PILLAR: Sustainable
AGENDA DATE: April 8, 2026
COUNCIL DISTRICT(S): Citywide
DEPARTMENT: Department of Transportation and Public Works
PRIORITY: Transportation
______________________________________________________________________
SUBJECT
Title
Authorize the (1) acceptance of a grant from the U. S. Department of Transportation Federal Highway Administration through the Texas Department of Transportation (TxDOT) for the Surface Transportation Block Grant Program (Agreement No. CSJ 0918-47-514, Assistance Listing No. 20.205) in the amount of $12,000,000.00 as Federal share in the total project cost of $12,006,612.00, which includes $11,880,000.00 in Federal reimbursement, $120,000.00 as Federal participation for direct state costs, $6,612.00 as State participation for indirect state costs, and the City of Dallas’ portion covered by the use of 2,400,000 regional Transportation Development Credits in lieu of a local match plus any cost overruns for costs to upgrade the Advanced Traffic Management System to accommodate and integrate traffic signal preemption and cloud-based improvements to the City’s traffic signal system, and construct traffic signal improvements to give emergency vehicles priority in the corridor on Harry Hines Boulevard within a one-mile radius around Southwest Medical District; (2) receipt and deposit of funds in the amount of $11,880,000.00 in the FY26 TxDOT Surface Transportation Block Grant Program Fund; (3) establishment of appropriations in the amount of $11,880,000.00 in the FY26 TxDOT Surface Transportation Block Grant Program Fund; and (4) execution of the Advance Funding Agreement with TxDOT and all terms, conditions, and documents required by the grant agreement - Total amount of $11,880,000.00 - Financing: FY26 TxDOT Surface Transportation Block Grant Program Fund
*In alignment with Vision Zero Plan.
Body
BACKGROUND
The North Central Texas Council of Governments (NCTCOG), in coordination with local partners including the City of Dallas, has been developing a master transportation plan for the Harry Hines corridor from Loop 12/Northwest Highway to north of Spur 366 (Woodall Rodgers Freeway). This study will serve as a guide for future improvements of the roadway to improve connectivity, accessibility, and safety along the corridor.
As a result of this study, on February 8, 2024, the NCTCOG’s Regional Transportation Council authorized federal funding for engineering and construction costs to update the Advanced Traffic Management System (ATMS) to accommodate and integrate traffic signal preemption and cloud-based improvements to the City’s traffic signal system, and construct traffic signal improvements to give emergency vehicles priority in the corridor on Harry Hines Boulevard within a one-mile radius around Southwest Medical District (“Project”).
The Texas Transportation Commission passed Minute Order No. 116752, authorizing the State to undertake and complete a highway improvement or other transportation project generally described as Transportation Non-Roadway, which included this project.
The City of Dallas desires to enter into an Advance Funding Agreement (AFA) with TxDOT to accept federal funding through the Surface Transportation Block Grant Program for upgrade costs for the ATMS Project.
The City is the lead agency to administer the upgrades to the ATMS Project pursuant to the terms of the AFA:
• Approximately $2,000,000.00 for traffic signal improvements will be designed and constructed 100 percent with City in-house forces (consists of upgrades to existing traffic signals) (there will be no new construction for this piece).
• Approximately $10,000,000.00 for the ATMS upgrade/integration for traffic signal preemption and cloud-based improvements will be procured as required by federal procurement rules.
The Project is funded 100 percent with federal sources, and the use of 2,400,000 regional Transportation Development Credits (“TDCs”) will serve as the City’s participation in lieu of a local match.
TDCs are a financial accounting tool approved by the Federal Highway Administration permitting the use of federal funding without the requirement of a cash match. These credits are non-cash credits allocated to States as a representative value to account for toll road and tolled managed lanes that benefit the federal system.
This action will authorize an AFA with TxDOT for upgrades to the ATMS Project utilizing a combination of federal funding and TDCs.
ESTIMATED SCHEDULE OF PROJECT
Begin Design Jun 2026
Complete Design Feb 2027
Begin Construction Jun 2027
Complete Construction Jun 2029
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On November 13, 2024, the City Council authorized an AFA with the Texas Department of Transportation (TxDOT) (Agreement No. CSJ 0918-47-514, Assistance Listing No. 20.205) in the amount of $12,000,000.00 as Federal share in the total project cost of $12,628,452.00, which includes $11,880,000.00 in Federal reimbursement, $120,000.00 as Federal participation for direct state costs, $628,452.00 as State participation for indirect state costs, and the City of Dallas’ portion covered by the use of 2,400,000 regional Transportation Development Credits in lieu of a local cash match plus any cost overruns for costs to update the Advanced Traffic Management System (ATMS) to accommodate and integrate signal preemption and cloud-based improvements to the City’s signal system, and construct signal improvements to give emergency vehicles priority in the corridor on Harry Hines Boulevard within a one-mile radius around Southwest Medical District by Resolution No. 24-1640.
On March 25, 2026, the City Council authorized Amendment No. 1 to terminate the Advance Funding Agreement (AFA) authorized by Resolution No. 24-1640, previously approved on November 13, 2024, with the Texas Department of Transportation and execute the Amendment and all terms, conditions, and documents required by the AFA to terminate the AFA (Agreement No. CSJ 0918-47-514, Assistance Listing No. 20.205), Harry Hines Boulevard within a one-mile radius around Southwest Medical District Project, by Resolution No. 26-0531.
FISCAL INFORMATION
|
Fund |
FY 2026 |
FY 2027 |
Future Years |
|
FY26 TxDOT Surface Transportation Block Grant Program Fund |
$500,000.00 |
$9,500,000.00 |
$1,880,000.00 |
MAP
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