Rather than comply with the court's ruling, they argued, the Governor was eliminating the voter-established rules that required the state to fund transit operations with the sales tax on gasoline. Nevermind that several of those ballot initiatives passed by more than two-thirds margins and put explicit restrictions on how taxpayer money could or couldn't be used for transportation projects.
Now many of those transit operators are supporting two bills (ABX8 6 and ABX8 9) that would do as the Governor proposed by eliminating the sales tax on gasoline, but would retain the sales tax on diesel. Rather than cry foul, lobbyists for those operators worked with legislators to develop the bills.
California Transit Association (CTA) Communications Director Jeff Wagner said with the legislature and the Governor thwarting the law and the will of the voters for years by raiding the the State Transit Assistance fund (STA), which is fed in part by the sales tax on gasoline (as well as the sales tax on diesel and other sources), and with Supreme Court rulings in the CTA's favor doing little to change the situation, his organization was taking steps to secure some kind of steady state funding for operators.
"Our fundamental position is in opposition to the elimination of the sales tax [on gasoline], but that has long seemed a foregone conclusion," said Wagner. "Given that lay of the land, we've worked with the legislature to get some level of funding for public transit. What this package does give us is the ability for transit to get funding that it isn't currently getting."