SB 1087 California Senate · 2025-2026 Regular Session

Transportation planning: sustainable communities strategies: transportation funding programs.

Summary

(1) Existing law requires certain transportation planning agencies to prepare and adopt regional transportation plans directed at achieving a coordinated and balanced regional transportation system. Existing law requires a regional transportation plan to include a policy element, a sustainable communities strategy prepared by a metropolitan planning organization, an action element, and a financial element, as provided. Existing law requires those transportation planning agencies to adopt and submit every 4 years, except as provided, an updated regional transportation plan to the California Transportation Commission and the Department of Transportation. Existing law requires a sustainable communities strategy to achieve regional targets set by the State Air Resources Board for the reduction of greenhouse gas emissions from the automobile and light truck sector in the region for 2020 and 2035, respectively, and requires the state board to update those targets every 8 years, consistent with each metropolitan planning organization's timeframe for updating its regional transportation plan, as specified. Existing law establishes certain procedural requirements for setting and updating those targets and authorizes the state board to revise the targets every 4 years based on changes in specified factors. Existing law, to the extent the sustainable communities strategy is unable to achieve the greenhouse gas emission reduction targets, requires a metropolitan planning organization to prepare an alternative planning strategy to the sustainable communities strategy showing how the targets would be achieved through alternative development patterns, infrastructure, or additional transportation measures or policies. Existing law requires the state board to review each metropolitan planning organization's sustainable communities strategy and alternative planning strategy to determine whether the strategy, if implemented, would achieve the greenhouse gas emission reduction targets. This bill would revise and recast the requirements for a sustainable communities strategy, including, among other things, (A) requiring a sustainable communities strategy every 8 years with a progress report after 4 years instead of requiring a sustainable communities strategy every 4 years, (B) requiring the state board to provide each region with greenhouse gas emission reduction targets for 2035 and 2045, and (C) requiring the state board to hold technical workshops before providing those targets. The bill would also revise the state board's process for reviewing sustainable communities strategies and alternative planning strategies, as specified. Because the bill would expand duties of local agencies, it would impose a state-mandated local program. (2) Existing law requires, commencing January 1, 2020, the San Diego Association of Governments to begin developing an implementation report that tracks the implementation of its most recently adopted sustainable communities strategy, as provided. Existing law requires the Sacramento Area Council of Governments to report on the regional implementation of its most recently adopted sustainable communities strategy, as provided. This bill would repeal those provisions. (3) Existing law requires the Department of Transportation to prepare the California Transportation Plan for submission to the Governor and the Legislature as a long-range planning document that incorporates various elements and is consistent with specified expressions of legislative intent. Existing law requires the plan to identify the statewide integrated multimodal transportation system needed to achieve statewide greenhouse gas emission reduction targets and to attain state and national air quality standards. This bill would also require the plan to, among other things, incorporate performance measures into planning that informs delivery of transportation capital projects to help achieve the goals of the plan. The bill would, commencing with the 3rd update to the plan, revise the information that the department is required to include in the plan to include, among others, relevant performance measures within each district of the department. (4) Existing law requires certain funds appropriated by the Legislature from the Public Transportation Account to be made available for specified purposes, including, among other purposes, for the department's planning activities, mass transportation responsibilities, and assistance in regional transportation planning, as specified. This bill, for any activities within the region of a metropolitan planning organization, would require the department to limit funding to activities that are consistent with an applicable sustainable communities strategy or alternative planning strategy, as specified. (5) Existing law creates the Road Maintenance and Rehabilitation Program to address deferred maintenance on the state highway system and the local street and road system. Existing law provides for the deposit of various moneys for the program into the Road Maintenance and Rehabilitation Account. Existing law requires funds in the account to be allocated for various purposes, including, among others, $25,000,000, upon appropriation by the Legislature, for local planning grants to encourage local and regional planning that furthers state goals, as provided. Existing law requires the department to develop a grant guide for the allocation of these grants. This bill, for areas within a metropolitan planning organization, would require the grant guide to encourage planning that furthers the goals of a sustainable communities strategy or alternative planning strategy. (6) Existing law requires the commission, under a program commonly known as the Trade Corridor Enhancement Program, to allocate certain state and federal funds to infrastructure projects located on or along specified transportation corridors. Existing law establishes the Solutions for Congested Corridors Program and requires the commission to allocate state funds made available to the program to projects designed to achieve a balanced set of transportation, environmental, and community access improvements within highly congested travel corridors throughout the state. Under both programs, existing law requires projects within the boundaries of a metropolitan planning organization to be included in an adopted regional transportation plan that includes a sustainable communities strategy determined by the state board to achieve the region's greenhouse gas emission reduction targets. For purposes of those programs, this bill would instead require, if the metropolitan planning organization has adopted an alternative planning strategy, the projects to meet prescribed requirements, including that the predominant purpose of the project is to implement a specific greenhouse gas emission reduction strategy or addresses an impediment to achieving an applicable greenhouse gas emission reduction target identified in the alternative planning strategy. (7) Existing law requires funding to be available under the Solutions for Congested Corridors Program for projects that make specific performance improvements and are part of a comprehensive corridor plan designed to reduce congestion in highly traveled corridors. Existing law authorizes the department and certain regional transportation planning agencies to nominate projects for funding through the program. This bill would require funding to be available under the program for projects that, among other things, make specific performance improvements and support the implementation of a regional transportation plan. The bill would revise the requirements applicable to a project nomination under the program. The bill would require the commission to allocate program funds to projects that, among other things, are included in an adopted regional transportation plan, as specified. (8) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.

Bill status passed both 4 of 5 stages cleared

Introduction

Feb 2026

Committee Review

Aug 2026

Senate Passage

May 2026

Assembly Passage

Aug 2026

Governor

Introduced Feb 13, 2026 Last action Aug 30, 2026

Maddy AI version diff · 5 comparisons

What changed between versions

08/21/26 - Amended Assembly → SB1087 · 6 edits

MODERATE

The final enrolled version of SB 1087 makes several substantive adjustments to the sustainable communities strategy framework compared to the prior amended assembly version. The most notable changes include a one-year delay in when metropolitan planning organizations must begin using the new 8-year strategy cycle (from January 1, 2027 to January 1, 2028), the addition of a feasibility qualifier to target-setting requirements, expanded factors that the state board must consider when establishing regional greenhouse gas targets, and extended review periods for technical methodology and strategy submissions. These changes collectively give local agencies more time to prepare and make the target-setting process less rigid while increasing transparency.

TIMELINE

The start date for the 8-year sustainable communities strategy cycle was delayed from January 1, 2027 to January 1, 2028, giving metropolitan planning organizations an additional year before they must transition from the existing 4-year cycle.

The state board's review period for a metropolitan planning organization's technical methodology submission was extended from 30 days to 60 days.

The state board's review period after receiving a sustainable communities strategy or alternative planning strategy was extended from 30 days to 60 days.

REQUIREMENT

The requirement for how greenhouse gas emission reduction targets must be set was changed from 'shall do both of the following' to 'all of the following to the extent feasible and based on reasonably available information,' adding a flexibility qualifier that acknowledges practical limitations in target-setting.

A new requirement was added for the state board to identify the material considerations that informed its determination before establishing regional greenhouse gas emission reduction targets, increasing transparency in the target-setting process.

The list of factors the state board must consider when setting targets was significantly expanded to explicitly name cities, counties, special districts, county transportation agencies, air districts, metropolitan planning organizations, and the federal government as entities whose policies and investments should be considered, and added housing and development conditions, geographic characteristics, and reasonably foreseeable state and federal actions.

06/25/26 - Amended Assembly → 08/21/26 - Amended Assembly · 14 edits · Aug 21, 2026

MAJOR

The August 2026 amendment to SB 1087 makes several major changes: it extends the sustainable communities strategy planning cycle from every 4 years to every 8 years (with a progress report at year 4), removes provisions that would have given the California Transportation Commission authority over regional plan guidelines and travel demand models, eliminates a CEQA exemption for transportation plans, and adds detailed new requirements for how the State Air Resources Board must set regional greenhouse gas targets including an advisory committee, technical workshops, and public comment processes. The bill also removes the requirement for Caltrans to coordinate its state highway program with regional plans.

SCOPE

The sustainable communities strategy planning cycle is extended from every 4 years to every 8 years, with a progress report required 4 years after adoption. This significantly reduces how often regions must update their strategies.

Provisions amending Government Code Sections 14522, 14522.1, and 14526.5 are removed entirely. This eliminates the bill's requirements for the California Transportation Commission to adopt guidelines for regional transportation plans and sustainable communities strategies, to maintain travel demand model guidelines with advisory committees and workshops, and for Caltrans to coordinate its state highway operation and protection program with regional transportation plans.

New provision repeals existing law requiring the San Diego Association of Governments and Sacramento Area Council of Governments to prepare implementation reports tracking their sustainable communities strategies.

ENFORCEMENT

The CEQA exemption for regional transportation plans, sustainable communities strategies, and alternative planning strategies is removed from the bill. These documents will no longer be exempt from environmental review requirements under this legislation.

The provision stating that certain state-mandated local programs imposed by the bill would not require reimbursement is removed. The bill now uses standard mandate reimbursement language without specifying any exemptions from reimbursement.

REQUIREMENT

The State Air Resources Board must appoint a Regional Targets Advisory Committee by July 1, 2027, to recommend factors and methodologies for setting greenhouse gas targets. The committee must submit a report by July 1, 2028, which the board must consider before setting targets.

The State Air Resources Board must convene at least two technical workshops before setting regional greenhouse gas targets, inviting metropolitan planning organizations, air districts, Caltrans, the Transportation Commission, housing agencies, local governments, and technical experts to participate.

Before updating regional targets after the initial setting, the State Air Resources Board must exchange technical information with multiple agencies, release draft targets for public comment, and publish its methodology and assumptions in a downloadable format on its website.

DEFINITION

The basis for setting regional greenhouse gas targets is broadened. Previously targets reflected the combined effect of policies to improve fleet efficiency and reduce vehicle miles traveled. Now they must consider the combined effects of existing and reasonably foreseeable policies, regulations, and investments by a wider range of entities (cities, counties, special districts, air districts, MPOs, state, and federal government) including changes in transportation technologies and more efficient land use patterns.

TIMELINE

Regional greenhouse gas emission reduction targets must now be updated every 8 years instead of every 4 years, aligned with the new 8-year strategy cycle. The initial targets for 2035 and 2045 are due by December 31, 2028.

FISCAL

The provision requiring Caltrans to coordinate with regional transportation planning agencies to ensure regionally significant projects in the state highway operation and protection program align with regional transportation plans is removed.

For the Solutions for Congested Corridors Program, the requirement that projects be part of a comprehensive corridor plan is replaced with a requirement that they support implementation of a regional transportation plan. For regions with an alternative planning strategy, projects must have as their predominant purpose implementing a specific greenhouse gas emission reduction strategy or addressing an impediment to achieving targets.

Public Transportation Account funding within metropolitan planning organization regions is now limited to activities consistent with an applicable sustainable communities strategy OR alternative planning strategy (previously only the sustainable communities strategy was referenced).

TECHNICAL

The California Transportation Plan performance management requirement is revised to require Caltrans to incorporate performance measures into planning that informs delivery of transportation capital projects, and the third update must include relevant performance measures within each district showing how they informed corridor, modal, district, and project planning for projects anticipated to be completed by 2035 and 2045.

02/13/26 - Introduced → 03/25/26 - Amended Senate · 13 edits · Mar 25, 2026

MAJOR

SB 1087 was substantially expanded in the Senate to overhaul California's sustainable communities strategy framework, transportation funding programs, and planning guidelines. The bill now gives metropolitan planning organizations flexibility on when to prepare new strategies, broadens greenhouse gas targets to cover all on-road transportation sectors (not just automobiles and light trucks), transfers review authority from the Air Resources Board to the California Transportation Commission, adds a CEQA exemption for regional plans, and imposes new state-mandated local programs.

Scope change

The bill expanded from a narrow amendment to the sustainable communities strategy timing provision into a comprehensive overhaul of California's transportation planning framework, covering planning guidelines, travel demand model standards, asset management, funding program eligibility criteria, CEQA exemptions, and public participation requirements across multiple code sections.

SCOPE

The bill now amends many more code sections: Government Code 14522, 14522.1, 14526.4, 65080, 65080.01 (plus new 65080.03) and Streets and Highways Code 2032, 2033.5, 2192, 2391, 2392, 2393, 2394, and 2397, compared to only Government Code 65080 and Streets and Highways Code 2032 and 2033.5 in the introduced version.

A new CEQA exemption is created: preparation and adoption of regional transportation plans, sustainable communities strategies, and alternative planning strategies are exempt from CEQA if the applicable MPO or regional transportation planning agency conducts enhanced public outreach. This imposes a state-mandated local program because lead agencies must determine whether a project qualifies.

State-mandated local program designation changed from 'no' to 'yes,' reflecting that the bill now imposes new duties on local agencies (expanded planning requirements and CEQA exemption determinations).

TIMELINE

The sustainable communities strategy timing changed from a fixed 'every 2nd regional transportation plan' to 'commencing with the first or second regional transportation plan prepared on or after January 1, 2027, as determined by the applicable metropolitan planning organization,' giving MPOs flexibility on which cycle to prepare a new strategy.

DEFINITION

Greenhouse gas emission reduction targets are now for 'all on-road transportation sectors for 2035' rather than only the 'automobile and light truck sector for 2020 and 2035.' Targets must reflect the combined effect of policies, regulations, and investments to improve fleet efficiency and reduce vehicle miles traveled, and must be based on what is achievable for the region considering existing conditions, exogenous factors, and financial constraints.

ENFORCEMENT

The authority of the State Air Resources Board to revise regional greenhouse gas targets every 4 years was eliminated. New public participation requirements (draft target release, published methodology 60 days in advance, two public workshops, and a public hearing) must be completed before updating targets.

Review of sustainable communities strategies and alternative planning strategies is transferred from the State Air Resources Board to the California Transportation Commission. A strategy is deemed approved for implementation and funding alignment purposes if the commission does not take certain actions within specified deadlines.

REQUIREMENT

If a regional transportation plan is submitted without a new sustainable communities strategy, the metropolitan planning organization must submit a 'sustainable communities strategy implementation report.' The commission must prescribe required contents of these reports in guidelines.

Alternative planning strategies must now include an analysis of an alternative development pattern (previously optional). The requirement that an alternative development pattern be a separate document from the regional transportation plan is eliminated.

The commission is now required (not merely authorized) to adopt guidelines for preparation of regional transportation plans and sustainable communities strategies, must collaborate with the Air Resources Board on SCS guidelines, and must prescribe acceptable technical methodologies for estimating greenhouse gas emissions.

The commission must coordinate with regional transportation planning agencies and MPOs to ensure regionally significant projects selected for the state highway operation and protection program align with the timing, phasing, and scope of projects in applicable regional transportation plans.

The Regional Targets Advisory Committee must now also recommend how state fair housing, affordability, resilience, economic vibrancy, and land conservation goals should be balanced in setting greenhouse gas targets, and must include practitioners and technical and policy experts.

FISCAL

For the Trade Corridor Enhancement Program and Solutions for Congested Corridors Program, if an MPO has adopted an alternative planning strategy, projects only need to reduce greenhouse gas emissions (rather than being in a region whose SCS was determined by ARB to achieve targets). The requirement that SCC projects be part of a comprehensive corridor plan is eliminated, replaced by a requirement that projects support implementation of the regional transportation plan.

03/25/26 - Amended Senate → 04/09/26 - Amended Senate · 7 edits · Apr 9, 2026

MODERATE

SB 1087 was amended in the Senate on April 9, 2026 with several substantive changes: it removes the $25 million Road Maintenance and Rehabilitation Program local planning grants provision, expands greenhouse gas emission reduction targets to include a 2045 target alongside the existing 2035 target, simplifies the timing requirement for when an 8-year sustainable communities strategy must be included in a regional transportation plan, and appears to revert some review authority back from the California Transportation Commission to the State Air Resources Board. The bill also adds a new codified section (14526.5) for the state highway operation and protection program and changes its state-mandated local program designation from 'no' to 'yes.'

FISCAL

The provision requiring $25,000,000 in Road Maintenance and Rehabilitation Program funds to be allocated to local entities based on their share of statewide population for local planning grants is entirely removed from the bill.

REQUIREMENT

Greenhouse gas emission reduction targets are now required for both 2035 and 2045 (previously only 2035), expanding the scope of the State Air Resources Board's target-setting obligation to all on-road transportation sectors over a longer timeframe.

The state-mandated local program designation changes from 'no' to 'yes,' indicating the bill now imposes new duties on local agencies that trigger reimbursement obligations under the California Constitution.

TIMELINE

The requirement for an 8-year sustainable communities strategy is simplified: it now applies commencing with the first regional transportation plan prepared on or after January 1, 2027, as determined by the applicable metropolitan planning organization. The prior language referencing 'the first or second' plan and 'every second' plan is removed.

ENFORCEMENT

Several references in the digest shift review authority for sustainable communities strategies and alternative planning strategies from the California Transportation Commission back to the State Air Resources Board, suggesting a partial reversion of the earlier transfer of review responsibility.

SCOPE

A new Section 14526.5 is added to the Government Code, codifying requirements for the department to prepare a state highway operation and protection program based on the asset management plan, including coordination with regional transportation planning agencies to align regionally significant projects.

Section 2032 of the Streets and Highways Code is removed from the list of sections being amended, narrowing the bill's reach into that code.

04/09/26 - Amended Senate → 06/25/26 - Amended Assembly · 11 edits · Jun 25, 2026

MAJOR

The Assembly amended SB 1087 to keep greenhouse gas target review authority with the State Air Resources Board rather than transferring it to the Strategic Growth Council, specified a 2-year advance notice deadline for regional targets, removed the enhanced public outreach condition from the CEQA exemption, and added new requirements tying Caltrans district performance management, public transportation funds, and road maintenance grants to sustainable communities strategies. The bill also dropped the asset management plan provisions (Section 14526.4) and expanded scope to include amendments to the California Transportation Plan and the Public Utilities Code.

SCOPE

Review of sustainable communities strategies and alternative planning strategies remains with the State Air Resources Board instead of being transferred to the Strategic Growth Council as the Senate version proposed.

New Section 65072.2 amendment requires the California Transportation Plan to include a performance management plan for each Caltrans district that informs delivery of transportation capital projects, plus forecasts of advanced and emerging technologies over a 20-year horizon starting with the third plan update.

Section 14526.4 (asset management plan requirements) is removed from the bill entirely, eliminating the Senate version's provisions requiring the commission to adopt targets and performance measures for complete streets assets and review/approve the asset management plan.

The bill's title now includes amendments to Section 65072.2 of the Government Code and Section 99315 of the Public Utilities Code, expanding the bill's reach into transportation planning and public utilities law.

TIMELINE

The state board must now provide regions with greenhouse gas emission reduction targets for 2035 and 2045 no later than 2 years before the due date of a region's next sustainable communities strategy, replacing the previously unspecified timeframe.

REQUIREMENT

The CEQA exemption for regional transportation plans, sustainable communities strategies, and alternative planning strategies no longer requires enhanced public outreach as a condition, making the exemption unconditional.

Metropolitan planning organizations must now prepare a progress report (rather than simply submit an implementation report), post it on their website, and submit it to the Strategic Growth Council, which must review it at a public hearing.

The state highway operation and protection program coordination duty shifts from the commission to the department itself, and the reference to being based on the asset management plan is removed from Section 14526.5.

The State Air Resources Board must adopt or update guidelines for preparation of sustainable communities strategies before updating regional greenhouse gas emission reduction targets.

FISCAL

Public Transportation Account funds used within metropolitan planning organization regions are now limited to activities consistent with an applicable sustainable communities strategy.

The Road Maintenance and Rehabilitation Program grant guide must now encourage planning that furthers the goals of a sustainable communities strategy or alternative planning strategy in areas within MPOs.

Floor votes · Senate May 27, 2026 · Assembly Aug 31, 2026

How they voted

31–3

Passed · 6 other

Total votes 40

May 27, 2026

D Democratic30

30 Yea

100% Yea

R Republican10

1 Yea 3 Nay 6

30% Nay

Vote distribution

All Yea All Nay Mixed No data

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Amendments

Aug 31, 2026

Assembly · Passed

Assembly Vote: pass (46-18-14)

assembly

Aug 30, 2026

Introduced

In Senate. Concurrence in Assembly amendments pending.

upper

Aug 30, 2026

Lower · Passed

Read third time. Passed. Ordered to the Senate.

lower

Aug 21, 2026

Lower · Passed

Read third time and amended.

lower

Aug 13, 2026

Lower · Passed

From committee: Do pass. (Ayes 11. Noes 4.) (August 13).

lower

Jun 30, 2026

Lower · Passed

From committee: Do pass and re-refer to Com. on APPR. (Ayes 11. Noes 2.) (June 29). Re-referred to Com. on APPR.

lower

Jun 25, 2026

Lower · Passed

From committee with author's amendments. Read second time and amended. Re-referred to Com. on TRANS.

lower

Jun 4, 2026

Committee

Referred to Coms. on TRANS. and NAT. RES.

lower

May 27, 2026

Upper · Passed

Read third time. Passed. (Ayes 31. Noes 3. Page 4486.) Ordered to the Assembly.

upper

May 14, 2026

Upper · Passed

From committee: Do pass. (Ayes 5. Noes 0. Page 4264.) (May 14).

upper

Apr 22, 2026

Upper · Passed

From committee: Do pass and re-refer to Com. on APPR. (Ayes 9. Noes 1. Page 3985.) (April 21). Re-referred to Com. on APPR.

upper

Apr 9, 2026

Upper · Passed

Read second time and amended. Re-referred to Com. on TRANS.

upper

Apr 8, 2026

Upper · Passed

From committee: Do pass as amended and re-refer to Com. on TRANS. (Ayes 5. Noes 0. Page 3792.) (April 8).

upper

Mar 25, 2026

Upper · Passed

From committee with author's amendments. Read second time and amended. Re-referred to Com. on E.Q.

upper

Feb 26, 2026

Committee

Referred to Coms. on E.Q. and TRANS.

upper

Feb 13, 2026

Introduced

Introduced. Read first time. To Com. on RLS. for assignment. To print.

upper

1 primary · 0 co-sponsors