Title
a. Receive a presentation for the proposed FY 2026-27 Measure AA Public Works, Facilities and Parks (PWFP) Roads plan, consisting of nineteen (19) road projects funding requests from Public Works, Facilities and Parks; and
b. Adopt a Resolution authorizing the County Administrative Office and the Auditor-Controller’s Office to amend the Fiscal Year 2026-27 Adopted Budget and execute related transfers as follows to effectuate the approval of the nineteen (19) projects (4/5th vote required):
1. Increase appropriations by $12,500,000 in Road Fund 1201, Roads and Bridges Entity 320015, Expense Category 61000 Services and Supplies ($500,000) and 72000 Capital Assets ($12,000,000), financed by an Operating Transfer In from General Fund 1001, Other Financing Uses 105014; and
2. Transfer funds from General Fund 1001, Other Financing Uses 105014, to Road Fund 1201, Roads and Bridges Entity 320015, for a total amount not to exceed $12,500,000, based on verified monthly departmental expense reports.
Body
Recommendation:
It is recommended that the Board of Supervisors (Board):
a. Receive a presentation for the proposed FY 2026-27 Measure AA Public Works, Facilities and Parks (PWFP) Roads plan, consisting of nineteen (19) road projects funding requests from Public Works, Facilities and Parks; and
b. Adopt a Resolution authorizing the County Administrative Office and the Auditor-Controller’s Office to amend the Fiscal Year 2026-27 Adopted Budget and execute related transfers as follows to effectuate the approval of the nineteen (19) projects (4/5th vote required):
1. Increase appropriations by $12,500,000 in Road Fund 1201, Roads and Bridges Entity 320015, Expense Category 61000 Services and Supplies ($500,000) and 72000 Capital Assets ($12,000,000), financed by an Operating Transfer In from General Fund 1001, Other Financing Uses 105014; and
2. Transfer funds from General Fund 1001, Other Financing Uses 105014, to Road Fund 1201, Roads and Bridges Entity 320015, for a total amount not to exceed $12,500,000, based on verified monthly departmental expense reports.
SUMMARY:
This item presents the Measure AA Financial Update for Fiscal Year (FY) 2026-27 and requests Board approval of the proposed FY 2026-27 Measure AA Public Works, Facilities and Parks (PWFP) Roads plan, consisting of $12,500,000 in one-time Measure AA-funded road and right-of-way maintenance projects submitted by PWFP, covering nineteen (19) individual road segments and countywide maintenance programs across four capital programs and three services-based programs.
DISCUSSION:
In November of 2024, voters in the unincorporated area of the County of Monterey (County) approved “Measure AA” which authorized a general sales tax increase of 1%. This levy is presently being collected within the unincorporated area of the County only. When set for the ballot, it was projected to raise a total of approximately $29 million annually. The funds collected from this increase in the transactions and use tax may be used to provide funding for essential County services, including but not limited to programs for: street maintenance and pothole repair; enhanced public safety, emergency services and disaster response, prevention, and recovery; programs to reduce homelessness; libraries, parks, and recreation facilities; water and sewer infrastructure; health care; clean and affordable drinking water; and other services.
At the August 11, 2026 Board Meeting, the Board adopted Board Resolution No. 26-119 and approved the funding policy for Measure AA funds, whereby 40-50% of projected annual Measure AA revenues are allocated to Roads, as recommended by the Measure AA Committee.
The policy intention is for the Roads Plan adoption to coincide with the Budget Preparation Process; due to timing of the policy coming after the FY 2026-27 Budget Adoption, the proposed FY 2026-27 Measure AA PWFP Roads Plan is being presented at this time. The Measure AA Committee supported the plan and recommended actions at its August 31, 2026 Special Meeting.
Like the Secondary Roads of the FY 2025-26 “Early-Success” projects, these roads are prioritized with pavement condition, traffic volumes, and complaint history; additionally, these include augmented services for the Fiscal Year, such as drainage/culvert repairs across various roads, street sweeping, and neighborhood traffic management. These nineteen one-time projects for the Fiscal Year address road pavement condition, drainage, traffic safety, and right-of-way maintenance across the county's road network.
Recommended projects include:
Secondary Roads Rehabilitation Program
• San Miguel Canyon Rd: Lewis Rd to Vega Rd - $1,400,000
• Paradise Rd: Gregory Ln to San Miguel Canyon Rd - $1,400,000
• Nashua Rd - $1,200,000
• Paraiso Spring Rd: Foothill Rd to Arroyo Seco Rd - $1,100,000
• Arroyo Seco Rd: Elm Ave to 1 mile south - $1,100,000
• Sergeants Rd: Milepost 5.9 to Milepost 6.1 - $300,000
• Durham Rd: 7th St to 8th St - $300,000
• Corral de Tierra: Deer Trail Rd to Paseo De Chaparral - $1,200,000
Annual Seal Coat Program
• Ranchita Canyon Rd: Cross County Rd to Ranchita Ave - $1,000,000
Blade Overlay Resurfacing Program
• Interlake Rd: Jolon Rd to Bridge - $250,000
• Cholame Rd: Jack Ranch HQ to SLO County Line - $250,000
• Indian Valley Rd (north): Hare Canyon Rd to Big Sandy Rd (Var. Loc.) - $250,000
• San Vicente Rd: Soledad City Limit to end - $250,000
• Bryant Canyon Rd: Soledad City Limit to end of pavement - $250,000
• River Rd: Camphora Rd to 2 miles north - $250,000
Road Drainage Improvements (culverts)
• Various Districts - $1,500,000
Neighborhood Traffic Management
• Various Districts - $300,000
Street Sweeping by Contractors
• Various Districts - $100,000
Litter Abatement / Homelessness Encampment Cleanup
• Various Districts - $100,000
These nineteen projects total $12,500,000 and align with Measure AA funding priorities of 50% allocation towards roads projects for FY 2026-27. Approval of this item will authorize required budget appropriations and enable the County Administrative Office to transfer funds to Road Fund 1201 as costs are incurred.
OTHER AGENCY INVOLVEMENT:
The County Administrative Office, Budget and Analysis Division, reviewed the report for accuracy of the requested amounts. The Measure AA Committee supported the plan and recommended actions at its August 31, 2026 Special Meeting.
FINANCING:
Approval of the recommended action would increase FY 2026-27 appropriations totaling $12,500,000 in Road Fund 1201, Roads and Bridges Entity 320015: $12,000,000 in Capital Assets for the pavement rehabilitation, seal coat, resurfacing, and drainage programs, and $500,000 in Services and Supplies for the neighborhood traffic management, street sweeping, and litter abatement programs. All appropriation increases are financed by an Operating Transfer in from Measure AA revenue held in General Fund 1001, Other Financing Uses 105014.
The FY 2026-27 Adopted Budget includes $25,000,000 in Measure AA revenue in General Fund 1001, Other Financing Uses 105014, which serves as the funding source for this allocation.
BOARD OF SUPERVISORS STRATEGIC PLAN GOALS:
This item advances the Board's strategic goals of Well-Being and Quality of Life, Sustainable Infrastructure for the Present and Future, and Safe and Resilient Communities by improving road conditions, maintaining drainage infrastructure, and addressing traffic safety and right-of-way maintenance needs. These investments support safer travel, preserve the County’s road network, and improve conditions for residents and road users.
Mark a check to the related Board of Supervisors Strategic Plan Goals:
X Well-Being and Quality of Life
X Sustainable Infrastructure for the Present and Future
X Safe and Resilient Communities
___ Diverse and Thriving Economy
___ Dynamic Organization and Employer of Choice
Prepared by: Jessica Cordiero-Martinez, Finance Manager III x 4824
Approved by: Randell Ishii, MS, PE, TE, PTOE, Director of Public Works, Facilities and Parks
Approved by: Deja Sero, County Budget Director x 6780
Attachments:
Attachment A - Draft Resolution
Attachment B - Public Works, Facilities and Parks Measure AA Roads plan for FY 2026-27