Staff Report.Highway 17 Funding Agreement
PREPARED BY: Matt Morley
Parks and Public Works Director
Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, and Finance Director
110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 05/04/2021 ITEM NO: 8
DATE: April 28, 2021
TO: Mayor and Town Council
FROM: Laurel Prevetti, Town Manager
SUBJECT: Approve a Funding Agreement with the Santa Clara Valley Transportation
Authority for the State Route 17 Corridor Congestion Relief Project (CIP NO.
813-0237)
RECOMMENDATION:
Approve a funding agreement with the Santa Clara Valley Transportation Authority (VTA) for
the State Route 17 Corridor Congestion Relief Project (CIP No. 813-0237).
BACKGROUND:
In 2016, voters passed the countywide Measure B sales tax initiative. This Measure increased
the local sales tax to pay for transportation related maintenance and improvements. As the
Measure language was being crafted, the Town Council and staff lobbied for inclusion of
categories and projects that would allow for the return of sales tax to the Town.
One of the most competitive categories within Measure B is the Highways category. Within this
category, potential projects are identified with specific language for Los Gatos that reads:
Highway 17 Corridor Congestion Relief: Upgrade Highway 17/9 interchange to improve
pedestrian and bicycle safety, mobility, and roadway operations; deploy advanced
transportation technology to reduce freeway cut through traffic in Los Gatos, including
traffic signal control system upgrades in Los Gatos, Traveler Information System, advanced
ramp metering systems; support Multi-Modal Congestion Relief Solutions, including
enhanced Highway 17 Express Bus service, implementing local bus system improvements
that reduce auto trips to schools, work, and commercial areas in Los Gatos; and develop
park and ride lots to serve as transit hubs for express bus, shuttles, local bus system
connections.
PAGE 2 OF 3 SUBJECT: Approve a Funding Agreement with the Santa Clara Valley Transportation Authority for the State Route 17 Corridor Congestion Relief Project (CIP NO. 813-0237) DATE: April 28, 2021
BACKGROUND (continued):
This was an important achievement as the Highway program is significantly oversubscribed
(potential projects far exceed the available funds in the Measure B Highway category). The
Town has advanced a Highway 17 Congestion Relief project to provide relief from cut through
traffic that occurs on weekdays and during summer weekends (known as beach traffic).
Although Measure B may not be able to fund all of the project, having it proceed early allows
for maximizing the funding that does go towards the project.
For this project, the Valley Transportation Authority (VTA) is acting as the project lead with the
Town and Caltrans as major stakeholders. Town staff have been working with VTA on initial
stages of the project. On March 16, 2021 the Town Council supported continued advancement
of this project.
DISCUSSION:
The project is ready to move to the next phase of design through execution of a funding
agreement with the VTA to proceed with the Project Approval and Environmental Document
(PAED). This agreement formalizes the Town’s commitment of $600,000 to advance the
project. At the completion of the PAED phase, the total cost of the project will be
approximately $4 million, inclusive of Town funds.
CONCLUSION:
Approval of the Funding Agreement will allow for this project to proceed to the PAED phase.
COORDINATION:
This project is coordinated with VTA and Caltrans.
PAGE 3 OF 3 SUBJECT: Approve a Funding Agreement with the Santa Clara Valley Transportation Authority for the State Route 17 Corridor Congestion Relief Project (CIP NO. 813-0237) DATE: April 28, 2021
FISCAL IMPACT:
The Adopted FY 2020/21 Capital Improvement Program budget includes sufficient funds for this
phase of the project, as demonstrated in the fiscal table below.
Highway 17/9 Interchange & Capacity Improvements
Project 813-0237 Budget Costs
Traffic Mitigation Fund $600,000
Total Budget $600,000
Santa Clara Valley Transportation Authority $600,000
Total Expenditures $600,000
Remaining Balance $0
ENVIRONMENTAL ASSESSMENT:
The project will begin an environmental assessment during the next phase of the project. This
report is ministerial and not subject to environmental review.
Attachment:
1. Funding Agreement