Title
Authorization to Apply for and Accept Federal Funding for U.S. Department of Transportation 'Better Utilizing Investments to Leverage Development' Grant Opportunity 2020 (Ordinance S-46531)
Description
Request to authorize the City Manager, or his designee, to apply for, accept, and if awarded, enter into agreements for disbursement of federal transportation funding for the U.S. Department of Transportation's 'Better Utilizing Investments to Leverage Development' (BUILD) grant opportunity for an amount not to exceed $25 million. The City's local match would be a minimum of 20 percent, which would be $5 million of the total project construction cost if the maximum award is requested and awarded. However, to be competitive at a national level for the BUILD grant, it is not uncommon for local matches to be up to 30 percent, or up to $7.5 million, if the maximum award is requested and awarded. Further request to authorize the City Treasurer to accept, and the City Controller to disburse, the funds, if awarded.
Report
Summary
The U.S. Department of Transportation issued a Notice of Funding Opportunity on Feb. 18, 2020, for $1 billion in surface transportation grants provided by the fiscal year (FY) 2020 Appropriations Act for National Infrastructure Investments. The FY 2020 BUILD Transportation Grant's appropriation, which stems from the American Recovery and Reinvestment Act, offers an opportunity to leverage City funds for transportation projects. Funds for the grant are to be awarded on a competitive basis for surface transportation infrastructure projects that will have a significant local or regional impact. The BUILD grant specifies that grants may not be less than $5 million or greater than $25 million.
Street Transportation staff is collaborating on a grant submittal that will outline improvements along 35th Avenue, a regional corridor, and the project improvements would emphasize creating a safer street with a focus on improving pedestrian safety and creating safe crossings for all modal users including cars, bicyclists, pedestrians, and transit users. In addition, the City's application will include innovative technologies that will improve signal timing and level of service for vehicles. Staff is utilizing the BUILD grant evaluation and rating criteria to ensure the City's competitiveness in its application. BUILD grant submittals are due on May 18, 2020.
Financial Impact
If selected, the BUILD grant will fund up to 80 percent of the total construction cost. The Street Transportation Department intends to submit a grant application for up to $25 million that includes design, environmental and construction costs related to this project. Staff recommends the City provide a competitive 30 percent total project cost match, up to $7.5 million, which is available in the Street Transportation Department's Capital Improvement Program budget.
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the Street Transportation Department.