Administrative
Report
H.16., File # 24-1489 Meeting Date: 9/17/2024
To: MAYOR AND CITY COUNCIL
From: ELIZABETH HAUSE, COMMUNITY SERVICES DIRECTOR
TITLE
ADOPT BY TITLE ONLY RESOLUTION NO. CC-2409-082, A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF REDONDO BEACH, CALIFORNIA APPROVING THE FILING OF A
CLAIM WITH THE LOS ANGELES COUNTY METROPOLITAN TRANSPORTATION AUTHORITY FOR FISCAL YEAR 2024-2025
EXECUTIVE SUMMARY
The City of Redondo Beach is eligible to receive Transportation Development Act (TDA) IV funding through the Los Angeles County Metropolitan Transportation Authority (MTA) for transit operating assistance. The revenue is distributed from two funding sources: the Local Transportation Fund (LTF) and the State Transit Assistance Fund (STA). To receive the revenue, the City must submit claim forms to the MTA that have been authorized by the City Council. The City’s Fiscal Year (FY) 2024-25 TDA IV and STA allocated funding is $1,250,330: $928,667 OF LTF and $321,663 of STA funds. All LTF and STA allocated funding is used to pay for Beach Cities Transit (BCT) and WAVE Dial-A-Ride operating costs. Staff recommends adopting the Resolution and authorizing the City Manager to sign the claim forms and related documents.
BACKGROUND
In 1971, the California State Legislature enacted the TDA to improve existing public transportation services and to encourage regional transportation coordination. TDA established two funding sources: the Local Transportation Fund (LTF) and the State Transit Assistance Fund (STA). The LTF is derived from a ¼ cent of the general sales tax collected statewide. The State Board of Equalization, based on sales tax collected in each county, returns the general sales tax revenues to each county’s LTF. Each county then apportions the LTF funds within the county based on population. STA funds are derived from the statewide sales tax on diesel fuel and are appropriated by the legislature to the State Controller’s Office (SCO). The SCO then allocates the tax revenue, by formula, to planning agencies and other selected agencies. Statute requires that 50% of STA funds be allocated according to population and 50% be allocated according to transit operator revenues from the prior fiscal year.
In 2017, Governor Brown signed Senate Bill (SB) 1, known as the Road Repair and Accountability Act. SB 1 augments the base of the STA program and is funded from a portion of the Transportation Improvement Fee coming from vehicle registration fees. The portion of the vehicle registration fee is transferred to the State Controller’s Office, where these funds are distributed to eligible agencies using the STA program formula.
In Los Angeles County, the LTF and STA are administered by the MTA and are used to finance various transportation projects. Eligible transit operators within each county may file claims for the
H.16., File # 24-1489 Meeting Date: 9/17/2024
various transportation projects. Eligible transit operators within each county may file claims for the support and development of public transit systems. In Los Angeles County, these funds are used by MTA operators and included municipal transit operators. The City of Redondo Beach is one of the municipal transit operators included in the program and has received funding through this allocation process for more than 15 years. The LTF and STA funding received from the MTA funds approximately 44% of the City’s operating costs for the BCT and WAVE Dial-A-Ride systems.
MTA also requires the inclusion of the Transit Funding allocations for SB1 State of Good Repair (SB1 -SGR) project information and planned funding in the claim forms. The City has two designated projects for the use of the funds. One is for the transit operations facility improvements, and the FY 2025 allocation will partially fund the ongoing replacement of buses in the BCT fleet. The City’s FY 2024-25 SB1-SGR allocation is $34,820. SB1-SGR allocations continue to be accrued for these purposes since FY 2017-18. Approval of the Resolution will allow staff to continue to receive these vital funds to support transit services in the City.
COORDINATION
The Resolution to file a claim with the MTA to receive the funds has been approved as to form by the City Attorney’s Office.
FISCAL IMPACT
The City will receive $928,667 of LTF and $321,663 of STA funds for FY 2024-25 to be applied toward BCT and WAVE operating costs. The funds are included in the City’s FY 2024-25 adopted budget.
FY2024-2025 Funding FY2024-2025 Expenditures
LTF Allocation $928,667 BCT & WAVE Operations $1,250,330 STA Allocation $182,921
SB1-STA Allocation $138,742
Total $1,250,330 Total $1,250,330
APPROVED BY:
Mike Witzansky, City Manager
ATTACHMENTS
· Reso - No. CC-2409-082 Authorizing Filing a Claim with Los Angeles County Metropolitan Transportation Authority to Receive Dedicated TDA IV Funding for Transit Services · FY 2024-25 TDA Claim Forms