ARTICLE
Last week we noted the movement of the largest infrastructure investment in America’s history that was passed by Congress. From the White House briefing room on Monday, November 15, the President signed H.R. 3684, the Infrastructure Investment and Jobs Act, which reauthorizes surface transportation programs for the next five years, through the Fiscal Year 2026 and provides for a one-time transfer from the General Fund into the Highway Trust Fund; authorizes programs for broadband infrastructure, energy and water; and provides emergency supplemental appropriations. The link here — Investment for California — provides a snapshot of where funds will go in California. So with all this money flowing across America, California is certainly set to get its fair share of this five-year funding bill. The President sent each state a prepared white paper outlining the funding (above) and captured these comments specifically for our state: “The need for action in California is clear and recently released state-level data demonstrates that the Infrastructure Investment and Jobs Act will deliver for California. For decades, infrastructure in California has suffered from a systemic lack of investment. In fact, the American Society of Civil Engineers gave California a C-grade on its infrastructure report card.” Here is a breakdown report from a Los Angeles Times report: https://www.latimes.com/politics/story/2021-11-15/what-is-in-biden-infrastructure-bill-california Wildfires: $80 million over five years to fund projects that could mitigate wildfires and other natural disasters and an additional $40 million to safeguard against cyberattacks. Public Transportation: California will receive $9.45 billion to improve public transportation options across the state. Road Improvement: An estimated 1,500 bridges and 14,000 miles of California highway are in poor shape in the state, and California is expected to receive $25.3 billion to fund road projects and an additional $4.2 billion to replace and repair bridges. Charging Stations: California is expected to get $384 million over the next five years to expand a network of charging stations for EVs. The state could apply for a $2.5 billion grant to fund such measures. Internet: H.R. 3684 should at least include $100 million to provide 500,000 California residents with access to broadband internet. Drinking Water: California is expected to see $3.5 billion to eliminate lead pipes and take other steps to improve the quality of drinking water. Airports: California is likely to receive $1.5 billion to improve airports. The real question for Santa Cruz County: What are the local priorities for our four cities and the county? I reached out to each city and the county and here is what I’ve learned from those who responded before our print deadline. Scotts Valley — Through Anna Eshoo’s office in the infrastructure bill we funded the replacement of the childcare modular at Vine Hill School at $1.375M, but our CIP lists needs at both Vine Hill School and Brook Knoll School for a total unfunded budget of $2.318M, so we are still short about $950K for childcare facility needs. Scotts Valley had a report prepared in 2017 evaluating the City’s pavement system. Back then we had a deferred maintenance backlog of approximately $4.2M, but based on the investments made into the system since then, that value is now more likely in the range of $6M-$7M. Pavement is the most cost effective to maintain when it is in good condition vs. poor, so an investment in street rehabilitation would be beneficial not only to the users now, but the health of the future city budgets as well. Santa Cruz — There’s $55 billion for water-related items in the federal bill and millions more in state funding for water-related items. Santa Cruz Water has a 5-year CIP of $271 million, so we will be aggressively pursuing funding in the form of grants and low-interest loans for water-system-related capital improvements, especially the Graham Hill Water Treatment Plant facility improvement project and the Newell Creek Pipeline replacement project, as well as for inter-ties and supply augmentation that will support regional improvements to water supply resilience and groundwater sustainability. The city has over $300 million of unfunded infrastructure needs in the General Fund and significant needs in funds supported by Rates, Water, Wastewater and Refuse. The General Fund projects include $130 million of Alternative Transportation Projects in the adopted ATP, all working to reduce car trips and reduce greenhouse gases. There is another $150 million in bridge repairs and replacements, road and intersection improvements to implement complete streets to make our streets safer for all users. We have $11 million in unfunded storm drain projects to protect our neighborhoods from flooding as we get more intense rainfall events. In the Water and Wastewater, we have an aging infrastructure that is in need of replacement. Any funding assistance will help to reduce the need for rate increases. Additionally, all energy improvements and upgrading pumps also reduce greenhouse gas emissions. On the Refuse side, we are preparing to roll out our food waste program, per the new state law, reducing organic going into the landfill, and methane production. We are also hopeful the infrastructure bill will help us transition to electric refuse trucks faster, thus reducing our daily carbon footprint. We would be interested in pursuing funding opportunities for climate change mitigation and broadband coverage from a diversity and equity lens for existing areas and specifically for new affordable housing developments. Soquel Creek Water District — The District would like to obtain funding from the Water Infrastructure part and potentially the Cyber Security portion. Specially related to the water, more grant funding for the Pure Water Soquel Program is always valued and The Bureau of Reclamation funding has been greatly increased (to $500M). We really like that the legislation contains $1B for investment in western water recycling projects, a $125 million authorization for a nationwide water reuse grant program, and the establishment of a federal interagency working group on water reuse to ensure program and policy coordination between federal agencies. However, we also have other needs looming on the horizon, such as remediation facilities for the natural Chrome VI in the groundwater and the new MCL that is to be set. Our general infrastructure is in decent shape, but there is also more we could do if the funding is available. Santa Cruz County Regional Transportation Commission — The Infrastructure Investment and Jobs Act provides five years of funding that could help advance many of the region’s waste food priority projects. The bill includes increased funding that could be used for local road safety, pavement and bridge repairs, a bump up in funding for “transportation alternatives” (expected to fund more bike and pedestrian projects like the Monterey Bay Sanctuary Scenic Trail Network/Rail Trail (MBSST)), more funding to improve public transit and purchase electric busses, funding for electric vehicle charging stations, and opportunities for resiliency projects like the Scotts Creek Bridge project. While the details on many programs will not be available until federal agencies and the state develop guidelines for the distribution of funds from the dozens of programs included in the bill, the RTC looks forward to working with our local transportation partners to utilize voter-approved Measure D local tax revenues to leverage some of the competitive federal grants. Santa Cruz County — Our largest need is road maintenance. Our existing road conditions are on average poor to failing. We currently have ~$490 million in deferred maintenance. This is due to a lack of investment in county roads over the past few decades. Road maintenance is primarily funded by gas taxes collected at the state and federal levels. The new federal transportation bill has some new money for bridges and only a slight increase in road maintenance dollars from what we can currently see in the program. Most of the new money is for other needs such as electric vehicle infrastructure, transit, and water. Santa Cruz METRO -- Santa Cruz METRO’s allotment of IIJA Formula Grant funds will continue to support the agency’s focus on immediate and critical non-bus replacement needs as well as operating assistance for public transit service within rural areas of Santa Cruz County. Additionally, METRO hopes to secure IIJA discretionary dollars to compete for construction of a new ParaCruz Facility in 2022, the purchase of 5 fuel cell and 3 CNG bus grants in 2023, and a RAISE grant to fund the design of the new South County Bus Division to 60% shelf-ready level. These funds will support much needed infrastructure improvements and operating expenses to continue serving our community’s needs. County staff has asked our federal association partners to draft a comparison of the last bill and this new one. Watsonville - Like many cities, we are still waiting for clearer guidance with regards to how the infrastructure funds can be spent. However, road and transportation improvements, expansion of the City's fiber network, and implementation of our utility master plans are all high priorities. Specific projects could include implementation of the Downtown Complete Streets Plan (including moving from 4 to 2 lanes on Main Street), completing installation of a planned fiber loop to serve all areas of the City, and advancing several large-scale utility infrastructure projects. We will also be focusing on improving neighborhood streets and continuing our investments in bicycle and pedestrian improvements.
Last week we noted the movement of the largest infrastructure investment in America’s history that was passed by Congress. From the White House briefing room on Monday, November 15, the President signed H.R. 3684, the Infrastructure Investment and Jobs Act, which reauthorizes surface transportation programs for the next five years, through the Fiscal Year 2026 and provides for a one-time transfer from the General Fund into the Highway Trust Fund; authorizes programs for broadband infrastructure, energy and water; and provides emergency supplemental appropriations.
The link here — Investment for California — provides a snapshot of where funds will go in California. So with all this money flowing across America, California is certainly set to get its fair share of this five-year funding bill. The President sent each state a prepared white paper outlining the funding (above) and captured these comments specifically for our state: “The need for action in California is clear and recently released state-level data demonstrates that the Infrastructure Investment and Jobs Act will deliver for California. For decades, infrastructure in California has suffered from a systemic lack of investment. In fact, the American Society of Civil Engineers gave California a C-grade on its infrastructure report card.”
Here is a breakdown report from a Los Angeles Times report: https://www.latimes.com/politics/story/2021-11-15/what-is-in-biden-infrastructure-bill-california
Wildfires: $80 million over five years to fund projects that could mitigate wildfires and other natural disasters and an additional $40 million to safeguard against cyberattacks.
Public Transportation: California will receive $9.45 billion to improve public transportation options across the state.
Road Improvement: An estimated 1,500 bridges and 14,000 miles of California highway are in poor shape in the state, and California is expected to receive $25.3 billion to fund road projects and an additional $4.2 billion to replace and repair bridges.
Charging Stations: California is expected to get $384 million over the next five years to expand a network of charging stations for EVs. The state could apply for a $2.5 billion grant to fund such measures.
Internet: H.R. 3684 should at least include $100 million to provide 500,000 California residents with access to broadband internet.
Drinking Water: California is expected to see $3.5 billion to eliminate lead pipes and take other steps to improve the quality of drinking water.
Airports: California is likely to receive $1.5 billion to improve airports.
The real question for Santa Cruz County: What are the local priorities for our four cities and the county? I reached out to each city and the county and here is what I’ve learned from those who responded before our print deadline.
Scotts Valley — Through Anna Eshoo’s office in the infrastructure bill we funded the replacement of the childcare modular at Vine Hill School at $1.375M, but our CIP lists needs at both Vine Hill School and Brook Knoll School for a total unfunded budget of $2.318M, so we are still short about $950K for childcare facility needs. Scotts Valley had a report prepared in 2017 evaluating the City’s pavement system. Back then we had a deferred maintenance backlog of approximately $4.2M, but based on the investments made into the system since then, that value is now more likely in the range of $6M-$7M. Pavement is the most cost effective to maintain when it is in good condition vs. poor, so an investment in street rehabilitation would be beneficial not only to the users now, but the health of the future city budgets as well.
Santa Cruz — There’s $55 billion for water-related items in the federal bill and millions more in state funding for water-related items. Santa Cruz Water has a 5-year CIP of $271 million, so we will be aggressively pursuing funding in the form of grants and low-interest loans for water-system-related capital improvements, especially the Graham Hill Water Treatment Plant facility improvement project and the Newell Creek Pipeline replacement project, as well as for inter-ties and supply augmentation that will support regional improvements to water supply resilience and groundwater sustainability.
The city has over $300 million of unfunded infrastructure needs in the General Fund and significant needs in funds supported by Rates, Water, Wastewater and Refuse.
The General Fund projects include $130 million of Alternative Transportation Projects in the adopted ATP, all working to reduce car trips and reduce greenhouse gases. There is another $150 million in bridge repairs and replacements, road and intersection improvements to implement complete streets to make our streets safer for all users. We have $11 million in unfunded storm drain projects to protect our neighborhoods from flooding as we get more intense rainfall events.
In the Water and Wastewater, we have an aging infrastructure that is in need of replacement. Any funding assistance will help to reduce the need for rate increases. Additionally, all energy improvements and upgrading pumps also reduce greenhouse gas emissions. On the Refuse side, we are preparing to roll out our food waste program, per the new state law, reducing organic going into the landfill, and methane production. We are also hopeful the infrastructure bill will help us transition to electric refuse trucks faster, thus reducing our daily carbon footprint.
We would be interested in pursuing funding opportunities for climate change mitigation and broadband coverage from a diversity and equity lens for existing areas and specifically for new affordable housing developments.
Soquel Creek Water District — The District would like to obtain funding from the Water Infrastructure part and potentially the Cyber Security portion. Specially related to the water, more grant funding for the Pure Water Soquel Program is always valued and The Bureau of Reclamation funding has been greatly increased (to $500M). We really like that the legislation contains $1B for investment in western water recycling projects, a $125 million authorization for a nationwide water reuse grant program, and the establishment of a federal interagency working group on water reuse to ensure program and policy coordination between federal agencies.
However, we also have other needs looming on the horizon, such as remediation facilities for the natural Chrome VI in the groundwater and the new MCL that is to be set. Our general infrastructure is in decent shape, but there is also more we could do if the funding is available.
Santa Cruz County Regional Transportation Commission — The Infrastructure Investment and Jobs Act provides five years of funding that could help advance many of the region’s waste food priority projects. The bill includes increased funding that could be used for local road safety, pavement and bridge repairs, a bump up in funding for “transportation alternatives” (expected to fund more bike and pedestrian projects like the Monterey Bay Sanctuary Scenic Trail Network/Rail Trail (MBSST)), more funding to improve public transit and purchase electric busses, funding for electric vehicle charging stations, and opportunities for resiliency projects like the Scotts Creek Bridge project. While the details on many programs will not be available until federal agencies and the state develop guidelines for the distribution of funds from the dozens of programs included in the bill, the RTC looks forward to working with our local transportation partners to utilize voter-approved Measure D local tax revenues to leverage some of the competitive federal grants.
Santa Cruz County — Our largest need is road maintenance. Our existing road conditions are on average poor to failing. We currently have ~$490 million in deferred maintenance. This is due to a lack of investment in county roads over the past few decades. Road maintenance is primarily funded by gas taxes collected at the state and federal levels. The new federal transportation bill has some new money for bridges and only a slight increase in road maintenance dollars from what we can currently see in the program. Most of the new money is for other needs such as electric vehicle infrastructure, transit, and water.
Santa Cruz METRO -- Santa Cruz METRO’s allotment of IIJA Formula Grant funds will continue to support the agency’s focus on immediate and critical non-bus replacement needs as well as operating assistance for public transit service within rural areas of Santa Cruz County. Additionally, METRO hopes to secure IIJA discretionary dollars to compete for construction of a new ParaCruz Facility in 2022, the purchase of 5 fuel cell and 3 CNG bus grants in 2023, and a RAISE grant to fund the design of the new South County Bus Division to 60% shelf-ready level. These funds will support much needed infrastructure improvements and operating expenses to continue serving our community’s needs.
County staff has asked our federal association partners to draft a comparison of the last bill and this new one.
Watsonville - Like many cities, we are still waiting for clearer guidance with regards to how the infrastructure funds can be spent. However, road and transportation improvements, expansion of the City's fiber network, and implementation of our utility master plans are all high priorities. Specific projects could include implementation of the Downtown Complete Streets Plan (including moving from 4 to 2 lanes on Main Street), completing installation of a planned fiber loop to serve all areas of the City, and advancing several large-scale utility infrastructure projects. We will also be focusing on improving neighborhood streets and continuing our investments in bicycle and pedestrian improvements.