Assigned to TRANS                                                                           FOR CAUCUS & FLOOR ACTION

 

 


 

ARIZONA STATE SENATE

Phoenix, Arizona

 

REVISED

FACT SHEET FOR H.B. 2377

 

intergovernmental public transportation districts

 

Purpose

 

Allows for the creation of an intergovernmental public transportation authority and board of directors within and between counties with a population of less than 400,000.

 

Background

 

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 authority for rural counties.  The formation may enable the authority 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.

 

Provisions

 

1.      Authorizes the organization of an intergovernmental public transportation authority in any county with a population of 400,000 or less. 

 

2.      Allows the governing body of one or more incorporated municipalities in the same county to petition the county board of supervisors to establish an authority consisting of the combined areas. 

 

3.      Requires the unincorporated areas between the organizing municipalities to be included in the authority 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 authority. 

 

5.      Allows any university under the jurisdiction of the Arizona Board of Regents located in a municipality in the authority to become a member of the authority by intergovernmental agreement (IGA).

 

6.      Requires the board of supervisors for each county to hold a public hearing to determine support for the authority. 

 

7.      Requires each county in joint authorities to hold separate hearings to determine public support for the authority.

 

8.      Requires the county board of supervisors to establish the authority, including a description of the boundaries of the authority, by resolution or an IGA based on service of the public, necessity, safety or welfare.

 

9.      Stipulates that the  authority 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.

 

10.  Requires the authority to adopt the official name consisting of the words “intergovernmental public transportation authority.”

 

11.  Details the process for dissolution of the authority.

 

12.  Establishes a board of directors for an authority 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.

 

13.  Requires the president of the university to appoint one member of the board of directors if the university is a member of the authority.

 

14.  Details the powers and duties of the board of directors, which include determination of the authority structure, employment of a general manager and other employees, management of the business and affairs of the authority and issuance of an annual report.

 

15.  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.

 

16.  Grants an authority the ability to operate and maintain a public transportation system through an IGA.

 

17.  Requires the authority to maintain a public transportation authority fund (PTAF) consisting of appropriations from municipalities, the county, the federal government, the state, donations and fares.

 

18.  Requires the appointment of an authority treasurer or an IGA with the county treasurer to provide financial services for the authority and manage the PTAF.

 

19.  Requires the authority board of directors to report PTAF insufficiencies to the Auditor General.

 

20.  Requires the authority board of directors to have an annual audit performed of the PTAF within 120 days of the end of a fiscal year and file a copy of the audit with the Auditor General.

 

21.  Requires the authority 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.

 

22.  Contains definitions.

 

23.  Provides for a general effective date.

 

Amendments Adopted by Committee

 

1.      Converts the proposed organization from a “special district” to a “public authority.”

 

2.      Transfers the public authority from Title 48 to Title 28.

 

3.      Allows the authority to include one or more municipality rather than two or more municipalities.

 

4.      Allows a state university located in a member municipality to become a member of the authority by IGA and provides for the appointment of one member of the board of directors by the university president.

 

House Action                                                               Senate Action

 

TRANS           1/22/01            DP       8-0-0-2-0        TRANS           3/22/01            DPA    4-3-1-0

3rd Read           1/30/01                        59-0-1-0-0

 

 

Prepared by Senate Staff

March 20, 2001