San Jose City Council
April 14, 2026
Greg Richardson & Sam Sargent, VTA
John Ristow & Jessica Zenk, City of San José
1 Item 5.1 Transportation Policy
Priorities for Santa Clara Valley
Transportation Authority Local
Investment Plan Related to
Senate Bill 63 Revenue Measure
VTA at a Glance
VTA provides sustainable, accessible, community-focused transportation options that are innovative, environmentally responsible, and promote the vitality of our region. VTA provides bus, light rail, and paratransit services VTA is the county’s Congestion Management Agency (CMA) VTA is a funding partner for regional rail including Caltrain, Capitol Corridor, and ACE VTA passengers travel nearly 134 million miles annually on 27.7 million trips.
The agency is critical to mobility and quality of life in Santa Clara County. 2 3
BART Silicon Valley Phase II: 75,000 jobs created during the project, connecting 2 million people to 3.5 million jobs in the region on completion.
Transit Oriented Development: 28 sites in Santa Clara County, 10 in active development delivering 2,500 new homes.
Small Business Opportunities: Provided contracting opportunities to over 350 small businesses, that includes significant number of local firms, with more than $146 million paid to small businesses.
VTA and Economic Development
For every $1 invested in transit, there is $5 in economic impact.
Examples of VTA’s impact beyond mobility services include:
VTA in the City of San Jose
In San Jose, the vast majority of VTA’s high-quality, multimodal transit options come together:
VTA has funded and delivered billions in multimodal projects in San Jose including $262.3 million in 2016 Measure B awards alone:
4 4 Rapid Bus Lines
16 Frequent Bus Lines
10 Local Bus Routes
Orange Line (Light Rail)
Green Line (Light Rail)
Blue Line (Light Rail)
5 SB 63: 5-County Regional Measure
On August 7, the VTA Board voted unanimously to join the 5- county regional transportation sales tax measure.
1/2 cent rate
14-year term
10.38-percent to Caltrain
5-percent to MTC’s Transit Transformation Action Plan 0.25-percent for administration
$264 million annually to Santa Clara County
The regional measure is a citizen’s initiative, meaning 50-percent plus one is required for voter approval (not two-thirds).
6 SB 63: 5-County Regional Measure
Under the SB63 enabling legislation, regional measure funds may be used for…
“ …public transit expenses and roadway re-pavement
projects on roads served by fixed-route transit. ”
7 VTA is Focused on Three Primary Outcomes:
Grow ridership
Increase productivity
Enhance the customer experience
Including safety, security and cleanliness
Delivered in a Financially Sustainable Way
Local Investment Plan Principles
VTA is developing a Local Investment Plan Santa Clara County’s part of the 5-county regional measure. We need your input!
Foundation
Leveraging VTA’s expertise and data to drive decision-making Reimagine
Modernizing the business model and improving VTA service delivery Transform
Adopting new technologies and forming strategic partnerships to futureproof the VTA transit system
8 Local Investment Plan Strategic Areas
9 Foundation
Bus Corridor Improvements
Station Upgrades
Transit Service
Transit Capital Improvements
Local Investment Plan Strategic Areas
With your help, VTA staff can assess potential transit
projects in each area, such as:
10 Local Investment Plan Strategic Areas
With your help, VTA staff can assess potential transit
projects in each area, such as:
Reimagine
Visionary Network
Speed Improvements
Fare Programs for Seniors and Students
Safety and Security Enhancements
11 Transformation
Innovative Customer Experience Projects
Advanced Vehicle Technologies
Light Rail Fleet Replacement
Station Redevelopments
Local Investment Plan Strategic Areas
With your help, VTA staff can assess potential transit
projects in each area, such as:
12 Local Investment Plan – Bringing It All Together
Project Percentage of
Revenues Primary Outcome(s) KPIs
Foundation
Transit Service
Local Road Improvements
Station Improvements
Reimagine
Visionary Network
Transit Capital Projects
Speed Improvements
Fare Programs
Mico Transit
Transformation
Innovative Transit Projects
Autonomous Vehicles
AI Opportunities
Light Rail Fleet
With meaningful city, county, and community input, VTA staff will develop a draft local investment framework for future regional measure funds. 13 Discuss Local Investment Plan, develop KPIs that drive the three outcomes:
Grow Ridership
Increase Productivity
Enhance Customer Experience
April 17 – Future of Transportation Workshop
VTA Board action on the Local Investment Plan
June 4 – Board Meeting
March & April – City, County, and Community Engagement
April & May – Refinement of Draft Plan, Continued Engagement Local Investment Plan Next Steps
4/13/2026 1414
SB 63 Revenue Allocation (Santa Clara County)
Allocation Category Share Estimated Annual Funding
VTA (Transit + Roadway) 84.37% $264 million
Caltrain 10.38% $32.5 million
Transit Transformation (T-TAP) 5% $15.7 million
Administration 0.25% $783,500
4/13/2026 1515
Priority #1: Roadway Maintenance
• SB 63 allows funding for “… roadway repavement
projects on roads served by fixed-route transit”
• San José maintains approximately 660 lane miles
along transit corridors
• Maintenance est. at $30–37 million annually
• Bus corridors wear faster, resulting in more repairs
• San José Measure T funding expires in 2028
• Staff recommendation: >20% of funds for street
maintenance used by fixed-route transit
4/13/2026 1616
Priority #2: Transit-Supportive Capital
• Use as local funding to unlock major transit infrastructure projects • Example projects:
• Diridon Station
• Diridon to Airport Connector
• Caltrain electrification to Gilroy
• Modernize system: zero-emission fleet conversion & next-generation light rail • Staff recommendation: >30% of funds to capital projects – local match for transformational projects
4/13/2026 1717
Priority #3: Transit Service & Rider
Experience
• Goal: improve ridership & transit competitiveness
• Visionary Network: more frequent & reliable service
• Better experience: lighting, seating, ADA access,
clean and safe transit programs, transit signal priority • Fare modernization: fare capping, all-door boarding,
and youth pass
• Staff recommendation: ~50% of funds to improve
operations, reliability, and customer experience
4/13/2026 1818
Regional Transit Transformation (T-TAP – 5%)
• Focus: integration, access, customer experience
• Santa Clara County priorities:
• Seamless fare integration (transfers, Clipper START)
• Improved wayfinding & passenger information
• Cross-jurisdictional services: paratransit & mobility programs
• $15.7 million/year to the Transit Transformation
Action Plan, administered by MTC
• Required by enabling legislation (SB 63)
[email protected]
19 Stay Engaged:
This is Your Local
Investment Plan
San Jose City Council
April 14, 2026
Greg Richardson & Sam Sargent, VTA
John Ristow & Jessica Zenk, City of San José
20 Item 5.1 Transportation Policy
Priorities for Valley
Transportation Authority
Draft Local Investment Plan