For City Council Meeting August 12, 2025
TO: Honorable Mayor and City Council
APPROVAL: Tanya Williams, City Manager
FROM: Tim Sullivan, Assistant City Manager
Title
Request City Council to Adopt Resolution No. 8390, Adopting the Fiscal Year 2025/2026 - 2029/2030 Measure I Five-Year Capital Improvement Plan and Expenditure Strategy.
Body
RECOMMENDATION
Staff recommends that the City Council adopt a resolution adopting the Fiscal Year 2025/2026 - 2029/2030 Measure I - Five-Year Capital Improvement Plan and Expenditure Strategy.
BACKGROUND
Measure I is a half-cent sales tax that is collected throughout San Bernardino County and designated to fund transportation improvements. Measure I was first approved by San Bernardino County voters in November 1989 to address transportation needs countywide; the Measure was set to expire in 2010. In 2004, voters approved an extension of the Measure I sales tax until 2040.
The San Bernardino County Transportation Authority (SBCTA) manages the revenue from Measure I and is responsible for overseeing the program's spending on transportation projects. The SBCTA Board of Directors identifies several programs that will receive Measure I funds, as outlined in their strategic plan. One of these programs is the Local Streets Program, which allocates funding to local agencies based on population. The local agency determines which projects will be funded under this program according to its Five-Year Measure I Capital Improvement Plan. This plan is provided annually to SBCTA, and changes can be made to the program during the fiscal year with notification to SBCTA.
To be eligible for Measure I Local Streets projects, the SBCTA Board of Directors has established guidelines. These guidelines state that projects can include roadway improvements, general maintenance, and pavement management programs. General maintenance expenditures cannot exceed 50% of the annual allocation, and any single expenditure over $100,000 must be listed separately in the plan. Total annual expenditures cannot exceed 150% of the forecasted annual revenue and prior-year fund balance.
Additionally, on April 6, 2022, the SBCTA Board made some policy revisions that removed the differentiation between named projects and categorical projects. This also eliminated the 50% cap on categorical expenditures, removed the obligation to submit a revised CIP if you spent more than estimated, and adjusted the due date for a revised CIP to September 1st to match the annual CIP submittal deadline. Any projects with expenditures in a fiscal year must be included in the current Five-Year CIP to prevent an audit finding.
ANALYSIS/DISCUSSION
The City of Rialto strategically leverages Measure I funding to address critical transportation infrastructure needs throughout the community. The proposed Five-Year Capital Improvement Plan maximizes these allocated funds through a comprehensive approach that encompasses immediate maintenance needs, long-term capital improvements, and strategic partnerships with other agencies.
The City's expenditure strategy focuses on three primary areas: street and rights-of-way maintenance, preventative maintenance and reconstruction projects, and traffic signal installations and upgrades. This balanced approach ensures both the preservation of existing infrastructure and the enhancement of transportation systems to meet growing community demands. Additionally, Measure I funds serve as local matching contributions for federal and state transportation grants, effectively leveraging additional resources for larger-scale improvements.
To ensure project continuity and completion, the City programs Measure I revenue for both immediate and long-term initiatives, with provisions for budget carryover between fiscal years. This approach allows for the strategic implementation of complex projects that may span multiple years while maintaining compliance with SBCTA requirements. Most projects are scheduled for completion within the five-year planning horizon, though the carryover provision ensures adequate funding flexibility for unforeseen circumstances.
The projects detailed below represent a comprehensive investment in Rialto's transportation infrastructure. The complete Five-Year Capital Improvement Plan, included as "Exhibit A" to the resolution, identifies specific funding allocations and implementation timelines for each project, with Measure I funds providing either partial or full project funding.
Capital Project Improvements:
• Street Overlay Pepper Avenue Joint Project with City of San Bernardino (Lead) Street Pepper-Baseline/City Limits
• Merrill Avenue Safe Routes to School (SRTS)
• Sycamore Avenue Safe Routes to School (SRTS)
• Cedar Avenue and Merrill Avenue Left Turn Phasing Project (HSIP 11)
• Locust Avenue Widening
• Pacific Electric Trail Extension
• Frisbie Middle School Safe Routes to School (SRTS)
• Bemis Elementary School Safe Routes to School (SRTS)
• Linden Avenue Widening
• Traffic Signal Installation: Cactus Avenue and Easton Avenue- Cooperative Agreement with San Bernardino County
• Pavement Management System
• Safe Routes to School Improvements- Multiple Segments (New in FY 2025/2026)
• Citywide Traffic Signal Upgrades (New in FY 2025/2026)
• Dollahan Elementary Traffic Signal Upgrades (HSIP 12) (New in FY 2025/2026)
• Lilac Avenue and Summit Avenue Widening (HSIP 12) (New in FY 2025/2026)
• Smart Corridor: Riverside Avenue (New in FY 2025/2026)
Program Planning:
• Safe Streets for All Action Plan
• Citywide Minor Street Improvements
At the end of the 2024/2025 fiscal year, the remaining budget for the listed projects will be carried forward to the next fiscal year until projects are completed and funds are completely expended. Any remaining funds after project completion will be returned to the Measure I fund balance.
Pursuant to Measure I requirements, the City Council must also annually adopt the fiscal year 2025/2026 - 2029/2030 Measure I Five-Year Capital Improvement Plan and expenditure strategy.
ENVIRONMENTAL IMPACT
The proposed action is not a “Project” as defined by the California Environmental Quality Act (CEQA). Pursuant to Section 15378(a), a “Project” means the whole of an action, which has the potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment. According to Section 15378(b), a Project does not include: (5) Organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.
GENERAL PLAN CONSISTENCY
Approval of this action complies with the following City of Rialto General Plan Goals and Policies:
Goal 4-1: Provide transportation improvements to reduce traffic congestion associated with regional and local trip increases.
Goal 4-2: Protect residential neighborhoods from through traffic impacts.
Goal 4-3: Protect residences, sensitive land uses, and pedestrians from activities along rail corridors.
Goal 4-4: Protect school children and others from traffic hazards around schools.
Goal 4-5: Ensure the provision of adequate, convenient, and safe parking for all land uses.
Goal 4-6: Provide for all residents and businesses to have equal access to reliable and convenient public transit services.
Goal 4-7: Achieve optimum use of regional rail transit.
Goal 4-8: Establish and maintain a comprehensive system of pedestrian trails and bicycle routes that provide viable connections throughout the City.
Goal 4-9: Promote walking.
Goal 4-10: Provide a circulation system that supports Rialto’s position as a logistics hub.
LEGAL REVIEW
The City Attorney’s Office has reviewed the resolution and approved it as to form.
FINANCIAL IMPACT
Operating Budget Impact
This action will have no impact on the operating budget.
Capital Improvement Budget Impact
Sufficient appropriations are available to fund the projects for the current fiscal year as identified in the Fiscal Year 2025/2026 - 2029/2030 Measure I Five-Year Capital Improvement Plan, included as “Exhibit A” of the resolution. The subsequent year’s program will be budgeted during the budget process.
Licensing
A Business License application and payment of a Business License tax is not required for this action.