2002 - 2003 TimelineSelect a month to view the timeline for this issue:
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Transportation
July 29th Assembly approved $100 billion budget plan after a marathon session -- includes cuts to transportation and an increase in the car fee. More Info
July 24th The Senate finally agreed on a budget plan with no new taxes - cuts to transportation and an increase in the vehicle license fee. More Info
July 18th Caltrans struck a stopgap deal with counties and contractors in order to continue construction on about 200 state roads projects. More Info
July 16th Caltrans notified subcontractors working on state road projects that money to pay them would run out if the Legislature does not agree on a budget by Monday, July 21st. Many contractors said they would stop work if they do not get paid. One hundred thirty five Bay Area projects risked being cancelled or shut down as a result. More Info
July 3rd State Auditor released a report showing a significant lack of transit funds. More Info
July 1st Anti-tax groups filed suit challenging the vehicle license fee hike.
Conta Costa Times Article: Taxpayer group files suit over vehicle fee
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Overview

After a record-long session, the Assembly approved a compromise budget plan with a 56-22 vote. The $100 billion budget includes cutting programs, borrowing billions of dollars, increasing fees, and deferring $7.9 billion to the next budget year. Over $1 billion earmarked for transportation projects was diverted to the general fund. Randy Rentschler of the Metropolitan Transportation Commission said new projects would be put on hold as a result of over $1 billion in cuts to transportation. The budget was sent to Davis.

The following are some budget highlights:

  • $10.7 billion in bonds to be paid off over the next five years
  • $7.9 billion shortfall for 2004-2005
  • Tripling of the car tax, effective October 1st
  • Significant cuts to UC and CSU
  • Cuts to transportation
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Overview

On July 24th, Senate leaders agreed on a budget plan with no new taxes. They voted 27 - 10 to approve the spending plan the following Sunday. The plan includes cutting programs, borrowing billions of dollars, increasing fees, and deferring $7.9 billion to next year. Over $1billion was cut from transportation funding, by redirecting money earmarked for traffic projects to the general fund.

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Overview

The State Auditor released a report saying that there is a significant lack of money for state transportation projects, resulting in delayed and cancelled projects. The report said this "will affect the state's aging transportation system, resulting in deteriorated highways, increased traffic congestion and reduced air quality."