Meeting_Body
EXECUTIVE MANAGEMENT COMMITTEE
SEPTEMBER 20, 2018
Subject
SUBJECT: STATE AND FEDERAL REPORT
Action
ACTION: RECEIVE AND FILE
Heading
RECOMMENDATION
Title
RECEIVE AND FILE State and Federal Legislative Report.
Discussion
DISCUSSION
Executive Management Committee
Remarks Prepared By Raffi Haig Hamparian
Government Relations Senior Director, Federal Affairs
Chair Kuehl and members of the Executive Management Committee, this is an update on a number of federal matters of interest to our agency. This report was prepared on August 30, 2018 and will be updated, as appropriate, at the Executive Management Committee meeting on September 20, 2018. Status of relevant pending legislation is monitored on the Metro Government Relations Legislative Matrix <http://libraryarchives.metro.net/DB_Attachments/180907_Sept_2018_Legislative_Matrix.pdf>, which is updated monthly.
Federal Grants for Fiscal Year 2018
Metro has submitted applications for two federal grant programs whose deadlines were in the last two months. We have submitted a grant request for the Federal Fiscal Year 2018 Better Utilizing Investments to Leverage Development (BUILD) Grant Program for the 605/91 Interchange project and State Route 71 improvement project. We have also submitted a grant request for the Federal Fiscal Year 2018 Federal Transit Administration’s Bus and Bus Facilities Infrastructure Investment Grant Program to replace Metro’s last diesel buses with near-zero buses.
In welcome news, earlier this month the U.S. Department of Homeland Security issued its Transit Security Grants for Federal Fiscal Year 2018. Of the $88 million allocated nationwide for Transit Security Grants, Metro secured a $6.2 million grant for track and tunnel intrusion technology that will be installed throughout our underground rail stations. We believe this technology will enhance the safety of our rail network.
Federal Fiscal Year 2019 Appropriations
We continue to be encouraged by the bi-partisan support that the New Starts program is receiving from Congress as both chambers advance their Transportation-HUD Appropriations bills for Federal Fiscal Year 2019. The House has approved their bill out of Committee and is awaiting consideration on the House floor. The bill provides similar formula funding as this current year and again provides a strong Capital Investment Grant Program (New Starts) funding level of $2.6 billion. With regards to the BUILD (formerly TIGER) grant program, the House bill provides $750 million, down from $1.5 billion in Federal Fiscal Year 2018.
The Senate has also advanced their bill out of Committee with similar funding levels as the House bill. The Capital Investment Grant Program level is slightly lower than the House at $2.55 billion. The Senate provides $1 billion for the BUILD grant program. Additionally, Congress continues to include language in the bill report that directs the Secretary of the U.S. Department of Transportation to advance New Starts projects through the rating and review pipeline consistent with statutory law. We will continue to work closely with our Congressional delegation to advance Metro’s Board-approved priorities as they relate to the Federal Fiscal Year 2019 appropriations process.
Trade/Tariffs
As we noted to Board members in July, the Trump Administration had announced the implementation of tariffs on imports from China that could potentially impact some bus and rail cars that Metro has purchased. Staff continues to remain in close contact with our rolling stock contractors to monitor any potential impacts to our procurements. Metro has also submitted a response letter to the Office of the United States Trade Representative regarding the implementation of tariffs on the imports from China that may negatively impact our transportation program.
Conclusion
I look forward to expanding on this report at the Executive Management Committee meeting with any new developments that may occur in the coming days and would welcome answering any questions that you may have.
Executive Management Committee
Remarks Prepared by Michael Turner
Deputy Executive Officer, Government Relations
Chair Kuehl and members of the Executive Management Committee, this is an update on a number of the state matters of interest to our agency. This report was prepared on August 30, 2018 and will be updated, as appropriate, at the Executive Management Committee meeting on September 20, 2018. Status of relevant pending legislation is monitored on the Metro Government Relations Legislative Matrix <http://libraryarchives.metro.net/DB_Attachments/180907_Sept_2018_Legislative_Matrix.pdf>, which is updated monthly.
California State Legislative Calendar Update
The California State Legislature officially begins its Final Recess on August 31, 2018 at midnight. This is also the deadline for each house to pass bills that were introduced during the legislative session. The State Senate and Assembly are considering and dispensing of hundreds of proposed bills in advance of the August 31st deadline. The Governor has until September 30, 2018 to consider and sign any legislation that was approved this session. November 6, 2018 is California’s General Election.
Governor Brown Signs Metro’s Sponsored Commuter Benefits Legislation
We are pleased to report that Assembly Bill 2548 (Friedman) - Metro’s Los Angeles County Commuter Benefit authorizing legislation was signed into law on August 20, 2018. Next year, the Metro Board of Directors will be authorized to consider adopting a Los Angeles County specific commuter benefit ordinance. This ordinance will authorize Metro to implement a program that would require businesses with worksites of less than 250 employees in LA county to offer a commuter benefit to their employees to reduce single-occupant commutes, reduce greenhouse gas emissions and increase transit use.
Metro’s Sponsored Small/Medium Sized Business Legislation Update
Assembly Bill 1205 (Jones-Sawyer), Metro’s Small and Medium Sized business set-aside legislation is set to be heard one final time in the Assembly Local Government Committee before heading to the Assembly for a final floor vote. The Assembly Local Government Committee requested a number of amendments that will be incorporated into the final version of the bill. Staff will provide an update regarding this pending legislation at the Executive Management Committee meeting.
Metro’s Sponsored Public-Private Partnership (PPP) and Design-Build Legislation Update
Pursuant to the Board approved 2018 State Legislative Program, the Board directed staff to seek legislation that would clarify provisions of Metro’s authorizing statutes related to PPP and Design-Build. During the process one of Metro’s unions raised objections to the measure which would involve issues normally addressed in our collective bargaining process. While we would like to have the law clarified that clarification is not needed now and we prefer that these issues be addressed locally.
Senate Bill 1 Transportation Funding Update
Metro’s SB 1 informational program is in full swing. We have a number of informational fact sheets all available on www.metro.net/sb1 <http://www.metro.net/sb1> and will continue to meet with stakeholders across the county to talk about how Metro is putting State transportation dollars to work in LA County. Additionally, Metro has been invited to participate at a Select Committee hearing in October to discuss SB 1 investments in Los Angeles County and the potential threat to projects if it is repealed by the voters on the ballot in the November General Election.
Conclusion
Staff will expand on this report at the Executive Management Committee meeting with any new developments that occur over the next several weeks.
Prepared_by
Prepared by: Michael Turner, DEO, Government Relations, (213) 922-2122
Raffi Hamparian, Senior Director, Government Relations, (213) 922-3769
Reviewed_By
Reviewed by: Pauletta Tonilas, Chief Communications Officer, (213) 922-3777