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CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: July 15, 2026
To: Honorable Mayor and City Council Members
From: Lynn Merrill, Director of Public Works
Department: Public Works
Subject: Amendment No.7 to Cooperative Agreement No. 04-040 with the San Bernardino County Transportation Authority (SBCTA) for the Metrolink Commuter Rail Station and the Santa Fe Depot. (Ward 1)
Recommendation:
It is recommended that the Mayor and the City Council of the City of San Bernardino, California adopt Resolution 2027-124:
1. Approving Amendment No. 7 to Cooperative Agreement No.04-040 with the San Bernardino County Transportation Authority (SBCTA) for the San Bernardino Metrolink Commuter Rail Station and the Santa Fe Depot; and;
2. Authorizing the City Manager to execute Amendment No. 7 to Cooperative Agreement No. 04-040 with the SBCTA; and
3. Authorizing the Director of Finance and Management Services to approve a budget amendment in the amount of $206,106.58 to provide sufficient funding for the City's total Fiscal Year 2026/27 obligation of $847,106.58; and
4. Authorizing the Director of Finance and Management Services to issue payment to CityCom Real Estate Services for the annual operating costs and to the San Bernardino County Transportation Authority (SBCTA) in the amount of $74,648.08 for the City's share of insurance premiums.
Executive Summary
The San Bernardino County Transportation Authority (SBCTA) and the City of San Bernardino, (City) as tenants in common of the Santa Fe Depot, (Depot) share the responsibilities for the Depot as defined in Cooperative Agreement No. 04-040 2 4
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(Cooperative Agreement). Amendment No. 7, to the Cooperative Agreement, will update maintenance obligations, further define authority over Depot operations, and update insurance requirements for each agency at the Santa Fe Depot. These updates include expanding property insurance coverages to include Core Transit Asset Insurance and Other Property Insurance, as defined within Amendment No. 7. The SBCTA will incur the responsibility of maintaining network services and maintenance for third-party electric vehicle chargers installed at the Depot as well as retain the negotiation rights to lease terms for the third-party electric vehicle chargers.
Additionally, Amendment No. 7 allows the SBCTA to designate areas of the Commuter Rail Station for use as private transportation bus bays.
Background
The City has maintained Cooperative Agreement No. 04-040 with the San Bernardino County Transportation Authority since December of 2003. The Cooperative Agreement outlines the operation, security, and maintenance responsibilities for the Santa Fe Depot and the San Bernardino Metrolink Commuter Rail Station. The Agreement has received six amendments throughout the years leading up to Amendment No. 7. The Amendments are abbreviated as follows:
Amendment No. 1 – Approved: March 16, 2004:
Increased financial contributions from the San Bernardino Associated Governments (SANBAG) by $160,000 for occupancy and tenant improvements at the Depot.
Amendment No. 2 – Approved: September 19, 2004:
Served as a Notice to Parties for SANBAG occupancy at the Depot, revised terms of cost sharing for common area expenses, and revised reimbursement schedule from quarterly to monthly.
Amendment No. 3 - Approved: October 5, 2005:
Approved the funding of $6,200,000 for the construction of a multi-level parking structure, authorized the City to utilize the temporary parking area as a staging area for the Mt. Vernon Bridge Replacement Project, and assigned the City as the responsible entity for security and maintenance of the multi-level parking structure.
Amendment No. 4 – Approved: August 2, 2006:
Increased the funding for the construction of the multi-level parking structure to $8,063,775.
Amendment No. 5 – Approved: June 6, 2007:
Increased the local match contributions for the construction of the multi-level parking structure with a not to exceed amount of $11,563,775.
Amendment No. 6 – Approved: March 31, 2018:
Assigned the responsibilities and costs for the Pedestrian Overpass Structure and Commuter Rail Station to the City. Allocated cost sharing for decommissioned tracks 50/50 between the City and the SBCTA. SBCTA authorized to install and operate 2 4
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Electric Vehicle Chargers.
The City’s financial obligations under Amendment No. 6 are directly tied to the Pedestrian Overpass Structure, Commuter Rail Station, and decommissioned tracks at the Santa Fe Depot. Under this amendment, the City assumed full responsibility for the costs associated with the Commuter Rail Station and Pedestrian Overpass, while decommissioned track costs were allocated on a 50/50 basis between the City and SBCTA. Additionally, SBCTA was authorized to install and operate Electric Vehicle Chargers as part of the agreement.
The City's annual financial obligations under Amendment No. 6 are influenced by passenger-generated revenue, routine operations and maintenance activities, and facility improvement needs. Passenger revenue offsets a portion of the operating costs, while fluctuations in ridership, maintenance requirements, and infrastructure improvements affect the City's annual financial responsibilities. The City's annual operating costs under the Cooperative Agreement totaled $499,400.00 in Fiscal Year 2023/24, $769,550.50 in Fiscal Year 2024/25, and $715,277 in Fiscal Year 2025/26.
In addition to the annual operating costs, the City completed several significant maintenance and capital improvement projects at the Santa Fe Depot during this period. In Fiscal Year 2022/23, the City completed overlay, slurry seal, pavement stenciling, and ADA driveway improvements totaling $401,260.00. In Fiscal Year 2023/24, the City completed parking lot slurry seal and pavement stenciling improvements and HVAC upgrades totaling $173,333.00, along with $41,047.44 in security services provided during May and June, for total additional maintenance costs of $214,380.44. In Fiscal Year 2024/25, the City completed Phase II HVAC upgrades totaling $83,333.33. During Fiscal Year 2025/26, the City completed $123,333.33 in capital improvements to the Santa Fe Depot.
The Total Annual Costs for the City’s Share of the Cooperative Agreement are shown in the table below:
Discussion
Approval of Amendment No. 7 to Cooperative Agreement No. 04-040 will allow the SBCTA to designate sections of the Commuter Rail Station as bus bays, rideshare zones, or other similar activities. It will also allow the SBCTA to lease parking stalls and areas of the Commuter Rail Station to a third-party electric vehicle (EV) charging F iscal Y earAnnual Costs for CityAdditional Maintenance & Capital CostsT otal CostsF Y 2022/23$719,168.50$401,260.00F Y 2023/24$499,400.00 $214,380.44 F Y 2024/25$769,550.50 $83,333.33 F Y 2025/26$715,277.00 $123,333.33 T otal$2,703,396.00$822,307.10 $3,525,703.10 2 4
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network for the construction of third-party operated EV chargers. Language has been included to create a formal process for the SBCTA to seek approval and authorization from the City prior to designating areas of the Commuter Rail Station for these activities. Furthermore, Amendment No. 7 to Cooperative Agreement No. 04-040 clarifies the responsibility for obtaining and maintaining real property insurance for the station assets and the apportionment of the costs, with the City and the SBCTA sharing equally the cost to insure the core transit assets and the City being solely responsible for cost to insure the multi-level parking structure.
Although SBCTA approved Amendment No. 7 in September 2022, the City did not complete approval of the amendment due to administrative turnover. During that period, insurance coverage continued to be maintained in accordance with the negotiated terms of Amendment No. 7 to ensure uninterrupted protection of the jointly owned facilities. Approval of Amendment No. 7 formally memorializes these responsibilities and authorizes reimbursement to SBCTA for the City's share of previously incurred insurance costs.
Amendment No. 7 does not establish a new financial obligation for the City. Rather, it formalizes and clarifies the insurance responsibilities and operational provisions that have been implemented by the parties since SBCTA approved the amendment in 2022. This action ratifies those responsibilities and reconciles the City's outstanding share of insurance costs incurred during the interim period.
Beginning in Fiscal Year 2026/27 and each fiscal year thereafter, insurance premiums will be allocated between the City and SBCTA in accordance with Amendment No. 7.
Annual premium amounts will continue to vary based on insurance market conditions, insured property values, and coverage requirements, with each agency budgeting for its respective share through the annual budget process.
Through Fiscal Year 2024/2025, the City's share of the insurance premiums totaled $53,060.37. The Fiscal Year 2025/2026 premium of $21,587.71 is payable in Fiscal Year 2026/2027 and is included in this request. Approval of Amendment No. 7 authorizes payment of the City's total insurance obligation of $74,648.08.
Please see funding table below:
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The Fiscal Year 2026/27 adopted budget includes $641,000 for the City's obligations under the Santa Fe Depot Cooperative Agreement. However, the total funding required for Fiscal Year 2026/27, including the annual operating costs of $772,458.50 and the City's insurance obligation of $74,648.08 under Amendment No. 7, is $847,106.58. As a result, the currently budgeted amount is insufficient to meet the City's financial obligations, creating a funding shortfall of $206,106.58. Approval of this item will authorize payment of the outstanding insurance obligation and provide the additional funding necessary to fully satisfy the City's FY 2026/27 obligations under the Cooperative Agreement.
Staff recommends that the Mayor and City Council approve Amendment No. 7 to Cooperative Agreement No. 04-040 with the San Bernardino County Transportation Authority (SBCTA), approve a budget amendment in the amount of $206,106.58 to fully fund the City's Fiscal Year 2026/27 obligations under the Cooperative Agreement, authorize the City Manager to execute Amendment No. 7, and authorize the Director of Finance and Management Services to issue payment to CityCom Real Estate Services for the City's FY 2026/27 operating costs and to SBCTA in the amount of $74,648.08 for the City's share of insurance premiums.
2021-2025 Strategic Targets and Goals
This project is consistent with Key Goal No 1: Improved Operational & Financial Capacity. This Agreement will create a framework for spending decisions through the operation and maintenance of infrastructures built for the commuter rail stations.
Fiscal Impact
Approval of this item authorizes a General Fund budget amendment in the
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amount of $206,106.58. The City’s total FY 2026/27 General Fund obligation under the Cooperative Agreement is $847,106.58, which includes annual operating costs of $772,458.50 and the City’s insurance obligation of $74,648.08. The FY 2026/27 adopted General Fund budget includes $641,000 for these obligations, resulting in a budget shortfall of $206,106.58.
Conclusion
It is recommended that the Mayor and the City Council of the City of San Bernardino, California adopt Resolution 2027-124:
1. Approving Amendment No. 7 to Cooperative Agreement No.04-040 with the San Bernardino County Transportation Authority (SBCTA) for the San Bernardino Metrolink Commuter Rail Station and the Santa Fe Depot; and;
2. Authorizing the City Manager to execute Amendment No. 7 to Cooperative Agreement No. 04-040 with the SBCTA; and
3. Authorizing the Director of Finance and Management Services to approve a budget amendment in the amount of $206,106.58 to provide sufficient funding for the City's total Fiscal Year 2026/27 obligation of $847,106.58; and
4. Authorizing the Director of Finance and Management Services to issue payment to CityCom Real Estate Services for the annual operating costs and to the San Bernardino County Transportation Authority (SBCTA) in the amount of $74,648.08 for the City's share of insurance premiums $74,648.08 for the City's share of insurance premiums.
Attachments
Attachment 1 Resolution No. 2027-124
Attachment 2 Amendment No. 7 to Cooperative Agreement No. 04- 040
Attachment 3 Cooperative Agreement SBCTA and the City of San Bernardino 04-040
Ward:
First Ward
Synopsis of Previous Council Actions:
December 20, 2017 Adopted Resolution of Mayor and City Council of the City of San Bernardino, authorizing the execution of
Amendment No. 6 to Cooperative Agreement 04-040.
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July 16, 2007 Adopted Resolution of Mayor and City Council of the City of San Bernardino, authorizing the execution of
Amendment No. 5 to Cooperative Agreement 04-040.
September 5, 2006 Adopted Resolution of Mayor and City Council of the City of San Bernardino, authorizing the execution of
Amendment No. 4 to Cooperative Agreement 04-040.
September 19, 2005 Adopted Resolution of Mayor and City Council of the City of San Bernardino, authorizing the execution of
Amendment No. 3 and Ratifying Amendment No. 2
Cooperative Agreement 04-040.
March 15, 2004 Adopted Resolution of Mayor and City Council of the City of San Bernardino, authorizing the execution of
Amendment No. 1 to Cooperative Agreement 04-040.