Title
Adopt Two Resolutions 1) Local Support for the MacArthur Superior Roundabout Project; and 2) Hesperian Bike Lane Gap Closure Project for the Metropolitan Transportation Commission Housing Incentive Pool Grant Program, Committing Local Matching Funds in the Amount of $240,854, and Assuring the Completion of the Project
Staffreport
COUNCIL PRIORITY
• Public Safety
• Infrastructure
SUMMARY
The Metropolitan Transportation Commission (MTC) Housing Incentive Pool grant program (HIP) encourages the production and preservation of affordable housing and is rewarding the top fifteen (15) jurisdictions that issued the most Certificates of Occupancy for eligible housing units. MTC has identified the City of San Leandro as one of the top jurisdictions and will be awarding the City $1,859,000 of HIP grant funds.
Receiving the HIP grant is contingent upon City Council adoption of a Resolution of Local Support, committing $240,854 in local funds, and assuring the completion of the project. Staff recommends submitting Resolutions of Local Support for two projects: the MacArthur Superior Roundabout Project (Project No. 2014.0470) and Hesperian Bike Lane Gap Closure Project (Project No. 2023.4220). The $1.859 million of HIP grant funds will be awarded to the project that will best meet the obligation deadline of the grant program.
RECOMMENDATIONS
Staff recommends the following actions:
• Adopt a Resolution of Local Support for the MacArthur Superior Roundabout Project, Committing Local Matching Funds in the Amount of $240,854, and Assuring Completion of the Project
• Adopt a Resolution of Local Support for the Hesperian Bike Lane Gap Closure Project, Committing Local Matching Funds in the Amount of $240,854, and Assuring Completion of the Project
BACKGROUND
The MTC HIP grant program provides transportation grants to promote the production and preservation of affordable housing. MTC has identified the top 15 jurisdictions that issued the highest certificates of occupancy of eligible housing units over the five calendar years 2018 to 2022 and is distributing $71 million in HIP grant funds to reward jurisdictions on a per-unit basis.
The City of San Leandro ranked 6th out of the 15 jurisdictions with a total of 318 affordable housing units, which equates to an award share of $1.859 million. MTC sent letters of interest to the top 15 jurisdictions requesting applications for eligible transportation projects that qualify for use of HIP funds.
Analysis
Staff submitted two (2) project applications to MTC for its consideration: the MacArthur Superior Roundabout Project and the Hesperian Avenue Bike Lane Gap Closure Project.
The MacArthur Superior Roundabout Project will help lower vehicular speeds along MacArthur Blvd. It is expected to reduce the frequency and severity of traffic accidents in that area, delay to motorists as they travel through that area, and enhance bicycle and pedestrian safety and access.
The Hesperian Bike Lane Gap Closure Project will install protected Class IV bike lanes on Hesperian Boulevard between East 14th Street and Bayfair Drive to physically prevent automobiles from encroaching onto the space reserved for bicycles using vertical barriers. The Project will provide bike network connectivity to the existing Class IV bikeway on Fairmont Drive, and future Class IV bikeways on the East Bay Greenway and the Hesperian Blvd. corridor.
The MTC grant selection committee accepted the two projects as eligible projects to receive HIP grant funding with a minimum local match of $240,854. On April 23, 2025, MTC approved the award of $1.859 million of HIP grant funds to the MacArthur Superior Roundabout Project.
Adoption of a resolution of local support for the MacArthur Roundabout Project is a requirement to receive the HIP grant award.
Because the HIP grant program utilizes federal funds, obligating HIP grant funds towards the MacArthur Superior Roundabout Project would place additional requirements on the project, including NEPA clearance and right-of-way certification. Staff is currently evaluating the impact these additional conditions would have on the project schedule and the feasibility of meeting the established grant obligation deadlines. Due to these uncertainties and concerns that federalizing the MacArthur Superior Roundabout Project could further delay its delivery and construction, Staff also recommends adoption of a second resolution of local support for the Hesperian Bike Lane Gap Closure Project. Should staff, through discussions with both MTC and CalTrans, determine that the MacArthur Superior Roundabout Project would likely not be able to meet the established grant obligation deadlines due to the additional federal requirements, the second resolution of support would allow the $1.859 million of HIP grant funds to be reallocated to the Hesperian Bike Lane Gap Closure Project.
Current Agency Policies
• Provide quality public safety service and grow our partnership with the community to keep San Leandro safe
• Maintain and enhance San Leandro's infrastructure
Previous Actions
• On April 4, 2016, by Resolution No. 2016-040, the City Council approved a consulting services agreement with BKF Engineers for $97,490.00 for the preparation of construction-ready plans, specifications, and estimates for the MacArthur Superior Roundabout Project
• On May 7, 2018, by Resolution No. 2018-039, the City Council approved Amendment No. 2 to a Consulting Services Agreement with BKF Engineers for surveying and mapping work associated with the acquisition of private right-of-way and easements from 650 MacArthur Boulevard
• On December 14, 2020, by Resolution No. 2020-159, the City Council approved Amendment No. 4 to the Consulting Services Agreement with BKF Engineers for additional work related to acquiring right-of-way and easements from CalTrans that were not anticipated with the original design scope of work for the MacArthur Superior Roundabout Project
• On July 18, 2022, by Resolution No. 2022-121, the City Council approved an Acquisition and Maintenance Agreement with the City of Oakland for the MacArthur Superior Roundabout Project
• On July 18, 2022, by Resolution No. 2022-122, the City Council approved Amendment No. 5 to a Consulting Services Agreement with BKF Engineers for the preparation of construction-ready plans, specifications, and estimates for the MacArthur Superior Roundabout Project
• On June 20, 2023, by Resolution No. 2023-072, the City Council approved a Purchase and Sale Agreement for $22,300.00 for the acquisition of State right-of-way for the MacArthur Roundabout project, project no. 2014.0470
• On June 20, 2023, by Resolution No. 2023-077, the City Council approved and authorized the City Manager to enter into a project funding agreement with and to accept $225,000 in grant funds from ACTC, and to appropriate $29,249 in matching funds to the Hesperian Bike Lane Gap Closure Project
• On June 2, 2025, by Resolution No. 2025-238, the City Council approved and authorized the City Manager to enter into a project funding agreement with and to accept $100,000 in Active Transportation Capital Design Technical Assistance grant funds from MTC for the Hesperian Bike Lane Gap Closure Project
• On June 9, 2025, by Resolution No. 2025-063, the City Council approved inclusion of the Hesperian Bike Lane Gap Closure Project in the Capital Improvement Program 10-Year Plan for Fiscal Years 2026-2035 as a funded project and appropriated $495,000 to the subject project
Committee Review and Actions
• On September 20, 2016, Engineering and Transportation (E/T) Department staff presented the roundabout project to the City Council Facilities and Transportation Committee meeting. The Committee expressed concerns regarding speeding and the high rate of collisions in the project vicinity. Staff was also directed to work with the City of San Leandro Arts Commission and the surrounding neighborhood regarding the landscaping and artistic design elements for the project.
• On April 5, 2017, E/T Department staff presented the roundabout project to the City Council Facilities and Transportation Committee. The Committee expressed concerns about how bicyclists and pedestrians would be near each other on the sidewalk and suggested providing better accommodations for bicyclists in the design.
• At the June 7, 2017, City Council Facilities and Transportation Committee meeting, the Committee recommended not to include the design alternative without a roundabout as an option for public feedback, since such an option would not provide traffic calming, thereby missing an important goal of the project.
• On March 7, 2018, the City Council Facilities and Transportation Committee requested staff conduct outreach to the surrounding neighborhood prior to construction of the roundabout.
• On November 14, 2018, the Committee requested that staff consider a mitigation strategy for street parking as part of the project. The Committee suggested adding a traffic camera to monitor speeds and/or installing a speed feedback sign directed at traffic approaching the roundabout from the freeway.
• On April 3, 2019, the Committee requested that the roundabout project be a priority project.
• On May 8, 2019, the Committee provided comments that Oakland City Council Member Larry Reid should be copied on a letter to be sent to Oakland Mayor Libby Schaff regarding the roundabout.
• On September 10, 2020, the City Council Facilities and Transportation Committee requested that staff prepare an exhibit that can be forwarded to State Senator Nancy Skinner and State Assembly Member Rob Bonta regarding the State’s decertification of the land needed for the MacArthur Roundabout project to expedite the decertification process.
Applicable General Plan Policies
• Goal T-3, Policy T-3.7.C - Pedestrian and Bicycle Crossing Improvements: Improve crossings for pedestrians and cyclists at intersections in the City through the use of variable pavement materials, small curb radii, bulb outs, street trees and landscaping near corners, and other measures which shorten pedestrian crossings or increase driver awareness of non-vehicle traffic
• Goal T-5, Policy T-5.4 - Traffic Flow Improvements: Use a variety of technology-driven measures to improve traffic flow at congested intersections
• Goal T-6, Policy T-6.1 - Traffic Calming Strategies: Use a variety of approaches to slow down or “calm” traffic on San Leandro streets, based on the specific conditions on each street. Emphasize approaches that improve conditions for pedestrians and bicyclists and enhance neighborhood aesthetics
• Goal T-7, Policy T-7.2 - Capital Improvements: Identify capital improvements and other measures which improve the safety of bicyclists, pedestrians, and motor vehicles on San Leandro streets
Permits and/or Variances Granted
Encroachment permits will be required from CalTrans and the City of Oakland to build the MacArthur Roundabout Project.
Environmental Review
The MacArthur Superior Roundabout and the Hesperian Bike Lane Gap Closure Projects are both categorically exempt from CEQA per Section 15301(c)(1) - Existing Facilities - of the CEQA guidelines. A Notice of Exemption has been filed with the Alameda County Recorder’s Office.
The MacArthur Superior Roundabout Project also received a NEPA Categorical Exclusion for the de-certification of State right-of-way. NEPA environmental clearance is now required for the entire Project with the receipt of this HIP grant.
The Hesperian Bike Lane Gap Closure Project would also be required to conduct NEPA clearance with the receipt of the HIP grant.
Financial Impacts
The HIP grant award totals $1,859,000 and will help fund the construction phase of the MacArthur Superior Roundabout. As a requirement of the grant, the City will appropriate matching funds in the amount of $240,854 using funding sources previously appropriated through the CIP. Both the MacArthur Superior Roundabout and Hesperian Bike Lane Gap Closure projects are funded through their respective design phases; however, additional funds may still be required to fully fund the construction phase of the projects based on bids received.
ATTACHMENTS
A: Resolution of Local Support for MacArthur Superior Roundabout Project
B: Resolution of Local Support for Hesperian Bike Lane Gap Closure Project
PREPARED BY:
• Anna Vickroy, Associate Engineer, Public Works Department - Engineering Division