Agenda Item No: 1.c
PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: September 2, 2025
Submitted by: Jesus Avila
From: Public Works
Subject:
Program Supplement Agreement for Highway Safety Improvement Program (HSIP) Cycle 12 Project and Resolution Authorizing City Administrator to Execute State Agreements for Transportation Projects Between Caltrans and the City of Placentia Financial Impact:
Fiscal Impact:
There is no direct fiscal impact associated with this recommended action.
Summary:
On February 21, 2025, the Caltrans Division of Local Assistance (DLA) approved projects for the Local Highway Safety Improvement Program (HSIP) Cycle 12 and awarded the City a total of $252,990 in funding for the Leading Pedestrian Interval Project for upgrading pedestrian crossings at various locations throughout the City. This funding is to complete the preliminary design and construction of the Project. The California Department of Transportation (Caltrans) is the agency tasked with overseeing the administration of state transportation grant funds in California. In order for the City to be able to obligate the funds and receive reimbursement, a Program Supplement Agreement (PSA) is needed to amend the master agreement between the State and the City of Placentia allocating $34,200 of the $252,990 in grant funding awarded to the City for project engineering design services. Caltrans also requires an authorizing resolution adopted by the City Council in order to obligate funds for grant funding.
Recommendation:
Recommended Action: It is recommended that the City Council take the following actions:
1. Approve Program Supplement Agreement No. 00000A805 with the California Department of Transportation; and
2. Approve Resolution No. 2025-42, a Resolution of the City Council of the City of Placentia, California authorizing the City Administrator and/or her designee to execute Program Supplement Agreement No. 00000A805 and all state and federal agreements for transportation grant funded projects with the California Department of Transportation; and
3. Authorize the City Administrator and/or her designee to execute all necessary documents, in a form approved by the City Attorney.
Strategic Plan Statement:
This item is consistent with the City Council approved 5-Year Strategic Goal #1 to ensure 1 long-term fiscal sustainability, under Objective #1.2, which is to continue efforts to seek and obtain new sources of state and federal grants, including federal and state earmarks and Biden Infrastructure Package.
Discussion:
On February 21, 2025, the Caltrans Division of Local Assistance (DLA) approved projects for the Local Highway Safety Improvement Program (HSIP) Cycle 12 and awarded the City a total of $252,990 in funding for the Leading Pedestrian Interval Project (Project) for upgrading pedestrian crossings at various locations throughout the City. The state funding for this project is administered by Caltrans and is comprised of $34,200 in funds to complete the preliminary engineering design phase of the Project and $218,790 in funds for the construction phase. In July 2025, the City received authorization to move forward with completion of the preliminary engineering design phase of the project. In order for the City to be able to obligate the funds and receive reimbursement, the City must execute a Program Supplement Agreement (PSA) with Caltrans (Attachment 1).
Caltrans is the agency tasked with overseeing the administration of State transportation grant funds throughout the State. The use of these funds requires the execution of program supplement agreements between Caltrans and local agencies. These agreements outline how the funds are to be used, identifies eligible expenses and accounting requirements. The attached PSA allocates a total of $34,200 of the $252,990 grant for engineering design services. A separate agreement will be required in the future for the construction and construction management/inspection dollars allocated to the Project. As such, Staff is recommending approval of PSA No. 00000A805 between Caltrans and the City of Placentia.
Caltrans also requires an authorizing resolution adopted by the City Council in order to obligate funds for grant funding. Staff is currently required to seek Council approval for a resolution on each individual project, even if the City Council has already authorized the receipt and expenditure of the funding during the annual budget adoption process. The attached resolution (Attachment 2) authorizes the City Administrator and/or her designee to execute all Master Agreements, Program Supplemental Agreements, Fund Exchange Agreements, Fund Transfer Agreements, and any amendments, thereto, with Caltrans. Staff is recommending adoption of Resolution No. 2025-42 to expedite this process. By authorizing the City Administrator to execute these agreements and any related amendments in advance, Staff will be able to:
Accelerate the availability of funds
Speed up the approval process for the design phase with Caltrans Streamline the approval process for the bidding and construction phases with Caltrans Decrease the time spent on preparing Staff reports.
Fiscal Impact Summary:
There are no direct costs associated with the recommended actions. The estimated cost for the engineering design phase of the Leading Pedestrian Interval Project is $34,200 and funds have been included in the Adopted Fiscal Year (FY) 2025-2026 Capital Improvement Program (CIP) Budget. The construction phase of the project is scheduled to be programmed in the FY 2025-26, once the City has completed the engineering design phase and received authorization to move forward with construction. Any future grant funds will be presented to the City Council for approval and allocation in the City's CIP Budget. 2 Attachments
Attachment 1 - Program Supplement Agreement No, 00000A805.pdf Attachment 2 - Resolution No. R-2025-42.pdf
3 00000A805
FOR STATE FUNDED PROJECTS NO 12-5269S21
1225000087
July 14, 2025
12-ORA-0-PLCN
HSIPSL-5269(031)
5269
This Program Supplement, effective , hereby adopts and incorporates into the Administering Agency-State Agreement No. 12-5269S21 for State Funded Projects which was entered into between the ADMINISTERING AGENCY and the STATE with an effective date of and is subject to all the terms and conditions thereof. This PROGRAM SUPPLEMENT is executed in accordance with Article I of the aforementioned Master Agreement under authority of Resolution No. approved by the ADMINISTERING AGENCY on (See copy attached).
The ADMINISTERING AGENCY further stipulates that as a condition to the payment by the State of any funds derived from sources noted below encumbered to this project, Administering Agency accepts and will comply with the Special Covenants and remarks set forth on the following pages.
Various Location throughout City, including 7 signalized intersections and 2 unsignatized intersections.
New Signals 0.0(MILES)
State FundsEstimated Cost Matching Funds
CITY OF PLACENTIA
By ________________________________By ________________________________ Title _______________________________
Date _______________________________
Attest _______________________________Date _______________________________ Division of Local Assistance
I hereby certify upon my personal knowledge that budgeted funds are available for this encumbrance:
Accounting Officer _______________________Date _______________ PROGRAM SUPPLEMENT NO.
to
ADMINISTERING AGENCY-STATE AGREEMENT
Adv. Project ID Date:
Location:
Project Number:
E.A. Number:
Locode:
PROJECT LOCATION:
TYPE OF WORK:LENGTH:
LOCAL OTHER
$38,000.00 $3,800.00 $0.00
Chief, Office of Project Management Oversight
STATE OF CALIFORNIA
Department of Transportation
$34,200.00
$34,200.00STATE
1Page of 3Program Supplement 12--526-A805- SERIAL
7/14/25
4 SPECIAL COVENANTS OR REMARKS
12-ORA-0-PLCN
HSIPSL-5269(031)
1.A. This PROJECT has received STATE funds from Highway Safety Improvement Program (HSIP). The ADMINISTERING AGENCY agrees to administer the PROJECT in accordance with the Highway Safety Improvement Program (HSIP) Guidelines, the Local Assistance Procedures Manual (LAPM), the Local Assistance Program Guidelines (LAPG), and this PROGRAM SUPPLEMENT.
B. The STATE funds for this PROJECT may be provided under one or more phases, which are Preliminary Engineering (PE), Right-of-Way (R/W) and Construction (Con).
A phase-specific fund allocation is required, in addition to other requirements, before reimbursable work can occur for the phase identified. Each allocation will be assigned an effective date and identify the amount of funds allocated per phase. Unless otherwise determined, the effective date of the phase-specific allocation will constitute the start of reimbursable expenditures for the phase. The STATE funds available for reimbursement will be limited to the amount allocated by the STATE for the phase.
C. At the time of the first fund allocation approval for the Project, this PROGRAM SUPPLEMENT, a STATE-approved Allocation Letter and STATE Finance Letter are prepared to allow reimbursement of eligible PROJECT expenditures for the phase allocated.
D. STATE and ADMINISTERING AGENCY agree that any additional fund allocations made after the execution of this PROGRAM SUPPLEMENT, for the phase that has been authorized in the first fund allocation approval or for a new phase, will be encumbered on this PROJECT by use of a STATE-approved Allocation Letter and a STATE Finance Letter and are subject to the terms and conditions thereof.
E. This PROJECT is subject to the delivery requirements enacted by the HSIP guidelines. The delivery requirements may be accessed at: https://dot.ca.gov/programs/local-assistance/fed- and-state-programs/highway-safety-improvement-program/delivery-requirements-status- approved-projects.
F. Award information shall be submitted by the ADMINISTERING AGENCY to the District Local Assistance Engineer immediately after project contract award and prior to the submittal of the ADMINISTERING AGENCY'S first invoice for the construction contract. Failure to do so will cause a delay in the State processing of invoices for the construction phase.
G. The ADMINISTERING AGENCY shall invoice STATE for PE, R/W and CON costs no later than 180 days after the end of expenditure the phase. For construction costs, the ADMINISTERING AGENCY has 180 days after project completion or contract acceptance to make the final payment to the contractor, prepare the final Report of Expenditures and final invoice, and submit to STATE for verification and
2Page of 3Program Supplement 12--526-A805- SERIAL
5 SPECIAL COVENANTS OR REMARKS
12-ORA-0-PLCN
HSIPSL-5269(031)
payment.
H. ADMINISTERING AGENCY agrees to submit the final report documents that collectively constitute a "Report of Expenditures" within one hundred eighty (180) days of PROJECT completion. Failure of ADMINISTERING AGENCY to submit a "Final Report of Expenditures" within 180 days of PROJECT completion will result in STATE imposing sanctions upon ADMINISTERING AGENCY in accordance with the current LAPM provisions.
I. ADMINISTERING AGENCY agrees to comply with the requirements in 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (applicable to Federal and State Funded Projects).
J. By executing this PROGRAM SUPPLEMENT, ADMINISTERING AGENCY agrees to provide the STATE, upon request, with the information related to the PROJECT for the purpose of project evaluation or other purposes.
K. The ADMINISTERING AGENCY shall construct the PROJECT in accordance with the scope of work presented in the application and approved by the State. Any changes to the approved PROJECT scope without the prior expressed approval of the State are ineligible for reimbursement and may result in the entire PROJECT becoming ineligible for reimbursement. 3Page of 3Program Supplement 12--526-A805- SERIAL
6 Resolution R-2025-42
ATTACHMENT 2
RESOLUTION NO. R-2025-42
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
PLACENTIA, CALIFORNIA AUTHORIZING THE CITY
ADMINISTRATOR AND/OR HER DESIGNEE TO EXECUTE
MASTER AGREEMENTS, PROGRAM SUPPLEMENTAL
AGREEMENTS, FUND EXCHANGE AGREEMENTS, FUND
TRANSFER AGREEMENTS BETWEEN THE STATE OF
CALIFORNIA, DEPARTMENT OF TRANSPORTATION
(CALTRANS) AND THE CITY OF PLACENTIA FOR
FEDERAL-AID PROJECTS AND STATE-FUNDED
PROJECTS
A. Recitals
(i). The City of Placentia is eligible to receive Federal and/or State funding for certain Transportation Projects, through the California Department of Transportation (Caltrans); and.
(ii). Master Agreements, Program Supplemental Agreements, Fund Exchange Agreements and/or Fund Transfer Agreements need to be executed with the California Department of Transportation before such funds could be claimed; and
(iii). Caltrans requires Program Supplemental Agreements to be executed for the administration of federal grant funds received; and
(iv). The City of Placentia wishes to delegate authorization to execute Program Supplement Agreement No. 00000A805 to Administering Agency-State Agreement No. 12-5269S21, all future agreements and any amendments thereto to the City Administrator and/or her designee.
B. Resolution
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PLACENTIA DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:
1. In all respects as set forth in the Recitals, Part A., above.
2. The Placentia City Council hereby authorizes the City Administrator and/or her designee to execute all Master Agreements, Program Supplemental Agreements, Fund Exchange Agreements, Fund Transfer Agreements and any amendments thereto with California Department of Transportation. 7 Resolution R-2025-42
ATTACHMENT 2
APPROVED and ADOPTED this 2nd day of September 2025.
Kevin Kirwin, Mayor
ATTEST:
Robert S. McKinnell, City Clerk
STATE OF CALIFORNIA
COUNTY OF ORANGE
I, Robert S. McKinnell, City Clerk of the City Of Placentia do hereby certify that the foregoing Resolution was adopted at a regular meeting of the City Council held on the 2nd day of September 2025 by the following vote:
AYES: Councilmembers:
NOES: Councilmembers:
ABSENT: Councilmembers:
ABSTAIN: Councilmembers:
Robert S. McKinnell, City Clerk
APPROVED AS TO FORM:
Christian L. Bettenhausen, City Attorney
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