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Home My WebLink About1L OCR CITY COUNCIL STAFF REPORT DATE: JUNE 5, 2023 CONSENT CALENDAR SUBJECT: ADOPT A RESOLUTION IDENTIFYING THE PROJECTS TO BE FUNDED BY SENATE BILL 1 (SB 1), THE ROAD REPAIR AND ACCOUNTABILITY ACT OF 2017, FOR FISCAL YEAR 2023-24 FROM: Scott C. Stiles BY: Engineering Services Department SUMMARY: Adoption of this resolution will allow the City of Palm Springs to identify a specific project or projects that will be designated as recipients of Senate Bill 1 (SB1) funding, identified as “The Road Repair and Accountability Act of 2017”. Staff has updated the Capital Improvement Program to include SB1-RMRA funds to be budgeted for the 2023/2024 Annual Slurry Seal Project. RECOMMENDATION: Adopt Resolution No. _____, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, ADOPTING A LIST OF PROJECTS FOR FISCAL YEAR 2023-24 FUNDED BY SENATE BILL 1 (SB 1), THE ROAD REPAIR AND ACCOUNTABILITY ACT OF 2017.” BACKGROUND: On April 28, 2017, the Governor signed Senate Bill 1 (SB 1) (Beall, Chapter 5, Statutes of 2017), which is known as the Road Repair and Accountability Act of 2017. To address basic road maintenance, rehabilitation, and critical safety needs on both the state highway and local streets and road system, SB 1 increases the per-gallon fuel excise taxes; increases diesel fuel sales taxes and vehicle registration fees; and provides for inflationary adjustments to tax rates in future years. Beginning November 1, 2017, the State Controller deposited various portions of this new funding into the newly created Road Maintenance and Rehabilitation Account (RMRA). A percentage of this new RMRA funding is apportioned by formula to eligible cities and counties pursuant to the Streets and Highways Code (SHC) Section 2032(h) for basic road maintenance, rehabilitation, and critical safety projects on the local streets and roads system. Item 1L - Page 1 City Council Staff Report June 5, 2023 -- Page 2 Adopt a Resolution Identifying Project(s) for SB1 RMRA Funds It is important to note that all new revenues received through the increased Gas Tax must be dedicated to capital improvement projects and cannot be used for personnel or other administrative costs. STAFF ANALYSIS: Cities and counties receiving RMRA funds must comply with all relevant federal and state laws, regulations, policies, and procedures. The main requirements for the program are codified in SHC Sections 2034, 2036, 2037, and 2038; several of the key requirements are listed below: • Submit to the California Transportation Commission (CTC) a list of projects proposed to be funded with these funds. All projects proposed to receive funding must be included in a city or county budget that is adopted by the applicable city council or county board of supervisors at a regular public meeting [SHC 2034(a)(1)]. • The list of projects must include the description and location of each proposed project, a proposed schedule for the project's completion, and the estimated useful life of the improvement [SHC 2034(a)(1)]. • For each fiscal year in which RMRA funds are received and expended, cities and counties must submit documentation to the Commission that includes the description and location of each completed project, the amount of funds expended on the project, the completion date, and the estimated useful life of the improvement [SHC 2034(b)]. Staff recommends adopting this resolution, Attachment A, identifying the 2023/2024 Annual Slurry Seal Project as an eligible project to receive RMRA funding by Senate Bill 1 (SB 1), the Road Repair and Accountability Act of 2017, for Fiscal Year 2023-2024. ENVIRONMENTAL ASSESSMENT: The requested City Council 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 a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment. The requested action is to amend the Fiscal Year 2023-2024 budget, and is exempt from CEQA pursuant to Section 15378(b), in that 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. ALIGNMENT WITH STRATEGIC PLANNING: This item aligns with the City Council Priority 2, Community Infrastructure. Item 1L - Page 2 City Council Staff Report June 5, 2023 -- Page 3 Adopt a Resolution Identifying Project(s) for SB1 RMRA Funds FISCAL IMPACT: Following City Council approval, the Capital Improvement Budget will be updated, reflecting this projected revenue for RMRA Gas Tax Funds of $1,097,504 for Fiscal Year 2023-2024, allowing the City to provide the CTC with the projects to be funded by Senate Bill 1 (SB 1). The FY 23-24 estimated revenue of $1,097,504 will be used to fund the 2023/2024 Annual Slurry Seal Project. REVIEWED BY: City Engineer: Joel Montalvo Deputy City Manager: Flinn Fagg City Manager: Scott Stiles ATTACHMENTS: A. Resolution Item 1L - Page 3 RESOLUTION NO. _____ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, ADOPTING A LIST OF PROJECTS FOR FISCAL YEAR 2023-24 FUNDED BY SENATE BILL 1 (SB 1), THE ROAD REPAIR AND ACCOUNTABILITY ACT OF 2017 WHEREAS, Senate Bill 1 (SB 1), the Road Repair and Accountability Act of 2017 (Chapter 5, Statutes of 2017) was passed by the Legislature and signed into law by the Governor in April 2017 in order to address the significant multi-modal transportation funding shortfalls statewide; and WHEREAS, SB 1 includes accountability and transparency provisions that will ensure the residents of our City are aware of the projects proposed for funding in our community and which projects have been completed each fiscal year; and WHEREAS, the City must include a list of all projects proposed to receive funding from the Road Maintenance and Rehabilitation Account (RMRA), created by SB 1, in the City budget, 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, will receive an estimated $1,097,504 in RMRA funding in Fiscal Year 2023-24 from SB 1; and WHEREAS, this is the fifth year in which the City is receiving SB 1 funding and will enable the City to continue essential road maintenance and rehabilitation projects, safety improvements, repairing and replacing aging bridges, and increasing access and mobility options for the traveling public that would not have otherwise been possible without SB 1; and WHEREAS, the City has undergone a robust public process to ensure public input into our community's transportation priorities/the project list; and WHEREAS, the City reviews safety concerns and uses a Pavement Management System to develop the SB 1 project list to ensure revenues are being used on the most high-priority and cost-effective projects that also meet the communities priorities for transportation investment and safety; and WHEREAS, the funding from SB 1 will help the City maintain and rehabilitate streets, roads, bridges, improve safety, add traffic control devices, and add active transportation infrastructure throughout the City this year and hundreds of similar projects into the future; and Item 1L - Page 4 Resolution No. _____ Page 2 WHEREAS, the 2018 California Statewide Local Streets and Roads Needs Assessment found that the City's streets and roads are in a "good" condition and this revenue will help us increase the overall quality of our road system and over the next decade will maintain our streets and roads in a "good" condition; and WHEREAS, the SB 1 project list and overall investment in our local streets and roads infrastructure with a focus on basic maintenance and safety, investing in complete streets infrastructure, and using cutting-edge technology, materials and practices, will have significant positive co-benefits statewide; and NOW, THEREFORE THE CITY COUNCIL DETERMINES, RESOLVES AND APPROVES AS FOLLOWS: SECTION 1. That the foregoing Recitals are true and correct and are incorporated herein by this reference. SECTION 2. The Fiscal Year 2023-24 list of projects planned to be funded with Road Maintenance and Rehabilitation Account revenues include: Project Name: 2023/2024 Annual Slurry Seal Project Description: City Wide Slurry Seal Program Estimated Useful Life: 5-7 Years Est. Construction Year: Late 2023 or Early 2024 ADOPTED THIS 5th DAY OF June 2023. SCOTT C. STILES, CITY MANAGER ATTEST: _____ BRENDA PREE, CITY CLERK Item 1L - Page 5 Resolution No. _____ Page 3 CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF PALM SPRINGS ) I, BRENDA PREE, City Clerk of the City of Palm Springs, hereby certify that Resolution No. _____ is a full, true and correct copy as was duly adopted at a regular meeting of the City Council of the City of Palm Springs on June 5, 2023, by the following vote: AYES: NOES: ABSENT: ABSTAIN: _____ BRENDA PREE, CITY CLERK City of Palm Springs, California Item 1L - Page 6