Agenda Report
Fullerton City Council
MEETING DATE: DECEMBER 3, 2024
TO: CITY COUNCIL / SUCCESSOR AGENCY
SUBMITTED BY: stephen bise, p.e., public works director PREPARED BY: david grantham, p.e., city engineer
SUBJECT: FISCAL YEAR 2024-25 STREET REHABILITATION PROJECTS
SUMMARY
Fiscal Year (FY) 2024-25 street rehabilitation projects review.
PROPOSED MOTION
Receive and file.
ALTERNATIVE OPTIONS
Approve the Proposed Motion
Other options brought by City Council.
STAFF RECOMMENDATION
Staff recommends the Proposed Motion.
CITY MANAGER REMARKS
This staff item is a report of the status of the 2024-25 Street Rehabilitation Projects.
PRIORITY POLICY STATEMENT
This item matches the following Priority Policy Statements:
Fiscal and Organizational Stability
Infrastructure and City Assets.
FISCAL IMPACT
The Adopted FY 2024-25 CIP Budget includes street rehabilitation project funding. The Available Funding table in this report details the funding sources for the $8 million identified for FY 2024-25 street rehabilitation.
BACKGROUND AND DISCUSSION
The City programs arterial and local (residential and industrial) street rehabilitation funding each fiscal year. Rehabilitation methods range from slurry sealing to complete reconstruction, depending on street pavement condition and available funding. Most recent rehabilitation used grind and overlay, limited reconstruction and minimal slurry seal methods. Using grind and overlay methods allowed the City to focus on poor-condition streets and extend available funding rather than reconstruction.
Staff takes several items into consideration when programming street rehabilitation, including:
available funding
funding restrictions and requirements
street selection guidelines approved by the Infrastructure and Natural Resources Advisory Committee (INRAC) INRAC project recommendations.
Available Funding
The following details the FY 2024-25 street rehabilitation budget:
Funding
Amount
Comments
RMRA / SB1
$3,500,000
100% revenue allocated to streets
Gas Tax
$0
Funding allocated to PW-Maintenance and Traffic Division projects Measure M2
Local Fair Share
$1,500,000
$3,250,000 expected revenue (1) $1,100,000 allocated to Traffic Division operations and projects, $200,000 to Grant projects and $400,000 to sidewalk repair Community Development Block Grant (CDBG)
$0
No FY 2024-25 project due to other city department needs Infrastructure Fund
$2,000,000
$2,900,000 revenue split between infrastructure needs
General Fund
$1,000,000
Allocation based on overall City needs and available revenue determined during budget process TOTAL
$8,000,000 (2)
Expected Additional Carryover / Project Savings
$1,000,000 (3)
Approximate savings from completed FY 2023-24 projects
Orange County Transportation Authority (OCTA) estimates $3.4M revenue. However, updated OCTA revenue for FY 2023-24 totals approximately $200K less than the original estimate. Staff decreased FY 2024-25 to account for reduced FY 2023-24 revenue.
Does not include grant funds awarded for specific street projects. See April 16, 2024 City Council meeting for additional information.
Any project budget savings from completed projects becomes available for future projects in addition to FY appropriations.
Funding Restrictions and Requirements
Most street funding shown in the table is restricted and the City can only use funds for facility maintenance, operation and rehabilitation within the street right of way. The City must meet eligibility requirements to receive these funds.
Eligibility to receive RMRA / SB1, Gas Tax and Measure M2 funding includes a Maintenance of Effort (MOE) requirement which requires the City to expend a specific amount of unrestricted funds, typically General Funds, towards City street maintenance and rehabilitation each fiscal year. The City cannot use other funding sources such as Sewer Enterprise, Park Dwelling, etc. for street purposes.
The OCTA revises and updates Measure M2 MOE every three years based on City General Fund revenues. The MOE requirement for FY 2024-25 increased to $4,921,569. Staff intends to combine General Funds (allocated to both PW-Maintenance and CIP) and Infrastructure Funds to meet this requirement.
An increase in OCTA’s MOE requirement could trigger an increased General Fund and/or Infrastructure Fund allocation in future fiscal years to maintain eligibility.
Street Selection Guidelines
INRAC reviewed and formalized street rehabilitation guidelines in July 2021, including the following:
Policy Guideline – Street Selection Criteria
All Streets
Streets only – no alley rehabilitation
Equitable distribution of work throughout the City
Combine with utility work – water and/or sewer
City may complete street work as a separate project directly after utility work Maintenance history
Bicycle lanes
Pavement Condition Index (PCI) rating
Condition of pavement compared to adjacent streets
Traffic volume and number of side streets
Planned development and/or improvements
Local street rehabilitation generally followed the same streets as water and/or sewer main replacement projects over the past several years, in accordance with the guidelines. The City programmed non-utility streets when additional funds, such as American Rescue Plan Act funds, became available. Staff intends to continue using these guidelines unless City Council provides other direction. Staff anticipates the City will have insufficient funds to keep pace with all planned water main replacement projects.
Previously Approved Street Projects
City Council provided the following direction for FY 2024-25 street rehabilitation projects, including approval for several specific projects, on April 16, 2024:
Arterial Streets
Placentia Avenue – joint project with City of Placentia (1) And one or two of either:
Malvern Avenue – Bastanchury Road to Basque Avenue
Gilbert Street – Valencia Avenue to Commonwealth Avenue Euclid Street at SR-91
Slurry Seal or Pavement Treatment Project
Various streets Citywide
Local Streets
Maplewood Area
Hermosa Area (2)
and potentially one of the following (alphabetical order):
Cannon-Sheppard Area
Courtney-Ash Area
Crown Area
Firethorne Area
Hollydale Area.
City of Placentia has now delayed the Placentia Avenue project until FY 2025-26.
City has completed Hermosa Area with sufficient funding available in the FY 2023-24 CIP budget.
Additional Projects
Staff considered two street categories for FY 2024-25 projects in addition to the projects listed in the table due to conversations with residents, business owners and maintenance staff as well as economic development and revenue generation needs:
Residential Collector Streets
Focus on areas adjacent to elementary and/or junior high schools.
Parks Road (Bastanchury Road to Rosecrans Avenue)
Acacia Avenue (Chapman Avenue to Acacia Elementary)
Baker Street (Richman Avenue to Highland Avenue)
Downtown Area
Harbor Boulevard (Commonwealth Avenue to Valley View Drive) Grind and overlay – Chapman Avenue to Valley View Drive Slurry seal - Commonwealth Avenue to Chapman Avenue
Amerige Avenue (Harbor Boulevard to Pomona Avenue).
Residential collector street rehabilitation would provide a new roadway surface adjacent to, and in the vicinity of, schools including new pavement striping and enhanced bike lanes where appropriate. The City prefers to schedule construction activities near schools during the school summer break which would make this project ineligible for the City FY 2024-25 MOE requirements.
Downtown area street rehabilitation would enhance the appearance, provide a more inviting area for the community and visitors and help promote economic development. The hardscape improvements north of Chapman Avenue are generally in acceptable condition with compliant accessible curb ramps located at many of the intersections resulting in minimal concrete repairs and upgrades. Construction activities can qualify for the FY 2024-25 MOE requirements by scheduling improvements in spring and early summer 2025.
Street Projects
Staff revised the FY 2024-25 street rehabilitation projects based on the project status update and carryover budget to:
Arterial Streets – revision
Gilbert Street – Valencia Avenue to Commonwealth Avenue and potentially Euclid Street at SR-91
Slurry Seal or Pavement Treatment Project - no change
Various streets Citywide
Local Streets – revision
Maplewood Area (SB1 funded per prior resolution)
Crown Area
Hollydale Area
Downtown Area - new
Harbor Boulevard (Commonwealth Avenue to Valley View Drive) Grind and overlay – Chapman Avenue to Valley View Drive Slurry seal – Commonwealth Avenue to Chapman Avenue
Amerige Avenue (Harbor Boulevard to Pomona Avenue)
Residential Collector Streets - new
Acacia Avenue – Dorothy Lane to Melody Lane (Acacia Elementary).
Staff expects future fiscal year projects to revert to following the INRAC Street Selection Guidelines.
Attachments:
Attachment 1 – FY 2024-25 Street Project Locations
cc: City Manager Eric J. Levitt
Fiscal Year 2024-25 Street Rehabilitation Projects
December 3, 2024 - Page 2