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HomeMy WebLinkAbout05 A.B. 2766 PROGRAM 10-04-99NO. 5 10-4-99 DATE: OCTOBER 4, t999 lnter-Com TO: FROM: SUBJECT: WILLIAM A. HUSTON, CITY MANAGER COMMUNITY DEVELOPMENT DEPARTMENT PROJECT FUNDING FOR THE MOTOR VEHICLE SUB',./ENT!ON FUNDS ./ASSEMBLY B!LL 2766~. PROGP_,~.M REGISTRATION SUMMARY: Each year the City Council is requested to authorize the use of the Cityes AB 2766funds to off-set costs for state mandated vehicle emission programs implemented by the City of Tustin. This year the City Council is being requested to allocate the Fiscal Year (FY) 1999/2000 AB 2766funds to the development of the Commuter Rail Station. RECOMMENDATION That the City Council: I . Authorize the use of City AB 2766 funds for the Tustin Commuter Rail Station; and, . Authorize the City Manager to approve additional AB 2766 expenditures, consistent with Air Quality Management District guidance, throughout the 1999/2000 program year as needed. FISCAL IMPACT AB 2766 turn-back funds are made available to local governments for use in offsetting state mandated vehicle emissions reduction programs. Tustin will receive approximately $72,000 for the 1999/2000 program year. The use of these funds reduces General Fund responsibility to fund emission reduction programs. Attachment "A" provides a summary of AB 2766 fund program activities, revenues, expenditures and carryover balances. BACKGROUND DISCUSSION On September 30, 1990, the State Legislature authorized the South Coast Air Quality Management District (SCAQMD) to impose an additional motor vehicle registration fee of two dollars ($2) per vehicle to finance the implementation of transportation measures embodied in the Air Quality Management Plan (AQMP) and provisions of the California Clean Air Act. Commencing Fiscal Year 1991-1992, subvention disbursements were made available to cities and agencies. Forty percent of the funds collected from the Department of Motor Vehicle registration fees are returned to local governments for local City Council Report Project Funding for AB 2766 Program October 4, 1999 Page 2 vehicle emission reduction programs. In the South Coast Air Basin, approximately $16 million was returned to local governments in fiscal year 1997-98. AB 2766 turn-back funds must be used solely to reduce pollUtion from motor vehicles and for related planning, monitoring, enforcement, and technical studies necessary for the implementation of state and regional clean air goals. PROGRAM AND BUDGET INFORMATION In past years, the City of Tustin has used AB 2766 funds to offset the costs associated with the following air emission reduction programs: FY 1991-92 Project FY 1992-93 Project FY 1993-94 Projects FY 1994-95 Projects FY 1995-96 Projects FY 1996-97 Projects FY 1997-98 Projects FY 1998-99 Projects Vehicle conversion to propane No programs funded Commuter Rail Station Partial funding of Air Quality Element of the General Plan Personnel costs for administration Commuter Rail Station Personnel costs for administration Training/Save Our Air Rideshare Program incentives (SOAR) Commuter Rail Station Personnel costs for administration Training/SOAR Program incentives Commuter Rail Station SOAR Program Costs SOAR Compensation Pay Computer Software Commuter Rail Station SOAR Compensation Pay Commuter Rail Station SOAR Compensation Pay City Council Report Project Funding for AB 2766 Program October 4, 1999 Page 3 PROPOSED FISCAL YEAR 1999-2000 PROGRAM ALLOCATIONS COMMUTER RAIL STATION FUNDING ASSISTANCE - Since 1992 the Community Development and Public Works Departments have been working on the site acquisition, funding, design, engineering and planning of the Tustin Commuter Rail Station. AB 2766 funds have been previously allocated by the City Council for the commuter rail station. The rail station will require additional monies and potential future use of AB 2766 funds for operation and maintenance. In Fiscal Years 1993-94 and 1994-95, the City Council allocated $40,000 annually in AB 2766 funds for the rail station. In Fiscal Years 1995-96, 1996-97, 1997-98 and 1998-99 the City Council allocated $65,000, $130,000, $97,084 and $113,215, respectively. As shown on Attachment A, the allocations in 1996-97, 1997-98 and 1998-99 included annual revenues, interest and carryover balances. Interest revenue has increased because commuter rail allocations have been set-aside and not expended. This year staff is recommending that the entire AB 2766 Fiscal Year 1999-2000 tum,back funds (estimated at $72,000) plus interest (estimated at $15,000) be allocated to the Commuter Rail Funding Assistance. Staff anticipates that approval of plans and specifications and authorization to publicly bid the construction of the commuter rail station will be brought before the City Council in November, 1999 with construction beginning in January 2000. F~a Westfield Assistant Director Attachment A: Project AB 2766 Fund Program Elizabeth A. Binsack Director of Community Development ccreports~ab2766fnrev99.doc z 0