Page 451 - FY 2020-21 Blue Book Volume II

PROPOSITION A LOCAL TRANSIT ASSISTANCE FUND

BASIS FOR THE PROPOSED BUDGET

The 2020-21 Proposed Budget for the Proposition A Local Transit Assistance (Proposition A) Fund relates to current
year funding as follows:

Amount % Change

2019-20 Adopted Budget $ 328,721,016

2020-21 Proposed Budget $ 241,562,122

Change from 2019-20 Budget $ (87,158,894) (26.5%)

Approved by the voters in November 1980, the Proposition A Fund revenue is allocated by the County of Los
Angeles based on population and provides for the use of the one-half cent sales tax revenues for the planning,
administration, and operation of Citywide public transportation programs. Proposed appropriations comply with the
Proposition A Local Return Program Guidelines adopted by the Los Angeles Metropolitan Transportation Authority
(Metro), which administers this Program. The Metro-approved guidelines for Proposition A funds reflect a
distribution of funding as follows: 40 percent for discretionary and incentive projects, 35 percent for rail transit, and
25 percent for local jurisdictions.

BUDGET HIGHLIGHTS

 Funding for Transit Operations consolidates appropriations for Commuter Express, DASH, and Cityride
transit in the amount of $138.0 million, and includes partial funding for various proposed transit options.

 A Transit Services Analysis (TSA) Study was completed and approved by the Mayor and Council in October
2018. A number of funding recommendations from the TSA Study are incorporated into the 2020-21
Proposed Budget. Ongoing funding for multi-phased projects will require additional policy discussion and
are subject to further approval by the Mayor and Council.

 Funding is provided to leverage grant funding to support the purchase of electric buses and facility upgrades
at the transit yards.

 Funding is provided for the City’s 2020-21 payment of the City Three Percent Measure R Match contribution
for Metro projects in the City of Los Angeles. The 15-year funding agreement with Metro (C.F. 13-0337)
approved on April 23, 2014, instructs the City to ensure that future City budgets include these payments.

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