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sr-051209-1oc7_ ~;,YO, City Council Report Santa Monica" City. Council Meeting: May 12, 2009 Agenda Item:~Q To: From Mayor and City Council Stephanie Negriff, Director of Transit Services Subject: Request to Authorize Transportation Projects Accountable, Flexible, Users (SAFETEA-LU) Support Recommended Action the City Manager to Submit an Application for Under the Upcoming Reauthorization of the Safe, Efficient Transportation Equity Act: A Legacy for and to Direct Staff to Prepare Mayoral Letter of Staff recommends that the City Council authorize the City Manager to submit an application for Small Starts Authorization for the Downtown Santa Monica Streetcar Project .and prepare a Mayoral letter of support for the project pursuant to the reauthorization of the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users. Executive Summary Congress is in the process of reauthorizing federal highway and transit funding legislation and there is an opportunity to submit projects for consideration. City staff is proposing to submit an application for Small Starts authorization for project development of a downtown streetcar project. This application requests authorization to move forward with development of the streetcar project once an Alternatives Analysis is completed, and does.not request funding at this time. This project is in addition to the three applications approved by the City Council at its April 28,.2009 meeting which included a request to complete an alternatives analysis on the streetcar project. Background SAFETEA-LU was adopted in 2005 and sets priorities for the allocation of highway and transit funding for a five year period. Congress is currently in the process of enacting a new bill as the current Act expires on September 30, 2009. It is anticipated that this reauthorization will cover a 4 to 6 year period. Small Starts is a federal capital investment program category for projects requesting Section 5309 funding of less than $75,000,000 with a total project cost of less than $250,000,000. The program was created to have a simplified process for smaller capital projects including bus rapid transit, streetcar, commuter rail, and other fixed guideway projects. Discussion Staff seeks authorization for another SAFETEA-LU application in addition to the three applications which were approved at the April 28, 2009 City Council meeting. One of the applications approved was a request to ask for $400,000 in Federal Funding to prepare the Downtown Santa Monica Streetcar Alternatives Analysis. This additional request asks for Small Starts authorization for project development of the streetcar project.`The application only asks for project authorization at this time and does not include a request for funding. If Small Starts Authorization is not granted now during SAFETEA-LU reauthorization, then it will not be available again until the next reauthorization period in four to six years. If the Alternatives Analysis is completed in 2013 and Small Starts authorization is not awarded now, the project will have to wait until the next SAFETEA-LU reauthorization to receive approval to move forward. Project development would not be started until an Alternatives Analysis of the project is completed. Project development allows all preliminary engineering and final design work to be combined into one phase. The Small Starts process allows for these phases to be completed together. Small Starts Authorization will also permit the City to ask for funding to pay for projecf development costs if the Council wishes to proceed with the project following the initial feasibility study. 2 Financial Impacts & Budget Actions The recommendation in this staff report has no budgetary impact as it only asks for project authorization. If the Council decides to move forward into project development on the streetcar project after the alternatives analysis is completed, a budget action would be required to authorize the committal of local funds as part of the Small Starts matching requirements. County or state funds could be sought to fulfill this request. Prepared by: David Feinberg, Deputy Director of Transit Services Approved: St p anie Negriff Di e for of Transit Services Forwarded to Council: f/ /lam P. r ont Ewell City Manager 3