TO: AC Transit Board of Directors
FROM: Jill A. Sprague, General Counsel
SUBJECT: Proposed Amendments to Transit District Law
ACTION ITEM
RECOMMENDED ACTION(S):
Title
Consider recommendations regarding proposed amendments to Transit District Law, provide direction to staff, and delegate authority to staff to work with legislator’s office to revise and finalize legislation.
Body
STRATEGIC IMPORTANCE:
Goal - Financial Stability and Resiliency
This report and corresponding recommendations for proposed amendments to Transit District Law are intended to update, streamline and provide additional flexibility to the District in providing transportation services to the public. The recommendations contained in this report include updated language, repeal of language that is not applicable, clarification of voting requirements and the ability to issue debt for multi-year periods.
BUDGETARY/FISCAL IMPACT:
The recommended changes to legislation could streamline the process for issuing debt, but will have little, if any, fiscal impact in the short term.
BACKGROUND/RATIONALE:
On January 22, 2020, the Board reviewed a report and recommendations and provided direction to staff regarding proposed changes to the District’s enabling legislation. Staff worked with Assembly Member Quirk’s office to prepare legislation to enact amendments to Transit District Law, set forth in AB 2777. The District was in the process of working with legislative counsel and Assembly Member Quirk’s office to amend and finalize AB 2777; however, due to the COVID-19 pandemic all non-emergency legislation was put on hold, including AB 2777.
Staff recommends that the District reengage with Assembly Member Quirk’s office to revive the amendments to Transit District Law. The attached matrix sets forth: (1) staff’s initial recommendations; (2) the Board’s direction regarding proposed amendments; (3) language adopted in AB 2777; and (4) staff’s current recommendations regarding amendments to Transit District Law.
Staff is seeking Board guidance regarding its current recommendations, as well as the authority to negotiate with legislators to finalize legislation enacting amendments to Transit District Law.
ADVANTAGES/DISADVANTAGES:
The advantages and disadvantages related to each recommendation are set forth in Staff Report 20-048 and in the attached matrix.
ALTERNATIVES ANALYSIS:
Alternative analysis is contained in the reference report and recommendations.
PRIOR RELEVANT BOARD ACTION/POLICIES:
Staff Report 20-048
ATTACHMENTS:
1. AB 2777 Comparison Matrix
2. Draft of AB 2777
Prepared by:
Jill A. Sprague, General Counsel
In Collaboration with:
Robin Johansen, Esq. (Remcho Johansen and Purcell LLP)
Approved/Reviewed by:
Claudia L. Allen, Chief Financial Officer
Michael A. Hursh, General Manager
Linda A. Nemeroff, District Secretary