The Transportation Development Act (TDA) provides two major sources of funding for public transportation—the Local Transportation Fund (LTF) and the State Transit Assistance Fund (STA). LTF revenues are derived from a quarter-cent sales tax on retail sales statewide. Funds are returned to the county of tax generation. This category includes Article 3, 4, 4.5, and 8 of the Government Code. In the SCAG region, TDA funds are used mostly for transit operations and transit capital expenses. Article 3 funds support bicycle and pedestrian facilities.
The California State Board of Equalization reports Payment to County Transportation Funds from the 1/4 Percent Local Sales and Use Tax, which include LTF revenues