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1 RiversideCA.gov1
RiversideCA.gov
ACCEPTANCE OF FEDERAL AND STA TE GRANT FUNDING FOR THETHIRD STREET GRADE SEPARATION PROJECT AND ADOPTION OFREQUIRED RESOLUTION – SUPPLEMENTAL APPROPRIATIONSCity CouncilMay 19, 2026Public Works Department RiversideCA.gov2
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2 RiversideCA.gov3
•On August 16, 2022, the City Council authorized the Public Works Departmentto prepare and submit a Railroad Crossing Elimination Program grantapplication to the Federal Railroad Administration in the amount of $10 millionand a Trade Corridor Enhancement Program grant application to theCalifornia Transportation Commission in the amount of $24.5 million to constructthe Third Street at BNSF Grade Separation.•May 16, 2023 - City Council authorized the submittal of a grant application in theamount of $22 million to the California Transportation Commission for the Port andFreight Infrastructure Program (PFIP) Grant offered by California StateTransportation Agency (CaISTA) for the construction phase of the Project.•May 2025 - Caltrans notified staff that due to the exhaustion of the PFIP funds, the$22 million PFIP grant for the construction phase was being replaced with an equalamount of funds from the Transit and Intercity Rail Capital Program (TIRCP) grantfunds.BACKGROUND RiversideCA.gov4
DISCUSSION•Third Street Grade Separation project will construct a railroadunderpass at Third Street and the BNSF railroad tracks. Third Streetwill be lowered between Vine Street and Park Avenue, and abridge will be constructed to convey rail traffic. The project willrealign Commerce Street, construct slopes, retaining walls, astorm water pump station, and relocate wet and dry utilities.–Engineering and right-of-way phases are complete.–Project will be advertised for construction by Q3 of 2026–Construction is expected to begin in Q4 of 2026 and last approximately 24 months.3 4 5/7/2026
3 RiversideCA.gov5
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RiversideCA.gov6
DISCUSSION•Approval of the City Council is required prior to the City Manager executing the Rail Crossing Elimination grant documents via the GrantSolutions.gov portal.•A resolution is necessary prior to the finalization of the TIRCP grant’s Master Agreement as well as the preparation of the Program Supplement Agreement. •$3 million in federal Earmark was secured for the construction phase through Congressman Takano’s office.•Total supplemental appropriation amount = $40 million5 6 5/7/2026
4 RiversideCA.gov7
1. Authorize acceptance of $15 million in Federal Railroad Administration Rail Crossing Elimination Program grant funds, $22 million in state Transit and Intercity Rail Capital Program (TIRCP) grant funds, and $3 million in federal Community Project Funding/Congressionally Directed Spending (CPFCDS) CA999 Earmark funds;2. Authorize the City Manager, or designee, to digitally execute all necessary grant documents via the GrantSolutions.gov portal;RECOMMENDATIONS RiversideCA.gov8
3. Adopt a Resolution agreeing to comply with all conditions, statutes, regulations and guidelines for state-funded transit projects, and authorize the City Manager, or designee, to execute the Master Agreement, all award agreements, Program Supplements, and any amendments thereto with the California Department of Transportation; and4. With at least five affirmative votes, authorize the Chief FinancialOfficer, or designee, to record an increase in revenues in theamount of $40 million and appropriate expenditures in the sameamount in the Capital Outlay-Grants Fund, for various capitalprojects as outlined in the fiscal impact section of this report.RECOMMENDATIONS7 8