HomeMy WebLinkAboutCC AG PKT 2007-06-25 #N
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AGENDA REPORT
DATE:
June 25, 2007
TO:
Honorable Mayor and City Council
THRU:
David N. Carmany, City Manager
FROM:
Mark K. Vukojevic, P .E., Director of Public Works/City Engineer
SUBJECT:
RESOLUTION TO SUPPORT SB 286 FOR PROPOSITION IB
LOCAL STREETS AND ROADS FUNDS
SUMMARY OF REQUEST:
The proposed City Council action will adopt the attached resolution in support of SB 286 for $1
Billion to cities from Proposition IB Local Streets and Roads funds.
BACKGROUND:
The State Budget Conference Committee is currently in deliberation on how much of the
Proposition IB - $2 Billion Local Streets and Roads funds to allocate to cities and counties in
2007-08. Presently, there are varying funding levels and projected funding release dates in the
different Assembly, Senate and Administration budget proposals. The League of California
Cities and California State Association of Counties (CSAC) have brought forth a proposal
through SB 286 (LowenthallDutton) that defines an allocation schedule for the $2 billion for
cities and counties. This bill guarantees that every city will receive at least half of their
Proposition IB funds to spend in the next two fiscal years (the 2007-08 Prop. 42 "gap" year and
2008-09).
Securing this funding is extremely important for cities. Cities will not receive any money for
local streets and roads during the 2007.08 Prop. 42 "gap" year. Cities can use these Prop. IB
funds immediately for traffic congestion relief, transit, traffic safety, storm damage,
maintenance, construction and other projects to i~prove the local transportation system.
SB 286 also provides accountability and safeguards to ensure bond funds are spent expeditiously.
The League and CSAC recognize that the state does not want to issue bond debt if the funds are
not being spent. SB 286 includes a provision that requires cities and counties to expend funds
within three years of allocation or return them to the State Controller for reallocation to other
cities and counties.
In contrast, the Governor's Budget allocates Prop IB funding at $300 million for cities and
another,$300 million for counties. Funding in future budget years is projected at $300 million
split evenly between cities and counties for 2008-09 and $150 million per year for cities and
counties until $2 billion is reached.
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Agenda ItemY
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The Assembly version mirrors the Governor's proposal for 2007-08 allocation at $600 million
split evenly between cities and counties. The Senate has proposed $400 million for 2007-08 to be
allocated $200 million for cities and $200 million for counties.
The League is asking for cities to pass a resolution in support ofSB 286 and full funding of Prop
IB Local Streets and Roads for the fOllowing reasons:
· Voters who Dassed ProD. IB ($19.9 billion transoortation bond) in November 2006 were
Dromised $2 billion would be used to imDrove local streets. roads and other Drioritv local
transoortation Droiects. Voters want and deserve to see immediate results.
· Cities are "readv-to-IZO" and earlv allocation means the exDenditure of funds for local
oroiects can immediatelv Eet underwav. Untimely or inadequate Prop.1B funding
allocation would unnecessarily cause project delays and limit the construction of many
mid- and large-sized proj ects that are otherwise ready to go.
· ProD. IB funds will allow oroiects aIreadv underwav to continue without interruDtion.
This is especially important because cities will not receive any Prop. 42 (gasoline sales
tax) funds for local streets and roads during the 2007-08 year.
· The State can keen faith with voters by demonstrating that the State and local
governments are making good on their promise to use bond limning responsibly and
efficiently. Additionally, SB 286 (Lowenthal and Dutton) sets forth specific
accountability, transparency and deliverability requirements to ensure public funds are
spent responsibly and on projects the voters were promised.
The City Manager's Office and Public Works Department support this proposal as it allows the
City to quickly invest street dollars into the City. Public Works Staffis currently out to bid with
the FY 07/08 local street rehabilitation project. With additional funding, the next high priority
streets as listed in the Pavement Management Report can added to the project or Staff can create
a second project within the fiscal year.
FISCAL IMPACT:
Funding of $1 Billion to cities from Proposition IB would provide Seal Beach with an estimated
$812,655 instead of the previously expected $243,800 if only $300 Million were available to
cities.
RECOMMENDATION:
It is recommended that the City Council adopt the attached resolution in support of SB 286 for
$1 Billion to cities from Proposition IB Local Streets and Roads funds.
Prepared By:
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Mark K.Yukojevic, P.E.
Director of Public Works/City Engineer
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Agemla ltem_
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NOTED AND APPROVED:
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David Carmany,
City Manager
Attachment: Resolution supporting SB 286 for $1 Billion to cities from Proposition IB
League of Cities information flyer
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Agenda ltem_
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RESOLUTION NUMBER_
A RESOLUfiON OF THE CITY COUNCIL OF THE CITY OF
SEAL BEACH SUPPORTING $1 BILUON STATE BUDGET
ALWCA T10N OF PROP lB FUND TO CITIES IN 2007.2008
WHEREAS, the voton of California paa.ed Propo.ition IB ($19,9 billion tranaportalion
bond) in November 2006, and w.... promilled $2 billlon would be ulled 10 improve local
.treeta, roads and other priority looaltran.portation projects: and
WHEREAS, California'. citi.. are ready to go 10 begin work on local traffio .arety
repaira, conge.tion relief, fixing crumbling roada. improving maa. tran.i1 and other local
tran.portaIion improvement projects; and
WHEREAS, aocording 10 a Leaguo of California cm.. aurvey, citi.. havo numeroua
local projoots tha10an put the city .hare of the $1 billion in local .tree1 and road monoy.
to use right away for the benefit of citizens and businesses; and
WHEREAS, oitie. need sufficient Prop. IB funds allocated this year 10 begin work on
local tranlportation projoots thOl are ready 10 go. Early allocation or these funds will
allow projeotslO get underway immedi"",ly and will proven1 unn....ssary delays: and
WHEREAS, .ome Prop. IB projects willlako YO"" or even decade. 10 complete, many
city tran.porta1ion improvemen1 projects are ready 10 get off the drawinS board and into
construction right away, domonstra1ing 10 voter. 1hOl the .1"'" and looal governmenll are
making good on their promise 10 spend bond funds in a timely and responsible manner;
and
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WHEREAS, local .troeIs and roads are a critical cornponentlO a seaml... transportation
notwork. the mobili1y of California ....idents. the transport or goods and services. and tho
strength of our economy; and
WHEREAS, citi.. will not roc:eive any Prop, 42 (gaaoline .al..llx) funds for looal
stroela and roads during the 2007-08 year and Prop, IB funds will allow projoe18 already
underway to continue without intemJption; and
WHEREAS, an untimely or inadequate allocalion of Prop, IB funding thil year would
unnecessariJy cause project delays of up to one year and limit the construction of many
mid- and large-sized projoc:ta that are otherwise ready 10 go:
NOW, TIlEREFORE, BE IT RESOLVED that we h....by urge the legi.lature and
governor to appropriate $1 Billion in Prop, IB Funds out of tho 2007-08 Slate Budget 10
fund vital Jocal street and road repain in California cities.
PASSED, APPROVED AND ADOPI'ED by the City Councilor Seal Boach. a1 a
meeting hereof held on 1he 25th dsy of June . 2007 by the following vote:
AYES: COUNCn.MEMBERS
NOES: COUNCILMEMBERS
ABSENT: COUNClLMEMBERS
ABSTAIN: COUNClLMEMBERS
e Mayor
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A TrEST:
City Clerk
STATBOFCALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, LInda Dovino, Ci1y Clerk for tho City of SoaI Bo""", Caliromia, do horoby certify thl!
tho forosoing resolution. i. tho original copy of Rosolution Numbor_ on filo in tho
offi.. of tho Ci1y Clerk, pusod, approvod and adopb:d by the City Council of the City of
Soal Bo""" I! . "'gular mooting horoof hold on tho 25th day of Juno. 2007.
Ci1y Clerk
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California's Cities w;'
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Cities Are Readv m Go to Fix Our Local Streets and Roads. We Urge State Lawmakers
to Appropriate $1 BIllion from Prop. 1 B this Year to Fund City Transportation Projects.
· Votars who passed Prop. 1 B ($19.9 billion transportation bond) In November 2006 were promised $2 billion
would be used to improve local streets, roads and other priority local transportation projects, Votars want
end deserve to see Immediate results.
· California's cities need access to these funds to begin war!< on local trallic safety repairs, congestion relief,
IIxlng crumbling roads, mass transit and other local transportation Improvement projects.
· According to a survey conducted by the League of Califomla Cities, cities have identified numerous local
proJects that can put these funds 10 use right rrway for the benefit of citizens and businesses.
· California's cities are requesting $1 billion In Proposition 1 B funds be allocated this budget year to financa
city transportation projects. Eariy allocation means the expenditure of funds for local projects can get
underway Immediately.
Keep Faith with Voters. Show Eariy Progress on Local Transportation Improvements.
· Every bip begins and ends on local streets and roads - they are a critical component to a seamless
transportation nelwolk, the mobility of California residents, the transport of goods and servicas, and the
strength of our economy.
· While other Prop. 1 B projects will take years or even decades to complete, many city transportation
improvement projects are ready to get off the drewlng board and Into construction right away.
· The State can keep faith with voters by allocating $1 billion dollars out of Prop. 1 B funds to California's cities
this year - enabling cities to get to wor!< on local transportation Improvement projects and demonstrating to
voters that the State end local governments are making good on their promise to use bond funding
responsibly and efficiently.
Support SB 286 - Ensure a Reliable Funding Source for Local Transportation
Improvement Projects and Provide Accountability, Dellverability and Transparency.
· SB 286 (Lowenthal and Dutton) sets forth speclftc accountability requirements to ensure public funds are
spent responsibly and on projects the voters were promised.
· SB 286 also includes a provision that requires bond funds to be spent within three-years to ansure that the
publiC sees the benellts of these projects sooner rather than latar.
Failure to Provide Adequate Funding Now Will Leave Cities Well Short of What's
Needed to Get the Job Done.
· Cities will not receive any Prop. 42 (gasolIne salas tax) funds for local streets and roads during the 2007-08
year. Prop. 1 B funds will allow projects already underway to continue without Interruption.
· What's more, cities are currently devising their own local bUdgets right now -Including funding for local
transportation projects that should be bolstared by Prop. 1 B funds.
· Untimely or Inadequata Prop. 1 B funding allocation would unnecessarily cause project delays of up to one
year and limit the construction of many mid- and large-sized projects that are otherwise ready to go.