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Receive a presentation on the current project delivery of capital project improvements, project delivery status, and project funding, including the Road Repair and Accountability Act of 2017
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Published Notice Required? Yes ____ No _X _
Public Hearing Required? Yes ____ No _X _
DEPARTMENTAL RECOMMENDATION:
The Department of Resource Management recommends that the Board of Supervisors receive a presentation on the current project delivery of capital project improvements, project delivery status, and project funding, including the Road Repair and Accountability Act of 2017.
SUMMARY:
Solano County has been able to plan and deliver numerous safety and road improvement projects because of the passage of SB 1, known as the Road Repair and Accountability Act of 2017 (“Gas Tax”), which increased revenues for County road maintenance and repairs. It also allowed the County to accelerate planning and funding of numerous projects on the 5-year Public Works Capital Plan that either lacked a funding source or were not even listed on the Plan.
Potential repeal of this funding source, as proposed under Proposition 6, would substantially reduce the number of deliverable projects in the current 5-Year Public Works Capital Improvement Plan or push projects back beyond the 5-year horizon. Should this repeal be successful, estimates show a drop in County available revenues of approximately 34% in FY2018/19 and 50% in FY2019/20 and beyond. The discussion section below provides a summary of current projects underway or to be delivered as a result of SB-1 Gas Tax funding, and an initial analysis of impacts on the 5-year Public Works Capital Improvement Plan (CIP) should the Gas Tax be repealed in November.
FINANCIAL IMPACT:
The cost to provide this presentation is borne within the Department’s operating budget. Any potential impact to the restricted and dedicated Road Fund revenue sources would need to be considered in future Public Works budget discussions. Specific information on estimated revenue reduction and impacts is discussed below. The costs associated with preparing the agenda item are nominal and absorbed by the department’s FY2018/19 Adopted Budget.
DISCUSSION:
County staff recently submitted the completed projects list to the California Transportation Commission for FY2017-18, as required by the Road Repair and Accountability Act of 2017 (“SB 1”). In total, $6.4 million in project work was completed using $2.2 million in SB 1 Gas Tax revenue, with the remainder $4.2 million coming from Regional Transportation Impact Funds, Yolo Solano Air Quality Management District funds, federal Highway Safety Improvement Program funds, and Road Fund. These projects included Dixon Avenue West - Putah Creek Road Safety Improvements, Pleasants Valley Road Safety Improvement Project, RTIF Safety Improvement Project, Rubberized Chip Seal 2018, and the County’s annual chip seal maintenance project.
The FY2018-19 budget anticipates $14,490,599 in Gas Tax revenue for FY2019/20. Repeal of SB 1 would rescind the revenues generated by the Road Repair and Accountability Act of 2017, and will likely reset the excise tax in the State portion of Gas Tax. Current estimates are a reduction of revenue to the Road Fund by approximately $4,916,180 this fiscal year and $7,295,000 in FY 2019/2020.
Below is a list of projects in the County’s approved CIP to be constructed in calendar year 2019. These projects would likely be deferred to later years, based upon prioritization of road safety needs, if the Gas Tax is repealed:
1. Culvert Replacements at Cherry Glen Road to address safety and drainage issues
2. Farrell Road Intersection Improvements to address safety and traffic issues
3. Guardrail Improvement Project 2018 to address safety issues
4. Microsurfacing 2019 to address maintenance and traffic striping issues
5. Rubberized Chip Seal 2019 to address maintenance and traffic striping issues
The following lists future projects in the County’s CIP that the Department has begun planning, design, right of way, and/or environmental clearance work. These projects would be significantly deferred or potentially suspended indefinitely if the Gas Tax is repealed:
1. Timm Road Improvements to address safety and traffic issues
2. Guardrail Improvement projects to address safety issues
3. Culvert (large) Replacement projects to address safety and drainage issues
4. McCormack Road Improvements to address safety and traffic issues
5. Contract surface treatment projects to address maintenance issues
6. Foothill Drive Improvements to address safety issues
7. Gibson Canyon Road Improvements to address safety and traffic issues
8. Ledgewood Road Intersection Improvements to address safety issues
9. Signalization Modernization projects to address safety and maintenance issues
10. Sidewalk improvement projects to address safety and maintenance issues
11. Porter-Midway Intersection Improvements to address safety and traffic issues
12. Benicia Road Improvements to address safety and maintenance issues
13. Liberty Island Road Improvements to address maintenance issues
14. Putah Creek Road Improvements to address safety and traffic issues
15. Bunker Station Road Bridge Rehabilitation to address maintenance issues
16. Pedrick Road Bridge Rehabilitation to address safety and maintenance issues
ALTERNATIVES:
The Board could choose to not receive the presentation. This is not recommended, since the potential for large revenue reductions, thus impacting Road Fund projects and operations, is significant.
ANOTHER AGENCY INVOLVEMENT:
County Counsel has reviewed and approved this item as to form.
CAO RECOMMENDATION:
APPROVE DEPARTMENTAL RECOMMENDATION