(a) The Rail Infrastructure Account is hereby created in the State Transportation Fund for the purposes of funding projects in the Rail Modernization Improvement Program. Moneys in this fund shall be continuously appropriated to the Transportation Agency for the purposes described in subdivision (b).

(1) Transfers from the Infrastructure Stabilization Fund pursuant to Section 13106, or other appropriations by the Legislature, shall be deposited into the account created in subdivision (a).

(2) The Transportation Agency shall be the account administrator.

(3) Revenue in the account is available for allocation and expenditure by the Secretary of Transportation.

(b) The Rail Modernization Improvement Program is hereby created to fund rail infrastructure projects.

(1) Eligible projects shall benefit high-priority rail corridors as follows:

(A) Rail corridor investments that are shared use corridors.

(B) Rail corridor investments statewide to benefit freight if those investments also provide passenger rail benefits in the corridors specified in subparagraph (A).

(C) Rail station planning investments for shared use station areas to maximize connectivity between state-run or state-administered passenger rail services and locally or regionally operated services.

(2) Funds appropriated for the purposes of this program may be allocated by the Transportation Agency to a state department or a local agency acting as a project sponsor overseeing or administering an eligible project.

(3) Any project sponsor receiving funding pursuant to this program shall report to the Transportation Agency annually on or before September 1 of each year regarding the status and progress of the project, expenditures to date, anticipated benefit to the state, and upon completion, realized benefit to the state.

(4) The Transportation Agency shall report to the Legislature by November 1 of each year regarding the projects funded, and for each project the anticipated benefit to the state, the planned cashflow schedule, and a summary of the information reported by project sponsors. This report shall be submitted pursuant to Section 9795.

(Added by Stats. 2018, Ch. 43, Sec. 3. (AB 1831) Effective June 27, 2018.)