AGENDA CAPTION:
Title
Consider approval of Resolution 2026-67R, approving an Advanced Funding Agreement with the State of Texas, acting through the Texas Department of Transportation for a Transportation Alternatives Set-Aside Project in the amount $2,343,000.00 for the Cape Street Reconstruction and Shared Use Path Project; authorizing the City Manager, or her designee, to execute said Agreement on behalf of the city; and declaring an effective date.
Body
Meeting date: May 5, 2026
Department: Engineering and CIP
Amount & Source of Funding
Funds Required: $0.00
Account or Project Number (C = CIP funds): C731
Funds Available: NA
Account Name: Wallace Addition Offsite Drainage
Fiscal Note:
Prior Council Action: NA
City Council Strategic Initiative: [Please select from the dropdown menu below]
Choose an item.
Mobility & Connectivity
Public Safety, Core Services & Fiscal Excellence
Comprehensive Plan Element (s): [Please select the Plan element(s) and Goal # from dropdown menu below]
☐ Arts and Culture - Choose an item.
☐ Economic Development - Choose an item.
☐ Environment & Resource Protection - Choose an item.
☐ Housing + Neighborhoods - Choose an item.
☐ Land Use + Community Design and Character - Choose an item.
☐ Parks & Public Spaces + Health, Safety & Wellness - Choose an item.
☒ Transportation - TR-1: Develop a robust, balanced, multi-modal transportation system that provides safe, comfortable, and convenient mobility options for people of all abilities
☒ Core Services
☐ Not Applicable
Master Plan: [Please select the corresponding Master Plan from the dropdown menu below (if applicable)]
Transportation Master Plan
Background Information:
The City of San Marcos submitted the Texas Department of Transportation (TxDOT) 2025 Transportation Alternative grant application in June 2025 for the Cape Street Reconstruction and Shared Use Path (SUP) project. In October 2025, the Texas Transportation Commission approved funding for 73 Transportation Alternatives Set-Aside Program projects, including the Cape Street Reconstruction and Shared Use Path project.
As part of the Wallace Addition Drainage Improvements, Cape St channel improvements are required for better storm drain conveyance. Cape St between Monterrey St and Luciano Flores St will be reconstructed as part of this project. Scope includes roadway design and construction, including a 10' shared-use path. The city is also coordinating with Hays County on their Cape’s Pond Park project. The Cape St reconstruction project will provide multi-modal opportunities and enhance the Cape’s Pond Park connectivity to other nearby trails and bike routes. The city is also working closely with TxDOT on the State Highway (SH) 123 multimodal sidewalk project (CSJ 0366-01-077). The proposed sidewalks along SH123 and the proposed SUP will provide direct pedestrian access to neighborhoods, businesses, and nearby parks. The project is expected to start construction in late 2027 and take approximately 18 month to complete.
An Advanced Funding Agreement (AFA) is required between the Texas Department of Transportation (TxDOT) and the City of San Marcos (City) for the grant funding. The total construction grant is $2,343,000.00, and the city will be responsible for project design costs. The city will also be responsible for the maintenance of locally owned facilities after the completion of the work. There is no local match required for this grant due to the use of transportation credits.
Council Committee, Board/Commission Action:
NA
Alternatives:
NA
Recommendation:
Staff recommends approval of this Resolution