Sen. Lieu announces he will not introduce a 2 percent Vehicle License Fee ballot proposal

November 19, 2012

Sen. Ted W. Lieu, D-Torrance, today released the following statement:

“Investment in California’s complex transportation system paved the way for our economic growth over the last 60 years.  Unfortunately, this system is now in crisis.  Investments in transportation infrastructure have fallen drastically behind, jeopardizing the state’s future economic growth and stability.  According to a recent assessment by the California Transportation Commission, rehabilitation and reconstruction of our aging state highway system is underfunded by more than $5 billion a year.  Local street repair is additionally underfunded by $1.8 billion a year.

“In an attempt to address one of California’s most critical economic needs, last year I started to brainstorm with Transportation California and other stakeholders on ways to bridge the enormous gap in transportation infrastructure needs.  Key features would include constitutional protections so the funding can only be used for its intended purpose; an equitable formula to provide needed revenue to state, local and transit projects; and a requirement that voters approve the revenue stream.  A proposal was being developed to place on the 2014 ballot a proposition to essentially revert the Vehicle License Fee to its prior rate of 2 percent, which was the rate from 1948 to 2004, to provide a stable funding source for transportation and infrastructure.

“However, over the last few weeks California’s political landscape has changed.  I have listened carefully to those who have contacted my office or me.  Additionally, more stakeholders weighed in on this important issue.  As a result, I will not be introducing the proposal.  Instead, I will work with transportation stakeholders and the public next year on alternative ways to mitigate the transportation infrastructure problem.  This problem is not going to go away and will only worsen when the final installment of depleted Proposition 1B funds are allocated next year.  I am open to any suggestions and if you have any, please feel free to contact me or my office.”      
 
 For more, visit Lieu’s Web site at the addresses below.
Ted W. Lieu represents nearly 1 million residents of Senate District 28, which includes the cities of Carson, El Segundo, Hermosa Beach, Lomita, Manhattan Beach, Redondo Beach and Torrance, as well as portions of Long Beach, Los Angeles and San Pedro. For more, visit www.senate.ca.gov/lieu.