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Funding and Incentives

TFCA Regional Fund

Funding and Incentives
  1. Air District
  2. Funding and Incentives
  3. Funding Sources
  4. TFCA Regional Fund

Learn more about the Transportation Fund for Clean Air Regional Fund and Air District sponsored programs and explore funding opportunities for clean air vehicles and trip reduction projects.

New:

The Air District Board of Directors approved the TFCA Regional Fund Policies Commencing FYE 2025 on June 5, 2024, and received the Audit #24 summary report on November 15, 2023. 

Background

Vehicle emissions contribute to unhealthy levels of ozone, also known as "smog," and particulate matter.

In the Bay Area, tailpipe emissions from the transportation sector account for approximately 40 percent of the criteria air pollutants and greenhouse gases, or GHGs, emitted. Significant emissions reductions from the on-road transportation sector are key to helping the Bay Area attain state and federal ambient air quality standards and GHG emission reduction targets.

In 1991, the California State Legislature authorized the Department of Motor Vehicles, or DMV, to impose a $4 surcharge on cars and trucks registered within the Air District’s jurisdiction to provide grant funding to eligible projects that reduce on-road motor vehicle emissions. The statutory authority for the Transportation Fund for Clean Air, or TFCA, and requirements of the program are set forth in California Health and Safety Code Sections 44241 and 44242. 

Sixty percent of TFCA funds are awarded by the Air District through the TFCA Regional Fund, and to eligible programs implemented directly by the Air District, referred as Air District-sponsored programs. Each year, the Air District’s Board of Directors considers the allocation of new TFCA funds and the proposed updates to the policies. Solicitations and Call for Projects are issued following the Board’s approval.

The remaining forty percent of this funding is passed through to the designated agencies of the nine Bay Area counties through the TFCA 40 Percent Fund and is awarded by these agencies to TFCA-eligible projects located within those counties.

Board-Approved TFCA Regional Fund Policies and Evaluation Criteria Commencing FYE 2025

On June 5, 2024, following a public comment period, the Air District’s Board of Directors approved proposed updates to the TFCA Regional Fund Policies and Evaluation Criteria Commencing FYE 2025. A copy of the approved policies can be downloaded from the “Resources” section on this page.

Resources

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