with state goals and particularly with climate adaptation goals, reducing GHG emissions and VMT, transitioning away from fossil fuels, and improving air quality to enable healthy vibrant communities.

The AB 285 Report finds that older funding programs, (SHOPP, Local Transportation Fund, and ITIP), tend to be in higher alignment with previous state goals that do not consider climate change. The study finds that the programs that receive the largest funding appropriations, SHOPP, Local Transportation Fund, and ITIP, meet the fewest of the identified climate goals. In 2021, a large share of transportation funding is more responsive to an outmoded plan with a horizon of 2025, compared to a newer plan with a horizon year of 2050.

As part of the AB 285 work, the University of California Institute of Transportation Studies (UC ITS) published five white papers, one of which is titled, "Examination of Key Transportation Funding Programs in California and Their Context". UC ITS' research found that 50% of projects funded within SHOPP had no alignment to any of the state's 33 goals related to climate change.

This bill incorporates some of the policy recommendations included in the AB 285 Report, including:
1) Redirect Funds to Newer Programs or Add New Goals to Old Programs: This bill adds GHG reduction goals included in the CTP, CAPTI, AB 32, and SB 375 objectives into the goals and guidelines of the SHOPP, STIP, SCCP, TCEP, LPP, and LSR. The AB 285 Report recommends the Legislature direct more funds to newer programs that meet a broader set of contemporary goals or add additional goals and requirements to older programs, such as SHOPP, LTF, and ITIP.
2) Comprehensively Reevaluate Program Evaluation Criteria: This bill requires Ca1STA, Caltrans, CTC, ARB, and SGC to evaluate transportation funding levels, projects, and eligibility criteria with the objective of aligning the largest funding programs with the CTP, CAPTI, and the state's GHG emission reduction goals. The AB 285 Report suggests, "With a better understanding of how state funds are pursued, and how state funding criteria shape project formation, the state would be empowered to design programs in ways that potentially achieve outcomes that better align with the state's goals." 3) Updating and better alignment among existing state and regional plans fiscally constrain CTP): This bill requires the CTP to include a financial element that summarizes the cost of plan implementation constrained by a realistic projection of available revenues, as well as recommendations for allocation of funds.

Work to be done: This bill codifies GHG reduction goals and strategies to address climate change that the state and federal government have prioritized for transportation planning, funding, and land use. This bill does not change the intent or funding levels of any transportation funding program. SGC is hosting a series of stakeholder working group sessions this spring based on recommendations in the AB 285 report. This bill should incorporate feedback from those sessions.

According to the Author
"AB 2438 requires the state's largest transportation funding sources to align with the state's climate plans and goals, something we have been trying to accomplish at the state and federal -134-

AB 2438

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level. We cannot ignore that a $30 billion sector of state funding is directly tied to 40% of California's GHG emissions. It is time for California to reassess our transportation funding and planning system to put people before the car."
Arguments in Support
ClimatePlan states, "Transportation investment dollars cannot continue to fund projects that increase vehicle miles traveled (VMT) and greenhouse gas (GHG) emissions. It is time that we integrate our climate goals and transportation planning investment by setting clear direction and guidelines outlined in the AB 285 report."
Arguments in Opposition
Transportation California states, "...this bill means to leverage existing and already insufficient funding that is primarily intended to maintain, rehabilitate, and make safer our state highways, local streets and roads, bridges, and bicycle and pedestrian facilities for climate purposes. While the transportation industry recognizes that the transportation sector has a significant role to play in meeting the state's ambitious climate goals, AB 2438 is a bridge too far."

FISCAL COMMENTS
According to the Assembly Appropriations Committee:

This bill requires Caltrans to include, as part of the State Transportation Plan, a fiscally constrained financial element, which the plan currently does not include. To do so will entail significant cost. For its part, Caltrans estimates it will need three permanent positions —two senior transportation planners ($170,000 annually, each) and one senior transportation engineer ($232,000 annually) — as well as a consultant contract of $1 million per year. (Special fund.) In addition, Caltrans, CaISTA and CTC will need to prepare a report that comprehensively reevaluates transportation program funding levels, projects and eligibility criteria with the objective of aligning the largest funding programs with the goals set forth in the CAPTI and away from projects that increase vehicle capacity. Caltrans estimates the cost to do so will be $1 million annually over the course of two years. Ca1STA estimates it will need one position, at a cost of about $170,000, to help prepare the report. (Special fund.) Costs to ARB and SGC to consult with the state transportation entities should be minor and absorbable.

VOTES
ASM TRANSPORTATION: 8-4-3
YES: Friedman, Berman, Kalra, Lee, Bloom, Nazarian, Ward, Wicks NO: Fong, Cunningham, Davies, Nguyen
ABS, ABST OR NV: Daly, Gipson, O'Donnell
YES: Holden, Bryan, Calderon, Carrillo, Mike Fong, Gabriel, Eduardo Garcia, Levine, Quirk, Robert Rivas, Akilah Weber, Wilson
NO: Bigelow, Megan Dahle, Davies, Fong
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AB 2438

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UPDATED
VERSION: March 21, 2022
CONSULTANT: Julia Kingsley / TRANS. / (916) 319-2093 FN: 0002726 -136-

EXECUTIVE DEPARTMENT

STATE OF CALIFORNIA
EXECUTIVE ORDER N-19-19
WHEREAS California is proof that a bold climate agenda is good for the economy, for workers, for health and for our future, as evidenced by our state having achieved record economic growth while reaching some of the strongest climate goals in the world; and
WHEREAS in the face of inaction on climate change from the federal government, California is a global leader in climate change mitigation efforts through bold climate goals and actions, as well as leadership in the US Climate Alliance and Under2 Coalition, using the state's power as the fifth largest economy in the world to drive positive action; and
WHEREAS California has ambitious and essential climate goals to transition to a healthier, more sustainable and more inclusive economy, including:
reducing greenhouse gas emissions 40 percent below 1990 levels by 2030; providing 100 percent of the state's electricity from clean energy sources by 2045; reducing methane emissions and hydrofluorocarbon gases by 40 percent; and adding five million zero -emission vehicles to California's roads by 2030; and WHEREAS California has made substantial, measurable progress on many of the goals enumerated above, but in recent years, direct tailpipe emission; from cars, ships, diesel trains, airplanes, and other transportation sources have remained a stubborn driver of greenhouse gas emissions, totaling 40.1 percent of all greenhouse gas emissions statewide; and
WHEREAS the California Air Resources Board has a fifty-year history of leading the globe in addressing harmful pollution through innovative air pollution control standards, including the nation's first NOx emissions standards for motor vehicles; and
WHEREAS California's renewable energy targets have spurred innovation and private investment in new technologies with California leading the nation in clean technology patents and bringing in more than 50 percent of all clean energy investment in the nation; and
WHEREAS the state has made significant progress in lowering greenhouse gas emissions and mitigating climate risk in California's own state government operations and public schools; and
WHEREAS achieving California's climate goals will require concerted commitment and partnership by government, the private sector, and California residents.

NOW, THEREFORE, I, GAVIN NEWSOM, Governor of the State of California, by virtue of the power and authority vested in me by the Constitution and the statutes of the State of California, do hereby issue the following Order to become effective immediately to require that every aspect of state government redouble its efforts to reduce greenhouse gas emissions and mitigate the impacts of climate change while building a sustainable, inclusive economy.

1. Ta leverage the state's $700 billion investment portfolio to advance California's climate leadership, protect taxpayers, and support the creation of high -road jobs, the Department of Finance shall create a Climate Investment Framework.
a. The Framework shall include a proactive investment strategy for the state's pension funds that reflects the increased risks to the economy and physical environment due to climate change. b. The Framework shall provide the timeline and criteria to shift investments to companies and industry sectors that have greater growth potential based on their focus of reducing carbon emissions and adapting to the impacts of climate change, including but not limited to investments in carbon -neutral, carbon -negative, climate resilient, and clean energy
technologies.
c. The Framework shall align with the fiduciary responsibilities of the California Public Employees' Retirement System, California State Teachers' Retirement System and the University of California Retirement Program.
d. The Department of Finance shall consult with the Governor's Office of Planning and Research, and the California Department of Human Resources on the Framework.

2. The State Transportation Agency shall leverage the more than $5 billion in annual state transportation spending for construction, operations, and maintenance to help reverse the trend of increased fuel consumption and reduce greenhouse gas emissions associated with the transportation sector. To accomplish this, the State Transportation Agency, in consultation with the Department of Finance, shall:
a. Align the state's climate goals with transportation spending on planning, programming and mitigation to achieve the
objectives of the state's Climate Change Scoping Plan, where feasible,
b. Reduce vehicle miles traveled by strategically directing discretionary transportation investments in support of housing production near available jobs and in accordance with the state's smart growth principles, as defined in Government Code section 65041.1, and taking public health into account,

c. Reduce congestion through innovative strategies designed to encourage people to shift from cars to other modes of
transportation,
d. Fund transportation options that contribute to the overall health of Californians and reduce greenhouse gas emissions, such as transit, walking, biking and other active modes, and
e. Mitigate increases in transportation costs for lower income Californians.

3. The Department of General Services shall leverage its management and ownership of the state's 14 million square feet in managed buildings, 51,000 vehicles and other physical assets and goods to minimize state government's carbon footprint. To accomplish this, the Department of General Services shall:
a. Maximize reduction of greenhouse gas emissions, including harmful diesel emissions, from the state fleet,
b. Develop and implement sustainable purchasing policies across state agencies that prioritize the purchase of environmentally preferable goods such as more sustainable food and recycled materials, consistent with state climate policies,
c. Reduce greenhouse gas emissions and mitigate climate risk from the slate's owned and future -leased buildings,
d. Manage energy demand to maximize benefits to the grid, and e. Promote zero -emission vehicle purchasing in state and local government fleets.

4. To accelerate progress towards California's goal of five million zero emissions vehicles sales by 2030, the California Air Resources Board shall:
a. Develop new criteria for clean vehicle incentive programs to encourage manufacturers to produce clean, affordable cars, b. Propose new strategies to increase demand in the primary and secondary markets for zero emissions vehicles, and
c. Consider strengthening existing or adopting new regulations to achieve the necessary greenhouse gas reductions from within the transportation sector.

IT IS FURTHER ORDERED that as soon as hereafter possible, this Order shall be filed with the Office of the Secretary of State and that widespread publicity and notice shall be given to this Order.

This Order is not intended to, and does not, create any rights or benefits, substantive or procedural, enforceable at law or in equity, against the State of California, its departments, agencies, or other entities, its officers or employees, or any other person.

IN WITNESS WHEREOF I have hereunto set
my hand and caused the Great Seal of the
Statk of California to be affixed this 20th
dagof SetDtembe12019.

EXECUTIVE DEPARTMENT

STATE OF CALIFORNIA
EXECUTIVE ORDER N-79-20
WHEREAS the climate change crisis is happening now, impacting California in unprecedented ways, and affecting the health and safety of too many Californians; and
WHEREAS we must accelerate our actions to mitigate and adapt to climate change, and more quickly move toward our low -carbon, sustainable and resilient future; and
WHEREAS the COVID-19 pandernic has disrupted the entire transportation sector, bringing a sharp decline in demand for fuels and adversely impacting public transportation; and
WHEREAS as our economy recovers, we must accelerate the transition to a carbon neutral future that supports the retention and creation of high -road, high -quality jobs; and
WHEREAS California's long-term economic resilience requires bold action to eliminate emissions from transportation, which is the largest source of emissions in the State; and
WHEREAS the State must prioritize clean transportation solutions that are accessible to all Californians, particularly those who are low-income or experience a disproportionate share of pollution; and
WHEREAS zero emissions technologies, especially trucks and equipment, reduce both greenhouse gas emissions and toxic air pollutants that disproportionately burden our disadvantaged communities of color, and WHEREAS California is a world leader in manufacturing and deploying zero -emission vehicles and chargers and fueling stations for cars, trucks, buses and freight -related equipment; and
WHEREAS passenger rail, transit, bicycle and pedestrian infrastructure, and micro -mobility options are critical components to the State achieving carbon neutrality and connecting communities, requiring coordination of investments and work with all levels of governments including rail and transit agencies to support these mobility options; and
WHEREAS California's policies have contributed to an on -going reduction in in -state oil extraction, which has declined by over 60 percent since 1985, but demand for oil has not correspondingly declined over the same period of time; and
WHEREAS California is already working to decarbonize the transportation fuel sector through the Low Carbon Fuel Standard, which recognizes the full life cycle of carbon in transportation emissions including transport into the State; and

WHEREAS clean renewable fuels play a role as California transitions to a decarbonized transportation sector; and
WHEREAS to protect the health and safety of our communities and workers the State must focus on the impacts of oil extraction as it transitions away from fossil fuel, by working to end the issuance of new hydraulic fracturing permits by 2024; and
WHEREAS a sustainable and inclusive economic future for California wrill require retaining and creating high -road, high -quality jobs through sustained engagement with communities, workers and industries in changing and growing industries.

NOW THEREFORE, I, GAVIN NEWSOM, Governor of the State of California by virtue of the power and authority vested in me by the Constitution and the statutes of the State of California, do hereby issue the following Order to pursue actions necessary to combat the climate crisis.

IT IS HEREBY ORDERED THAT:

It shall be a goal of the State that 100 percent of in -state sales of new passenger cars and trucks will be zero -emission by 2035. It shall be a further goal of the State that 100 percent of medium- and heavy-duty vehicles in the State be zero -emission by 2045 for all operations where feasible and by 2035 for drayage trucks. It shall be further a goal of the State to transition to 100 percent zero -emission off -road vehicles and equipment by 2035 where feasible.

2. The State Air Resources Board, to the extent consistent with State and federal law, shall develop and propose:
a) Passenger vehicle and truck regulations requiring increasing volumes of new zero -emission vehicles sold in the State towards the target of 100 percent of in -state sales by 2035,
b) Medium- and heavy-duty vehicle regulations requiring increasing volumes of new zero -emission trucks and buses sold and operated in the State towards the target of 100 percent of the fleet transitioning to zero -emission vehicles by 2045 everywhere feasible and for all drayage trucks to be zero - emission by 2035.
c) Strategies, in coordination with other State agencies, U.S.

Environmental Protection Agency and local air districts, to achieve 100 percent zero -emission from off -road vehicles and equipment operations in the State by 2035,
In implementing this Paragraph, the State Air Resources Board shall act consistently with technological feasibility and cost-effectiveness.

3. The Governor's Office of Business and Economic Development, in consultation with the State Air Resources Board, Energy Commission, Public Utilities Commission, State Transportation Agency, the

Department of Finance and other State agencies, local agencies and the private sector, shall develop a Zero -Emissions Vehicle Market Development Strategy by January 31, 2021, and update every three years thereafter, that:
a) Ensures coordinated and expeditious implementation of the system of policies, programs and regulations necessary to achieve the goals and orders established by this Order. b) Outlines State agencies' actions to support new and used zero - emission vehicle markets for broad accessibility for all Californians.

4. The State Air Resources Board, the Energy Commission, Public Utilities Commission and other relevant State agencies, shall use existing authorities to accelerate deployment of affordable fueling and charging options for zero -emission vehicles, in ways that serve all communities and in particular low-income and disadvantaged communities, consistent with State and federal law.

5. The Energy Commission, in consultation with the State Air Resources Board and the Public Utilities Commission, shall update the biennial statewide assessment of zero -emission vehicle infrastructure required by Assembly Bill 2127 (Chapter 365, Statues of 2018) to support the levels of electric vehicle adoption required by this Order.

The State Transportation Agency, the Department of Transportation and the California Transportation Commission, in consultation with the Department of Finance and other State agencies, shall by July 15, 2021 identify near term actions, and investment strategies, to improve clean transportation, sustainable freight and transit options, while continuing a "fix -it -first" approach to our transportation system, including where feasible:
a) Building towards an integrated, statewide rail and transit network, consistent with the California State Rail Plan, to provide seamless, affordable multimodal travel options for all. b) Supporting bicycle, pedestrian, and micro -mobility options, particularly in low-income and disadvantaged communities in the State, by incorporating safe and accessible infrastructure into projects where appropriate.
c) Supporting light, medium, and heavy duty zero -emission vehicles and infrastructure as part of larger transportation projects, where appropriate.

7. The Labor and Workforce Development Agency and the Office of Planning and Research, in consultation with the Department of Finance and other State agencies, shall develop by July 15, 2021 and expeditiously implement a Just Transition Roadmap, consistent with the recommendations in the "Putting California on the High Road: A Jobs and Climate Action Plan for 2030" report pursuant to Assembly Bill 398 (Chapter 135, Statutes of 2017).

8. To support the transition away from fossil fuels consistent with the goals established in this Order and California's goal to achieve carbon neutrality by no later than 2045, the California Environmental Protection Agency and the California Natural Resources Agency, in consultation with other State, local and federal agencies, shall expedite regulatory processes to repurpose and transition upstream and downstream oil production facilities, while supporting community participation, labor standards, and protection of public health, safety and the environment. The agencies shall report on progress and provide an action plan, including necessary changes in regulations, laws or resources, by July 15, 2021.

9. The State Air Resources Board, in consultation with other State agencies, shall develop and propose strategies to continue the State's current efforts to reduce the carbon intensity of fuels beyond 2030 with consideration of the full life cycle of carbon.

10.The California Environmental Protection Agency and the California Natural Resources Agency, in consultation with the Office of Planning and Research, the Department of Finance, the Governor's Office of Business and Economic Development and other local and federal agencies, shall develop strategies, recommendations and actions by July 15, 2021 to manage and expedite the responsible closure and remediation of former oil extraction sites as the State transitions to a carbon -neutral economy.
1 I. The Department of Conservation's Geologic Energy Management Division and other relevant State agencies shall strictly enforce bonding requirements and other regulations to ensure oil extraction operators are responsible for the proper closure and remediation of their sites.

12.The Department of Conservation's Geologic Energy Management Division shall:
a) Propose a significantly strengthened, stringent, science -based health and safety draft rule that protects communities and workers from the impacts of oil extraction activities by December 31, 2020.
b) Post on its website for public review and consultation a draft rule at least 60 days before submitting to the Office of Administrative Law.

IT IS FURTHER ORDERED that as soon as hereafter possible, the Order be filed in the Office of the Secretary of State and that widespread publicity and notice be given of this Order.

This Order is not intended to, and does not, create any rights or benefits, substantive or procedural, enforceable at law or in equity, against the State of California, its agencies, departments, entities, officers, employees, or any other person.

IN WITNESS WHEREOF I have hereunto set
my hand and caused the Great Seal of the
State of California to be affixed this 23rd
ATTEST:

ALEX PADILLA
Secretary of State

CITY OF
June 27, 2022
Assemblymember Laura Friedman
California 43`d Assembly District
State Capitol
P.O. Box 942849
Sacramento, California 94249
RE: Opposition to Assembly Bi112438 (Friedman)
Dear Assemblymember Friedman:

On behalf of the City of Yucaipa, we write in opposition to AB 2438 (Friedman). As written, AB 2438 would require specified state funding program guidelines to align with the Climate Action Plan for Transportation Infrastructure (CAPTI), the California Transportation Plan (CTP), and greenhouse gas emissions reduction standards.

The City recognizes the State's intention to secure a climate -resilient future, including for residents in San Bernardino County. However, AB 2438 appears to conflict with promises the State made in the voter - affirmed Road Repair and Accountability Act of 2017 (SB 1), despite CAPTI affirming its commitment to continue a "fix -it -first" approach to maintaining the state's highways, roads, and bridges.

Unfortunately, AB 2438 would void that agreement by adding new criteria for SB 1 funded transportation programs, and like other Statewide programs would be prioritized administratively, likely favoring highly urbanized areas at the expense of rural and suburban communities like Yucaipa.

Furthermore, AB 2438 fails to recognize the staggering investments the State must make before comprehensive changes to critical funding programs like SB 1 should be considered. AB 2438 would deny under-resourced regions and disadvantaged communities an equitable transition to a climate -resilient future because many communities do not have the funding, infrastructure, or necessary rights -of -way to immediately transition away from roadway usage.

Measure I, our voter -approved sales tax measure and transportation plan in San Bernardino County, would struggle to keep people and goods moving safely if state resources were limited in our region.

Transportation infrastructure and transit options in some communities in San Bernardino County are decades behind where they should be. With the dramatic growth of population and goods movement in our region, we may never catch up without significant state investment.

The City of Yucaipa is interested in turning the page toward innovative, sustainable transportation solutions that are accessible, equitable, and inclusive. But inequities look different from community to community and from region to region. Even the CAPTI investment framework (page 16 of CAPTI) acknowledges "that there is not a one -size -fits -all approach to achieving the needs of the state's diverse communities ...." Requiring every project to be in alignment with the CTP, CAPTI, and GHG reduction standards sounds very much like a one -size -fits -all approach and will not provide city and county leadership with the flexibility they need to adapt their transportation programs to the local context and to the needs of the residents they are responsible to serve. We must work together if the state's transportation climate goals are going to be achieved.

AB 2438 does not provide our community with the flexibility in investment required to build the capacity of our multimodal transportation systems, therefore threatening to leave our region and others behind. For City of Yucaipa
34272 Yucaipa Blvd, Yucaipa, CA 92399
909.j7fg-2489

these reasons, the City of Yucaipa opposes AB 2438. If you have any questions regarding AB 2438 and how it would impact our city, please contact Raymond A. Casey, City Manager, at (909) 797-2489 or rcasey@yj jcaipa. ors.

Sincerely,
David Avila
Mayor
Justin Beaver
Mayor Pro Tem
Greg Bogh Bobby Duncan Jon Thorp
Councilmember Councilmember Councilmember
cc: Rosilicie Bogh, Senator, Via FAX No. (916) 651-4923 Chad Mayes, Assemblyman, Via FAX No. (916) 319-2142
Laura Morales, League of California Cities, lmoraleskcalcities.org Meg Desmond, League of California Cities, mdesmond(iDcacities.org City of Yucaipa
34272 Yucaipa Blvd, Yucaipa, CA 92399
909J74 %Z-2489

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