|Prior to the start of each fiscal year, the City adopts an annual budget. There are two primary components to the City’s annual budget: the Capital Improvement Plan (CIP) and the Operating Budget. Council Policy 400-6 defines a Capital Improvement or asset as buildings, machinery or equipment, with an original cost in excess of $5,000 and a useful life of three years or more.
As staff prepares to submit the Capital Improvement Plan for the 2021/2022 budget, road rehabilitation projects will be some of the only CIPs funded. Funding from the City’s general fund will be limited due to declining revenues because of the Covid Pandemic.
The City’s CIP usually consists of various projects being funded through the general fund, enterprise funds and outside funding sources. Measure X and SB1 are two outside funding sources that the City uses to leverage our general fund monies. In order to receive Measure X ($410,000), SB1 ($225,000), the City must allocate $500,000 from our general fund to meet the maintenance of effort requirements (MOE). The MOE, which is $500,000, needs to be expended from the general fund as this ensures that the two taxed based revenues, Measure X and SB1, are not used to offset road rehabilitation projects, but are in place to enhance and improve our transportation network. Staff will be presenting to the City Council, $1.13 million in road rehabilitation projects this next fiscal year as part of the CIP.
In 2019 the City completed a pavement condition index survey which resulted in a Pavement Management Program. Public Works has been using this program to assist City staff with the identification of roadways that are in need of treatment within our allocated budget of $1.13 million. The annual allocation has decreased the last two fiscal years due to the lack of revenues.
The background report for the Pavement Program can be found at this link.
This next fiscal year, 2021/22, it is anticipated that City Staff will present two projects for road rehabilitation, Ocean View from 3rd Street to Carmel, and Ocean View from the intersection of 17th Street to Sea Palm. Additional information will need to be gathered before we proceed with these road segments, such as the condition of the infrastructure under the roadway, (sewer, storm drain, electrical, gas and water). These segments are scheduled for a reconstruction and/or an overlay and prior to any roadway reconstruction we always evaluate the condition of existing infrastructure. It is anticipated that the City will have approximately $800,000 for the road reconstruction project. When roads are completely rehabilitated it will trigger ADA improvements. Most of the curb ramps on the Southside of Ocean View between 3rd and Carmel will need to be upgraded as part of the project.
In addition to the roadway rehabilitation projects, the City will continue with our annual crack and slurry seal project. Crack and slurry seals are maintenance projects that are conducted to extend the life and longevity of the roadway. Typically, a slurry seal lasts 7 years, and it is important to continue to maintain the roadways otherwise rapid deterioration will occur and roads will have to be reconstructed instead of maintained. Public Works will request $300,000 for our crack and slurry seal project and this will complete approximately 420,000 sq ft. This equates to approximately 13 roadways of various lengths and widths. A list for next year's roadways is being developed and if approved as part of the budget we will then begin further evaluation and engineering.