California bill to fund transit via tax or vehicle surcharge sidelined

For the second year in a row, legislation to help bail out San Francisco-area transit has been sidelined at the California statehouse.

Dubbed the “Connect Bay Area Act,” SB1031 would authorize a November 2026 vote in multiple Bay Area counties to decide whether to raise $1.5 billion annually for up to 30 years to help cover costs for train, bus and ferry operations in the region. Funding would come from sources that could include a retail sales and use tax, a regional payroll tax, a parcel tax and/or a regional vehicle surcharge.

Included in the ballot question would be a requirement for operational reforms and a consolidation assessment.

In May, the Senate voted 26-10 to advance the bill to the Assembly. Sen. Scott Wiener, D-San Francisco, has since decided to pull his bill from consideration until the next session.

He cited a lack of time to get consensus on the issue before the legislature’s August adjournment for the year.

Wiener touted his measure as a path to prevent Bay Area service cuts while funding a range of improvements for all forms of transportation.

His office has reported that across the Bay Area region, public transportation operators are expected to continue experiencing budget shortfalls that began during the pandemic. The shortfalls total at least $600 million annually.

A year ago, after Wiener pulled from consideration his first attempt to fund Bay Area transit, federal and state aid – including $1.1 billion from the state budget – were tapped to bolster the area’s transit services.

“Public transportation is a critical part of the Bay Area’s future, and we must ensure our transit systems are reliable, safe and clean and that riders have a seamless experience while getting around the region,” Wiener said in prepared remarks.

He added that SB1031 would help the region “chart a strong future for transportation by modernizing our transit systems as well as improving our roads and highways.”

Starting off the weekend — many fun community events! — on Muni. Public transit had a setback this week when we delayed our Bay Area transit funding measure until next year due to regional issues that need more time. But we’re determined to get the job done next year. Go transit! pic.twitter.com/ZiCR82Y90t

— Senator Scott Wiener (@Scott_Wiener) June 1, 2024

2023 bill also derailed

The 2023 bill, SB532, called for increasing toll rates on state-owned Bay Area bridges. Specifically, a $1.50 toll increase was sought for five years to benefit public transit.

At the time, Wiener said toll revenue would be used to provide public transportation funding to avoid service cuts. He added that toll revenue also would help address safety, cleanliness and reliability of transit services.

Toll increases would have been implemented in January 2024 and run through December 2028. An estimated $180 million annually was anticipated to aid transit operators in the region “experiencing a financial shortfall.”

Among the bridges affected would have been the San Francisco-Oakland Bay Bridge, San Mateo-Hayward Bridge, Richmond-San Rafael Bridge, Dumbarton Bridge, Carquinez Bridge, Benicia-Martinez Bridge and Antioch Bridge.

Critics said a toll increase would disproportionately affect bridge users and low- and moderate-income residents. LL

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