ITEM 4. 16
CITY MANAGER' S REPORT
AUGUST 11, 2025 CITY COUNCIL REGULAR MEETING
ITEM: AUTHORIZE THE CITY MANAGER TO EXECUTE
MASTER AGREEMENTS AND PROGRAM SUPPLEMENT
AGREEMENTS WITH THE CALIFORNIA DEPARTMENT
OF TRANSPORTATION ( CALTRANS) FOR
REIMBURSEMENT OF STATE AND FEDERAL FUNDING
PROJECTS AND AUTHORIZE THE CITY ENGINEER TO
EXECUTE RIGHT- OF- WAY CERTIFICATIONS
RECOMMENDATION: Adopt a Resolution to Authorize the City Manager to Execute Master Agreements and Program
Supplement Agreements with the California
Department of Transportation ( Caltrans) for State
and Federal Funding Projects and Authorize the City
Engineer to Execute Right -of -Way Certifications
SUMMARY:
The California Department of Transportation ( Caltrans), acting on behalf of the Federal Highway Administration ( FHWA), is responsible for administering federal transportation funding to local public agencies, including cities and counties throughout the State. To be eligible to receive and manage these federal funds for public infrastructure improvements, the City of Lathrop is required to enter into specific contractual agreements with Caltrans. These agreements typically include, but are not limited to, Cooperative Agreements, Master Agreements, and Program Supplemental Agreements.
These master agreements establish the general terms and conditions for all federally funded projects managed by the City. Each individual project receiving federal funds is then governed by a separate Program Supplement Agreement that outlines the scope, funding, and specific requirements for that project. Caltrans also requires the City to certify that all project improvements be constructed within public right of way.
If a project encroaches into private property, the City must then certify that all necessary right- of- way acquisitions have been satisfied. This certification process is formalized through a Right -of -Way Certification, which ensures proper oversight and compliance with federal and state regulations.
Currently through Ordinance No. 92-0 (Attachment B) approved in 1992, City Manager has been executing agreements and Right -of -Way Certifications for each federal - aid project upon City Council' sapproval. To streamline this process and utilize a current resolution, staff requests that City Council adopt a resolution authorizing the City Manager to execute the necessary master agreements and program supplement agreements with Caltrans for the implementation and reimbursement of federal -aid projects. Staff is also requesting City Council authorize the City Engineer execute all Right -of -Way Certifications for private and public Right -of -Way projects.
CITY MANAGER' S REPORT PAGE 2
AUGUST 11, 2025 CITY COUNCIL REGULAR MEETING
AUTHORIZE THE CITY MANAGER TO EXECUTE MASTER AGREEMENTS AND
PROGRAM SUPPLEMENT AGREEMENTS WITH THE CALIFORNIA DEPARTMENT
OF TRANSPORTATION ( CALTRANS) FOR REIMBURSEMENT OF STATE AND
FEDERAL FUNDING PROJECTS AND AUTHORIZE THE CITY ENGINEER TO
EXECUTE RIGHT- OF- WAY CERTIFICATIONS
BACKGROUND:
As the City continues to grow and enhance its transportation and infrastructure, securing access to state and federal funding through Caltrans is crucial for the efficient and cost- effective execution of planned projects. The City has identified several current and upcoming projects, including roadway rehabilitation, pedestrian improvements, and bridge enhancements, that are eligible for federal funding.
To receive and administer these federal funds, the City must enter into master agreements with Caltrans. These agreements encompass Cooperative Agreements, Master Agreements, and Program Supplemental Agreements. These agreements also set general terms for all federally funded projects managed by the City, while each project is governed by a separate Program Supplement Agreement detailing its scope and requirements.
Before releasing federal funds, Caltrans requires the City to certify that all improvements be built within public right- of- way. Alternatively, if any private property rights are necessary, the City must demonstrate that these rights have been acquired in compliance with federal and state regulations. This requirement is validated through a Right -of -Way Certification, which is a crucial prerequisite for the commencement of construction.
The City currently uses a 1992 ordinance ( No. 92- 90) that allows the City Manager to execute agreements and Right -of -Way Certifications for federal -aid projects after City Council approval. To streamline the process, staff is requesting the City Council adopt a new resolution that authorizes:
1. The City Manager to execute master and program supplement agreements with Caltrans for federal -aid projects.
2. The City Engineer to execute all Right -of -Way Certifications for both private and public projects.
REASON FOR RECOMMENDATION:
Establishing and maintaining eligibility for federal - aid transportation funding is critical to support the City' s infrastructure development. Authorizing the City Manager to execute agreements with Caltrans and the City Engineer to certify right- of- way ensures continued access to federal funding and streamlines the reimbursement process, enhancing project delivery.
CITY MANAGER' S REPORT PAGE 3
AUGUST 11, 2025 CITY COUNCIL REGULAR MEETING
AUTHORIZE THE CITY MANAGER TO EXECUTE MASTER AGREEMENTS AND
PROGRAM SUPPLEMENT AGREEMENTS WITH THE CALIFORNIA DEPARTMENT
OF TRANSPORTATION ( CALTRANS) FOR REIMBURSEMENT OF STATE AND
FEDERAL FUNDING PROJECTS AND AUTHORIZE THE CITY ENGINEER TO
EXECUTE RIGHT- OF- WAY CERTIFICATIONS
FISCAL IMPACT:
There is no direct fiscal impact from approving the master agreements itself. Fiscal impacts will be associated with individual project agreements and will be presented to Council as part of future actions. Federal funding typically requires a local match, which will be identified on a project -by -project basis.
ATTACHMENTS:
A. Resolution to Authorize the City Manager to Execute Master Agreements and Program Supplement Agreements with the California Department of Transportation ( Caltrans) for State and Federal Funding Projects and Authorize the City Engineer to Execute Right -of -Way Certifications B. Ordinance No. 92-0 Authorizing the City Manager to Execute Certain Agreements
CITY MANAGER' S REPORT PAGE 4
AUGUST 11, 2025 CITY COUNCIL REGULAR MEETING
AUTHORIZE THE CITY MANAGER TO EXECUTE MASTER AGREEMENTS AND
PROGRAM SUPPLEMENT AGREEMENTS WITH THE CALIFORNIA DEPARTMENT
OF TRANSPORTATION ( CALTRANS) FOR REIMBURSEMENT OF STATE AND
FEDERAL FUNDING PROJECTS AND AUTHORIZE THE CITY ENGINEER TO
EXECUTE RIGHT- OF- WAY CERTIFICATIONS
APPROVALS:
An garca
Assistant Engineer
Brad ylor
City 4' ngineer
Cari Jam
Finance 1lfiector
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Date
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Date
Date
Michael King Date
Assistant City Manager
7- ZS • Zozs
Salvador
City Attorney
Navarrete Date
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Stephen J. Salvatore
City Manager
Date
Attachment
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ORDINANCE NO. 92-0
AN ORDINANCE OF THE CITY COUNCIL OF THE
CITY OF LATHROP AUTHORIZING THE CITY MANAGER
TO EXECUTE CERTAIN AGREEMENTS
The City Council of the City of Lathrop ordains as follows:
City Manager
Section I. Additional Powers: The City Manager shall be empowered to sign on behalf of the Mayor all contracts approved by the City Council.
Section II: Inspection Agreements. The City Manager and the Director of Public Works, if empowered by the City Manager, are authorized to make and execute agreements for the inspection of subdivision improvements, and other development occurring within and without the corporate limits of the City of Lathrop.
The foregoing Ordinance was passed and adopted on
September 1, 1992 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
McKee, Gatto, Hill, Sangalang, Freeman
222 -etc 71/ 1-4'
Mayor
ATTEST:
City Clerk
e(- 4(
ORDINANCHs\ LATHsGAC
RESOLUTION NO. 25 -
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LATHROP
TO AUTHORIZE THE CITY MANAGER TO EXECUTE MASTER AGREEMENTS AND
PROGRAM SUPPLEMENT AGREEMENTS WITH THE CALIFORNIA DEPARTMENT
OF TRANSPORTATION ( CALTRANS) FOR STATE AND FEDERAL FUNDING PROJECTS AND AUTHORIZE THE CITY ENGINEER TO EXECUTE RIGHT- OFWAY CERTIFICATIONS WHEREAS, the California Department of Transportation ( Caltrans), acting on behalf of the Federal Highway Administration ( FHWA), is responsible for administering federal transportation funding to local public agencies, including cities and counties throughout the State; and
WHEREAS, to be eligible to receive and manage these federal funds for public infrastructure improvements, the City of Lathrop is required to enter into specific contractual agreements with Caltrans. These agreements typically include, but are not limited to, Cooperative Agreements, Master Agreements, and Program Supplemental Agreements; and
WHEREAS, these master agreements establish the general terms and conditions for all federally funded projects managed by the City; and WHEREAS, each individual project receiving federal funds is then governed by a separate Program Supplement Agreement that outlines the scope, funding, and specific requirements for that project; and
WHEREAS, Caltrans also requires the City to certify that all project improvements be constructed within public right of way; and WHEREAS, if a project encroaches into private property, the City must then certify that all necessary right- of- way acquisitions have been satisfied. This certification process is formalized through a Right -of -Way Certification, which ensures proper oversight and compliance with federal and state regulations; and WHEREAS, establishing and maintaining eligibility for federal - aid transportation funding is critical to support the City' s infrastructure development; and
WHEREAS, the City currently uses a 1992 ordinance ( No. 92- 90) that allows the City Manager to execute agreements and Right -of -Way Certifications for federal - aid projects after City Council approval; and
WHEREAS, to streamline this process and utilize a current resolution, staff requests that City Council adopt a resolution authorizing the City Manager to execute the necessary master agreements and program supplement agreements with Caltrans for the implementation and reimbursement of federal - aid projects; and WHEREAS, staff is also requesting City Council authorize the City Engineer to execute all Right -of -Way Certifications with Caltrans for private and public Right -of - Way projects; and
WHEREAS, authorizing the City Manager to execute agreements with Caltrans and the City Engineer to certify right- of- way ensures continued access to federal funding and streamlines the reimbursement process, enhancing project delivery; and WHEREAS, there is no direct fiscal impact from approving the master agreements itself. Fiscal impacts will be associated with individual project agreements and will be presented to Council as part of future actions. Federal funding typically requires a local match, which will be identified on a project -by -project basis.
NOW THEREFORE, BE IT RESOLVED, that the City Council of the City of Lathrop does hereby authorize the City Manager to execute Master Agreements and Program Supplement Agreements with Caltrans for state and federal funding projects; and
BE IT FURTHER RESOLVED, that the City Council of the City of Lathrop does hereby authorize the City Engineer to execute all Right -of -Way Certifications with Caltrans for private and public Right -of -Way projects.
The foregoing resolution was passed and adopted this 11th day of August 2025, by the following vote of the City Council, to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
Paul Akinjo, Mayor
ATTEST: APPROVED AS TO FORM:
Teresa Vargas, City Clerk Salvador Navarrete, City Attorney