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13. Highway, Safety, Traffic Reduction, Air Quality, and Port Securty Bond Act of 2006CUPERTINO PUBLIC WORKS DEPARTMENT Summary AGENDA ITEM 13 AGENDA DATE April 6, 2010 SUBJECT AND ISSUE Adopt a Resolution approving the City's plan to use California Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006 (Proposition 1B) funds available in 2009 -10 for maintenance projects in the City's Pavement Management program, and authorizing the City Manager to apply for, appropriate, and expend those funds, and take related actions. BACKGROUND In November 2006, California voters approved Proposition 1B, the Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006, (Prop 113) to provide $19.925 billion in bond funds for a variety of transportation priorities. These priorities include $2 billion for cities and counties to fund the maintenance and improvement of local transportation facilities. The 2009 Budget Act and Chapter 1, Statutes of 2009, appropriate a total of $700 million of these Prop I funds in 2009 -10. Of this amowrt, $260 million has been allocated to cities and $440 million to counties. The State Controller's Office (SCO) is responsible for determining the share that a city or county is allocated. The county shares are based on the number of registered vehicles and the number of miles of road in the county, while city shares are based on population. In order to receive these funds, a county or city must first approve and submit a plan for use of the amount of funds available in 2009 -10 to the Department of Finance (Finance), and Finance will notify the SCO which counties and cities have'met this reporting requirement. The City of Cupertino is eligible for a 2009 -10 allocation of approximately $820,000. The funds must be expended by June 30, 2013. Staff recommends that the City's plan to use -1:he Prop 1B funds designate that the 2609 -10 allocation be used for pavement maintenance projects in the Pavement Management portion of the City's Capital Improvement Program (CIP). Staff will make the appropriate CIP allocation recommendations. 13 -1 FISCAL IMPACT Adoption of the resolution will allow the City to receive and utilize the first installment of approximately $892,000.00 of Proposition 1B funds for pavement maintenance projects budgeted in the CIP Pavement Management Account Number 270 -9450. STAFF RECOMMENDATION Adopt a Resolution approving the City's plan to use California Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006 (Proposition 1B) funds available in 2009 -10 for maintenance projects in the City's Pavement Management program, and authori zing the City Manager to apply for, appropriate, and expend those funds, and take related actions, Resolution No. 10- 06 V, Submitted by: Approved for submission: Ralph A. Qualls, Jr. qDa W. Knapp Director of Public Works City Manager Attachment: A — Proposition 1 B Resolution 13 -2 Attachment A DRAFT RESOLUTION NO. 14- 0Xq A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CUPERTINO APPROVING THE CITY'S PLAN TO USE CALIFORNIA HIGHWAY SAFETY, TRAFFIC REDUCTION, AIR QUALITY, AND PORT SECURITY BOND ACT OF 2006 (PROPOSITION 1B) FUNDS AVAILABLE IN 2009 -10 FOR MAINTENANCE PROJECTS IN THE CITY'S PAVEMENT MANAGEMENT PROGRAM, AND AUTHORIZING THE CITY MANAGER TO APPLY FOR, APPROPRIATE, AND EXPEND THOSE FUNDS, AND TAKE RELATED ACTIONS WHEREAS, In November 2006, California voters approved Proposition 1B, the Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006, (Prop 113) to provide $19.925 billion in bond funds for a variety of transportation priorities. These priorities include $2 billion for cities and counties to fund the maintenance and improvement of local transportation facilities; and WHEREAS, The 2009 Budget Act and Chapter 1, Statutes of 2009, appropriate a total of $700 million of these Prop 1B funds in 2009 -10. Of this amount, $260 million has been allocated to cities and $440 million to counties; and WHEREAS, in order to receive these funds, a county or city must first approve and submit a plan for use of the amount of funds available in 2009 -10 to the Department of Finance (Finance). NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Cupertino hereby approves the City's plan to use Proposition 113 funds available in 2009 -10, attached hereto as Exhibit A and made a part hereof, and authorizes the City Manager to apply for, appropriate, and expend those funds, and take related actions. BE IT FURTHER RESOLVED that the City Manager, or the City Manager's designee, is authorized, on behalf of the City of Cupertino, to execute and submit all documents, payment requests, and related actions, as well as to accept and appropriate any additional funds received for the completion of the project. PASSED AND ADOPTED at a regular meeting of the City Council of the City of Cupertino this 6th day of April 2010 by the following vote: Vote Members of the City Council AYES: NOES: ABSENT: ABSTAIN: ATTEST: APPROVED: City Clerk Attachment: Exhibit A Mayor, City of Cupertino 13 -3 Resolution No. 10 -064 Exhibit A Total Prop 1B Funding to be Used for Local Maintenance Category $82057.15 13 -4