To: Honorable Mayor and Members of City Council
From: Jessica Lowe, Public Works Director
Prepared By: Lorien Clark, Senior Transportation Planner
TITLE:
Title
Capital Improvement Program Budget Adjustment for Transportation Grants
LABEL
RECOMMENDED ACTION:
Recommendation
Adopt a resolution (1) amending the Fiscal Year 2025/26 Capital Improvement Plan as documented in Council Budget Amendment No. 42P9; and (2) authorizing the Public Works Director to execute and process all documents necessary to implement the grant to develop a Complete Streets Improvement Plan for Redwood Road and Solano Avenue.
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DISCUSSION:
The City’s Capital Improvement Program (CIP) provides for the planning, funding, and implementation of significant infrastructure projects to meet community needs, support City operations, and align with Council focus areas. While capital projects are typically one-time expenditures, they often take multiple years to complete. The CIP is programmed on a five-year horizon, with funding approved by City Council through the budget process or separate Council actions as needed.
The recommended budget amendments described in this report would leverage federal and state grant funding to implement three transportation projects that align with the Council focus area of “Roads and Traffic Safety.” Locations for these projects were selected based on recommendations in the City’s adopted Local Roadway Safety Plan.
Highway Safety Improvement Program Cycle 12 Grants:
The Highway Safety Improvement Program (HSIP) provides funding for data-driven safety improvement projects intended to reduce fatalities and serious injuries on public roadways. The City of Napa was awarded two grants totaling $427,590 in State funding through the Cycle 12 of the Highway Safety Improvement Program (HSIP12) grant program from the California Department of Transportation (Caltrans) for two new transportation safety projects. Each project requires a 10% local match, which was included in the FY2025/26 and FY 2026/27 budget.
The first project, HSIP12 California/Pueblo Intersection (33ST26PW08), will install upgraded stop signs and intersection pavement markings at the non-signalized intersection of California Boulevard and Pueblo Avenue. The total project amount is $51,100, including $45,990 in grant funds and a $5,110 local match.
The second project, HSIP12 Signal Improvement (33ST26PW09) will implement safety improvements at 16 signalized intersections, including protected left-turn phasing at one location, a pedestrian countdown signal at one location, and Leading Pedestrian Intervals (LPI) at 14 locations. The total project amount is $424,000, including $381,600 in grant funds and a $42,400 local match.
At the June 17, 2025, City Council Meeting, the Council adopted the City of Napa FY 2025/26 and 2026/27 Budget, which included Capital Improvement Program (CIP) projects for the required local match: $5,110 in gas tax revenues for the HSIP12 California/Pueblo Intersection project (33ST26PW08) and $42,400 in gas tax revenues for the HSIP12 Signal Improvement (33ST26PW09) project. To implement the projects and leverage the grant funding, the reimbursable grant funds must be added to the CIP, and a program supplement agreement must be executed with Caltrans. The City’s existing Resolution R2007-192 authorizes the Public Works Director to execute program supplements with Caltrans for street projects.
FY23 Safe Streets and Roads for All (SS4A) grant
The City of Napa was awarded $280,000 in Federal funding through the FY23 Safe Streets and Roads for All (SS4A) grant program from the U.S. Department of Transportation Federal Highway Administration (FHWA) to develop a complete streets improvement plan for Redwood Road (Dry Creek Road to Solano Avenue) and Solano Avenue (Verna Drive to approximately 700 feet north of Redwood Road).
As part of the grant requirements, a non-federal local match of 20% of the total project amount is required. The total project amount is $350,000 ($280,000 in grant funds and a $70,000 local match). In order to leverage the grant funding, this project must be added to the Capital Improvement Program, and a grant agreement must be executed with FHWA. The draft grant agreement for the project is included as ATCH 2 - Draft SS4A Grant Agreement.
To facilitate the SS4A grant match, gas tax funding de-obligation from the Redwood/Solano Signal project, totaling $134,837.96, is recommended. The de-obligated funds will be returned to the Gas Tax fund balance, with a portion then allocated to the Redwood Road and Solano Avenue Improvement Plan project.
Along with the de-obligation of remaining project balance, the Redwood/Solano Signal project status will be changed to “not moving forward” (effectively closing the project). The Redwood Road and Solano Avenue intersection is within the SS4A grant project study area, and any suggested improvements will be evaluated for implementation as part of a future project.
FINANCIAL IMPACTS:
There is no General Fund impact. The proposed FY2025/26 & 2026/27 Capital Improvement Project Plan amendment as documented in Council Budget Amendment No. 42P9 will revise the following project budgets to reflect the HSIP12 and SS4A Grant awards. Additionally, one new project, 33ST26PW13 - SS4A Redwood Road and Solano Avenue Improvement Plan, will be created with a new Gas Tax obligation of $70,000 to fund the required local match. The Gas Tax obligation will be funded through fund balance made available by the de-obligation of remaining funds from the 33TS01PW01 - Redwood / Solano Signal project.
33ST26PW08 - HSIP12 California/Pueblo Intersection
§ Update 33ST26PW08’s project name to “HSIP12 California/Pueblo Intersection”
§ Obligate $45,990 in reimbursable HSIP Grant Funds (local match of $5,110 Gas tax is included in the project’s existing budget)
33ST26PW09 - HSIP12 Signal Improvements
§ Update 33ST26PW09’s project name to “HSIP12 Signal Improvements”
§ Obligate $381,600 in reimbursable HSIP Grant Funds (local match of $42,400 Gas Tax is included in the project’s existing budget)
33TS01PW01 - Redwood / Solano Signal project
§ De-obligate $134,837.96 Gas Tax from the 33TS01PW01 - Redwood / Solano Signal project
§ Revise Project 33TS01PW01’s status to “not moving forward”
33ST26PW13 - SS4A Redwood Road and Solano Avenue Improvement Plan
§ Create new project for SS4A Grant PL No. 33ST26PW13 named “SS4A Redwood Road and Solano Avenue Improvement Plan”
§ Obligate $70,000 of Gas Tax Fund Balance for Grant match to new project
§ Obligate reimbursable SS4A Grant funds in the amount of $280,000 to the new project 33ST26PW13 - SS4A Redwood Road and Solano Avenue Improvement Plan
CEQA:
The Public Works Director has determined that the Recommended Action described in this Agenda Report is not in-and-of-itself a “project” (pursuant to CEQA Guidelines Section 15378) since it does not result in a physical change in the environment.
However, the Recommended Action is a part of larger “projects” that will be subject to environmental review in accordance with CEQA at the “earliest feasible time” prior to “approval” consistent with CEQA Guidelines Sections 15004 and 15352. The larger “projects” are future Capital Improvement Projects, and staff plans to bring back a CEQA analysis of each project to Council at the time of construction contract award for each project.
DOCUMENTS ATTACHED:
ATCH 1 - Resolution
EX A - Council Budget Amendment No. 42P9
ATCH 2 - Draft SS4A Grant Agreement
NOTIFICATION:
None