Senate BillChaptered/SignedPublic Resources
SB 741: Low Carbon Transit Operations Program.
What SB 741 does, verified September 19, 2026
This bill amends the California Coastal Act of 1976 to clarify the process for issuing coastal development permits in emergency situations. In cases of local emergency, a municipality, county, or special district can declare an emergency, allowing for the issuance of coastal development permits without following the usual procedures. This change aims to facilitate development in emergency situations, such as natural disasters or other crises, while still maintaining the overall goals of the Coastal Act.
Bill journey
✓IntroducedComplete
✓In CommitteeComplete
✓First Chamber FloorComplete
✓Second ChamberComplete
✓GovernorComplete
6ChapteredCurrent
Last action: Chaptered by Secretary of State. Chapter 247, Statutes of 2026. (2026-09-18)Alert me
Author and sponsors
Full contact details, staff, and committees with Connect, $16/moUnlockRecent actions35 total · showing 5
| Sep. 18, 2026 | Chaptered by Secretary of State. Chapter 247, Statutes of 2026. |
| Sep. 18, 2026 | Approved by the Governor. |
| Sep. 08, 2026 | Enrolled and presented to the Governor at 4 p.m. |
| Aug. 30, 2026 | Assembly amendments concurred in. (Ayes 40. Noes 0.) Ordered to engrossing and enrolling. |
| Aug. 30, 2026 | Ordered to special consent calendar. |
Latest bill textEnrolled version, September 1, 2026 · 2,185 words
| Enrolled September 01, 2026 |
| Passed IN Senate August 30, 2026 |
| Passed IN Assembly August 25, 2026 |
| Amended IN Assembly July 01, 2026 |
| Amended IN Assembly June 08, 2026 |
| Amended IN Senate April 21, 2025 |
CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION
Senate Bill
No. 741
| Introduced by Senator Blakespear |
February 21, 2025 |
An act to amend Section 75230 of the Public Resources Code, relating to transportation, and making an appropriation therefor.
LEGISLATIVE COUNSEL'S DIGEST
SB 741, Blakespear. Low Carbon Transit Operations Program.
Existing law creates the Low Carbon Transit Operations Program to provide operating and capital assistance for transit agencies to reduce the emissions of greenhouse gases and improve mobility. Existing law requires the Department of Transportation to administer the program and to adopt guidelines, in coordination with the State Air Resources Board, that describe the methodologies to be used by a recipient transit agency to demonstrate that proposed expenditures will meet specified program expenditure requirements and establish the reporting requirements for documenting ongoing compliance with those expenditure requirements.
This bill would repeal the requirement for the department to adopt guidelines.
Existing law continuously appropriates a specified amount of money from the Greenhouse Gas Reduction Fund for the program and requires the Controller to allocate those moneys according to the requirements of the program. Existing law requires a recipient transit agency to demonstrate that expenditures of program moneys allocated to the agency reduce the emission of greenhouse gases and do not supplant other sources of funds. Existing law requires moneys for the program to be expended to provide transit operating or capital assistance that directly enhances or expands transit services, increases transit mode share, or is related to the purchase of zero-emission buses, as specified. Before seeking a disbursement of funds pursuant to the program, existing law requires a recipient transit agency to submit to the department a list of proposed expense types and documentation required by the guidelines that demonstrates compliance with the above-described expenditure requirements. For capital projects funded by the program, existing law requires a transit agency to specify the phases of work for which an allocation of program moneys is sought, identify sources and timing of all moneys required for those phases of work, and describe intended sources and timing of funding for subsequent phases of work, as provided. Existing law requires a recipient transit agency to provide an annual report to the department, as provided. Existing law requires the department and a recipient transit agency to comply with guidelines developed by the State Air Resources Board to ensure that the requirements of a certain investment plan are met to maximize the benefits to disadvantaged communities, as provided.
This bill would revise and recast the program to, among other things, require program funds to be expended only on maintenance or expansion of bus, rail, or ferry services, transit fare subsidies, and network and fare integration technology improvements. By altering the permissible uses for which continuously appropriated funds may be used, the bill would make an appropriation. Before receiving program funds, the bill would require a recipient transit agency to submit to the department a list of services or programs to be funded by those funds, as specified. The bill would require the department to report to the Controller the recipient transit agencies that have submitted the list, and would, upon receipt of the report from the department, require the Controller to allocate program funds. The bill would require a recipient transit agency to report to the department on the expenditure of program funds, as specified.
The people of the State of California do enact as follows:
SECTION 1.
(a) The Legislature finds and declares all of the following:(1) California has established comprehensive statutory goals to reduce greenhouse gas emissions, including the goals set forth in the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500) of the Health and Safety Code) and subsequent legislation requiring statewide reductions in greenhouse gas emissions. Consistent with those laws, reducing emissions from the transportation sector is critical to achieving the state’s climate objectives.
(2) The transportation sector is the largest source of greenhouse gas emissions in California, and reductions in vehicle miles traveled are necessary for the state to meet its climate, air quality, and public health goals.
(3) Public transportation provides Californians with safe, efficient, and affordable mobility options that reduce vehicle miles traveled and thus greenhouse gas emissions.
(4) Increased investment in public transportation infrastructure, transit operations, transit service reliability, and transit accessibility, can increase transit ridership and support reductions in greenhouse gas emissions from the transportation sector.
(5) Public transportation investments also advance state goals related to reducing air pollution, improving public health, increasing access to employment and essential services, promoting equitable economic opportunity, and supporting sustainable community development.
(6) The projects and services described in Section 2 of this act reduce greenhouse gas emissions consistent with state law and further the objectives of the Greenhouse Gas Reduction Fund.
(b) (1) It is therefore the intent of the Legislature to recognize that investments in public transportation are an effective strategy for reducing greenhouse gas emissions and for advancing California’s climate policies and statutory greenhouse gas reduction targets.
(2) It is the further intent of the Legislature that the projects and services described in Section 2 of this act be provided streamlined access to funding from the Greenhouse Gas Reduction Fund.
SEC. 2.
Section 75230 of the Public Resources Code is amended to read:75230.
(a) The Low Carbon Transit Operations Program is hereby created to provide operating and capital assistance for transit agencies to reduce the emissions of greenhouse gases and improve mobility, with a priority on serving disadvantaged communities.(b) Funding for the program is continuously appropriated pursuant to Section 39719.4 of the Health and Safety Code from the Greenhouse Gas Reduction Fund established pursuant to Section 16428.8 of the Government Code.
(c) (1) Except as provided in paragraph (2), funding shall be allocated by the Controller on a formula basis consistent with the requirements of this part, upon a determination by the department that the expenditures proposed by a recipient transit agency meet the requirements of this part and guidelines developed pursuant to this section, and that the amount of funding requested is currently available.
(2) For the portion of funding allocated pursuant to paragraph (1) under the formula set forth in Section 99314 of the Public Utilities Code, the Controller shall allocate that funding for the 2019–20 to 2025–26, inclusive, fiscal years based on the individual operator ratios described in Section 99314.10 of the Public Utilities Code.
(d) (1) Program funds shall be expended only on the following services and programs:
(A) Maintenance or expansion of bus, rail, or ferry services, including, but not limited to, equipment acquisition, vehicles, fueling, maintenance, and other costs to operate bus, rail, and ferry services. The expenditure of program funds on buses shall be in accordance with the State Air Resources Board’s Innovative Clean Transit Regulations (Article 4.3 (commencing with Section 2023) of Chapter 1 of Division 3 of Title 13 of the California Code of Regulations).
(B) Transit fare subsidies, including, but not limited to, discounted and free student transit passes.
(C) Network and fare integration technology improvements.
(2) An expenditure made pursuant to paragraph (1) shall be deemed to reduce greenhouse gas emissions.
(e) (1) For a recipient transit agency whose service area includes disadvantaged communities, as identified pursuant to Section 39711 of the Health and Safety Code, at least 50 percent of the total moneys received pursuant to this part shall be expended on projects or services that meet the requirements of subdivision (d) and benefit the disadvantaged communities, as identified consistent with the guidance developed by the State Air Resources Board pursuant to Section 39715 of the Health and Safety Code.
(2) The requirement of paragraph (1) is waived if the recipient transit agency expends the funding provided pursuant to this section on any of the following:
(A) New or expanded transit service that connects with transit service that serves disadvantaged communities, as identified pursuant to Section 39711 of the Health and Safety Code, or in low-income communities, as defined in paragraph (2) of subdivision (d) of Section 39713 of the Health and Safety Code.
(B) Transit fare subsidies and network and fare integration technology improvements, including, but not limited to, discounted or free student transit passes.
(C) The purchase of zero-emission transit buses and supporting infrastructure.
(3) Expenditures made pursuant to paragraph (2) shall be deemed to have met all applicable requirements established pursuant to Section 39713 of the Health and Safety Code.
(4) This section does not require a recipient transit agency to provide individual rider data to the Department of Transportation or to the State Air Resources Board.
(f) (1) Before receiving an allocation of funds pursuant to subdivision (c) from the Controller in a fiscal year, a recipient transit agency shall submit to the department a list of services or programs proposed to be funded with the funds. The list of services or programs proposed to be funded by the program may be for a single year or for multiple years. The list of services or programs proposed to be funded with the funds shall include a description and location of each proposed service or program. The list of services or programs submitted to the department shall not limit the flexibility of a recipient transit agency to fund services or programs in accordance with local needs and priorities if the services or programs are consistent with subdivision (d).
(2) The department shall report to the Controller a recipient transit agency that has submitted a list of services or programs as described in this subdivision and that is therefore eligible to receive an allocation of funds for the applicable fiscal year. The Controller, upon receipt of the report, shall allocate funds consistent with subdivision (c).
(g) For each fiscal year, a recipient transit agency receiving an allocation of funds pursuant to subdivision (f) shall, upon expending those funds, submit documentation to the department that includes a description and location of each completed service or program, and the amount of funds expended on the service or program.
(h) A recipient transit agency that has used program moneys for any type of service or program allowed by subdivision (d) in a previous fiscal year may use program moneys to continue the same service or program in a subsequent fiscal year.
(i) A recipient transit agency that does not submit a list pursuant to paragraph (1) of subdivision (f) in a particular fiscal year may retain its funding share, and may accumulate and use that funding share in a subsequent fiscal year for a larger expenditure. The recipient transit agency shall first specify the number of fiscal years that it intends to retain its funding share and the program or service for which the agency intends to use these moneys. A recipient transit agency may only retain its funding share for a maximum of four fiscal years.
(j) A recipient transit agency may, in any particular fiscal year, loan or transfer its funding share to another recipient transit agency within the same region for any identified eligible program or service under the program, in accordance with procedures developed and adopted by the department.
(k) A recipient transit agency may apply to the department to reassign any savings of surplus moneys allocated under this section to the agency for a program or service that has been completed to another eligible program or service under the program. A recipient transit agency may also apply to the department to reassign to another eligible program or service any moneys from the program previously allocated to the agency for a program or service that the agency has determined is no longer a priority for the use of those moneys.
(l) A recipient transit agency shall comply with all applicable legal requirements, including the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000)), and civil rights and environmental justice obligations under state and federal law. This section does not expand or extend the applicability of those laws to recipient transit agencies.
(m) The audit of public transportation operator finances already required under the Mills-Alquist-Deddeh Act (Chapter 4 (commencing with Section 99200) of Part 11 of Division 10 of the Public Utilities Code) pursuant to Section 99245 of the Public Utilities Code shall be expanded to include verification of receipt and appropriate expenditure of moneys from the program. Each recipient transit agency receiving moneys from the program in a fiscal year for which an audit is conducted shall transmit a copy of the audit to the department, and the department shall make the audits available to the Legislature and the Controller for review on request.
(n) Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code does not apply to the development of guidelines or procedures for the program pursuant to this section.
(o) For purposes of this section, “department” means the Department of Transportation.
Text of SB 741 as enrolled, from the official record. Connect Plus keeps every version and highlights what changed.Compare versions