News and Press Releases - 2006

Business, Transportation & Housing Agency Secretary Sunne Wright McPeak Highlights how SGP Drives Project Selection and the Key Role of Prop. 42 in Assembly Transportation Committee Hearing

In testimony Monday for a hearing that concluded today, state Business, Transportation & Housing Agency Secretary Sunne Wright McPeak described before the Assembly Transportation Committee how the Strategic Growth Plan (SGP) drives selection of projects proposed for construction.

"The goal during the next decade is to reduce congestion below today's levels while accommodating growth in the population and the economy," said Secretary McPeak. "One of the key indicators for performance of the entire transportation system is the level of congestion on the state highway and freeway system."

Secretary McPeak described how projects to reduce congestion statewide were selected from lists approved by regional transportation agencies. The governor's SGP relies on state leadership coupled with continued cooperative partnerships with the California Transportation Commission (CTC), regional transportation agencies and local governments.

Increased accountability for outcomes, particularly congestion reduction, is central to the transportation portion of the governor's SGP. The GO bond authorizing legislation proposes a process for allocating bond proceeds that will require the Business, Transportation and Housing Agency and the California Department of Transportation to recommend both performance criteria and projects to the CTC for approval.

Regional Priority Routes and inter-regional Focus Routes will be funded if they also are included in a regional transportation plan that meets CTC performance standards. Regions will be able to propose substitute projects that can demonstrate better performance in reducing congestion.

Secretary McPeak also emphasized the importance of the governor's proposal for a Constitutional Amendment to protect Prop. 42, which will add approximately $1.3 billion annually for transportation investments.

"Prop. 42 will provide 20 percent, or about $300 million annually, of the funds for transit to be deposited into the Public Transportation Account (PTA)," said Secretary McPeak. "Today, the PTA has a balance that exceeds $450 million because local transit projects are not ready for construction - which is why the SGP has more funding for transit in the second decade and focuses more on actions that will result in the most congestion reduction in the first decade."

Secretary McPeak also reiterated how the governor's SGP to protect Prop. 42 will provide more than $500 million annually to cities and counties for local streets and roads.