City of Palo Alto

Report Type: Consent Calendar

(ID # 2332)

City Council Staff Report

Summary Title: Rescind Cal Ave. Resolution Title: Rescission of Prior Approvals of Resolution, Negative Declaration, and Capital Improvements Program Project Funding for California Avenue Transit Hub Corridor Improvements Project From: City Manager Lead Department: Planning and Community Environment
Recommendation Staff recommends that the City Council declare void the following prior Council actions: 1) Resolution No. 9118, adopted on December 6, 2010, accepting a grant from the Valley Transportation Authority (VTA) to design and construct the California Avenue Transit-Hub Corridor Improvements Project; 2) Approval of a Negative Declaration for the California Avenue Transit-Hub Corridor Improvements Project, adopted on February 14, 2011; and 3) Establishment of a Capital Improvements Program project funding the California Avenue Transit Hub Corridor Improvements Project, approved on February 14, 2011. Background On October 4, 2010, the City submitted a Capital Grant Application to the Valley Transportation Authority (VTA) for approximately $1.15 million to design and construct the California Avenue Transit Hub Corridor Improvements Project. The City was awarded the application by VTA and, on December 6, 2010, the City Council adopted Resolution No. 9118 (Attachment B), agreeing to accept the grant and complete the conceptual project described in the application. The City subsequently completed and circulated for public review a proposed Negative Declaration, pursuant to the California Environmental Quality Act (CEQA). On February 14, 2011, following a positive recommendation from the Planning and Transportation Commission, the Council adopted the Negative Declaration and established a Capital Improvements Program (CIP) project, funding the entire $1.7 million cost of the project. Litigation The Citys action was challenged in Superior Court by petitioners Joy Ogawa, Terry Shuchat, Jack Morton and Antonios Nuthouse. The petitioners argued that the environmental review was untimely and inadequate, that the Citys Comprehensive Plan was violated, and that State Open
November 21, 2011 (ID # 2332) Page 1 of 2

Meetings provisions were not followed. On October 7, 2011, a hearing regarding the matter was conducted by the Honorable Patricia M. Lucas. An Order from the court was filed on November 9, 2011, and the City received the determination on November 14, 2011 (Attachment A). The Court found that the Citys compliance with CEQA (adoption of the Negative Declaration) on February 14, 2011 should have preceded the adoption of Resolution No. 9118 on December 6, 2010. The Court did not find the CEQA analysis deficient and denied the petitioners claims regarding the Comprehensive Plan and the Open Meetings provisions. The remedy specified by the Court (page 9) is that the City must declare void that Resolution, as well as its later February 14, 2011 approval of the Negative Declaration and CIP funding for the project, and must reconsider those decisions after appropriate CEQA review. Discussion Staff believes that the deficiency is a procedural one that can be readily addressed. The recommended action is for the Council to rescind, as prescribed by the Court, the adoption of Resolution No. 9118 on December 6, 2010, the approval of the Negative Declaration on February 14, 2011, and the establishment of the CIP funding, also approved on February 14, 2011. Staff will schedule reconsideration of these items for an upcoming Council meeting and will then provide that information to the Court. Staff believes that the rescission of the prior actions and reconsideration of the Negative Declaration, Resolution and Capital Improvement Program will be sufficient to respond to the Courts direction.

Attachments: Attachment A: Court Order re: California Avenue Litigation (PDF) Attachment B: Resolution No_9118 re: Grant for California Avenue Transit Hub Corridor Improvements Project (PDF)

Prepared By: Department Head: City Manager Approval:

Curtis Williams, Director Curtis Williams, Director James Keene, City Manager

November 21, 2011 (ID # 2332)

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Resolution No. 9118 Resolution of the Council of the City of Palo Alto Authorizing the Filing of an Application for Federal Surface Transportation Program (STP) and/or Congestion Mitigation and Air Quality Improvement (CMAQ) Funding for the California Avenue Transit Hub Corridor Project and Committing the Necessary Non-Federal Match and Stating the Assurance to Complete the Project

WHEREAS, the City of Palo Alto (herein referred to as CITY) is submitting an application to the Metropolitan Transportation Commission (MTC) for $1,175,200 in funding from the federal Surface Transportation Program (STP) and/or Congestion Mitigation and Air Quality Improvement (CMAQ) program for the California Avenue - Transit Hub Corridor Improvements (herein referred to as PROJECT) for the MTC Resolution, No. 3925, New Federal Surface Transportation Act (FY 2009-10, FY 2010-11 and FY 2011-12) Cycle 1 STP/CMAQ Program: Project Selection Criteria, Policy, Procedures and Programming (herein referred to as PROGRAM); and WHEREAS, the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA) (Public Law 109-59, August 10, 2005) continued the Surface Transportation Program (23 U.S.C. 133) and the Congestion Mitigation and Air Quality Improvement Program (CMAQ) (23 U.S.C. 149) through September 30, 2009; and WHEREAS, SAFETEA has been extended pursuant to Public Law 11-118 and may be subsequently extended pending enactment of successor legislation for continued funding; and WHEREAS, pursuant to SAFETEA, and the regulations promulgated thereunder, eligible project sponsors wishing to receive federal Surface Transportation Program and/or Congestion Mitigation and Air Quality Improvement Program (STP/CMAQ) funds for a project shall submit an application first with the appropriate Metropolitan Planning Organization (MPO), for review and inclusion in the MPO's Transportation Improvement Program (TIP); and WHEREAS, the Metropolitan Transportation Commission (MTC) is the MPO for the nine counties of the San Francisco Bay region; and WHEREAS, MTC has adopted a Regional Project Funding Delivery Policy (MTC Resolution No. 3606, revised) that sets out procedures governing the application and use of STP/CMAQ funds; and WHEREAS, CITY is an eligible project sponsor for STP/CMAQ funds; and WHEREAS, as part of the application for STP/CMAQ funding, MTC requires a resolution adopted by the responsible implementing agency stating the following:

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1)
2)

3) 4) 5)

A commitment of necessary local matching funds of at least 11.47%; and The sponsor understands that the STP/CMAQ funding is fixed at the programmed amount, and therefore any cost increase cannot be expected to be funded with additional STP/CMAQ funds; and The project will comply with the procedures specified in Regional Project Funding Delivery Policy (MTC Resolution No. 3606, revised); and The assurance of the sponsor to complete the project as described in the application, and if approved, as included in MTC's TIP; and That the project will comply with all the project-specific requirements as set forth in the PROGRAM.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palo Alto as follows: SECTION 1. The officers of the CITY are authorized to execute and file an application for funding for the PROJECT under the Surface Transportation Program (STP) and Congestion Mitigation and Air Quality Improvement Program (CMAQ) of SAFETEA, any extensions of SAFETEA or any successor legislation for continued funding. SECTION 2. The CITY by adopting this resolution does hereby state that:
1. CITY will provide $550,000 in non-federal matching funds; and 2. CITY understands that the STP/CMAQ funding for the project is fixed at the MTC approved programmed amount, and that any cost increases must be funded by the CITY from other funds, and that CITY does not expect any cost increases to be funded with additional STP/CMAQ funding; and 3. Applicant understands that $(N/A) is greater than the Applicant's (STP/CMAQ Amount) Regional Local Streets & Roads formula share of Local Streets & Roads programming, and that the Applicant will forgo future programming shares until the amount of the overage $(N/A) is reached. (This requirement does not apply to CITY, only to applicants who received an "augmentation" greater than $100,000 in the Local Streets & Roads program only) 4. CITY understands the funding deadlines associated with these funds and will comply with the provisions and requirements of the Regional Project Funding Delivery Policy (MTC Resolution No. 3606, as revised); and 5. PROJECT will be implemented as described in the complete application and in this resolution and, if approved, for the amount programmed in the MTC federal TIP; and 6. CITY and the PROJECT will comply with the requirements as set forth in the program; and

SECTION 3. CITY is an eligible sponsor of STP/CMAQ funded projects. SECTION 4. CITY is authorized to submit an application for STP/CMAQ funds for the PROJECT. SECTION 5. There is no legal impediment to CITY making applications for the funds.

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SECTION 6. There is no pending or threatened litigation that might in any way adversely affect the proposed PROJECT, or the ability of CITY to deliver such PROJECT. SECTION 7. The CITY authorizes its City Manager or designee to execute and file an application with MTC for STP/CMAQ funding for the PROJECT as referenced in this resolution. SECTION 8. That a copy of this resolution will be transmitted to the MTC in conjunction with the filing of the application. SECTION 9. MTC is requested to support the application for the PROJECT described in the resolution and to include the PROJECT, if approved, in MTC's TIP. SECTION 10. The Council finds that this resolution is not a project under the California Environmental Quality Act and, therefore, no environmental impact assessment is necessary. INTRODUCED AND PASSED: December 6, 2010 AYES: BURt, ESPINOSA, HOLMAN, KLEIN, PRICE, SCHARFF, SCHMID, SHEPHERD,YEH

NOES: ABSENT: ABSTENTIONS:

MaYOr
APPROVED AS TO FORM:

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