The authority shall direct the development and implementation of intercity high-speed rail service that is fully integrated with the state’s existing intercity rail and bus network, consisting of interlinked conventional and high-speed rail lines and associated feeder buses. The intercity network in turn shall be fully coordinated and connected with commuter rail lines and urban rail transit lines developed by local agencies, as well as other transit services, through the use of common station facilities whenever possible.

Upon an appropriation in the Budget Act for that purpose, the authority shall prepare a plan for the construction and operation of a high-speed train network for the state, consistent with and continuing the work of the Intercity High-Speed Rail Commission conducted prior to January 1, 1997. The plan shall include an appropriate network of conventional intercity passenger rail service and shall be coordinated with existing and planned commuter and urban rail systems.

(A) A description of the

type of service the authority is developing and the proposed chronology for the construction of the statewide high-speed rail system, and the estimated capital costs for each segment or combination of segments.

(B) A forecast of the expected patronage, service levels, and operating and maintenance costs for the Phase 1 corridor as identified in paragraph (2) of subdivision (b) of Section 2704.04 of the Streets and Highways Code and by each segment or combination of segments for which a project level environmental analysis is being prepared for Phase 1. The forecast shall assume a high, medium, and low level of patronage and a realistic operating planning scenario for each level of service.

(C) Alternative financial scenarios for different levels of service, based on the patronage forecast in subparagraph (B), and the operating break-even points for each alternative. Each scenario

shall assume the terms of subparagraph (J) of paragraph (2) of subdivision (c) of Section 2704.08 of the Streets and Highways Code.

(D) The expected schedule for completing environmental review, and initiating and completing construction for each segment or combination of segments of Phase 1.

(E) An estimate and description of the total anticipated federal, state, local, and other funds the authority intends to access to fund the construction and operation of the system, and the level of confidence for obtaining each type of funding.

(F) Any written agreements with public or private entities to fund components of the high-speed rail system, including stations and terminals, and any impediments to the completion of the system.

(G) Alternative

public-private development strategies for the implementation of Phase 1.

(H) A discussion of all reasonably foreseeable risks the project may encounter, including, but not limited to, risks associated with the project’s finances, patronage, right-of-way acquisition, environmental clearances, construction, equipment, and technology, and other risks associated with the project’s development. The plan shall describe the authority’s strategies, processes, or other actions it intends to utilize to manage those risks.

Code. The authority shall hold at least one public hearing on the business plan and shall adopt the plan at a regularly scheduled meeting. When adopting the plan, the authority shall take into consideration comments from the public hearing and written comments that it receives in that regard, and any hearings that the Legislature may hold prior to adoption of the plan.

On or before March 1, 2017, and every two years thereafter, the authority shall provide a project update report, approved by the Secretary of Transportation as consistent with the criteria in this section, to the budget committees and the appropriate policy committees of both houses of the Legislature, on the development and implementation of intercity high-speed train service pursuant to Section 185030. The report, at a minimum, shall include a programwide summary, as well as details by project segment, with all information necessary to clearly describe the status of the project, including, but not limited to, all of the following:

baseline budget for all project phase costs, by segment or contract, beginning with the California High-Speed Rail Program Revised 2012 Business Plan.

taken to address those issues.

Section 185033.5, the authority shall develop schedules related to the delivery of all of the following tasks:

(A) Completion of the 119-mile dual track segment from Madera to Poplar Avenue, which means Avenue 19 in the County of Madera to one mile north of the Tulare-Kern county line southward to north of Bakersfield, currently near Poplar Avenue.

(B) Completion of right-of-way, planning, and advance engineering for extensions to Merced and Bakersfield.

(C) Completion of an agreement or agreements between the state, the San Joaquin Joint Powers Authority, the San Joaquin Regional Rail Commission, and the authority that details the role of each in planning, constructing, and funding the connection in the City of Merced.

(D) Completion of an agreement or

agreements between the state, the San Joaquin Joint Powers Authority, the San Joaquin Regional Rail Commission, and the authority covering the planning, funding, and operation of the proposed high-speed rail services from Merced to Bakersfield and the authority and approval for the San Joaquin Joint Powers Authority to contract for the operation of the high-speed rail services.

(E) Provision of an updated cost estimate with a stated probability level, or levels, of its ongoing contracts and for the work it is funding and managing that is required to complete the Merced to Bakersfield segment extensions.

(F) Completion of a funding plan that includes any additional federal funding awards for the Merced to Bakersfield segment.

(G) Additional milestones required for the completion of the Merced to Bakersfield segment

and the full Phase 1 System pursuant to subparagraphs (A) to (F), inclusive.

(A) Estimated and actual civil works costs of the Merced to Bakersfield segment.

(B) Estimated and actual right-of-way, acquisitions, utilities, and other

third-party agreement costs.

(C) Estimates of contract costs, including contingencies to cover change orders.

(D) Other costs, estimated and actual, including, but not limited to, rolling stock, interim use, and stations.

(E) Costs reported in a manner than can be comparable across reports.

(F) Updates on the authority’s progress on achieving project milestones, as established in the project update report or the business plan adopted pursuant to Section 185033.

(G) Funding commitments beyond the Merced to Bakersfield segment, and spending to meet those commitments to date, including funding sources used to meet identified funding commitments.

must be received in order to meet the authority’s schedule for segment completion.

The authority may do any of the following:

For purposes of Article 3 (commencing with Section 87300) of Chapter 7 of Title 9 of the Government Code, each individual who is selected by the authority to serve in a peer review capacity to the authority shall be deemed to be a designated employee of the authority, and the authority shall be deemed to be the appointing power. Statements required to be filed pursuant to Section 87302 of the Government Code shall be filed with the authority.

planning and construction

of large transportation systems, such as high-speed rail, or highway systems with similar characteristics, designated by the Treasurer.

finance, designated by the Controller.

in California, designated by the Secretary of Transportation.

Upon approval by the Legislature, by the enactment of a statute, or approval by the voters of a financial plan providing the necessary funding for the construction of a high-speed network, the authority may do any of the following:

related equipment were manufactured in whole or in substantial part in California.

Notwithstanding the authority’s ability to delegate power to the executive director pursuant to subdivision (a) of Section 185024, a contract change order with a value greater than one hundred million dollars ($100,000,000) shall be approved by the authority.

the planned activities are located on the Merced to Bakersfield segment.

any of the following:

(A) Track and systems.

(B) Leasing or procurement of train sets.

(C) Any work with an estimated value of over two hundred fifty million dollars ($250,000,000) or a duration of 10 years or more.

the Merced to Bakersfield segment, as described in Section 1 of the act adding this section.

Any legal or equitable action brought against the authority shall be brought in a court of competent jurisdiction in the County of Sacramento. For purposes of this section, subdivision (1) of Section 401 of the Code of Civil Procedure does not apply.