The California Transportation Commission allocated $848 million last week to improve mass transit systems, expand pedestrian and bicycle options, and enhance freight movement across the state. The funding is part of Governor Gavin Newsom’s Build More, Faster – For All infrastructure agenda.
The new investments are intended to strengthen local transportation options while supporting California’s economy. The commission also approved the 2026 State Highway Operation and Protection Program (SHOPP), which will invest $17.9 billion over four years in safety features, access for bicyclists and pedestrians, as well as repairs to pavement and bridges on the state highway system.
Of the newly allocated funds, $47 million comes from the federal Infrastructure Investment and Jobs Act of 2021, with another $405 million provided through California’s Senate Bill 1 (SB 1), known as the Road Repair and Accountability Act of 2017.
A major portion of the spending includes $273 million dedicated to advanced technology for rail systems under construction in both the Bay Area and Southern California. This includes a $100 million allocation for building a five-mile tunnel that will extend BART between downtown San Jose and Santa Clara. The funds will support construction of a tunnel launch structure essential for future tunneling operations on this project. According to officials, this marks a shift from planning into sustained construction for BART Silicon Valley Phase II—a project leveraging more than $1.2 billion in state funding alongside additional local and federal sources.
The commission also approved the 2026 State Transportation Improvement Program with an investment total of $2.7 billion targeting priority projects statewide—from sidewalks and bike paths to zero-emission buses, transit line extensions, express lanes, bridge replacements, as well as better regional connections throughout California. Over sixty percent of new program funding is designated for biking, walking, rail, or transit improvements.
Additional allocations include $33 million to expand rail freight operations at Long Beach Port; another $35 million toward completing design and construction of rail power stations in Los Angeles; plus other investments such as a public-access electric vehicle charging facility in Sacramento ($33 million) and stabilization work on eroding Del Mar Bluffs in San Diego County ($3 million).
These actions reflect ongoing efforts by state agencies to address growing transportation needs while investing in sustainable mobility solutions.



