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HomeMy WebLinkAbout18 - Annual Measure M Fund Eligibility RequirementsTO: FROM: CITY OF NEWPORT BEACH City Council Staff Report June 12, 2018 Agenda Item No. 18 HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL David A. Webb, Public Works Director - 949-644-3311, dawebb@newportbeachca.gov PREPARED BY: Lucie Delorme, Administrative Analyst, Idelorme@newportbeachca.gov PHONE: 949-644-3394 TITLE: Annual Measure M Fund Eligibility Requirements ABSTRACT: In order to maintain eligibility to receive Orange County Measure M Fair Share and Competitive funding from the Orange County Transportation Authority (OCTA), the City Council is required to approve and adopt the Measure M 7 -Year Capital Improvement Program (CIP). RECOMMENDATION: a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; b) Adopt the Proposed City Measure M 7 -Year CIP; and c) Direct staff to submit all necessary eligibility materials to OCTA to satisfy the Measure M annual eligibility requirements. FUNDING REQUIREMENTS: There is no fiscal impact related to this item. DISCUSSION: The collection of the current'/2-cent local sales tax for the Measure M (M2) began on April 1, 2011, following the expiration of the first Measure M (Ml). M2 provides for an estimated $13.5 billion investment into Orange County's transportation system. Major improvement plans target Orange County freeways, streets and roads, transit and environmental programs designed to reduce traffic congestion, increase mobility and improve quality of life. Current M2 legislation provides that 18 percent of all net revenues are allocated to the Local Fair Share Program. These funds are then distributed to local cities and the County of Orange on a formula basis for use on eligible transportation projects. The formula is based on 18-1 Annual Measure M Fund Eligibility Requirements June 12, 2018 Page 2 population, miles of existing arterial highways located within each jurisdiction, and taxable sales. Newport Beach is expected to receive approximately $1.9 million in fiscal year 2018- 2019 for city street projects from the Local Fair Share Program. Every year as required by the M2 ballot measure, OCTA determines if local jurisdictions are eligible to receive M2 Net Revenues. To maintain eligibility for Measure M funds, the City must satisfy the following requirements by June 30, 2018: 1. Adopt a Measure M 7 -Year CIP that includes all expected projects to be funded partially or fully by Measure M dollars; 2. Certify the City is meeting the funding requirements of our established Maintenance of Effort (MOE); and 3. Submit all required documents as defined in the OCTA Fiscal Year 2018-2019 Measure M2 Eligibility Guidelines. The budgets shown on the Measure M 7 -Year CIP for fiscal years 2019-2025 are approximated based on anticipated spending and historic needs. Actual budgets for these years have not been established at this time. The annual Maintenance of Effort requirement for the City of Newport Beach has been established at $10,871,763. This is the minimum amount the City must spend on street related items from discretionary general funds this upcoming fiscal year. The City has complied with this and all other eligibility requirements since inception of the Measure M program. Upon City Council's approval of the Measure M 7 -Year CIP and certification of our MOE, a complete submittal of the City's eligibility packet will be transmitted to OCTA by June 30, 2018 to ensure continued eligibility under the M2 program. ENVIRONMENTAL REVIEW: Staff recommends the City Council find this action is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). ATTACHMENT: Attachment A — Measure M 7 -Year CIP 18-2 CAPITAL IMPROVEMENT PROJECTS AS IDENTIFIED IN THE PROPOSED 2018-2019 CIP Description Measure M Total Fair Share (12201) Measure M Comp. (1230051, 1230052, 1230053 SB1 - RMRA (12601) Gas Tax (12101) GeneralBalboa Village Tidelands Facilities Transportation Fund Contributions Parking Mgmt (01201927, (13501, 13801) Maintenance Financing & Circulation District 01201928) (10001) Plan (56201) (14001) (53501) Various Pavement Rehabilitation Projects Bayside Drive Rehabilitation 16R12 $2,632,700 $1,397,250 $900,000 $335,450 Bison Avenue Pavement Rehabilitation 19R21 $1,200,000 $1,164,000 $36,000 Bonita Canyon Drive Pavement Rehabilitation 19R22 $346,000 $300,000 $46,000 Concrete Replacement Program 19R06 $790,000 $790,000 Concrete Street Pavement Reconstruction 18R21 $1,100,000 $1,100,000 Irvine Ave Pavement Rehabilitation 17R21 $1,401,800 $641,800 $760,000 Macarthur Boulevard/University Drive Pavement Rehab 18R23 $1,865,830 $1,300,000 $485,830 $80,000 Marguerite Avenue / Hospital Road Pavement Rehabilitation 18R24 $871,000 $639,000 $194,000 $38,000 Marine Avenue Reconstruction 17R13 $250,000 $250,000 Ocean Boulevard Concrete Pavement Reconstruction 18R25 $200,000 $200,000 Old Newport Blvd/West Coast Hwy Modifications 15R19 $185,000 $185,000 Pavement Management Plan PMP Update 18R01 $30,000 $30,000 San Joaquin Hills Road Pavement Rehabilitation $1,600,000 $1,414,600 $131,400 $54,000 .Slurry Seal Program 19R04 $860,000 $860,000 Street Pavement Repair Program 19R03 $500,000 $500,000 Subtotal $13,832,330 $4,500,250 $0 $1,900,430 $4,152,200 $3,025,450 $254,000 $0 $0 $0 $0 Projects funded by Measure M Comp. Balboa Peninsula Shuttle/Trolley (17T13) $699,210 $537,950 $161,260 Bayview Heights Drainag a/Runoff Project 15X11 $284,722 $274,922 $5,800 $4,000 Little Corona Infiltration Gallery (15X14) $266,400 $225,000 1 $35,0001 $6,400 Lower Sunset View Park Concept / Overcrossin s 15T09 $5,700,000 $2,349,6001 1 1 1 1 $3,150,400 $200,000 Subtotal $6,950,332 $0 $3,387,472 $0 $0 $40,8001 $6,4001 $4,0001 $3,150,400 $200,0001 $161,260 Grand Total $20,782,662 $4,500,2501 $3,387,4721 $1,900,4301 $4,152,2001 $3,066,2501 $260,4001 $4,0001 $3,150,4001 $200,0001 $161,260 18-3 Measure M Seven Year Capital Improvement Program For Fiscal Years 2018-2019 through 2024-2025 City of Newport Beach Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Estimated Project Name 18/19 19/20 20/21 21/22 22/23 23/24 24/25 Cost Fund Source % Various Pavement 4,500,250 1,967,323 2,024,375 2,074,984 2,158,022 2,240,763 2,327,559 17,293,276 M Fair Share Rehabilitation Projects 4,152,200 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 16,152,200 Gas Tax 1,900,430 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 10,900,430 SB1 - RMRA 254,000 254,000 Contributions 3,025,450 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 12,025,450 General Fund Subtotal 13,832,330 6,967,323 7,024,375 7,074,984 7,158,022 7,240,763 7,327,559 56,625,356 Total Balboa Peninsula 107,590 107,590 107,590 107,590 107,590 537,950 M Comp Shuttle/Trolley Project 32,252 32,252 32,252 32,252 32,252 161,260 Balboa Village Pkg Mgmt District Subtotal 139,842 139,842 139,842 139,842 139,842 699,210 Total Bayview Heights Drainage 274,922 274,922 M Comp. and Runoff Treatment 4,000 4,000 Tidelands Maintenance 5,800 5,800 General Fund Subtotal 284,722 284,722 Total Little Corona Infiltration 225,000 225,000 M Comp. Gallery 35,000 35,000 General Fund 6,400 6,400 Contributions Fund Subtotal 266,400 266,400 Total Lower Sunset View Park 2,349,600 2,349,600 M Comp. Concept / Overcrossings 3,150,400 3,150,400 FFP - Parks & Community Cntrs 200,000 200,000 Transportation & Circulation Fund Subtotal 5,700,000 5,500,000 Total TOTAL PROJECTED BUDGET 20,223,294 7,107,165 7,164,217 7,214,826 7,297,864 7,240,763 7,327,559 63,375,688 F:\Users\PBW\Shared\OCTA\Measure M\Annual Submittals\2018 Eligibility Submittal\02 - Measure M 7 -yr CIP FY 18-19 31% 29% 19% 0% 21% 100% 77% 23% 100% 97% 1% 2% 100% 84% 13% 2% 100% 43% 57% 4% 100% 5/21/2018 18-4