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The One Bay Area Grant Program is a new funding approach that better integrates the region’s federal transportation program with California’s climate law (Senate Bill 375, Steinberg, 2008). It is an incentive-based program designed to stimulate the production of housing in areas well-served by transportation, particularly public transit. It uses federal transportation dollars to reward jurisdictions that accept housing allocations through the state’s Regional Housing Need Allocation (RHNA) process and that actually produce housing.

One Bay Area Grants are awarded by considering the potential to achieve local land-use and housing goals. Special consideration is given to:

• Reward jurisdictions that accept housing allocations through the RHNA process and produce housing using transportation dollars as incentives.
• Support the Sustainable Communities Strategy for Plan Bay Area by promoting transportation investments in Priority Development Areas (PDAs) and by initiating a pilot program that will support open space preservation in Priority Conservation Areas (PCAs).
• Provide a higher proportion of funding to local agencies and additional investment flexibility by eliminating required program investment targets. The program allows flexibility to invest in transportation categories such as Transportation for Livable Communities, bicycle and pedestrian improvements, local streets and roads preservation, and planning activities, while also providing specific funding opportunities for Safe Routes to School (SR2S) and Priority Conservation Areas.

The One Bay Area Grant Program establishes commitments and policies for investing roughly $800 million over the four-year Cycle 2 period (FY 2012-13 through FY 2015-16), funded through continuations of the surface transportation legislation currently known as SAFETEA (“The Safe, Accountable, Flexible, Efficient Transportation Equity Act”) or the new surface transportation authorization currently under congressional consideration.

Questions regarding One Bay Area Grants may be directed to Craig Goldblatt of MTC staff at cgoldblatt@mtc.ca.gov or 510-817-5837.