1 STAFF REPORT
DATE: April 4, 2023
TO: Justin Hess, City Manager
FROM: Ken Berkman, Public Works Director
VIA: Daniel Rynn – Chief Assistant Public Works Director - City Engineer BY: Omar Moheize – Principal Civil Engineer
SUBJECT: Adoption of a Resolution Approving a Project List for the Road Repair and Accountability Act (SB1) for Fiscal Year 2023/2024
RECOMMENDATION
Adopt A RESOLUTION OF THE COUNCIL OF THE CITY OF BURBANK APPROVING A PROJECT LIST FOR THE ROAD REPAIR AND ACCOUNTABILITY ACT (SB1) FOR FISCAL YEAR 2023/24 (Attachment 1).
BACKGROUND
Senate Bill 1 (SB1), 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 to address the significant multi-modal transportation funding shortfalls statewide. One requirement of SB1 is for the City to provide annually, by May 1st, a list of all proposed projects eligible to receive funding from the Road Maintenance and Rehabilitation Account (RMRA) created by SB1. The list must include a description and the location of each proposed pavement improvement project, a proposed schedule for the project’s completion, and the estimated useful life of the improvement.
Since the inception of the RMRA of 2017, staff has provided Council a project street list for approval each year to meet the SB1 requirements. The actual revenue received since inception through February 2023 is $9.68M at an average of $1.81M annually over the last five years.
DISCUSSION
The City of Burbank has an established Pavement Management Program (PMP) in which the area within the City is divided into 20 zones. With SB1 funding and the infusion of
2 Measure M and P dollars, the PMP now analyzes at least four of the 20 City zones each year to identify those streets that are in the greatest need of resurfacing, creating a 5- year rotation cycle throughout the City. It is important to note that streets in good condition will not be repaved as they do not meet the design standard/threshold. Additionally, some streets are intentionally removed from the cycle due to pre-planned excavation activities.
Those streets will be addressed during the pre-planned excavation project or deferred and picked up in a future funding cycle, typically the following year.
To meet the requirement of SB1, staff created a new list of project streets for funding anticipated to be received monthly in Fiscal Year 2023/24. Attachment 2 (and Exhibit 1 of the resolution) is the new list of proposed streets in zones 3, 4, 13, and 14 that are recommended for resurfacing based on their current condition, utilizing SB1 funding.
Attachment 3 includes the map of zones 3 and 4 bounded by S. Keystone Street, W. Verdugo Avenue, S. Victory Boulevard, E. Magnolia Boulevard, S. San Fernando Boulevard, the Glendale and Los Angeles City boundaries and zones 13 and 14, bounded by Victory Boulevard, Burbank Boulevard, and the Los Angeles City boundary at Clybourn Ave. Due to the various funding sources in the City’s PMP, SB1 will provide funding for a portion of the overall project list. The complete list of proposed streets to be resurfaced has a current construction estimate of $5 million. If Council approves the use of this funding source for these streets, then SB1 requires that Attachment 2 be submitted to the State by May 1, 2023 and incorporated into the City’s Fiscal Year 2023/24 Budget.
This resolution will help support Council’s goals of “City Services” and “Infrastructure” by improving and maintaining the City’s pavement inventory to better serve all modes of transportation for our residents and visitors.
ENVIRONMENTAL REVIEW
Adoption of this resolution is not a project within the meaning of the California Environmental Quality Act (CEQA) and under CEQA Guidelines Section 15378 (14 CCR §15378), which states that a project does not include “government fiscal activities, which do not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment.” This resolution adopts, and authorizes submission for approval of, a list of projects proposed to receive funding under SB1 and the RMRA. If such funding is approved, the activity subject to the funding involve repair and maintenance of existing facilities (resurfacing existing streets) that would qualify as Class 1 projects that are categorically exempt from CEQA. Accordingly, adoption of this resolution is not a project and no further environmental review is necessary.
FISCAL IMPACT
To qualify for SB1 funding requirements, and to provide accountability and transparency, the Financial Services Department has established a special revenue fund. The Road Maintenance and Rehabilitation Fund 123 will be used to manage the RMRA program funding.
By providing the required list of proposed projects, the City will be eligible to receive and use an additional estimated $2.65 million for road repairs beyond its average 3 Maintenance of Effort (MOE) quantified over Fiscal Years 2010, 2011 and 2012 ($8.566M that includes salaries, benefits, and Capital Improvement dollars). The RMRA selected these aforementioned Fiscal Years as the basis to calculate an agency’s MOE. The City has received SB1 funding in monthly installments since January 2018.
If approved and incorporated into the Budget for the 2023/24 Fiscal Year, the $2.65M of SB1 funding will account for approximately 33%of the City’s current PMP budget of $8 million. This annually budgeted amount is projected to bring the City’s current pavement condition index from a 67 to a 73 by Fiscal Year 2030/31 and slow the growing backlog of deferred street maintenance. A pavement condition index of 73 would be well above the state average (66) as well as Pasadena (60) and Los Angeles (70) and approximately equal to what is currently reported by Glendale (74).
To meet SB1 requirements, staff recommends incorporating the amended list of streets and the anticipated SB1 funding of $2,650,059 into the Fiscal Year 2023/24 Budget when that item comes up later this year. Funds will be appropriated as part of the Fiscal Year 2023/24 Budget process.
CONCLUSION
Staff recommends that Council adopt the proposed resolution to approve the list of project streets to be eligible to use SB1 funding and to incorporate this forecasted revenue into the City’s Fiscal Year 2023/24 Budget.
ATTACHMENTS
Attachment 1 – Resolution
Attachment 2 – Proposed Streets for Resurfacing with SB1 Funds in FY2023/24 Attachment 3 – Project Location Map