REPORT TO THE CITY COUNCIL
September 1, 2016
FROM: SCOTT L. MOZIER, PE, Director
Public Works Department
THROUGH: ROBERT N. ANDERSEN, PE, Assistant Director
Public Works Department, Capital Management Division
BY: RANDY BELL, PE, Capital Program Manager
Public Works Department, Capital Management Division
SUBJECT
Title
Approve a Funding Agreement with the Fresno County Transportation Authority (FCTA) for $4,600,000 to advance to the City the necessary funds for expenses related to the Midtown Trail (Council Districts 4 and 7)
Body
RECOMMENDATION
It is recommended that the Council approve the attached Funding Agreement between the City of Fresno and the FCTA, in the form presented, up to the amount of $4,600,000 to cover expenses incurred by the City resulting from the design, bid and construction for the Midtown Trail, and authorize the Public Works Director or his designee to sign on behalf of the City.
EXECUTIVE SUMMARY
The City is planning to construct a 7.1-mile trail in the central portion of the City, known as the Midtown Trail. This trail project will extend from Manchester Center at Blackstone and Shields Avenues, following the Fresno Irrigation District (FID) canal system to the intersection of McKinley Avenue and Clovis Avenue, then continuing north to connect with the Clovis Old Town Trail to become part of a regional trail network. The Funding Agreement with the FCTA to advance $4.6 million in Measure "C" Trails funding will achieve the City’s goal of expediting the trail construction.
BACKGROUND
The City is developing a 7.1-mile trail that will eventually connect Manchester Center with the Clovis Old Town Trail. This trail is planned to run adjacent to Shields Avenue between Blackstone and First Street; along the Herndon Canal Bank between Shields and McKinley; adjacent to McKinley along the Mill Ditch between Millbrook and Clovis Avenue and along Clovis Avenue from McKinley to the Clovis Old Town Trail. Upon completion, this will complete a 17-mile trail system that will connect numerous destinations including schools, parks, Manchester Center and the Riverpark Shopping Center in north Fresno.
To develop this trail, it has been broken down into 5 segments, 3 of which are funded. The first segment to be completed is along Shields Avenue between Fresno and First Streets. This project is funded with Congestion Mitigation & Air Quality (CMAQ) funds and is currently under design. The City was recently awarded two additional CMAQ grants for the segments along the Herndon Canal and Clovis Avenue. This leaves two segments to be funded - the first is along Shields between Blackstone and Fresno Street and the second is along McKinley from Millbrook to Clovis Avenue. The Council authorized the City to apply for Active Transportation Program (ATP) grants for these remaining two segments, but the results are not scheduled to be announced until later this fall. Attached to the staff report is the Midtown Trail drawing that breaks down these segments.
Although the project could presumably be delivered over several years using a "pay-as-you-go" approach, the community would benefit tremendously from actually completing the trail loop and connecting a large segment of the community to this valuable alternative mode of transportation at the earliest possible date. To do this, the City requested an advance needed to fund the balance of project costs from the Fresno County Transportation Authority (FCTA), which is currently estimated to be $4.6 million.
On December 10, 2015, the Measure "C" Citizens Oversight Committee voted in favor of the Trails Initiative. On February 15, 2016, the Transportation Technical Committee and Policy Advisory Committee also voted in support of the Initiative. This was followed by support from the members of the Council of Government's Board on April 28, 2016, in a joint meeting with the Fresno County Regional Transportation Authority. On May 25, 2016, the FCTA Board voted to approve the advance by means of a loan to deliver the project.
The attached Funding Agreement sets forth the terms of the loan and requires the loan principal with interest to be paid in full by June 2021. The loan amount of $4.6 million is approximately four (4) years of Measure "C" Trail Subprogram funding from the City's anticipated annual allocation from fiscal years 2017/18 to 2020/21. This loan would borrow funding set aside in the Measure C Rail Consolidation Fund, and would be paid back in full with interest to ensure adequate funding is available for rail consolidation or grade separation projects. The loan will be repaid by having the FCTA withhold the City of Fresno Measure "C" Trails Funding Allocations for the four-year period between Fiscal Year 2017/18 and 2020/21.
Approval of the attached Funding Agreement does not constitute Council approval of the Midtown Trail project. Staff will return to Council for the selection of consultants; adoption of the associated California Environmental Quality Act (CEQA) documents; approval of right-of-way acquisition agreements, if needed; requests for appropriations and for award of construction contracts as required for the project.
The City Attorney’s Office has reviewed and approved to form the proposed agreement.
ENVIRONMENTAL FINDINGS
By the definition provided in the CEQA Guidelines, this item does not qualify and is therefore exempt from the CEQA requirements.
LOCAL PREFERENCE
Local preference was not considered because this item does not include a bid or award of a construction or services contract.
FISCAL IMPACT
Implementation of the staff recommendation will have no impact upon the City’s General Fund. This $9.5 million capital improvement project will be designed and constructed through Measure "C” and trail grant funding.
Attachments:
FCTA Agreement
Midtown Trail Drawing