Agenda Item C.2
DISCUSSION/ACTION ITEM
Meeting Date: March 5, 2024
TO: Mayor and Councilmembers
SUBMITTED BY: Charles W. Ebeling, Public Works Director PREPARED BY: Autumn Glaeser, Capital Improvement Program Manager SUBJECT: Capital Improvement Program Update and Recommended Project Prioritization Framework
RECOMMENDATION:
Receive a presentation on the preliminary five-year (2023/2024 - 2027/2028) Capital Improvement Program project delivery , preliminary cost estimates, current projects update, and recommended project prioritization framework.
BACKGROUND:
The Public Works CIP Division is responsible for constructing, maintaining, and repairing City infrastructure such as roads, bridges, drainage facilities, and traffic signals. The City of Goleta owns over 100 parcels and approximately 85 centerline miles of roadway. Many of the City-owned properties are parks and open spaces with a total area of approximately 515 acres. Public Works manages or collaborates with other departments to maintain the 85 centerline miles of roadway traffic signals and 16 other traffic devices, 1,400 LED streetlights, 16 parks, and 14 open spaces, 14,000 city trees (approximately 8,000 street trees and 6,000 park trees), 12 creeks, two miles of coastline, and storm drain infrastructure including storm drainpipes, manholes, and drainage inlets . These assets are improved, maintained, and prioritized through CIP projects, non-CIP projects, and maintenance projects.
On January 9, 2023, an atmospheric river storm struck the County of Santa Barbara. The significant rainfall caused flooding on public streets, watersheds, creeks, open spaces, wetlands, and other property in the City; damage to public rights -of-way; downed trees blocking sidewalks and st reets; road closures; and disruption of public services. The storm prompted the County of Santa Barbara and the City of Goleta to declare a local emergency on January 9, 2023. On January 18, 2023, the White House added the County of Santa Barbara to the Pr esidential Major Disaster Declaration to support the State’s storm response and recovery efforts.
On February 4 , 202 4, an other atmospheric river storm struck California, bringing significant rainfall and causing a recurrence of flooding on public streets, watersheds, creeks, open spaces, wetlands, and other City properties. The impact included damage to public rights-of-way, downed trees blocking sidewalks and streets, road closures, and 1 Meeting Date: March 5, 2024
2 disruption of public services. In response to the storm, the City of Goleta declared a local emergency on February 4, 2024.
Public Works staff completed the temporary storm damage repair projects in 2023 and have been working on permanent designs for the remaining project areas. Public Works staff have assessed the 2023 storm damage sites and the additional 2024 storm damage sites and have identified approximately five projects that must be undertaken to repair the damage caused by the storms.
In addition to the storm damage projects, Public Works staff have been working on the 12 projects identified during the October 30, 2023, Capital Improvement Program (C IP) Budget Update Workshop and are obligated to be delivered over the next five years. The obligated projects have been identifi ed based on grant constraints, maintenance needs, or are regulatory agenc y conditions of approval of a permit . The attached staff presentation shows the full project amounts required to fund the CIPs over the next 5 years, including the funded, grant, and unfunded amounts (Attachment 1). The funding sources range from the General Fund to special revenue funds such as Measure A, Development Impact Fee (DIF) revenues, and various grants. Since DIF revenues are estimates based on the timing of development, it is important to note that these revenues will be revised on an annual basis as more current information regarding the timing of development projects becomes available.
Given the multitude of projects and cost increases over the years, the City is faced with a growing funding gap. The funding gap in the current Five-Year CIP Budget can possibly be addressed through various financing options and strategies , including deferring projects, use of one-time available fund balance, or debt financing. However, each option presents its own challenges. Debt financing, without securing additional outside revenue will require an ongoing commitment of the City’s currently limited revenue sources unless a project itself generate s sufficient recurring revenue, such as those that are supported by utility type funds, in which in the City’s case, solid waste collection rates.
DISCUSSION
CIP projects improve and enhance public safety, achieve sustainability, enhance livability, and expand economic development. The Comprehensive CIP Project List as adopted at City Council on June 20, 2023, is a list of current, upcoming, and potential future projects that are developed through input from several sources including City Council direction, departmental recommendations, and policy documents. Additional sources include City Council-approved and a dopted documents such as the DIF Program, Bicycle and Pedestrian Master Plan, UCSB Long Range Development Plan, and projects that address regulatory compliance requirements and meet several of the City’s goals and policies.
Public Works CIP projects are funded from various sources. The major sources of funds available for CIP projects are dedicated funds for the type of use. The use of dedicated funds is restricted by the limitations imposed by local, state , or federal laws associated with the funding sour ce. For the most part, funds for the CIP projects are accounted for in the City’s special revenue funds and include various DIF funds, transportation-related special revenue funds, and major federal and state grants that have been awarded. 2 Meeting Date: March 5, 2024
3 Projects that are not completely supported by dedicated revenue or are partially supported by grant revenues in need of matching funds are generally supplemented by the General Fund when funds are available. The City has the possibility of receiving funding for its proj ects from external sources, such as other agencies, jurisdictions, or individuals, through grants, loans, donations, or other subsidies. This also includes the funds from Measure A, which can be obtained through grants, the City allotment, or for a specific named project.
Table 1 shows the CIP Project Delivery Schedule and how the listed 12 projects meet City goals and policies.
Table 1 CIP Project Delivery Schedule and City Goals and Policies
Measure A Investment Plan Amendment
On October 30, 2023, City Council authorized the City Manager or his designee to request an amendment to the Measure A Investment Plan by the Santa Barbara County Association of Governments (SBCAG) to transfer the $8.4 million in Measure A regional funds from the named Goleta US 101 Overcrossing project to the Goleta Transportation Circulation Improvement Project.
On November 30, 2023, the City sent SBCAG a letter to officially request the Measure A Investment Plan amendment to transfer the $8.4 million in Measure A regional funds from 23/24 24/25 25/26 26/27 27/28
Project Name Project Phase 1 2 3 4 5
Project Connect Construction x x x x x
San Jose Creek Bike Path - Northern &
Southern Segments Design x x
Traffic Signal Upgrades Conceptual
Design x x x x x
Ellwood Mesa/Sperling Preserve
Butterfly Management Plan Design x x x x
Hollister Class I Bike Path Lighting Design/
Construction
Hollister Avenue Old Town Interim
Striping Construction x x x
Storke/Hollister Transit, Bike/Ped, and
Median Imp. Design x x x
MAINTENANCE/REGULATORY
San Jose Creek Channel Fish-Passage
Modification Project Design x x x
Cathedral Oaks Crib Wall Repair Conceptual
Design x
Ellwood Beach Drive Drainage Repair Conceptual
Design x x x
Evergreen Park Drainage Repair Design x x x
Full Trash Capture Project Conceptual
Design x x
Maintenance
Regulatory
Requirements
Facilities
Traffic Circulation
Bicycle Ped Master
Plan BPMP
Creek and Watershed
Management Prog
(CWMP)
Project Delivery Schedule and City Goals and
Policies
Work Started
Fiscal Year/Work Program Year
3 Meeting Date: March 5, 2024
4 the named Goleta US 101 Overcrossing project to the Goleta Transportation Circulation Improvement Project.
On January 16, 2024, SBCAG staff presented the SBCAG board with the City of Goleta’s letter. The SBCAG board provided feedback for staff to return with more information.
Based on SBCAG board feedback and discussions with SBCAG staff, the City fo cused the request to transfer the $8.4 million in Measure A regional funds from the named Goleta US 101 Overcrossing project to the Goleta Project Connect. On February 15, 2024 , Goleta’s City Manager presented at the SBCAG board to highlight the background on the US 101 Overcrossing Project and Project Connect. The SBCAG board approved the Investment Plan Amendment proposed schedule which includes presentations at the SBCAG Oversight Committee, two public hearings, and final adoption of the Investment Plan Amendment.
Project Connect is currently under construction and the project g roundbreaking is scheduled for March 18, 2024. Before the start of construction, City staff has been working with a public outreach team to notify businesses and residents in the surrounding area about what to expect during construction. The team has developed an informational call line and will continuously update the project website with the current schedule and phases of the project.
Prioritization and Future CIP Workshops
Currently, the City Manager , Department Directors , and staff are developing a draft update to the two -year budget plan that meets existing levels of service and addresses policy direction as provided in the City’s updated 2023 -2025 Strategic Plan, each department’s Annual Work Program, and City Council’s priorities from previous discussions on the general transaction and use tax measure.
Public Works staff have developed a recommended CIP Prioritization Framework that will be applied to future CIP projects ahead of programming the next budget cycle. The prioritization framework includes the following categories:
Staff and Public Safety
Environmental/Social/Governance (Equity)
Asset Condition and Annual Costs
Regulatory Compliance
Funding Availability
Stakeholder Input
These categories will each have a s coring weight and will be ranked for each future project on a scale of 1 to 5. This process will be done in conjunction with the budget process or otherwise, as capital funding becomes available. Implementation of th e CIP Prioritization Framework is not in tended to release or alter the City’s current or future obligations to complete specific capital improvement projects by specified deadlines, as may be imposed by grant funding, or regulatory requirements.
4 Meeting Date: March 5, 2024
5 Finance, Public Works, Neighborhood Services and General Services staff will return to City Council in April 2024 to discuss committed CIP project funding and delivery strategies including the use of debt financing.
FISCAL IMPACTS:
Currently, there is no fiscal impact for this report.
LEGAL REVIEW BY: Megan Garibaldi, City Attorney
APPROVED BY: Robert Nisbet, City Manager
ATTACHMENTS:
1. CIP Proposed Prioritization Framework Presentation
5 ATTACHMENT 1
CIP Proposed Prioritization Framework Presentation
6 CIP Proposed
Project
Prioritization
March 5, 2024
City Council Meeting
7 Objectives
2March 5, 2024, City Council Meeting
Review Committed CIP Projects
Measure A Named Project
Project Connect Construction Update
Proposed Project Prioritization Framework
Next Steps
8 Comprehensive CIP Project List
3 Department Total
Projects
Active
Projects
Delayed
Projects
Future
Projects
Public Works
(PW) 105+ 22 16 62+
Maintenance 15 4 N/A 10
Neighborhood
Services (NS) 21 19 3 -
General Services
(GS) 9 6 3 -
Approved list as of 6/30/23 City of Goleta Budget
March 5, 2024, City Council Meeting
9 Committed CIP Projects –
(Estimated Public Works Project Cost Only)
4 GRANT FUNDED
San Jose Creek Multipurpose Path (N & S Segments)
Traf
fic Signal Upgrades
Ellwood Mesa/Sperling Preserve Open Space Monarch
Butterfly Habitat Management Plan
Hollister Avenue Class I Bike Path Lighting
Storke Rd/Hollister Ave. Transit, Bike/Ped & Median Improv.
MAINTENANCE/REGULATORY
San Jose Creek Channel Fish-Passage Modification
Cathedral Oaks Crib Wall
Emergency Storm Damage Repair Projects 23/24
Full T
rash Capture
Grants Funds: 52%
Local Funds: 48%
March 5, 2024, City Council Meeting
$19,700,000
$27,800,000
$47,500,000
Local
Funds
Grant
Funding
Unfunded
10 Grant Funded Committed CIP Projects
5 Project Total Project
Cost
Local
Funds
Grant
Funds Unfunded Grant Deadline
Hollister Class I
Bike Path Lighting $1.3 million $0.3
million $0.4 million $0.6 million 6/2024 (T imely Use of Funds) Traffic Signal
Upgrade
$3.6 million
(estimate in progress)
$0.3
million $3.2 million $TBD 9/2024
Allocation of Const. Funds
Ellwood MPBMP $10.5 million $1.2
million $3.5 million $5.8 million 2/2025
Grant funds expiration
Storke/Hollister
T
ransit, Bike/Ped,
and Median Imp.
$1.8 million $0.4
million $0.4 million $1 million
6/2024 (Timely Use of Funds)
12-month extension available
San Jose Creek
Bike Path - N & S
Segments
$47.2 million $7.6
million $20.3 million $19.3 million
9/2024 (ATP - Award of
Construction)
12-month ATP extension available
12/2025 (Timely Use of
Funds)
March 5, 2024, City Council Meeting
11 Maintenance/Regulatory CIP Projects
6 Project
Total
Project
Cost
Local
Funds
Grant
Funds Unfunded
Approx.
Construction
Schedule
San Jose Creek
Channel Fish-Passage
Modification
$3.4 million
(estimate in progress) $2.4 million $0 Approx. $1
million Fall 2025
Cathedral
Oaks Crib
Wall
$17.7 million
(Pending design &
ROW)
$2.1 million $0 $15.6 million TBD
Emergency
Storm
Damage Repair
Projects 23/24
Approx. $4.5
million $4.5 million Pending
FEMA/FH
WA
$TBD
(assessments in
progress)
March-July 2024
Full Trash Capture $4.8 million $0.6 million $0 $4.2 million Full
Implementation
by
2030
March 5, 2024, City Council Meeting
12 Measure A Investment Plan Amendment
Request
7 The approved amendment would secure $8.4 million+ for Project Connect, closing out the unfunded balance
101 Overcrossing remains an important project in the
Regional Transportation Plan and Goleta’s CIP – update
project to a bicycle/pedestrian overcrossing
SBCAG approved the Investment Plan Amendment
proposed schedule
March 5, 2024, City Council Meeting
13 Project Connect – Construction Update
Construction Notice to Proceed issued March 4,
2024
Public Outreach team is actively coordinating
with businesses and
residents
8 March 5, 2024, City Council Meeting
14 Future CIP Projects – Recently Added
9 Hollister Safety Improvements between Storke and Entrance Road Glenn Annie Sidewalk Infill (Norte to Cathedral Oaks)
Various Neighborhood Traffic Calming Studies
Old Town, northerly of Hollister Avenue
Kellogg
Kellogg Neighborhood Traffic Calming
Bike Path northerly of Fairview Gardens
Pedestrian/Bike Highway 101 Overcrossing (amending existing project) Pedestrian/Bike San Jose Creek Overcrossing at Armitos Avenue (amending existing project)
March 5, 2024, City Council Meeting
15 CIP Project Prioritization
Framework
10March 5, 2024, City Council Meeting
16 CIP Project Planning Cycle
11 IDENTIFY
PRIORITIZE
PROGRAM
BUDGET
ADOPTION
IMPLEMENTATION
IDENTIFY project needs and scope
Ongoing
Master plans
Stakeholder input (annual public workshops)
PRIORITIZE project needs and develop Long Range CIP
Strategic P
lan
PROGRAM projects
Staff programs based on funding, project development
phase, project
needs, etc.
CIP projects are incorporated into the 5-year CIP and BUDGET
Available funding is distributed to projects programmed City Council ADOPTS budget
2-year budget
Mid-Cycle budget review
CIP projects move towards design and IMPLEMENTATION
March 5, 2024, City Council Meeting
17 Recommended Prioritization FrameworkStaff/Public Safety • Creates a safer
work environment
for employees
• Provides the
equipment and
readiness to step
into action during
times of
emergency
• Creates a safer
and healthier
community for
everyone in the
City of Goleta
• Vision Zero Policy
Envr/Social/Gov (Equity)
• Creates an
opportunity for all
to participate
• Climate resilience
• Resource
management
Asset Condition/Annual Costs
• Maintains the City
of Goleta’s
existing
infrastructure
• Considerations
for life cycle costs
Regulatory Compliance
• Addresses and
meets the City’s,
State, and
Federal codes
and regulations
• Includes City
ordinances and
General Plan
Funding Availability
• Grant funding
eligible projects
• Grant funds have
been secured
• Constraints such
as timely use of
funds
•
Stakeholder Input
• Driven by
communities
and/or involves
stakeholders or
other agencies
12 Scoring
Weight: 5
Scoring
Weight: 4
Scoring
Weight: 2
Scoring
Weight: 2
Scoring
Weight: 3
Scoring
Weight: 3
March 5, 2024, City Council Meeting
18 Prioritization Project Rankings
13March 5, 2024, City Council Meeting
19 Next Steps
March 11, 2024, SBCAG Oversight Committee
Presentation
March 22, 2024, SBCAG Public Hearing 1
April 2, 2024, CIP Budget Workshop
June 2024 – SBCAG Public Hearing 2
Winter 2024 Comprehensive CIP Prioritization Workshop
14March 5, 2024, City Council Meeting
20 Next Steps
15March 5, 2024, City Council Meeting
SBCAG Oversight Committee Presentation March 11
SBCAG Public Hearing 1 March 22
CIP Budget Workshop April 2
SBCAG Public Hearing 2 and Amendment
Adoption
Summer 2024
Comprehensive CIP Prioritization Workshop Winter 2024
21 Questions/Comments
16March 5, 2024, City Council Meeting
22