City of Gonzales
PUBLIC WORKS / CITY ENGINEER DEPARTMENT
STAFF REPORT
TO: Honorable Mayor Rios and City Council
DATE: September 2, 2025
FROM: Patrick Dobbins, Public Works Director/City Engineer THROUGH: Carmen Gil, City Manager
SUBJECT: Resolution No. 2025-67 Designating Alta Minor Reconstruction as Priority Project for FY 25-26 SB 1 Funded
RECOMMENDATION
Staff recommends the City Council Adopt Resolution No. 2025-67, A Resolution of the City Council of the City of Gonzales Designating Reconstructing Alta Minor Street between Third Street and Fourth Street as the City’s Priority Project for FY 2025-2026 to be Funded by SB 1 “The Road Repair and Accountability Act of 2017.”
BACKGROUND
The Road Repair and Accountability Act of 2017 (SB 1 Beall) provided for a significant investment in California’s roadway system of about $5.2 billion per year. The Act increased per gallon fuel excise taxes, diesel fuel sales taxes and vehicle registration taxes, stabilized the price-based fuel tax rates and provided for inflationary adjustments in future years. This legislation more than doubled local streets and road funds allocated through the Highway Users Tax Account, allocating funds from new taxes through a new “Road Maintenance and Rehabilitation Account” (RMRA).
The RMRA receives funds from the following taxes imposed by the State:
• A 12 cent per gallon increase to the gasoline excise tax effective November 1, 2017. • A 20 cent per gallon increase to the diesel fuel excise tax effective November 1, 2017, half of which will be allocated to Trade Corridors Enhancement Account (TCEA) with the remaining half to the RMRA.
• A new vehicle registration tax called the “transportation improvement fee,” effective January 1, 2018, based on the market value of the vehicle.
AGENDA
ITEM
8 • An additional new $100 vehicle registration tax on zero emission vehicles model year 2020 and later effective July 1, 2020.
REVIEW AND ANALYSIS
The Road Repair and Accountability Act stipulates that, prior to receiving RMRA funds in any fiscal year, a City shall submit a project list pursuant to the agency’s adopted budget to the California Transportation Commission (CTC).
The City expects to receive approximately $231,700 in SB 1 funding for FY 2025/26 and City staff proposes to use these funds to reconstruct Alta Minor Street between Third Street and Fourth Street. This street section would be added to the Fourth Street Reconstruction Project currently being designed by Harris Associates.
Therefore, staff recommends the City Council designate reconstructing Alta Minor Street between Third Street and Fourth Street as the City’s Priority Project for FY 2025/26 to be Funded by SB 1 “The Road Repair and Accountability Act of 2017”.
Explain Recommendation and How it Supports the Vision
Gonzales will continue to be a safe, clean, family-friendly community, diverse in its heritage, and committed to working collaboratively to preserve and retain its small-town charm.
Explain: Use of SB 1 monies on improving our local roadways has multiple benefits including safety, reduces delays, and maintaining critical infrastructure.
Explain how the Recommendation Directly Implements the Mission The City Council and Staff of the City of Gonzales will realize our Vision by providing the leadership, commitment, and resources necessary to provide excellent services that enhance the quality of life of our diverse community.
Explain: SB 1 monies increase funding for maintenance of City streets to improve the quality of life for Gonzales residents.
City services will be delivered in a cost-effective, respectful, and friendly manner to insure the safety and well-being of the residents and the promotion of business, recreational, housing and employment opportunities in an environmentally sustainable manner.
Explain: See above Vision explanation.
Strong fiscal policies allow us to provide appropriate infrastructure for:
• Public Safety X Yes No N/A
• Housing Yes No X N/A
• Recreation Yes No X N/A
• Environment X Yes No N/A
• Education Yes No X N/A
Explain: The SB 1 monies and the related reporting requirements provide for accountability and cost-effective transportation funding.
ALTERNATIVES
1. Direct staff to change the use of these funds and modify the resolution.
2. Delay adopting the resolution, which is not recommended since it would cause the City to miss a deadline related to SB 1.
BUDGET IMPACT
The City is expected to receive approximately $231,700 in SB1 funding for FY 2025-2026.
CONCLUSION
Staff recommends the City Council Adopt Resolution No. 2025-67, A Resolution of the City Council of the City of Gonzales Designating Reconstructing Alta Minor Street between Third Street and Fourth Street as the City’s Priority Project for FY 2025-2026 to be Funded by SB 1 “The Road Repair and Accountability Act of 2017.”
Attachments:
1. Resolution No. 2025-67