TO: AC Transit Board of Directors
FROM: Salvador Llamas, General Manager/Chief Executive Officer
SUBJECT: Application for Fiscal Year 2025-26 LCTOP Funds
ACTION ITEM
AGENDA PLANNING REQUEST: ?
RECOMMENDED ACTION(S):
Title
Consider adoption of Resolution No. 26-008 authorizing the General Manager or designee to file and execute applications and funding agreements with the California Department of Transportation (Caltrans) for allocations of the FY 2025-26 Low Carbon Transit Operations Program (LCTOP) funds for the Realign Service Operating Service Assistance Project, execute related Certifications and Assurances and assign the General Manager, or designee, as the Authorized Agent for resulting LCTOP grants.
Staff Contact:
Chris Andrichak, Chief Financial Officer
Body
STRATEGIC IMPORTANCE:
Goal - Financial Stability and Resiliency
Initiative - Financial Efficiency and Revenue Maximization
These LCTOP funds will support the Operating Budget.
BUDGETARY/FISCAL IMPACT:
The District's share of Cycle A revenue-based allocation is $4,522,843.
Staff anticipate receiving the LCTOP allocations by December 2026. There is no matching requirement for these funds. The new operating funds will be included in the FY 2026-27 Operating Budget, and these funds will offset operating costs on Realign routes.
No match is required for the LCTOP funds.
BACKGROUND/RATIONALE:
The LCTOP program is administered by Caltrans and is funded by auction proceeds from the California Air Resource Board's (CARB) Cap and Invest Program (formerly Cap and Trade), with proceeds distributed to transit operators annually using the State Transit Assistance (STA) formula.
The STA formula consists of two parts, with a portion of the funds directly to transit operators based on their revenue (referred to as "revenue-based") and another portion of funds is distributed to regions based on their population (referred to as "population-based").
Following the reauthorization of Cap and Inve...
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