HomeMy WebLinkAboutStaff Report 3.C 05/20/2019DATE: May 20, 2019
TO: Honorable Mayor and Members of the City Council through City Manager
FROM: Dan St. John, F.ASCE — Director, Public Works & Utilities
Jared Hall — Transit Manager
SUBJECT: Resolution Authorizing the Filing of an Application with the Metropolitan
Transportation Commission for Allocation of Transportation Development Act/
State Transit Assistance Funds for City of Petaluma Transit Services for FY 19/20
RECOMMENDATION
It is recommended that the City Council adopt the attached Resolution Authorizing the Filing of
an Application with the Metropolitan Transportation Commission for Allocation of
Transportation Development Act/State Transit Assistance Funds for City of Petaluma Transit
Services for Fiscal Year 19/20.
BACKGROUND
There are two major statewide sources of funding for the operation of local public transportation
in California: The Transportation Development Act (TDA) and the State Transit Assistance
(STA) Fund. The City of Petaluma is an eligible applicant for TDA and/or STA funds, pursuant
to Public Utilities Sections 99260, 99260(a) and 99400. TDA funds are generated by a statewide
1/4 -cent sales tax, and STA funds are generated through taxes on the sales of diesel fuel. Although
the County Treasury holds the revenues, the Metropolitan Transportation Commission (MTC), as
the Transportation Planning Agency for the region, has the responsibility for approving
applications authorizing usage of the funds and ensuring that they are used for eligible
expenditures. Upon approval of an application, MTC authorizes payment of a set amount to be
paid in installments or as funds become available. The TDA and STA programs require the
transit agency's governing bodies to adopt a resolution of support of the application as a
condition of applying for these annual funds. The City of Petaluma submits an application for
TDA/STA funds every spring for the upcoming fiscal year; City Council approved the most
recent TDA/STA application on July 18, 2018.
Total FY 19/20 TDA funds apportioned to the City have increased by an estimated 11 percent
from the prior year, from $2,835,657 to $3,152,102. In addition, due to Senate Bill 1 (SB 1), the
Road Repair and Accountability Act of 2017, STA funds available to the City have increased by
an estimated 28 percent, from $632,317 in FY 18/19 to $807,870 in FY 19/20. Beyond these two
largest sources of operating funds, Petaluma Transit also receives funding from the following
sources: local sales tax Measure M (the Sonoma County Traffic Relief Act passed in 2004),
passenger fares, and competitive grant programs at the regional and federal level. However,
TDA/STA makes up most of the funding needed to operate transit service, providing 70 percent
of operating funds in FY 18/19 and an estimated 74 percent in FY 19/20.
DISCUSSION
Petaluma's TDA apportionment for FY 19/20 is $3,152,102, based on the initial estimations
derived from state collections of TDA revenues and the annual SCTA coordinated claim of TDA
funding for Sonoma County Transit operators. Of that apportionment, $911,840, or 29 percent, is
diverted to Golden Gate Transit for regional transit services and $281,528, or 9 percent, is
directed to Sonoma County for intercity services, such as Routes 44 and 48 to Rohnert Park,
Sonoma State, and Santa Rosa, and intercity paratransit service. Payments to Golden Gate
Transit and Sonoma County Transit are drawn from the total, leaving Petaluma with an estimated
$1,958,734 of the available apportionment.
This year, Petaluma Transit is requesting $1,378,644 in TDA funds in its grant application:
$1,353,644 in operating funds and $25,000 in capital funds. The capital funds will support
ongoing bus stop improvements. The remaining funding available to Petaluma from its
apportionment not going directly towards FY 19/20 expenses will go into funding reserves.
The FY 19/20 coordinated claim will result in a $580,090 increase in Petaluma TDA reserve
funds. TDA reserve funds are funds apportioned to the City and held at the County level; these
funds are available for use by the City on request for operating or capital purposes. TDA reserves
at the end of FY 19/20 are projected at $2,042,865 for Petaluma, an increase from $1,889,294 in
FY 18/19. TDA reserves are normally used to fund the local match on large capital projects, and
to provide a cushion against future economic downturns. The City has a stated goal of reserving
at least a minimum of 50 percent of one year's TDA allocation in reserves, equaling a minimum
of $979,367 for FY 19/20.
In addition to the TDA apportionments, $807,870 in FY 19/20 STA funds will be requested.
The proposed action was reviewed under the California Environmental Quality Act (CEQA)
regarding potential environmental impacts. This activity is exempt from the requirements of
CEQA in accordance with section 15301, subdivision (b) of the CEQA Guidelines (Exhibit A). It
is recommended that Council approve the attached resolution to authorize staff to file an
application with the MTC for allocation of the TDA/STA funds for FY 19/20.
The proposed action meets the stated City Council Goal to: "Achieve fiscal stability and
maintain financial sustainability." This item was recommended for Council approval by the
Transit Advisory Committee at their May 2, 2019 meeting.
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FINANCIAL IMPACTS
The targeted funding of $2,186,514 ($1,378,644 from TDA and $807,870 from STA) is reflected
in the FY 19/20 Budget. The budget will increase the City's TDA funding reserve to $2,042,865.
Failure to submit a TDA/STA application would result in the City not receiving this funding and
not being able to increase its funding reserve to help safeguard against a future increase in costs
or potential drop in funding levels potentially resulting in reduced transit service throughout
Petaluma.
ATTACHMENTS
1. Resolution
2. Exhibit A to Resolution — Notice of Exemption
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Attachment 1
RESOLUTION AUTHORIZING THE FILING OF AN APPLICATION WITH
THE METROPOLITAN TRANSPORTATION COMMISSION FOR
ALLOCATION OF TRANSPORTATION DEVELOPMENT ACT/STATE
TRANSIT ASSISTANCE FUNDS FOR CITY OF PETALUMA
TRANSIT SERVICES FOR FISCAL YEAR 19/20
WHEREAS, the Transportation Development Act (TDA) (California Public Utilities
Code §99200 et seq.), provides for disbursement of funds from the Local Transportation Fund
(LTF) of the County of Sonoma for use by eligible applicants for the purpose of fixed route and
paratransit service; and
WHEREAS, pursuant to the provisions of the TDA, and pursuant to the applicable rules
and regulations hereunder (21 Cal. Code of Regs. §6600 et. seq.), a prospective applicant
wishing to receive an allocation from the LTF shall file its claim with the Metropolitan
Transportation Commission; and
WHEREAS, the State Transit Assistance (STA) fund is created pursuant to Public
Utilities Code, Section 99310 et seq.; and
WHEREAS, The Sonoma County Transportation Authority (SCTA) oversees an annual
coordinated claim of all eligible recipients of TDA and STA funding throughout Sonoma County
to finalize the allocation amounts for all recipient agencies.; and
WHEREAS, TDA and STA funds from the LTF for Sonoma County will be required by
the City of Petaluma in Fiscal Year 19/20 for fixed route and paratransit service; and
WHEREAS, The contemplated program activity consists of the operation, maintenance,
and/or minor alteration of existing public facilities, including facilities of publicly -owned utilities
used to provide public transit services, and involves negligible or no expansion of use beyond
that currently existing as of the time of the Council consideration and, accordingly, this project is
exempt from the requirements of CEQA in accordance with section 15301, subdivision (b) of the
CEQA Guidelines.; and
WHEREAS, the City of Petaluma is an eligible applicant for TDA and/or STA funds,
pursuant to Public Utilities Sections 99260, 99260(a) and 99400, as attested by the opinion of
counsel Exhibit A, attached.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Petaluma
as follows:
The above recitals are declared to be true and correct and are hereby made findings of
the City Council.
Gl
Staff is directed to transmit a copy of this signed Resolution to the Metropolitan
Transportation Commission, including the Opinion of Counsel attached to and made a
part of this Resolution as Exhibit A in conjunction with the filing of the claim; and
the Metropolitan Transportation Commission is requested to grant the allocation of
funds as specified in the claim.
Attachment 2
Exhibit A to Resolution
RETURN TO:
City of Petaluma
Petaluma Transit
555 N, McDowell Blvd.
Petaluma, CA 94954
NOTICE OF EXEMPTION
TO: Sonoma County Cleric
585 Fiscal Drive, Room 103
Santa Rosa, CA 95403
Proiect Title: 2019/20 Application for TDA/STA funding for Petaluma Transit
(fixed route and project service)
Proiect Applicant: City of Petaluma, Public Works Department, Transit Division
Proiect Location: Within city limits of Petaluma,. Sonoma County, CA.
Proiect Description: Application for continued funding of the existing fixed route and paratransit bus services
within the corporate limits of the City of Petaluma. The fixed route service has 30 to 75 -minute headways. The
paratransit service is on demand, with 24-hour notice, to the general public and those with disabilities, No
significant changes to existing routes or service are proposed.
EXEMPT STATUS: (CHECK ONE)
Statutory Exemptions
{Article 18:Section 21080; 15260}
[] Ministerial {Sec, 15268)
[ ] Feasibility/Planning Study (Sec. 15262)
[ ] Emergency Project {Sec.15269}
[ ] General Rule {Sec.15061(b)(3))
[ ] Other: Sec.
Categorical Exemptions
{Article 19:Section 21084; 15300}
[X] Existing Facilities {Sec.15301 }
[ ] Replacement or Reconstruction {Sec. 15302}
[ ] Small Structures {Sec. 15303)
[ ] Minor Alterations {Sec.15304)
[ ] Minor Subdivisions (See.15315}
Reasons why Proiect is exempt: Fixed route and paratransit bus services are currently provided within City
limits. The project is for funding to continue existing operation of the Petaluma bus service. There would be
negligible or no expansion of use beyond what currently exists. Bus services operate within existing rights of
way on fixed. routes. There are no environmentally sensitive areas and there are no cumulative impacts, unusual
circumstances or other factors that would make the exemption inapplicable. Therefore, this project is exempt
under Section 15301: An existing service with negligible or no expansion of existing use,
Lead Agencv: City of Petaluma, Public Works Department, Transit Division
555 N, McDowell Blvd., Petaluma, CA 94954
Denartment/Contact Person: Emily Betts, Senior Transit Specialist Phone (707) 776-3711
April 23, 2019
0 viarErvm, Enviro Te t6l Planner, Planning Division Date
Pursuant to Section 711.4(d)(2) of the Fish and Game Code, statutory and categorical exemptions are exempt fi•om Department of Fish
and Wildlife filing fees.
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