Item Number: 14
City Council / Board of Directors
Written Communications
Meeting of: September 15, 2026
Submitted By:
Harry Mayo, Assistant City Engineer
Subject:
Mojave Drive Improvement Project - Phase III: Grant Acceptance, Funding Agreement, Budget Amendment, and Related Authorizations
Recommendation:
That the Honorable City Council:
(1)Approve the addition of the Mojave Drive Improvement Project - Phase III to the City’s Capital Improvement Program;
(2)Accept Surface Transportation Block Grant Funding for the Mojave Drive Improvement project;
(3)Accept and approve the Project Funding Agreement between the City of Victorville and the San Bernardino County Transportation Authority for Measure I Major Local Highway Program (MLHP) funding for the Mojave Drive Improvement Project; (4)Adopt Resolution No. 26-075 to amend the Fiscal Year 2026/2027 Budget to reflect an additional appropriation of revenue and expenditures from the San Bernardino County Transportation Authority Victor Valley Subarea Major Local Highway Projects Program to Fund 270 & Fund 265 and an additional expenditure from Fund 352, Road DIF;
(5)Authorize the City Mayor to execute the Project Funding Agreement; and (6)Authorize the City Engineer to execute the project and submit reimbursement claims for the work completed.
Fiscal Impact:
Approval of this item will authorize the acceptance of up to $8,252,286 in Public Share funding administered by San Bernardino County Transportation Authority (SBCTA) through the Victor Valley Major Local Highway Program (MLHP). The Public Share funding may consist of Measure I MLHP funds, Surface Transportation Block Grant (STBG) funds, State Transportation Improvement Program (STIP) funds, and other eligible regional, state, or federal transportation funding sources. 4 8
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The City will continue to be responsible for providing the required Local/Developer Share of project costs in accordance with the Measure I Development Mitigation Study (Nexus Study). Funding received under this agreement will support the project approval and environmental documentation (PA&ED), plans, specifications, design and estimates (PS&E), right-of-way, and construction phases of the Mojave Drive Improvement Project.
The 49% development share required to be budgeted over the life of the project from Road DIF will be $7,928,667.
An additional appropriation of revenue and expenditures to the Fiscal Year 2026/2027 Budget is required to fund the project. Adoption of Resolution No. 26-075 (Attachment A) will reflect an additional appropriation of revenue and expense to Fund 270, State Grant for STBG and Fund 265 Local Grant for MLHP. The resolution will further reflect an additional expense to Fund 352, Road DIF. The cash balance of Road DIF is estimated to be $1,482,546; there are sufficient funds to support the expenditure. Only the 49% development share for the PA&ED portion of the work ($924,948) will be required to be budgeted at this time, the remaining development share will be budgeted at a later time.
Please refer to Table A below for a detailed breakdown of funding account codes, fund names, additional appropriation, additional expenses and total budget.
Table A
Funding Account
Codes
Fund Name Additional
Appropriation
Additional
Expense
Total Budget
2707501N-43110-21502 State Grant $4,526,250 - -
2707501N-55315-21502 State Grant - $4,526,250 $4,526,250 2657500N-43100-21502 Local Grant $3,726,036 - -
2657500N-55315-21502 Local Grant - $3,726,036 $3,726,036 3524500-55330-21502 Road DIF - $924,948 $924,948
Total: $8,252,286 $9,177,234 $9,177,234
Strategic Plan Goal:
This project aligns with Goal E “Invest in Infrastructure” in the City of Victorville Strategic Plan 2023-2026 by improving one of the City's major transportation corridors, enhancing mobility, increasing traffic operations, and improving pedestrian accessibility and safety.
Background:
There are two Mojave Drive improvement projects included in the City’s approved Capital Improvement Program (CIP). These projects cover sections of a major thoroughfare approximately 5.6 miles in length. The Mojave Drive corridor connects the east side of the City from Seventh Street in Old Town Victorville to the westerly City limits at US-395 with Interstate 15 in between.
The project approved in the FY 2022/23 Budget included Measure I and SB1 Funding for a segment of the road from La Paz Drive to El Evado Road. Construction bids received for other CIPs ready for construction, including Bear Valley Road – Amethyst Rd to US- 395 and the Seventh Street Traffic Signals Modifications project, required a transfer of 4 8
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the Measure I funding from the Mojave Drive project to support the construction cost of those projects. As a result, the scope of work for the FY 2022/23 Mojave Drive project was reduced to a section of road from the west side of I-15 to Amargosa Road with the remaining SB1 funding only. Subsequent budgets have added additional funding to this project from Road DIF, Storm Drain DIF, Water, Sewer, General Fund, and other funds to support the broad scope of work that will be performed. This section of Mojave Drive for planning and tracking purposes has been identified as Phase I of the Mojave Drive Improvements Project with construction completion anticipated in the summer of 2027.
The project approved in the FY 2025/26 Budget was added to the CIP utilizing Measure I and SB1 funding with a separate project account number for tracking purposes. The project’s section of Mojave Drive covers the stretch of the road from Seventh Street to US-395. The purpose for covering the full stretch of the road was to provide funding from Measure I again if required to complete the Phase I project improvement described above. Identified as Phase II, this project and associated funding is intended to be utilized for a section of the road from US-395 to Amargosa Road.
The SBCTA administers the Measure I, countywide, half-cent transportation sales tax approved by San Bernardino County voters to fund local and regional transportation projects. A portion of that tax is reserved by SBCTA for major local highway projects through the Major Local Highway Program (MLHP). Within the Victor Valley Subarea, regional roadway projects are prioritized and identified in a 10-Year Delivery Plan that is updated every two years. In 2024, the Engineering Department submitted an updated list of major projects to SBCTA for the 2025 Measure I MLHP update that would enable the City to potentially obtain additional funding to support the projects listed. The plan guides SBCTA investments in projects that improve regional mobility, safety, and connectivity.
In the update provided to SBCTA, the Mojave Drive Improvement Project was identified as a regional priority project and included in what is the current 2025–2035 10-Year Delivery Plan. SBCTA was able to program funding in the amount of $3,726,036 to provide a 51% Public Share for improvements proposed to be made to the road. With this funding becoming available to support additional work, another phase is proposed to be added to the project.
The Mojave Drive Improvement Project – Phase III will reconstruct and improve sections of Mojave Drive between Amargosa Road and Seventh Street. The scope of work for this phase of the project plans to include roadway widening between I-15 and Condor Road, modifications to the I-15 on and off ramp approaches, modification of the traffic signal at Village Drive, construction of a new traffic signal at Sixth Street, filling in missing links to existing sidewalks, upgrade sidewalks, and ADA curb ramps, driveway improvements, and other safety and accessibility enhancements.
The Engineering Department submitted a competitive application to SCAG with the support from SBCTA for a STBG in 2025. Following SCAG’s evaluation and selection process, the project was awarded $4,526,250 in STBG funds, which will serve as part of the project's 51% Public Share funding for the environmental, design, right-of-way, and 4 8
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construction phases. The project received federal authorization to proceed on June 29, 2026 (Attachment D).
Approval of the Project Funding Agreement (Attachment C) is required to formalize the funding award, establish the responsibilities of both the City and SBCTA, and allow the City to receive reimbursement for eligible project costs incurred during project delivery.
Discussion:
The proposed Project Funding Agreement establishes the framework for funding and delivering the Mojave Drive Improvement Project where SBCTA will provide a 51% Public share and the City will provide 49% Development Share of the project cost. Under the agreement, SBCTA will make available up to $8,252,286 in Public Share funding to support the environmental, plans, PS&E, right-of-way, and construction phases of the project. The City will provide up to $7,928,667 in Development Share funding from Road DIF revenues collected from private development projects. The City will serve as the lead agency and will be responsible for delivering the project in accordance with applicable local, state, and federal requirements.
The agreement also establishes reimbursement procedures, financial reporting requirements, project accounting, audit provisions, and project coordination responsibilities. The City will submit reimbursement requests for eligible project expenditures, while SBCTA will reimburse eligible costs up to the approved funding amount. The agreement also requires the City to maintain project records, provide project schedule updates, and coordinate with SBCTA throughout project delivery. Execution of the agreement does not increase the overall project budget or obligate additional City funds. Rather, it formalizes SBCTA's commitment to provide up to $8,252,286 in previously awarded Public Share funding and establishes the contractual mechanism necessary for the City to receive reimbursement for eligible project costs through July 31, 2031.
The agreement also provides flexibility to allocate Public Share funding among project phases, if needed, while maintaining the required 51% Public Share and 49% Development Share funding split. Approval of the Project Funding Agreement will allow the City to proceed with the next phases of the Mojave Drive Improvements Project and secure reimbursement of eligible project costs as work progresses.
Staff recommends that the Honorable City Council approve the addition of the Mojave Drive Improvement Project – Phase III to the City’s capital improvement program, accept the Surface Transportation Block Grant and MLHP funding, accept and approve the Project Funding Agreement between the City of Victorville and the SBCTA, adopt Resolution No. 26-075 to amend the FY 2026/27 Budget to include up to $8,252,286 in revenue and expenditures of public share funds and $924,948 of development share funds, authorize the City Mayor to execute the Project Funding Agreement, and authorize the City Engineer to execute the project and submit reimbursement claims for work completed.
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Staff is available to answer any questions Council may have.
Prepared By:
Sarah Mayne, Management Technician
Harry Mayo, Assistant City Engineer
Attachments: A. Resolution No. 26-075
B. Vicinity Map
C. Agreement
D. Program Supplement Agreement, Finance Letter and E-76