- How much money is being invested? $25 million in 2014, 5% of CCIP proceeds continuously appropriated annually thereafter
- What are the conditions? Distributed to transit agencies per the State Transit Assistance formula; transit agencies with designated disadvantaged communities must spend at least 50% of their funds to benefit those communities
- Who’s in charge? Oversight by the Department of Transportation and the Air Resources Board
The Low Carbon Transit Operations Program (LCTOP) is a cap-and-trade program established in 2014 that provides funds to public transportation agencies throughout California for operations that reduce greenhouse gas emissions.
The LCTOP will receive $25 million in fiscal year 2014-15, and 5% of the California Climate Investments Program (CCIP, formerly the Greenhouse Gas Reduction Fund or GGRF) proceeds in future years. The CCIP is expected to increase, with up to $5 billion in annual available funding by 2019.
Funds from the LCTOP will be directly allocated to transit agencies using the State Transit Assistance formula. These agencies must prepare a document for the Department of Transportation and the Air Resources Board illustrating how they will use the funds to reduce greenhouse gases.
Agencies can make investments in capital projects and service that will increase the frequency and efficiency of transit systems. This may include:
- Increasing frequency of bus and rail service
- Transit passes
- Station area improvements
- Bicycle and pedestrian infrastructure
To meet SB 535’s requirements, the state requires that agencies that serve designated disadvantaged communities use at least 50% of their allocated funds to benefit those communities.
- Read our 2016 report: "Investing in Mobility and Equity: Strengthening California's Low Carbon Transit Operations Program"
- LCOTP homepage
- SB 862, the law that created the LCTOP
- CalSTA webpage
- CalEPA's CalEnviroScreen
- Air Resources Board's draft guidelines for SB 535 compliance
- Research on the benefits of transit passes:
- “Discounting Transit Passes”, Cornelius Nuworsoo, UC Berkeley 2005
- “Evaluation of an Innovative Transit Pass Program: the UPASS”, James Meyer and Edward Beimborn 1996
- “Public Transit Encouragement”, Victoria Transport Policy Institute 2014
- “Commuter Financial Incentives”, Victoria Transport Policy Institute 2014
- “Campus Transport Management”, Victoria Transport Policy Institute 2012
To learn more or get involved, contact: