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Council continues ATN federal pass-through agreements; seeks more details on matching funds and scope
Summary
Councilmembers continued action on two pass-through agreements that would send up to $2.01 million in federal grant funds to the Anaheim Transportation Network for a needs-and-opportunity study and bus replacement work, asking for more detail on matching funds, scope, and timelines.
The Anaheim City Council voted to continue consideration of two pass-through agreements between the City of Anaheim and the Anaheim Transportation Network (ATN) that would allocate up to $2,010,000 in federal funds for a needs-and-opportunity study focused on areas of persistent poverty and support fleet replacement.
Diana Cutler, chief executive officer of ATN, told the council the agreements would remove 18 compressed natural gas (CNG) buses from ATN's fleet and replace them with 15 emission-reduction buses, and that manufacturing and delivery typically require 18 to 24 months. Cutler said the board plans to execute a contract award to a manufacturer as soon as the agreement is approved.
City staff described the city as the federal recipient that would pass funds to ATN and remain ultimately responsible for federal compliance. The staff report noted the action would increase the Public Works budget by $2,300,000 and that the agreements' term runs through June 30, 2027.
Council Member Meeks and others raised questions about the city’s exposure as the federal grantee, the availability of required matching funds, and the precise boundaries identified as “areas of persistent poverty.” Meeks requested more information on matching commitments and compliance risk; Council Member Rubakova expressed similar concerns about ATN's other funding requests.
After discussion, the council agreed to continue the item so staff can provide additional details. The continuance motion passed unanimously, 7 ayes, no nays. Staff indicated the areas of persistent poverty under review are neighborhoods near Ball Road and the Anaheim Resort corridor (Ganita Lane area and corridors between Ball Road, Harbor and Anaheim Boulevard). No final agreements were executed at the meeting.
Clarifying details provided by ATN during the staff presentation: the proposed action would remove 18 CNG buses and replace them with 15 emission buses; expected manufacturer lead time is 18–24 months; the work is intended in part to meet demand for the 2028 Summer Olympic Games. The agreements would make the city the federal recipient and transfer compliance obligations to ATN though the city retains overall liability under federal grant rules.
The council requested staff return with documentation about matching funds, compliance terms, and the specific study scope before any final authorization.
