Governor Newsom signs executive order to accelerate new technologies and services for California’s local transit and passenger rail networks throughout the state

At the same time, Trump’s proposed federal budget cuts funding for public transit and clean transportation programs nationwide. Trump’s Fiscal Year 2027 budget request would cut federal public transit funding by roughly 23% and passenger rail funding by about 82%, eliminating billions in planned investments for systems across the country. According to industry analysis, Trump’s budget would also zero out funding under the Infrastructure Investment and Jobs Act for key clean transportation programs, resulting in multi-billion dollar losses for modern transit, passenger rail, and decarbonization projects nationwide. 

Governor Newsom’s order is a direct response: directing state agencies to accelerate local and regional transit delivery, close service gaps, and give every Californian a reliable, affordable alternative to the car.

“California is continuing to build on Governor Newsom’s vision for a transportation system that is safer, cleaner and more connected for all Californians,” said California Transportation Secretary Toks Omishakin. “As global instability drives up fuel costs for working families, California is leading with investments in public transportation and infrastructure that reduces our reliance on fossil fuels.”

The order arrives at a time when the Trump administration’s devastating economic policies are squeezing American families. Since the Trump administration’s conflict with Iran began, American households have been saddled with an estimated $62.4 billion in extra fuel expenses, or roughly $476 per household. New York Fed research shows the pain is falling hardest on those who can least afford it: low-income households cut gas consumption by 7% in March, yet still faced a 12% spike in expenses due to rising prices. 

Governor Newsom’s order directs CalSTA and state agencies to: 

• Prioritize transit projects statewide: Consolidates critical local and regional projects into a state priority list, establishes public grant dashboards, common standards for transit data and payment systems, all with clear deadlines.

• Streamline project delivery: Develops design and permitting standards for transit infrastructure on the state highway system, reducing bureaucratic delays for local agencies building bus stops, shelters, signage, and transit lanes.

• Close transit gaps statewide: Directs Caltrans to coordinate bus and rail services across the state, so Californians in rural counties or underserved neighborhoods can get where they need to go, even where service is limited.

• Modernize transit data and payments: Publishes data standards and expands the California Integrated Travel Project (Cal-ITP) — a statewide program that brings real-time arrival information and contactless payment to transit systems across California, making it easier to ride and reducing operating costs for agencies.

• Expand Bus Rapid Transit and bus-only lanes: Supports the development of Bus Rapid Transit across the state highway system to deliver faster, more reliable bus service in dedicated lanes.

• Make transit funding easier to access: Launches real-time public dashboards tracking all transit grant programs, application volumes, and timelines.

• Caltrans Statewide Active Transportation Deployment Team: Directs Caltrans to establish a dedicated active transportation project delivery team to build in-house expertise and increase accountability.

The order supports the Newsom administration’s ongoing efforts to modernize California’s local and regional transportation network, including more than $11.5 billion through SB 1 (Beall, 2017) and the Cap-and-Invest program to support public transit and services, High-Speed Rail, and Executive Order N-2-24 on transit-oriented development.