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HomeMy WebLinkAbout020626 MID YEAR CAPITAL IMPROVEMENTS UPDATE MID-YEAR 2025/26 CAPITAL IMPROVEMENT PROGRAM UPDATE INTRODUCTION The Town’s Capital Improvement Program (CIP) identifies, prioritizes, and funds capital projects that address both immediate and long-term community needs. Since 2000, Danville has invested $201.3 million in capital projects, averaging $8.1 million annually, significantly benefiting the community in numerous ways. Project funding has come from various sources. This includes $77.1 million from the Town’s General Fund, which has effectively been used to leverage other funds. Notably, projects have been completed without the use of special taxes, assessments or debt. This mid-year update provides a summary of capital projects completed during the past calendar year, major projects currently underway, planned capital priorities for the upcoming year, as well as a discussion of long-term capital planning needs. All of this sets the stage for the upcoming development and consideration of the 2026/27 – 2030/31 CIP which will take place in spring 2026. COMPLETED PROJECTS The CIP currently includes a total of 77 projects in various stages of advance planning, design, or construction. As will be discussed later, the vast majority of these projects are associated with the necessary and ongoing maintenance or replacement of existing infrastructure. The following is a status update on the projects that were completed during the 2025 calendar year: • A-330 - Townwide Storm Drain System Management: Completed Phase II of the Storm Drain Master Plan which included inspections at 80 sites that identified 77 locations in need of maintenance or repair. This project has entered the design and construction phase with an immediate focus on repair of the San Ramon Valley Boulevard and Hill Meadow storm drain pipes. • A-513 – Camino Tassajara Parkway/Sycamore Valley Road Sound Wall: Completed construction on 17 segments of Town maintained soundwalls along Sycamore Valley Road and Camino Tassajara Parkway. • A-620 – Fiber Optic Cable Interconnect: Completed Phase I of the project establishing a state-of-the-art fiber network linking the Town Offices with five downtown locations including the Town Meeting Hall, Danville Community Center, Library, Veterans 2 Memorial Building, Village Theatre and the future Arts District Maker Space and Pavilion. Phase I also included connecting 17 traffic signals along the San Ramon Valley Boulevard/Hartz Avenue Corridor. • A-362 – Downtown Improvement Project: Completed construction of the DMP Catalyst Project including community needs for more gathering spaces, enhanced pedestrian safety, and enhanced street lighting. • B-560 – Diablo Vista Park Capital Maintenance: Completed construction of the re- designed playground including installation of interactive playground equipment for all ages, accessible play features, shade structure, picnic tables, exercise equipment, landscaping and lighting. • C-305 – Traffic Management Program: Completed construction of the Brookside Drive and Everett Drive Neighborhood Traffic Control Program recommending installation of Category 2 traffic control devices including speed limit signs and pavement markings. • C-610 – Pavement Management: Completed construction of concrete repair, new pedestrian ramps, striping and 15 miles of resurfacing during the pavement rehabilitation project. • C-621 – Townwide Bicycle Facilities Improvements: Completed construction of green bicycle infrastructure including a Class IIB bicycle lane and bicycle box along San Ramon Valley Boulevard, as well as bicycle sharrows on Front Street as part of a companion project to C-600 - San Ramon Valley Boulevard Improvements Project. MAJOR PROJECTS UNDERWAY The following provides a status update on the Town’s CIP Two-Year Project priorities currently underway: 1. A-330 Townwide Storm Drain System Management: The Storm Drain Master Plan has been completed. The project has moved to design and construction phases starting in Spring 2026 with flushing and repair of San Ramon Valley Boulevard and Hill Meadow storm pipes. 2. A- 620 Fiber Optic Cable Interconnect: Design is complete for the segment of Sycamore Valley Road between San Ramon Valley Boulevard to Camino Tassajara. This project is a companion to Project C-634 - Traffic Signal Modernization. Construction is scheduled to begin in Summer 2026. 3. B-628 - Town Green and Arts District: The Town Green Pavilion design is approximately 90% complete. The project is scheduled to go out to bid in April, with construction anticipated to begin in late summer 2026. 4. B-629 – Arts District Maker Space: This companion project to B-628 is also at approximately 90% design completion. Construction is expected to begin in late summer 2026. 5. B-643: Non-functional Turf Replacement: In compliance with AB 1572, this project will convert approximately 13 acres of non-functional turf to compliant landscape areas. 3 The project is currently in the design phase, with construction expected to begin in Fall 2026. 6. C-305 Traffic Management Program: This project is currently under construction and includes installation of Rectangular Rapid Flashing Beacons (RRFBs) at five intersections along the Iron Horse Trail, as well as at Stone Valley Road/Monte Sereno and Love Lane/Railroad Avenue. The project is expected to be completed in Spring 2026. 7. C-055 Diablo Road Trail from Alameda Diablo to Tank Access Road: The project is currently under construction. Additionally, design of the Hawk Signal at the intersection of Diablo Road and Fairway Drive is 90% complete. The project is expected to be completed December 2026. 8. C-599 – La Gonda Way Bridge Improvements: This project is currently in the environmental and design stage. Total project cost is currently estimated at $6.03 million, with 88% of the cost eligible for federal funding through the Caltrans Highway Bridge Program. Construction is anticipated to begin no earlier than Summer 2028, subject to Caltrans approval of the final bridge configuration and incorporation of recent Caltrans design guideline changes into the project design. 9. C-607 - Iron Horse Trail Crossing Improvements: The project is funded by a $350,000 federal earmark and consists of constructing raised crosswalk treatments along the Iron Horse Trail at Paraiso Drive, El Capitan Drive and Greenbrook Drive, and provides signing, striping, traffic signal and sidewalk improvements at the intersection of Sycamore Valley Road/Camino Ramon. The project is currently out to bid. Construction is expected to begin in Spring 2026. 10. C-610 - Pavement Management Program: The next round of residential slurry seal is currently out to bid. Construction is expected to begin in Summer 2026. 11. C-634 - Town-Wide Traffic Signal Modernization: This is a multi-phased project consisting of design and construction of traffic signal video detection systems, Advanced Transportation Controller traffic signal cabinets, battery back-up systems, and implementation of signal software systems to improve signal timing, coordination, safety and monitoring. Locations include Camino Tassajara, Crow Canyon Road, Sycamore Valley Road, San Ramon Valley Boulevard and El Cerro Boulevard. Construction is expected to start in Spring 2026. 12. C-635 – Sycamore Valley Road Improvements: The scope of the project provides a new pavement surface, green bicycle infrastructure and ADA curb ramps. Design is complete and the project is expected to begin construction in Summer 2026. Recommended Mid-Year Adjustments • A-330 – Town-wide Storm Drain System Management: Appropriate $500,000 to A-330 – Storm Drain Management Systems to repair storm drain pipes along San Ramon Valley Boulevard and Hill Meadow Place. 4 • Transportation Development Act Grant: Accept and appropriate $75,000 TDA grant to capital improvement project C-621. The funds will be used to install Rectangular Rapid Flashing Beacons (RRFB) at Iron Horse Trail intersections. • Energy Efficiency Conservation Block Grant (EECBG): Accept and appropriate $76,480 to capital improvement project C-418. The funds will be used to replace incandescent yellow bulbs on signal heads with LED fixtures. CAPITAL PLANNING Similar to the Operating Budget, the Town's capital priorities are shaped by Town Council policy direction and are reviewed annually. Priorities are established based on Danville’s strategic objectives, projected revenues that include allowances for unforeseen expenses, and the Town’s capacity to deliver a defined number of projects given available staffing and organizational resources. Near Term Priorities In the remaining fiscal year, the Town is focusing its resources on advancing the 19 high priority projects (Attachment A) in the 2025/26 CIP. These efforts do not include resources for preliminary planning of capital projects in the queue. As reflected in the 2025/26 CIP two-year project timeline, the Town does not currently have the capacity to initiate new projects without reprioritizing existing commitments. Capital Maintenance Since incorporation, the Town has built and maintained a substantial portfolio of community assets, including roadways, trails, bikeways, parks, community facilities, sports lighting, and athletic fields. As this infrastructure has matured, a growing share of the CIP has appropriately shifted toward maintenance and rehabilitation to ensure these assets remain safe, reliable, and cost-effective over their full life cycle. Pavement Maintenance At the December 9, 2025 Study Session, the Town Council received an update on the Town’s infrastructure management strategy, including pavement life-cycle assumptions and long-term funding needs. The initial analysis focused on major arterial roadways and a subsequent refinement expanded the assessment to include all non-residential streets, increasing the estimated annual pavement maintenance need by approximately $900,000. Based on the updated assessment, the estimated annual funding requirement to fully support the Town’s residential and non-residential pavement management program is 5 approximately $7.39 million. This figure reflects a pay-as-you-go approach and serves as a planning target in years when outside funding is limited or unavailable. Table 1. Annual Pavement Management Cost Estimates Storm Drain Maintenance The December 9, 2025 Study Session also included an update on the Storm Drainage Master Plan, which identified approximately $13.6 million in storm drain capital improvements and maintenance needs. Several of the identified projects have already been completed, reducing the remaining unfunded need to approximately $11.5 million. To address some of these remaining projects, it is recommended that the Town set aside an annual funding commitment of approximately $2.3 million per year over the next 5- year CIP cycle. As with pavement, this estimate reflects a fully self-funded scenario and does not assume the use of grants or debt financing. Non-Residential Roadways Life Expectancy Escalated Cost at Trigger Year Annual Set-Aside Camino Ramon 18 $4,343,000 $255,000 Old Camino Tassajara 14 $2,134,401 $152,457 Danville Blvd 10 $1,794,357 $172,534 Green Valley Road 10 $771,043 $80,317 Hartz Ave 17 $1,036,460 $60,259 El Cerro Blvd 13 $2,621,599 $198,606 Railroad Ave 9 $1,066,625 $115,937 Crow Canyon Road 5 $1,196,481 $224,000 Camino Tassajara EB 5 $3,681,524 $808,000 Camino Tassajara WB 10.5 $5,579,273 $533,123 Diablo Road 5 $4,167,392 $998,000 Sycamore Valley Road 20 $6,773,000 $339,000 San Ramon Valley Blvd 19 $6,477,709 $360,000 TOTAL $4,397,233 Residential Roadways $3,000,000 TOTAL $7,397,233 6 Combined Pavement and Storm Drain Needs Taken together, pavement and storm drain systems represent an estimated annual infrastructure maintenance requirement of approximately $9.69 million. This figure reflects the full scale of ongoing capital maintenance needed to preserve critical infrastructure (pavement and storm drain) and avoid more costly future repairs. Funding Context and Strategy The Capital Improvement Program is funded through a combination of General Purpose and Special Purpose revenues. Historically, the Town has leveraged General Purpose funds as local match to secure competitive State and Federal grants. In recent years, however, access to external grant funding, particularly for roadway rehabilitation, has become more limited as funding criteria increasingly prioritize designated communities of concern and non-motorized transportation projects. As a result, the Town has relied more heavily on General Purpose revenues to directly fund transportation-related maintenance and rehabilitation, while continuing to maximize available Special Purpose revenues. These include Gas Tax, Measure J return-to-source funds, and local and regional traffic impact fees. Looking ahead, the Town will address the approximately $9.69 million annual infrastructure maintenance need through a combination of annual set-asides from Town funds, strategic project phasing, continued pursuit of grant funding or federal earmarks when available, and other funding mechanisms. These may include advocating for increased return-to-source funding as part of the Measure J ½-cent transportation sales tax reauthorization effort and updating local impact fees to help support infrastructure needs associated with state-mandated residential growth. SUMMARY Through 2026, the Town’s Capital Improvement Program will remain focused on completing a significant number of high-priority projects that are already underway. At the same time, the increasing need to maintain and rehabilitate existing infrastructure reinforces a strategic emphasis on delivering committed projects and preserving core assets, rather than expanding the overall capital program. The Town’s ability to add projects on a sustained basis will depend on aligning future commitments with ongoing maintenance demands and securing additional or enhanced revenue sources to support the full lifecycle cost of capital assets. Accordingly, any new capital project proposals should be evaluated in the context of current workload, available funding, and long-term maintenance obligations. 7 Attachments A - CIP Two Year Priority Projects 2025–2026 Operating Budget & Capital Improvement Program • CIP 7 Table A 2025 2026 CIP # PROJECT NAME JAN FEB MAR APR MAY JUN JUL AUG SEPT OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEPT OCT NOV DEC A-330 Townwide Stormdrain Master Plan (Phase 2)DESIGN BID CONTRACT CONSTRUCTION A-620 Fiber Optic Cable Interconnect (Sycamore Valley)DESIGN BID CONTRACT CONSTRUCTION Fiber Optic Cable (Town- Wide)DESIGN B-560 Diablo Vista Park Playground Replacement BID CONTRACT CONSTRUCTION B-628 Town Green And Arts District (Pavillion)DESIGN BID CONTRACT CONSTRUCTION B-629 Front Street - Arts District Maker Space (Studio)DESIGN BID CONTRACT CONSTRUCTION B-643 Non-Functional Turf Replacement DESIGN BID CONSTRUCTION C-055 Diablo Road Trail DESIGN BID CONTRACT CONSTRUCTION C-057 Diablo Trail Hawk Signal DESIGN BID CONTRACT CONSTRUCTION C-305 Iron Horse Trail Crossings DESIGN CONSTRUCTION C-521 West El Pintado Sidewalk Improvement DESIGN BID CONTRACT CONSTRUCTION C-599 La Gonda Way Bridge Improvements DESIGN C-607 Iron Horse Trail Crossings (Greenbrook, El Capitan, Paraiso)DESIGN BID CONTRACT CONSTRUCTION C-610 2025/26 Pavement Management Project BID CONTRACT CONSTRUCTION DESIGN CONTRACT CONSTRUCTION C-635 Sycamore Valley Road Improvements DESIGN BID CONTRACT CONSTRUCTION C-634 Traffic Signal Modernization DESIGN BID CONTRACT CONSTRUCTION CCTA “Smart Signals” (OBAG III)DESIGN BID CONTRACT CONSTRUCTION Signal Modernization (Federal Earmark)DESIGN BID CONTRACT CONSTRUCTION Signal Safety Corridor Project (HSIP)DESIGN BID CONTRACT CONSTRUCTION • CIP TWO-YEAR PROJECT TIMELINE ATTACHMENT A