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D. 6

To:	Board of Supervisors
From:	John Kopchik, Director, Conservation & Development Department
Date:	September 24, 2019

Contra

Costa

County

Subject:

Resolution Supporting a Countywide One-half of One Percent Sales Tax for Transportation Improvements, and Approving a Transportation Expenditure Plan

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 09/24/2019

APPROVED AS RECOMMENDED

OTHER

Clerks Notes:

VOTE OF SUPERVISORS

AYE:

John Gioia, District I Supervisor
Candace Andersen, District II Supervisor
Diane Burgis, District III Supervisor
Karen Mitchoff, District IV Supervisor
Federal D. Glover, District V Supervisor

Contact:

John Cunningham (925) 674-7833

I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown.
ATTESTED: September 24, 2019
David Twa,

BY:	, Deputy

RECOMMENDATION(S):

ADOPT Resolution No. 2019/574 supporting a Countywide one-half of one percent sales tax to fund transportation improvements in Contra Costa County, approving a transportation expenditure plan, and conditionally amending the Measure J growth management program.

FISCAL IMPACT:

No immediate impact. The recommendation addresses an outside agency's actions, and the subject sales tax must ultimately be approved through a countywide vote. If approved, approximately an additional $3.6 billion (current dollars) would be available for transportation projects and programs throughout the county. In the event the proposed Sales Tax/Transportation Expenditure Plan measure qualifies for the ballot, CCTA has committed to pay the cost to place the measure on the ballot (estimated to be $1.5 million).

BACKGROUND:

BACKGROUND: (CONT'D)

Transportation Expenditure Plan (TEP) Background

The Contra Costa Transportation Authority (Authority) is responsible for maintaining and improving Contra Costa County’s transportation system by planning, funding, and delivering critical transportation infrastructure projects and programs that connect communities, foster a strong economy, increase

sustainability, and safely and efficiently get people where they need to go. All nineteen cities in Contra Costa and the County itself are members of the Authority. Supervisors Federal Glover and Karen Mitchoff are the County's current representatives on the Authority's Board of Directors.

The Authority is proposing the imposition of a countywide one-half of one percent sales tax for transportation purposes for a period of 35 years starting July 1, 2020 through June 30, 2055. Over the past year, the Authority conducted consultations with local governments and outreach to a wide variety of interest groups and the public in order to develop a mix of projects and programs to be funded by the proposed sales tax. On August 28, 2019, the Authority released a proposed Transportation Expenditure Plan (TEP) to guide the use of the proposed sales tax revenues. The proposed TEP also includes a revised Growth Management Program (GMP), a new Complete Streets Policy, a new Road Traffic Safety Policy, a new Transit Policy, and a new Advance Mitigation Program to help the Authority achieve its goals to reduce future congestion, manage the impacts of growth, and expand alternatives to the single-occupant vehicle.

The Authority also adopted Ordinance 19-01 on August 28, 2019 to conditionally amend the GMP, which includes Attachment A: Principles of Agreement for Establishing the ULL in the Measure J TEP (Measure J TEP) to match that found in the 2020 TEP. This amendment would only apply if the one-half of one percent local transportation sales tax is placed on the ballot and successfully approved by the electors on the March 3, 2020 ballot.

Currently, transportation needs significantly exceed projected revenues. Over the next 35 years, Contra Costa County population will continue to grow, resulting in new demands on the transportation infrastructure and additional mobility needs. The new sales tax measure is needed to keep Contra Costa County moving and to create livable and sustainable communities.

The proposed sales tax measure is expected to generate $3.6 billion (current dollars). The TEP consists of a set of transportation investments (funding categories), taxpayer safeguards and accountability measures, and pertinent policies. The transportation investments are split roughly equally between funding categories targeted at congestion relief on major commute corridors throughout Contra Costa County and funding categories intended to improve transportation in all our communities. Overall, approximately 54.6% of transportation investments are to be used for transit and alternative modes; 26.7% for local streets and roads; and 18.7% for Highways and Freeways.

The TEP includes stable and reliable funding (17.4% of overall funding) to each city and town and Contra Costa County for maintenance and improvement of local roads. This is equivalent to 18% of the sales tax revenues for the Central, East, and Southwest subregions and 15.2% of sales tax revenues for the West subregion of Contra Costa County. Other community-based funding included bus and public transit, pedestrian and bicycle improvements on trails and streets, safe transportation for students, seniors and people with disabilities, and technology solutions to reduce emission and improve air quality.

The TEP also sets forward clear policies that ensure that while communities grow, the growth is kept within clear ULL. This will allow Contra Costa County to continue growing in a smart way, while protecting vital open space for parks and farmland. Furthermore, increased investments in bicycle and pedestrian facilities bring access to the outdoors to every community.

The plan, if enacted, will provide the following benefits:

Smooth-flowing traffic along highways and roads;
Quicker trips and less time sitting in traffic;
Smoother pavement and fewer potholes;
Transit, where and when it’s needed;
Easier ways to get from home or work to transit stops and back home again;
Cleaner air due to reduced vehicle emissions;
More bicycle lanes and walking paths to support an active lifestyle; and
Free or reduced transit fares for students.

Additional Background
Contra Costa County passed its first transportation sales tax measure in 1988 known as Measure C. Measure C created the Authority and provided critical transportation funding for projects throughout Contra Costa County. Recognizing the pending expiration of Measure C, voters overwhelmingly approved Measure J extending funding to 2034. Measures C and J provided stable funding to cities/towns and Contra Costa County to maintain local streets and roads and established the GMP and ULL Compliance Requirements to preserve and enhance our quality of life and promote a strong economy. Funding was allocated to public transportation and bus operators, to service providers that assisted students to go to school and seniors and people with disabilities to go where they needed to go. Marque projects included the Bay Area Rapid Transit (BART) extensions to Pittsburg/Bay Point and Antioch, the Caldecott Tunnel Fourth Bore, Highway 4 widening, train stations and intermodal transit centers, and improvements to bicycle and pedestrian trails. Equally important, local funding from Measures C and J were able to attract $4.1 billion in outside funding from state, federal and regional sources. These leveraged funds combined with sound financial management have enabled the Authority to complete the major projects in Measure J significantly ahead of schedule.

Despite this success, the demand for transportation services and new funding continue to grow. New transportation technology is offering unprecedented opportunities to streamline travel, smooth traffic flow and reduce emissions. People are increasingly valuing alternative ways to get around, such as transit, walking and biking. As Contra Costa County’s population grows, more people are using our highways, roads and transit. Contra Costa County’s population is also aging. Currently, about 14% of the population is age 65 or older. By 2035, this population is expected to double to about 30%. As the agency responsible to maintain and improve Contra Costa County’s transportation system, the Authority envisions a future where all of our transportation systems work together for more streamlined, safe, efficient, and convenient travel.

A set of Guiding Principles were used to develop the TEP. The Guiding Principles are collectively a statement of values to ensure a new TEP provides transportation solutions that meet the transportation needs of Contra Costa County's residents, businesses and travelers. The Guiding Principles consist of (see Attachment A):

Relieve Traffic Congestion;
Transit First;
Performance Orientation;
Economic Opportunity to partially fund transportation infrastructure that is likely to result in significant job growth;
Public Participation that collects input from Stakeholders;
Accountability and Transparency;
A Balanced and Equitable Approach to benefit all residents and regions;
Maximize Available Funding;
Commitment to Technology and Innovation to improve transportation;
Protecting the Environment and
Commitment to Growth Management.

Contra Costa County Priorities
In early 2019, the Authority announced their intent to pursue a 2020 transportation sales tax using the 2016 Measure X as a starting place. At the Board of Supervisor's May 21, 2019 meeting, the direction to staff was to rely on the County's 2016 Measure X priorities when engaging the Authority with this new effort. The aspects of the 2016 priorities that resulted in the most dialog are described below in summary and are reflected in the attached TEP in detail, page references below:

Preservation and "clean up" of the existing Urban Limit Line policy. Given the success of the program, there was not a strong desire to make substantial changes. Due to the differences in how and when the urban limit line was adopted by the County and the nineteen cities, there ended up being discrepancies in how the policy is administered. As was the case with the 2016 Measure X effort, changes in the TEP are meant to result in consistent administrative rules across all jurisdictions. Pages 31 and 33 of the attached TEP.
Jobs and economic development were identified as some of the overarching priorities for the entire TEP and the "Reduce and Reverse Commutes" Program, which was the "Community Development Transportation Program" in Measure X, was successfully included and funded ($54 Million) in this current effort. Details are in the attached TEP, in summary the program will support economic development and job creation in areas that would reduce commute times or make use of the underutilized reverse commute capacity in the transportation system. Pages 4 and 26 of the attached TEP.
Numerous refinements were made to the Accessible Transportation policy language. The County has advocated for changes to this system for some time, that advocacy led to the initiation of the Accessible Transportation Strategic (ATS) Plan which is currently underway. The TEP is refers to the ATS plan in terms of how any new revenues would be spent. The policy statements in the TEP have set expectations for the ATS plan, specifically that there would be a seamless coordinated countywide system and that the system would be "user-friendly" and "customer-focused".

Transportation Investments
A one-half percent transportation sales tax for a 35-year period from July 1, 2020 to June 30, 2055 is expected to generate approximately $3.6 billion. To ensure an equitable distribution of benefits, the TEP allocates a proportionate share of the expected revenue to each of Contra Costa County’s four subregions based on the projected population of each subregion. The Authority used input from the Regional Transportation Planning Committee (RTPC) for each subregion, as well as input from other stakeholders, public opinion surveys and public comments to further allocate funding to priority projects and programs in each subregion.

The proposed TEP is organized to focus on congestion relief along three signature corridors and on countywide programs intended to improve transportation in local communities. A brief overview of the major focus of the TEP follows:

A. Relieving Congestion on Highways, Interchanges and Major Roads ($1.484 billion)

Improve State Route 242 (SR242), Highway 4, Transit and the Bay Area Rapid Transit Corridor in East County – (eBART) ($705 million);
Modernize Interstate 680 (I-680), Highway 24, Transit and BART Corridor ($536 million); and
Upgrade I-80 and I-580 (Richmond-San Rafael Bridge), Transit and BART Corridor ($243 million)

Easing traffic congestion is one of Contra Costa County residents’ highest priorities. Accordingly, the proposed TEP invests nearly half of the new transportation sales tax revenue toward new, modern tools and strategies to improve traffic flow and reduce traffic congestion on Contra Costa County’s major corridors and roads. These strategies include highway and road improvements thoughtfully integrated with transit improvements and alternative modes.

Each of Contra Costa County’s corridors contains a major interstate or highway, a major transit line, local roads and streets, paths, bus lines, and transit stations. Everyone is impacted by the performance of each component of the corridor as each impacts the corridor as a whole. For example, improving transit and transit connections will lessen traffic congestion on Contra Costa County highways. As transit service is improved and more people take transit, fewer cars on the road translates to less traffic.

B. Improving Transportation Countywide in all of our Communities ($1.98 billion)
The proposed TEP includes many projects throughout Contra Costa County to improve our local communities and protect Contra Costa County’s environment and quality of life. This funding spreads into every community, through local projects and programs that improve Contra Costa County’s vast transportation network. Funding will be allocated towards improving local roads and streets to make them safer for all travelers. Smaller projects, such as removing bottlenecks, improving traffic signal operations, installing traffic calming measures, and making streetscape improvements, which can make big improvements in a community’s quality of life.

Funding will be allocated toward substantial investments in a robust transit system that provides affordable, efficient, convenient, and accessible transit to travelers throughout Contra Costa County. These projects will result in cleaner, safer, and more reliable trips on BART, buses, and ferries. The transit systems will extend into parts of Contra Costa County that are currently lacking frequent transit service. When more people take transit, traffic congestion on Contra Costa County roads and highways will decrease, traffic will flow more smoothly, and air emissions will decrease, thereby improving air quality in Contra Costa County. The Initial Draft TEP continues to allocate funding towards a wide array of programs for students, seniors, veterans, and people with disabilities, aimed at offering safe transportation options and improving mobility.

The following countywide programs are included in the “Improving Transportation Countywide in all of our Communities”:

Modernize Local Roads and Improve Access to Jobs and Housing (17.4%) – The TEP provides funding directly to every city, town and Contra Costa County so that they may make improvements to their own local roads and streets. This is equivalent to 18% of the sales tax revenues for the Central, East, and Southwest subregions and 15.2% of sales tax revenues for the West subregion of Contra Costa County.
Provide Convenient and Reliable Transit Service in Central, East and Southwest Contra Costa County (10.9% of total funding) – Funding will be provided to public transit operators in the central, east, and southwest subregions to provide cleaner, safer, and more reliable trips on buses or shuttles. This funding will enable transit operators to improve the frequency of service on existing routes, especially high-demand routes, increase ridership, and incentivize transit use by offsetting fares.
Increase Bus Services and Reliability in West Contra Costa County (6.9%) – Similar to above, but with a larger share of the West County allocation to focus on expanding transit services to unserved or underserved areas, along with more frequent and reliable bus service to all.
Improve Walking and Biking on Streets and Trails (6.0%) – The TEP contains unprecedented levels of funding to improve safety for bicyclists and pedestrians in every part of Contra Costa County.
Accessible Transportation for Seniors, Veterans, and People with Disabilities (5.0%) – Funding in this category will be used for affordable and safe countywide transportation for seniors, disabled veterans, and other people with disabilities who cannot drive or take other transit options.
Cleaner and Safer BART (3.3%) – Funding for a suite of modernization projects at select stations to increase safety, security, and cleanliness, and to improve the customer experience.
Safe Transportation for Youth and Students (2.9%) – The TEP allocates funding towards a wide array of transportation projects and programs for students and youth, aimed at offering safe transportation options, such as walking, and cycling, and improving mobility.
Reduce and Reverse Commutes (1.5%) – Funding to provide transportation infrastructure to incentivize employers to create jobs in housing-rich areas, and promote transit, shared trips, telecommuting and shifting work schedules, all with the intent of reducing commuter traffic at peak commute times and better utilizing available reverse commute capacity in the existing transportation infrastructure.
Reduce Emissions and Improve Air Quality (1.0%) – Funding for technology solutions to help solve the challenges of the lack of connectivity between transportation options, resulting in reduced emissions, and improved air quality.

C. Taxpayer Safeguards and Accountability
The Authority has approved various administrative, financial and accountability policies beginning with the passage of Measure C in 1988 and the approval of Measure J in 2004. Certain policies relate to administrative and accounting practices, committee structures, local hiring preference, allocation of funds, and maintenance-of-effort are common in local transportation sales tax measures.

The major change proposed in the proposed TEP relates to the Authority’s commitment that the TEP be a performance-based, outcome-oriented plan. Several sections were added to the Taxpayer Safeguards for performance standards to be considered before certain projects can be funded from sales tax revenue. The Authority envisions a process that consists of project nomination, project performance review, and full funding commitment for the highest performing projects. The intent is to prioritize the highest performing projects and work with project sponsors to fully fund them from one or more TEP funding categories combined with other state, federal or regional funding sources available to the Authority.

The proposed TEP also establishes a Public Oversight Committee (POC) (replacing the current Citizens Advisory Committee (CAC) with prescribed additional responsibilities, including oversight of fiscal and performance audits.

D. Other Pertinent Policies
The proposed TEP includes a mix of policies included in the existing Measure J, as well as four proposed new policies.

GMP/ULL Compliance Requirements;
Complete Streets Policy;
Advance Mitigation Program;
Transit Policy; and
Road Traffic Safety aka “Vision Zero” Policy.

The GMP/ULL Compliance Requirements continue existing policies with minor changes primarily intended to ensure consistency across jurisdictions. Some new provisions were also added, including a requirement that any jurisdiction with a developable hillside, ridgeline, wildlife corridor or creek is required to approve a corresponding development and protection policy. The process to approve minor amendments to the ULL has also been revised.

The other listed policies are new to the proposed TEP. The Complete Streets Policy, Transit Policy and Road Traffic Safety Policy are intended to provide an overall framework for a transportation system that is safe, sustainable, equitable, and provides for the needs of all users.

CONSEQUENCE OF NEGATIVE ACTION:

If the Board of Supervisors does not take the recommended actions, the Contra Costa Transportation Authority's process to bring the TEP to the voters as a measure on the March 3, 2020 ballot would effectively end. The Authority cannot adopt a TEP until it has received approval of the County Board of Supervisors. (Public Utilities Code, § 180206(b))

CLERK'S ADDENDUM

Speakers: Mark Fuchs, Carpenters Training Trust Fund for Northern California; Hayley Currer, Transform; Jesse Peralez Carpenters Local 152.