Coversheet


Agenda Item 3.2.3


TRANSPORTATION AGENCY FOR MONTEREY COUNTY *Memorandum*

To:	Board of Directors
From:	Madilyn Jacobsen, Transportation Planner
Meeting Date:	December 4, 2019
Subject:	Joint State Grant Application with Monterey-Salinas Transit

RECOMMENDED ACTION:
AUTHORIZE the Transportation Agency to be a joint applicant on a Transit and Intercity Rail Capital Program grant application supporting the Highway 1 Busway project.

SUMMARY:
According to the California State Transportation Agency, Monterey-Salinas Transit's application will be strengthened if the Transportation Agency can be a joint applicant. The funding requested is to support the construction phase of the project. The anticipated funding request will be approximately $25 million.

FINANCIAL IMPACT:

The Highway 1 Busway project is estimated to cost $40 million to construct, but this estimate may change as the project is further defined in the environmental review phase. Measure X funding in the amount of $15 million is available to the project, so at least another $25 million is needed to fully fund the project. If the application is successful, the funding will help fill the gap for the construction phase of the project. TAMC staff time for serving as a joint applicant on the grant application is available in the Agency's budget.

DISCUSSION:

The Highway 1 Busway project was recently re-branded by Monterey Salinas Transit as the Surf! Bus Rapid Transit project. The environmental and preliminary engineering phase kicked-off at the end of November 2019 and will be completed in 2021. Subject to authorization of the Measure X Funding Agreement (Item 3.2.2 in this agenda), these activities will be funded with Measure X revenue ($1,450,000) and a grant from the State of California’s Local Partnership Program ($100,000). Following the environmental and preliminary engineering will be the final design phase, expected to cost around $3.5 million, and last for 12-to-18 months. The construction phase is expected to begin in 2024 would cost upwards of $25 million, but more detailed cost estimates will be prepared as part of the pre-construction phases described above.

Measure X is funding a portion of the construction phase, but there is still a large funding gap to complete the project. TAMC and MST will submit a joint application to the State of California for approximately $25 million in Transit and Intercity Rail Capital Program funding.

This transit funding program was established through Senate Bill 2 to provide grants from the Greenhouse Gas Reduction Fund to transformative capital improvements that can significantly reduce emissions of greenhouse gases, vehicle miles traveled, and congestion. The program funding was further expanded in Senate Bill 1. Its objectives are to:

Reduce greenhouse gas emissions;
Expand and improve transit service to increase ridership;
Integrate the rail service of the state's various rail operations, including the high-speed rail system; and
Improve transit safety.

The Surf! Bus Rapid Transit project was identified in Measure X to provide a viable alternative to traffic congestion in the corridor, during commute hours. Project goals include reducing transit delays along Highway 1 and improving air quality.