RIVERSIDE COUNTY TRANSPORTATION COMMISSION DATE: January 28, 2016 TO: Riverside County Transportation Commission FROM: Aaron Hake, Government Relations Manager THROUGH: Anne Mayer, Executive Director SUBJECT: RCTC Strategic Assessment: Final Recommendations STAFF RECOMMENDATION: This item is for the Commission to: 1) Direct staff to prepare the Commission s Fiscal Year 2016/17 Budget to accommodate procurement of a Countywide Integrated Long Range Transportation Plan; 2) Direct staff to prepare the Commission s FY 2016/17 Budget to accommodate procurement of a next generation toll feasibility study; 3) Direct staff to prepare the Commission s FY 2016/17 Budget to accommodate procurement of a next generation rail feasibility study, emphasizing alternative rail service models, alternative project delivery approaches, and intra county service; 4) Direct staff to prepare the Commission s FY 2016/17 Budget to accommodate additional resources needed to execute a long term communications and customer engagement strategy for the purposes of public education and customer service; 5) Establish Commission policies to encourage funding and development of projects and programs to accommodate and support multiple travel choices such as added capacity, access to public transit, and active transportation modes including bicycling and walking; 6) Direct staff to provide recommendations for updating funding allocation policies of current revenue streams; 7) Authorize development of the 2019 2029 Measure A Western Riverside County Highway Delivery Plan (2019 2029 Deliver Plan): a) The 2019 2029 Delivery Plan shall commit to fulfilling commitments deferred in the 2009 2019 Measure A Western Riverside County Highway Delivery Plan (2009 2019 Delivery Plan): i. Interstate 15 Express Lanes between Cajalco Road and State Route 74; 1. Direct staff to prepare the Commission s FY 2016/17 Budget to provide funding to initiate project development; ii. 71/91 Interchange; iii. North facing connector between SR 91 and I 15; and iv. Continued progress and evaluation of CETAP and alternative corridors. b) Development of the 2019 2029 Delivery Plan shall include a comprehensive phasing and prioritization study to determine if/how projects can be scaled or
deferred to reflect funding constraints, state and federal policy challenges, and expected technological innovations; and 8) Adopt as a Commission objective to submit an additional local sales tax measure to Riverside County voters on the November 2018 or 2020 ballot. BACKGROUND INFORMATION: This report is the culmination of a year long, multi faceted effort by Commissioners, staff, Riverside County residents, businesses, and professional consultants to take a comprehensive look at Riverside County s mobility future. As America s tenth most populous county with geography larger than more than two dozen states, Riverside County must have a transportation system that serves a very diverse array of needs. As the county enters into a new phase of growth and as the world changes (in terms of technology, public policy, and demographic shifts), before committing billions of dollars in public works investments, the Commission took the wise step of taking a moment to assess where it is at and where it needs to go to fulfill the public s needs and desires over the long haul. The Commission has been remarkably successful at fulfilling its promises to the voters of Riverside County, who have trusted it with delivering projects in the 1988 and 2002 Measure A sales tax initiatives. In the last 40 years, the Commission used its resources both financial and personnel to leverage billions of dollars of state and federal funding and build partnerships at all levels of government and among its constituents, all towards delivering transformative transportation projects and programs that maintain a quality of life and economy. Especially in recent years, the Commission has been able to keep a steady pipeline of projects moving to construction. Due to constant innovation and problem solving, it was rare time when a major project within Riverside County was left idle. Moreover, the ability to secure significant infusions of state or federal funds relates to a proactive legislative and intergovernmental advocacy program that elevated the Commission s credibility in Sacramento and Washington. Today the county is seeing the fruits of decades of visionary leadership and planning: completion of major projects on I 10, I 215, SR 60, and Perris Valley Line, along with the ongoing work on SR 91 and rail grade separations. There are significant local policy foundations to these successes, including TUMF programs in east and west county, the Riverside Multiple Species Habitat Conservation Plan, Measure A, and many other public policy efforts (as outlined in the appendices). This report takes inventory of those policies and measures them against today s environment, allowing the Commission to assess what remains relevant, what s missing, and what may need to change. The Commission s relationship with the public is also changing. Since the 1988 and 2002 Measure A campaigns, the natural memory fade of voters and the influx of new county residents over the years means that many of the Commission s constituents are not aware of who the Commission is, Measure A, or the public projects and services the Commission delivers to their benefit every day. Cell phones, the primary medium through which people receive information today, were still too large to fit in one s pocket when the last Measure A campaign
was waged. Moreover, the Commission is now less than one year away from being a customerservice entity with the opening of the 91 Express Lanes in Corona. Thousands of residents will become direct customers of the Commission, much like they are with their bank, cell phone, or utility company. All of this comes at a time when overall public sentiment towards government is sour. These challenges also present an opportunity for the Commission to reintroduce itself to its constituents and step up its efforts to deliver information to better make mobility choices. These challenges also create an opportunity to listen to how the Commission can improve our constituents quality of life. Yet, as Riverside County faces 41 percent population growth by the time Measure A sunsets in 2039, it is clear the Commission does not have the resources necessary to meet the needs and expectations of the public, its stakeholders, and even its own Commissioners. This report takes a sober look at the reality of what revenue is currently available and what more the Commission can reasonably expect to receive through the end of Measure A s lifespan from all potential sources of funding. The funding gap illustrated in this assessment makes it clear the status quo will fall far short of the county s needs and the Commission s own expectations. Even with innovative approaches and higher risk efforts to secure new funding, the chasm is wide. This fact raises critical questions for the Commission, including: How can the Commission adapt its policies to change the game in Riverside County to boost economic prosperity and reduce strain on the transportation system? How can the Commission re vision its projects or programs? How can the Commission harness technology and innovation to reduce the costs and needs for new infrastructure and services? What funding sources is the Commission willing to pursue to help narrow the gap? How does the Commission ensure it keeps its existing promises to Riverside County voters? How can the Commission better reach its customers and build greater public involvement in the planning of its communities and transportation systems? How can the Commission partner with local governments to achieve mutual goals? How can the Commission continue to stay ahead of the game? DISCUSSION: RCTC Strategic Assessment To help the Commission tackle these weighty questions, HDR, Inc. (HDR) was retained in April 2015 to conduct the Strategic Assessment. The assessment design model was as follows:
Through the summer and fall of 2015, HDR and Commission staff methodically conducted the following activities in consultation with the Commission s Quality of Life and Sustainability Ad Hoc Committee: Analyzed existing and future conditions in Riverside County in terms of the county s multi modal transportation system, jobs and economic outlook, and population and demographic changes; Analyzed a compendium of existing transportation (and related) plans and policies in place throughout Riverside County; Analyzed funding projections against expected capital and operational needs;
Conducted five public transportation summits throughout the county, plus one workshop in the city of Blythe; Conducted a statistically valid public opinion telephone survey on public views of transportation needs, government, and funding options; Interviewed partner government agency leaders (such as cities, transit operators, and councils of governments); and Assessed the data from all of the above to develop strategies and tactics to recommend to the Commission which are contained in this report. Findings Key findings from the assessment, as found in the Executive Summary, include: Future Conditions Despite 41 percent population growth and 87 percent job growth in Riverside County by 2040, Riverside County will continue to have a low jobs housing ratio, leading to persistent inter county commuting patterns and increasing congestion; Despite planned highway projects moving towards construction, highway congestion will continue to increase; Opportunities to expand transit service to fill unmet needs are constrained by funding limitations; and Continuing growth in freight rail traffic means that additional rail grade separations will be needed to reduce congestion, emissions, and safety concerns at crossings. The jobs housing imbalance and chronic highway congestion can be addressed in a comprehensive way through an integrated countywide transportation plan that touches on traditionally local issues such as land use and serves as a focal point for economic and community development for the region (staff recommendation no. 1). Additionally, staff recommendation no. 7 will assist in ensuring projects in the Measure A Expenditure Plan are phased and scoped appropriately to address the critical needs of the region in a timely fashion. Ensuring a multimodal approach is taken on all projects (staff recommendation no. 5) and existing funding allocation decisions are appropriate for where the county is headed (staff recommendation nos. 6 and 8) will help make the most of what limited dollars are available to the Commission. Plans and Policies There is a need for improved coordination among the large number of transportationrelated plans in Riverside County; The Commission s Measure A Western Riverside County Highway Delivery Plan is in need of being updated for the period of 2019 2029;
The Riverside County transportation system has a total capital improvement need of $23 billion by 2040, plus an annual transit operations and maintenance need of $562 million annually; Riverside County will need to make further efforts to meet state greenhouse gas reduction goals by further developing rail and transit service in concert with transitoriented developments and employment hubs; Emerging technologies could substantially increase efficiencies of the existing transportation system and provide users with better information about travel options, which can reduce costs and improve quality of life; As the costs and needs of each mode of transportation evolve, the funding splits among the modes will need to be re evaluated; and Active Transportation is becoming an increasingly important mode of transportation; the Commission can assist local governments in competing for funding and developing plans. Funding Gap A component of a countywide long range transportation plan (staff recommendation no. 1) must be the fulfillment of the Measure A promise to voters (staff recommendation no. 7). Maximizing the leverage Measure A of investments for taxpayer benefit calls for ensuring multiple modes of transportation are considered in all projects (staff recommendation no. 5) and ensuring that the split of funds among categories of projects is appropriate for the future needs of Riverside County (staff recommendation no. 6). Only $6.1 billion is expected to be available to fill the $23 billion capital funding need over the next 25 years (26 percent); Aggressive pursuit of discretionary funding sources could yield as much as an additional $1.3 billion (6 percent) in capital funds; More speculative revenue sources could yield as much as $6 billion more (26 percent) for capital, but should not be relied upon. Even if all of these funds materialized, the funding gap will Riverside County transportation capital needs funding through 2040 $9.833 Billion 42% $6.114 Billion 26% $1.363 Billion 6% $6.058 Billion 26% Existing Programs Discretionary Grants Possible New Sources Funding Gap be at least $9.8 billion (42 percent); Current funding sources for operations and maintenance of rail and transit cannot fund planned improvements through 2040, leaving a $238 million (42 percent) gap;
A local option sales tax in addition to Measure A would be the most significant and likely infusion of revenue to help fill these funding gaps; Additional fees and tolling could also help narrow the gap to meet public infrastructure needs; The major recommendation from this component of the Strategic Assessment is to pursue the most meaningful and practical new funding source that the Commission has the discretion to pursue: a local option sales tax measure supplemental to Measure A (staff recommendation no. 8). Public opinion data indicates the voters of Riverside County may not be ready in 2016 to approve such a ballot measure, but opportunity could exist in an upcoming election cycle. Without a supplemental measure, the remaining options yield very little money. Public Attitudes A substantial portion of the public is unfamiliar with the Commission; Transportation issues are important to the public. However, these issues are currently not as important as crime, jobs, and water issues; Top public priorities for transportation improvements include roadway maintenance and reducing highway congestion. Freeway Service Patrol also gets strong support; Public support for new revenue sources is strongest for express toll lanes, and moderate for increased fees on new development; Stakeholder groups and the public identify improved accessibility to public transit as an important need, including more hours of service, service to more areas, and better/easier connections; Other stakeholder desires: better land use/transportation linkages, more consideration for user quality of life, better rural/urban connectivity, and use of emerging technologies to help address transportation needs; Stakeholders consistently identified the lack of funding as the biggest challenge to achieving needed improvements; and Reducing the length and complexity of the environmental process is important to stakeholders. A stronger public communications and engagement effort (staff recommendation no. 4) on behalf of the Commission can fulfill multiple objectives essential to the Commission s mission, including: o o o Educating the public on the benefits their tax dollars are producing; Educating the public on services and programs available to them that they may not be fully utilizing assisting in reducing congestion and improving quality of life (staff recommendation no. 5); and Protecting the Commission s investment in 91 and I 15 Express Lanes by ensuring high customer satisfaction (staff recommendation no. 2); and
o o Ensuring accountability to the public by engaging in regular, meaningful communication with those whose mandate we are fulfilling; and Helping the public re establish expectations by helping them understand the significant void between the cost of what they want and the resources available as well as the potential avenues to increase those resources. Partner Agency Priorities Roadway maintenance and improving older highway interchanges are the top transportation improvement cities and the county; and The local partner agencies desire the Commission to provide leadership and resources to enable a more effective coordinated approach to legislative advocacy and pursuit of funding from the state and federal governments. Next Steps Placing city, county, transit agency, and councils of government priorities into a comprehensive transportation plan (staff recommendation no. 1) will help make the most of limited Commission funds and help coordinate across jurisdictions and across funding programs. Helping jurisdictions prepare projects multimodal in nature and more competitive for state and federal grants will maximize the value of limited funds by ensuring projects serve as many needs as possible; this can be partially achieved through staff recommendation no. 5 and a heightened effort on the legislative front that could be a component of staff recommendation no. 4. Moving towards a sales tax measure beyond Measure A (staff recommendation no. 8) will provide cities and the county the greatest possibility of securing the revenue needed to keep local streets and roads in good condition and upgrading dilapidated interchanges, whereas the state of California continues to come up short in this regard. Strategies for the Commission to pursue were developed by HDR and Commission staff based on the findings of the Strategic Assessment (found on pages 1 3 of the Executive Summary). These strategies form the basis of eight proposed action items for the Commission to consider at the 2016 Annual Workshop, discussed above. In conclusion, there are two areas deserving of special attention as the Commission makes its decision on these strategic recommendations: Countywide Long Range Transportation Plan A central feature of the proposed strategies and action items is the development of a countywide long range transportation plan. This plan will serve as a focal point for the numerous transportation efforts underway throughout the county, with the goal of achieving greater coordination across government and greater clarity of mission and purpose for public policy decisions that impact how the residents and businesses use the transportation system
and their communities. The plan will better position the entire county to compete strategically for state and federal funds, as well as create a coordinated policy basis to respond to ongoing and future state and federal mandates. Several of the other proposed action items in this report will actually fold up into the Countywide Long Range Transportation Plan. FY 2016/17 Budget and Beyond If the recommended actions in this report are adopted, staff will begin preparing a series of additional items that will return to the Commission in the year(s) ahead for further action. One of these major upcoming items will be the Commission s FY 2016/17 Budget. The Budget will commit financial resources to turn these strategies into tactics and results in the near, mid, and long terms. Attachment: Riverside County Strategic Assessment January 2016