The Low Carbon Transit Operations Program provides operating and capital assistance for transit projects that reduce greenhouse gas emission and improve mobility, with a priority on serving disadvantaged communities. This program is administered by Caltrans in coordination with the California Air Resources Board and the State Controller’s Office. A total of $34.6 million in Program funds are available statewide for the 2016/2017 fiscal year. The Program receives an ongoing cap and trade revenues allocation of 5%.
As a transportation planning agency, the Transportation Agency is a designated recipient of Program funds for Monterey County, and can act as a lead agency on eligible projects or as a “contributing sponsor” that can pass funds to MST to support an eligible project. Program funds are allocated to regional transportation planning agencies and to transit operators using the State Transit Assistance distribution formula, which allocates funding to transportation planning agencies based on population and to transit operators based on transit operator revenues. The Transportation Agency’s allocation of Program funds is $192,808 and MST’s allocation is $31,163 for a Monterey County total of $223,971.
At its March 13, 2017 meeting, the MST Board of Directors approved an allocation request to use the $192,808 of Transportation Agency’s share of Program funds for free fares on weekends on Lines 41, 42, 44, 45 and 49 (Attachment 1). In addition, MST will distribute 600 summer youth passes to youth living in a disadvantaged community. This program of fares and summer passes supports transit services in North and East Salinas as well as Salinas residents living in the Santa Rita area, which are disadvantaged communities. In addition, MST’s program is an eligible project that is consistent with the Low Carbon Transit Operations Program guidelines.
Staff recommends that the Transportation Agency act as a “contributing sponsor” and release its FY 2016/17 Low Carbon Transit Operations Program allocation to MST for a new all electric bus for transit services in East Salinas and authorize the Executive Director to sign and submit required documentation to Caltrans (Attachment 2).