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Caltrans seeks statutory clarification for capital outlay support transfer authority; LAO suggests narrower trailer‑bill language
Summary
Caltrans proposed trailer‑bill language to clarify authority to make net‑zero transfers among fund types within its capital outlay support appropriation. The LAO said the department's intent is historically how it has operated but recommended tightening the proposed language to prevent overly broad administrative adjustments.
Caltrans told the Senate subcommittee it is proposing trailer‑bill language to clarify legislative intent on the department’s authority to make net‑zero transfers between fund types that support capital outlay support within a given year.
Stephen Keck said existing provisional language in the annual Budget Act has been interpreted differently, and the administration wants statutory clarity so the department can continue using net‑zero transfers to align funding sources (federal funds, state highway account funds and others) with project‑level spending.
Frank Jimenez of the Legislative Analyst’s Office said the substance reflects a technical clarification of accounting authorities Caltrans has historically exercised but cautioned that the administration’s draft language was “overly broad” and could permit adjustments beyond the intended capital‑outlay support program. The LAO recommended revising the trailer‑bill language so it limits adjustments to the intended scope and preserves legislative oversight via notification mechanisms such as JLBC letters.
Finance staff present said they had no concerns with the LAO recommendation. Committee members had no further questions and accepted LAO’s technical suggestion for narrowing the proposed language.
