Report Prepared by: Ken F. Elwin, PE, Director of Public Works
Title
SUBJECT: Reallocate Measure V Funding, Reconciling Gas Tax Funding, to Fund 022 Street Maintenance/Lighting for the FY 2017/2018 Budget
REPORT IN BRIEF
Considers reallocating Measure V funding, reconciling Gas Tax funding to Fund 022 Street Maintenance/Lighting Fund for street maintenance and transportation related projects.
RECOMMENDATION
City Council - Adopt a motion approving the reallocation of Measure V Funds, reconciling the Gas Tax Funds, and authorizing the Interim Finance Officer to make the necessary budget adjustments.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to modifications as conditioned by City Council; or,
3. Refer to staff for reconsideration of specific items; or,
4. Deny.
AUTHORITY
Article XI, Fiscal Administration of the Merced Municipal Code - At any meeting after the adoption of the budget the City Council may amend or supplement the budget by motion adopted by the affirmative votes of at least five members.
CITY COUNCIL PRIORITIES
Addresses City Council priority to utilize Measure V funding.
DISCUSSION
Road repair projects, including fixing potholes and repairing sidewalks, are administered through the Public Works Streets Department. The department is funded through a various revenue sources, including Gas Tax as a major component. Unfortunately, revenue from Gas Tax has been declining over the past few years, leaving the Streets Department with insufficient revenue to meet the City's street, lighting, and sidewalk maintenance needs.
With the passage of Measure V and Senate Bill 1 (SB1), two additional revenue sources are available to support road repair projects. Measure V, which voters approved in November 2016, created a 1/2 cent sales tax to provide funding for transportation projects. SB 1 approved in Spring of 2017 addresses basic road maintenance, rehabilitation, and safety projects and is known as the R...
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