HomeMy WebLinkAboutPW TAM Funding Agreement 2015-017; Measure A; Puerto Suello Hill Multi-Use PathTAM AGREEMENT #2015-017
FUNDING AGREEMENT BETWEEN
TRANSPORTATION AUTHORITY OF MARIN
AND
CITY OF SAN RAFAEL
This AGREEMENT is made this y_/(, day of J,, (,.� , 201L, by and
between the Transportation Authority of Marin, hereinafter referred to as "TAM", a local public agency,
and the City of San Rafael, hereinafter referred to as "RECIPIENT", a local public agency.
SECTION 1. RECITALS
1. The voters of Marin County approved the authorization of Measures A and B, thereby authorizing
that TAM be given the responsibility to administer the proceeds from a one-half cent transportation sales
tax (TST) and a $10 increase in the vehicle registration fee (VRF), respectively, to fund transportation -
related projects and programs in Marin County.
2. The proceeds will be used to pay for the programs and projects outlined in the TST (Measure A)
and VRF (Measure B) Expenditure Plans and further guided by the TST and VRF Strategic Plans.
3. According to the TST Strategic Plan, TST interest earnings will be allocated to projects and
programs as determined by the TAM Board that are above and beyond the four established strategies but
consistent with the intent of the TST Expenditure Plan.
4. The TAM Board in 2006 established a policy to fund up to 50% of the cost with TST interest
funds to perform routine maintenance of newly created pathways on the North/South Greenway.
5. According to the VRF Strategic Plan, five percent (5%) of VRF funds will be allocated to
sponsors, under Element 1.1, to perform routine maintenance on Class I bicycle and pedestrian pathways
opened for public use after January 1, 2008.
6. Routine maintenance tasks include trash collection, sweeping, weeding, trimming brushes and
shrubs, clearing debris and leaves, removing graffiti, performing visual inspections, filling minor potholes
and surface crack, conducting minor repairs, repairing lights and landscape irrigation, and paying
electricity, water, and security costs.
7. For VRF funds, the annual allocation will be retroactive to the date of opening of the facility and
will remain effective until another eligible Class I bike path is opened for public use.
8. When a new Class I pathway is deemed eligible to receive TST or VRF funds for routine
maintenance, the amount of annual TST and/or VRF allocations to existing funded pathways will be
reassessed and an amendment to this AGREEMENT will be issued.
9. RECIPIENT is the responsible agency for all operations and maintenance work on the Puerto
Suello Hill Pathway along southbound State Route 101.
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SECTION 2. PURPOSE OF FUNDING AGREEMENT
This AGREEMENT is entered into by and between TAM and RECIPIENT to document the funding
conditions necessary for the RECIPIENT to comply with applicable law and TAM policies. This
Agreement is further entered to supersede TAM CONTACT A -FY -10/11-010 (dated August 2, 2010) that
was previously entered to fund routine maintenance of the Puerto Suello Hill Pathway. TAM CONTACT
A -FY -10/11-010 is hereby null and void.
SECTION 3. PROJECT DEFINITION AND SCOPE
This AGREEMENT, approved by the TAM Board on November 29, 2012, in accordance with the
requirements of TAM's TST and VRF Expenditure Plans and Strategic Plans, is made for the purpose of
performing routine maintenance of the Puerto Suello Hill Pathway.
Additional information on project scope is included in the attached Project Information Sheet (EXHIBIT
A).
SECTION 4. GRANT
TAM hereby grants to the RECIPIENT an annual sum in TST and VRF funds as shown in EXHIBIT A,
as approved by the TAM Board on November 29, 2012.
This AGREEMENT remains in effect until one of the following incidents occurs: 1) a new Class I
pathway is eligible to receive TST and/or VRF funds for maintenance and the amount of annual TST
and/or VRF funds to each eligible project is reassessed, 2) TST interest funds becomes insufficient to
support routine maintenance projects, or 3) any incident that triggers Section 16 below.
SECTION 5. COST ELIGIBILITY
Routine maintenance tasks and costs, as defined in EXHIBIT A, are eligible for reimbursement under this
AGREEMENT. Cost eligibility shall be determined by TAM's Expenditure Plan and Strategic Plan
policies. While the tasks and costs of the routine maintenance shall be eligible for reimbursement in
accordance with the terms of this AGREEMENT, the timing and amount of reimbursement will be
subject to a TAM allocation, based on available revenues, other anticipated project requests, and project
category and subcategory limits established in the TST and VRF Strategic Plans and Expenditure Plans.
SECTION 6. PROJECT OVERSIGHT
RECIPIENT shall cooperate with TAM's project management team and shall provide any requested
project information.
SECTION 7. COMPLIANCE WITH LAW
In the performance of its obligations pursuant to this AGREEMENT, RECIPIENT shall keep itself fully
informed of the federal, state and local laws, ordinances and regulations in any manner affecting the
performance of this Agreement, and must at all times comply with such laws, ordinances, and regulations
as they may be amended from time to time.
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SECTIONS. FINANCES
All costs charged to the project shall be supported by properly prepared and documented time records,
invoices, or vouchers evidencing in detail the nature and propriety of the charges and the basis for the
percentage charged to TAM.
SECTION 9. RECORDS
All checks, payrolls, invoices, contracts, vouchers, journal entries, work orders, or other accounting
documents pertaining in whole or in part to the project shall be maintained by RECIPIENT for a period of
five (5) years after the later of project closeout or termination of grant. Such project documents shall be
clearly identified, readily accessible, and, to the extent feasible, kept separate and apart from all other
similar documents not pertaining to the project.
SECTION 10. REIMBURSEMENTS
Payment shall be made by TAM for costs reimbursable under the terms of this AGREEMENT and
incurred prior to the termination date of this AGREEMENT. Payment to RECIPIENT of the grant shall
be upon written approval by TAM, upon submittal by RECIPIENT of appropriate support documentation
and identification of expenses incurred. Reimbursement requests, with appropriate documentation, may
be submitted annually after the first full year pathway is in service.
Each reimbursement request shall include RECIPIENT's certification that the amounts sought are only
for tasks and costs included in EXHIBIT A, and that RECIPIENT is in compliance with TAM's
requirements mentioned in this AGREEMENT.
SECTION 11. ELIGIBLE EXPENSES
RECIPIENT shall expend funds only on eligible expenses as follows: operating costs, direct staff time
(salary and benefits), contractors, and competitively bid construction contracts. Indirect costs (as defined
by OMB Circular A-87) will not be considered an eligible expense. Funds shall also be expended
according to the applicable provisions of the TST and VRF Expenditure Plans and of the Public Utilities
Code Section 180000 et seq.
SECTION 12. AUDITS
TAM reserves the right at any time to conduct or require a financial or performance audit of the
RECIPIENT'S compliance with this AGREEMENT. TAM will give advance notice of the requirement.
RECIPIENT shall permit TAM, or any of its duly authorized representatives, to inspect all work,
materials, payrolls, and other data and records with regard to the project, and to audit the books, records,
and accounts of the RECIPIENT and its contractors with regard to the project.
SECTION 13. THIRD PARTY CONTRACT AUDITS
TAM reserves the right to request an audit of other third party contracts for any reason. If RECIPIENT
is subject to third party financial audit requirements imposed by another funding source, copies of
audits performed in fulfillment of such requirements shall be provided to the TAM.
Page 3 of 6
SECTION 14. REPAYMENT OF INELIGIBLE COSTS
TAM reserves the right to offset RECIPIENT payback of ineligible costs against future grant approvals
for this project or other projects in the TST and VRF Expenditure Plans for which RECIPIENT is the
sponsoring agency.
SECTION 15. RIGHT TO WITHHOLD
If the above items are not provided to TAM by the annual due date and/or such items are found not to be
in compliance with this AGREEMENT, Public Utilities Code Section 180000 et seq., the TST or VRF
ballot measures or the TST or VRF Strategic Plans, TAM may withhold funds for future allocations from
RECIPIENT until RECIPIENT has corrected any noted deficiencies to TAM's satisfaction. While funds
are being withheld, all interest on withheld funds shall be retained by TAM as an administrative fee.
SECTION 16. TERMINATION FOR CAUSE
RECIPIENT agrees that, upon ten (10) working days written notice, TAM may suspend or terminate all
or part of the financial assistance provided herein for failure to correct a breach of this AGREEMENT.
Any failure to make reasonable progress, inconsistency with the TST or VRF Expenditure Plans or
EXHIBIT A, unauthorized use of grant funds as specified in this AGREEMENT, or other violation of the
AGREEMENT that significantly endangers substantial performance of the project shall be deemed to be a
breach of this AGREEMENT and cause for termination.
SECTION 17. CORRECTION OF BREACH
With respect to any breach, which is reasonably capable of being cured, RECIPIENT shall have thirty
(30) days from the date of notice of breach to initiate steps to cure. If RECIPIENT diligently pursues
cure, such RECIPIENT shall be allowed a reasonable time to cure or by a time established in writing by
TAM.
SECTION 18. LIABILITY
Neither TAM nor any officer or employee thereof, shall be responsible for any damage or liability
occurring by reason of anything done or omitted to be done by RECIPIENT under in connection with any
work, authority, or jurisdiction delegated to RECIPIENT under this AGREEMENT. It is also understood
and agreed that pursuant to Government Code Section 895.4, RECIPIENT shall fully defend, indemnify
and hold TAM 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 RECIPIENT under or in connection
with any work, or jurisdiction delegated to RECIPIENT under this AGREEMENT.
Neither RECIPIENT nor any officer or employee thereof, shall be responsible for any damage or
liability occurring by reason of anything done or omitted to be done by TAM under in connection with
any work, authority, or jurisdiction delegated to TAM under this AGREEMENT. It is also understood
and agreed that pursuant to Government Code Section 895.4, TAM shall fully defend, indemnify and
hold RECIPIENT harmless from any liability imposed for injury (as defined by Government Code
Section 810.8) occur in by reason of anything done or omitted to be done by TAM under or in
connection with any work, or jurisdiction delegated to TAM under this AGREEMENT.
In the event of concurrent negligence of RECIPIENT and TAM, the liability for any and all claims for
injuries or damages to persons and/or property shall be apportioned under the California theory of
comparative negligence as presently established or as may hereafter modified.
Page 4 of 6
SECTION 19. OBLIGATIONS
In general, termination of financial assistance under this AGREEMENT will not invalidate obligations
properly incurred by RECIPIENT before the termination date; to the extent those obligations cannot be
canceled.
SECTION 20. INTEGRATION
This AGREEMENT represents the entire AGREEMENT of the parties with respect to the subject matter
thereof. 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.
SECTION 21. AMENDMENT
Except as otherwise provided herein, 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. It is expected that EXHIBIT A will be amended as new pathways are
determined to be eligible for TST or VRF funds.
SECTION 22. INDEPENDENT AGENCY
RECIPIENT performs the terms and conditions of this AGREEMENT as an entity independent of TAM.
None of RECIPIENT'S agents or employees shall be agents or employees of TAM.
SECTION 23. ASSIGNMENT
The AGREEMENT may not be assigned, transferred, hypothecated, or pledged by any party without the
express written consent of the other party.
SECTION 24. BINDING ON SUCCESSORS, ASSIGNEES OR TRANSFEREES
This AGREEMENT shall be binding upon the successor(s), assignee(s) or transferee(s) of TAM or
RECIPIENT as may be the case. This provision shall not be construed as an authorization to assign,
transfer, hypothecate or pledge this AGREEMENT other than as provided above.
SECTION 25. EXPENSES
Each party shall be solely responsible for and shall bear all of its own respective legal expenses in
connection with any dispute arising out of this AGREEMENT and the transactions hereby contemplated.
RECIPIENT may not use GRANT funds, or other TAM programmed funds, for the aforementioned
purpose.
SECTION 26. SEVERABILITY
Should any part of this AGREEMENT be declared unconstitutional, invalid, or beyond the authority of
either party to enter into or carry out, such decisions 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.
Page 5 of 6
SECTION 27. EXHIBIT
The following Exhibit is hereby made part of this AGREEMENT:
EXHIBIT A: Project Information Sheet
SECTION 28. ACCEPTANCE OF GRANT
RECIPIENT does hereby declare that all written statements, representations, covenants, and materials
submitted as a condition of this AGREEMENT are true and correct and does hereby accept TAM's grant
and agrees to all of the terms and conditions of this AGREEMENT. The parties have executed this
AGREEMENT as of the date first written above.
City of San Rafael:
By:
Jim Schutz
Print Name
Citv Manaa_er
Print Title
Approved as to form (optional):
By:
_L, -. 4 &&d'i-
City of San Rafael, Attey
Transp on Authority of Ma ' (TAM):
By:
Di ne Stdinhauser, xecutive Director
J -L -:W X /_w� '� er1I Ass�-. City y
Print Name
Page 6 of 6
EXHIBIT A
PROJECT INFORMATION SHEET
PROJECT SCOPE
Perform routine maintenance on the following Class I Pathway:
• Puerto Suello Hill
Routine maintenance costs and tasks eligible for reimbursement under this AGREEMENT include the
following items:
• trash collection,
• sweeping,
• weeding,
• trimming brushes and shrubs,
• clearing debris and leaves,
• removing graffiti,
• performing visual inspections,
• filling minor potholes and surface cracks,
• conducting minor repairs,
• repairing lights and landscape irrigation,
• keeping drainage inlets and connecting pipes free of debris,
• maintaining skylight,
• electricity and water costs, and
• security costs that include services for opening and closing facility and CCTV operations.
The following items are not considered routine maintenance and will not be eligible for reimbursement
under this AGREEMENT:
• asphalt concrete resurfacing,
• shoulder repair,
• damaged sign repair or replacement,
• re -striping,
• structure inspection, and
• structure repair and repainting.
Any item not listed above will be evaluated on a case-by-case basis by TAM.
Pathway
Puerto Suello Hill
One -Time Retroactive Payment
TST Funds VRF Funds
$0 $132,013
Annual Payment
TST Funds VRF Funds
Up to 50% of $29,426
the Difference
Page 1 of 3
REIMBURSEMENT POLICIES
FY 10/11 to FY 13/14
According to TAM CONTACT A -FY -10/11-010, entered into by TAM and the RECIPIENT on August
2, 2010, $40,000 in Transportation Sales Tax (TST) funds was disbursed annually to the RECIPIENT
from FY 10/11 to FY 13/14, totaling $160,000 over the four-year period. As permitted by policy adopted
by the TAM Board on February 28, 2008, disbursements of the $160,000 in TST funds were intended to
represent 50% of the anticipated $80,436 annual path maintenance cost estimated at the time the
agreement was executed. However, RECIPIENT was able to maintain path at an annual cost much lower
than the original estimate. Final annual costs, including detailed non -labor related cost items, and
estimated labor costs, are illustrated in the table below.
Labor Cost
Non -Labor Cost
FY2010/11
$
12,650 $
FY2011/12
$
15,747 $
FY2012/13
$
14,222 $
FY2013/14
$
37,732 $
Total
$
80,350 $
Labor Cost
Total
20,280
$
32,930
20,280
$
36,027
20,280
$
34,502
20,280
$
58,012
81,120
$
161,470
Back in 2010, Marin Voters approved the Measure B Vehicle Registration Fee (VRF) and set aside 5% of
the annual revenue for routine path maintenance on Class 1 path facilities. The Puerto Suello Multi -use
Pathway is one of the pathways that are eligible for the funding. Upon the final execution of the funding
agreement that the City and TAM have been working on over the last few months, which will supersede
the current funding agreement A -FY -10/11-010, the City of San Rafael is expected to receive a total of
$132,013 in Measure B VRF funds for FY 10/11, FY 11/12, FY 12/13 and FY 13/14 from TAM with no
matching requirement. TAM staff recommends allowing the City to use 100% of the Measure B funds to
cover the maintenance cost between FY 10/11 and FY 13/14. The remaining cost would be eligible under
the Measure A interest funding category, subject to the 50% contribution level.
Line Item Amount
Eligible Expenditures (FY2010-11 to FY2013-14) $ 161,470
Available Measure B Funding $ 132,013
Remaining Balance - Item A $ 29.457
Cost Eligible for Measure A Funding (50% of Item A) $ 14,728
Total Measure A Reimbursement (FY2010-11 to FY2013-14) $ 160,000
Measure A Excess Disbursement Rescinded $ 145.272
Measure A and Measure B Swap $ 132,013
Reduction Against Future Payment $ 13,259
-Total Recovered Excess Pavment from the RECIPIENT $ 145.2721
Under this new agreement, the City will receive the full amount of the one-time retroactive Measure B
payment covering that portion of the $161,471 maintenance cost, and $14,728 in Measure A funds from
TAM to cover 50% of the remaining balance of $29,457. TAM will rescind $145,272 Measure A Sales
Tax funds disbursed. However, instead of requesting a payment for the rescinded Measure A funds
Page 2 of 3
disbursed to the City already, TAM will not make any additional payment to the City but transfer the
funds from Measure B VRF fund into the Measure A interest fund. The remaining balance in the amount
of $13,259 will be taken out of the future path maintenance payment(s) to the City to ensure all rescinded
Measure A funds are fully returned.
FY 14/15 and thereafter
Starting with reimbursement request for FY 14/15 and thereafter, RECIPIENT is required to submit
supporting documentation of actual routine maintenance costs. RECIPENT should submit a
reimbursement request with supporting documentation to TAM 90 days after the end of each fiscal year.
The amounts shown in the table on Page 1 of the Exhibit A are the current maximum amounts assigned to
each pathway. Excess funds from one pathway cannot be used defray the deficit from another pathway.
When a new Class I pathway is deemed eligible to receive TST or VRF funds for routine maintenance,
the amount of annual TST and/or VRF allocations to existing funded pathways will be reassessed and an
amendment will be issued.
Page 3 of 3