1 STAFF REPORT
DATE: June 24, 2025
TO: Justin Hess, City Manager
FROM: Ken Berkman, Public Works Director
Via: Lifan Xu, Chief Assistant Public Works Director—City Engineer BY: Artin Megerdichian, Principal Civil Engineer
SUBJECT: Adoption of a Resolution Approving a Project List for the Road Repair and Accountability Act (SB1) for Fiscal Year 2025-26
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 2025-26 (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 of California in April 2017 to address significant multi-modal transportation funding shortfalls statewide.
SB1 is funded through a combination of gas tax revenues and the Transportation Improvement Fee that took effect on January 1, 2018. One requirement of SB1 is for the City to provide annually, by July 1 st, 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 with a project street list for approval each year to meet SB1 requirements. The actual revenue received since inception through May 2025 is $12.65M at an average of $1. 8M annually over the last seven years.
PUBLIC
WORKS
2 DISCUSSION
The City of Burbank has an established Pavement Management Program (PMP), in which the City is divided into 20 zones. With funding from SB1, Measure M, and Measure P, the PMP now analyzes at least four of the 20 City zones each year to identify the streets that are in the greatest need of resurfacing, including local/residential and arterial streets. 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 to a future funding cycle, typically the following year.
To meet the requirement s of SB1, staff created a list of project streets for funding anticipated to be received monthly in Fiscal Year (FY) 2025-26. The list of proposed streets that are recommended for resurfacing based on their current condition, utilizing SB1 funding, is included in Attachment 2 (and Exhibit 1 of the resolution). The map of the proposed street segments is also included (Attachment 3) . While t he complete list of proposed streets to be resurfaced has a current construction estimate of $3.5M, SB1 will provide funding for a portion of the overall project list. Should Council approve the project list for SB1 funding, Attachment 2 will be submitted to the State by July 1, 2025 (as required by SB1), and incorporated into the City’s FY 2025-26 Adopted Budget.
This resolution will support Council’s goal of City Services by improving and maintaining the City’s pavement inventory to better serve all modes of transportation for its residents and visitors. This annual funding is projected to maintain the City’s Pavement Condition Index (PCI) within a range of 70- 73 through FY 2030- 31. The City’s current pavement condition index is 73, which is defined as “good” condition. Maintaining a PCI of 70 -73 places the City well above the S tate average of 66 and will ensure s treet maintenance needs remain at a preferable level . This level also exceeds nearby cities, such as Pasadena (60) and Los Angeles ( 61-70), and closely aligns with Glendale’s current PCI of 72.
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 will involve 3 repair and maintenance of existing facilities (resurfacing existing streets) at a later date.
Such a project will be reviewed and approved at a later time and will most likely qualify as a Class 1 project that is 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 and to provide accountability and transparency, the Financial Services Department established a special revenue fund, t he Road Maintenance and Rehabilitation Fund 123 in 2018, which is 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 $ 2.9M for road repairs beyond its average Maintenance of Effort (MOE). The MOE was calculated based on a State Formula that accounted for the City’s average road maintenance expense in Fiscal Years 2010, 2011 and 2012 ($8.57M that includes salaries, benefits , and Capital Improvement dollars). The RMRA selected these 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 FY 2025-26 Budget, the $2.9M of SB1 funding will account for approximately 83% of the City’s current PMP budget of $3.5M.
CONCLUSION
Staff recommends that Council adopt the proposed resolution to approve the list of project streets to be eligible to use SB1 funding.
ATTACHMENTS
Attachment 1 – Resolution
Attachment 2 – Proposed Streets for Resurfacing with SB1 Funds in FY 2025-26 Attachment 3 – Project Location Map