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<br />The intent of this Expenditure Plan Amendment is to mitigate, to the greatest <br />extent possible, the loss of a regional transportation route in the Central <br />County with a program of replacement projects in Central County that <br />provide for congestion relief in the same corridor. <br /> <br />Honorable Mayor and Members of the City Council: <br /> <br />DISCUSSION <br /> <br />Background <br /> <br />In 1986, Alameda County voters authorized a half-cent transportation sales tax to finance <br />improvements to the County's overburdened transportation infrastructure, known as Measure B. <br /> <br />The Alameda County Transportation Authority (ACTA) was established to administer this tax. <br />The Alameda County Transportation Expenditure Plan (Expenditure Plan), dated August 1986, <br />guides the use of those funds. The collection of this tax for the 1986 Measure B program <br />expired on March 31, 2002. <br /> <br />Specifically, the 1986 Expenditure Plan included Measure B funds for the construction of a 5.3- <br />mile segment of Route 238 for a new expressway to bypass downtown Hayward, between <br />Industrial Parkway and 1-580 in Hayward. This project was commonly referred to as the Route <br />238 Hayward Bypass Project. In the Expenditure Plan, Caltrans was named as the project <br />sponsor. The Hayward Bypass Project has been controversial since Caltrans commenced the <br />project design in the mid-1960's. In 1997, a lawsuit was filed against the project by the <br />Hayward Area Planning Association (HAP A) and the Citizens for Alternative Transportation <br />Solutions (CATS), alleging that the Route 238 Hayward Bypass being developed by Caltrans <br />was not the project in the Expenditure Plan approved by voters. This suit resulted in a 2002 <br />ruling that Measure B funds could not be used in the delivery of the Route 238 Hayward Bypass <br />Project as developed by Caltrans, without amendment of the Expenditure Plan, which effectively <br />eliminated the only major funding source for the project. <br /> <br />Since 2002, ACTA, the City of Hayward, and the County of Alameda, worked on the <br />development of an alternative project to the Hayward Bypass Project that could meet the intent <br />of the original project and thus be eligible for Measure B funding. On March I, 2005, the <br />Hayward City Council approved the Route 238 Corridor Improvement Project to be submitted to <br />ACT A as the substitute project for the Route 238 Bypass Project in the Expenditure Plan. <br /> <br />SR:05:271 <br />Page 2 of 4 <br />