Otay Mesa East Toll Facility Act: public-private partnership agreements: toll revenues.
What changed between versions
The bill's scope expanded from a single nonsubstantive amendment to Section 90 (Caltrans highway control) to a full revision of seven sections (31462, 31467, 31468, 31474, 31475, 31476, and 31483) of the Otay Mesa East Toll Facility Act governing the State Route 11 corridor and border crossing project.
SANDAG's toll authority was expanded from imposing tolls only for 'entrance to or the use of the corridor' to also include 'a project, or property' covered by the act. This allows tolling on a broader range of facilities and infrastructure associated with the Otay Mesa East Port of Entry.
A new Section 31483 authorizes cooperative cross-border tolling arrangements with the federal government of Mexico or its agencies. SANDAG may jointly exercise tolling powers with Mexican authorities, contract for toll collection and remittance services, share revenues, allocate costs, share traffic information, and establish joint toll rate-setting policies.
Public-private partnerships (P3s) are now explicitly authorized as an alternative project delivery method alongside design-build, design sequencing, and CMGC. SANDAG must compare the traditional design-bid-build process with the proposed alternative in a public meeting and make written findings that the alternative will reduce costs, improve cost predictability, expedite completion, or provide features not achievable through traditional methods.
SANDAG must review the adequacy of toll rates within two years of the initial project opening and at least biennially thereafter. Toll structures may include discounts for high-occupancy vehicles, electronic toll collection, and off-peak travel, as well as premiums for on-peak travel, but must be revised to ensure compliance with financial obligations.
Toll revenues may now be used for payments to a private partner under a P3 agreement, including for the private partner's collection and use of tolls generated by a project. This is a new category of permissible expenditure that did not exist in the prior law.
The fiscal committee designation changed from 'no' to 'yes,' indicating the amended bill now has fiscal implications requiring fiscal committee review, consistent with the new P3 and cross-border tolling provisions that create ongoing revenue and expenditure obligations.
The definition of 'project' was expanded to include facilities adjacent to the Otay Mesa East Port of Entry (not just along the corridor or at the port) and facilities constructed to facilitate revenue generation for or related to the port. This broadens what infrastructure can be built and tolled under the act.
New public accountability requirements were added: SANDAG must provide a 30-day public comment period before setting initial toll rates, approve an annual expenditure plan at a public meeting, cease toll collection after bonds are repaid and P3 agreements conclude (unless extended by two-thirds board vote), and arrange for an annual postaudit of toll revenues by a certified public accountant.