ARIZONA STATE SENATE
Phoenix, Arizona
intergovernmental public
transportation districts
Allows for the creation of
an intergovernmental public transportation district and board of directors
within and between counties with a population of less than 400,000.
Legislation adopted in 1993
allowed counties with a population of less than 400,000 that approve a
transportation excise tax to use these revenues for any transportation project,
including a transit system, that is included in the county’s regional
transportation plan as prepared by the county regional planning agency (Laws
1993, Chapter 35). However, this
authority is difficult to utilize in establishing a transit system because the
excise tax is a countywide tax, while a viable transit system usually only
provides service to a limited, urban area.
Rural counties also have the authority to establish a county improvement
district, with few exceptions, and may only establish the authority in
unincorporated areas of the county.
In 1985, the Legislature
passed a law enabling the citizens of Maricopa County to vote on a sales tax
increase to fund regional freeway improvements and provide for the creation of
the Regional Public Transportation Authority.
The Authority, an example of a special district, is responsible for
regional transit planning, transit public information, the management and
operation of regional bus and dial-a-ride services, the Regional Ridesharing program,
a regional vanpool program and elements of the countywide Trip Reduction
program and Clean Air Campaign.
H.B. 2377 provides a
framework for an intergovernmental public transportation district for rural
counties. The formation may enable the
district to leverage federal transit funding, local transportation assistance
fund II and general fund monies from the participating municipalities with more
ease.
There is no anticipated
fiscal impact to the state general fund associated with this legislation.
1. Authorizes the organization of an intergovernmental public transportation district in any county with a population of 400,000 or less.
2. Allows the governing bodies of two or more municipalities in the same county to petition the county board of supervisors to establish a district consisting of the combined areas.
3. Requires the unincorporated areas between the organizing municipalities to be included in the district and requires the county board of supervisors to establish the boundaries of the unincorporated area.
4. Allows incorporated municipalities in different counties to petition their respective county board of supervisors to establish a joint district.
5. Requires the board of supervisors for each county to hold a public hearing to determine support for the district.
6. Requires each county in joint districts to hold separate hearings to determine public support for the district.
7. Requires the county board of supervisors to establish the district, including a description of the boundaries of the district, by resolution or an intergovernmental agreement based on service of the public, necessity, safety or welfare.
8. Stipulates that the district is a corporate body and political subdivision of this state and is subject to all the rights and immunities granted by the Arizona Constitution, including immunity from property taxation.
9. Requires the district to adopt the official name consisting of the words “intergovernmental public transportation district.”
10. Details the process for dissolution of the district.
11. Establishes a board of directors for a district that consists of five to nine members who are appointed by the governing bodies of the participating governmental entities. Specifies the membership requirements and terms.
12. Details the powers and duties of the board of directors, which include determination of the district structure, employment of a general manager and other employees, management of the business and affairs of the district and issuance of an annual report.
13. Requires the board of directors to conduct a survey of public transportation needs and determine a system to meet those needs. Directs the board of directors to produce a five-year public transportation program outlining goals and financial needs.
14. Grants a district the authority to operate and maintain a public transportation system through an intergovernmental agreement (IGA).
15. Requires the district to maintain a public transportation district fund (PTDF) consisting of appropriations from municipalities, the county, the federal government, the state, donations and fares.
16. Requires the appointment of a district treasurer or an IGA with the county treasurer to provide financial services for the district and manage the PTDF.
17. Requires the district board of directors to report PTDF insufficiencies to the Auditor General.
18. Requires the district board of directors to have an annual audit performed of the PTDF within 120 days of the end of a fiscal year and file a copy of the audit with the Auditor General.
19. Requires the district board of directors to hold a public hearing to adopt a budget no later than June 30 of each year. Specifies requirements for the annual budget.
20. Contains definitions.
21. Provides for a general effective date.
House Action
TRANS 1/22/01 DP 8-0-0-2-0
3rd Read 1/30/01 59-0-1-0
Prepared by Senate Staff
March 20, 2001