The 2004 MCAG Regional Transportation Plan identified $1.5 billion in funding required for highway projects, street and road maintenance, and transit service. To achieve the RTP’s transportation goals, MCAG relied upon continued growth of state and federal funding programs and two regional revenue sources: a regional transportation impact fee and a transportation sales tax measure.
In the December 1990, MCAG was designated the Local Transportation Authority with the responsibility to prepare a Transportation Expenditure Plan (TEP) for the county and the cities. In November 1991, the MCAG Governing Board approved the TEP but recommended that action necessary to implement the plan be deferred due to poor economic.
The TEP was updated in 2001, and placed on the November 2002 ballot as Measure M. Measure M received almost 62% affirmative vote in Merced County but failed to receive the 2/3 supermajority required under California statute.
The TEP was updated in 2005, and placed on the June 2006 ballot as Measure A that received 63% voter support, but failed and subsequently placed on the November 2006 ballot as Measure G that failed.