Public Transportation Modernization, Improvement, and Service Enhancement Account (PTMISEA)

Program Overview

The Public Transportation Modernization, Improvement, and Service Enhancement Account Program (PTMISEA) was created by Proposition 1B, the Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006. Of the $19.925 billion available to Transportation, $3.6 billion dollars was allocated to PTMISEA to be available to transit operators over a ten-year period. PTMISEA funds may be used for transit rehabilitation, safety or modernization improvements, capital service enhancements or expansions, new capital projects, bus rapid transit improvements, or rolling stock (buses and rail cars) procurement, rehabilitation or replacement. Funds in this account are appropriated annually by the Legislature to the State Controllers Office (SCO) for allocation in accordance with Public Utilities Code formula distributions: 50% allocated to Local Operators based on fare-box revenue and 50% to Regional Entities based on population.

In Fiscal Year (FY) 2007/08, Senate Bill 88 identified the Department of Transportation as the administering agency.



In accordance with the Budget Act of 2018  the remaining balances of PTMISEA appropriations were to be encumbered and liquidated June 30, 2023.  All tranist operators having utlizied this remaining balance are to submit their Final Project Closeout(s) to Caltrans.  Please contact your respective District LIaison if there are any questions.

December 31, 2023, Transportation Development Act (TDA) Audit or Annual Comprehensive Financial Report (ACFR) are due to Caltrans.

  • Agencies having received/expended an allocation of PTMISEA funds in Fiscal Year 2022-23 will need to submit a copy of TDA or CAFR to Caltrans within six months after the close of the fiscal year
    • In response to the Coronavirus (COVID-19) pandemic, electronic versions of the TDA and of CAFR can be submitted (and are preferred).
  • A 90-day extension (extending the deadline from December 31, 2023 to March 31, 2024) may be requested; should such an extension be needed, the recipient agency must notify Caltrans in writing via email or formal letter.

Related Resources and Other Items of Interest


The following forms are available upon request

Guidelines and Instructions

District Liaisons and Contact Information(PDF)