Staff Report
City Council
Item No. {{section.number}}.F
Meeting Date: August 14, 2024
From: John A. Corella, Director of Public Works
Title: Amendment Six to AB 2766 Memorandum of Understanding (MOU) Between CVAG and Member Jurisdictions to Provide Sustainable Funding of the Regional PM10 Street Sweeping Program
RECOMMENDATION:
To approve Amendment Six to AB 2766 Memorandum of Understanding (MOU) between the Coachella Valley Association of Governments (CVAG) and member jurisdictions to maintain contributions from the cities and the County at 75% to provide sustainable funding of the regional PM10 Street Sweeping Program through June 30, 2026; and authorize the City Manager to execute Amendment Six to the AB 2766 Memorandum of Understanding (MOU).
BACKGROUND:
Coachella Valley and the Salton Sea Air Basin are designated non-attainment areas for PM10, or air particulate matter less than 10 microns. The primary source of PM10 is dust- generating activities like vehicles traveling over paved or unpaved streets and through construction zones. Since the early 1990's, CVAG and its member agencies have cooperated on a Regional PM10 Arterial Street Sweeping Program – one of the most significant air quality control measures that can be taken to reduce PM10 throughout our region. This program has the added benefit of keeping all major streets in the Coachella Valley clean at a low per-mile cost due to economies of scale.
The Arterial Street Sweeping Program is currently funded by three main sources:
1. Reallocation of a portion of AB 2766 funds dispersed to individual jurisdictions based on vehicle license plate renewals.
2. Grant funding from the South Coast Air Quality Management District (SCAQMD).
3. The Coachella Valley Air Quality Enhancement Fund, managed by Riverside County, also known as Colmac funds.
The SCAQMD grant is in the amount of $1,150,000 and provides approximately $220,000 annually for the five years for the arterial street sweeping grant program. The grant is currently in year three of five. The Colmac funds received by the County are associated with mitigating air pollution impacts from the Colmac power plant in Mecca, CA. Since July 2010, the County has set aside $150,000 each year for the regional arterial street sweeping program. The current term runs through FY24/25, and CVAG is working with the County to request an extension of this grant, to continue to support dust mitigation in the Coachella Valley.
The remaining AB 2766 funding sent to cities and counties by the SCAQMD is generated by a surcharge on annual DMV fees and must be used to reduce air pollution generated by motor vehicles. In previous years when funding from other sources tended to fluctuate, AB 2766 contributions from CVAG member jurisdictions also ranged from 33% to 100%, which is allocated towards monthly sweeping of arterial streets.
DISCUSSION:
In 2020, the Fifth Amendment to the MOU for this reallocation requested that 75% of AB 2766 funds be directed toward the regional arterial street sweeping program. The term of the Fifth Amendment expired on June 30, 2024. With this Amendment Six, CVAG requests that the jurisdictional contribution level remains at 75% for the next two years, through June 30, 2026. One hundred percent of all funding goes toward the arterial street sweeping program, currently operated by CVAG under contract with CleanStreet. Amendment Six to the MOU was approved by the CVAG Executive Committee on April 29, 2024. This recommendation was also reviewed and supported by the CVAG Energy and Sustainability Committee on April 11, 2024.
Note that in Cathedral City, the residential streets are swept once a month through a contract supported by the solid waste fees per the Burrtec agreement. Arterial streets are swept once a month through this agreement with CVAG.
Staff recommends that Amendment Six to the MOU, to maintain the 75% commitment of AB 2766 funds from CVAG member jurisdictions, be continued for the next two fiscal years through June 30, 2026. Identical MOU Amendments are being circulated to all participating member agencies for approval by their respective governing bodies.
FISCAL IMPACT:
Adequate funding for the Reginal PM-10 Street Sweeping Program is dependent upon all three funding streams – AB 2766, South Coast AQMD grant, and the Colmac Allocation.
The CVAG quarterly reimbursement activity is managed through Fund 242, Air Quality Fund.
FIVE-YEAR STRATEGIC PLAN:
Goal B – Community Investment
Objective: Cathedral City roads, gateways, public spaces, and other infrastructures are well planned, designed, constructed and maintained.
ATTACHMENTS:
1. CVAG Staff Report
2. Amendment 6