News / Statements

Policy Update

L.A. Business This Week 6/12/20


Federal Debrief 

The House Transportation and Infrastructure Committee Introduces its Own Infrastructure Bill

Last week, the House Transportation and Infrastructure Committee released its Investing in a New Vision for the Environment and Surface Transportation (INVEST in America) Act -- a five-year $494 billion investment in our infrastructure. It contains two key components: the first is "COVID-19 Response and Recovery," which extends the funding levels for fiscal year 2020 through fiscal year 2021. INVEST in America's surface transportation reauthorization runs from fiscal year 2022 through fiscal year 2025, and it creates a number of new programs to shape transportation infrastructure investment to address climate change.

Highway investment totals $319 billion and prioritizes fixing and enhancing existing infrastructure over building new capacity. It increases funding to build and develop alternative fueling options for zero-emission and electric vehicles, and includes a program to fund resilient infrastructure to withstand climate change. It also reinvigorates funding for projects of regional and national significance. A feature to address climate change will be an incentive fund for states that are the best performers in greenhouse gas reductions.

INVEST in America includes $105 billion in transit investments. This includes funding for new routes and increased reliability to make public transit a "viable option" to single-occupancy vehicles. It includes provisions to streamline project delivery through the Capital Improvement Grants program, and includes funds to address transit maintenance backlogs. There is also an increase in funding for rail investments -- a total of $60 billion for the programs. However, there is a specific call-out for funding to go specifically to Amtrak's Northeast Corridor plan. The bill creates the Passenger Rail Improvement Modernization and Expansion (PRIME) program: a $19 billion grant program for passenger expansion, performance optimization, and intercity passenger rail improvements. Additionally, the bill increases the Consolidates Rail Infrastructure and Safety Improvements (CRISI) grant program funding to $7 billion and expands eligibility to commuter rail to compete for funding.

The bill is expected to go to committee mark-up in mid-June. The full bill is available here, section-by-section summary can be found here and fact sheet here.

  • $66.3 billion for the federal transit administration
  • $4.3 billion highway traffic safety (NHTSA)
  • $2.2 billion Motor Carrier Safety grants
  • $1.5 billion for Motor Carrier Safety operations and programs
  • $2.2 billion for innovation (research and development, technology development, emerging technologies, pilot programs)

 

State Debrief

Chamber Staff Testifies at Senate Appropriations Committee

The Senate Appropriations Committee, chair by Sen. Anthony Portantino (D-25), considered nearly 100 bills. The Chamber testified and registered our opposition on several bills including:

  • SB 1159 (Hill) - Establishes presumption that COVID-19 infections were contracted while at work.
  • SB939 (Wiener) - Commercial tenant protections.
  • SB 1399 (Durazo) - Employment laws related to the garment district.

All the bills were put in the suspense file. SB 929 will be heard on June 18, allowing us time to mobilize to ensure that SB 939 does not get out of suspense. Sen. Scott Wiener did mention that he would be providing additional amendments to the Appropriations Committee staff. We are waiting to see the amendments. This week, we met with staff from the offices of numerous committee members. We will continue our outreach to the Appropriations Committee.

Sen. Wiener has confirmed his participation at our next Land Use, Construction & Housing Council meeting on June 24. Please note that policy council meetings are open to Chamber members. 

 
Local Debrief
 
The Los Angeles City Council held their first budget hearing to discuss the mayor's 2020-2021 budget, and they are scheduled to hold a budget hearing every Monday in June. The meeting was more procedural as members made opening statements around their vision and the process moving forward. Public comment centered around the Los Angeles Police Department (LAPD) budget and the motion introduces by Council President Nury Martinez and Councilman Herb Wesson to reallocate $150 million from LAPD budget to community reinvestment. The motion will be heard next week in Budget and Finance Committee.