SB 1226 – Joint Powers Agreements Created For Zero-Emission Transportation Systems Or Facilities May Include A Private, Non-Profit Mutual Benefit Corporation

Senate Bill 1226 authorizes a private, nonprofit mutual benefit corporation formed for the purposes of providing services to zero-emission transportation systems or facilities to join a joint powers authority or enter into a joint powers agreement with one or more public agencies.  The purpose of the joint power authority or agreement must be to facilitate the development, construction, and operation of zero-emission transportation systems or facilities that lower greenhouse gases, reduce vehicle congestion and vehicle miles traveled, and improve public transit connections. A joint powers authority formed under SB 1226 is prohibited from incurring debt.

The participating public agency or agencies must determine the composition of the board of directors.  The private, nonprofit mutual benefit corporation’s representation on the board of directors cannot exceed 50%.

SB 1226 will remain in effect until January 1, 2032.

(SB 1226 adds and repeals Section 6538.5 of the Government Code.)