California Environmental Quality Act: transportation impact mitigation: Transit­Oriented Development Implementation Program.

Assembly Member Wicks proposes allowing developers to meet their California Environmental Quality Act (CEQA) transportation impact mitigation requirements by contributing to the Transit-Oriented Development Implementation Fund, creating a direct link between new development and transit-oriented housing investment. The contribution amount would be calculated based on a project's vehicle miles traveled (VMT) metrics, though the specific dollar amount per VMT remains undefined in the current bill text.

The Department of Housing and Community Development would allocate these contributions, upon legislative appropriation, to fund transit-oriented developments within the same region as the contributing project. The bill establishes a two-tier priority system for fund distribution: first to developments in the same city as the contributing project (or same county for unincorporated areas), then to other developments within the same county. This geographic targeting aims to maintain a connection between where transportation impacts occur and where mitigation benefits materialize.

The bill's findings cite research indicating that lower-income households living within one-half mile of transit drive 25 to 30 percent fewer miles, with reductions approaching 50 percent for those within one-quarter mile of frequent transit service. This data provides context for using transit-oriented affordable housing development as a VMT mitigation strategy. The proposal aligns with Executive Order N-2-24, which directs state transportation agencies to examine affordable infill housing as an environmental mitigation tool, and with the Governor's 2025-26 budget priorities for removing barriers to infill development.