San Diego MTS Awarded $60.4 Million for Transit Upgrades

Funds will support electric bus electrification and Orange Line light rail improvements.

Mar. 28, 2026 at 6:11pm

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The San Diego Metropolitan Transit System (MTS) has been granted $60.4 million from the state's Transit and Intercity Rail Capital Program to advance two major projects - the second phase of the Orange Line Improvement Project and the first phase of electrifying the Kearny Mesa bus division with battery-electric vehicles.

Why it matters

This funding will allow MTS to modernize its transit network, improve service reliability, and reduce emissions in disadvantaged communities that rely heavily on public transportation. The investments in electric buses and light rail upgrades are part of broader efforts to make San Diego's transit system more sustainable and future-ready.

The details

Approximately $48.3 million will go towards enhancements to the Orange Trolley Line, including grade crossing safety improvements, new signal and track upgrades. An additional $12.1 million is earmarked for the first phase of electrifying MTS' Kearny Mesa bus division, which will include installing an overhead charging system to support the initial 30 battery-electric buses.

  • The Transit and Intercity Rail Capital Program funding was awarded on March 28, 2026.
  • Construction on the projects is scheduled to begin in June 2026.

The players

San Diego Metropolitan Transit System (MTS)

The public transit agency serving the San Diego region, operating bus, light rail, and paratransit services.

Stephen Whitburn

MTS board chair and San Diego City Councilman.

Clarissa Reyes Falcon

Chair of the California Transportation Commission.

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What they’re saying

“This investment from the State of California allows MTS to upgrade our transit network and make meaningful improvements for the communities that depend on us most.”

— Stephen Whitburn, MTS Board Chair and San Diego City Councilman

“Public transit is a lifeline, and this investment in MTS reflects exactly that. These funds will mean more reliable service, cleaner vehicles, and better infrastructure for the San Diegans who depend on transit most to get to work, to school, to each other and home safely.”

— Clarissa Reyes Falcon, Chair of the California Transportation Commission

What’s next

Construction on the Orange Line Improvement Project and Kearny Mesa bus electrification is scheduled to begin in June 2026.

The takeaway

This major state investment in San Diego's public transit system will help modernize the region's transportation infrastructure, improve service reliability, and reduce emissions - all of which will benefit the communities that rely most on MTS to get around.