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HomeMy WebLinkAbout2021-06-15; City Council; ; Programming of Road Maintenance and Rehabilitation Account funds to the Pavement Management Program and Concrete Replacement ProgramMeeting Date: To: From: Staff Contact: Subject: Districts: June 15, 2021 Mayor and City Council Scott Chadwick, City Manager Hossein Ajideh, Engineering Manager Hossein Ajideh@carlsbadca.gov, 760-579-1062 Programming of Road Maintenance and Rehabilitation Account funds to the Pavement Management Program and Concrete Replacement Program All Recommended Action Adopt a resolution authorizing the programming of Road Maintenance and Rehabilitation Account funds to the Pavement Management Program and Concrete Replacement Program, Capital Improvement Program Project Nos. 6001 and 6013, for fiscal year 2021-22. Executive Summary The State of California enacted Senate Bill 1, the Road Repair and Accountability Act of 2017, to fund deferred maintenance on the local road system and the state highway system. As a requirement to receive these funds from the California Transportation Commission, local agencies must adopt a resolution and submit supporting documents to the commission on an annual basis. Staff recommend that the Road Maintenance and Rehabilitation Account funds for FY 2021-22 be allocated to the Pavement Management Program and Concrete Replacement Program. The resolution associated with this staff report will be submitted to the commission, along with the necessary supporting documentation, to meet the requirements for receiving funds. Staff also request that the FY 2021-22 Capital Improvement Program budget include the programming of Road Maintenance and Rehabilitation Account funds to the programs. Discussion Enacted in 2017, SB 1 increased transportation-related taxes and fees and was designed to dedicate the revenue to transportation infrastructure. As a result, the Road Maintenance and Rehabilitation Account was created by the commission, which will distribute funds to eligible cities and counties for road maintenance, rehabilitation, congestion relief and safety projects on the local road system. SB 1 includes accountability and transparency provisions, which ensure the residents of the city are aware of the projects proposed for funding. The commission then published a set of procedures that local agencies are required to follow in order to receive the funds. These procedures require local agencies to adopt a resolution, which identifies a project, or list of projects each year. SB 1 also requires local agencies to submit, on an annual basis for the list of account-funded projects, supporting documentation to June 15, 2021 Item #4 Page 1 of 6 the commission that includes project description, general location, anticipated schedule, estimated useful life and a list of related expenditures. The deadline for this year’s submission is July 1, 2021. To efficiently utilize the funds, staff recommend that the money be allocated to the pavement management and concrete replacement programs. The Pavement Management Program includes annual road resurfacing and rehabilitation projects, which are prioritized by the commission for this funding source. As required, the city utilizes a pavement management system to ensure that account revenues are being used in a prioritized and cost-effective manner. The Concrete Replacement Program replaces damaged and uplifted concrete improvements within the public right-of-way, which includes sidewalk, curb, gutter and driveway approaches. With adoption of the FY 2021-22 Capital Improvement Program budget, these funds will be allocated to the Pavement Management and Concrete Replacement programs. Following City Council approval, the resolution associated with this staff report along with the other necessary supporting documentation will be submitted to the California Transportation Commission. Options Staff provide the following options for City Council’s consideration: 1. Adopt a resolution authorizing the programming of Road Maintenance and Rehabilitation Account funds to the Pavement Management Program and Concrete Replacement Program, Capital Improvement Program Project Nos. 6001 and 6013, for FY 2021-22 Pros • Complies with SB 1 requirements • Funding will repair infrastructure in the Pavement Management Program and Concrete Replacement Program in a prioritized and cost-effective manner • Provides for accountability and transparency Cons • None identified 2. Do not authorize the programming of Road Maintenance and Rehabilitation Account funds to the Pavement Management Program and Concrete Replacement Program, Capital Improvement Program Project Nos. 6001 and 6013, for FY 2021-22, and direct staff to recommend other projects Pros • None identified Cons • Staff could miss the deadline for submitting a resolution to the California Transportation Commission • The city could lose the Road Maintenance and Rehabilitation Account funds if the deadline is missed • Delay in repairing high-priority streets and damaged concrete could occur June 15, 2021 Item #4 Page 2 of 6 Staff recommend Option 1 for the City Council’s approval – Adopt a resolution authorizing the programming of Road Maintenance and Rehabilitation Account funds to the Pavement Management Program and Concrete Replacement Program, Capital Improvement Program Project Nos. 6001 and 6013, for FY 2021-22. Fiscal Analysis In order to comply with the procedures established by the commission and to receive the funds, a discrete fund account has been established by the Finance Department to identify and track the receipt and expenditures. This will be the fifth year in which the city will receive Road Maintenance and Rehabilitation Account funding, which will enable the city to continue essential road maintenance and concrete rehabilitation projects. Based on revenue projections from the California Local Government Finance Almanac, Carlsbad is estimated to receive $2,250,000 in Road Maintenance and Rehabilitation Account revenue during FY 2021-22. Staff request that the FY 2021-22 Capital Improvement Program budget include programming of $1,900,000 of the funds to the Pavement Management Program and $620,000 to the Concrete Replacement Program, for a total programmed amount of $2,520,000. Due to higher than expected revenues, interest income, and unspent allocations from previous years, there is an existing fund balance of $270,000, which explains why the total programmed amount of $2,520,000 exceeds the FY 2021-22 estimated revenue projection of $2,250,000. Next Steps Once approved by the City Council, staff will submit the attached resolution and supporting documents to the commission before the July 1, 2021, deadline to allow the city to remain eligible to receive funds in FY 2021-22. Environmental Evaluation (CEQA) This action does not constitute a “project” within the meaning of the California Environmental Quality Act under Public Resources Code section 21065 in that it has no potential to cause either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment and therefore does not require environmental review. Public Notification Public notice of this item was posted in keeping with the Ralph M. Brown Act and it was available for public viewing and review at least 72 hours before the scheduled meeting date. Exhibit 1. City Council resolution June 15, 2021 Item #4 Page 3 of 6 RESOLUTION NO. 2021-145 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, AUTHORIZING THE PROGRAMMING OF ROAD MAINTENANCE AND REHABILITATION ACCOUNT (RMRA) FUNDS TO THE PAVEMENT MANAGEMENT PROGRAM AND CONCRETE REPLACEMENT PROGRAM, CAPITAL IMPROVEMENT PROGRAM (CIP) PROJECT NOS. 6001 AND 6013, FOR FISCAL YEAR (FY) 2021-22 WHEREAS, Senate Bill 1 (SB 1), the Road Repair and Accountability Act of 2017, was passed by the legislature and enacted into law on April 28, 2017 to address the significant multi-modal transportation funding shortfalls statewide; and WHEREAS, SB 1 includes accountability and transparency provisions designed to make city residents aware of both projects proposed to receive funding and those projects that have been completed each fiscal year; and WHEREAS, the city must adopt by resolution a list of projects proposed to receive fiscal year funding from the RMRA created by SB 1, which must include a description and the location of each proposed project, a proposed schedule for the project's completion and the estimated useful life of the improvement; and WHEREAS, the city is expected to receive an estimated $2,250,000 in RMRA funding in FY 2021-22; and WHEREAS, there is an existing fund balance of $270,000, which when added with the FY 2021- 22 estimated revenue projection of $2,250,000 results in a total RMRA programmed amount of $2,520,000; and WHEREAS, this will be the fifth year in which the city will receive RMRA funding which will enable the city to continue essential road maintenance and rehabilitation projects; and WHEREAS, the city has undergone a public process to solicit public input into the community's transportation priorities as part of the CIP approval process; and WHEREAS, the city utilizes a pavement management system to ensure that RMRA revenues are being used in a prioritized and cost-effective manner; and WHEREAS, the funding from RMRA will help the city maintain and rehabilitate its network of roads, concrete improvements and similar projects into the future; and June 15, 2021 Item #4 Page 4 of 6 WHEREAS, the RMRA project list and overall investment in our local streets and roads infrastructure with a focus on basic maintenance and safety will have a significant benefit to the community. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1. That the above recitations are true and correct. 2. That the Pavement Management Program, CIP Project No. 6001, as further described herein, will be funded in part with FY 2021-22 RMRA revenues: a.Project Title: Pavement Overlay and Slurry/Fog Seal Projects b.Description: resurface and rehabilitate a selection of publicly-maintained streets on an annual basis c.Location: various streets throughout the city based on pavement condition d.Estimated Project Schedule: July 2021 —June 2022 e.Estimated Useful Life: slurry seal has a useful life of approximately five years, and asphalt concrete overlay has a useful life of approximately 20 years 3. That the Concrete Replacement Program, CIP Project No. 6013, as further described herein, will be funded in part with FY 2021-22 RMRA revenues: a.Project Title: Concrete Replacement Program b.Description: repair and replace broken and uplifted concrete in the public right of way c.Location: various locations throughout the city based on concrete condition d.Estimated Project Schedule: July 2021 — June 2022 e.Estimated Useful Life: concrete improvements typically have a useful life of approximately 50 years 4. That funding to program RMRA funds in the amount of $1,900,000 to the Pavement Management Program, Project No. 6001, and $620,000 to the Concrete Replacement Program, Project No. 6013 was incorporated into the in the fiscal year 2021-22 Capital Improvement Program. // June 15, 2021 Item #4 Page 5 of 6 PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 15th day of June, 2021, by the following vote, to wit: AYES: Hall, Blackburn, Acosta, Bhat-Patel, Schumacher. NAYS: None. ABSENT: None. MATT HALL, Mayor jiincrebiy1 DOlvla -f0 BARBARA ENGLESON, City Clerk (SEAL) June 15, 2021 Item #4 Page 6 of 6 Hossein Ajideh, Engineering Manager June 15, 2021 Programming of Road Maintenance and Rehabilitation Account funds to the Pavement Management Program and Concrete Replacement Program Recommendation Adopt a resolution authorizing the programming of Road Maintenance and Rehabilitation Account (RMRA) funds to the Pavement Management Program and Concrete Replacement Program, Capital Improvement Program Project Nos. 6001 and 6013, for FY 2021-22 2 Background •State of California enacted Senate Bill (SB) 1, the Road Repair and Accountability Act of 2017, to fund deferred maintenance on local roads and highways •SB 1 increased transportation-related taxes and fees •Designed to dedicate revenue to transportation infrastructure 3 Background •California Transportation Commission (CTC) created RMRA to distribute funds to eligible cities and counties for road maintenance, rehabilitation, congestion relief and safety projects on local roads •To receive funds, local agencies must adopt a resolution and submit supporting documents to CTC on an annual basis (deadline for this year’s submission is July 1, 2021) 4 Fiscal Analysis •Revenue projections:Carlsbad estimated to receive $2,250,000 in RMRA revenue in FY 21-22 •Staff request that FY 21-22 CIP budget include programming of $1,900,000 of the funds to Pavement Management Program and $620,000 to Concrete Replacement Program (total programmed amount of $2,520,000) •Due to higher than expected revenues, interest income, and unspent allocations from previous years, there is an existing balance of $270,000 5 Next Steps Once approved by City Council, staff will submit the resolution and supporting documents to CTC before the July 1, 2021, deadline to allow the city to remain eligible to receive funds in FY 21-22 6 Recommendation Adopt a resolution authorizing the programming of Road Maintenance and Rehabilitation Account (RMRA) funds to the Pavement Management Program and Concrete Replacement Program, Capital Improvement Program Project Nos. 6001 and 6013, for FY 2021-22 7 Thank you