City Council Meeting: October 23, 2012

Agenda Item: 3-B


To:                   Mayor and City Council 

From:              Edward King, Director of Transit Services

Subject:          Short Range Transit Plan, Applications for Funds, Disadvantaged Business Enterprise Program


Recommended Action

Staff recommends the City Council:


1) Authorize the City Manager to file the Fiscal Year 2013-2015 Short Range Transit Plan (SRTP) with the Los Angeles County Metropolitan Transportation Authority (Metro).


2) Approve the attached resolution authorizing the City Manager to: 

·         Apply for and to execute grant agreements and to execute related Certifications and Assurances with the Federal Transit Administration (FTA), Metro, or other federal, regional or local agencies.

·         Enter into agreements for transit funds for the pass-through of funds and agreements for planning, programming and implementing transit services and capital projects during FY 2013 through FY 2015.


3) Adopt the attached BBB’s Disadvantaged Business Enterprise Program.



Executive Summary

City Council authorization is requested to file the FY 2013-2015 Short Range Transit Plan with Metro.  For the past thirty years, filing of this report has been required by Metro, the Regional Planning Authority, and allows Santa Monica’s Big Blue Bus (BBB) to continue its eligibility as a recipient of federal and state transit funds.  The SRTP is a working document with estimated values for planning purposes.  City Council action is also requested to provide the necessary authorization to file grant applications, execute grant agreements and to enter into agreements associated with the funding, planning, programming and implementation of transit services and capital projects.  There is no fiscal impact associated with this item.  Future fiscal impacts will be considered during the annual budget process. 



Short Range Transit Plan

Big Blue Bus is required by the Transportation Development Act (TDA) to file a SRTP to remain eligible for federal, state and regional transit funding.  The SRTP is a planning document that evaluates accomplishments over the past year and provides a three-year action plan for service and capital improvements, including fleet replacement, facility improvements, equipment modernization and other infrastructure needs.  The document identifies the projected operating revenue and expenses required to accomplish the plan. 


The proposed SRTP financial forecast is based upon a combination of the share of county-wide formula-based allocation of transit funds and BBB’s projected operational needs. For FY 2012-2013, the formula allocation of operating funds (TDA, State Transportation Assistance [STA], Prop A 40%, Measure R 20%, Prop C-Security, Foothill Mitigation and Bus Stop Improvement Program [BSIP]) is $39.6 million, and non-formula allocation (Proposition A and Measure R Local Return) is $1.1 million. Operating revenue (passenger fares, advertising, interest, lease, and special transit services revenues) totals $18.2 million. 



The report requests that Council authorize the City Manager to file grant applications as transit-related funding opportunities become available.  If funds are approved, the City Manager would have the authority to execute grant agreements to accept federal, state, regional and local transit or transit-related funds, as approved or programmed.  Authority would also be given to the City Manager to execute and file certifications and assurances as they relate to grant programs, compliance and project implementation.  These authorities would allow the City to expedite its annual grant applications and participate in unanticipated one-time grant opportunities.  BBB funding agencies include, but are not limited to, the Federal Transit Administration (FTA) and other federal agencies, Metro, the South Air Quality Management District (SCAQMD), State Department of Homeland Security, and California Department of Transportation (Caltrans) and other state and regional agencies.


Staff is also requesting that the City Manager be authorized to enter into agreements including but not limited to, Memorandums of Understanding (MOUS), Letters of Agreement (LOA), Cooperative Procurement Agreements, sub-grantee agreements for transit funds and for the pass-through of funds.  Agreements may include, but are not limited to, agreements by and between the City of Santa Monica and Metro, SCAQMD, FTA, the Southern California Association of Governments (SCAG), the University of California at Los Angeles (UCLA), Santa Monica College (SMC), Playa Vista, hotels for Tide Shuttle, non-profits, and other federal, state, local and regional entities for the purposes of planning, programming funds and implementing transit services and capital projects for the residents of the City of Santa Monica and greater Los Angeles area. 


Disadvantaged Business Enterprise Program

The DBE program is a requirement for all agencies receiving FTA planning and/or capital assistance who will award prime contracts exceeding $250,000 in FTA funds in a federal fiscal year. The program was established to ensure a level playing field and foster equal opportunity in federally assisted contracts and reduce burdens on small businesses.  Certified DBEs include minority and/or woman-owned businesses. 


BBB’s Disadvantaged Business Enterprise (DBE) Program has been updated to comply with current Federal Regulations. The new provisions of the DBE program include:  eliminating obstacles for small business participation such as unnecessary and unjustified bundling of contract requirements; establishing a race-neutral small business set-aside (a contracting practice restricting eligibility for the competitive award of a contract solely to DBE firms) for prime contracts under $100,000; and recommending at pre-proposal and pre-bid meetings that prime contractors create subcontract opportunities when no DBE goal has been set for that procurement. The BBB currently has a goal to award 11% of the Bus Stop Redevelopment Project contracts to DBE companies.


Financial Impacts & Budget Actions

The SRTP is a working document with estimated values for planning purposes.    Provision for the proposed capital improvements and recommended service changes will be made each budget year with available allocations of transit revenue. The FY 2012-2013 improvements are fully funded in the City budget with local operating and transit subsidy funds. 


Prepared by:  Enny Chung, Senior Administrative Analyst





Forwarded to Council:







Edward F. King

Director of Transit Services


Rod Gould

City Manager




Attachments: Short Range Transit Plan


                         Disadvantaged Business Enterprise Program