SB 1031 Summary

• Authorizes the Metropolitan Transportation Commission to impose four new revenue sources in the San Francisco Bay area until January 1, 2041: retail transactions and use tax (max 0.5%), regional payroll tax, parcel tax, and vehicle registration surcharge, each limited to 30-year terms.

• Requires the commission to develop an expenditure plan for revenues that mandates 70% of funds in the first five years and 90% thereafter benefit the counties where taxes are collected, with specific allocations: 45% for transit transformation, 25% for safe streets, 15% for connectivity, and up to 15% for flexible uses.

• Requires the Transportation Agency to commission an assessment by January 1, 2026 analyzing consolidation and enhanced coordination opportunities among Bay Area transit agencies, followed by a legislative report with recommendations by January 1, 2027.

• Expands the Metropolitan Transportation Commission's authority to adopt rules promoting seamless transit experiences through coordinated fares, schedules, mapping, wayfinding, and real-time information, with transit agencies required to comply to receive commission funding.

• Allows the commission to propose a ballot measure requiring employers near transit to purchase regional transit passes for employees and those far from transit to provide equivalent subsidies.