HomeMy WebLinkAbout2022-085 - Request for Escalation Ajustment by the Orange Countu TransportationRESOLUTION 2022-085
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SANTA ANA AUTHORIZING A REQUEST FOR
ESCALATION ADJUSTMENT BY THE ORANGE COUNTY
TRANSPORTATION AUTHORITY TO THE MEASURE M2
ALLOCATION FOR THE WARNER AVENUE
IMPROVEMENTS PROJECT
WHEREAS, the Orange County Transportation Authority (OCTA) conducted the
2020 call for projects under the Measure M2 Regional Capacity Program (RCP); and
WHEREAS, the City of Santa Ana received an M2 allocation (Measure M2
Competitive ACE funds) in the amount of $7,494,000 from OCTA to fund the Warner
Avenue Improvements Project from Oak Street to Standard Avenue; and
WHEREAS, the City of Santa Ana committed to providing a minimum of 25% in
matching funds for the Warner Avenue Improvements Project from Oak Street to
Standard Avenue; and
WHEREAS, the City of Santa Ana established fiscal year 2018/19 as the program
year to commence the right-of-way phase for the above project; and
WHEREAS, the City of Santa Ana has experienced increase cost for right-of-way
acquisition due to real estate inflation. The COVID-19 pandemic and various new state
and federal guidelines developed during this challenging time (especially the eviction
moratorium from April 2020 to September 2021) have created many uncertainties. Low
interest rates, high rents, and working from home have helped intensify housing market
demand, escalate market value of over 25% in Orange County, and diminish housing
inventory for sale and lease.
WHEREAS, OCTA approved a temporary policy change for eligible RCP and
RTSSP projects that were impacted by the extraordinary cost increases of inflation, which
would allow local agencies to request adjustments to eligible right-of-way and
construction allocations consistent with the Engineering News Record Construction Cost
Index, based on the actual 20-city average, for fiscal years 2020-21, 2021-22, and 2022-
23.
WHEREAS, the OCTA temporary policy change requires agencies to request
authorization from their governing bodies to apply for an escalation adjustment to the
original M2 allocation.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Santa
Ana as follows:
Resolution 2022-085
Page 1 of 3
Section 1. The Executive Director of Public Works, or his or her designee, is
hereby authorized to request an escalation adjustment in the amount of $1,376,000 for
the Warner Avenue Improvements Project, which if approved by the OCTA Board of
Directors, would result in a revised M2 allocation of $8,870,000. Said funds, if approved,
shall be matched by funds from the City at the same 25% level, resulting in an additional
City funding need of $459,000 which will be funded through State/Local Funds.
Section 2. This Resolution shall take effect immediately upon its adoption by
the City Council, and the Clerk of the Council shall attest to and certify the vote adopting
this Resolution
ADOPTED this 1 st day of November. 2022.
k V.u4j
Vicente Sarmiento
APPROVED AS TO FORM:
Sonia R. Carvalho, City Attorney
By:
J n M. Funk
C ief Assistant City Attorney
AYES:
NOES:
ABSTAIN:
NOT PRESENT:
Councilmembers
Councilmembers
Councilmembers
Councilmembers
Mayor
Hernandez, Lopez, Mendoza Penaloza
Phan Bacerra, Sarmiento (7)
None (0)
None (0)
None (0)
Resolution 2022-085
Page 2 of 3
CERTIFICATE OF ATTESTATION AND ORIGINALITY
I, Clerk of the Council, do hereby attest to and certify the attached Resolution No. 2022-
085 to be the original Resolution adopted by the City Council of the City of Santa Ana on
November 1, 2022.
Date: z
_/ Y , --�4 n�'
�wClerk of the Council
City of Santa Ana
Resolution 2022-085
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