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HomeMy WebLinkAbout07-21-1999 Agenda Item 7ASARATOGA CITY COUNCIL EXECUTIVE SUMMARY NO. ~ ~ ~ I AGENDA ITEM ~ , MEETING DATE: JULY 21, 1999 CITY MANAGER i ORIGINATING DEPT.: CITY MANAGER DEPT. HEAD: SUBJECT: Cooperative Agreements in connection with Measure B Pavement Management Program Funds RECOMMENDED MOTION(S): Move to approve both cooperative agreements and authorize their execution as appropriate. REPORT SUMMARY: Attached for Council's review and approval are two cooperative agreements in connection with receipt of the Measure B Pavement Management Program funds. The first agreement is between the City and the County for the advance of 20% of the City's FY 99 PMP allocation totaling $125,750.80. The remaining 80% of the City's allocation ($503,003.20) will be funded through a separate agreement between the City and the Valley Transportation Authority which will administer the program subject to reporting requirements of the County. Receipt of the funds by the City is contingent upon the City adhering to adopted County Policies and Procedures for the PMP which are attached as Exhibit A to the agreement. The second agreement is the agreement between the City and the VTA for receipt of the City's remaining FY 99 PMP allocation, including the second year allocation of $628,754. The agreement stipulates how the Measure B funds are to be requested and accounted for, and how the projects to which the funds will be applied are to be promoted. Both agreements have been reviewed by the City Attorney who is satisfied with their contents. Upon execution of the agreements, the City will apply for its 20% FY 99 allocation to the County. Application for the remaining funds to VTA will occur after the County and VTA enter into a Funds Transfer Agreement among themselves, and the City has awarded a construction contract obligating expenditure of the funds for eligible work. FISCAL IMPACTS: As noted above. The adopted budget includes the Measure B revenues identified in the agreements. ADVERTISING, NOTICING AND PUBLIC CONTACT: Nothing additional. CONSEQUENCES OF NOT ACTING ON RECOMMENDED MOTION(S): Either or both of the agreements will not be approved. In this case, the City will not be entitled to receive its Measure B allocations. FOLLOW UP ACTIONS: The agreements will be signed and returned as appropriate. ATTACHMENTS: 1. Cooperative Agreement between City and County. 2. Cooperative Agreement between City and VTA. COOPERATIVE AGREEMENT BETWEEN COUNTY OF SANTA CLARA AND CITY OF SARATOGA FOR THE ADVANCE OF MEASURE B PAVEMENT MANAGEMENT PROGRAM FUNDS This AGREEMENT is made and entered into as of this day of , 1999, by and between the COiJNTY OF SANTA CLARA, hereinafter referred to as "COUNTY" and CITY OF SARATOGA, hereinafter referred to as "SPONSOR". RECITALS 1. COUNTY and SPONSOR hereby desire to enter into a cooperative agreement pursuant to and in furtherance of "Measure A," an advisory measure passed by the voters to indicate the general opinion of the COUNTY as to whether new sales tax revenues shall be used to fund certain transportation improvements, and "Measure B," pursuant to which a ~ cent retail and sales tax for general county purposes was enacted for a period of nine years commencing April 1, 1997 and terminating March 31, 2006. 2. The COUNTY has preliminarily established the Pavement Management Program ("PMP") to implement certain goals of Measure A, and allocated funds (hereinafter referred to as Measure B PMP funds) for disbursement to SPONSOR during Fiscal Year 1999. The COUNTY will make immediately available to the SPONSOR a PMP grant in~the amount of 20% of SPONSOR'S total Fiscal Year 1999 PMP allocation. Subject to approval by the Board of Supervisors, the COUNTY intends to provide funding for the balance of the PMP when the COUNTY adopts a Base Case Plan for the expenditure of Measure B funds. The COUNTY further intends to provide 80% of the funds allocated to the PMP for disbursement in Fiscal Year 1999, as well as all the funding in subsequent years, to the VTA with the exception of the County Roads and Airports Department which will be funded by the COUNTY. The VTA will administer the PMP program under a future agreement with the COUNTY and pursuant to separate agreements between the VTA and each of the cities and the COUNTY. 3. The COUNTY has adopted the Policies and Procedures for the PMP attached hereto as EXHIBIT A and incorporated herein by this reference ("PMP Policies") Under the PMP Policies, Measure B PMP Funds are made available to SPONSOR to help fund certain maintenance and repair work on city and county streets and expressways, including certain development costs for projects eligible under the PMP. Project development costs are limited to 20% of SPONSOR'S PMP program as a whole. Measure B PMP Funds are allocated by COUNTY. Unless otherwise indicated herein, the term PMP GRANT refers to any Measure B PMP Funds appropriated to SPONSOR under this AGREEMENT. -1 - 4. SPONSOR desires to engage in certain activities in connection with one or more projects for the maintenance and repair work on city streets, the County expressway system and/or roads in unincorporated areas of the County in accordance with the PMP, each such project hereinafter referred to as "PROJECT." NOW, THEREFORE, in consideration of the foregoing, the COUNTY and SPONSOR do hereby agree as follows: SECTION I SPONSOR AGREES: 1. For each PROJECT approved and funded by COUNTY, to apply the PMP GRANTS received under this AGREEMENT to eligible project expenditures incurred in connection with the PROJECT(s), and consistent with the terms and conditions specified in this AGREEMENT and the PMP Policies, as such PMP Policies relate to eligible project expenditures, including, without limitation, the Maintenance of Effort requirement contained in the PMP Policies. 2. To allow COUNTY, or any independent auditor selected by COUNTY, or the VTA to audit any and all of the project costs and expenditures relating to each PROJECT funded through this AGREEMENT. For the duration of each PROJECT, and for four (4) years following completion of the PROJECT, SPONSOR shall make available to COUNTY, or any independent auditor selected by COUNTY, or the VTA all records and invoices relating to costs and expenses incurred by it in performance of this AGREEMENT. 3. To provide overall management of PROJECT(S) including responsibility for schedule, budget, and oversight of services performed by others and to be responsible for evaluation, selection, and management of consultants and contractors. 4. To coordinate with COUNTY to provide appropriate recognition to COUNTY, including but not limited to recognition in flyers and other publicly distributed materials, in press releases, at groundbreakings, ribbon cuttings and other public ceremonies, and, on projects of significant size and duration, to install a sign or signs approved by the COUNTY at the site of the PROJECT that identifies Measure B and the COUNTY as a funding source for the PROJECT. 5.. Upon request, to provide copies to COUNTY of all executed contracts and other PROJECT documents between SPONSOR and others involved in a PROJECT. Copies of such executed contracts shall be retained for four (4) years following completion of a PROJECT. 6. Upon request and subject to such reasonable terms and conditions as the County may impose, to submit to COUNTY project status reports consistent with a process and format as reasonably determined by COUNTY. -2 - 7. To comply with all relevant requirements of applicable law relating to the application and/or expenditure of the funds and to be bound by, and to include such requirements in any contracts or other agreements which it may enter into with recipients of Measure B PMP Funds. SECTION II COUNTY AGREES: 1. To take appropriate action to provide an immediate PMP GRANT in the amount of $125,750.80 (i.e., 20 % of SPONSOR'S total Fiscal Year 1999 PMP allocation) to SPONSOR for eligible PMP project costs and expenses in accordance with the terms and conditions of this AGREEMENT. 2. To provide the balance of the funding for Fiscal Year 1999 in the amount of $503,003.20 (i.e., 80% of SPONSOR'S total Fiscal Year 1999 PMP allocation), and, subject to appropriation by the Board of Supervisors, to provide all of SPONSOR'S PMP allocation for subsequent years to the VTA pursuant to a separate funding agreement between the VTA and the COUNTY for disbursement to SPONSOR in accordance with separate agreements between the VTA and each of the cities and the COUNTY. 3. Subject to appropriation by the Board of Supervisors, the COUNTY intends to provide $628,754.00 in further funding in Fiscal Year 2000. 4. To provide timely notice if an audit is to be conducted. 5. If applicable, to provide guidelines for reports to be provided by SPONSOR in accordance with SECTION I, paragraph 6 of this AGREEMENT. SECTION III IT IS MUTUALLY AGREED: 1. Term: Eligible project costs for the PROJECT(S) shall be financed from PMP GRANTS when incurred by SPONSOR, provided they are consistent with the terms and conditions of this AGREEMENT and the PMP Policies. The term of this AGREEMENT shall commence from the date this AGREEMENT is executed and shall terminate on the first anniversary of last PMP GRANT hereunder ("Termination Date"). The foregoing notwithstanding, all obligations of SPONSOR agreed to hereunder shall survive the Termination Date, including but not limited to those listed in Section I above and paragraph 3 of this Section below. The Termination Date may be modified only if mutually agreed to in writing by both SPONSOR and COUNTY. -3 - Any appropriated but unexpended funds related to this AGREEMENT as of the Termination Date shall be used by SPONSOR for other, non-development costs and expenditures relating to the PROJECT. 2. Cap on PROJECT development costs: In no event shall the project development costs for projects funded by PMP GRANTS exceed twenty percent (20%) of the total amount of the COUNTY PMP grant made to SPONSOR and to the VTA for SPONSOR' S benefit. 3. Indemni :Neither COUNTY nor any officer or employee thereof, shall be responsible for, and SPONSOR shall fully indemnify and hold harmless COUNTY against any damage or liability occurring by reason of anything done or omitted to be done by SPONSOR under or in connection with any work, authority or jurisdiction delegated to SPONSOR under this AGREEMENT. It is also understood and agreed that, pursuant to Government Code section 895.4, SPONSOR shall fully indemnify and hold COUNTY harmless from any liability imposed for injury as defined by Government Code Section 810.8 occurring by reason of anything done or omitted to be done by SPONSOR under this AGREEMENT or in connection with any work, authority or jurisdiction delegated to SPONSOR under this AGREEMENT. 4. Notices: COUNTY: Office of the County Executive County of Santa Claza County Govt. Center, East Wing 70 West Hedding Street San Jose, California 95110 Attn: Jeff Davis Telephone: 408-299-2255 Fax: 408-293-6185 SPONSOR: City of Saratoga 13777 Fruitvale Ave. Saratoga, CA 95070 Attn: Larry I . Perlin Telephone: 408-868-1216 Fax: 408-868-1200 By executing this AGREEMENT, each of the parties acknowledges and agrees that the persons identified above, or any other person designated by either party to AGREEMENT by notice to the other party, is authorized to execute documents and to bind the party with respect to this AGREEMENT in accordance with the procedures set forth in Section III, paragraph 7 below. 5. Additional Acts and Documents: Each party agrees to do all such things and take all such actions and to make, execute, and deliver such other documents and instruments as shall be reasonably requested to carry out the provisions, intent, and purpose of the AGREEMENT. -4 - 6. Integration: This AGREEMENT represents the entire AGREEMENT of the parties with respect to the subject matter hereof. No representations, warranties, inducements, or oral agreements have been made by any of the parties except as expressly set forth herein or in other contemporaneous written agreements. 7. Amendment: This AGREEMENT may not be changed, modified, or rescinded except in writing, signed by all parties hereto, and any attempt at oral modification of this AGREEMENT shall be void and of no effect. 8. Independent Agency: SPONSOR renders its services under this AGREEMENT as an Independent agency. None of the SPONSOR's agents or employees shall be agents or employees of the COUNTY. 9. Assignment: This AGREEMENT may not be assigned, transferred, hypothecated, or pledged by any party without the express written consent of the other party. 10. Binding on Successors: This AGREEMENT shall be binding upon the successor(s), assignee(s), or transferee(s) of COUNTY or SPONSOR as the case may be. This provision shall not be construed as an authorization to assign, transfer, hypothecate, or pledge this AGREEMENT other than as provided above. 11. Severability: Should any part of this AGREEMENT be determined to be unenforceable, invalid, or beyond the COUNTY of either party to enter into or carry out, such determination shall not affect the validity of the remainder of this AGREEMENT which shall continue in full force and effect, provided that the remainder of this AGREEMENT can, absent the excised portion, be reasonably interpreted to give effect to the intentions of the parties. 12. Limitation: All obligations of COUNTY under the terms of this AGREEMENT are expressly subject to the COUNTY'S continued authorization to collect and expend the sales tax proceeds provided by Measure B. If for any reason COUNTY'S right to collect or expend such sales tax proceeds is terminated or suspended in whole or part, COUNTY shall promptly notify SPONSOR, and the parties shall consult on a course of action. If, after twenty-five (25) working days, a course of action is not agreed upon by the parties, this AGREEMENT shall be deemed terminated by mutual consent without further obligation or liability on the part of either party, provided that any further obligation to fund from the date of the notice shall be expressly limited by and subject to (i) the lawful ability of COUNTY to expend sales tax proceeds for the purposes of this AGREEMENT; and (ii) the availability, taking into consideration all obligations of COUNTY under all outstanding contracts, agreements and other obligations of COUNTY, of funds for such purposes. -5 - COOPERATIVE AGREEMENT BETWEEN COUNTY OF SANTA CLARA AND CITY OF SARATOGA FOR THE ADVANCE OF MEASURE B PAVEMENT MANAGEMENT PROGRAM FUNDS IN WITNESS WHEREOF, the parties have executed this AGREEMENT as of the date set forth above. "COUNTY" "SPONSOR" COUNTY OF SANTA CLARA CITY OF SARATOGA PETE McHUGH, Chairperson By: JIM SHAW, Mayor ATTEST: PHYLLIS A. PEREZ, Clerk Board of Supervisors APPROVED AS TO FORM AND LEGALITY: WILLIAM I. ANDERSON Assistant County Counsel S:\GeneralGovernment\Anderson\MEASURE.A&B\Cooperative Agreement ATTEST: SUSAN A. RAMOs City Clerk APPROVED AS TO FORM: Liane M. Randolph Legal Counsel -6 - EXHIBIT A Measure B Pavement Management Program POLICIES AND PROCBDURBS The Santa Clara Valley Transportation Authority (VTA) developed the following policies and procedures in morperation with the 15 cities and the County Roads and Airports Department. Maintenance of BfforE CerEificaHon Each City and the County must certify that it is not using Measure B funds to replace funds currently being spent on pavement repair. The Maintenance of Bffort (MOB) is to be based on each jurisdiction's average pavement management budgets over the base fiscal years 1996 through 1998. Pavement management funds are those funds earmarked for pavement surface repair projects and do not include funds allocated for improvements such as new sidewalks, traffic signals, landscaping, major drainage improvements, etc. Por MOfi certification purposes, one-time extraordinary surface repair projects falling in one of the following five categories may be exempted from the MOE calculations: • New construction of a city street or county road. • Non pavement improvements to curbs/gutters, sidewalks, bike/pedestrian paths, drainage systems, signals, etc. • Reconstruction where 60% or more of the project cost is for capacity enhancement. • Rehabilitation where 60% or more of the project cost is for- storm damage repair. ~' • Major rehabilitation projects requiring multi year funding. Program Criteria Pavement Management System. Bach City and the County must use a Pavement ItrLanagement System certified by the Metropolitan Transportation Commission (MTC). Bligible Project Categories. Pavement Management funds must be used for projects in the following four categories: 1. County ~P~~Y sYs~% 2. Congestion Management Program principal arterials and transit bus corridor streets and arGerials~ . . 3. Other City streets and Bounty roads; 4. Transportation capital projects that relieve congestion. To be elig~Ie for this category, a jurisdiction must certify that it does not have any unmet pavement management needs. Eligible Project Expenditures. PMP projects are intended to repair or replace the existing roadway pavement from outside edge of curb and gutter to opposite outside edge of curb and gutter. Therefore, the following type of projects and specific project expenditures are eligible for PMP fundingl: • Reconstruction projects • Overlay projects, including overlay prepazation projects, conform grinding, shoulder backing and other conform work, including adjustment of utility access boxes e Pavement ntaintenancti treatments including seal coats and microsurfacing - • Spot repairs • Curb and gutter repair • Replacing damaged signal loops • Replacing pavement mazkings, reflectors, signal loops and miscellaneous features pursuant to an overlay or maintenance treatment. • Repairs to drainage facilities incidental to the pavement work or pavement related drainage improvements • Traffic control during construction. • Project development costs including plans, specifications and estimate (PSdr,~ preparation, environmental documentation, Land surveying, and geoUechnical investigation and evaluation, including soil borings and deflection testing. Pre-award project development costs should be lintited to 209'• of each jurisdictions' PMP program as a whole (i. e. individual Projects may exceed 2096 provided that the aggregate development costs for all projects do not exceed 20% of the total PIVII' funding). Development costs maybe incurred by contract or by force account labor. If force account labor is used, only direct Labor and benefits maybe charged; no overhead may be applied. Construction related costs such as rnnstraction management, inspection and testing are not included m the above 20% limit. Such costs are included in the remaining 80% of the project costs. Ineligible project expenditures include sidewalks; new pedestrian ways or bike paths outside the existing edge of curb, geometric changes, landscaping,' area- wide drainage improvements, street lighting, Permanent traffic control ~ PtvtP pc+ojoa wocfc may be iacludod in larger capital improvemeat pmjocts pc+ovidod that only eligible PMP expeaditures arc fuaded with PNiP funds. - 2 1996 MEASURE B PAVEMENT MANAGEMENT PROGRAM COOPERATIVE AGREEMENT This Agreement is between the Santa Clara County Transit District, also known as the Santa Clara Valley Transportation Authority, (VTA) and the City of Saratoga (City), collectively referred to herein as the Parties. This Agreement is made with reference to the following facts: A. VTA, through its Congestion Management Program, has been designated by the County of Santa Clara (County) as the Program Manager for the 1996 Measure B Pavement Management Program (PMP) funds. B. Pursuant to that designation, VTA is responsible for disbursing Measure B funds to eligible City projects in accordance with its agreement with the County. C. This Agreement specifies the conditions under which VTA will disburse Measure B funds to the City for the PMP. D. City has received a copy of PMP Policies and Procedures. It is agreed between the Parties as follows: Section 1. PMP Funding County will authorize the allocation of Measure B funds to City for eligible projects under the PMP. This authorization is the maximum spending authority for all City projects under the PMP. Such spending authority may be increased or adjusted by the County from time to time. The initial allocation to City is X628,754. Section 2. Approval of Requests for Funds City shall submit requests for the use of PMP funds to VTA on aproject-by-project basis. Each request shall be made on forms provided by VTA and in accordance with the PMP Policies and Procedures. City shall submit documentation showing that its City Council has approved each request. Upon review and approval of the Request for Funds, VTA shall disburse funds to City within 10 days of receipt of the complete request form and documentation, City may submit requests for funding of eligible projects up to the funding amount described in Section 1 above. Funds not requested prior to July 31, 2004 shall no longer be available for projects under the PMP. Page 1 1996 Measure B PMP Cooperative Agreement App.lega1.4.19.99 4/22/99 Section 3. PMP Project Requirements City shall implement and complete its PMP projects that have been funded under this Agreement no later than July 31, 2004. City shall use PMP funds only for eligible project expenses as provided in the PMP Policies and Procedures. City shall comply with the Maintenance of Effort Certification, Pavement Management System Certification, reporting and other requirements of the PMP Policies and Procedures. Section 4. PMP Exemption If City intends to use PMP funds for transportation capital projects, City shall submit a PMP Exemption Request form, certifying it has no unmet pavement management needs and would like to allocate PMP funds to other eligible congestion relief projects, as described in the PMP Polices and Procedures. Section 5. Audit City's performance under this Agreement shall be subject to examination and audit by the County and VTA. This agreement shall be subject to the examination and audit of the State Auditor pursuant to Government Code Section 8546.7 for a period of three years after final payment hereunder. Section 6. Indemnification City shall defend, indemnify and save harmless VTA from all claims, suits or actions arising from the performance by City of its duties under this Agreement. Section 7. Additional Terms and Conditions Citesshall: A. Maintain, or cause to be maintained, adequate records to fully document the receipt and expenditure of Measure B funds disbursed to City under this Agreement and any interest accrued thereon. B. Apply all funds, and the interest on those funds, received under this Agreement toward eligible projects and eligible project costs as provided by the PMP Policies and Procedures. The application of any such interest to other projects shall be at the discretion of VTA after consultation with the County. Unexpended PMP funds shall be returned to VTA's PMP trust account. C. Allow VTA to audit all expenditures relating to City's PMP projects and to require all recipients of funds allocated under this Agreement to fully cooperate with such audits. For the duration of the PMP projects, and for three years following completion of the projects, City shall promptly furnish at the request of VTA, or an independent auditor selected by VTA, all records relating to project performance and financial management. Page 2 1996 Measure B PMP Cooperative Agreement App.legal.4.19.99 4/22/99 D. Submit on a yearly basis financial reports to VTA one month after the end of the fiscal year. ("Fiscal year" means the period starting July 1 and ending June 30.) Each report shall itemize the expenditure of the funds, including any interest accrued, progress to date in the implementation of each funded project, and any unused portion of its disbursement. Annual reports shall be submitted until each project is completed and all funds disbursed to City have been expended. E. Conduct anend-of-program audit after City has fully expended its PMP funds and completed all projects, and submit audited financial reports to VTA. F. Use the County and VTA-approved logo and signage for all Measure B PMP projects, as specified below: (1) The logo shall be posted on signs placed at the site of all construction. (2) The logo shall be prominently placed on any printed material intended for public consumption associated with the projects, including project related transit schedules, brochures, handbooks, maps created for public distribution, and promotional material. G. Credit the County as a funding source and VTA as the Program Manager in any articles, news releases or other publicity materials for the PMP projects which are produced or caused to be produced by the City. H. Assure that all funds received under this Agreement are expended in accordance with all applicable provisions of law for projects that are implemented by the City, and to require the other recipients of funds for the City's PMP projects to do the same. I. Maintain its current level of City funding for pavement repair as provided in the PMP Policies and Procedures and certify to VTA as required in the CMP Policies and Procedures that City will continue its Maintenance of Effort throughout the duration of the program. VTA shall: A. Disburse funds to City up to the limits of the County's maximum City Measure B allocation. B. Monitor Program status to ensure that City is in compliance with PMP Policies and Procedures. C. Prepare a yearly program financial report which will include financial reports received from City and submit the report to the County Executive's Office. D. Prepare anend-of-program financial report, which will include audited financial reports received from City and submit the report to the County Executive's Office. Page 3 1996 Measure B PMP Cooperative Agreement App.lega1.4.19.99 4/22/99 Section 7. Amendments Amendments to this Agreement shall be made in writing and signed by the authorized representatives of both parties. Page 4 1996 Measure B PMP Cooperative Agreement App.lega1.4.19.99 4/22/99 In Witness Whereof, the Parties have executed this Agreement as of the latest date shown below. City of Saratoga (City} Santa Clara County Transit District Dated: Larry Perlin, City Manager Approved As To Form: City Attorney Dated: Peter M. Cipolla, General Manager Approved As To Form: Robert A. Weers, Senior Assistant Counsel Page 5 1996 Measure B PMP Cooperative Agreement App.legal.4.19.99 4/22/99