STAFF REPORT TO THE CITY COUNCIL
DATE: Regular Meeting of March 28, 2023
TO: Mayor and Members of the City Council
VIA: Dante Hall, City Manager
SUBMITTED BY: Tim Rood, Community Development Director SUBJECT: Growth Management Program (GMP) Compliance Checklist for 2020 and 2021 for allocation of Local Street Maintenance & Improvement Funds for Fiscal Years 2021–22 and 2022–23 RECOMMENDED ACTION:
Adopt a Resolution (see Attachment 1) approving the Measure J Growth Management Program (GMP) Compliance Checklist for Calendar Years 2020 and 2021 with the attachments and authorize submittal to the Contra Costa Transportation Authority (CCTA) for disbursement of Measure J Local Street Maintenance & Improvement Return-to-Source Funds for Fiscal Years 2021–22 & 2022–23.
BACKGROUND:
In 1988, Contra Costa County voters approved Measure C, which authorized a half-cent sales tax increase for gasoline sales throughout the county. The funds raised with this special tax have been used for road, highway, and transportation infrastructure maintenance and improvements within Contra Costa County. Measure C expired on March 31, 2009, but Measure J (approved by voters in November 2004) extended the half cent sales tax until the year 2034.
ANALYSIS:
To receive its share of funds from the Measure J Local Street Maintenance and Improvement (LSM) program and to be eligible for funds from the Transportation for Livable Communities (CC-TLC) program, each jurisdiction in Contra Costa County must comply with all components of the Growth Management Program (GMP). Every two years, CCTA assesses compliance with the GMP through the review and approval of each jurisdiction’s GMP Compliance Checklist. Each jurisdiction must complete the checklist, prepare the detailed information requested in the attachments section, approve the completed Checklist and attachments at the City Council level, and transmit a fully-executed and signed original to CCTA. Jurisdictions that comply with the Growth Management Checklist requirements receive funds to be used for local roadway maintenance projects. The City of Hercules has participated in this Checklist Compliance procedure since Fiscal Year 1991–92, and has received the following amounts from participating in the Measure J (formerly Measure C) program:
Fiscal Year Amount Received
1992–93 $170,000
1993–94 $162,000
1994–95 $169,000
1995–96 $179,000
1996–97 $184,233
1997–98 $197,000
1998–99 $219,000
1999–2000 $229,283
2000–01 $260,907
2001–02 $255,161
2002–03 $256,517
2003–04 $256,517
2004-05 $259,419
2005–06 $386,829
2006–07 $301,839
2007–08 $304,685
2008–09 $ 0
2009–10 $580,270
2010–11 $ 0
2011–12 $354,348
2012–13 $298,873
2013–14 $348,717
2014–15 $371,332
2015–16 $766,747
2016–17 $ 0
2017–18 $421,513
2018–19 $445,488
2019–20 $468,246
For the Calendar Years 2020 & 2021 reporting period, the Checklist is due no later than June 30, 2023. Provided the City demonstrates compliance with the GMP, the City will be eligible to receive Measure J funds in August following the close of each fiscal year. For this reporting period, the funds received are used to fund transportation projects identified in the Five-Year Capital Improvement Plan, which the City Council last reviewed and adopted as part of the Fiscal Year 2022–2023 Annual Budget on June 28, 2022 (Resolution No. 22-053).
The Growth Management Checklist requires that jurisdictions in Contra Costa County, including Hercules, comply with the following requirements:
Implement Action Plans for Routes of Regional Significance; Adopt a Development Mitigation Program (i.e., establish and collect transportation impact mitigation fees); Demonstrate reasonable progress in providing housing options and job opportunities through General Plan Housing Element compliance with State requirements, while incorporating bicycling, walking, and transit into development review; Prepare traffic impact studies for new projects and development for regional peer review when projects involve more than 100 net new vehicle trips in the peak hour; Participate in ongoing, cooperative, multi-jurisdictional planning (e.g., West Contra Costa Transportation Advisory Committee membership); Adopt a five-year Capital Improvement Program;
Have a Transportation Systems Management (TSM) program in place; Adopt a General Plan Growth Management Element (GME) that complies with the intent of the Measure J Model GME (2007); Comply with a voter-approved Urban Limit Line;
Expend a designated minimum amount of non-Measure J and other transportation funding sources on transportation projects (Maintenance of Effort); and If a jurisdiction is found to be out of compliance with the program requirements, CCTA may withhold a jurisdiction’s share of the “Return-to-Source” sales tax revenues that are allocated for local street maintenance and improvements. The retroactive, pro-rated distribution of street maintenance funds to the City of Hercules for Fiscal Year 2020–21 is estimated to be $455,523; funds collected in Fiscal Year 2021–22 are yet to be finalized. Distribution becomes available in July 2023 and is based upon: actual sales tax revenues; Hercules’ 58.48 miles of roads (1.84% of all 3,186 miles of eligible roads in the County); the City’s January 2021 population of 25,864 residents (2.24% of the 20 jurisdictions’ total population); and an initial (i.e., base) allocation of $100,000.
FISCAL IMPACT:
By demonstrating to CCTA compliance with the Measure J Growth Management Program through approval of the Compliance Checklist, the City ensures its ability to receive its share of 18% plus 2.09% Local Street Maintenance and Improvement Funds (Measure J Return-to-Source sales tax dollars) in August following the close of each fiscal year. There will be a projected positive fiscal impact of approximately $900,000 on the City’s Measure J Local Street Maintenance & Improvement Funds based on Return-To-Source sales tax dollars received by CCTA for Fiscal Years 2021-22 and 2022-23 combined. The City anticipates receiving allocations in two separate disbursements, pending CCTA approval of the Measure J GMP Compliance Checklist for Calendar Years 2020 & 2021 (see Attachment 2).
ATTACHMENTS:
Attach 1- Draft Resolution
Attach 2- Measure J Growth Management Program Compliance Checklist