Agenda Item No. 5
CITY COUNCIL STAFF REPORT
TO: Honorable Mayor and City Council DATE: June 23, 2025 FROM: Matthew Bronson, City Manager
PREPARED BY: Greg Ray, Public Works Director/City Engineer Erin Wiggin, Capital Improvement Project Manager
SUBJECT: Resolution Confirming a List of Street Projects Funded by SB 1: The Road Repair and Accountability Act
RECOMMENDATION
Adopt a Resolution to incorporate the list of street projects funded by SB 1: The Road Repair and Accountability Act into the FY 2025-26 budget.
BACKGROUND
On April 28, 2017, the Governor signed Senate Bill (SB) 1 (Beall, Chapter 5, Statutes of 2017), which is known as the Road Repair and Accountability Act of 2017. The Act intends to address basic road maintenance, rehabilitation and critical safety needs on both the state highway and local streets and road system. SB 1 increased per gallon fuel excise taxes; diesel fuel sales taxes and vehicle registration fees; and provided for inflationary adjustments to tax rates in future years.
As part of the Act, the bill created the Road Maintenance and Rehabilitation Account (RMRA) to fund road maintenance and other projects. The City has received approximately $1,800,000 in RMRA funding to date. To receive RMRA funding each year, cities and counties must submit a list of projects to the California Transportation Commission (CTC). All projects proposed must be adopted by resolution by the City Council at a regular public meeting.
Council previously awarded contracts for design of street repair projects on several major streets including North 4th Street (West Grand Avenue to Ocean View Avenue), South Oak Park Boulevard (West Grand Avenue to Mentone Avenue), West Grand Avenue (4th Street to 8th Street) and West Grand Avenue (11th Street to Oak Park Boulevard). The design work was funded with SB 1 funds along with the construction of the South Oak Park Boulevard project (CIP 2284). For FY 2025-26, staff is recommending allocation of SB 1 funds to the North 4th Street Major Street Rehabilitation Project (CIP 2285) which is scheduled to be constructed in 2026. Pending Council action to confirm the use of SB 1 funds, staff will send a copy of the adopted resolution to the CTC pursuant to direction from CTC staff.
FISCAL IMPACT
Adoption of this Resolution will allow the City to receive SB 1 funding estimated to be $346,370 for FY 2025-26. Depending on additional revenue estimates by the CTC and State Controller, additional funding may be available for programming in the future.
Staff Report: Resolution Confirming SB 1 Projects Page 2 June 23, 2025
ALTERNATIVES
The Council has the following alternatives to consider:
1. Adopt the Resolution to incorporate the list of street projects funded by SB 1: The Road Repair and Accountability Act into the FY 2025-26 budget; or
2. Do not adopt the Resolution and do not fund the above capital projects or fund them using other funding sources; or
3. Provide staff with alternative direction.
PUBLIC NOTIFICATION
The agenda was posted in accordance with the Brown Act.
Attachments
1. Resolution
RESOLUTION NO. 25-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GROVER BEACH, CALIFORNIA, ADOPTING A LIST OF PROJECTS FOR FISCAL YEAR 2025-26 FUNDED BY THE ROAD REPAIR AND ACCOUNTABILITY ACT OF 2017 (SB 1) WHEREAS, Senate Bill 1 (“SB 1”), the Road Repair and Accountability Act of 2017 (Chapter 5, Statutes of 2017) was passed by the Legislature and Signed into law by the Governor in April 2017 to address the significant multi-modal transportation funding shortfalls statewide; and
WHEREAS, SB 1 contains provisions for accountability and transparency to ensure that City residents are informed about community projects proposed for funding, as well as the projects completed each fiscal year; and
WHEREAS, the City of Grover Beach must adopt by resolution a list of projects proposed to receive fiscal year funding from the Road Maintenance and Rehabilitation Account (RMRA), created by SB 1, which must include a description and the location of each proposed project, a proposed schedule for the project’s completion, and the estimated useful life of the improvement; and
WHEREAS, the City of Grover Beach will receive an estimated $346,370 in RMRA funding in Fiscal Year 2025-26 from SB 1; and
WHEREAS, this is the ninth year in which the City of Grover Beach is receiving SB 1 funding and will enable the City of Grover Beach to continue essential road maintenance and rehabilitation projects; and
WHEREAS, the City of Grover Beach used a Pavement Management System to develop the SB 1 project list to ensure revenues are being used on the most high-priority and cost-effective projects that are not eligible for the City’s Measure K-14 bond funds and that also meet the community’s priorities for transportation investment; and WHEREAS, the City of Grover Beach has undergone a public process to gather public input for the project list; and
WHERAS, the funding from SB 1 will help the City of Grover Beach maintain and rehabilitate its Major Streets including North 4th Street; and WHEREAS, the current Pavement Condition Index (“PCI”) value is 43 for the City’s Major Streets and this revenue will help increase the overall quality of the City’s road system and over the next decade it will help bring city streets and roads to a PCI of 65; and WHEREAS, the SB 1 project list and overall investment in our local streets and roads infrastructure with a focus on basic maintenance and safety, investing in complete streets infrastructure, and using cutting-edge technology, materials and practices, will have significant positive co-benefits city, county and statewide.
Attachment 1
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Grover Beach as follows:
SECTION 1. Capital Improvement Project CIP # 2285 Major Street Rehabilitation North 4th Street will incorporate SB 1 Funds into the Fiscal Year 2025-26 Budget for the identified project. The following previously proposed and adopted project may also utilize Fiscal Year 2025- 26 Road Maintenance and Rehabilitation Account revenues in their delivery. With the relisting of these projects in the adopted fiscal year resolution, the City/County is reaffirming to the public and the State our intent to fund these projects with Road Maintenance and Rehabilitation Account revenues:
Project Title: CIP 2285 Major Street Rehabilitation North 4th Street Project Description: Pavement Rehabilitation (Grind and Overlay) design and construction
Project Location: North 4th Street from West Grand Avenue to Ocean View Avenue
Estimated Project Schedule: Design (10/2021-12/2024), Construction (01/2026- 11/2026) based on the component being funded with RMRA funds Estimated Project Useful Life: 15 years
On motion by Council Member, seconded by Council Member, and on the following rollcall vote, to wit:
AYES: Council Member –
NOES: Council Member –
ABSENT: Council Member –
ABSTAIN: Council Member –
RECUSED: Council Member –
the foregoing Resolution was PASSED, APPROVED, and ADOPTED at a regular meeting of the City Council of the City of Grover Beach, California this 23rd day of June 2025. ___________________________________
KASSI DEE, MAYOR
Attest:
_______________________________
WENDI SIMS, CITY CLERK