CITY OF COMMERCEAGENDA REPORTCITY OF COMMERCEAGENDA REPORT
CITY OF COMMERCE
AGENDA REPORT
CITY OF COMMERCE
AGENDA REPORT
Item No. Item No.
Item No.
Item No.
TO: Honorable City Council
FROM: City Manager
SUBJECT: Approval of Fund Exchange Agreement with Metro Meeting Date: March 28, 2023
RECOMMENDATION:
Staff recommends that the City Council consider adoption of a Resolution approving an Exchange Agreement and Assignment of Federal Surface Transportation Program-Local and Highway Infrastructure Program Funds with Los Angeles County Metropolitan Transportation Authority (Metro).
ANALYSIS:
The City of Commerce is eligible for and has available Federal Surface Transportation Program-Local ("STP-L Funds") and Highway Infrastructure Program Funds ("HIP Funds"). In order to avoid lapsing of said funds, Metro has agreed to exchange $193,526 of the City’s Federal STP-L Funds and $60,414 of the City’s HIP Funds for a like total amount of $253,940 of Metro’s Local Transportation Funds ("LACMTA Funds") subject to execution of the attached Agreement and 2% for administrative and processing fees. This is beneficial to and in the general interest of the City and Metro since the City can then use the funds for local road improvement projects.
The fund exchange and related assignment shall be automatically effective upon full execution of the attached agreement between the City and Metro. Pursuant to the agreement, Metro hereby accepts the City’s assignment of its STP-L and HIP Funds in exchange for Metro local transportation funds for use on federal-aid eligible project(s), to be determined by Metro in its sole and absolute discretion. According to the Agreement, the City will have three (3) years from the date of the Agreement to use the exchange funds.
Staff recommends using the funds for the City’s 2022/2023 Pavement Rehabilitation Project expected to begin within the next 6 months. Staff also recommends that City Council adopt the attached Resolution approving the Fund Exchange Agreement with Metro.
ENVIRONMENTAL IMPACT:
None. Adoption of the attached Resolution is exempt from the California Environmental Quality Act.
FISCAL IMPACT:
There is no fiscal impact to the General Fund.
ALTERNATIVES:
Approve staff recommendation
Reject staff recommendation
Provide further direction to staff
RELATIONSHIP TO STRATEGIC GOALS:
This agenda item relates to the 2016 Strategic Plan, Infrastructure and Facilities:
Guiding Principle 3: Maintain and prioritize improvements to city facilities and infrastructure in accordance with adopted master planning documents including the Green Zone Implementation Plan to accomplish achievable annual and long-term goals.
Guiding Principle 4: Develop and invest in infrastructure and beautification projects that support economic growth.
Respectfully submitted: Edgar P. Cisneros, City Manager Approved by: Gina Nila, Department of Public Works
Reviewed by: Vilko Domic, Assistant City Manager
Approved as to form by: Noel Tapia, City Attorney
ATTACHMENTS:
Resolution
Agreement