AGENDA ITEM
TO: HONORABLE MAYOR
AND MEMBERS OF THE CITY COUNCIL
FROM: CARLO TOMAINO
CITY MANAGER
BY: THOMAS BEKELE
PUBLIC WORKS DIRECTOR
SUBJECT:
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RESOLUTION APPROVING A LIST OF PROJECTS FUNDED BY SENATE BILL 1 (THE ROAD REPAIR AND ACCOUNTABILITY ACT) FOR FISCAL YEAR 2024-25
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Summary:
Based on statewide revenue projections from the California Department of Finance, the City’s allocation for funding under the Road Repair and Accountability Act is expected to be approximately $301,043 FY 2024-25. To remain eligible for funding in future fiscal years, agencies must provide a proposed list of projects to the California Transportation Commission by May 1 of each year. The City Council will consider adopting a resolution to incorporate a list of projects funded by Senate Bill 1 (Road Repair and Accountability Act) for Fiscal Year (FY) 2024-25.
Strategic Plan Goal)s):
Goal No. 4 Infrastructure: Maintain and improve the City’s physical infrastructure, water system, and recreational spaces.
recommendation
Recommendation:
Adopt a resolution, entitled:
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SIGNAL HILL, CALIFORNIA, APPROVING THE LIST OF PROJECTS FOR FISCAL YEAR 2024-25 PROPOSED TO BE FUNDED BY SENATE BILL 1
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Fiscal Impact:
The City’s allocation of Road Maintenance and Rehabilitation Account (RMRA) funds for FY 2024-25 is estimated to be $301,043.
Background:
In accordance with the Road Repair and Accountability Act of 2017, the State imposes per-gallon excise taxes on gasoline and diesel fuel, as well as sales tax on gasoline and diesel fuel, and registration taxes on motor vehicles. Under SB 1, the State allocates revenue generated from these taxes for transportation purposes. SB 1 emphasizes the importance of accountability and transparency in the delivery of California’s transportation programs. SB 1 is a flexible program that allows cities to rollover accrued funding to pay for street rehabilitation and maintenance projects. As outlined in the Road Repair and Accountability Act reporting guidelines, recipients of RMRA funding are held accountable through performance goals that are tracked and reported.
On November 1, 2017, the State Controller began depositing funds generated from increased fuel taxes and vehicle registration fees into the newly created RMRA. The State distributes a portion of RMRA funds annually to eligible cities and counties for basic road maintenance, rehabilitation, and critical safety projects on local streets and road systems. The RMRA allocations are based on a per capita (population) formula. As of June 30, 2023, the City expended $511,785 of RMRA funds on Pavement Management, Spring Street Overlay Project, and Sidewalk Repairs. Furthermore, the adopted FY 2023-24 Capital Improvement Program (CIP) budget contains $30,000 for sidewalk repairs and $510,186 for annual pavement management projects utilizing rolled-over and anticipated RMRA funding.
Analysis:
Based on statewide revenue projections from the California Department of Finance, the City’s allocation for FY 2023-24 is estimated to be $281,626 and $301,043 FY 2024-25. In order to be considered for funding in future fiscal years, agencies must provide a proposed list of projects to the California Transportation Commission by May 1 of each year. The list below identifies both past completed projects, and upcoming eligible projects staff proposes to advance or complete utilizing SB 1 as a funding source:
*Anticipated expenditures based on adopted and projected CIP budget
In order to expend unused funds that have rolled over from previous fiscal years, the project budget is higher than estimated revenue for FY 2023-24. Staff is requesting approval of the SB 1 Project List by adoption of a resolution, which would enable RMRA funds to be utilized for the City’s Pavement Management Program and/or Sidewalk Repairs either in its entirety for one project or distributed amongst all projects listed.
Reviewed for Fiscal Impact:
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Sharon del Rosario
Attachment:
1. Senate Bill 1 Resolution FY 2024-25