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CTA staff recommended using the funds to pay for infrastructure projects instead.
Delayed since early summer, the traffic diversion is set for installation next month.
Drivers can renew registrations and get new vehicle tags on the spot.
The area around the intersection at Pierce and Waller is currently closed.
The work will wrap up by the end of next week.
An Oakland artist has been restoring historic benches that were features of San Francisco's Transbay Terminal for decades.
If the pilot isn't successful, Muni will install boarding islands and remove parking spaces along the corridor.
Neighbors have two weeks to offer feedback on three competing proposals for the plaza.
The service plans to launch in low-income communities, western and southern neighborhoods, and in tourist-heavy areas.
The city's only worker-owned cab company once had 19 vehicles, but now operates only 7 Priuses.
Water service in the area has been shut off until the leak is repaired.
The work is covered by a $3.5 billion bond measure that will overhaul much of BART's system.
The project aims to improve traffic conditions between Market and Sutter streets.
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