The San Benito Blueprint

The Highway 25 Corridor Improvement Project could see significant reductions in anticipated environmental mitigation costs following the passage of new state legislation. Meanwhile, transportation officials are outlining a path toward construction that could begin as early as 2030.

During an October 27 presentation to the San Benito County Board of Supervisors, Council of San Benito County Governments (SBCOG) Executive Director Binu Abraham provided updates on the project, including the potential financial benefits of Assembly Bill 2059 (AB 2059), the role of Measure G funding, and the anticipated project timeline.

New State Law Could Save Millions

In September, Governor Gavin Newsom signed AB 2059 into law. The legislation addresses how certain transportation projects in rural counties are evaluated under the California Environmental Quality Act (CEQA).

The law focuses on vehicle miles traveled (VMT), a measurement used to evaluate transportation impacts based on how much driving a project is expected to generate.

Under the legislation, qualifying transportation projects located primarily in designated nonmetropolitan counties are presumed to have a less-than-significant transportation impact under the VMT metric.

During her presentation, Abraham confirmed that the Highway 25 Corridor Improvement Project qualifies under the new law. She indicated that the legislation could reduce anticipated mitigation costs by tens of millions of dollars, potentially exceeding $100 million.

These are potential savings rather than funds already available for construction. The project’s final cost has not yet been established. AB 2059 does not eliminate environmental review or other requirements under CEQA. However, it could substantially reduce the financial burden associated with mitigating VMT impacts.

Abraham also highlighted SBCOG’s role in advancing the legislation, describing the agency as a leading advocate for the bill despite challenges involving larger metropolitan transportation interests.

The San Benito Blueprint previously covered AB 2059 and its potential implications for rural transportation projects. With the legislation now signed into law, its anticipated benefits for Highway 25 are becoming clearer.

Where Does the Project Stand?

The Highway 25 Corridor Improvement Project is currently in the Project Approval and Environmental Document (PA&ED) phase. This phase involves evaluating potential improvements, studying environmental impacts, and determining which alternatives should move forward.

According to Caltrans, the project covers approximately 10.2 miles of Highway 25 between San Felipe Road in San Benito County and Bloomfield Avenue in Santa Clara County.

The environmental review is divided into two levels. The first examines the broader corridor, while the second provides a more detailed analysis of the initial segment between San Felipe Road and Hudner Lane. The remaining segment, extending from Hudner Lane toward Bloomfield Avenue, will require additional detailed environmental review before implementation.

Caltrans is considering multiple alternatives, including conventional highway and expressway configurations along the existing alignment. The alternatives also incorporate different combinations of general-purpose lanes, carpool lanes, toll lanes, and transit options.Because the environmental review is ongoing, the final project design, including the debated alignment, has not been determined.

Construction Could Begin in 2030

During her presentation, Abraham discussed a target of late 2027 for an upcoming project milestone, with construction potentially beginning as early as 2030.

Caltrans’ published project schedule provides additional details:

• Summer 2027: Release of the draft environmental document.
• Summer 2028: Completion of the final environmental document.
• Winter 2029: Completion of final project design.
• Summer 2030: Anticipated start of construction.

The project is divided into two segments, with construction expected to occur in phases.

Segment 1 extends from San Felipe Road in San Benito County to Hudner Lane in Santa Clara County. Proposed improvements include expanding the highway and constructing a grade-separated interchange at Highway 156, replacing the existing turbo roundabout with an overpass-style configuration that would allow traffic to move between the highways without passing through the roundabout.

Segment 2 extends north from Hudner Lane to Bloomfield Avenue. Improvements along this portion of the corridor would occur at a future date and require additional environmental review and funding.

This means the anticipated 2030 construction start would apply to the first segment rather than the entire Highway 25 corridor. All construction timelines remain preliminary and depend on the completion of environmental review, final design, and available funding.

Highway 25 Safety Improvements Moving Forward Separately

While the larger Highway 25 Corridor Improvement Project continues through environmental review, previously announced safety improvements along the highway, including the planned roundabout at Shore Road, will continue moving forward independently.

These improvements, which The San Benito Blueprint has covered in previous articles, are separate from the broader corridor project and are not expected to wait until the anticipated 2030 construction start.

The distinction is important for drivers who regularly travel Highway 25. Although the larger corridor improvements remain several years away, smaller projects intended to address existing safety concerns can advance on their own schedules.

How Measure G Fits Into the Project

Another important component of the project’s funding strategy involves Measure G, the one-cent transportation sales tax approved by San Benito County voters in 2018.

The measure is expected to generate approximately $485 million over 30 years, with roughly half of the revenue dedicated to Highway 25 improvements.

However, Measure G was not intended to cover the entire cost of the project. During her presentation, Abraham explained that SBCOG intends to use Measure G revenue as seed money to help secure additional state and federal transportation funding.

In practical terms, local funding can help advance environmental studies, engineering, and other project development activities. It can also provide a local financial contribution when pursuing competitive transportation grants. This approach allows SBCOG to use locally generated revenue to pursue larger investments from outside funding sources.

The potential reduction in VMT mitigation costs under AB 2059 could further improve the project’s financial outlook by reducing the amount of funding ultimately needed. Still, additional state and federal funding will be necessary to advance the project toward construction.

What Happens Next?

Although the latest developments provide a clearer picture of Highway 25’s future, several steps remain before construction can begin.

Environmental review must be completed, project alternatives must be evaluated, and a final design must be developed. More definitive cost estimates will also be necessary to determine the project’s remaining funding needs.

For now, the passage of AB 2059, the use of Measure G as seed funding, and the anticipated 2030 construction timeline represent important developments for one of San Benito County’s largest transportation projects.

More information about the project, including proposed alternatives and environmental review materials, is available through the Caltrans State Route 25 Corridor Improvement Project website.

Disclosure: The author serves on the Measure G Citizens Oversight Committee.