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HomeMy WebLinkAbout04 AB 2766 PROGRAM 01-06-97AGENDA DATE: JANUARY 6, 1996 NO. 4 · ~' 1-6-97 Inter-Com( TO: WILLIAM A. HUSTON, CITY MANAGER FROM: COMMUNITY DEVELOPMENT DEPARTMENT SUBJEOT: PROJECT FUNDING FOR THE MOTOR VEHICLE REGISTRATION SUBVENTION FUNDS (ASSEMBLY BILL 2766) PROGRAM RECOMMENDATION That the City Council: , Authorize the use of City AB 2766 funds for the Tustin Commuter Rail Station, Save Our Air Rideshare (SOAR), Compensation and Program costs, Thomas Brothers Software Program; and, , Authorize the City Manager to approve additional AB 2766 expenditures, consistent with Air Quality Management District guidance, throughout the 1996/97 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 1996/97 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, expenditure and carryover balances. BACKGROUND DISCUSSION On September 30, 1990, the State Legislature authorized the South Coast Air Quality Management District (SCAQMD) to impose an City Council Report Project Funding for AB 2766 Program January 6, 1996 Page 2 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 (approximately $14 million annually) is returned to local governments 'for local vehicle emission reduction programs. 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 · Vehicle conversion to propane FY 1992-93 · No programs funded FY 1993-94 Projects · Commuter Rail Station Partial funding of Airi Quality Element of the General Plan Personnel costs for administration FY 1994-95 Projects · Commuter Rail Station Personnel costs for administration Training/Save Our Air Rideshare (SOAR) Program incentives FY 1995-96 Projects · Commuter Rail Station Personnel costs for administration Training/SOAR Program incentives City Council Report Project Funding for AB 2766 Program January 6, 1996 Page 3 The Community Development and Public Works Departments are recommending the following eligible AB 2766 Program Allocations for Fiscal Year 1996-97: Commuter Rail Station $130,000 SOAR Compensation Pay $ 12,000 SOAR Program Costs $ 600 Thomas Brothers Software $ 500 $143,100 CITY OF TUSTIN SOAR PROGRAM In 1993 in response to the requirement to reduce mobile source emissions, the City's~ SOAR Rideshare Program was implemented. The administration of the SOAR program, Transportation Coordinator training costs and employee participant benefits/incentives, approximately $32,000 annually, has been funded from the City's AB 2766 allocation. Senate Bill 836, signed by Governor Wilson on September 27, 1996, amended Rule 2202 which required employers of 100 or more employees to implement measures to reduce mobile source emissions generated by employee commutes. Effective January 1, 1997, thresholds for compliance with Rule 2202 for employers was raised from 100 to 250 employees. The City of Tustin AB 2766 1996 Annual Report to the South Coast Air Quality Management District identifies that the City has less than 250 filled positions; therefore, Tustin's SOAR Rideshare Program and other mobile'source emission programs have been Suspended for an 18 month trial period (January 1, 1997 to June 30, 1998). The elimination of the SOAR Program will allow previously allocated AB 2766 funds to be reprogrammed to fund other eligible program expenses. PROPOSED FISCAL YEAR 1996-97 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 to be used as a portion of the costs of the commuter rail station. The rail station will require City Council Report Project Funding for AB 2766 Program January 6, 1996 Page 4 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, the Fiscal Year 1995-96 AB 2766 allocation was $65,000. This year staff is recommending that $130,000 of AB 2766 Fiscal Year 1996-97 turn-back funds and carryover balance be allocated to the Commuter Rail Funding Assistance. SOAR COMPENSATION PAY - Although the SOAR program will be eliminated during the 18 month trial period, some SOAR Program compensation· leave pay earned by employees is outstanding. Historically, wages and benefits for employees who participate in the program has be~n paid from the AB 2766 fund. The Finance Department estimated that unused SOAR leave compensation pay is $12,000. THOMAS BROS. SOFTWARE - The Community Development Department is requesting $500 for the purchase of a Thomas Brother Software program. The purchase of the Program is an eligible AB 2766 expense qualifying as an emission reduction measure. SOAR PROGRAM COSTS - Effective February 1, 1997 the SOAR program will be eliminated for the 18 month trial period. There are, however, certain program and SOAR related expenses that have oCcured during the period that the program was offered in Fiscal Year 1996-97. These expenses include certain program incentive costs. Rita Westfield ~l Assistant Director Director Attachment A: Project AB 2766 Fund Budget RW: br: kbm\AB2 7 6 6 fn. rw 0 0 0 0 0 0 0 OI 0 0 0 0 ~ 0 0 0 0 0 ~ID ~ 0 01 ,.~ .~o F, 5~ ~o ~ r~ ~ r~ 0