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HomeMy WebLinkAboutAGENDA REPORT 2024 1002 CCSA REG ITEM 10ICITY OF MOORPARK, CALIFORNIA City Council Meeting of October 2, 2024 ACTION APPROVED STAFF RECOMMENDATION INCLUDING ADOPTION OF RESOLUTION NO. 2024- 4277. (ROLL CALL VOTE: UNANIMOUS) BY A. Hurtado. I. Consider Resolution Amending Fiscal Year 2024/25 Budget for the Receipt of Low Carbon Transit Operations Program (LCTOP) Funds and Consider Interagency Agreement with Ventura County Transportation Agency for the Disbursement and Administration of those Funds. Staff Recommendation: 1) Authorize the City Manager to sign the Cooperative Agreement subject to final language approval by the City Manager and City Attorney; and 2) Adopt Resolution No. 2024-4277. (Staff: Michelle Woomer, Senior Management Analyst) (ROLL CALL VOTE REQUIRED) Item: 10.I. MOORPARK CITY COUNCIL AGENDA REPORT TO: Honorable City Council FROM: Daniel Kim, City Engineer/Public Works Director BY: Michelle Woomer, Senior Management Analyst DATE: 10/02/2024 Regular Meeting SUBJECT: Consider Resolution Amending Fiscal Year 2024/25 Budget for the Receipt of Low Carbon Transit Operations Program (LCTOP) Funds and Consider Interagency Agreement with Ventura County Transportation Agency for the Disbursement and Administration of those Funds BACKGROUND The Low Carbon Transit Operations Program (LCTOP) was established by the California Legislature in 2014 by Senate Bill 862. The LCTOP was created to provide operating and capital assistance for transit agencies to reduce greenhouse gas (GHG) emissions and improve mobility. In 2023 Ventura County Transportation Commission (VCTC) submitted the Battery Electric Charging Infrastructure (BECI) Project to the California Department of Transportation (Caltrans) to be used for construction of electrical charging infrastructure components. On October 27, 2023, Ventura County Transportation Commission (VCTC) received authorization for funding of its Fiscal Year (FY) 2022/23 LCTOP allocation for the BECI Project. This Project will help fund the construction, purchase equipment acquisition, and installation of BECI throughout Ventura County. This Ventura County BECI Project will help provide the resources to transit agencies in the County to help transition their fleet to zero-emission bus (ZEB) fleet by 2040, as mandated by the California Air Resources Board. VCTC has agreed to distribute $200,000 of LCTOP funds it received to the City of Moorpark for the construction of BECI for its future fleet of electric buses. Item: 10.I. 85 Honorable City Council 10/02/2024 Regular Meeting Page 2 DISCUSSION The City intends to use the LCTOP funding for the construction of BECI that will power Moorpark City Transit’s (MCT) future ZEB fleet. This Project meets the projected goal of reducing GHG emissions. MCT’s fixed route buses are stored and maintained by the City of Thousand Oaks at their Municipal Service Center (MSC). The City has coordinated with Thousand Oaks to build the electric charging infrastructure needed to power its future zero-emission bus fleet at the Thousand Oaks MSC. While Thousand Oaks is building their electric charging infrastructure for their own fleet of electric buses, they will concurrently build three electric charging stations for MCT’s future fleet of three ZEBs. The cost estimate for the construction of MCT’s electric charging infrastructure is $300,000 which will be funded by LCTOP funds and Transportation Development Act (TDA) funds. ENVIRONMENTAL DETERMINATION This Agreement is not subject to the California Environmental Quality Act (CEQA) as it does not constitute a project, as defined by Section 15378 of the State CEQA Guidelines. Therefore, no environmental review is required. FISCAL IMPACT A budget amendment in the amount of $200,000 is requested for the unanticipated revenue receipt of $200,000 in LCTOP funds in FY 2024/25. This grant funding will be used for the construction of electric charging infrastructure for our future fleet of electrical buses. Upon execution of the Agreement, VCTC will distribute the LCTOP funding to the City. The funds received through this grant will be deposited into account 2409-000- G0033-46350. COUNCIL GOAL COMPLIANCE This action does not support a current strategic directive. STAFF RECOMMENDATION (ROLL CALL VOTE REQUIRED) 1. Authorize the City Manager to sign the Cooperative Agreement subject to final language approval by the City Manager and City Attorney; and 2. Adopt Resolution No. 2024-____. Attachment 1: Cooperative Agreement Attachment 2: Draft Resolution 2024-____ 86 ATTACHMENT 1 INTERAGENCY AGREEMENT BETWEEN VENTURA COUNTY TRANSPORTATION COMMISSION AND CITY OF MOORPARK THIS AGREEMENT is entered into between Ventura County Transportation Commission (VCTC) and the City of Moorpark (AGENCY) regarding the disbursement and administration of funds from the State of California’s Fiscal Year (FY) 2022-2023 Low Carbon Transit Operations Program (LCTOP) as of _______day of ______________, 2024 (“Effective Date”). WHEREAS Senate Bill 862 of the 2014 Statutes appropriates funds from the Greenhouse Gas Reduction Fund to the Low Carbon Transit Program (LCTOP), administered by Caltrans; and, WHEREAS, on October 27, 2023, VCTC received authorization for funding of its FY2022-2023 LCTOP Battery Electric Charging Infrastructure Project (“Grant Funds”) for the construction, equipment acquisition, and installation of battery electric charging infrastructure projects; and WHEREAS, CITY OF MOORPARK intends to implement Electric Bus Charging Infrastructure (Project), which will further the purposes of the 2023 LCTOP Battery Electric Charging Infrastructure Project and is an eligible project for Grant Funds; WHEREAS, pursuant to VCTC’s LCTOP funding allocation, VCTC is authorized to allocate LCTOP funding to sub-recipient agencies as necessary in order to implement eligible projects; and WHEREAS, CITY OF MOORPARK has agreed to implement the Project pursuant to a contract with the City of Thousand Oaks for the installation of the Project at the City of Thousand Oaks’ Municipal Services Center, and VCTC desires to allocate funds for implementation of the Project. NOW, THEREFORE, THE PARTIES DO AGREE AS FOLLOWS: I. FUNDING/PROGRAM MANAGEMENT 1. Assignments of Participants: VCTC hereby agrees to engage the AGENCY and the AGENCY hereby agrees to carry out the work outlined in the Scope of Services, attached hereto and incorporated herein as Exhibit A, in connection with the administration of the Grant Funds. The AGENCY will be responsible for assuring that the AGENCY meets all grant requirements placed on LCTOP recipients (“Grant Requirements”) as detailed in Section II of this Agreement and in Exhibit B, attached hereto and incorporated herein. 87 2. Scope of Services: a. Grant Administration: As the original fund recipient, VCTC shall be responsible for distributing the Grant Funds to the AGENCY project. VCTC has agreed to distribute $200,000 of Grant Funds to the Project. b. Project Implementation: The AGENCY will implement Project in accordance with the Grant Requirements to the extent that funds from VCTC are available pursuant to this Agreement. The AGENCY anticipates implementing the Project under an agreement with the City of Thousand Oaks for the installation of the Project at the City of Thousand Oaks’ Municipal Services Center. 3. Title and Ownership: The title to and ownership of all equipment, tools, materials, and supplies (hereinafter referred to as "Equipment") purchased or otherwise acquired for use in connection with the Project shall vest in the AGENCY upon delivery to the Project site, unless otherwise specified in writing by VCTC, and unless otherwise agreed to between the parties and with the City of Thousand Oaks. 4. Operations and Maintenance Responsibility: The AGENCY shall be responsible, at its sole cost and expense, for the proper operations and maintenance (O&M) of all Equipment and infrastructure related to the Project as specified in the Original Equipment Manufacturer’s (OEM) contract manuals. This responsibility extends to all phases of the Project, including but not limited to installation, commissioning, testing, and operational use. The AGENCY shall perform all O&M activities in accordance with the manufacturer’s recommendations, industry best practices, and all applicable laws and regulations. 5. Duration of Agreement and Authorization to Proceed: This Agreement shall begin on the Effective Date and shall continue until June 30, 2026. Upon execution and allocation of Grant Funds, AGENCY is authorized to proceed with implementation of Project. 6. Entire Agreement; Integration: This Agreement constitutes the entire agreement between the parties hereto with respect to the administration of Grant Funds and obligations described herein for the [Project] and supersedes as of the date hereof any prior agreement(s) and amendments between the parties, written or oral, concerning the subject matter of this Agreement. 7. Amendments to the Agreement: The provisions of this Agreement may be amended upon written acceptance and ratification of any such amendment by both VCTC and the AGENCY. 8. Method of Payment: AGENCY must keep the unexpended Grant Funds in a separate interest-bearing account. Any interest that is accrued shall be accounted for and used for the Project. Any Grant Funds or accrued interest earned received in excess of the final Project cost, or those Grant Funds found to be owed back to VCTC as a result of a final, independent review or 88 audit, must be returned to VCTC within thirty (30) days of Project closeout or expiration of this Agreement. AGENCY shall provide supporting documentation that shows the reconciliation of all Project expenditures and any remaining unused funds. 9. Costs: VCTC shall have no liability for cost deficits for the Project. AGENCY shall have no authority to incur cost overruns for the Project and under no circumstances will VCTC be responsible for funding the Project in excess of the distributed funds and the interest earned thereon. Prior to the commencement of any charging infrastructure installation or modification, the AGENCY shall provide VCTC with a detailed cost estimate for the proposed work. The cost estimate shall include breakdowns of labor, materials, equipment, and any additional expenses associated with the Project. II. CALTRANS LCTOP REQUIREMENTS The AGENCY shall note the following provisions apply to LCTOP grants and shall take all necessary action to ensure its compliance as though it was the grantee directly. 1. Reports: In addition to any other reports required by the Grant Requirements, Annual performance reports shall be prepared and submitted to VCTC, no later than October 1st each year, for the duration of the Project performance period, or until all activities are completed and the Project is formally closed. Failure to submit performance reports could result in the reduction of Project funds, termination, or suspension of this Agreement. 2. Other Provisions: The AGENCY is subject to all Grant Requirements, any and all policies and regulations of Caltrans with regard to the FY 2022-23 LCTOP grant, and all applicable laws regarding California public agency procurements, including but not limited to public works requirements, transportation agency specialized rail equipment procurements, contract bid procedures, and the payment of prevailing wages. 3. Grant Performance Period: Funds allocated under this grant shall be expended by June 30, 2026 (“Grant Performance Period”). Funds remaining unexpended beyond the Grant Performance Period of the Grant Funds approved by Caltrans shall revert to Caltrans. 4. Audits/Recordkeeping: AGENCY shall provide VCTC with any data, records, or documentation necessary for compliance with audit procedures required by the Grant Requirements and shall cooperate with VCTC in the preparation of any audit to the extent necessary. Audits shall be performed on an annual basis. AGENCY shall retain all Project cost records for a minimum of three (3) years after completion of the Project or such other period of time as may be required by law. To the extent that any inappropriate or unallowable expenditures by AGENCY are identified and Caltrans requests repayment, AGENCY shall refund such funds to VCTC for transmission back to Caltrans in accordance with Section I.6. 89 III. OTHER PROVISIONS 1. Indemnification: To the fullest extent permitted by law, AGENCY shall protect, defend, indemnify, and hold harmless VCTC, its officers, agents, servants, and employees, from any and all liability arising out of, or caused by, any act or omission of AGENCY or its officers, agents, or servants as a result of any act or omission by AGENCY in its performance pursuant to this Agreement. The obligations of the AGENCY in these indemnity provisions survive the expiration or earlier termination of this Agreement. 2. Insurance: AGENCY shall procure and maintain for the duration of this Agreement insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder and the results of that work by AGENCY, its agents, representatives, employees or subcontractors. The insurance required by this Section may be satisfied by a program of self-insurance upon satisfactory documentation provided to VCTC that such self-insurance program meets the requirements outlined herein. a. MINIMUM SCOPE AND LIMIT OF INSURANCE Coverage shall be at least as broad as: i. Commercial General Liability (CGL): Insurance Services Office Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal & advertising injury with limits no less than $3,000,000 per occurrence/$6,000,000 general aggregate. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit. ii. Automobile Liability: ISO Form Number CA 00 01 covering any auto (Code 1), or if Contractor has no owned autos, hired, (Code 8) and non-owned autos (Code 9), with limit no less than $2,000,000 combined single limit, per accident for bodily injury and property damage. iii. Workers’ Compensation: as required by the State of California, with Statutory Limits, and Employer’s Liability Insurance with limit of no less than $1,000,000 per accident for bodily injury or disease. iv. If AGENCY maintains higher limits than the minimums shown above, VCTC requires and shall be entitled to coverage for the higher limits maintained by AGENCY. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the VCTC. b. Other Insurance Provisions: The insurance policies are to contain, or be endorsed to contain, the following provisions: i. Additional Insured Status: VCTC, their officers, officials, employees, agents and volunteers are to be covered as additional insureds on the CGL policy with respect to liability arising out of 90 work or operations performed by or on behalf of the Contractor including materials, parts, or equipment furnished in connection with such work or operations. General liability coverage can be provided in the form of an endorsement to the Contractor’s insurance (at least as broad as ISO Form CG 20 10 11 85 or if not available, through the addition of both CG 20 10, CG20 26, CG 20 33, or CG 20 38; and CG 20 37 if a later edition is used). ii. Primary Coverage: For any claims related to this Agreement, the AGENCY’s insurance coverage shall be primary insurance as respects VCTC, its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by VCTC, its officers, officials, employees, or volunteers shall be excess of the AGENCY’s insurance and shall not contribute with it. iii. Notice of Cancellation: Each insurance policy required above shall provide that coverage shall not be canceled, except with 30 days’ notice to VCTC. iv. Waiver of Subrogation: AGENCY hereby grants to VCTC a waiver of any right to subrogation which any insurer of said AGENCY may acquire against the VCTC by virtue of the payment of any loss under such insurance. AGENCY agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the VCTC has received a waiver of subrogation endorsement from the insurer. v. Self-Insured Retentions: Self-insured retentions must be declared to and approved by VCTC. VCTC may require AGENCY to purchase coverage with a lower retention or provide proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention. Further, if the AGENCY’s insurance policy includes a self-insured retention that must be paid by a named insured as a precondition of the insurer’s liability, or which has the effect of providing that payments of the self-insured retention by others, including additional insureds or insurers do not serve to satisfy the self- insured retention, such provisions must be modified by special endorsement so as to not apply to the additional insured coverage required by this agreement so as to not prevent any of the parties to this agreement from satisfying or paying the self- insured retention required to be paid as a precondition to the insurer’s liability. vi. Acceptability of Insurers: Insurance is to be placed with insurers with a current A.M. Best’s rating of no less than A:VII, unless otherwise acceptable to VCTC. c. Verification of Coverage: AGENCY shall furnish VCTC with original certificates and amendatory endorsements or copies of the applicable 91 policy language effecting coverage required by this clause. All certificates and endorsements are to be received and approved by VCTC before work commences. However, failure to obtain the required documents prior to the work beginning shall not waive AGENCY’s obligation to provide them. In the event a claim is filed against VCTC as a result of AGENCY’s actions, AGENCY shall provide VCTC a copy of AGENCY’s insurance policies upon request. d. Subcontractor: AGENCY shall require and verify that all subcontractors working on Project maintain insurance meeting all requirements stated herein, and AGENCY shall ensure that VCTC is an additional insured on insurance required from subcontractors. For CGL coverage, subcontractors shall provide coverage with a form at least as broad as CG 20 38 and CG 20 40. 3. Termination: The AGENCY may terminate this Agreement upon written notice to VCTC if Grant Funds are canceled or otherwise unavailable for the Project. AGENCY may terminate this Agreement for cause after giving written notice to VCTC of VCTC's default under this Agreement at least thirty (30) calendar days before the termination is to be effective. Within thirty (30) calendar days after receipt of the AGENCY's written notice of the default, VCTC may cure the default, or, if the default cannot be reasonably cured within that time period, if VCTC has not commenced the cure within that time period, diligently continued to pursue that cure, and completed it within one hundred eighty (180) calendar days after receipt of the notice. The AGENCY may not terminate this Agreement if VCTC cures the default in accordance with this Section 3. If the VCTC does not cure the default and AGENCY terminates this Agreement, AGENCY shall return any funds that are unused as of the date of the termination and that are not necessary for payment for services provided prior to the termination date. VCTC may terminate this Agreement upon written notice to AGENCY if Grant Funds are canceled or otherwise unavailable to the Project. VCTC may terminate this Agreement for cause after giving written notice to AGENCY of AGENCY's default under this Agreement at least thirty (30) calendar days before the termination is to be effective. Within thirty (30) calendar days after receipt of VCTC's written notice of the default, the AGENCY may cure the default, or, if the default cannot be reasonably cured within that time period, if the AGENCY has not commenced the cure within that time period, diligently continued to pursue that cure, and completed within one hundred eighty (180) calendar days after receipt of the notice. The VCTC may not terminate this Agreement if AGENCY cures the default in accordance with this Section 3. If the AGENCY does not cure the default and VCTC terminates this Agreement, the AGENCY may expend Grant Funds to pay contractors for Project work satisfactorily completed through the last working day this Agreement is in effect or committed to be spent by that date. Neither party shall have any other claim against the other party by reason of an early termination of this Agreement. 4. Changes to Agreement: This Agreement may only be amended by written agreement signed by all parties. 92 5. Availability of Grant Funds: The Parties understand and agree that VCTC’s obligation to allocate funds to the Project is expressly conditioned on the availability of Grant Funds. In the event that the Grant Funds are not allocated to VCTC or are otherwise canceled, terminated or unavailable, VCTC shall have no obligation to allocate funds to the Project. Under no circumstances is VCTC liable for any costs of the Project that are in excess of or ineligible for Grant Funds. 6. Notices of Notification: Any notice required to be given in writing under this Agreement, or other notifications, shall be given to the parties at the following addresses: to VCTC: Martin R. Erickson VCTC Executive Director 751 E. Daily Drive Camarillo, CA 93010 to AGENCY: CITY OF MOORPARK City Manager 799 Civic Center Dr Moorpark, CA 93021 93 CITY OF MOORPARK VENTURA COUNTY TRANSPORTATION COMMISSION ___________________________ __________________________________ Troy Brown Martin Erickson City Manager Executive Director APPROVED AS TO FORM: ______________________________ ___________________________ Kevin G. Ennis Steven T. Mattas City Attorney General Counsel 94 EXHIBIT A Scope of Work Moorpark City Transit is anticipating a total fleet of 3 EV buses. Thousand Oaks shall provide the City of Moorpark space at their Municipal Service Center, located at 1993 Rancho Conejo Boulevard, for the charging infrastructure for the City of Moorpark fleet. Funding shall be used to support the construction of dedicated charging stations for City of Moorpark buses. Construction shall include necessary trenching, conduit installation, wiring, and charging pedestals. 95 FY 2022-2023 LOW CARBON TRANSIT OPERATIONS PROGRAM GUIDELINES CALTRANS DIVISION OF RAIL AND MASS TRANSPORTATION EXHIBIT B Grant Requirements 96 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 2 of 32 Table of Contents Eligible Recipients 3 Lead Agency 4 Contributing Sponsor 4 Project Eligibility 6 Allocation Request and Award Requirements 9 Allocation Request Form 9 SB-942 Free & Reduced Transit Programs 10 Authorized Agent Form 11 Certifications and Assurances Form 11 Board Resolutions 11 LCTOP Benefits Calculator Tool 11 CARB Job Co-Benefit Assessment Methodology 12 Bank Account 12 Funding Plan 12 Rollover Projects 13 Allocation Request/Project Award 13 Expending Funds 14 Funds Expiration Calendar 14 Corrective Action Plan 14 Reassigning Funds to a New or Existing Eligible LCTOP Project 15 Interest Earned 17 Letter of No Prejudice 18 LCTOP Annual Calendar 19 LCTOP Allocation Request Submittal 19 Program Compliance and Reporting Obligations 20 Annual Expenditure Record (Caltrans) 20 Project Activity Report 20 Close-Out Report (Lead Agencies) 21 Expenditure Package/Close Out Report 22 Jobs Reporting (Lead Agencies) 23 Project Outcome Reporting 24 Project Audit 24 Site Visits 24 Vision Statement 25 Appendix A 26 Evaluation Criteria for Providing Benefits to Priority Populations 26 Appendix B 27 Alternative Approach D. Common Needs of Priority Populations 27 Appendix C 29 Co-Benefit Assessment Methodology Community Engagement Questionnaire 29 LCTOP Timeline 32 97 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 3 of 32 Summary The Low Carbon Transit Operations Program (LCTOP) is one of several programs that are part of the Transit, Affordable Housing, and Sustainable Communities Program established by the California Legislature in 2014 by Senate Bill 862. The LCTOP was created to provide operating and capital assistance for transit agencies to reduce greenhouse gas emissions and improve mobility, with a priority on serving disadvantaged communities. Approved projects in LCTOP will support new or expanded bus or rail services, expand intermodal transit facilities, and may include equipment acquisition, fueling, maintenance and other costs to operate those services or facilities, with each project reducing greenhouse gas emissions. For agencies whose service area includes disadvantaged communities, at least 50 percent of the total money received shall be expended on projects that will benefit disadvantaged communities. Senate Bill 862 continuously appropriates five percent of the annual auction proceeds in the Greenhouse Gas Reduction Fund (Fund) for LCTOP, beginning in 2015-16. This program will be administered by the California Department of Transportation (Caltrans) in coordination with California Air Resource Board (CARB) and the State Controller's Office (SCO). Caltrans is responsible for ensuring that the statutory requirements of the program are met in terms of project eligibility, greenhouse reduction, disadvantaged community benefit, and other requirements of the law. The 2022-2023 Low Carbon Transit Operations Program Guidelines (LCTOP) has separated the legislation pertaining to LCTOP to a separate document. If you need a legislative primer, please refer to the LCTOP Legislation Document. Please note that the LCTOP Guidelines are programmatic requirements that apply to all previously awarded projects, projects awarded within the concurrent year of the guidelines, and qualified lead agencies. Current guidelines supersede previously published guidelines. Failure to adhere to the administrative requirements of the LCTOP program due to delinquent reporting, missing financial records, or inability to complete projects can result in temporary suspension from receiving future appropriations until all outstanding delinquencies associated with the agencies are resolved. All awarded LCTOP funds administered from the Greenhouse Gas Reduction Funds (GGRF) are required to be quantified as stated in the CARB’s funding guidelines prior to the recipient agency being awarded any funds from LCTOP. Eligible Recipients Eligible recipients are transportation planning agencies and transit operators eligible for State Transit Assistance (STA) funds per Public Utilities Code 99313 or 99314. The State Controller’s Office (SCO) provides the list of eligible entities and available funding levels each year. (Refer to SCO’s apportionment announcement here). If an eligible agency cannot use their apportionment for any reason, please notify a LCTOP Liaison before the Allocation Request deadline. After the 98 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 4 of 32 deadline, any appropriated funds not utilized by an agency will need to be redistributed to operators within the regional service area. If, after due diligence, there are no other agencies in the region that can use those funds, then the funds may be allocated to agencies outside of the regional service area. All recipient agencies, both the Lead Agency and Contributing Sponsor, must comply with the California Air Resources Board (CARB) Funding Guidelines. The Funding Guidelines include requirements for reporting, recordkeeping and other activities designed to provide accountability and transparency. Lead Agency The Lead Agency is an eligible recipient of LCTOP funds that is responsible for overseeing or performing all work on a project from request to final reporting. The lead agency receives all funds directly from the State Controller’s Office (SCO) and is accountable for all project and program reporting requirements. These include but are not limited to the following tasks: 1. Submitting completed allocation request packages during the open call for projects that meet all statutory disadvantaged community, low-income community, and/or low- income household requirements, where applicable. 2. Oversight and/or performance of all work from the receipt of funding through the completion of the project. 3. Submitting all required project reporting including the annual Project Activity Report, Close-Out Report, Expenditure Report, Jobs Reporting, and Outcome Reporting. 4. All required program documentation includes but not limited to: Corrective Action Plans, Project Audits, Transportation Development Act Audits, and any additional information requested. Please review the Reporting section for greater detail. 5. Attend annual LCTOP Guidelines Workshops and Allocation Request Workshops, either in person or virtually. Contributing Sponsor The Contributing Sponsor(s) is an agency that redirects funds to the Lead Agency to support a project. The Contributing Sponsor(s) may be either the regional entity (PUC 99313) redirecting funds to a recipient agency within their region or a recipient agency (PUC 99314) redirecting funds to either a regional entity or another recipient agency within their region. If a Contributing Sponsor(s) has a DAC within its jurisdiction, at least 50% of the transferred funds must be utilized within a DAC and meaningfully address an important community transit need. The California Department of Transportation (Caltrans) is not responsible for tracking funding agreements (borrowing, loaning, delegating, relinquishing funds, etc.) between Lead Agencies and Contributing Sponsors(s). Contributing Sponsors must transmit a letter on agency letterhead stating how much funding and which funding type (99313 or 99314) will be contributed to the Lead Agency for use. Caltrans will track allocation amounts to ensure funding is accurate per regional apportionment and track the Contributing Sponsor(s) letter of agreement to pass their funds to the Lead Agency who will carry out the project requirements. All recipient agencies, both the Lead Agency and Contributing Sponsor, must comply with the California Air Resources Board (CARB) Funding Guidelines. The CARB Funding Guidelines include 99 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 5 of 32 requirements for reporting, recordkeeping and other activities designed to provide accountability and transparency. Please note CARB Funding Guidelines are mandated administrative requirements for LCTOP. 100 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 6 of 32 Project Eligibility The Low Carbon Transit Operations Program (LCTOP) was created to provide operating and capital assistance for transit agencies to reduce Greenhouse Gas (GHG) emissions and improve mobility, with a priority on serving disadvantaged communities (DACs). Per Public Resource Code 75230 (f) (1-3), monies for the program shall be expended to provide transit operating or capital assistance that meets any of the following: 1. Expenditures that directly enhance or expand transit service by supporting new or expanded bus or rail services, new or expanded water-borne transit, or expanded intermodal transit facilities, and may include equipment acquisition, fueling, and maintenance, and other costs to operate those services or facilities. 2. Operational expenditures that increase transit mode share. 3. Expenditures related to the purchase of zero-emission buses, including electric buses, and the installation of the necessary equipment and infrastructure to operate and support these zero-emission buses. The California Department of Transportation (Caltrans), in coordination with California Air Resources Board (CARB) will review each project to determine if the project supports at least one of the above-listed criteria, decreases GHG emissions, and benefits low-income households, low-income communities and/or a DAC (also known as Priority Populations). Please note any request or expense specifying a stage prior to construction will not be accepted under the program. Agencies that attempt to submit projects before planning or design phases are finished will not be approved. NEW! Removal of Five-Year Limit on Operations Projects (Effective as of 2023) Previous cycles only allowed LCTOP funding for new or expanded bus or rail services, new or expanded water-borne transit, free-fares, reduced fares, or expanded intermodal transit facilities for the first five (5) years from the date of its implementation. This restriction has been removed. Agencies are allowed to resubmit an operation project Allocation Request with the same project scope as a prior year without having to change its specifications. This rule applies for operations projects awarded prior to the new announcement. For any operations project that is consistent year over year, please ensure project names (i.e., title on the Allocation Request) are consistent and labeled with the corresponding year it is in (e.g., Year 1, Year 2, etc.). Agencies must expend all their operating funds and obtain confirmed proof of a close-out report from an LCTOP staff member before submitting a new application for funds on their operations project. Priority should be given to finishing projects that date back to the earliest fiscal year. The same rules and conditions apply to SB-942 projects. 101 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 7 of 32 Priority Population Identification The priority populations in California are disadvantaged communities, low-income communities, and/or low-income households. Senate Bill (SB) 535 and Assembly Bill (AB) 1550 direct State and local agencies to make investments that benefit these populations. Residents of the following "priority populations" are included: (1) census tracts identified by the CalEPA as being disadvantaged under SB 535; (2) census tracts identified as being low-income under AB 1550; or (3) a low-income household under AB 1550. The Lead Agency will document and select the appropriate information to show their project meets all DAC and AB 1550 population requirements by: ● Being physically located in an AB 1550 community census tract or benefit a low- income household; and ● Meaningfully address an important community or household need; and ● Providing direct, meaningful, and assured benefits to an AB 1550 population, consistent with the criteria in the California Air Resources Board (CARB) Funding Guidelines (see Appendix A). ● Provide a map(s)depicting their project in relation to the AB 1550 Population; identify the latitude and longitude coordinates of their specific project location in the Allocation Request ● In an effort to meet SB 535 and AB 1550 requirements, maps identifying a DAC and or low-income community are available at: SB 535 Interactive Map 4.0 https://oehha.ca.gov/calenviroscreen/report/calenviroscreen-40 A “look-up” tool and list of Housing and Community Development’s “low- income” threshold by county and household size are available at https://www.hcd.ca.gov/docs/grants-and- funding/inc2k22.pdf Addressing an Important Need for a Community or Household LCTOP’s goal of funding projects that provide direct, meaningful, and assured benefits towards Priority Populations extends beyond the legislative requirements of SB 535, AB 1550, and SB 862. (For evaluation criteria of benefits, see Appendix A and Appendix B.) Program staff encourage recipient agencies to coordinate internally with their planning, outreach, or marketing staff to provide comprehensive qualitative or quantitative information that details (including but not limited to) community engagement, prioritized planning towards Priority Populations, or any other internal process or procedures that capture the intentional efforts dedicated towards funding the project. Applicable projects shall specify how the investment will result in benefits that meaningfully address an important community or household need(s). Compliant with CARB’s Funding Guidelines, project leads must use at least one of the four approaches as described in Step 2 of the Sustainable Transportation Benefit Criteria Tables (Appendix A) to determine community or household need. These approaches include: 102 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 8 of 32 1. Recommended Approach: Host virtual or in-person community meetings, workshops, outreach efforts, or public meetings as part of the planning process to engage residents and community groups for input on community or household needs, and document how the received input was considered in the design and/or selection of projects to address those needs. 2. Recommended Approach: Receive documentation of support from local community-based organizations and/or residents (e.g., letters, emails) identifying a need that the project addresses and demonstrates that the project has broad community support; 3. Alternative Approach: Where direct engagement is infeasible, look at the individual factors in CalEnviroScreen 4.0 that are most impacting an identified disadvantaged or low-income community (i.e., factors that score above the 75th percentile), and confirm that the project will reduce the impacts of at least one of those factors; or 4. Alternative Approach: Where direct engagement is infeasible, refer to the list of common needs for Priority Populations in CARB’s Funding Guidelines Table 5 and confirm that the project addresses at least one listed need. LCTOP staff advises eligible agencies to utilize the second or third recommended approaches above to determine the needs of the Priority Populations. The program funds should result in benefits that either address an important need commonly identified by DAC and/or low- income residents or address a key factor that caused the area(s) to be identified as a DAC or low- income community, as described above. Please refer to CARB’s Funding Guidelines for a detailed description of the need’s identification process. In addition, Lead Agencies must utilize the Community Engagement Co-Benefit Assessment Methodology. This is provided as Appendix C within these guidelines, as well as the Allocation Request Supplemental Guidance, and online at the California Climate Investments Co-Benefits website: https://www.cdfa.ca.gov/oefi/ddrdp/docs/final_communityengagement_am.pdf Lead Agency would assess their level of community engagement as High, Medium or Low based on a series of questions and then assess the response. 103 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 9 of 32 Allocation Request and Award Requirements This section will highlight how an agency should submit their allocation request and the requirements for the awarded projects that the Lead Agency and Contributing Sponsor(s) must comply with. Please note: The allocation request will be treated in accordance with the Public Records Act requirements and that certain information, subject to those requirements, may be publicly disclosed. To further support these requirements, the initial Awarded Project List is posted annually to the Low Carbon Transit Operations Program (LCTOP) website. LCTOP is a formulaic program and LCTOP staff provide technical assistance to lead agencies on a first-come-first- serve basis when preparing allocation requests during the optional draft review period. If agencies intend to submit draft Allocation Requests, they should first consult with their liaison. LCTOP staff will also host workshops for agencies on how to complete the Allocation Request and post sample project types for reference. Allocation Request Form The Lead Agency must submit an Allocation Request annually to the California Department of Transportation (Caltrans) for each proposed project it intends to fund with LCTOP. The LCTOP Allocation Request is the basis for Caltrans’ verification that the project is consistent with LCTOP requirements. The Allocation Request package consists of an Excel document containing multiple worksheets (Allocation Request, QM-Tool, Lat-Long, Map), a Word document that includes the Signature Pages (Authorized Agent, Certifications and Assurances, and sample Board Resolution). Within the Allocation Request form, agencies must provide project information, project sponsors, detailed description of the project’s major benefits, project schedule, etc. This also includes a detailed account of the project funding with an itemized list of all funding sources depicting the full scope of project costs. If the Lead Agency is leveraging or pursuing funds from multiple sources of Greenhouse Gas Reduction Fund (GGRF) dollars, the sources should be described in detail and by fiscal year to ensure benefits are attributed accurately to each program. To ensure that LCTOP expenditures are not supplanting existing transit funding sources, a recipient agency receiving LCTOP funds shall certify that the funds will not be used to pay for existing expenditures. Caltrans may audit recipient agencies to determine whether LCTOP funds are being used to supplant funding. If Caltrans determines that an agency is in fact supplanting with LCTOP funds or using funds beyond what is permissible, agencies will be notified via certified mail. A complete Allocation Request must be submitted annually to receive an apportionment except for Allocation Requests formerly submitted under SB 942. A Lead Agency may only submit the Allocation Request during the annual call for projects and must be submitted by the final due date. This will allow the State to release funds annually to the Lead Agency’s bank account where funds could potentially accrue interest. Agencies who do not submit an Allocation Request will not have apportionments held or carried over into the following year for them. LCTOP will not accept late submissions of Allocation Requests. Agencies will have two options if they miss the deadline or do not submit an Allocation Request: (1) LCTOP has the 104 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 10 of 32 discretion to redistribute the apportionment to an eligible agency within or outside their region that has submitted their Allocation Request on time or (2) become a Contributing Sponsor. LCTOP will communicate with the agency regarding the two options above. All unallocated funds in the award year will be repurposed back to LCTOP for the following year. Contributing Sponsors must transmit a signed letterhead to accompany the Lead Agency’s Allocation Request indicating the dollar amounts to be contributed to the project. If there are multiple Contributing Sponsors, each sponsor must submit a signed letter with the required information as described above. SB-942 Process for Free or Reduced Fare Transit Programs The LCTOP Guidelines designates the program and reporting requirements that agencies must adhere to and the time of the guidelines being published. The new precedent for agencies using the SB 942 Allocation Request process allows transit agencies to use an alternative application submittal procedure for eligible free fare and reduced fare projects. SB 942 allows transit agencies to apply for three years of funding for free/reduced fare projects, with just one initial Allocation Request. The bill allows transit agencies using funds from a previous fiscal year to use the subsequent funding to support operational assistance for a future fiscal year as long as the transit agency can demonstrate reductions in emissions of greenhouse gasses and without any restrictions to the length of time. The bill does not allow for agencies to bypass using the CARB QM tool, Jobs Calculator, or GHG Calculator to quantify the benefits of a lead agency’s project to receive their new apportionments for concurrent or future fiscal years. Per CARB’s funding guidelines, all GGRF funds must be quantified prior to award. The LCTOP program cannot allocate non-quantified GGRF funds directly to a transit agency. For SB 942 projects, transit operators must commit all their LCTOP funds up front in their initial submittal for their free or reduced fare project, and then provide subsequent reporting information for the remaining three years. Currently auction proceeds are not announced three years in advance and all allocated GGRF funds administered from LCTOP must be quantified by the CARB GHG Calculator tool and Quantification Methodology. For SB 942 projects, the recipient transit agency shall submit to liaisons an initial Allocation Request that meets all requirements in terms of project eligibility, GHG reductions, improved mobility, and DAC benefits. After submission, the recipient transit agency will not be required to submit additional Allocation Requests for the next three fiscal years but shall still be required to provide reporting documentation necessary to meet program qualifications and to begin the operating subsidies within 6 months of the award date. 105 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 11 of 32 Agency Requirements specific to SB 942: 1. Authorized Agent Form Agencies have 3 years including the initial year of allocated funds to expend their LCTOP funds. 2. Only eligible to use the requested total of LCTOP funds in their initial Allocation Request submittal. 3. In the Allocation Request, specify ‘Yes’ if the operation project uses SB 942. The executive authority of an eligible recipient of LCTOP funds must submit to Caltrans a signed and dated Authorized Agent form that is Board-approved, identifying the agent(s) given authority to act for the executive authority to submit the Allocation Request form and all reporting documents. If there is a change in the Authorized Agent(s), the eligible recipient must submit a new form. Otherwise, a previous year Authorized Agent form may be submitted. This form is required even when the Authorized Agent is the executive authority. Certifications and Assurances Form The Authorized Agent for the Lead Agency must sign and submit, with their Allocation Request, a self-certification that the Lead Agency will meet all requirements of the LCTOP Guidelines, including all reporting deadlines. Board Resolutions The Resolution must include a description of the project, the amount of LCTOP funds requested, identification of any DAC and/or Low-Income communities project requirements, and a list of Contributing Sponsors in the publicly approved project Board Resolution. This Resolution is crucial and demonstrates the project was publicly reviewed. LCTOP staff strongly recommends utilizing the sample Project Board Resolution to ensure all language is captured. A Lead Agency may combine multiple LCTOP projects on one resolution, however, each project must be listed separately or bulleted with the allocated dollar amounts and project name. If the project is an approved roll-over from the previous year, an updated Resolution is required annually per project. Only Allocation Request packets with all required and completed signature forms will be accepted. Draft Board Resolutions are acceptable in the interim of official Board approval. LCTOP Benefits Calculator Tool (QM) Allocation Requests must use the corresponding California Air Resources Board (CARB) approved Benefits Calculator Tool (QM) to calculate the estimated greenhouse gas (GHG) emission reductions associated with a proposed LCTOP project. This tool will provide a uniform approach to quantify GHG emission reduction in metric tons of carbon dioxide equivalent. All projects must net a positive emissions reduction to qualify for approval. This tool will use project level data specified within the Allocation Request for estimated ridership increases and corresponding Vehicle Miles Traveled (VMT) reductions. The QM also estimates the following selected co-benefits and key variables from LCTOP projects: reductions in criteria and toxic air pollutants (in tons), including diesel particulate matter (PM), nitrogen oxide (NOx), reactive organic gasses (ROG), fine PM less than 2.5 micrometers, passenger 106 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 12 of 32 VMT reductions (in miles), fossil fuel use reductions, renewable energy generated in kilowatt hours (kWh), fossil fuel energy use reductions (kWh), travel cost savings ($), energy savings, and fuel cost savings ($). LCTOP staff will integrate the QM into the Allocation Request for a streamlined approach to submit project requests. Please find the QM (as a stand-alone) and corresponding documents (PDF instructions and Excel based tool) online at: www.arb.ca.gov/cci-quantification. CARB Job Co-Benefit Assessment Methodology Allocation Requests must utilize the CARB Job Co-Benefit Assessment Methodology to estimate jobs supported by California Climate Investments (CCI) projects. A job is defined as a full-time equivalent (FTE) employment of one person for one year. These jobs supported by an LCTOP project include direct, indirect, and induced employment. This tool will be integrated by LCTOP staff into the Allocation Request to provide a uniform approach to model jobs support for all CCI. LCTOP staff integrated this tool into the Allocation Request to streamline the submittal process. The tool can be found as a stand-alone tool at: https://ww2.arb.ca.gov/resources/documents/cci-methodologies. Bank Account Once an Allocation Request is approved, the State Controller’s Office (SCO) will release the allocation amount to the Lead Agency. The Lead Agency must deposit funds into a dedicated bank account that will hold only LCTOP funds. If a separate account is not possible, the agency must show documents of a line item or subaccount dedicated to LCTOP funds. Funding Plan Within the Funding Plan of the Allocation Request, recipients must certify that each project seeking LCTOP funds does not supplant another source of funds and that the project must begin expending LCTOP funds within 6 months of award (for rollover projects, within 6 months of final award). Lead Agencies cannot expend LCTOP funds on cost incurred before LCTOP award/approval without an approved Letter of No Prejudice. If LCTOP identifies a project that has not abided by the above terms after it has been awarded funds, delinquent reporting can lead to a hold on future allocations until outstanding reporting issues are addressed. Therefore, it is incumbent upon agencies to thoroughly plan projects prior to submitting a request for LCTOP funds. Any request or expenditure identifying a phase before construction will not be eligible for the program. Agencies that attempt to submit projects before planning or design are completed, will not be accepted and are subject to having their allocated funds transferred if they do not have a project that meets the eligibility requirements. The program is not based on reimbursements. SB-942 projects are required to commit their apportionment concurrent to the initial submittal of their SB-942 project and spend all LCTOP funds within three (3) years. ● Apart from projects accumulating rollover funds, all projects are to start within 6 months of the award date. Anything that initiates a project (e.g., place a bid/order, procurement of equipment, routes begin services, ready for construction or new installations) 107 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 13 of 32 constitutes a start to a project. Rollover Projects If the Lead Agency is not prepared to initiate a fully planned project in the current fiscal year, it may roll funds over into a subsequent fiscal year, accruing a maximum of 4 years of LCTOP funds for a more substantial project. Regardless of the number of years, agencies have a maximum of 4 years that an agency plans to accrue or rollover funds for a project; each project ID is viewed as one project. Rollover projects must be completed and fully expend funds within the subsequent 4 years from the final rollover year. Please note that the clock does not restart when rollover funds are transferred. The money allocated to the new project must be expended within the time frames stipulated in the initial funding allocation. If the Lead Agency intends to roll over funds or hold funds for a more substantial project, a complete Allocation Request package must be submitted during each fiscal year. If the Lead Agency fails to submit an allocation for a planned rollover, the project must begin immediately without further LCTOP funding. Unrequested funds will not be held by the State for a future request. The Allocation Request must list any prior year’s funds, the current year funds, and the estimated additional year(s) so the total LCTOP fund use is documented. The total project cost must be identified in the first year of roll over, with the total LCTOP contribution determined. Any request to increase the project costs must be justified with increased GHG benefits via a Corrective Action Plan (CAP). After a project is fully reviewed and approved, the SCO will release the requested funds to the Lead Agency to be deposited in the dedicated LCTOP bank account. Upon receipt of the final year’s funding, whether 4 years or less, the agency will have six months to begin the project. Allocation Request/Project Award LCTOP staff will review submitted Allocation Requests and contact Lead Agencies as needed for clarification and/or revisions. CARB staff concurrently review each request. If CARB staff have comments or concerns, LCTOP staff will work with Lead Agencies to address these and make necessary revisions. If Lead Agencies do not make necessary revisions to the submitted Allocation Request, the project will not be awarded. LCTOP staff will document and communicate early on with the Lead Agency on why Allocation Requests are not moving forward for award. Allocation Requests will be awarded if they meet all criteria after the review and approval from LCTOP and CARB staff. LCTOP staff will compile and send the final project list to the State Controller’s Office (SCO) for award. The SCO will announce the awarded projects and transmit direct payment to Lead Agencies. Following SCO’s announcement, Caltrans will post a press release and send award letters to Lead Agencies. This award letter will detail the project information and include the LCTOP assigned project identification number. Lead Agencies will use this number for the life of the project for all reporting. 108 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 14 of 32 Expending Funds Lead Agencies must expend funds on approved final projects in a timely manner. Awards for fiscal years 15/16 and 16/17 had three years to be expended. As of FY 17/18 and beyond, Lead Agencies have 4 fiscal years from the project award date to expend funds. Lead Agencies cannot expend LCTOP funds on costs incurred prior to LCTOP award/approval. Pre-revenue costs are not permitted for LCTOP operations projects. This is not a reimbursement program; funds are awarded annually upfront for expenses approved and outlined in the Allocation Request that are to be incurred after the project is awarded. Lead Agencies shall not exceed 10% of allocated funds to a marketing component of LCTOP projects and are encouraged to utilize as much of the awarded funds to benefit a DAC. Funds Expiration Calendar Award Year Expiration Date Project funds awarded in FY 15/16, 16/17, & 17/18 are now expired, and projects should be completed. Please contact your LCTOP Liaison to submit the close-out documents. FY 15/16 June 30, 2019 FY 16/17 June 30, 2020 FY 17/18 June 30, 2022 Please Note: The expiration of funds for projects awarded FY 17/18 onwards is 4 years. For rollover funds, the countdown of 4 years begins the last rollover year that funds accrue. FY 18/19 June 30, 2023 FY 19/20 June 30, 2024 FY 20/21 June 30, 2025 FY 21/22 June 30, 2026 FY 22/23 June 30, 2027 Corrective Action Plan (Lead Agencies) To change an approved Allocation Request, including any changes to the original approved scope of work or LCTOP funding, the Lead Agency must obtain a Corrective Action Plan (CAP) approval. This must be done before funds can be applied to any use other than the current project’s approved scope of work. Funds may not be used on an alternate project until the CAP has been submitted and approved. If the scope of work changes the type or level of benefits, the changes must also be reflected in the benefit description, with revised estimates of benefits listed. If there are significant changes to the project, a revised QM may be requested to demonstrate a reduction in GHG emissions. If Caltrans staff determine that an agency has repeatedly demonstrated the inability to complete awarded projects or over-reliance on reassigning project funds without completing projects, then the agency will be placed on the high-risk list and may be subject to a spot audit. Agencies who fail to submit CAP revisions as requested by Caltrans staff in a timely manner and/or are delinquent in other required reports and submittals, will not receive further allocations 109 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 15 of 32 of LCTOP funds until all delinquent items have been submitted and approved. If the Lead Agency is submitting a CAP that exceeds $100,000 of LCTOP funds, the agency will need to submit a draft Board Resolution along with the CAP. Once the CAP is approved, the Lead Agency will need to submit the final approved Board Resolution along with the CAP. LCTOP is asking the agency to be transparent and to inform their board members of changes to the original approved LCTOP project. The project change may not move forward until Caltrans has approved the CAP. If it is discovered that an agency has begun spending funds on a task or project outside the approved scope of work prior to submitting a CAP and prior to Caltrans approval of the CAP, the agency will be placed on the delinquent list. The State is entitled to recover all funds that are spent on ineligible expenses. Corrective Action Plan Rules 1. CAPs cannot be submitted during a call for new projects and the Allocation Request review cycle despite the circumstances (See LCTOP 2023 Timeline on page 32). Transit agencies are to meet with the LCTOP liaison to discuss project issues or delays before or after the review cycle. 2. Multiple CAPs received from agencies will be reviewed by the LCTOP Liaison in the order received. Agencies may also be asked, at the discretion of the LCTOP Liaison, to consolidate requested changes associated with all relevant projects onto one CAP. 3. LCTOP will not accept CAPs submitted from agencies that attempt to split funds between multiple approved LCTOP projects. 4. LCTOP funds can be requested to be returned if no viable project can be found. Please note that project funds associated with SB 942 projects can only be transferred out of the project if the agency plans to cancel the entire project in full. Any cost-savings left over after the project is canceled could be requested to return to the LCTOP program depending on the delinquent status of the agency or if the agency has no viable projects. Notice: Agencies who have not fully expended awarded funds within the expenditure timeframe could be required to return the remaining unused funds to LCTOP depending on the agency's delinquent status or if they choose not to contribute their unused funds to another agency. Reassigning Funds to a New or Existing Eligible LCTOP Project Lead Agencies may find that they have residual funds at the completion of an approved LCTOP project or they may determine that the funded LCTOP project is no longer a high priority or feasible. As a result, the Lead Agency may apply to reassign funds to a different approved LCTOP project. A Corrective Action Plan (CAP) along with a completed Close-Out Report (COR) must be submitted for the original project. If the project is completed and there are residual funds, an agency should include the proposed use for the residual funds as part of the required COR. Projects with Contributing Sponsor funds must obtain approval/acknowledgement from 110 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 16 of 32 the sponsor on the new use of the funds. If the use of residual funds has not yet been determined, Caltrans staff shall treat the project as on-going (incomplete) until the agency identifies an eligible LCTOP project to receive the residual funds. If the agency elects to reprioritize eligible projects and redirect approved LCTOP funds to an alternate project, a CAP for the original project must also be submitted. The alternate project must also be approved by Caltrans, with concurrence from CARB. If the alternate project is not a previously approved LCTOP project, the Lead Agency must submit a completed Allocation Request during the next call for projects and comply with all the requirements. Reassigning Funds to a NEW Eligible LCTOP Project: 1. Reassigning funds to a NEW eligible LCTOP project may not occur during a call for new projects and the Allocation Review cycle (See LCTOP Timeline page 32). 2. The Lead Agency must submit a CAP for the project that will no longer be using LCTOP funds. The justification should include a description of the project that will receive the reassigned funds and reference the fiscal year of the new project. 3. If the reassigned funds have been accrued from a project within a DAC, the reassigned funds may only be applied to another project with DACs. These projects must meet legislative requirements as stated in Assembly Bill 1550 or Senate Bill 1119. Please note: The funds being reassigned are tied to the funding year of the award. 4. The Allocation Request for the reassigned funds should be treated the same as an Allocation Request submitted for new funding, and all required documents must be submitted in the same manner. 5. The new project must expend the funds within the time limits of the original allocation of funds. 6. If there are any Contributing Sponsors to the reassigned funds, the Lead Agency must obtain approval from the Contributing Sponsor for the change in use of their funds. This may be documented by adding a signature to the CAP or including a signed letter from the contributor’s indicating agreement to the use of their funds. 7. The new Allocation Request must have all the authorized signatures of the same agencies as the original project, indicating all Contributing Sponsors are aware of the new use of their contributed funds. 8. The Lead Agency may not expend any funds on the new project before receiving written approval from Caltrans. Reassigning Funds to an EXISTING LCTOP Project: 1. Reassigning funds to an EXISTING LCTOP project may not occur during a new call for projects and the Allocation Review cycle. 2. The justification should list the project that will receive the reassigned funds and include the project ID number listed on the award letter. 111 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 17 of 32 3. The reassigned funds must be expended within the time limits of the original allocation of funds. 4. If there are any Contributing Sponsors to the reassigned funds, the Lead Agency must obtain approval from the Contributing Sponsor for the change in use of their funds. 5. At the discretion of LCTOP staff, Lead Agencies are limited to two fund transfers per fiscal year (July 1st – June 30th). If an agency is delinquent on reporting or expenditure of funds, then CAPs can be denied until all outstanding delinquencies are met. The transfer is also limited to 3 funding years and agencies are required to provide a financial statement showing the LCTOP balance before the transfer. LCTOP will provide additional flexibility in project delivery where possible to realistically account for COVID impacts on transit operation and operating changes in the post COVID environment. COVID driven changes could be what falls under the exception, but LCTOP has the right to reject CAPs within reason. Interest Earned Interest on LCTOP funds must be used similarly as the principal. Interest remaining after a project has been completed can only be applied to another approved LCTOP project. Any unused interest not applied to a current project may be applied to a proceeding project on the next Allocation Request cycle. This interest clause applies retroactively to all interest funds that have been currently accrued. If interest is added to a new project during the Allocation Request cycle, it should be added in the "Prior column/Other Funds" field of the Allocation Request form. Annual Project Activity Reports will now include an explicit input for accrued interest. The close- out report must include information about the source and exact amount of interest used on a project. As of 2022, LCTOP is tracking interest across all awarded projects, both operation and capital. Agencies will be required to provide financial records for their interest accrued or will not be eligible to come in for future funds until the documents have been provided. LCTOP Liaisons are entitled to request further documentation from transit agencies, conduct audits, and set up meetings with transit agencies and any stakeholder(s) tied to LCTOP funds. Moreover, agencies are held accountable for interest accrued from LCTOP awards prior and hereafter this new policy. Interest accrued on LCTOP funds are subjected to the same statutory funding requirements and fall within the purview of LCTOP guidelines, monitoring and reporting. Listed below are the are CAP that require a prior meeting with LCTOP staff before an agency can submit the request: ● Request to transfer interest if there are currently four or more open projects with Capped funds. ● Splitting lump sums. ● Transferring funds to other transit agencies. 112 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 18 of 32 Letter of No Prejudice A Lead Agency may apply for a Letter of No Prejudice (LONP) in advance for an eligible expenditure under LCTOP. Caltrans will thoroughly review the agency's LONP request and subject the agency to future callbacks based on historical record of project completeness to ensure the LONP is not proposing to supplant funds and that LCTOP funds are spent on eligible project costs. The LONP is necessary as LCTOP provides upfront project funds. If approved by Caltrans, the LONP will allow the Lead Agency to expend its own money for the project and be eligible for future reimbursement from monies available for the program. The amount expended shall be reimbursed by the State from funds available to the program if all the following conditions are met: 1. The project or project component for which the LONP was requested has commenced and the regional or local expenditures have been incurred. 2. The expenditures made by the Lead Agency are eligible expenditures under the program. If the expenditures made by the Lead Agency are determined to be ineligible, Caltrans has no obligation to reimburse those expenditures. 3. The Lead Agency complies with all legal requirements for the project, including the requirements set forth by the California Environmental Quality Act (CEQA). 4. There are funds in the Greenhouse Gas Reduction Fund (GGRF) designated for the program that are sufficient to make the reimbursement payment. The Lead Agency and Caltrans will enter into an agreement governing the potential reimbursement. The timing and final amount of the reimbursement shall be dependent upon the terms of the agreement and the availability of funds in the GGRF for the program. The “reimbursement” will take place in the form of a submitted and approved Allocation Request that would take place at the next available submittal and award period. Please be advised that LCTOP funding is not guaranteed and fluctuates per quarterly auction. The Lead Agency should calculate the estimated project GHG emissions reduction to ensure final project approval by CARB and Caltrans with an approved Benefit Calculator (QM Tool). 113 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 19 of 32 LCTOP Annual Calendar Allocation Request Schedule ● Caltrans posts LCTOP Guidelines FY 2022-2023 January 2023 ● LCTOP Staff will release Allocation Request template January 2023 ● LCTOP optional draft Allocation Request window opens early Jan – late Feb 2023 ● LCTOP Allocation Request Workshop #1 January 24th held in Pasadena ● LCTOP Allocation Request Workshop #2 February 22nd held Online ● SCO releases Apportionment Announcement for the fiscal year February 2023* ● Call for projects announced in conjunction with SCO Apportionment Announcement ● Transit agencies submit Final Allocation Requests to Caltrans March 2023* ● Caltrans and CARB approve the list of approved projects and submit to SCO late-June 2023* ● SCO releases approved project amounts to recipients by June-July 2023* ● LCTOP Project Activity Reports Due October 27, 2023 *Subject to Change Reporting Schedule Project Activity Reports are required on an annual basis and due on October 27th which will cover project activity from October 1st, 2022, to September 30th, 2023. LCTOP Allocation Request Submittal The Lead Agency must submit an Allocation Request to receive the annual apportionment. Funding amounts will not be held or saved for a future year’s request. LCTOP will not accept late submission of Allocation Requests. The following documents are required and must be submitted electronically to Caltrans: ● Allocation Request Form (all green tabs of the Excel) ● Signed Authorized Agent Form (PDF) ● Signed Certifications and Assurances (PDF) ● Approved Board Resolution (PDF) ● Contributing Sponsor Letters (PDF) ● Supporting Documents (Title VI concur letter, KMZ or GIS files, etc.) The Lead Agency must submit one Allocation Request package per email. The subject line of the email should read: Agency Name, Caltrans District, title of project, and number of projects. For example, it could read: YCTD D3 Free Fare project (1 of 2) During the Allocation Review cycle, it is not acceptable for agencies to submit multiple Allocation Requests for liaisons to review before deciding which one to apply LCTOP funds towards. Agencies must submit only final projects that they plan to follow through on and begin expending LCTOP funds within 6 months of award (for rollover projects, within 6 months of final award). If LCTOP identifies a project that has not abided by the above terms after it has been 114 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 20 of 32 awarded, the project funds will be reallocated or rescinded. Hard copies mailed to LCTOP are no longer accepted. Please email all the required documents outlined above by the due date to LCTOPcomments@dot.ca.gov. Program Compliance and Reporting Obligations All programs funded by the Greenhouse Gas Reduction Fund (GGRF) must report annually. The California Department of Transportation (Caltrans) must complete and submit documentation to the California Air Resources Board (CARB) who will then compile all program information and submit reports to the Department of Finance (DOF) who will then finalize the report to the Legislature. This section will highlight all the reporting requirements that Caltrans and transit agencies (Lead Agency) must complete for CARB to report accurately. Lead Agencies should track metrics in accordance with CARB Funding Guidelines for all projects. Samples of reporting templates are available upon a request to the Low Carbon Transit Operations Program (LCTOP) staff. Agencies that do not meet Greenhouse Gas (GHG) emission reductions, supplant funds, do not deliver the agreed-upon project, or expend funds within 4 years of receipt of the final funds, are at risk of not receiving future LCTOP funds. Annual Expenditure Record (Caltrans) Per the 2018 CARB Funding Guidelines, Caltrans must complete and maintain an Expenditure Record and Attestation Memorandum. The Attestation Memorandum must be signed by the Agency Secretary and Department Director (or equivalent) affirming that the Expenditure Record was prepared according to the requirements of Senate Bill 1018 (SB 1018) and the 2018 Funding Guidelines. An Expenditure Record is prepared for a program, not for individual projects. It provides elements that describe the proposed use of monies and must be submitted prior to the expenditure of those monies for projects. The Expenditure Record is a critical first step in the tracking and reporting process to ensure that all California Climate Investments (CCI) meet statutory requirements and further the purposes of Assembly Bill 32 (AB 32) and related amendments. The Expenditure Record must be updated, as outlined in CARB’s Funding Guidelines, to accurately reflect the LCTOP design and implementation, as it serves as a valuable tool for maintaining accountability throughout the life of the projects funded by the appropriation. Project Activity Report The project’s Lead Agency is required to report annually to Caltrans on the activities and progress of each awarded project. The Lead Agency must ensure that activities funded from the auction proceeds are timely, within approved scope and cost, are reducing GHG emissions, and are achieving the intended purpose for which they are to be utilized. The Lead Agency must notify Caltrans when the allocated LCTOP funds have been encumbered and must provide completed and signed Annual Reports every twelve months until an approved project is completed, and the project Close-Out Report has been submitted and approved. If the project schedule is being revised to reflect any delays or obstacles, an adequate justification 115 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 21 of 32 must be given and the amended LCTOP project completion date must fall within the appropriate timelines. Project Activity Reports are due on October 27th will cover project activity from October 1st, 2022, to September 30th, 2023. This report must contain accurate and up-to-date information on the progress of each project. Reports will only be accepted by Caltrans staff when determined to be complete and accurate. Please note, all open projects are subject to requests for reporting and back-up documentation from LCTOP Liaisons. This cannot be negotiated. Lead Agencies are required to document information such as when the project started, the anticipated end date, percentage of project completion, and benefit to the priority population. Should a project experience any delays, the cause of such delay must be indicated on the report. If projects have not begun within six months of the project becoming fully funded, the report must include a clear description of the circumstances delaying the project, which leaves no question that the circumstances were unforeseen, extraordinary, and beyond the control of the agency. The description must include information indicating specific steps the agency plans to take to keep the project on task. Any justification deemed inadequate by Caltrans staff will be questioned and the agency will be asked to provide further information. Should there be a major change, a full Corrective Action Plan (CAP) is required. Agencies with a project that is repeatedly delayed will be encouraged to timely submit a CAP to reassign the funds. If the agency is accruing LCTOP funds over a period of two or more years for a rollover project, the Lead Agency will provide all Project ID numbers associated with the rollover, the total funding amount received, and accrued interest on the Project Activity Report. Rollover funds received in the first year may remain idle in the dedicated LCTOP account until the funding of subsequent rollover years intended in the initial Allocation Request have been fully accumulated. After that, the agency will have six months to begin the project. All reports must reflect accurate and complete project information. Any incomplete or inaccurate reports will not be accepted and will be considered delinquent until submitted with corrections and/or additional information as requested by Caltrans staff. Agencies with delinquent reports will not receive further LCTOP allocations until reports have been received. Close-Out Report and Invoices Once a project has been completed, the Lead Agency must notify LCTOP staff by email and submit a Close-Out Report within six months of completion. Agencies are encouraged to submit a draft Close-Out Report to the LCTOP Liaison for review and approval prior to signing. Please note, once an agency has received all LCTOP funding for a project, the project must be fully expended within four years (FY17-18 and after). The final project report includes: 1. Close-Out Report Form: It will also include summarized information regarding benefits to DACs and/or other AB 1550 Populations (if applicable), and a summary of co-benefits for 116 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 22 of 32 the project. 2. Project Activity Report: Include the most recent Project Activity Report with your Close- Out report package. 3. Bank/ Financial Statement: Attach the latest bank statement from the LCTOP dedicated bank account. 4. For Capital Projects: Pictures of the completed project, copy of title(s) for vehicle(s) purchased (if applicable), list of VIN for vehicles purchased (if applicable), invoices, punch list, and contract summary / signature pages. 5. For Operations Projects: Promotion and/or ad materials, route schedule (if applicable), and photos (if applicable). 6. Verification: Project completion as scoped must be verified. The Lead Agency will provide evidence of project completion, including photograph(s) of the completed project. Evidence of project completion can be satisfied by submitting the required photographs and one or more of the following; a copy of the final invoicing, punch list from the facility’s final walkthrough, route schedule and or promotional material, and a copy of the title if the project is to procure a vehicle. This list includes a sample of what can be used to show evidence regarding the completion of a project. Verification and invoices at close out are nonnegotiable. Please contact LCTOP staff to discuss alternatives that may exist for your circumstances. 7. Savings/Interest: Agencies must keep track of residual interest from their LCTOP bank accounts, specify exact amounts in LCTOP reporting, and notify their LCTOP Liaison if they intend to use interest funds for an existing or future LCTOP project. 8. Project Completion: Beginning January 1st, 2023, projects will not be considered closed out until the COR has been fully reviewed by the LCTOP Liaison and a final approval COR email is sent to the agency. This will apply for all projects still open after January 1st, 2023. Incomplete or incorrect reports will not be accepted and will be considered delinquent until corrections are provided by the agency. Project Activity Reports need to be submitted at close out. Agencies must utilize the designated project ID and name assigned by LCTOP at the time of award for all reporting (e.g., 21-22-D00-123 - Electric Bus Purchase). The agency must also retain this information as indicated on the award letter for internal records. Expenditure Package/Close Out Report Below is an overview of what will need to be included in an agency's closeout report package. The contents of the expenditure package should correspond with the project costs section of the Allocation Request. Costs not reflected in the allocation request package or updated scope in an approved corrective action plan, or costs outside the listed scope in the Allocation Request are not eligible expenses. These costs should match the approved Allocation Request “Project Costs” section. 117 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 23 of 32 1. Signed Agency Cover Letter a. Provide a signed agency letter that identifies the project title b. Project ID c. Period of LCTOP expenditures, d. Matching total of expenses to the initial allocation (if the project has additional LCTOP funds added please make a note on the expenditure package). 2. Expenditure Summary and Itemized Expenditures a. Give a billing summary that includes all LCTOP-specific costs, itemized and in chronological sequence. 3. Copy of Contractor's Invoice Billing (Construction Projects Only) a. Provide a copy of the contractor’s billing invoice (if applicable to the project). 4. Proof of Payment a. Provide proof of payment to the contractor. 5. Supporting Documents a. Provided as needed or as requested. 6. Email Invoice Package a. Invoices should be emailed to your LCTOP Liaison and CC the Program Manager along with the closeout report package. Jobs Reporting (Lead Agencies) To the extent feasible, Caltrans will try to support Lead Agencies in fostering job creation via Allocation Requests to be carried out by California workers and businesses. To maximize economic benefits, investments should provide employment opportunities and job training tied to employment with an emphasis on Priority Populations. Caltrans encourages Lead Agencies to demonstrate local benefits and support of clean energy within the transportation sector and how projects can facilitate the shift towards a sustainable workforce. The Allocation Request is an opportunity to highlight these efforts from project types that support energy efficiency, renewable energy, and zero-emission transportation and mobility options. Jobs reporting is required for all projects claiming to benefit Priority Populations by way of providing employment or training as well as any project that has a total project cost, including GGRF and leveraged funds exceeding $1,000,000 awarded after August 2018 (Starting with FY18-19 Projects). Lead Agencies will report on all jobs and wages paid through GGRF, including subcontractors. This would apply to awards given over multiple years, such that a $1,000,000 award disbursed as four annual awards of $250,000 would be required to report its supported jobs. CARB staff has determined that exempting first- order subcontractors that enter a contract for less than $100,000 in GGRF funds. This exemption would only apply to subcontractors providing directly to the awardees, but not to subcontractors further down the chain. The frequency and duration of Jobs Reporting will take place annually after the project begins and 118 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 24 of 32 ends with the project Close-Out Report. Once data is collected from Lead Agencies completing Jobs Reports, Caltrans will report to CARB. Project Outcome Reporting Project outcome reporting is the tracking and reporting of outcomes for operational projects. This reporting supports accountability and transparency in communicating program successes in facilitating the achievement of GHG reductions and maximizing economic, environmental, and public health benefits to the State. Project outcome reporting is only required for a subset of projects (Starting with FY 21-22 Projects). For LCTOP the previous process required agencies that received $250,000 or more from GGRF to complete the report. The duration of project outcome reporting will be for 36 months after a project reaches the specified milestone and is considered “operational.” Caltrans staff will collect this information once a year during the annual Project Activity Reporting period. There are multiple approaches for collecting project outcome data, such as obtaining the data from the funding recipient, conducting surveys, direct monitoring of project cites, vehicles, or equipment, or obtaining the data from a third party. The report will document metrics such as ridership numbers, fuel or energy use, and days of operation, among others. Once data is collected from Lead Agencies completing Project outcome reports, Caltrans will report to CARB. Project Audit Annual audits of public transportation operators required under the Transportation Development Act (TDA), per PUC 99245, must include verification of receipt and appropriate expenditure of funds. Lead Agencies receiving LCTOP funds in a fiscal year for which a TDA audit is conducted must submit a copy of the audit to Caltrans by December 31st, six months after the close of the fiscal year (closes June 30) Caltrans will make the audits available to the Legislature and the State Controller’s Office (SCO) as needed. Lead Agencies may request a 90-day extension from the December 31st deadline to March 31 St. They must notify Caltrans in writing via e-mail. Project leads who fail to submit an expanded TDA audit documenting all LCTOP funding allocated to date will not receive future LCTOP allocations until the required document(s) have been submitted to Caltrans. Site Visits Due to COVID-19 site visits will be held on a limited basis in person based on state and local protocols currently in effect. Site visits can take place at any time at the discretion of Caltrans. Site visits will be conducted, and some projects may have more specific questions or monitoring regarding specific issue(s) or function. Any evidence or information that supports the need for a compliance audit action or monitoring will be pursued by Caltrans. High-risk Lead Agencies are likely to become the subject of a spot audit. 119 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 25 of 32 Agencies or projects could be placed on the high-risk list for the following: 1. Delinquent with reporting requirements and/or not providing documentation as stipulated in the LCTOP Guidelines 2. Agencies with frequent errors or that have not conformed to the requirements of previous awards 3. Agencies engaged in multiple reassignments of funds/CAP’s 4. Projects with 0% progress one year after allocation 5. Agencies suspected of supplanting funds and other special situations 6. Agencies with a history of negative GHG reductions at close out Caltrans may select agencies each year and perform an extensive review of all LCTOP related information from the agency. If selected, an agency may be asked to provide additional documents pertinent to the LCTOP program and projects that have been funded. If inconsistencies are found, agencies will be provided an opportunity to correct those errors. If discrepancies are not corrected, the agency will not be eligible to receive future funding. Caltrans could also select applicable projects for project outcome reporting. LCTOP staff could perform a site visit to collect project outcome data. An example of this would be, visiting a completed shelter to ensure it is being managed and utilized. Following a site visit from LCTOP Staff, the LCTOP District Liaison manager will send a letter documenting the visit and any action items as discussed during the site visit. If an agency does not complete a project after two approved fund transfers (that cover all criteria in a CAP), they must meet with LCTOP to discuss project issues and possibly return funds to the program. This ruling is based on the requirement and expectation that agencies are planning their projects in advance of submitting their annual Allocation Requests. Vision Statement The LCTOP vision is to inspire a dynamic and integrated transit system that emphasizes community, equity, and economic and environmental sustainability. As one of the Climate Investment Programs administered at Caltrans, LCTOP is crucial to delivering quantifiable and beneficial outcomes that lower barriers to transit, support underserved communities and households, improve air quality, sustain economic viability, and strengthen multimodal transportation. Our goal is to build a brighter future for all through a world- class transportation system. The vision of LCTOP should always be kept in mind by transit agencies when planning, requesting funding, and carrying out projects so that money is used for the betterment of the environment and the lives of all people. 120 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 26 of 32 Appendix A Evaluation Criteria for Providing Benefits to Priority Populations SUSTAINABLE TRANSPORTATION: Identify the Priority Population(s).1 Step 1: Determine the location and evaluate the project against each of the following criteria. Lead Agency would select all the locations that apply. A. Is the project located within the boundaries of a disadvantaged community census tract? B. Is the project located within the boundaries of a low-income community census tract? C. Is the project located outside of but within ½-mile of the boundaries of a disadvantaged community and within the boundaries of a low-income community census tract? D. Is the project located within the boundaries of a low-income household? If the project does not meet at least one of the qualifying location criteria, it will not count toward statutory investment minimums and no further evaluation is needed. If the project meets at least one of the qualifying location criteria as described above, then move on to the next section. Step 2: Address a need. Identify an important community or household need of the priority population(s) identified in Step 1 through one of the approaches below. To identify a need that the project will address, agencies and/or applicants can use a variety of approaches: A. Recommended Approach: Host accessible community meetings, workshops, outreach efforts, or public meetings as part of the planning process to engage residents and community groups for input on community or household needs, and document how the received input was considered in the design and/or selection of projects to address those needs. For more recommendations on how to make outreach efforts accessible, see the California Climate Investments guide, Best Practices for Community Engagement and Building Successful Projects.2 B. Recommended Approach: Receive documentation of support from local community- based organizations and/or residents (e.g., letters, emails) identifying a need that the project addresses and demonstrating that the project has broad community support. C. Alternative Approach: Where direct engagement is infeasible, look at the individual factors in CalEnviroScreen 4.0 that are most impacting an identified disadvantaged or low-income community (i.e., factors that score above the 75th percentile, federally 1 Benefit Criteria Table is built into the LCTOP Allocation Request 2 https://ww3.arb.ca.gov/cc/capandtrade/auctionproceeds/cci-community-leadership- bestpractices.pdf 121 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 27 of 32 recognized tribes, etc.), and confirm that the project will reduce the impacts of at least one of those factors; or D. Alternative Approach: Where direct engagement is infeasible, refer to the list of Common Needs for Priority Populations in CARB’s Funding Guidelines Table 5 and confirm that the project addresses at least one listed need or in the next appendix. Describe the identified community or household need(s): (Description required.) If the project does not address a community or household need, it will not count toward statutory investment minimums and no further evaluation is needed. If the project addresses a community or household need as described in Step 2, continue to Step 3 on the following page. Step 3: Provide a benefit. Evaluate the project against each of the following criteria to determine if it provides direct, meaningful, and assured benefits to Priority Populations. The benefit provided must directly address the need identified in Step 2. Project must meet at least one of the following benefit criteria: A. Project reduces criteria air pollutant or toxic air contaminant emissions. B. Project provides increased access to clean and/or shared transportation options. C. Project improves connectivity between travel modes. D. Project improves mobility between key destinations and communities. E. Project improves safety and comfort of the transportation system. F. Project improves combined housing and transportation affordability. G. Project improves public health through increased access to active transportation.3 Describe how the project provides the benefit(s) identified: (Description required.) If the project does not provide a direct, meaningful, and assured benefit, it will not count toward statutory investment minimums. If the project meets the criteria in Steps 1, 2, and 3, it will be considered as providing direct, meaningful, and assured benefits to Priority Populations and will be counted toward statutory investment minimums. Appendix B Alternative Approach D. Common Needs of Priority Populations Public Health 1. Reduce health harms (e.g., asthma) suffered disproportionately by priority populations due to air pollutants. 2. Reduce health harms (e.g., obesity) suffered disproportionately by priority populations due to the built environment (e.g., provide active transportation, parks, playgrounds). 3 Benefit F and G are generally not applicable to LCTOP Projects 122 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 28 of 32 3. Increase community safety. 4. Reduce heat-related illnesses and increase thermal comfort (e.g., weatherization and solar energy can provide more efficient and affordable air- conditioning; urban forestry can reduce heat-island effect). 5. Increase access to parks, greenways, open space, and other community assets. Economic 1. Create quality jobs and increase family income (e.g., targeted hiring for living- wage jobs that provide access to health insurance and retirement benefits with long-term job retention, using project labor agreements with targeted hire commitments, community benefit agreements, community workforce agreements, partnerships with community- based workforce development and job training entities, State-certified community conservation corps). 2. Increase job readiness and career opportunities (e.g., workforce development programs, on-the-job training, industry-recognized certifications). 3. Revitalize local economies (e.g., increased use of local businesses) and support California-based small businesses. 4. Reduce housing costs (e.g., affordable housing). 5. Reduce transportation costs (e.g., free, or reduced-cost transit passes) and improve access to public transportation (e.g., new services in under-served communities). 6. Reduce energy costs for residents (e.g., weatherization, solar). 7. Improve transit service levels and reliability on systems/routes that have high use by disadvantaged and/or low-income community residents or low-income riders. 8. Bring jobs and housing closer together (e.g., affordable housing in transit- oriented development and in healthy, high-opportunity neighborhoods). 9. Preserve community stability and maintain housing affordability for low-income households (e.g., prioritize projects in jurisdictions with anti-displacement policies). 10. Provide educational and community capacity building opportunities through community engagement and leadership. Environmental 1. Reduce exposure to local environmental contaminants, such as toxic air contaminants, criteria air pollutants, and drinking water contaminants (e.g., provide a buffer between bike/walk paths and transportation corridors). 2. Prioritize zero-emission vehicle projects for areas with high diesel air pollution, especially around schools or other sensitive populations with near-roadway exposure. 3. Reduce exposure to pesticides in communities near agricultural operations. 4. Greening communities through restoring local ecosystems and planting of native species, improving aesthetics of the landscape, and/or increasing public access for recreation. 123 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 29 of 32 Appendix C Co-Benefit Assessment Methodology Community Engagement Questionnaire The questionnaire on the following pages is excerpted from the Community Engagement Co- Benefit Assessment Methodology for California Climate Investments (CCI). The questionnaire is converted into a fillable table for ease of use. Guidance on how to answer each question is provided in Section C of the full methodology available at: www.arb.ca.gov/cci-cobenefits. CCI projects that result in community engagement co-benefits create opportunities during planning, design, and implementation for communities to directly engage with the project, provide input that is incorporated into it, and collaborate on its development. Overall, the methods for estimating the community engagement co-benefits are qualitative, based on tracking the extent and impact of public participation in project planning, design, and implementation. The assessment evaluates the quantity, quality, and equity of community engagement. To estimate the community engagement co-benefit, users will respond to the five questions. Based on the responses to the questions, the level of community engagement will be evaluated as low, medium, or high. The agency will then mark Low, Medium, or High on the LCTOP Allocation Request when documenting Priority Population Benefits. Community Engagement Questionnaire 1. Is the project a neighborhood-scale, city/regional-scale, or rural project? 2. With regard to public events held by the project proponent to discuss this project proposal with the community: a. Briefly describe the events held. (Please respond in fewer than 100 words) b. What was the approximate total attendance at those events? 3. With regard to other opportunities provided by the project proponent for community members to comment or provide input on the project (e.g., internet- or telephone- based input opportunities) or separate meetings with specific stakeholders, community leaders, and organizations, beyond those included above: a. What is the approximate total number of people who provided commentary or input on the project through these opportunities? b. Briefly describe the opportunities provided. (Please respond in fewer than 100 words) 4. Which of the following took place as part of the events and other opportunities identified in questions 2 and 3? (Check all that apply): a. Informed the community about various aspects of the project, including the process by which major decisions about the project would be made. b. Solicited and recorded written or spoken input from the community about specific aspects of the project or potential project alternatives before decisions on those aspects and alternatives were finalized. 124 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 30 of 32 c. Incorporated proposals or ideas from the community into project alternatives or components. d. Reported back to the community on how the input in 4(b) and 4(c) was incorporated. e. Developed project features or project alternatives collaboratively with the community by one or more of the following means: (Check all that apply): i. One or more workshops or other meetings in which the community developed a project alternative or specific component to address unmet community needs, which was subsequently included in the project’s application for funding or final design. ii. Formal cooperation with a community-based organization (i.e., via a memorandum of understanding, community benefits agreement, steering committee, labor agreement, etc.) to acquire or distribute funding, identify project alternatives or project components, or otherwise enhance community engagement in project design, planning and implementation. iii. Delegation of authority to choose between project alternatives or components to the community through a steering committee, organized voting process, representative community-based organization, or other means. iv. A community-based organization, community-driven steering committee, or similar entity designed, planned, and implemented the project in whole or in significant part. 5. Considering all the events and input opportunities, which of the following statements are true (check all that apply): a. The participants comprised a broadly representative sample of the population potentially benefiting from, or affected by, the project. b. Project proponents identified key community leaders and organizations and engaged them directly. c. The events and input opportunities were hosted at varied and accessible times and locations throughout the area potentially affected by the project and included both in person and online forms of engagement. Events and written materials were offered in languages other than English. d. The participation process was conducted or assisted by a professional facilitator or public participation expert. e. The project proponents, or those acting on their behalf, prepared and followed a community engagement plan that meets the minimum criteria originally established by the Transformative Climate Communities Program (option is available for all project types). Assessment To determine the overall Community Engagement Co-benefit, users will assess the responses to the quantity, quality, and equity-oriented questions as low, medium, or high. For the quantity category, which measures the number of people giving input on the project, the scoring is 125 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 31 of 32 different for projects of different scales and contexts — neighborhood-scale, city/regional-scale, and rural. These scoring thresholds reflect considerations of total population size and population density in the area potentially affected by the project. Scores related to quantity, quality, and equity of community engagement are then aggregated to provide a total project community engagement score. Evaluation of Community Engagement in Projects Quantity Total event attendance + number of people commenting through other opportunities: ● For neighborhood-scale projects: LOW 0-24; MEDIUM 25-59; HIGH 60 or more ● For city/regional-scale projects: LOW 0-49; MEDIUM 50-99; HIGH 100 or more ● For rural projects: LOW 0-14; MEDIUM 15-29; HIGH 30 or more Quality Selection in response to Community Engagement Questionnaire, Question 4: ● LOW 4a or 4b; MEDIUM 4c or 4d; HIGH Any from 4e Equity Selection in response to Community Engagement Questionnaire, Question 5: ● LOW None or 1; MEDIUM 2 or 3; HIGH 4 or more The total community engagement level will then be evaluated based on the quantity, quality, and equity of community engagement as follows: ● If two or more of these categories are low, the overall engagement level is LOW ● If two or more of these categories are medium, the overall engagement level is MEDIUM ● If two of more of these categories are HIGH, the overall engagement level is HIGH ● If each category is in a separate rank (one low, one medium, and one high), the overall engagement level is MEDIUM 126 Low Carbon Transit Operation Program FY 2022-2023 Guidelines Page 32 of 32 LCTOP 2023 Timeline 127 ATTACHMENT 2 RESOLUTION NO. 2024-_____ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MOORPARK, CALIFORNIA, AMENDING THE FISCAL YEAR 2024/25 BUDGET TO RECEIVE $200,000 IN LOW CARBON TRANSIT OPERATION PROGRAM (LCTOP) FUNDS DISBURSED AND ADMINISTERED BY VENTURA COUNTY TRANSPORTATION COMMISSION (VCTC) WHEREAS, on June 19, 2024, the City Council adopted the Operating and Capital Improvement Budget for Fiscal Year (FY) 2024/25; and WHEREAS, a staff report has been presented to City Council requesting a budget amendment in the amount of $200,000 from Low Carbon Transit Operation Program (LCTOP) Funds that the Ventura County Transportation Commission (VCTC) will be disbursing and administering to the City of Moorpark to help fund the construction of Battery Electric Charging Infrastructure (BECI) for its future fleet of electric buses; and WHEREAS, Ventura County Transportation Commission (VCTC) received authorization to disburse and administer $200,000 in Low Carbon Transit Operation Program (LCTOP) funds to the City of Moorpark for the construction, equipment acquisition, and installation of battery electric charging infrastructure projects; and WHEREAS, an amendment to the FY 2024/25 Operating and Capital Improvement Budget is required to provide for the receipt of LCTOP Funds and disbursement to the appropriate account. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOORPARK DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. A budget amendment allocating $200,000 for receipt of Low Carbon Transit Operations Program grant funds to account 2409-000-G0033-46350, as more particularly described in Exhibit “A” attached hereto is hereby approved. SECTION 2. The City Clerk shall certify to the adoption of this resolution and shall cause a certified resolution to be filed in the book of original resolutions. PASSED AND ADOPTED this 2nd day of October, 2024. ________________________________ Chris R. Enegren, Mayor ATTEST: ___________________________________ Ky Spangler, City Clerk Exhibit “A” – Budget Amendment 128 FUND BALANCE ALLOCATION: Fund-Account Number Amount 2409-000-00000-33990 200,000.00$ Total 200,000.00$ REVENUE APPROPRIATION: Account Number Current Budget Revision Amended Budget 2409-000-G0033-46350 -$ 200,000.00$ 200,000.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Total -$ 200,000.00$ 200,000.00$ Fund Title FEDERAL & STATE GRANTS EXHIBIT A BUDGET AMENDMENT FOR Low Carbon Transit Operation Program Funding FY 2024/2025 Resolution No. 2024-____ Page 2 129