California Transit Association Responds to Governor Newsom’s May Revise

Updated Budget Proposal Sustains $5.1 Billion Commitment to Transit Agencies, Association Urges Immediate Release of Appropriated Funds to Meet Regional Needs of Transit Agencies

(Sacramento, CA) - California Transit Association Executive Director Michael Pimentel issued the following statement today responding to Governor Gavin Newsom's State Budget May Revision 2024-25:

"In the face of a remaining $27.6 billion dollar deficit in the current year, we're supportive of Governor Newsom's proposed maintenance of the $5.1 billion in critical funding for California transit agencies that was previously approved to maintain core services and keep major sustainable transportation and rail capital projects on track. The preservation of the total funding level, however, comes with funding shifts and delays, and we will be working closely with transit agencies across the state over the coming days to understand more fully the impacts these changes could have on transit-reliant riders and communities.

"As we acknowledge Governor Newsom's continued commitment to public transit in the May Revise, we continue to voice our concerns that the $2.4 billion in transit funding for the FY 2023-24, a component of the $5.1 billion total investment, remains frozen by the Newsom Administration. The Association continues to urge the Governor and Legislature to direct that this funding, which was supposed to flow to agencies no later than April 30, 2024, be released immediately. Until it's distributed, the spending freeze imposes significant uncertainty around billions of dollars in one-time federal funding, project delivery timelines, and operations planning."

"As the budget process proceeds, we look forward to engaging the Newsom Administration and the Legislature on the details of the Governor's updated budget, working to ensure that the final mechanics and timeline for appropriating public transit funds meet the varied needs of regions and agencies across the state. The timely allocation of this funding remains essential for delivering a more robust, efficient, and cleaner public transit network for California that can significantly help advance the state's landmark environmental, mobility, and equity goals."

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