TO:Andrew P. Powers, City Manager
FROM:Jaime Boscarino, Finance Director
DATE:September 23, 2025
SUBJECT: Fiscal Year 2025-26 Transportation Development Act Allocation Claim
RECOMMENDATION:
1. Adopt resolution authorizing staff to file a claim with Ventura County Transportation Commission (VCTC) for the Transportation Development Act (TDA) allocation of $5,712,915 from the Local Transportation Fund (LTF) and an estimated $35,500 from the State Transit Assistance (STA) and State of Good Repair (SGR) funds.
2. Find that this action is not a project as defined under the California Environmental Quality Act.
LEVINE ACT ITEM: No
FINANCIAL IMPACT:
No Additional Funding Requested. Staff time to complete documents and resolution related to the FY 2025-26 TDA Allocation Claim is included in the Adopted FY 2025-26 Transportation Fund Budget. Approval of the claim will provide $5,712,915 in TDA funds and an estimated $35,500 in STA and SGR funds for the operation of the City’s Transit program and local streets and roads maintenance.
BACKGROUND:
The City manages over 380 miles of roadway infrastructure and Thousand Oaks Transit provides bus, Dial-A-Ride (DAR), and Americans with Disabilities Act (ADA) paratransit services to its residents. These services are provided within the City limits, adjacent Ventura County unincorporated areas (including Oak Park),
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and the City of Westlake Village, with extended inter-city services to the cities of Camarillo, Moorpark, Simi Valley, and Agoura Hills. Funding for road maintenance and transit services is received from a variety of federal, state, and local sources, including TDA and Gas Tax funds.
TDA funds are generated from a quarter-cent state-wide sales tax and are allocated annually by VCTC. To claim its allocation, the City is required to adopt a resolution (Attachment #1) listing transportation projects for funding.
DISCUSSION/ANALYSIS:
The State has made available to the City $5,712,915 in LTF funding and an estimated $35,500 in STA and SGR funding.
Local Transportation Fund
Under Senate Bill (SB) 203, effective July 2014, all cities in the state with populations of 100,000 or more are required to spend local transportation funds on public transit only and no longer have the ability to use these funds toward streets and roads. Effective July 1, 2018, SB 848 was passed which restored the City’s ability to spend funds on streets and roads, as allowed prior to SB 203, provided the City has no unmet transit needs. TDA funds are allocated by a pre-determined population-based formula. For FY 2025-26, the City has no unmet transit needs and thus will claim $1,750,000 in TDA funds for streets and roads.
STA and SGR Funds
STA funds are allocated by formula to selected agencies, with a portion determined by population and another portion allocated according to operator revenues from the prior fiscal year. SGR funds are performance-based and are allocated accordingly. The total estimated claim amount is based on estimates provided to the City by VCTC of $35,500, of which $30,000 is for STA and $5,500 is for SGR funds. STA and SGR funds of $35,500 are earmarked for the new bus wash project. These funds may only be used for transit purposes and may not be used for streets and roads projects. Once the amounts are finalized by the State, VCTC will send the City its actual allocation.
TDA Farebox Match Requirement
In order to receive TDA funds for transit services, City bus operations must show a local support (farebox) to operating cost ratio of 20 percent, and DAR/ADA services must show a farebox ratio of 10 percent. In years when there is a shortfall, it has primarily been subsidized by Air Quality Developer Fee funds for this matching requirement.
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On July 16, 2021, Governor Newsom signed Assembly Bill 149, which prohibited the imposition of a penalty on operators that do not maintain the required ratio of fare revenues to operating costs through FY 2024-25. On July 11, 2023, Governor Newsom signed Senate Bill 125 extending prior Bill 149 through FY 2025-26.
Therefore, no farebox match transfer will be required in FY 2025-26 to cover any farebox match shortfalls.
COUNCIL GOAL COMPLIANCE:
Meets the following City Council goal:
C. Operate City government in a fiscally and managerially responsible and prudent manner to ensure that the City of Thousand Oaks remains one of California's most desirable places to live, work, visit, recreate, and raise a family.
PREPARED BY: Ana Olvera, Accountant
Attachment:
Attachment #1 – TDA Funds Claim Resolution
FIN:330-40\ao\H:\COMMON\Council\2025\Accounting\092325 TDA Funds Claim Staff Report.docx