CA AB125

Establishes Transit Transformation Task Force by January 1, 2024, to develop policy recommendations for growing transit ridership and improving transit experience, with report due to Legislature by October 31, 2025; repeals January 1, 2028.

Redirects General Fund appropriations for Transit and Intercity Rail Capital Program from project-based allocation to population-based formula distribution to regional transportation planning agencies, allowing use for transit operating expenses under approved financial plans.

Establishes Zero-Emission Transit Capital Program allocating funds 50% by population and 50% by transit operator revenues to regional agencies for zero-emission equipment and transit operations to prevent service reductions.

Extends fare box recovery ratio penalty exemptions for transit operators through fiscal year 2025-26 (from previous 2022-23 expiration) and modifies State Transit Assistance Program allocations through 2025-26.

Appropriates $5,802,000 to Department of Transportation for homelessness encampment coordination efforts on state highway system rights-of-way with reporting requirement by January 1, 2026; expands digital driver's license pilot program from 0.5% to 5% of licensed drivers.