HomeMy WebLinkAboutE.9 - Staff Report - FY 24-25 Measure R for Roadway Maint CONSENT ITEM
E-9
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
VIA: SERGIO GONZALEZ, CITY MANAGER
FROM: ROBERT DELGADILLO, P.E., DIRECTOR OF PUBLIC WORKS/ CITY ENGINEER
DATE: SEPTEMBER 15, 2025
SUBJECT: AUTHORIZE THE USE OF METROPOLITAN TRANSPORTATION AUTHORITY
MEASURE R AND SEWER FUNDS TO SUPPLEMENT THE ROADWAY
MAINTENANCE FUND
BACKGROUND:
Los Angeles County Metropolitan Transportation Authority Measure R Local Return fund is a one-half
cent sales tax measure approved by Los Angeles County voters in 2008 to finance a countywide transit
development program. As a condition of voter approval, 15 percent of Measure R revenues are
earmarked for Local Return Programs to be used by cities and the County of Los Angeles in developing
and/or improving local public transit and transportation infrastructure such as street resurfacing,
rehabilitation/reconstruction, pothole repair, traffic signals, bikeways, and pedestrian improvements.
RECOMMENDATION:
Staff recommends the City Council take the following action:
1)Authorize the use of the Metropolitan Transportation Authority Measure R Funds in the amount
of $400,000, and the use of the Sewer Funds in the amount of $105,000 to supplement the
increased operational costs in the Public Works Department’s Roadway Maintenance (Gas Tax)
Fund for Fiscal Year 2024-2025.
ANALYSIS:
The Los Angeles County Measure R sets aside 15 percent of revenues to be used by cities and the
County of Los Angeles in developing or improving local public transit and transportation infrastructure,
such as streets, traffic signals, sidewalks, and other pedestrian improvements.
The Public Works Department’s Street Maintenance Division is primarily funded by the Roadway
Maintenance funds. Over the past fiscal year, the department has experienced an increase in operational
costs due to several factors, including rising material and equipment costs, increased utility expenses,
APPROVED
CITY COUNCIL
9/15/2025
Authorize Use of MTA Measure R and Sewer Funds to Supplement Roadway Maintenance Fund
September 15, 2025
Page 2
and incidents involving traffic signals, in addition to experiencing lower allocations of Gas Tax funds.
Fortunately, Measure R funds can be used to cover these operational costs and help address the budget
shortfalls for the Street Maintenance Division.
Going forward, staff will work to adjust the budget using alternate funds including Measure R,
Transportation Development Act Article 3 (TDA 3), and Sewer funds to supplement the Roadway
Maintenance operations budget to address the rising costs. The use of the special revenues will have no
impact on the General Fund.
FISCAL IMPACT:
The recommended actions authorize staff the use of Measure R Funds in the amount not to exceed
$400,000 and Sewer Funds in the amount not to exceed $105,000 to supplement the Public Works
Department’s Roadway Maintenance Fund for fiscal year 2024-2025. Upon Council approval, staff will
prepare a budget amendment and increase the Fiscal Year 2024-25 Transfer Out budget by $400,000
under Measure R Fund account number 03-55-661-000-5950, Transfer Out budget of $105,000 under
Sewer Fund account number 34-55-665-000-5950, and Transfer To budget of $505,000 under Roadway
Maintenance/Gas Tax Fund account 12-55-661-000-5940. There is no fiscal impact to the General Fund,
and there are available Measure R and Sewer Funds with the proposed recommendation.
Prepared by: Reviewed by:
Natalie Reagan Robert Delgadillo, P.E.
Senior Management Analyst Director of Public Works/ City Engineer
Reviewed and Approved:
Sergio Gonzalez
City Manager