san jose collage
San Jose
Serving San Jose, California (Santa Clara County)Vol. 1, No. 8
Government

Measure RTM: What the Bay Area transit sales tax would do

A half-cent sales tax for 14 years would raise about $980 million a year for BART, Caltrain, VTA and other transit.  San Jose’s rate would rise to 10.5%.

A Caltrain train and a VTA light-rail train at San Jose Diridon Station
Caltrain and VTA trains at San Jose Diridon Station.  Both agencies would receive money from Measure RTM. — Photo:  SaarPro / Wikimedia Commons, CC0, CC0

Voters in Santa Clara County and four other Bay Area counties will decide Nov. 3 whether to raise the sales tax for 14 years to pay for BART, Caltrain, VTA and other transit.  Measure RTM needs a simple majority of voters across the whole five-county district to pass.

What it would do

Measure RTM would add a 0.5% sales tax in Alameda, Contra Costa, San Mateo and Santa Clara counties and a 1% tax in San Francisco, according to the ballot question posted by the county Registrar of Voters.  The ballot question says the tax would raise about $980 million a year.

A sales tax is charged on most things bought in a store or online.  In San Jose, the combined rate is now 10%, according to the state tax agency's rate lookup.  If RTM passes, it would rise to 10.5%, or 50 cents more on a $100 purchase.

The 2025 state law that created the measure, Senate Bill 63, set up a new agency called the Public Transit Revenue Measure District to run it.  That district shares a board with the Metropolitan Transportation Commission (MTC), the Bay Area's transportation planning agency.

Where the money would go

According to an MTC fact sheet, about 63% of the money would go to running buses, trains and ferries on BART, Muni, Caltrain, AC Transit and smaller agencies.  About one-third would go to county transportation agencies, and up to 0.22% could go to running the measure.  The rest, about 5%, would pay for rider improvements such as discounted transfers and better signs.

MTC estimates that in the 2028 budget year, Santa Clara County's Valley Transportation Authority (VTA) would get about $245 million.  VTA could spend it on transit projects, running service or paving roads that have regular bus service.  MTC estimates BART would get about $310 million and Caltrain about $70 million.

The law also requires an independent oversight committee.  It includes a “maintenance of effort” rule, which means agencies must keep spending their existing money on service so the new tax adds to it rather than replacing it.  It also calls for a review of how efficiently BART, Muni, Caltrain and AC Transit spend money.

Who would be affected

Anyone who buys taxable goods in the five counties would pay the tax, including visitors.  Transit riders and agencies are the main group that would benefit.  Supporters say the money would prevent deep cuts, and opponents say BART and VTA have not shown they need it.

What supporters say

The official argument in favor, filed with the Registrar of Voters, opens:

“The Regional Transit Measure protects the public transit that people in our region depend on.”

The argument says that if the measure fails, “BART could close 15 stations and reduce service by 70%” and Caltrain could stop late-night and weekend service.  It also says the tax does not apply to rent, utilities, prescription medicines or most groceries.

The argument in favor filed in Santa Clara County is signed by U.S. Rep. Sam Liccardo, who represents the 16th Congressional District; Allan Kamara, an emergency room nurse; Anthony Fletcher, president of the Santa Clara County firefighters union, Local 1165; a co-president of the League of Women Voters of the Bay Area; and Margaret Abe-Koga, a Santa Clara County supervisor.  The League says it signed the argument and rebuttal in all five counties.

The Yes on RTM campaign lists its top funders as Service Employees International Union Local 1021, Salesforce and Chris Larsen.

What opponents say

The No on Measure RTM campaign calls the measure “a $17 billion sales tax, locked in for 14 years,” based on about $1 billion a year.  Its slogan is “Fixes Before Funding.”

The campaign's website quotes an Oct. 9 editorial by the Mercury News and East Bay Times opposing RTM.  The editorial said “VTA confronts no such crisis” as BART's budget gap.  It also criticized the oversight committee because four of its nine members come from transit agencies.  The Silicon Valley Taxpayers Association links to the No campaign from its website.

Party positions

The Santa Clara County Democratic Party's November 2026 endorsement list says “YES on Regional Measure RTM.”  Neither the California Democratic Party's nor the California Republican Party's statewide endorsement list, both reviewed Oct. 29, takes a position on Measure RTM.  A position from the Santa Clara County Republican Party was not found.

Polling and money

No public poll of Measure RTM from a named pollster was found as of Oct. 29.  Total campaign money was not available because the state's Cal-Access campaign finance site blocked access on Oct. 29.

Source:  Santa Clara County Registrar of Voters, list of local measures (archived Oct. 9, 2026); Metropolitan Transportation Commission, SB 63 fact sheet (updated August 2026); California Department of Tax and Fee Administration, sales and use tax rates; Yes on RTM - Connect Bay Area Transit; No on Measure RTM campaign; Santa Clara County Registrar of Voters, Measure RTM argument in favor and signer forms (archived Oct. 9, 2026); Santa Clara County Democratic Party, November 2026 endorsements; League of Women Voters of the Bay Area, RTM fact sheet

Drafted by AI from the linked public source. Approved by a Daily News Editor.

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