SR 01-12-2016 3K
City Council
Report
City Council Regular Meeting: January 12, 2016
Agenda Item: 3.K
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To: Mayor and City Council
From: Edward King, Director, Big Blue Bus, Transit Finance & Grants Division
Subject: Adopt a Resolution for the Low Carbon Transit Operations Program
Recommended Action
Staff recommends that the City Council adopt the attached resolution for the Low
Carbon Transit Operations Program that was created to provide operating and capital
assistance for transit agencies to reduce greenhouse gas emissions and improve
mobility.
Executive Summary
The Low Carbon Transit Operations Program (LCTOP) is one of several programs that
are part of the Transit, Affordable Housing, and Sustainable Communities Program
established by the California Legislature in 2014 via Senate Bill 862. LCTOP was
created to provide operating and capital assistance for transit agencies to reduce
greenhouse gas emissions and improve mobility, with a priority on serving
disadvantaged communities. As a requirement to qualify and receive funding through
LCTOP, a City Council resolution authorizing the City Manager to execute the required
documents for funding must be submitted.
Discussion
SB 862 (2014) established the LCTOP as a formulaic program instead of a state-level
competitive program. The LCTOP uses the existing State Transit Assistance (STA)
Fund formula to distribute $75 million statewide. The STA formula has two
components, a population share and a revenue share. Metro receives all of the
population share, while the revenue share is divided among the Los Angeles County
Municipal Operators and Metro. The California Department of Transportation (Caltrans)
is responsible for ensuring that the statutory requirements of the program are met in
terms of eligibility, greenhouse gas reduction, disadvantaged community benefit, and
other requirements of law.
The LCTOP Guidelines describe the process that transit agency recipients must follow
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to qualify and receive a share of the fund. The intent of the program is to provide
operating and capital assistance for transit agencies to reduce greenhouse gas
emissions and improve mobility for the California public with a priority placed on serving
disadvantaged communities. LCTOP is an ongoing funding source for Big Blue Bus.
Big Blue Bus is eligible for $387,000 from the LCTOP Program which would be used for
operating revenue service hours, vehicle maintenance expenditures and operating
employee salaries. To qualify for funding, a resolution, certification and assurances, a
project description and allocation request form must be submitted. The resolution would
authorize the City Manager to execute the required documents for funding.
Financial Impacts and Budget Actions
There is no immediate financial impact or budget action necessary as a result of the
recommended action. Staff will return to Council if specific budget actions are required
in the future. Staff anticipates receiving approximately $387,000 annually from the
LCTOP, which would be used to cover operating expenses. Revenue changes will be
included in the FY 2015-16 Midyear Budget for Council approval.
Prepared By: Enny Chung, Sr. Admin Analyst - Grants
Approved
Forwarded to Council
Attachments:
A. LCTOP Resolution_1.12.16
Reference:
Resolution No.
10929
(CCS)