REPORT TO COUNCIL
SUBJECT
Title
Adopt a Resolution of Local Support, Authorize the Filing of the Metropolitan Transportation Commission Housing Incentive Pool Funds Letter of Interest, and Authorize the City Manager to Execute all Grant-Related Documents for the Poplar Avenue Sidewalk Construction Project, the Sunnyvale Avenue/California Avenue Signal Upgrade Project and the Mary Avenue/Maude Avenue Signal Upgrade Project
Report
BACKGROUND
The Metropolitan Transportation Commission (MTC) is the metropolitan planning organization for the nine-county San Francisco Bay Area region, which includes Santa Clara County. The MTC administers the federally funded Housing Incentive Pool (HIP) funding which provides transportation grants to promote the production and preservation of affordable housing by rewarding the local agencies that produce the most housing units. Established by MTC in October 2018, the HIP includes $76 million in funding for transportation projects, including $58 million in flexible federal funds through the second round of the One Bay Area Grant program and $18 million in local funds available for project selection by MTC through a funding exchange.
On December 20, 2023, MTC revised Resolution No. 4348 (Attachment 1) to define the eligibility and programming guidelines for the distribution of $71 million in HIP grant funds remaining after the $5 million sub-HIP set-aside. The grant is on a per-unit basis to the 15 jurisdictions that issued certificates of occupancy for the greatest number of eligible housing units over the five calendar years 2018 through 2022, and Sunnyvale is one of the 15 jurisdictions. The eligible housing units include both newly built units and those preserved as affordable to households with low-, very-low- and moderate-incomes.
On February 26, 2020, MTC revised Resolution No. 4202 (Attachment 2) to clarify language within the federal funded One Bay Area Grant 2 (OBAG 2) Project Selection Criteria and Programming Policy to reflect the adoption of the HIP program guidelines pursuant to MTC Resolution No. 4348.
On March 27, 2024, MTC revised MTC Resolution No. 4202 (Attachment 2) to reflect the final HIP award amounts to the 15 jurisdictions; Sunnyvale’s allocation is $1,836,000.
In order to be eligible for this fund, MTC requires that local jurisdictions adopt a Resolution of Local Support (Attachment 3) to authorize the filing of the application for funding assigned to MTC and committing any necessary matching funds and stating assurance to complete the project. Project eligibility and requirements are included in MTC Resolution No. 4202.
Eligible agencies must also submit multiple project recommendations for MTC consideration, totaling between 120% to 200% of the jurisdiction’s HIP award to MTC by December 31, 2024. Sunnyvale is proposing three projects: the Poplar Avenue Sidewalk Construction Project, the Sunnyvale Avenue/California Avenue Signal Upgrade Project and the Mary Avenue/Maude Avenue Signal Upgrade Project. The requested HIP funds for all three proposals totals 200% of the available HIP funds, or $3.672 million. Since no one project will utilize the full Sunnyvale total funding, it is staff’s intention to recommend to MTC to award one full project request and one partial project request to obtain the full grant award amount.
EXISTING POLICY
Council Policy 7.1.5 Grants, Donations, Contributions and Sponsorships
• Policy Statement 2. The city manager may apply for grants of any dollar amount, but shall notify the Council when grants are being pursued pursuant to Council Policy 7.1.1 (Fiscal - Long Range Goals and Financial Policies), B.4. (Grants and Intergovernmental Assistance).
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” within the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(b)(4) as it is a funding mechanism for projects that will be appropriately reviewed under CEQA prior to approval.
DISCUSSION
Poplar Avenue Sidewalk Construction Project
The Active Transportation Plan (ATP) includes Safe Routes to School improvements for Peterson Middle School on Poplar Avenue south of El Camino Real. The ATP identified filling in the sidewalk gap, potentially consisting of a pedestrian path with delineators or implementation of a permanent sidewalk. At the February 25, 2021 Study Issue Workshop, City Council ranked this study issue number 2 for the Department of Public Works, the sidewalk study on Poplar Avenue between El Camino Real and Peterson Middle School (DPW 21-04). At the May 20, 2021 Budget Workshop, Council approved funding to conduct a feasibility study to look at how to implement permanent sidewalks. The study results were presented to and accepted by Council on May 23, 2023 (RTC No. 23-0067). The study results identified that the installation of sidewalk on the east side of Poplar Avenue is feasible, and also evaluated the viability of filling in the sidewalk gap on Bryant Way east of Poplar Avenue per the request of the Santa Clara Unified School District. See Attachment 4 to this report for the Project Location and approximate proposed sidewalk locations.
At the June 20, 2023 Council meeting (RTC No. 23-0241), Council adopted a resolution to authorize the filing of an application to the MTC for the allocation of Fiscal Year 2023/24 Transportation Development Act (TDA) Article 3 funding of $160,000 for the design phase of the installation of sidewalk on Poplar Avenue and Bryant Way to fill in the sidewalk gaps. At this same meeting, Council approved banking the remainder of the funding ($176,620) for the construction phase of this project.
The design phase is currently underway. The design includes installation of a 6-foot-wide sidewalk with a 4-foot park strip along the east side of Poplar Avenue from the existing sidewalk conform south of El Camino Real to Rosalia Avenue. The project will also install a 6-foot-wide sidewalk on the north and south sides of Bryant Way east of Poplar Avenue for approximately 150 feet to conform to existing sidewalks. The project will also include related utility work and green street infrastructure for stormwater treatment.
The construction phase of the project is not fully funded. At the June 4, 2024 City Council meeting (RTC No. 24-0614), City Council banked the allocation of Fiscal Year 2024/25 TDA Article 3 Funding of $411,038 (including $176,620 previously banked) for utilization during the construction phase of the Poplar Sidewalk Construction project. The current construction cost estimates are $1 million, so this amount is not enough to fully fund the construction phase. Staff recommends using the HIP funds, which can fully fund the construction phase of the project. Once constructed, the sidewalk gap closure on Poplar Avenue and Bryant Way will provide improved, connected, safe and convenient walking and biking access for students to and from Peterson Middle School.
The banked amount of $411,038 from Fiscal Year 2024/25 will be available for the City to file an application to the MTC for the Allocation of Fiscal Year 2025/26 TDA Article 3 in spring 2025. The amount can then be banked for larger projects or used for other bicycle and/or pedestrian related projects, to further the implementation of the ATP.
Sunnyvale Avenue/California Avenue Signal Upgrade Project
The traffic signal system at the intersection of Sunnyvale and California avenues has reached a point where some equipment has reached the end of their useful life, and some of the infrastructure is in poor condition. This project proposes to update the system.
The proposed improvements at this intersection include updating and replacing elements that are outdated such as the controller cabinet assembly, traffic signal poles, intersection safety lighting on traffic signal poles, traffic signal indication heads, vehicle and bicycle detection systems, signage, utility pull boxes, conduits and wiring. In addition, the project proposes to update the intersection to the latest Americans with Disabilities Act standards including accessible pedestrian indications, accessible and audible pedestrian push buttons, and updated directional curb ramps. Roadway striping will also be refreshed. The phasing of this traffic signal will also be updated to add protected left turn movements for all four approaches.
The design of five traffic signal system upgrade improvements were completed as part of the Capital Improvement Project (CIP) 832990 - Sunnyvale Traffic Signal Upgrades. Construction of three of the five locations was also completed as part of this CIP. The intersection of Sunnyvale and California avenues was not constructed due to lack of funding and increased construction costs. The other traffic signal location that was designed and not constructed as part of this project was Mary and Maude avenues, which is also being recommended for consideration for the HIP funding. This HIP funding request would fund updating the final design to adhere to current standards and to construct these improvements.
Mary Avenue/Maude Avenue Signal Upgrade Project
The traffic signal system at the intersection of Mary and Maude avenues has reached a point where some equipment has reached the end of its useful life, there some infrastructure in poor condition and this project proposes to update the system.
The proposed improvements at this intersection include updating and replacing elements that are outdated such as the controller cabinet assembly, traffic signal poles, intersection safety lighting on traffic signal poles, traffic signal indication heads, vehicle and bicycle detection systems, signage, utility pull boxes, conduits and wiring. In addition, the project proposes to update the intersection to the latest Americans with Disabilities Act standards including accessible pedestrian indications, accessible and audible pedestrian push buttons, and updated directional curb ramps. Roadway striping will also be updated to reflect latest standards including advance stop bars.
The design of five traffic signal system upgrade improvements were completed as part of the Capital Improvement Project (CIP) 832990 - Sunnyvale Traffic Signal Upgrades. Construction of three of the five locations was also completed as part of this CIP. The intersection of Mary and Maude avenues was designed, but not constructed due to lack of funding and increased construction costs. The other traffic signal location that was designed and not constructed as part of this project was Sunnyvale and California avenues, which is also being recommended for consideration for the HIP funding. This HIP funding request would fund updating the final design to adhere to current standards and to construct these improvements.
FISCAL IMPACT
Poplar Avenue Sidewalk Construction Project
There will be no fiscal impact related to the construction of the improvements. There is $160,000 appropriated under Project 836760 - Install Sidewalk on Poplar Avenue using Transportation Development Act (TDA) funds for the design phase of the project. The City is requesting $1,000,000 in HIP funds to fund the construction phase of the project. Although HIP funds have a local match requirement of 11.47%, the City is requesting an allocation of Toll Credits in lieu of local matching funds for the construction phase.
Sunnyvale Avenue/California Avenue Signal Upgrade Project
The project cost to update the final design and construct the project is $1.6 million. The City is requesting $1.336 million in HIP funds. HIP funds have a minimum local match requirement of 11.47%, or $184,000. Staff will return to Council with a budget modification to fund the local match using a reallocation of Gas Tax funds if the project is selected for HIP funding.
Mary Avenue/Maude Avenue Signal Upgrade Project
The project cost to update the final design and construct the project is $1.6 million. The City is requesting $1.336 million in HIP funds. HIP funds have a minimum local match requirement of 11.47%, or $184,000. Staff will return to Council with a budget modification to fund the local match using a reallocation of Gas Tax funds if the project is selected for HIP funding.
PUBLIC CONTACT
Public contact was made by posting the Council meeting agenda on the City's official-notice bulletin board at City Hall, at the Sunnyvale Public Library and in the Department of Public Safety Lobby. In addition, the agenda and this report are available at the NOVA Workforce Services reception desk located on the first floor of City Hall at 456 W. Olive Avenue (during normal business hours), and on the City's website.
RECOMMENDATION
Recommendation
Adopt a Resolution of Local Support, Authorize the Filing of the Metropolitan Transportation Commission Housing Incentive Pool Funds Letter of Interest, and Authorize the City Manager to Execute all Grant-Related Documents for the Poplar Avenue Sidewalk Construction Project, the Sunnyvale Avenue/California Avenue Signal Upgrade Project and the Mary Avenue/Maude Avenue Signal Upgrade Project.
Levine Act
LEVINE ACT
The Levine Act (Gov. Code Section 84308) prohibits city officials from participating in certain decisions regarding licenses, permits, and other entitlements for use if the official has received a campaign contribution of more than $250 from a party, participant, or agent of a party or participant in the previous 12 months. The Levine Act is intended to prevent financial influence on decisions that affect specific, identifiable persons or participants. For more information see the Fair Political Practices Commission website: www.fppc.ca.gov/learn/pay-to-play-limits-and-prohibitions.html
An “X” in the checklist below indicates that the action being considered falls under a Levine Act category or exemption:
SUBJECT TO THE LEVINE ACT
___ Land development entitlements
___ Other permit, license, or entitlement for use
___ Contract or franchise
EXEMPT FROM THE LEVINE ACT
___ Competitively bid contract*
___ Labor or personal employment contract
_X_ General policy and legislative actions
* "Competitively bid" means a contract that must be awarded to the lowest responsive and responsible bidder.
Staff
Prepared by: Lillian Tsang, Principal Transportation Planner
Reviewed by: Angela Obeso, Interim Transportation and Traffic Manager
Reviewed by: Dennis Jaw, Interim Director of Finance
Reviewed by: Chip Taylor, Director, Public Works
Reviewed by: Sarah Johnson-Rios, Assistant City Manager
Approved by: Tim Kirby, City Manager
ATTACHMENTS
1. MTC Resolution No. 4348, Revised
2. MTC Resolution No. 4202, Revised
3. Resolution for Local Support for the Poplar Avenue Sidewalk Project, the Sunnyvale Avenue/California Avenue Signal Upgrade Project and the Mary Avenue/Maude Avenue Signal Upgrade Project
4. Poplar Avenue Sidewalk Construction Project Location Map