Agenda Item Wording:
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ATP Grant Letter - Authorize the City Manager to issue a letter to the California Transportation Commission terminating an Active Transportation Program grant of $795,000 that was awarded to the City of Visalia for construction of the Goshen - Visalia Corridor improvement project, from Mooney Boulevard to Giddings Street; and to include a statement of support in the letter from the City to reprogram these ATP funds to the Caltrans Ivanhoe Safe Routes to School project, located in Tulare County.
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Agenda Date: 08/03/2026
Prepared by:
Rebecca Keenan, Senior Civil Engineer, Rebecca.Keenan@visalia.gov, 713-4541
Chris Crawford, City Engineer, chris.crawford@visalia.gov, 713-4331
Jason Huckleberry, Eng & Bldg. Dept. Director, Jason.Huckleberry@visalia.gov, 713-4495
Department Recommendation: Staff recommends that the City Council authorize the City Manager to issue a letter to the California Transportation Commission (CTC) terminating an Active Transportation Program (ATP) grant of $795,000 that was awarded to the City of Visalia for construction of the Goshen - Visalia Corridor (GVC) Improvement Project, from Mooney Boulevard to Giddings Street; and to include a statement of support in the letter from the City to reprogram these ATP funds to the Caltrans Ivanhoe Safe Routes to School (SRTS) project, located in Tulare County .
Summary:
The City of Visalia applied for and received a $795,000 grant from the Cycle 6 - Active Transportation Program (ATP) for improvements to the existing 0.5 mile, Class 1 multi-use Goshen Avenue Trail, between Mooney Boulevard and Giddings Street. The project intended to reconstruct the existing paved trail to create a safe, direct multimodal path for the community to access the downtown area and nearby schools. Proposed improvements included rehabilitation of the existing asphalt trail and at grade intersections, installation of ADA curb ramps, sidewalks, and lighting, along with installation of various site amenities. Since this trail is located parallel to the existing railroad tracks, and it crosses several at grade street intersections, the proposed project design requires review and approval by various railroad entities along with acquisition of right of way from the railroad. Unfortunately, there was insufficient time and funding budgeted during the conceptualization of the project to successfully navigate the arduous railroad process and the grant deadlines will not be met. Therefore, staff requests authorization to terminate the $795,000 ATP grant funding and to halt this project.
Background Discussion:
In December 2022, the City of Visalia submitted an application package to request $3,000,000 in ATP grant funds for construction of Phase 1 of the Goshen-Visalia Corridor Project under Cycle 6 of the Active Transportation Program (ATP). This package was submitted to TCAG for consideration at the ATP MPO Component level and the overall budget included local matching funds for an estimated total project cost of $3,816,000. The project intended to reconstruct 0.5 miles of an existing paved trail to create a safe, direct multimodal path for the community to access the downtown area and nearby schools. Proposed improvements included rehabilitation of the existing asphalt trail, improvements to existing crosswalks, installation of ADA curb ramps, intersection lighting, shortened intersection crossings, signalized intersection enhancements, and included new sidewalks, shade trees, benches, and trash receptacles. This trail project is located 10’ to 15’ south of the existing Union Pacific Railroad (UP) tracks which are operated by the San Joaquin Valley Railroad (SJVR) which is owned by Genesse & Wyoming Inc. (G&W). The intersection improvements associated with the proposed project will encroach on the railroad right of way. For that reason, the recommended improvements are subject to review, approval and coordination with the railroad entities, especially at any of the at-grade intersection crossings. There are four (4) at-grade railroad crossing intersections included in this project located at Mooney Boulevard, Leslie Street, Divisadero Street, and Giddings Street.
The City was notified in February 2023 that they would be awarded grant funding of $795,000 from the ATP MPO Component for construction of the project. City staff previously submitted an ATP funding application during Cycle 5 of the Active Transportation Program but did not score high enough to secure funding during that time. However, in anticipation of the Cycle 6 ATP funding, the City began preemptively working with their consultant to start the required railroad coordination in 2022.
Over the past four years, city staff and the City consultant have actively worked to coordinate with the railroad representatives to help expedite their approval of work that will occur within the railroad right of way.
• Beginning in May 2022, the City’s team held introductory meetings with the railroad’s consultants, Wabtec (representing San Joaquin Valley Railroad) and Benesch (representing Union Pacific Railroad), along with representatives from Genesse & Wyoming. Subsequently, the team established Engineering Review Agreements (ERA) with the railroad and started discussions regarding the City’s proposed improvements and signal preemption timing. Unfortunately, the coordination took several months, and the railroad consultants replaced their project managers during this time.
• A new kick-off meeting was held in March 2023 to bring the new representatives up to speed. Following this kick-off meeting the City’s team worked to obtain right of way maps from the railroads, submitted 30% improvement plans to the railroad in July 2023, and requested a field diagnostic meeting to be held in August 2023. The SJVR representative requested increased compensation to cover the ongoing preliminary engineering costs and the UP representative requested that the meeting be rescheduled to early October 2023.
• A limited field meeting was held in August 2023 between the City’s team and the SJVR team, however the UP team was not in attendance. After that, an online meeting was held to review the project with the City’s team and representatives from SJVR, G&W, UP, and the CPUC. This meeting was intended to review the project with all the new personnel, review the 30% plans that were submitted to them in July 2023, establish the current project status, and review next steps from all agencies.
• In late August 2023, the City was notified that G&W had assigned Benesch as the General Engineering Consultant, that they would be assisting on behalf of SJVR, and that a new ERA would have to be prepared. The City’s team began work on the new ERA and sent documentation to the new railroad representatives describing the proposed improvements and changes to the existing infrastructure. The revised ERA was completed and provided to the City in November 2023.
• The field diagnostic meeting with the SJVR, G&W, UP and CPUC reps was finally held in January 2024.
• In September 2024, following the field diagnostic meeting and recommendations, the City’s consultant submitted the 60% project plans to the railroad for review. UP informed the City that it would take four weeks to review and send comments, however the city did not receive the comments until January 2025. With the 60% comments received, the City’s team moved forward with addressing the railroad’s comments, preparing the construction & maintenance agreement, and preparing the GO 88-B application to be submitted to the CPUC. The City project team also continued to request existing railroad right of way documentation throughout 2025. These documents are necessary to prepare the construction right of way acquisition exhibits and legal descriptions for access easements. Despite the requests, there continued to be delays in receiving information, which has negatively impacted the overall schedule. In addition to this, the comments returned by the railroad representatives included requirements that significantly increased the project costs. Initial review indicates that the project costs will increase by approximately $2.2 million due to additional railroad requirements - increasing the initial budget estimate from $3.5 million to $5.7 million. Given that the ATP grant amount is $795,000, that will leave a significant deficit in the project budget.
As can be seen through the timeline outlined above, the railroad related issues included multiple changes in railroad representatives, difficulty obtaining right of way information, additional agreement and reimbursement requirements, and repeated postponements of the required field diagnostic meeting. Although 30% plans were submitted in July 2023, the diagnostic meeting continued to be delayed while the railroad agencies completed additional internal coordination, reviewed the project scope, and worked through the required agreements. As of today, the listed issues still need to be worked out and the City does not have any firm commitments from the various railroad entities of when the tasks will be completed.
At their May 15, 2025 meeting, the CTC approved a request to extend the construction allocation deadline by 20 months, the maximum number of months that may be granted, from June 30, 2025 to February 28, 2027. This means that the City must have plans and specifications complete, all right of way done and receive right of way certification by December 1, 2026 to meet the CTC deadline for the submission of funding requests. Unfortunately, the City will not be able to complete the required right-of-way acquisitions, right-of-way certification, and have the project ready to list by the required milestone dates despite having made significant efforts to avoid project delays, including the following:
Efforts made to avoid project cancellation:
• Beginning the railroad coordination early, before the Cycle 6 ATP award was confirmed.
• Entering into Engineering Review Agreements with the railroad entities and promptly initiating new or revised agreements when railroad consultants and project representatives changed.
• Continued coordinating with San Joaquin Valley Railroad, Union Pacific Railroad, Genesee & Wyoming, Wabtec, Benesch, and the CPUC through meetings, written correspondence, plan submittals, and repeated follow-up requests.
• Submitted 30% plans in July 2023 and requested an early field diagnostic meeting so railroad requirements could be identified before the design advanced further.
• Participated in a limited field meeting and later convened a multi-agency meeting when all required railroad representatives could not attend the original meeting.
• Advanced the design to the 60% level and submitted plans for railroad review despite unresolved right-of-way and agreement issues.
• Began addressing the railroad’s 60% review comments and preparing the construction and maintenance agreement and CPUC GO 88-B application.
• Repeatedly requested railroad right-of-way maps and supporting documentation needed to prepare acquisition documents and easements.
• Requested and received a time extension from the CTC to provide additional time to complete the project.
Regrettably, despite these efforts, the city could not establish a reliable path to complete the required railroad coordination, right-of-way acquisition, certification, and project listing within the extended funding deadlines.
TCAG reprogramming of ATP funds:
In discussions with the Tulare County Association of Governments (TCAG), they identified the Caltrans Ivanhoe Safe Routes to School (SRTS) project as currently having a funding deficit, and that it could benefit from these relinquished ATP funds. That project will upgrade SR 216 (from Ave. 327 to Ave. 328) to enhance student safety. The project features new sidewalks over two railroad tracks, ADA-compliant curb ramps, transit turnoffs, and reconfigures a dangerous 5-legged intersection to a standard 4-legged intersection. Caltrans District 6 staff are directly managing that project, and they have already secured the required railroad easements and permits. Staff recommend that the City of Visalia Council support the reprogramming of these ATP funds to the Caltrans Ivanhoe SRTS project and include the City’s support in the letter to the CTC. Doing so will not require any additional project management by city staff since that project is directly managed by Caltrans District 6 staff, and it will keep the ATP funds in Tulare County.
Lessons learned from challenges faced:
City staff have gained valuable insight from this project, including:
• Project schedules involving railroads should include considerably increased durations for right of way acquisition, establishment of agreements, multi-stakeholder meetings, design reviews, and approvals.
• A railroad project involving multiple entities may require separate approvals, agreements, consultants, and reimbursement arrangements, especially if they involve at grade intersections.
• Railroad staff and consultant changes can restart portions of the coordination process, so decisions, assumptions, commitments, and outstanding action items should be documented in a centralized coordination record.
• The field diagnostic meeting should be scheduled as early as possible and should include all railroad owners, operators, regulatory agencies, and affected parties.
• Project budgets involving railroads should include larger contingencies for railroad review fees, flagging, protective services, signal and gate work, and potential maintenance requirements.
Goshen Visalia Corridor Connection Project (GVCC)
As grant funding was awarded for the reconstruction of the Goshen Trail from Mooney Blvd. to Giddins St., city staff applied for ATP funding in Cycle 7 for improvements to the Goshen Trail from Camp Drive to Mooney Boulevard, aimed at providing a completely rehabilitated Goshen trail system. The City was successful in this effort and was awarded separate ATP funding in the amount of $34,308,000 for the Goshen Visalia Corridor Connection Project (GVCC), which is a 5.6 mile, east-west multi-modal trail parallel to Goshen Avenue. This project is a joint venture between Tulare County and the City of Visalia, which extends into the unincorporated community of Goshen at the west end, and connects to the Goshen trail from Camp Drive to Mooney Boulevard, within the City of Visalia. This project will provide safe bike/walk access by rehabilitating the existing trail segment, adding safety enhancements, and connecting the gap between the Goshen community and the City. Staff and the City’s consultant, 4Creeks, are aggressively moving forward with all design and railroad coordination needed to meet the schedule for this separate project. Following is a summary of the upcoming milestones related to this project:
|
Milestone |
Completion Date |
|
Environmental Phase (PA&ED) |
01/01/2028 |
|
Right of Way Certification |
08/01/2028 |
|
Construction Allocation by CTC |
04/01/2029 |
|
Begin Construction |
07/01/2029 |
|
End Construction |
07/01/2030 |
Fiscal Impact:
The existing budget for CIP 8130 includes design for the entire segment of the Goshen Visalia Corridor projects from Giddings Street to Camp Drive and includes construction for the Goshen Visalia Corridor Connection Project (GVCC), from Camp Drive to Mooney Boulevard. There is a separate CIP 0654, for construction of the GVC project, which includes the $795,000 ATP MPO funds. Termination of these funds will close CIP 0654. The design phase is funded with Measure R Trail Funds (132). See tables below for the budget breakdown.
Table 1: CP0654 Budget for GVC project - Mooney Blvd. to Giddings St.
|
PhaseATP (Cycle 6) |
|
|
Construction (CON) |
$795,000 |
Table 2: CP8130 Budget for Design and Construction of GVCC - Camp Drive to Mooney Blvd.
|
Phase |
MR |
ATP |
Total |
|
PS&E, ROW & CON |
$ 4,621,000.00 |
$ 34,308,000.00 |
$ 38,929,000.00 |
|
|
$ 4,621,000.00 |
$ 34,308,000.00 |
$ 38,929,000.00 |
Table 3: Current MR Tasks (CP8130)
Budget: $4,621,000
|
TASK |
Cost |
|
Design Consultant - 4Creeks (Base) |
$ 956,906.00 |
|
Optional or Fix-fee Tasks |
$ 312,400.00 |
|
Amendment #1Renderings for Cycle 7 ATP |
$ 15,000.00 |
|
Amendment #2, 1.0 Fee Schedule increase |
$ 76,170.19 |
|
Amendment #2, 2.0 Additional Civil Scope (City of Visalia and RR requirements) |
$ 191,350.00 |
|
Amendment #3, 1.0 Additional Civil Scope (City of Visalia and RR requirements) |
$ 359,419.00 |
|
Staff Time Estimate & Misc. (Project Management & Survey Drawing) |
$ 380,000.00 |
|
Union Pacific Railroad Company Reimbursement Agreement |
$ 100,000.00 |
|
San Joaquin Valley Railroad Reimbursement Agreement (Mooney Blvd. - Giddings St.) |
$ 80,740.00 |
|
San Joaquin Valley Railroad Reimbursement Agreement (Camp Dr. - Mooney Blvd.) |
$ 166,038.00 |
|
Total |
$ 2,638,023.19 |
|
MR Balance |
$1,982,976.81 |
There are currently sufficient MR funds budgeted to complete the work related to the design of the GVCC project, which will continue to move forward. Staff will return to Council this fall 2026 to provide an update of GVCC design, and to identify any other funding needs, as coordination with the railroad, utility companies, and other agencies progresses.
Prior Council Action:
June 15, 2026 - Authorize the City Manager to execute a reimbursement agreement with San Joaquin Valley Railroad for an estimated amount of $166,038 for engineering services associated with the design of the Goshen Visalia Corridor Connection project.
October 6, 2025 - Approval of design amendments #2 & #3 in the amount of $267,520.19 and $1,303,444.00 respectively to 4Creeks for the Goshen-Visalia Corridor Project Phase 1 and the Goshen-Visalia Corridor Connection Project, appropriate $750,000 from the Measure R Trailways Fund and amend the Measure R Supplement Agreement.
October 6, 2025 - Authorize the City Manager to execute a Memorandum of Understanding with the County of Tulare for the Active Transportation Program funded Goshen-Visalia Corridor Connection Project, adopt Resolution 2025-71, and appropriate $1,100,000 from Fund (281) Transportation to be reimbursed by the County of Tulare for the design phase.
December 4, 2023 - Adoption of Resolution 2023-58 authorizing reimbursement agreement with San Joaquin Valley Railroad for the engineering services associated with the design of the Goshen Trail Reconstruction Project, appropriate $75,000 from the Measure R Trailways (132) fund and authorize the City Manager to execute the amendment to the Measure R Supplemental.
August 15, 2022 - Adoption of Resolution 2022-48 authorizing City Manager to execute reimbursement agreement with Union Pacific Railroad Company for the engineering services associated with the design of the Goshen Trail Reconstruction Project. (Project Number 3010-72000/CP8130-999)
May 2, 2022 - Authorize the City Manager to enter a contract with 4Creeks for RFP 21-22-27 to prepare professional consulting services for the design of the Goshen Trail Reconstruction project in the amount not to exceed $1,269,306, authorize an additional appropriation of $650,000 from Measure R Trails (132) Fund, and authorize an amendment to the Measure R Supplement Agreement (Project Number 3010-72000/CP8130-999)
Alternatives:
None recommended.
Recommended Motion (and Alternative Motions if expected):
recommendation
I move to authorize the City Manager to issue a letter to the California Transportation Commission) terminating an Active Transportation Program grant of $795,000 that was awarded to the City of Visalia for construction of the Goshen - Visalia Corridor Improvement Project, from Mooney Boulevard to Giddings Street; and to include a statement of support in the letter from the City to reprogram these ATP funds to the Caltrans Ivanhoe Safe Routes to School project, located in Tulare County.
Environmental Assessment Status: NEPA will prepared as required by the ATP funding.
CEQA Review:
Notice of Exemption No. 2026-19 was prepared for the project.
Deadline for Action: 08/03/2026
Attachments:
1. Location Map
Strategic Goal: Indicates which City Strategic Goal(s) this item supports. Check all that apply.
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