September 19 & 20, 2007 Items 4.11a,b, & c Tabs 15, 16, & 17

1. Proposition 1B Intercity Rail Bond Program September 19 & 20, 2007 Items 4.11a,b, & c Tabs 15, 16, & 17

2. Intercity Passenger Rail Bond Program How Does Intercity Passenger Rail Fit Into the Proposition 1B Bond Program?

3. Intercity Passenger Rail Bond Program Proposition 1B Contained Several Potential Sources of Funds for Intercity Rail Projects: • Public Transportation Modernization, Improvement, and Service Enhancement Account • STIP Augmentation • Highway-Railroad Crossing Safety Account • Transit System Safety, Security, and Disaster Response Account • Trade Corridors Improvement Fund

4. Intercity Passenger Rail Bond Program What is the Process for Developing the Intercity Passenger Rail Capital Program?

5. Intercity Passenger Rail Bond Program Corridor Strategic Business Plan: • A “vision document” setting long term performance goals • Frequency • Reliability • Running Time • Identifies projects necessary to meet performance goals • Fiscally unconstrained • Based on operational modeling • Projects usually characterized as Immediate, Near Term, and Long Range

6. Intercity Passenger Rail Bond Program Strategic Plan Performance Goals Consider: • Ridership and Revenue Impacts • Financial viability (farebox recovery) of added frequencies, extensions, or new services • Local interest and support • Operating railroad capacity and interest in negotiating for capacity improvements • Ability to relieve congestion on parallel routes • Air quality and greenhouse gas improvements

7. Intercity Passenger Rail Bond Program Plans Completed Plans Under Development

8. Intercity Passenger Rail Bond Program Strategic Plan Projects Included in “10 Year State Rail Plan” based on following criteria: • Expand capacity to increase frequencies and/or improve reliability • Reduce running times • Improve operations and efficiency of equipment, stations, and facilities and accommodate expanded services • Enhance multi-modal connectivity • Increase farebox recovery • Improve safety and security • Allow new, cost-effective routes

9. Intercity Passenger Rail Bond Program State Rail Plan Projects selected for Prop. 1B, ITIP, or other funding based on: • Available funding and requirements • Ability to leverage funds from other sources and partners • Joint commuter and freight benefits • Geographic equity considering ridership, revenue, and past investments • Prop. 1B funds proposed for use on high priority, high cost projects that would not otherwise be funded • Absolute necessity of a project (i.e. loss of service without implementation of the project) • Efficiencies gained by grouping projects

10. Intercity Passenger Rail Bond Program How Do Proposed 1B Projects Meet Strategic and 10 Year State Rail Plan Goals?

11. Intercity Passenger Rail Bond Program Project Approval Process: • Proposition 1B (SB 1266) silent on role CTC to play in approving projects • At June 2007 meeting, Commission concurred in a two step process • Commission Advice and Consent on proposed list of projects • Commission concurrence in Department’s request to proceed with an individual project prior to executing funding agreements • Department requests opportunity to return to the Commission to request modification of the project list because of changes in funding, project deliverability, or cost

12. Intercity Passenger Rail Bond Program Questions?