“Prohibits certain motor vehicle fuel taxes from being retained in General Fund and delays repayment of such taxes previously retained. Changes how and when General Fund borrowing of certain transportation funds is allowed. Fiscal impact: Increases stability of state funding for highways, streets, and roads and may decrease stability of state funding for public transit. May reduce stability of certain local funds for public transit.”
What a YES vote means:
Voting YES on Prop 91 means the state can no longer suspend the transfer of transportation funds from the General Fund. The state would have the ability to loan specified transportation funds for short-term cash flow purposes only.
What a NO vote means:
The state still has the power to transfer specified transportation funds to the General Fund for up to three years. Voting NO will continue to allow the state to suspend the transfer of gasoline sales tax revenue from the General Fund to transportation.
With California already in a budget crisis, it is critical for funding to be available for distribution where it is most needed. Transportation is low on the list of priorities, and focusing on balancing the budget is more important. Secondly, the proposition is identical to Prop 1A, which passed in November 2006. Prop 1A advocates for the same freeze of fund transfer, making Prop 91 redundant and unnecessary at this moment.
The Nexus opposes Prop 91.