AB 2340 California Assembly · 2025-2026 Regular Session

Local transportation authority: Fresno Council of Governments.

Summary

Existing law authorizes cities and counties, subject to certain limitations and approval requirements, to levy a transactions and use tax for general or specific purposes in accordance with the procedures and requirements set forth in the Transactions and Use Tax Law. If a citizens' initiative measure that imposes a retail transactions and use tax in the County of Fresno, as specified, is adopted by the electors of the County of Fresno and becomes effective, this bill would designate the Fresno Council of Governments as a local transportation authority for purposes of the citizens' initiative measure. The bill would authorize the Fresno Council of Governments to receive and allocate the proceeds of the retail transactions and use tax and to otherwise serve as the administering agency for purposes of that citizens' initiative. This bill would make legislative findings and declarations as to the necessity of a special statute for the Fresno Council of Governments.

Bill status in committee 1 of 4 stages cleared

Introduction

Feb 2026

Committee Review

Floor Vote

Governor

Introduced Feb 19, 2026 Last action Mar 24, 2026

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What changed between versions

02/19/26 - Introduced → 03/23/26 - Amended Assembly · 4 edits · Mar 23, 2026

MODERATE

AB 2340 was substantially expanded from a simple legislative intent statement about the Warren-Alquist State Energy Resources Conservation and Development Act into a bill that primarily designates the Fresno Council of Governments as a local transportation authority to administer a citizens' initiative retail transactions and use tax in Fresno County. The amendment adds new sections to the Public Utilities Code authorizing FCG to receive and allocate tax proceeds, along with legislative findings justifying a special statute due to Fresno's transportation funding crisis.

Scope change

The bill's scope expanded significantly. It now covers both energy (the original Warren-Alquist Act intent language, retained) and transportation (new FCG designation for a Fresno County local tax measure). The primary operative content is now the transportation/FCG provisions, with the energy intent language reduced to a secondary component.

SCOPE

Added a new primary purpose: designating the Fresno Council of Governments as a local transportation authority for a citizens' initiative measure imposing a retail transactions and use tax in Fresno County. The bill title now includes 'An act to add Chapter 8 (commencing with Section 180350) to Division 19 of the Public Utilities Code, relating to transportation.'

REQUIREMENT

New Section 180350(a) provides that if a citizens' initiative measure imposing a retail transactions and use tax in Fresno County (with proceeds appropriated to FCG for transportation purposes) is adopted by voters and becomes effective, FCG shall be designated a local transportation authority for that measure.

New Section 180350(b) authorizes FCG to receive and allocate the proceeds of the retail transactions and use tax and to serve as the administering agency for the citizens' initiative measure.

DEFINITION

New Section 2 contains legislative findings declaring that a special statute is necessary because of the 'unique transportation funding crisis' in Fresno County resulting from the impending expiration of a previously authorized transactions and use tax and the termination of its administering authority.

Floor votes

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Full legislative history

Actions timeline

Total actions

Key actions

Committee

Amendments

Mar 24, 2026

Committee

Re-referred to Com. on L. GOV.

lower

Mar 23, 2026

Introduced

From committee chair, with author's amendments: Amend, and re-refer to Com. on L. GOV. Read second time and amended.

lower

Mar 23, 2026

Committee

Referred to Coms. on L. GOV. and REV. & TAX.

lower

Feb 20, 2026

Lower · Passed

From printer. May be heard in committee March 22.

lower

1 primary · 0 co-sponsors