Staff ReportPREPARED BY: MATT MORLEY
Director of Parks and Public Works
Reviewed by: Assistant Town Manager Town Attorney Finance
S:\COUNCIL REPORTS\2016\5-17-16\TDA\Staff Report - MTC Article 3 Funds FINAL.docx5/12/2016 9:57 AM SH
MEETING DATE: 05/17/16
ITEM NO: 3
COUNCIL AGENDA REPORT
DATE: MAY 6, 2016
TO: MAYOR AND TOWN COUNCIL
FROM: LAUREL PREVETTI, TOWN MANAGER
SUBJECT: METROPOLITAN TRANSPORTATION COMMISSION (MTC) TRANSPORTATION
DEVELOPMENT ACT ARTICLE 3 FUNDS
A. ADOPT A RESOLUTION AUTHORIZING THE TOWN MANAGER TO FILE
AN APPLICATION FOR 2016/17 METROPOLITAN TRANSPORTATION
COMMISSION (MTC) TRANSPORTATION DEVELOPMENT ACT ARTICLE
3 FUNDS IN THE AMOUNT OF $79,848 TO FUND A PORTION OF THE
BICYCLE AND PEDESTRIAN MASTER PLAN.
B. UPON APPROVAL OF TDA FUNDING, AUTHORIZE A BUDGET
ADJUSTMENT OF $7,348 (NEW TOTAL PROJECT FUNDING OF $127,348)
REPLACING TRAFFIC MITIGATION FEES FUNDING SOURCE OF $72,500
WITH NEW TDA FUNDING SOURCE OF $79,848.
RECOMMENDATION:
1. Adopt a resolution (Attachment 1) authorizing the Town Manager to file an application for 2016/17
Metropolitan Transportation Commission (MTC) Transportation Development Act (TDA) Article 3
funds in the amount of $79,848 to fund a portion of the Bicycle and Pedestrian Master Plan.
2. Upon approval of TDA funding, authorize a budget adjustment of $7,348 (new total project funding
of $127,348) replacing traffic mitigation fees funding source of $72,500 with new TDA funding
source of $79,848.
BACKGROUND:
The Santa Clara Valley Transportation Authority (VTA) issued a call for bicycle and pedestrian projects
on March 3, 2016 for the TDA Article 3 funding program. The deadline to submit project applications
to VTA was April 8, 2016 and staff submitted an application for funding of the Town’s Bicycle and
Pedestrian Master Plan. A resolution adopted by the Town Council supporting project submittals is due
to VTA on May 27, 2016. VTA staff will review the project proposals for eligibility, completeness, and
compliance. The resulting County-wide list of projects will be reviewed by the VTA Advisory
Committees before adoption by the Board of Directors in June. The County-wide list will be forwarded
to the MTC and MTC will issue funding allocations, which will reimburse costs retroactive to July 1,
2016.
PAGE 2
MAYOR AND TOWN COUNCIL
SUBJECT: 2016/17 METROPOLITAN TRANSPORTATION COMMISSION (MTC)
TRANSPORTATION DEVELOPMENT ACT ARTICLE 3 FUNDS
MAY 6, 2016
BACKGROUND (cont’d):
The Town is eligible for TDA funds that are calculated based on population. The Town has been given
a “guarantee” share of $79,848, which includes banked funds from previous years. The program allows
for the banking of funds across two program years, after which funds are lost. The base guarantee share
allocation is based on 2015 California Department of Finance population figures.
The MTC has a requirement that cities may not receive TDA Article 3 funds for bicycle projects unless
the jurisdiction has established a Bicycle Advisory Committee and the project is included in an adopted
plan. The funds are available for use to prepare a Bicycle and Pedestrian Master Plan.
DISCUSSION:
Staff has requested $79,848 from the Town’s guarantee share for the Bicycle and Pedestrian Master Plan
project. This project is already funded with grant funds and traffic impact mitigation funds. The use of
TDA funds will reimburse the Town’s Traffic Impact Mitigation Funds, the original source of $72,500
for this project, which can then be allocated for other projects in future years. The balance of the TDA
funds will be used to offset staff costs for the preparation of the Bicycle and Pedestrian Master Plan. By
offsetting the staff costs (which are budgeted in the General Fund) with grant funds, the operating
budget savings will be available for other uses or, if savings result at the end of the fiscal year, those
operating cost savings will carry into year end fund balance and ultimately into the General Fund
Allocated Reserve (GFAR) for future capital projects.
In previous years, the Town has had limited opportunities for use of TDA funds due to the requirement
of a Bicycle Advisory Committee and Bicycle Plan. With the completion of a Bicycle and Pedestrian
Master Plan, the Town will be able to apply for other uses in future years such as capital projects,
bicycle safety education programs, and restriping of lanes.
CONCLUSION:
Staff recommends that the Council adopt a resolution authorizing the Town Manager to file an
application for 2016/17 MTC TDA Article 3 funds in the amount of $79,848 to fund a portion of the
Bicycle and Pedestrian Master Plan and, upon approval of TDA funding, authorize a budget adjustment
of $7,348 (new total project funding of $127,348) replacing traffic mitigation fees funding source of
$72,500 with new TDA funding source of $79,848.
ENVIRONMENTAL ASSESSMENT:
This is not a project as defined under CEQA, and no further action is required.
FISCAL IMPACT:
On March 24, 2016 Council approved a budget adjustment of $120,000 to create a Capital Improvement
Project for the Bicycle and Pedestrian Master Plan, with a funding source and use as follows.
PAGE 3
MAYOR AND TOWN COUNCIL
SUBJECT: 2016/17 METROPOLITAN TRANSPORTATION COMMISSION (MTC)
TRANSPORTATION DEVELOPMENT ACT ARTICLE 3 FUNDS
MAY 6, 2016
FISCAL IMPACT (cont’d):
Source of Funds
County Health Department Grant $ 40,000
Monte Sereno Contribution 7,500
Traffic Impact Mitigation Fee Funds 72,500
Total Source of Funds $ 120,000
Use of Funds
Consultant Services Agreement $ 100,000
Consultant Services Contingency 10,000
Staff Project Management 10,000
Total Use of Funds $ 120,000
With the final approval of TDA Article 3 funds by the MTC, the Town Traffic Impact Mitigation Fee
funds can be replaced by the grant. These Traffic Impact Mitigation Fee funds will return to the fund
balance and can be reallocated to other projects at a later date. The proposed funding source and use is
below.
Source of Funds
County Health Department Grant $ 40,000
Monte Sereno Contribution 7,500
TDA Article 3 Funds 79,848
Total Source of Funds $ 127,348
Use of Funds
Consultant Services Agreement $ 100,000
Consultant Services Contingency 10,000
Staff Project Management 17,348
Total Use of Funds $ 127,348
Attachment:
1. Draft Resolution