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Public Works
DATE: December 16, 2025
TO: Mayor Martinez and Members of the City Council
FROM:
Daniel Chavarria, PE, Director of Public Works
Robert Armijo, PE, Deputy Director of Public Works / City Engineer
Hillal Hamdan, PE, Senior Engineer
Subject:
Cost Sharing Agreement for 2025 with Caltrans for State Highway Electrical Facilities within the City
FINANCIAL IMPACT: The proposed $125,000 expenditure is included within the approved fiscal year 2025-2026 Public
Works/Engineering Services budget. This allocation
fulfills the City Council’s 2020 funding commitment for shared costs of State Highway electrical facilities. The $125,000 represents the City’s estimated annual share of costs under the Agreement, though actual costs may
vary depending on utility charges and maintenance
needs (Account String: 01232531 - 400540).
PREVIOUS COUNCIL
ACTION:
None.
STATEMENT OF THE
ISSUE:
The City of Richmond and California Department of
Transportation (Caltrans) share responsibility for the cost of traffic signals, lighting, and related electrical facilities at State Highway intersections within the City. To formalize this shared responsibility, Caltrans has provided the 2025 Electrical Facilities Cost Sharing Agreement (EFCSA),
which establishes the City’s proportional share of costs consistent with statewide practice. The City Council
previously committed $125,000 annually in 2020 toward
AGENDA
REPORT
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these shared costs, and Council action is now required to adopt a resolution authorizing the City Manager to
execute the EFCSA.
RECOMMENDED ACTION: ADOPT a resolution to APPROVE the 2025 Electrical Facilities Cost Sharing Agreement (EFCSA) with the
California Department of Transportation (Caltrans),
establishing cost-sharing responsibilities for State
Highway electrical facilities within the City of Richmond, with the City’s annual commitment of $125,000, and
AUTHORIZE the City Manager to execute all necessary
documents - Public Works Department (Hillal Hamdan
510-621-1612/Robert Armijo 510-620-5477).
DISCUSSION:
The City of Richmond and California Department of Transportation (Caltrans) share responsibility for the cost of operating and maintaining electrical facilities located at the intersections and interchanges of State Routes 80 and 580 with City streets. Cost sharing of this type is a standard practice statewide, designed to ensure fairness and equity between agencies. Under Caltrans’ statewide policy, costs are allocated in proportion to the number of intersection legs under each agency’s jurisdiction. For example, at a typical four-leg intersection, costs are shared 50/50, while at “T” intersections the split may be 33/67 depending on geometry. This approach provides a consistent and equitable framework for distributing the financial responsibility of traffic signals, beacons, and lighting facilities that benefit both State and local road users.
The proposed 2025 Electrical Facilities Cost Sharing Agreement (EFCSA) updates and consolidates these responsibilities for Richmond (Attachment 1). The Agreement specifies covered facilities such as flashing beacons, traffic signals, traffic signal systems, safety lighting, and sign lighting, and identifies specific locations within Richmond where cost sharing applies. Exhibit A to the EFCSA lists streets along Interstate 80 (I-80) and Interstate 580 (I-580) where 36 facilities are shared, along with the corresponding cost allocations between the City and Caltrans, including but not limited to Carlson Boulevard, Richmond Parkway, Central Avenue, McBryde Avenue, Solano Avenue, Sacramento Street, Swans Way, Barrett Avenue, Roosevelt Avenue, San Pablo Avenue, Macdonald Avenue, Cutting Boulevard, Hilltop Drive, Regatta Boulevard, Harbour Way, Canal Boulevard (Attachment 2).
Based on the cost-sharing percentages in Exhibit A and recent expenditure history, Richmond’s share is estimated at approximately $125,000 per year. This amount reflects actual utility bills from prior years. The Agreement provides that Caltrans will continue to operate and maintain the facilities and will invoice the City quarterly in arrears for its proportional share of actual costs, including energy charges, labor, materials, and equipment. This means that while $125,000 has been budgeted for
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Fiscal Year 2025–26, actual expenditures may vary somewhat from year to year depending on energy usage and maintenance needs.
By adopting the resolution, the City Council will enable the City Manager to execute the EFCSA and thereby formalize Richmond’s cost-sharing responsibilities (Attachment 3).
This action fulfills the City Council’s prior direction from 2020 to provide $125,000 annually in support of State Highway electrical facilities, aligns Richmond with statewide standards for fairness and equity in cost sharing, and ensures that the City continues to contribute its fair share toward the safe and reliable operation of traffic safety infrastructure at State Highway intersections. City Staff recommend that the City Council adopt the resolution authorizing the City Manager to execute the 2025 EFCSA with Caltrans.
DOCUMENTS ATTACHED:
Attachment 1 – 2025 Electrical Facilities Cost Sharing Agreement Attachment 2 – Exhibit A to the Resolution
Attachment 3 – Resolution to Authorize City Manager Execute Electrical Cost Sharing Agreement with Caltrans