California Senate Bill 743

Helping lead agencies in California understand the SB 743 shift from measuring the impact on drivers to measuring the impact of driving

California Senate Bill 743

Helping California lead agencies understand the SB 743 shift from measuring the impact on drivers to measuring the impact of driving.

Implementation Guidance

At Fehr & Peers, we recognize how different these new provisions are from conventional approaches, and we know the transition can be challenging. To outline critical steps and choices for agencies, we have developed guidance below. Let us help with breaking down the complexity and planning the path to conversion.

Induced VMT Analysis

Preview some of the new expectations for induced VMT analysis that are arising from California Air Resource Board reviews of recent highway projects.

VMT+ Tool

VMT+ Tool reviews VMT per capita at the Census Block Group level throughout California.

TDM+ Beta Tool Available

TDM+ beta tool available for free use by practitioners, featured by Caltrans.

Using VMT to Promote Sustainability

This resource offers practitioners insights and case studies using VMT as a metric to enhance equity, safety, environmental sustainability, and community livability.

Quantifying GHG (and VMT) Mitigation Measures

Exploring the updated CAPCOA Handbook, which is heavily relied on for developing VMT and emissions mitigation measures

Programmatic Infill Development Incentives

For those interested in how mitigation banks could be applied to VMT savings, new technical and monitoring approaches, and partnerships to expand incentive programs (white paper published as a draft for discussion).

“Priced Out”

Explore the white paper to learn how housing subsidy programs can reduce VMT (published as a draft for discussion).

CAPCOA VMT & GHG Reduction Strategies

Percentage of VMT or greenhouse gases that
would be mitigated using different strategies

Replacing LOS with VMT

Navigating the evolutionary change to CEQA as transportation impact metrics change from LOS to VMT

Lead Agency Choices

Summarizing lead agency decisions, options, and recommendations related to VMT and SB 743 implementation


Explore the commonly asked questions SB 743 brings to light.

TPAs in California

See TPA locations mapped by MPOs.

What Does SB 743 Not Do?

This question may be more important to some agencies than what SB 743 does. This statement is particularly true for cities or counties that feel that continued use of vehicle LOS is an important part of their transportation analysis process. In these communities, vehicle LOS analysis in CEQA documents has achieved the desired outcomes of the jurisdiction and they want to know if they will have to change their process due to SB 743. While a definitive answer won’t be possible until the final CEQA Guidelines are adopted, we do know that SB 743 did not change laws related to general plans, police powers granted to cities and counties by the State constitution, the subdivision map act, or traffic impact fee programs. As such, no changes have occurred for jurisdictions wanting to use vehicle LOS to size roadways in their general plan or determine nexus relationships for their impact fee programs. They can also continue to condition projects to build transportation improvements through the entitlement process in a variety of ways, such as using general plan consistency findings.

If anything, the potential loss of vehicle LOS (and similar measures) in CEQA could reinforce the importance of general plans and supporting implementation methods (such as impact fee programs) as the primary means for defining a jurisdiction’s policy approach to transportation. As the importance of general plans increases, it is worth noting that many general plan circulation elements were developed without consideration of capital and O&M financial constraints. These constraints often become apparent in subsequent project-level environmental reviews, frequently leading to significant and unavoidable impact findings because the jurisdiction does not have financial mechanisms that generate sufficient funding to build all of the circulation element improvements. Jurisdictions may also find themselves in this situation if the traffic impact fee necessary to fully fund the circulation element exceeds a reasonable level that could be supported within the development marketplace.

Ideally, the general plan would establish vehicle LOS expectations (and commensurate development levels) based on the amount of infrastructure the jurisdiction could afford to build, operate, and maintain. Development projects consistent with this type of general plan would require little (or no) vehicle LOS impact analysis, but instead could focus on issues such as multi-modal site access and parking provision to comply with applicable design standards. This could substantially reduce the effort required in typical CEQA transportation impact studies. In order to achieve this outcome, jurisdictions may need additional resources to update their general plans and transportation financing programs, which is an issue for further discussion.

SB 743 Safety-Related Guidance

Sharing new safety impact analysis guidance from Caltrans

Travel Demand Model Checklist

Evaluating the adequacy and sensitivity of a travel demand model for use in VMT impact analysis

Induced Vehicle Travel Analysis Guidance

Providing suggested guidance from Fehr & Peers for analyzing induced VMT impacts for roadway capacity expansion projects

Implementation Resources

Implementation resources, forecasting methodology recommendations, thresholds, mitigation strategies, and annotated flowcharts have been specifically designed for navigating and understanding SB 743 requirements.

VMT is the New Metric of Analysis

For those new to VMT analysis, this short video explains a few basic components of VMT. SB 743 adds VMT to the transportation impact analysis of CEQA documents.

VMT Lexicon

It’s important to be able to understand and navigate all types of VMT calculations. Our new quick-reference VMT lexicon makes that easier. Explore it now here.

VMT Mitigation Spotlight

Explore the white paper we released with WRCOG that directly compares VMT mitigation banks and exchanges to traditional impact fee programs for deeper understanding.

What are effective methods of mitigation?

An important part of VMT impact analysis under SB 743 is finding effective methods of mitigation. The CAPCOA Quantifying Greenhouse Gas Mitigation Measures is a common reference guide to VMT reduction strategies relying on built environment changes and transportation demand management (TDM) strategies. While this is a popular guide, it was produced in 2010 and reflected even older research. Fehr & Peers completed a comprehensive review of published research through 2017 and is available to assist with VMT mitigation services, including the following: CEQA mitigation strategy development and monitoring, local and regional TDM ordinance development and monitoring, employer TDM program development and monitoring.

How may disruptive trends influence SB 743 implementation?

Forecasting VMT involves uncertainty.

Land use and transportation network decisions are a small part of future VMT. Disruptive mobility trends, including internet shopping and autonomous vehicles (AVs), will have a much larger influence on VMT.

It also involves understanding potential risks.

Including the influence of disruptive trends on VMT is essential when selecting analysis methods and especially in setting impact thresholds. Agencies have a risk of setting unattainable expectations for VMT reduction without first considering how VMT is likely to change due to disruptive forces beyond their control.

Analyzing disruptive trends can help.

Fehr & Peers developed the TrendLab+ tool and AV modeling tests to quickly assess the potential effects of disruptive trends on VMT. This is an essential starting point for any agency making decisions about VMT analysis methods and impact thresholds.

How does SB 743 apply to my project?

Curious about how to navigate your land use project, transportation project, or general plan through SB 743? We’ve developed these flowcharts to help:

Land Use Project

Transportation Project

General Plan

Implementation Questions

All lead agencies will need to answer the following SB 743 implementation questions:

What is the preferred methodology for estimating and forecasting VMT, considering that this metric is a required input for air quality, energy, GHG, and now transportation impact analysis in CEQA?

If the lead agency wants to follow the OPR Technical Advisory recommendations, what travel forecasting model will be used to estimate baseline VMT for citywide or regional averages?

How will the lead agency ensure that project-scale VMT analysis is consistent with the methodology used to estimate thresholds?

What are the significance thresholds for VMT impacts under ‘baseline’ and ‘cumulative’ conditions?

Does the lead agency accept the OPR Technical Advisory recommendation that land use projects and plans within metropolitan planning organization (MPO) areas can achieve a 15% reduction in VMT per capita or per worker compared to existing conditions?

Does the lead agency want to take advantage of VMT impact screening?

Will VMT impact screening be allowed for residential and employment land uses based simply on location within a transit priority area (TPA) or low-VMT generating area?

Will screening also be allowed for local-serving retail projects consisting of less than 50,000 square feet?

What mitigation does the lead agency consider to be feasible for VMT impacts?

If TDM is used, how will the lead agency verify its effectiveness over time, since many TDM programs are building tenant dependent?

See how one agency addressed these questions through a comprehensive SB 743 implementation process.

Additional Resources

While SB 743 implementation is still evolving, a variety of public, private, and institutional entities have contributed to creating implementation resources and addressing the key implementation questions.

Key Publications on VMT

Click to view key VMT publications and CEQA guideline updates.

Smart Transportation Metrics for Smart Growth

Click here to view a PDF on Smart Growth.

FHWA Publication on Forecasting VMT

Fehr & Peers contributed to the Handbook for Estimating Transportation Greenhouse Gases for Integration into the Planning Process published by FHWA in 2013. FHWA describes the publication as “..a handbook designed to provide information on how to analyze on-road greenhouse gas emissions at the state and regional level, and how to incorporate those analyses into transportation planning efforts.” The handbook is actually quite a bit more than that, because it also includes substantial detail on how to forecast VMT, given its importance in mobile GHG emissions. Key information includes step-by-step calculations and summary strengths and weaknesses for each VMT forecasting method.

Caltrans VMT Guide

Click to view Caltrans VMT Guide on embracing vehicle miles traveled as the traffic metric for environmental project analysis.

RTP/SCS Info at

Click to view the SACOG website and learn more about RTP/SCS.

Determination of RTP/SCS Consistency Worksheet

Click to view a PDF of the Determination of RTP/SCS Consistency Worksheet.

MXD Model at

Click here to view the Mixed-Use Trip Generation Model developed by Fehr & Peers.

SB 743 Implementation Assistance Project

This project serves as an effort to help government agencies, businesses, and communities understand and implement this technical change. Click here for a set of case studies, workshops, presentations, resources, and an online educational course.

Leaving LOS Behind

Click to view a PDF on Leaving LOS Behind.

2010-2012 California Household Travel Survey

Click here to view a PDF of the results of a 2010-2012 California Household Travel Survey.

Additional Research on LOS

Transportation impact analyses in California have largely focused on auto LOS, which measures transportation network performance only from a driver’s perspective. This document, authored by Fehr & Peers Principal Ron Milam, explains the limitations of this traditional analysis approach and provides additional methods for a more complete analysis.

In addition to viewing the paper online, you may also Download iBook at iTunes or Contact the author, Ron Milam.

Contact Us

Interested in creating a customized VMT approach for your community?
Connect today with one of our experts:

Northern California

Ron Milam, Principal

San Francisco, Bay Area

Julie Morgan, Principal

Southern California

Jason Pack, Principal

San Diego Area

Katy Cole, Principal

Quick Links

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