Staff Report.Hwy 9 Trailhead Connector Construction Funding Agreements
PREPARED BY: WooJae Kim
Town Engineer
Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, Finance Director, and Parks and
Public Works Director
110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 11/15/22 ITEM NO: 7
DATE: November 1, 2022
TO: Mayor and Town Council
FROM: Laurel Prevetti, Town Manager
SUBJECT: Los Gatos Creek Trail to Highway 9 Trailhead Connector (CIP No. 832-4505):
a. Authorize the Town Manager to Execute the 2016 Measure B Funding
Agreement with the Santa Clara Valley Transportation Authority to
Accept Grant Funding in the Amount of $693,500 for the Project
Construction; and
b. Authorize the Town Manager to Negotiate and Execute a Transportation
Fund for Clean Air Funding Agreement with the Santa Clara Valley
Transportation Authority to Accept Grant Funding in the Amount of
$755,921 for the Project Construction.
RECOMMENDATION:
Los Gatos Creek Trail to Highway 9 Trailhead Connector (CIP No. 832-4505):
a. Authorize the Town Manager to execute the 2016 Measure B funding agreement
(Attachment 1) with the Santa Clara Valley Transportation Authority (VTA) to accept grant
funding in the amount of $693,500 for the project construction; and
b. Authorize the Town Manager to negotiate and execute a Transportation Fund for Clean Air
funding agreement (Attachment 2) with VTA to accept grant funding in the amount of
$755,921 for the project construction.
BACKGROUND:
The adopted Fiscal Year (FY) 2022/23-2026/27 Capital Improvement Program (CIP) Budget
designates funding for Los Gatos Creek Trail to Highway 9 Trailhead Connector (CIP No. 832-
4505) to install bicycle and pedestrian connections between Highway 9 and the Los Gatos Creek
Trail. Proposed trail connections include the installation of a bicycle and pedestrian bridge
across Los Gatos Creek just south of the Highway 9 and a pedestrian switchback ramp on the
PAGE 2 OF 4 SUBJECT: Los Gatos Creek Trail to Highway 9 Trailhead Connector (CIP No. 832-4505) DATE: November 1, 2022
BACKGROUND (continued):
north side of Highway 9. The Town received $343,000 in One Bay Area Grant Cycle 2 (OBAG 2)
grant funds for the design phase and the design work started in October 2019. This project has
received long-standing support from the community, schools, Complete Streets and
Transportation Commission, and Town Council.
The Bicycle and Pedestrian Master Plan updated in 2020 identified the trailhead connector as
one of the “Connect Los Gatos” prioritized projects. Launched in 2019, Connect Los Gatos is a
program and branding of bicycle and pedestrian projects that promotes connectivity and
improvements to the multimodal network throughout the Town.
The preliminary project design was presented to the Complete Streets and Transportation
Commission and to the community in February of 2020. Both groups provided input and
support for the project. On March 3, 2020, the Town Council approved the preliminary design
and authorized staff to proceed with the final design.
DISCUSSION:
The project is close to fully funded at this time and sources include funds from the One Bay
Area Grant Program - Cycle 2 (OBAG 2), the Transportation Fund for Clean Air (TFCA) regional
grant, 2016 Measure B Funds, and commitment of up to $1 million of Town local funds as
approved by Council on March 1, 2022. The final distribution of funding will be presented to
Council for approval once finalized within the next two months.
Following is a summary of the grant funds for construction:
Grant Program Funding Amount
One Bay Area Grant Cycle 2 (OBAG 2) $3,351,000
2016 Measure B $693,500
Transportation Fund for Clean Air $755,921
Total $4,800,421
Subsequently, the Town’s FY 2022/23 Capital Budget included an allocation of Town General
Fund Appropriated Reserve (GFAR) funding in the amount of $928,687 to provide the balance
of construction budget needed and the local matching funds necessary for the proposed grants,
bringing the total construction budget to $5,728,687.
The project design and environmental clearances have been completed, and staff is currently
working with California Department of Transportation (Caltrans) to obtain the approvals and
permits necessary to allow the project to move forward to construction. Staff will be
PAGE 3 OF 4 SUBJECT: Los Gatos Creek Trail to Highway 9 Trailhead Connector (CIP No. 832-4505) DATE: November 1, 2022
DISCUSSION (continued):
presenting the final plans and specifications to the Town Council in the near future, following
the Caltrans approvals.
In order to obtain reimbursements for project construction costs for 2016 Measure B and TFCA
grant funds, the Town is required to enter into funding agreements for the two grant programs.
Attachment 1 is the funding agreement with VTA for 2016 Measure B. Attachment 2 is the
draft TFCA funding agreement for grant award, which was reviewed by staff but is not yet in
final form for execution.
CONCLUSION:
Staff recommends that the Town Council authorize the Town Manager to execute the Measure
B Funding Agreement as attached; and authorize the Town Manager to negotiate and execute
the TFCA Funding Agreement in substantial compliance with the attached draft agreement.
FISCAL IMPACT:
Staff costs are tracked for all projects. Tracking of staff costs allows for accountability in the
costs of the project, recovery of costs for grant funded projects, and identification of future
staffing needs. This project will utilize both full-time budgeted and part-time staff. The costs
for full-time staff are generally accounted for in the Department’s Operating Budget. Cost for
part-time staff costs incurred will be charged to the project or be reimbursed through one of
the grant programs as necessary.
PAGE 4 OF 4 SUBJECT: Los Gatos Creek Trail to Highway 9 Trailhead Connector (CIP No. 832-4505) DATE: November 1, 2022
FISCAL IMPACT (continued):
Los Gatos Creek Trail to Highway 9 Trailhead Connector
CIP No. 832-4505
Budget Costs
OBAG 2 Grant (2017) $343,000
GFAR (Design Phase) $330,440
OBAG 2 Grant (2022) $3,351,000
2016 Measure B $693,500
TFCA Grant Funds $755,921
GFAR (Construction Phase) $928,687
Total Budget $6,402,548
Potential Additional Funding
Potential Adjustment from Available
Traffic Impact Mitigation Fund $ 64,689
Total Budget with Potential Adjustment $ 6,467,237
Mott MacDonald - Design $576,747
Part-Time Staff Cost (Design Phase) $90,000
Other Expenditures (Advertising) $490
Construction $5,800,000
Total Expenditures $6,467,237
Remaining Budget $0
ENVIRONMENTAL ASSESSMENT:
The funding action is not a project defined under CEQA, and no further action is required. This
project has completed environmental studies and the CEQA/NEPA clearances have been
obtained.
Attachments:
1. 2016 Measure B Funding Agreement
2. Draft TFCA Funding Agreement