The commission shall undertake the following:

1. (a) Prepare a short-range transportation plan that includes the development and approval of a three- to five-year transportation improvement program, as follows:

   1. (1) The transportation improvement program shall apply to all projects funded with federal, state, and local funds.
   2. (2) The transportation improvement program shall be developed in coordination and consultation with the multicounty designated transportation planning agency, and shall be consistent with that agency’s regional transportation plan.
   3. (3) The county commission and the multicounty designated transportation planning agency shall enter into a memorandum of understanding specifying the process for preparing the transportation improvement program.
   4. (4) The commission shall consult with its member agencies, the Department of Transportation, adjacent counties, and other entities public and private when preparing its short-range plan and transportation improvement program.
2. (b) The commission shall be responsible for administering the funds deposited in the local transportation fund according to the terms and conditions of the Mills-Alquist-Deddeh Act (Chapter 4 (commencing with Section 99200) of Part 11 of Division 10), which is also known as the Transportation Development Act, or any successor to that act.
3. (c) The commission shall be responsible for preparing the short-range transit plan required by the Transportation Development Act.