COUNCIL AGENDA REPORT
TO: Mayor and City Council
FROM: Brett Fulgoni, Director of Public Works
DATE: September 16, 2025
SUBJECT: Adopt a Resolution Approving the Project List for Fiscal Year 2025-26 for the California State of Good Repair Program and Authorize the Submittal of a Grant Application for the Purchase of Digital Signage from Daktronics to Support the Transit Program
Description:
The City Council will consider authorizing the application of the City’s Transit Program’s recommended Fiscal Year 2025-26 Senate Bill 1 (SB1) State of Good Repair (SGR) grant in the amount of $366,646 for the purchase for digital signage from Daktronics to support the Transit Program’s Transit Center and Bus Stop Modernization Project.
Environmental Notice: The activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required.
RECOMMENDATION:
1. Adopt a Resolution approving the project list for Fiscal Year 2025 -26 for the California State of Good Repair Program; and
2. Authorize City Manager, or designee, to submit a grant application for the purchase of digital signage from Daktronics to support the transit program.
BACKGROUND:
The Road Repair and Accountability Act of 2017 Senate Bill 1 (SB1) includes the State of Good Repair (SGR) Program, which provides annual investments in public transit by funding infrastructure repair, service improvements, and modernization . Approximately $120 million annually in SGR funds are made available annually for eligible statewide transit capital projects on both an allocated and competitive basis.
Before receiving an apportionment of SGR program funds in a fiscal year, a transit agency must submit a list of proposed projects to the California Department of Transportation (DOT). DOT reports to the State Controller’s Office (SCO) the eligible agencies that will receive an allocation. SCO anticipates the first quarter’s allocation to awarded agencies will be paid by November 26, 2025.
2 DISCUSSION:
In total, $979,000 has been allocated to Santa Barbara County transit operators for Fiscal Year 25 -26. The Santa Barbara County Association of Governments (SBCAG) administers the allocated and discretionary SB1 SGR Funds for local transit agencies.
Public Utilities Code (PUC) Section 99314 allocations are based on the SCO transmittal letter. These discretionary funds are divided among local transit agencies with a 43 percent/12 percent/45 percent split: 43 percent to South County transit operators (SBMTD), 12 percent to Regional Transit/Rail projects (CAE/SBCAG), and 45 percent to the North County transit operators.
PUC section 99313 allocations are based on the latest annual population estimates from the Department of Finance. Funding by section is listed in Tables 1 and 2 below.
Table 1:
99313 Funding Distribution
FY 24/25 Amount
Guadalupe $842
Solvang $1,263
Santa Maria $10,973
Lompoc $1,653
SBMTD $163,331
SBCAG $19,622
Table 2:
After an informal call for projects, North County transit operators (Santa Maria/Guadalupe, Lompoc, and Santa Ynez) collaboratively agreed that Santa Maria Regional Transit (SMRT) would this time be the sole recipient of this year’s SGR funds in order to complete a more substantial project. In total, SMRT will apply to receive North County 99313 and 99314 SGR funds in the amount $366,646 in, as noted in the highlighted tables.
Santa Maria Regional Transit Project – Transit Center Modernization The Santa Maria Regio nal Transit (SMRT) is undertaking a significant modernization of the Transit Center, including electric bus charging infrastructure, community art, relandscaping, general exterior maintenance, and other placemaking features. A key 99314 Funding Distribution
Distribution % FY 24/25 Amount
North County 45% $351,915
South Coast 43% $336,275
Regional 12% $93,844
Total Amount $782,034
3 component of this projec t is the addition of digital signage to enhance the rider experience.
The California Integrated Travel Project (Cal -ITP) assists transit agencies with capital procurements by conducting solicitations that agencies may later leverage to acquire specialized equipment and technology.
In this case, Cal-ITP solicited vendors for digital signage by reaching out to leading GTFS- RT display providers. Six requests were sent out, and two proposals were received , specific to Santa Maria: one from Daktronics and one from Connectpoint. SMRT proposes to leverage Cal-ITP’s procurement process to purchase digital signage from Daktronics for the Transit Center modernization project.
By utilizing Cal -ITP’s pre -vetted procurement, SMRT can efficiently acquire advanced digital signage from Daktronics, a recognized leader in dynamic display solutions. This approach ensures high -quality equipment, leverages the state’s purchasing power for potentially reduced costs, and expedites implementation of this critical technology. The result will be improved real-time information dissemination, better passenger flow, and a more modernized Transit Center.
Alternative(s)
Alternatively, the City Council could direct SMRT to conduct its own independent competitive bidding process, such as a Request for Proposals (RFP). However, this would require more staff time and resources, potentially delay the project, and likely lead to higher costs without Cal -ITP’s pre-negotiated pricing and economies of scale. There's also a higher risk of engagin g less experienced vendors without Cal -ITP's pre - qualification process.
Fiscal Considerations
The City of Santa Maria’s Procurement Manual allows departments to leverage third-party contracts. Staff therefore recommends leveraging Cal -ITP's procurement pr ocess for digital signage. Cal -ITP, a state -led initiative, streamlines acquisition of transit technologies by conducting solicitations and securing favorable contracts with leading vendors. Procurement of these units will be based on Cal -ITP’s secured pr icing (see Attachment C).
Impact on the Community
There is no negative impact on the community from applying for and being awarded SGR funds. The addition of digital signage will significantly enhance the Santa Maria Regional Transit Center, providing a dynamic communication platform for riders and the community.
Digital signage will provide real-time transit information, helping riders navigate their trips efficiently and with confidence. It can also display public service announcements, community even t information, and other local updates. In emergencies, the signs will 4 serve as a critical communication tool to broadcast urgent alerts, safety protocols, and evacuation instructions.
This project will transform the Transit Center into a more engaging and useful community hub, ultimately improving the public transit experience in Santa Maria.
ATTACHMENT(S)
A. Resolution
B. Cal-ITP Solicitation for Proposal
C. Daktronics Budgetary Proposal