The Transportation Section focuses on budget development and review of funding and legislation related to the state’s vast transportation infrastructure including state and federal highways and bridges, locally owned roads, transit and intercity rail systems, and the high-speed rail system. Along with the Transportation Agency, the section works to improve the mobility, safety, and environmental sustainability of the state transportation system including projects that encourage active transportation such as bicycling and walking. Transportation programs are supported by federal and state fuel excise taxes, local sales tax on gasoline, and various fees including license and registration fees. The repair, maintenance, and efficient operation of the state’s highway system are vital to California’s economic growth. However, state funding has fallen dramatically below the levels needed to maintain the system. Annual maintenance and repair needs on the state’s highway system are significantly more than can be funded within existing resources, with a current identified funding gap of almost $6 billion annually. A key initiative of the 2016 Budget is a comprehensive transportation funding plan to address decades of deferred maintenance on state and local

Proposition 1B Disbursements Local Streets and Roads

Proposition 1B (Prop 1B) provided $19.925 billion in bond funds for a variety of transportation priorities, including $2 billion for cities and counties to fund the maintenance and improvement of local transportation facilities.

Prop 1B – Local Streets and Roads Appropriation Summary

  • The 2007 Budget Act and Chapter 181, Statues of 2007 (SB88), appropriated a total of $950 million of these Prop 1B funds in 2007-08. Of this amount, Chapter 314, Statutes of 2007, (AB 196), specified that $550 million be allocated to cities and $400 million be allocated to counties.
  • The 2008 Supplemental Appropriation for Counties in Chapter 39, Statues of 2008) AB 1252), appropriated an additional $87 million of these Prop 1B funds to counties.
  • The 2008 Budget Act appropriated a total of $250 million in these Prop 1B funds in 2008-09. Of this amount, $187 million went to cities and $63 million went to counties.
  • The 2009 Budget Act appropriated the total remaining balance of $700 million in these Prop 1B funds in 2009-10. Of this amount, $258 million went to cities and $442 million went to counties.

Distribution of Prop 1B Funds to Cities and Counties:Download File

Department of Finance Seal
Governor Gavin Newsom
Finance Director Keely Bosler

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