State of Good Repair

Program Overview

The Road Repair and Accountability Act of 2017, Senate Bill (SB) 1 (Chapter 5, Statues of 2017), signed by the Governor on April 28, 2017, includes the State of Good Repair (SGR) Program, an investment in public transit providing additional revenues for transit infrastructure repair and service improvements. This program receives approximately $105 million annually in SGR funds which are made available for eligible transit maintenance, rehabilitation and capital projects.

SB 1 emphasizes the importance of accountability and transparency in the delivery of California's transportation programs. Therefore, those agencies identified as eligible for SGR funding by the State Controller's Office (SCO) must comply with various reporting requirements. The SGR Guidelines will describe the general policies and procedures in carrying out the reporting requirements and other statutory objectives of the Road Repair and Accountability Act of 2017.

Written comments and questions can be submitted to the program's email account: SB1SGRcomments@dot.ca.gov.

Announcements

Fiscal Year (FY) 2025-26 Project List Submittals are due September 5, 2025. Please use the updated CalSMART User's Guide to complete your submittal. Contact your district's liaison using the District Liaisons and Contact Information (PDF) to schedule a WebEx to review the project list submittal procedure and address any questions you may have.

We encourage regional entities to begin working with their respective transit operators in compiling the list of projects to be allocated using the FY 2024-25 State of Good Repair Program Allocation Estimate provided by the SCO as well as compiling board resolution and/or other appropriate document(s), from their respective governing board as needed.

July 1, 2025, recipients of SGR funding identified by the SCO for FY 2021-22 should begin liquidating those funds; the four year accrual period provided in the SGR Guidelines will have expired. See the table below for additional reference:

June 30, 2025, SGR funding issued during FY 2017-18 should be fully liquidated.


FY of SGR Funding	Begin Expending SGR Funding	Fully Expend SGR Funding By
2017-18	July 1,2021	June 30, 2025
2018-19	July 1, 2022	June 30, 2026
2019-20	July 1, 2023	June 30, 2027
2020-21	July 1, 2024	June 30, 2028
2021-22	July 1, 2025	June 30, 2029
2022-23	July 1, 2026	June 30, 2030
2023-24	July 1, 2027	June 30, 2031
2024-25	July 1, 2028	June 30, 2032
2025-26	July 1, 2029	June 30, 2033

Senate Bill (SB) 125 amends Assembly Bill (AB) 149 Transportation and AB107, providing transit agencies eligible to receive SGR funds for Fiscal Year (FY) 2019-20 through FY 2025-26, to redirect these funds from projects as originally identified to address funding shortfalls in operating or capital expenses resulting from the impact of the Coronavirus (COVID-19) pandemic.

This redirection of SGR funds requires the transit agency to obtain an approved declaration, board resolution and/or other appropriate document(s), from their respective governing board identifying the fiscal challenges which may cause reduction of service and thereby directing agency staff to pursue the flexibility of redirecting SGR funds as provided in SB 125.

The transit agency shall then provide an electronic copy of the finalized declaration from their respective governing board(s) to both Caltrans and to the transit operator's respective regional entity.

Please note, while SB 125 include provisions that transit agencies having obtained approval to redirect SGR funds are technically exempt from the procedural reporting requirements stated in Senate Bill 1, Caltrans encourages our transit partners to continue reporting on how SGR funds are utilized for FY 2019-20 through FY 2022-23 to ensure that the achievements of the SGR Program are documented and acknowledged.