REPORT TO THE CITY COUNCIL
June 13, 2019
FROM: SCOTT L. MOZIER, PE, Director
Public Works Department
THROUGH: Randall W. Morrison, PE, Assistant Director
Public Works Department
BY: SHELBY D. MACNAB, MPA, Grants Administrator
Public Works Department
SUBJECT
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RESOLUTION - Authorizing the submission of a grant application for $10,540,582 from the United States Department of Transportation’s (USDOT) Better Utilizing Investments to Leverage Development (BUILD) Program for the Veterans Boulevard Interchange, Extension and Grade Separation Project and Authorizing the Execution of All Grant Application Documents by the Public Works Director or Designee (Council District 2)
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RECOMMENDATIONS
Staff recommends that the City Council adopt a resolution authorizing the submission of a grant application for $10,540,582 from the USDOT BUILD Program and authorize the execution of all grant application documents by the Public Works Director or designee.
EXECUTIVE SUMMARY
Staff is requesting authorization to submit a BUILD Program grant application for $10.5 million to fund a portion of Phases Three and Four of the Veterans Boulevard project. Phase Three of the project will construct an interchange at State Route 99 and grade separation over the realigned Golden State Boulevard. Phase Four will extend Veterans Boulevard to connections with Herndon Avenue to the north and Shaw Avenue to the south. A project map is attached to this Staff Report.
BACKGROUND
Veterans Boulevard, originally referred to as the Herndon-Grantland Diagonal, was part of the 1984 General Plan and is a planned six-lane super arterial in the 2035 General Plan. The interchange concept was refined in 1986 with a feasibility study conducted to analyze potential interchange/grade separation configurations. In 1991, a Project Initiation Document was completed, and in 1996, the Official Plan Line for Veterans Boulevard was adopted by the Council. Veterans Boulevard and the proposed interchange with State Route 99 were identified as part of the Circulation Element in both the City and County General Plans. In recent years, staff has completed the Project Study Report (PSR), Project Report, Environmental Impact Report (EIR) and right of way acquisition. Construction documents are nearing completion.
The new interchange will be a partial cloverleaf connecting State Route 99 and Veterans Boulevard. The new overcrossing will have three northbound and three southbound lanes, a Class I bicycle lane pedestrian trail on the west side of the structure and Class II bicycle lanes on both sides of the structure. The project will also include three bridge structures, one to cross over State Route 99, one to cross over the future realigned Golden State Boulevard, and one to cross over existing Union Pacific Railroad tracks and the future High Speed Rail tracks.
On April 23, 2019, the U.S. Department of Transportation released a Notice of Funding Opportunity (NOFO) for the BUILD Program. This program was previously known as the Transportation Investment Generating Economic Recovery (or TIGER Discretionary Grants) Program. Funds for the Fiscal Year (FY) 2019 BUILD Program are to be awarded on a competitive basis for projects that score highly on selection criteria which includes: significant local or regional impact, safety, state of good repair, economic competitiveness, environmental sustainability, quality of life, innovation and partnership. An economic benefit cost analysis score will also be used to determine the anticipated return on investment of the project. BUILD funding can support roads, bridges, transit, rail, ports or intermodal transportation.
The Consolidated Appropriations Act of 2019 appropriated $900 million for National Infrastructure Investments, otherwise known as BUILD Transportation Discretionary grants, through September 30, 2021. For this round of BUILD Transportation grants, the maximum grant award is $25 million and the minimum award is $6.25 million. As specified in the FY 2019 Appropriations Act, no more than $90 million can be awarded to a single State. At least fifty percent (50%) of funds must be awarded to projects located in rural areas. Veterans Boulevard is located in an urban area as defined by the U.S. Census, which means that the total Federal share of the costs under a BUILD Transportation grant may not exceed eighty percent (80%).
BUILD grant applications are due on July 15, 2019. Projects awarded under the BUILD program must demonstrate the ability to request obligation for funding by September 30, 2021. A request for obligation demonstrates that environmental work is completed, right of way has been obtained, engineering plans are approved and the project is ready to move into the construction phase. Additionally, the project must begin construction quickly upon obligation of BUILD Transportation funds, and spend funds expeditiously once construction starts. All grant funds must be expended by September 30, 2026. The Veterans Boulevard project meets all of the minimum criteria set forth in the NOFO.
Funding was previously sought for Veterans Boulevard from the 2017 Federal Infrastructure for Rebuilding America Program (INFRA), the 2018 Competitive State Local Partnership Program and the 2018 BUILD Program. Unfortunately, those requests were not funded. Debrief meetings have been completed with each grantor to address areas for improvement for future rounds of funding. In March 2019, a second grant request for funding was submitted to the INFRA program. Two additional project phases were added to the INFRA application to increase competitiveness and meet the minimum funding request of $25 million. Results from that grant request are pending. Due to the highly competitive nature of Federal grant programs, staff requests approval to prepare and submit the BUILD application, in case an INFRA grant award is not received.
Based on the scoring criteria for the program, construction phasing schedules and the benefit cost analysis score, the total request from BUILD will be $10.5 million. This optimizes benefits, and ensures the project is well below funding thresholds for the State as a whole. The remaining funding for the project will come from a combination of local Measure C transportation taxes, local fees and State Transportation Improvement Program funds programmed for future fiscal years. This resolution will authorize the submission of a grant application to the BUILD Program, and authorize the execution of all application related documents by the Public Works Director or designee. The City Attorney’s office has reviewed and approved the resolution as to form.
ENVIRONMENTAL FINDINGS
A resolution applying for grant funding is not a project for the purposes of the California Environmental Quality Act.
LOCAL PREFERENCE
Local preference is not applicable because this resolution does not include a bid or award of a construction or services contract.
FISCAL IMPACT
This resolution will have no impact on the General Fund. Should the grant be awarded, local matching funds will be identified through future fiscal year capital budgets. Local matching funds will be sourced from transportation taxes, fees and grants at the Federal, State and local level and do not include general funds.
Attachments:
Resolution
Project Map