City Council

C. EXCHANGE OF PROPOSITION A FUNDS IN THE AMOUNT OF $500,000\nThe City of San Gabriel receives over $1.1 million annually in Proposition (Prop)\nA Local Return Funds from Los Angeles County to be used for the benefit of\npublic transit. Approximately $682,000 of the funds are used to operate the\nCity’s Dial-A-Ride and Recreation transit programs each year. Since the City\ndoes not have any other eligible projects and must use these funds within a\nthree-year period, it has now accumulated a balance of about $626,000 as of\nJune 30, 2023, in unspent Prop A funds. Los Angeles County Metro allows\nagencies to exchange Prop A funds for unrestricted general fund revenue at a\ndiscounted rate – a practice that San Gabriel has taken advantage of in the past.\nFoothill transit has offered to exchange $500,000 of the City’s Prop A Funds for\n$375,000 in unrestricted funds, representing a rate of $.75/$1.00.\nCalifornia Environmental Quality Act (CEQA) Determination: Not a Project as\ndefined in Section 15378 of the State CEQA Guidelines.\nRecommended Action:\nStaff recommends that the City Council approve and authorize the City\nManager to execute the agreement with the Foothill Transit Authority\nauthorizing the exchange of $500,000 in Proposition A Funds for $375,000 in\ngeneral fund revenue.