1. Division of Budgets Tab 7 (3.1) 1 Caltrans Monthly Finance Report Presented to the California Transportation Commission September 15, 2004

2. 2 State Budget Update The Budget for 2004-05 has been finalized. The following 24-month cash forecasts are final forecasts, based on the signed Budget Act, enacted trailer bills, and all budget related legislation. The following forecasts are the Department’s official update and will heretofore be referred to as the “September Forecast.”

3. 3 State Highway Account September Forecast Changes that affect the SHA cash forecast: n$184M TCRP loan repayment assumed in June Forecast was reduced to $20M in the final Budget. nTechnical adjustments were made to the timing of certain revenue receipts. nMinor adjustments were made to expenditures to reflect revised expenditure ratios. nRemoval of expenditures in FY 2005-06 of a one-time BCP that was inadvertently carried forward. Does not assume revenues resulting from the renegotiation of tribal gaming compacts. The SHA forecast does not assume that the ethanol impact is fully mitigated.

4. 4 State Highway Account Cash Forecast

5. 5 Public Transportation Account September Forecast Changes that affect the PTA cash forecast: nThe $36M TCRF loan repayment to the PTA that was forecast to occur in 2004-05 was eliminated from the final budget. nThe transfer of $60.4M in 2003-04 miscellaneous revenues from the PTA to the SHA that was forecast to occur in 2003-04 will take place in 2004-05.  These revenues, along with $47.2M in 2004-05 miscellaneous revenues will be transferred from the SHA to the General Fund, in accordance with the enacted Budget. nForecast 2004-05 expenditures are slightly lower than in previous forecasts, due to lower final budget authority. nDoes not assume revenues resulting from the renegotiation of tribal gaming compacts.

6. 6 Public Transportation Account Cash Forecast

7. 7 Traffic Congestion Relief Fund September Forecast Changes that affect the TCRF cash forecast: nThe $243M General Fund loan repayment that was scheduled to occur in September was reduced to $43M. nThe $140M in spillover revenue is forecast to occur in quarterly payments, based on prior spillover transfers. nThe $184M loan repayment to SHA was reduced to $20M. nExpenditures updated to reflect the project review conducted in June 2004. nTIF transfer of $678M to occur quarterly in 2005-06, per existing law, unless deferred or cancelled by subsequent legislation. nDoes not assume revenues resulting from the renegotiation of tribal gaming compacts. nLoan repayment from General Fund of $1.2 billion assumed to occur in June 2006, per existing law, unless deferred or cancelled by subsequent legislation.

8. 8 Traffic Congestion Relief Fund Forecast Outstanding loan payback of $1.2 billion is expected in June 2006, and would support new allocations

9. 9 Federal Budget Update Federal Budget Has Passed; Authorization Has Not Consolidated Appropriation Act (CAA) signed January 23, 2004. CAA includes 2004 Transportation appropriation. Federal program authorization approved only through September 24, 2004. nObligational Authority and Apportionment amounts are approved only to 49/52nds of the total year’s amount. Level of future federal funds still being deliberated. nThe issue of the impact of ethanol use in California is a part of these deliberations.