While ADA Paratransit is a federally-mandated service, it does not receive consistent dedicated federal funding. Instead, the SFMTA’s services for older adults and people with disabilities are funded through a variety of local, state, and federal funding sources. Paratransit services are supported by a mix of dedicated and competitive local, state and federal funding. See table below for more details.
The SFMTA contracts a paratransit broker to provide paratransit service in San Francisco. The SFMTA entered into its current agreement with its paratransit broker Transdev in July 2016. The agreement was for a five-year term with an option for another five-year extension. This extension was exercised in June 2021 and will run through June 2026. The contract structure is a cost-plus-fixed-fee model where the SFMTA pays the expenditures associated with providing the paratransit service in addition to a fixed fee to the contractor, Transdev. This model allows for SFMTA to better manage expenditures while achieving cost savings when there is reduced demand, as was the case during the COVID-19 pandemic when demand for paratransit trips dropped. The budget for the first five years includes a 1.5% annual cost increase for projected additional demand. The current five-year budget for the paratransit and mobility management programs is $165,368,919.
Figure 1. Table of San Francisco Paratransit Funding Sources
| Funding Source | Description | Local/State/Federal |
|---|---|---|
| Prop L Sales Tax | A voter-approved half-cent sales tax for transportation projects and services. This sales tax was approved by voters in November 2022 with dedicated Paratransit funds for the next 30 years. | Local |
| Federal 5307 | Available to recipients for transit capital and operating assistance and transportation-related planning in urbanized areas. | Federal |
| State Transit Assistance Block Grant | Funds are generated by a sales tax on fuel and diesel fuel. The amount of money available for transit agencies varies from year to year based on the ups and downs of diesel prices with at least 40% of the annual allocation dedicated to Paratransit. | State |
| BART | A cost-sharing agreement with BART to provide Paratransit services within its service area in San Francisco. | Local |
| San Francisco Department on Disability and Aging Services | Reimbursement for group transportation provided to nutrition programs and other services funded by the Department of Disability and Aging Services | Local |
| SFMTA General Funds | General operating funds to fund the services provided by the San Francisco Municipal Transportation Agency | Local |
| Paratransit Revenue | Fare media sales for SF Paratransit riders for all van and taxi trips taken | Local |
Figure 2. Pie Chart of San Francisco Paratransit Funding Source Percentages
