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RCTC staff: governor vetoed SB 512; cap-and-invest extension signed; federal CR uncertainty noted

Budget Implementation Committee, Riverside County Transportation Commission · October 27, 2025

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Summary

RCTC staff told the committee Oct. 27 that Governor Newsom vetoed SB 512 and signed an extension of the state cap‑and‑invest program through 2045, while federal appropriations uncertainty prompted postponement of an advocacy trip to Washington, D.C.

Staff provided a combined state and federal policy update Oct. 27, noting the governor's veto of SB 512 and the Legislature's and governor's action to extend the state's cap‑and‑trade program (renamed cap and invest) through 2045.

Tyler (staff presenter) said SB 512, sponsored by the Self Help Counties Coalition and authored in the Senate by a Pasadena senator, would have clarified that districts with sales tax authority — including transportation agencies such as RCTC — can administer voter‑approved sales tax measures enacted by citizens' initiatives. After both houses approved the bill, the governor vetoed it, writing that "the courts have consistently and repeatedly affirmed this existing authority, and therefore, the bill is unnecessary." Staff said the Self Help Counties Coalition is evaluating next steps and that RCTC will be kept apprised.

On cap and invest, staff said the new law guarantees $1 billion annually for high‑speed rail and another $1 billion annually the Legislature may allocate for qualifying uses; only after those priorities and others would the transport and transit programs receive funding subject to available revenues. Staff indicated the updated spending plan shifts how annual funding is prioritized and that RCTC will continue to advocate for discretionary funding to support regional rail and transit programs.

Regarding federal appropriations, staff noted that after Congress missed the Sept. 30 deadline, the House passed a short‑term continuing resolution to fund the government at FY2025 levels through Nov. 21 but the Senate had not reached the votes needed at the time of the presentation. Staff said the shutdown did not appear to affect RCTC programs immediately but that a planned in‑person advocacy trip to Washington, D.C., was postponed and staff would pursue in‑district and virtual meetings with the county's congressional delegation.