Media Contact: Randol White, 415-515-7624
The San Mateo County Transit District (SamTrans) Board of Directors adopted a two-year budget for fiscal years 2026 and 2027 that invests in safe, reliable public transportation for the community — while taking early steps to manage a projected budget shortfall beginning in FY2027.
The approved $323.7 million operating budget for FY2026 is balanced and allows SamTrans to continue providing essential transit service across San Mateo County. The FY2027 operating budget is projected at $339.2 million, but the agency anticipates another year with a modest structural deficit due to the long-term regional trend of expense increases outpacing revenue. The District can cover the deficit with one-time prior year surplus; however, after FY2027, such one-time sources will be exhausted.
SamTrans is taking proactive steps to address the projected funding gap through responsible fiscal management, including the strategic use of reserves; cost containment and reductions; assessments of both service and fares; and continued pursuit of diversified revenue streams.
“We’re managing today’s transit needs while preparing for tomorrow’s fiscal realities,” said SamTrans Board Chair Jeff Gee. “This budget supports the workers, families and students who rely on SamTrans every day — and it positions us to meet the financial challenges ahead without compromising our commitment to safe, dependable service.”
The two-year funding approval also included capital budgets totaling $10.4 million, focus on core priorities such as maintaining assets in a state of good repair, enhancing safety and security, and addressing critical facility improvements. These investments reflect SamTrans’ continued commitment to safe, reliable transit service — a vital resource for the region’s workers, employers, students and families.
In September, the Board will consider a capital budget amendment, following the anticipated adoption of the Capital Improvement Plan (CIP) in July. This second phase is expected to include additional investments in the next phase of zero-emission bus transition, climate resilience initiatives, bus stops and operator restrooms improvements, and technology upgrades.
Learn more about the factors contributing to the projected budget shortfall — and how SamTrans is planning ahead to address it — with our latest blog post. It offers a deeper look at the financial outlook and the steps the agency is taking to ensure long-term sustainability while continuing to serve the region’s riders and communities.
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The San Mateo County Transit District operates 74 routes and two on-demand service areas. Funded in part by a half-cent sales tax, the district also provides administrative support for Caltrain and the San Mateo County Transportation Authority. SamTrans has provided bus service to San Mateo County customers since 1976.
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