REPORT TO COUNCIL
SUBJECT
Title
Funding Agreement between the City of Sunnyvale and Google to Reimburse the City for the Planning, Development and Engineering Services Related to Google and City Transportation Projects
Report
BACKGROUND
On October 9, 2016, the City Council approved a contract (RTC15-1078) to implement a Citywide Automated Traffic Management System (ATMS). The ATMS project was initially implemented as a pilot project, and Google expressed interest in the City’s work and completed an independent analysis to measure the traffic improvements. Google recognized the benefits of the pilot project and ultimately decided to donate $250,000 toward permanent implementation of the technology. As part of that process, Google also expressed interest in other City transportation priorities, and scheduled regular meetings with staff to help facilitate those projects. During that process Google agreed to enter into an agreement with the City of Sunnyvale (Attachment 1) to fund two City staff positions for three years to assist with transportation related work.
Staff had presented this funding proposal to the City Council as part of the January 14, 2016 Council Strategic Session. Staff discussed the preliminary discussions with Google and the opportunity to fund additional staff to advance City priorities.
EXISTING POLICY
Pursuant to Council Policy 7.1.5 Grants, Donations, Contributions and Sponsorships, Council approval is required to accept donations exceeding $100,000.
Pursuant to Chapter 2.08 of the Municipal Code, Council approval is required for contracts greater than $100,000.
ENVIRONMENTAL REVIEW
The acceptance of a contribution does not constitute a “project” within the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(b)(5) in that it is a governmental organizational or administrative activity that will not result in direct or indirect changes in the environment.
DISCUSSION
The City has identified a number of transportation priorities, but due to staffing limitations, those projects have to be implemented over a number of years. Since the City’s existing transportation priorities would also benefit Google employees, Google has offered to fund two new positions in the Transportation Division, to help accelerate implementation of those projects. The funding would allow for a new Transportation Manager and a new Traffic Engineer, for a period of three years at a cost of $440,000 a year. The proposed positions would help facilitate a number of transportation priorities including, but not limited to the following:
• Implementation of new traffic management software and signal controllers throughout the City
• Fiber interconnect on the Mathilda and Sunnyvale-Saratoga corridor
• Update/Prioritize the Sunnyvale Bike Map, Safe Routes to School Plan, and Pedestrian Safety Plan
• Bike project implementation
• The Bernardo Pedestrian and Bicycle Undercrossing
• Reconstruction of 237/101/Mathilda interchange
• Caltrain grade separations
A key example of the benefits of the new positions is the Bernardo Undercrossing project. Under current staffing levels that project would not proceed until late 2017, however if the agreement is approved, the project is expected to start this calendar year.
In addition, as part of the agreement, the City and Google agree to the following items:
• City will process any Google transportation permits at no cost - A recent example of this is Google’s maintenance work on the Bay Trail.
• City will review Google non-transportation related permits (encroachment permit, development permit) to determine any level of fee credit that could be applicable. Some encroachment and/or development permits have transportation elements such as traffic control plans and signal design plans that could be covered with the two new positions.
• Google agrees that it doesn’t have priority over Google funded staff positions, or that the staff will be dedicated solely to Google transportation priority projects.
FISCAL IMPACT
The funding from Google is earmarked for a new Transportation Manager and a new Traffic Engineer, for three years, at a cost of $440,000 a year. As the funding is for FY 2016/17, staff will include the anticipated revenue and an appropriation in the FY 2016/17 Recommended Budget and Long Term Financial Plan for the General Fund for three years.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City's official-notice bulletin board outside City Hall, at the Sunnyvale Senior Center, Community Center and Department of Public Safety; and by making the agenda and report available at the Sunnyvale Public Library, the Office of the City Clerk and on the City's website.
RECOMMENDATION
Recommendation
Authorize the City Manager to Execute a Funding Agreement between the City of Sunnyvale and Google to Reimburse the City for the Planning, Development and Engineering Services Related to Google and City Transportation Projects.
Staff
Prepared by: Manuel Pineda, Director, Public Works
Reviewed by: Timothy J. Kirby, Acting Director of Finance
Reviewed by: Walter C. Rossmann, Assistant City Manager
Approved by: Deanna J. Santana, City Manager
ATTACHMENT
1. Draft Agreement