For City Council Meeting [January 9, 2018]
TO: Honorable Mayor and City Council
APPROVAL: Robb R. Steel, Interim City Administrator
FROM: Robert G. Eisenbeisz, P.E. Public Works Director/City Engineer
Title
Request City Council to Adopt Resolution No. 7268 Authorizing the Submission of Grant Applications to the California Transportation Commission for the 2018 Local Partnership Program under the Road Repair and Accountability Act of 2017 (Senate Bill 1) for the Randall Avenue and Alder Avenue Widening Projects; and Authorize issuance of a Purchase Order with KOA Corporation in the Amount of $5,475 for Related Professional Services.
Body
BACKGROUND:
The Road Repair and Accountability Act of 2017 created the Local Partnership Program (LPP) and continuously appropriates two hundred million dollars ($200,000,000) annually to be allocated by the California Transportation Commission (CTC) to local or regional transportation agencies that have sought and received voter approval of taxes or that have imposed fees, which taxes or fees are dedicated solely for transportation improvements. The Local Partnership Program was subsequently amended by Assembly Bill (AB) 115 (Chapter 20, Statutes of 2017) and AB 135 (Committee on Budget, Chapter 255, Statutes of 2017).
The objective of the Local Partnership Program is to reward counties, cities, districts, and regional transportation agencies in which voters have approved fees or taxes solely dedicated to transportation improvements or that have enacted fees solely dedicated to transportation [based on Government Code Section 8879.66(b)(1)]. Consistent with the intent behind Senate Bill 1 (SB 1), the Commission intends this program to balance the need to direct increased revenue to the state’s highest transportation needs while fairly distributing the economic impact of increased funding [SB 1 section 1(l)]. The voter approved Measure I along with the City’s adoption of the Regional Transportation Fee program satisfy these “self-help” requirements.
Table 1 lists the major milestones for the development and adoption of the 2018 Local Partnership Program Competitive Grant:
Table 1 - Grant Milestone Schedule
|
Description |
Deadline |
|
Call for Project Applications |
October 20, 2017 |
|
Applications Due (postmark date) |
January 30, 2018 |
|
Release CTC Staff Recommendations |
April 25, 2018 |
|
CTC Adopts Program |
May 16, 2018 |
The initial competitive program cycle will cover 2017-18 through 2019-20. Future cycles will be programmed every two-years. The Local Partnership Program will receive two hundred million dollars ($200,000,000) annually from the Road Maintenance and Rehabilitation Account. In the initial programming cycle, 2017-18 through 2019-20, program funds will be distributed 50% via formula and 50% via a competitive program. The application for Rialto will be in the competitive program.
To verify eligibility, agencies must provide a copy of the ordinance or resolution seeking to impose the fee; a copy of the relevant section of the jurisdiction’s most recent audited financial statements indicating the revenue generated by the imposed fee, including posting location on the internet and information about how the revenues are reported to the state.
The grant requires at least a one-to-one match of private, local, federal, or state funds. Costs incurred prior to allocation will not be counted towards the match. The application must include a project funding plan through construction that demonstrates the supplemental funding in the plan is reasonably expected to be available and sufficient to complete the project. The grant is a reimbursement program for eligible costs incurred. Costs incurred prior to CTC allocation are not eligible for reimbursement. The CTC will only program the construction component of a project in the Competitive Grant Program
Rialto will compete for LPP funding under Category IV for population within 100,000 to 299,999; the minimum request for program funding for Category IV is $1,000,000. An agency applying for multiple competitive grants must prioritize its applications. The CTC may elect to only evaluate the highest priority application(s) submitted by each agency.
ANALYSIS/DISCUSSION:
The Rialto grant application will request funding for two proposed projects, including:
• Randall Avenue Widening
• Alder Avenue Widening
The CTC intends to give higher priority to the following:
• Projects that are more cost-effective.
• Projects that can commence construction or implementation earlier.
• Projects that leverage more committed funds per program dollar.
• Projects that can demonstrate quantifiable air quality improvements, including a significant reduction in vehicle-miles traveled.
• Projects that can demonstrate regional and community project support.
• Within a Metropolitan Planning Organization, projects that further the implementation of the sustainable communities strategy.
The two proposed projects that are nearing the start of construction and meet the CTC priorities are identified above. These projects are good candidates due to their near construction ready status and considering the City’s initial investment to complete environmental clearance, acquire right-of-way, and initiate utility relocation work. Both projects are expected to be ready for construction by March 2018. The two streets are arterial roads and are included in the Regional Transportation Fee program as well as the SBCTA Nexus Study.
Based upon an established short list of qualified consultants, the Public Works Department requested proposals from three (3) firms to provide services related to the preparation and submittal of the SB1 LPP grant applications. Two of the three firms submitted proposals. Table 2 below shows the breakdown of the proposal costs submitted by the two firms.
Table 2 - List of Consultant Proposals
|
Firm Name |
Proposal Cost |
|
KOA Corporation |
$5,475 |
|
Dokken Engineering |
$27,730 |
Staff recommends that KOA Corporation be selected to provide the requested professional services to prepare and submit the SB1-LPP Grant Application to the CTC.
ENVIRONMENTAL IMPACT:
The proposed request 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 a 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:
Our City government will lead by example, and will operate in an open, transparent, and responsive manner that meets the needs of the citizens and is a good place to do business.
The City of Rialto General Plan outlines key Goals and Objectives through which the City looks to minimize congestion on the local road network, create opportunities and incentives for people to avoid use of their cars for short trips and maintain a circulation system that supports local businesses’ needs. These efforts will contribute to reductions in greenhouse gas emissions pursuant to State mandates.
Goal 3-6: Require that all developed areas within Rialto are adequately served with essential public services and infrastructure.
Goal 3-7: Upgrade public infrastructure as an inducement to promote private investment.
Goal 4-1: Provide transportation improvements to reduce traffic congestion associated with regional and local trip increases.
LEGAL REVIEW:
The City Attorney has reviewed and approved the staff report and Resolution.
FINANCIAL IMPACT:
The construction cost estimate for the two projects is $4,582,293:
• The construction cost for Randall Avenue Widening is estimated to be $2,467,903
• The construction cost for Alder Avenue Widening is estimated to be $2,114,390
If both grant applications are successful, the City will receive $2,291,147:
• $1,233,952 towards Randall Avenue Widening
• $1,057,195 towards Alder Avenue Widening
The grant program requires a minimum project cost of $1,000,000 and a one-to-one match of private, local, federal, or state matching funds. The City Council has previously appropriated funds from Regional Transportation Impact Fees, development funds, and other related funding. The previously budgeted funds are available for the City’s required match. If the City is successful, staff will return to Council for authorization to accept the grant and approval of appropriations.
RECOMMENDATION:
Staff recommends that the City Council:
• Adopt the Resolution Authorizing the Submission of two (2) Grant Applications to the California Transportation Commission for the 2018 Local Partnership Program under the Road Repair and Accountability Act of 2017 (SB 1) for the Randall Avenue and Alder Avenue Widening Projects.
• Authorize issuance of a Purchase Order to KOA Corporation in the amount of $5,475 for related professional services.