October 2024
MTC’s Transit-Oriented Communities Policy
On September 28, 2022, the Metropolitan Transportation Commission (MTC) adopted the Transit-Oriented Communities (TOC) Policy (MTC Resolution 4530) to support the region’s transit investments by creating communities around transit stations and along transit corridors that not only enable transit ridership, but also are places where Bay Area residents of all abilities, income levels, and racial and ethnic backgrounds can live, work, and access services.
Future One Bay Area Grant (OBAG) funding cycles
will consider prioritizing investments in transit
station areas that are subject to and compliant with
the TOC Policy. Jurisdictions should anticipate
demonstrating compliance prior to the adoption of
OBAG 4, expected in 2026. MTC’s TOC Policy
Administrative Guidance provides more information
on requirements and the process and required
documentation for confirming compliance.
Applicability
The TOC Policy applies to the half-mile area around
existing and planned fixed-guideway transit stops
and stations (i.e., regional rail, commuter rail, lightrail transit, bus rapid transit, and ferries). Compliance with the TOC Policy is voluntary for jurisdictions that want to advance the goals of Plan Bay Area 2050 or
to be eligible and/or competitive for some MTC
discretionary funding. Access a map of TOC areas or
a spreadsheet of jurisdictions and TOC areas subject
to the OBAG 4 compliance deadline.
TOC Policy Goals
1. Increase the overall housing
supply in part by increasing the
density for new residential
projects. Prioritize affordable
housing in transit-rich areas.
2. In areas near regional transit
hubs, increase density for
businesses and commercial
development.
3. Prioritize bus transit, active
transportation, and shared
mobility within and to/from
transit-rich areas, particularly to
Equity Priority Communities.
4. Support and build partnerships
to create equitable transitoriented communities within the San Francisco Bay Area.
Transit Tiers
Areas subject to the TOC Policy are categorized by tier according to level of transit service:
• Tier 1: Rail stations serving regional centers (i.e., Downtown San Francisco, Downtown Oakland, and Downtown San José).
• Tier 2: Stop/station served by two or more BART lines or BART and Caltrain. • Tier 3: Stop/station served by one BART line, Caltrain, light rail transit, or bus rapid transit.
• Tier 4: Commuter rail (SMART, ACE, Capitol Corridor, Valley Link) stations, Caltrain stations south of Tamien, or ferry terminals.
Implementation Process and Timeline
MTC developed an online submission portal to streamline the process for jurisdictions to demonstrate compliance with TOC Policy requirements. Jurisdictions can submit documentation on a rolling basis until an anticipated deadline corresponding with OBAG 4 in early 2026. Jurisdictions can contact MTC for assistance with the compliance process.
October 2024
TOC Policy Requirements
The TOC Policy focuses on the core elements of land use density, affordable housing, parking management, and complete streets/multimodal access to implement Plan Bay Area 2050 strategies.
1. Minimum residential and commercial office densities for new development:
• On average, the minimum density for parcels in the ½-mile TOC area must exceed a threshold determined by the TOC area’s Transit Tier. • If a jurisdiction adopts a maximum density for parcels in the ½-mile TOC area, on average, the maximum density must exceed a threshold determined by the TOC area’s Transit Tier.
• A jurisdiction is not required to zone for a particular land use in the TOC area. • Only areas where residential uses are allowed are included in residential density calculations, and only zoning districts that allow commercial office land uses as a primary use are included in commercial office density calculations. • Parcels with existing dwelling units can be excluded from the residential and commercial office density calculations.
2. Policies for affordable housing and commercial stabilization:
• A jurisdiction must adopt at least two policies for each of the “3Ps” of affordable housing (production, preservation, protection) and at least one policy for commercial stabilization.
• A jurisdiction chooses policies that best meet local needs from a menu of options. • Policies must apply in TOC areas, but a jurisdiction may choose to apply them beyond the TOC area(s), including jurisdiction wide.
3. Parking management:
• No minimum parking requirements allowed in most Transit Tiers for new residential or commercial development.
• Parking maximums for new residential and general/neighborhood commercial uses vary by Transit Tier.
• Requirements for bicycle, shared, and unbundled parking as well as Transportation Demand Management (TDM)/curb management.
4. Transit station access and circulation:
• Adopt policies/guidelines that comply with Complete Streets Policy. • Prioritize implementation of Active Transportation Plan and/or relevant Community Based Transportation Plans within TOC station area. • Complete an access gap analysis and accompanying capital and/or service improvement program.
• Identify opportunities for Mobility Hub planning and implementation.
See MTC’s TOC Policy Administrative Guidance for more information on requirements and the process and required documentation for confirming compliance.