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CC RES 2013-044 RESOLUTION NO. 2013-44 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES, OPPOSING THE METRO RECOMMENDED FUNDING PLAN FOR THE CRENSHAW/LAX TRANSIT PROJECT AND SUPPORTING THE DIRECTOR KNABE AND O'CONNER MOTION. WHEREAS, the Los Angeles County Metropolitan Transportation (Metro) is considering the award of a design and construction contract for the Crenshaw/LAX Transit Corridor Project at its June 27, 2013 Board of Directors Meeting; and, WHEREAS, the Metro staff recommends increasing the life of project budget by $160 million more than the project's April 2013 Metro Board-adopted life of project budget: and, WHEREAS, the Metro Measure R Unified Cost Management Process and Policy states that project funding shortfalls can be funded by reallocating funds from other projects within the sub-region(s) served by a project; and, WHEREAS, the Metro Board will also consider a Measure R Project funding acceleration policy at its June 27, 2013 meeting that will require Metro to issue bonds and take out loans guaranteed by Measure R, Proposition A and Proposition C; and, WHEREAS, the Crenshaw/LAX Transit Corridor Project contract award recommendation for the June 27, 2013 meeting includes the use of$47.1 million of Proposition C 25% funds currently allocated to the South Bay Highway Program and $47.48 million of Measure R funding from the LAX-Metro Airport Connector transit project, as part of the $160 million to be reallocated from the South Bay and Central areas to be served by the Crenshaw/LAX Transit Corridor Project; and, WHEREAS, the application of the April 2011 Metro Board- adopted Cost Management Process and Policy in this instance jeopardizes the very integrity for which the flawed policy was designed to protect and sacrifices regional equity by: 1) allowing project shortfalls to be made up utilizing funding committed to out-year sub-regional projects and programs, and 2) allowing funding commitments to be rescinded at the whim of the Metro Board without consultation or concurrence by the affected subregion(s); and, WHEREAS, the proposed acceleration policy would reduce the subregions' access to Measure R funds and require these funds to be spent before 2023, thereby dramatically increasing the probability that second and third decade Measure R projects promised to the voters in Measure R, the November 2008 Los Angeles County %- percent sales tax increase for transportation improvements, will not be built. BE IT, THEREFORE, RESOLVED BY THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES: Section 1: The City of Rancho Palos Verdes opposes Metro staff recommendations for items #10 and # 52 on the June 27, 2013 Metro Board Agenda items. Section 2: The City of Rancho Palos Verdes opposes the use of South Bay Highway Program funds and LAX-Crenshaw Connector funds as part of the contract award recommendation for the Crenshaw/LAX project. Section 3: The City of Rancho Palos Verdes supports other approaches such as the proposed Knabe/O'Connor Motion that would fund the South Bay portion of$160 million shortfall. Section 4: The City of Rancho Palos Verdes supports the O'Connor/Knabe Motion (Item No. 11) on the Metro Acceleration Policy to protect highway funding from reallocation to transit prior to 2019. Section 5: The City of Rancho Palos Verdes supports a collaborative process to re-visit the flawed Metro Measure R Unified Cost Management Process and Policy with sufficient time for stakeholder input. PASSED, APPROVED, and ADOPTED this 18th day of June 2013. May r ATTEST: City Clerk State of California ) County of Los Angeles ) ss City of Rancho Palos Verdes ) I, Carla Morreale, City Clerk of the City of Rancho Palos Verdes, hereby certify that the above Resolution No. 2013-44, was duly and regularly passed and adopted by the said City Council at regular meeting thereof held on June 18, 2013. City Clerk Resolution No. 2013-44 Page 2 of 2