State budget includes $750 million in loans to keep Bay Area transit agencies running while new tax sought

Top California Democrats say they’ve averted a worst-case scenario for struggling Bay Area transit agencies — but only for now.

Tucked into the $320 state billion budget agreement that Gov. Gavin Newsom signed last week is a $750 million loan for four local transit agencies to keep operating while they face massive deficits. The loan will be divided between BART, AC Transit in the East Bay, Caltrain on the Peninsula, and Muni in San Francisco. Lawmakers are expected to nail down the terms this summer.