Senate Bill (SB) 1 Road Repair and Accountability Act of 2017
SB 1 Funding Programs
Trade Corridor Enhancement Program (TCEP)
SB 1 provides an ongoing source of state funding dedicated to freight-related projects by establishing the new Trade Corridor Enhancement Account (TCEA). The TCEA will provide approximately $300 million per year in state funding for projects which more efficiently enhance the movement of goods along corridors that have a high freight volume. Subsequent legislation, SB 103 (Committee on Budget and Fiscal Review, Chapter 95, Statutes of 2017), combines the funds in this account with existing federal freight funding for the Commission to fund trade corridor improvements consistent with various statutory requirements, as described below.
California Freight Investment Program
The Fixing America’s Surface Transportation (FAST) Act was signed into law on December 4, 2015, by President Obama and authorized federal transportation funding for a five-year period beginning in 2016.
The FAST Act established a new formula freight program known as the National Highway Freight Program (NHFP) to invest in projects which support the efficient movement of freight and the economy. The program provides approximately $571 million to California over the five-year period of the Act. This equates to about $110 million per year beginning with federal fiscal year 2015-16.
In November 2016, the Commission began the guideline development process for the California Freight Investment Program (CFIP) based on SB 826 (Leno, 2016), which directs the Commission to allocate the NHFP funding to corridor-based projects selected by local agencies and the state.
After a number of workshops throughout the state and input from stakeholders representing state, regional, and local governments, advocacy groups and private industry, the final CFIP Guidelines were noticed for adoption at the May 2017 CTC Meeting.
However, action to adopt the guidelines was withdrawn due to the release of proposed budget trailer bill language included in SB 103 which combined the federal NHFP funds and the Trade Corridor Enhancement Program (TCEP) funds approved under SB 1 into one program and identified additional requirements. SB 103 was subsequently signed into law in July 2017.
Trade Corridor Enhancement Program
The Commission is responsible for guidelines development and administration of the new TCEP program as established by SB 1 and modified by SB 103.
The Commission incorporated much of the language proposed for use in the CFIP Guidelines given the tremendous amount work and input received from stakeholders in the development of those guidelines. Workshops were held to provide an opportunity for stakeholders to give input on the new requirements set forth under SB 103.
The new requirements under SB 103 include the following:
- Develop parameters to evaluate the potential economic and noneconomic benefits to the state’s economy, environment, and public health.
- Develop measures for evaluating benefits or costs for disadvantaged communities and low-income communities.
- Develop performance measures to ensure accountability and transparency.
- Develop a transparent process to evaluate projects.
The Commission adopted guidelines and issued a call for project applications for the Trade Corridor Enhancement Program at its October 18, 2017 meeting. The Commission intends to adopt a Program of Projects in May 2018.
|TCEP Applications Due||January 30, 2017|
|Release Staff Recommendation||April 25, 2018|
|Commission Adopts Program||May 16, 2018|
TCEP Statutory Language
- Statutory Language: Streets and Highway Code Section 2192
- Statutory Language: Streets and Highway Code Section 2192.4
TCEP Background Documents
- Final Guidelines and Adopting Resolution: Final Guidelines for the Trade Corridor Enhancement Program and Adopting Resolution G-17-32 - October 18, 2017
- Adopted Guidelines: Letter of No Prejudice (LONP) Guidelines - October 18, 2017
- Final Guidelines: Final Guidelines for the Trade Corridor Enhancement Program – October 18, 2017
- Draft Guideline Adoption: Draft Guidelines and Adopting Resolution for the Trade Corridor Enhancement Program (includes book item, resolution, and draft guidelines) – October 18, 2017
- Announcement: Statewide Teleconference Call to review Final Guidelines for the Trade Corridor Enhancement Program – October 16, 2017
- Final Draft Guidelines: Final Draft Guidelines for the Trade Corridor Enhancement Program - October 6, 2017
- Agenda: Trade Corridor Enhancement Program Guideline Development Workshop - Sacramento - September 25, 2017
- PowerPoint Presentation: Trade Corridor Enhancement Program Workshop Cal-B/C Discussion - September 25, 2017
- Tables: Draft Trade Corridor Enhancement Programming Targets - September 24, 2017
- Discussion Draft Guidelines: Discussion Draft Guidelines for the Trade Corridor Enhancement Program - September 21, 2017
- Agenda: Trade Corridor Enhancement Program Guideline Development Workshop - Oakland - August 8, 2017
- Agenda: Trade Corridor Enhancement Program Guideline Development Workshop - Sacramento - July 17, 2017
CTC TCEP Contact
For additional information on the Trade Corridor Enhancement Program, please contact: