Section § 31300

Explanation

This law allows for the commission to charge tolls on certain newly constructed state highways in California if new transportation improvements are needed due to increased commercial traffic from the North American Free Trade Agreement. These costs can be covered by tolls, toll-backed bonds, and other available funds. Specifically, tolls can only be applied to Route 7 near the new international border crossing in Calexico to Route 8 near El Centro in Imperial County.

Once federal funds designated for NAFTA-related improvements are received, or the costs of the improvements are fully paid off, the tolls must be removed.

(a)CA Streets and Highways Code § 31300(a) Tolls may be imposed by the commission on segments of newly constructed state highway routes, as described in subdivision (b), if transportation facilities, including, but not limited to, additional highways and capacity enhancing improvements to existing highways, are needed to accommodate additional commercial traffic resulting from the North American Free Trade Agreement, and federal funds have not been made available to the state for those purposes. In addition, for state highway routes and transportation facilities constructed on or after January 1, 1997, the cost may be borne by a combination of tolls, toll-backed bonds, and any other state and federal funds that may be available for those purposes, on a project-by-project basis.
(b)CA Streets and Highways Code § 31300(b) The imposition of tolls pursuant to subdivision (a) is limited to Route 7, from the new international border crossing near Calexico to Route 8 near El Centro in Imperial County.
(c)CA Streets and Highways Code § 31300(c) Tolls imposed on any route described in this section shall be discontinued upon the happening of either of the following: (1) federal funds are received for the cost of the improvements to that route, which funds are in addition to the normal apportionment of federal funds to California and are for the specific purpose of mitigating the impacts of the North American Free Trade Agreement, or (2) the cost of those improvements is fully paid.

Section § 31302

Explanation
This law states that a specific department is tasked with collecting tolls set by the commission and is required to send the money collected from these tolls to the Controller. The funds are then deposited into a newly established account named the Highway Toll Revenue Account within the State Transportation Fund.
The department shall be responsible for the collection of tolls imposed by the commission pursuant to Section 31300. The department shall transmit the toll revenues to the Controller for deposit in the Highway Toll Revenue Account, which is hereby created in the State Transportation Fund.

Section § 31304

Explanation

This law states that money in the Highway Toll Revenue Account is automatically allocated to a commission to pay off obligations related to bonds. This means the money is immediately available for these payments without needing further approval. After these obligations are covered, any leftover funds need further approval by the Legislature before being used. The remaining funds are to be allocated to a department to build more highways or improve existing ones to handle more commercial traffic due to the North American Free Trade Agreement (NAFTA).

Notwithstanding Section 13340 of the Government Code, funds in the Highway Toll Revenue Account required to meet the obligations assumed by the commission under any bond resolution adopted pursuant to Section 31306 are continuously appropriated to the commission for that purpose. Upon appropriation by the Legislature, the commission shall allocate the remaining funds to the department for the purpose of constructing additional highways or making capacity enhancing improvements to existing highways to accommodate additional commercial traffic resulting from the North American Free Trade Agreement.

Section § 31306

Explanation

This section allows the commission to issue bonds to raise money for highway projects related to increased commercial traffic from NAFTA (North American Free Trade Agreement). The money from tolls will be used to repay these bonds. The commission should follow certain procedures when dealing with these bonds.

The commission may issue revenue bonds for the purpose of obtaining funds for constructing additional highways or for making capacity enhancing improvements to existing highways to accommodate additional commercial traffic resulting from the North American Free Trade Agreement. The sole security for the payment of principal and interest on the bonds shall be revenues derived from the tolls imposed pursuant to Section 31300. In authorizing and issuing bonds pursuant to this chapter, the commission and the department shall, to the fullest extent feasible, follow the procedures and requirements of Article 5 (commencing with Section 30200) of Chapter 1 of Division 17.