Item Number: 19
City Council / Board of Directors
Written Communications
Meeting of: June 18, 2024
Submitted By:
Fredy Bonilla, City Engineer
Subject:
Project Proposal to California Transportation Commission for Local Streets and Roads Funding for Fiscal Year 2024-2025
Recommendation:
That the Honorable City Council:
(1) Adopt Resolution No. 24-030, approving three (3) road projects for submittal to the California Transportation Commission (CTC) to be eligible to receive Local Streets and Roads Funds for Fiscal Year 2024-2025; and
(2) Authorize staff to submit this project proposal to the CTC.
Fiscal Impact:
There is no fiscal impact as a result of this action and no additional appropriation is required. The funds for all three projects have been included in the proposed FY 2024- 2025 budget.
Strategic Plan Goal:
This request aligns with Goal E “Invest in Infrastructure”, Strategy 11 in the City of Victorville Strategic Plan 2023-2026. Submitting a list of road projects is required to obtain SB1 funding to support local road rehabilitation and improvement projects. This request will provide the City the ability to supplement Measure I with more funding to improve road conditions, safety for pedestrians and drivers along the proposed corridors.
Background:
Local Streets and Roads Funding is available to cities and counties in California as a result of Senate Bill 1 (SB1) which increased the per gallon fuel taxes and vehicle registration fees. Various portions of this funding are deposited by the State Controller into the Road Maintenance and Rehabilitation Account (RMRA). One portion of this account is the Local Streets and Roads Fund (LSRF). The CTC adopts and updates guidelines for the use of the LSRF. This funding must be used on specific projects and 3 6
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cannot be used for streets and roads operations and maintenance expenses (O&M).
According to the guidelines, to be eligible to receive the LSRF, “an eligible city or county shall submit to the CTC a list of projects proposed to be funded with these funds pursuant to an adopted resolution by the applicable city council or county board of supervisors at a regular public meeting”. Table A represents the previous resolutions submitted to the CTC for the estimated amount of SB1 Funding the City expected to receive.
Table A
Fiscal Year Resolution No. Amount
2017/18 - $ 712,000.00
2018/19 18-021 $ 2,192,000.00
2019/20 19-038 $ 2,047,454.00
2020/21 20-059 $ 2,174,850.00
2021/22 21-062 $ 2,428,796.00
2022/23 22-054 $ 2,898,797.00
2023/24 23-054 $ 3,375,820.00
Total: $ 15,829,717.00
Table B represents the actual revenue received from the CTC and interest allocations by fiscal year collected to date as of the end of May 2024. Additional revenue is expected to be received from the CTC before the end of FY 2023/24.
Table B
Fiscal Year Revenue Interest
2017/18 $ 724,036.03 $ 1,605.71
2018/19 $ 2,268,453.22 $ 19,094.96
2019/20 $ 2,191,708.71 $ 37,942.14
2020/21 $ 2,343,864.91 $ 9,012.80
2021/22 $ 2,602,257.23 $ 0.00
2022/23 $ 3,047,701.56 $ 83,866.62
2023/24 $ 2,602,860.99 $ 0.00
Total: $ 15,780,882.65 $ 151,522.23
Grand Total $ 15,932,404.88
Completed capital improvement projects previously approved and submitted to the CTC for LSRF amounts are shown in Table C below. The table includes the amount of SB1 funds budgeted for each project and funds expended for each project.
Table C
Project Budget Expended
Village Dr, Mojave Dr to Air Expressway $ 705,000.00 $ 705,000.00 Arrowhead Dr, Nisqualli Rd to Green Tree Blvd $ 1,503,000.00 $ 1,503,000.00 Seventh Ave, Bear Valley Rd to Nisqualli Rd $ 2,275,000.00 $ 2,275,000.00 Third Ave, Nisqualli Rd to Talpa St $ 442,000.00 $ 442,000.00 Industrial Blvd, Bear Valley Rd to Silica Dr $ 3,427,000.00 $ 2,281,138.98 Silica Dr, Hesperia Rd to Industrial Blvd $ 818,000.00 $ 1,618,500.00 Total: $ 9,170,000.00 $ 8,824,638.98
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Table D below shows incomplete capital improvement projects previously approved by the Council and submitted to the CTC for LSRF. Some SB1 funding has been spent on the Bear Valley Road project to date.
Table D
Project Budget
Bear Valley Rd, Highway 395 to Amethyst Rd $ 2,898,797.00 Mojave Dr, El Evado to La Paz Dr $ 3,375,820.00
Total: $ 6,274,617.00
Per Table B, the total revenue collected as of May 2024 is $15,932,404.88. According to the figures in Table C, $8,824,638.98 of SB1 funding has been spent on six completed capital improvement projects. The last project completed was the Seventh Avenue and Arrowhead Drive project. Per Table D, $6,274,617 has been budgeted for two projects pending completion. In total, the City has budgeted $15,444,617 in projects since FY 2017/18. The amount of revenue received to date for FY 2023/24 is expected to increase.
It is anticipated the City will receive three more disbursements for the fiscal year. The monthly average for disbursements has been $289,206 for FY 2023/24. Considering there are three disbursements left, it is anticipated the City will receive approximately $867,620 of additional revenue. This estimated revenue and amount received to date may equal $3,470,481 for FY 2023/24, potentially $94,661 higher than the estimate from Resolution No. 23-054 submitted to the CTC.
The Mojave Drive Improvement Project from I-15 to El Evado Road is tentatively scheduled to be advertised for construction in the fall of 2024. The pavement reconstruction of Bear Valley Road from Amethyst Road to Highway 395 started in March 2024 and is expected to be completed by July 2024.
There is a carryover provision in the LSRF guidelines which allows for LSRF to be carried over to future years. There is also a provision which allows LSRF to be added to projects which have been previously approved for LSRF. These provisions provide flexibility for revising the funding on projects due to changes in costs.
Discussion:
If the projections discussed are accurate, the revenue the City will collect by the end of FY 2023/24 will be approximately $16,800,025. This is $1,355,408 more than what is currently budgeted for the CTC approved capital improvement projects. It is anticipated a portion of this surplus will be used for the Bear Valley Road Reconstruction project or projects listed in Table E below. LSRF guidelines limit the expense of funds to projects approved and submitted to the CTC by resolution, the funding cannot be used on other projects. The remaining balance will be used for other costs for management of SB1 funding reimbursed to the CTC or on upcoming capital improvement projects.
For this coming FY 2024/25, the due date for the LSRF resolution submittal to the CTC is July 1, 2024. The amount of LSRF funds available to the City for FY 2024/25 is estimated to be $3,553,237. Staff is proposing to submit a proposal to the CTC to include 3 6
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the pavement rehabilitation projects in Table E to be approved for the continued receipt of LSRF revenues.
Table E
Project
Total
Estimated
Construction
Cost
LSRF
FY 2024/25 Measure I
Roy Rogers Dr, Amargosa Rd to
NB I-15 Ramps $ 1,765,000.00 $1,200,000.00 $ 565,000.00 Bear Valley Rd, Bellflower Rd to
Monte Vista Rd $ 1,785,000.00 $1,200,000.00 $ 585,000.00 Ridgecrest Rd, Bear Valley Rd to
Pahute Ave $ 2,326,000.00 $1,200,000.00 $ 1,126,000.00
The projects listed in Table E are included in the approved FY 2024/25 Budget, including SB1 funding from Fund 221 and Measure I funds from Fund 250. The projects are consistent with the latest Measure I Five-Year Capital Improvement Program, please refer to Attachment C, which was approved by the City Council on March 19, 2024.
Staff recommends that the City Council adopt Resolution No. 24-030 to approve the submission of the Roy Rogers Drive (Amargosa Road to NB I-15 Ramps), Bear Valley Road (Bellflower Road to Monte Vista Road), and the Ridgecrest Road (Bear Valley Road to Pahute Avenue) projects for submittal to the CTC to be eligible to receive LSRF funds in the amount of $3,553,237 for Fiscal Year 2024-2025 and authorize staff to submit this project proposal to the CTC.
Staff is available for any questions the Council may have.
Attachments: A. Resolution No. 24-030
B. Project Map
C. Measure I Five-Year Capital Improvement Program