Transportation Development Act and State Transit Assistance

Funding Category
Regional Grant Program

State Transit Assistance funds are generated by the sales tax on diesel fuel, and the amount of money available for transit agencies varies from year to year based on the ups and downs of diesel prices.

The State splits the State Transit Assistance program into two components:

  • Population-based funds: the Metropolitan Transportation Commission receives State Transit Assistance based on the region's population and distributes funds through a County Block Grant Program whereby the nine Bay Area Congestion Management Agencies determine how to invest the funds in public transit services/projects.
  • Revenue-based funds: The State allocates funds to transit operators based on their revenue.