38.1. SUBJECT: CRENSHAW/LAX TRANSIT PROJECT APPROVE Motion by Directors Garcetti, Butts, Garcia and Hahn directing the CEO to: A. Allocate $33.1 million of CMAQ, plus the revenue generated from LAWA acquisition of property and easements (at least $1.7 million) to fund immediate LOP budget needs on the Crenshaw/LAX project. B. After taking CMAQ and LAWA-generated revenues off the top, approve the use of Subregional Equity Program (SEP) funding for the remainder of the $90 million Crenshaw/LAX LOP budget increase, subject to formal approval from each subregion's governing body and according to the 2016 subregional borders designating the LAX area as a Regional Facility and conforming the South Bay subregion to the South Bay COG's boundaries: Subregion Miles Percent Central Los Angeles 3.40 41.4% South Bay 3.32 40.4% Regional Facility: LAX Area 1.50 18.2% Total 8.22 100.0% These SEP funds shall be escalated from 2015 dollars in accordance with Board file 2019-0598, which reaffirmed that each subregion's SEP allocation as listed in the Measure M Expenditure Plan (line item 68,note s.) is listed in 2015 dollars and escalated to year-of expenditure in accordance with the escalation policies in the Measure M expenditure plan; C. Defer any future recommendation or use of any unprogrammed SEP funding pending the development, in partnership with all Board offices, of a uniform process by which Subregions can elect to use SEP funding, including but not limited to: 1. Subregional governing body approval of any funding recommendation and use; a. Hereby acknowledging that the South Bay COG has already committed the entire South Bay SEP for the Centinela Grade Separation Project. 2. Written notice to the respective Subregional governing body and representative Board offices at least 120 days before Metro recommends the use of SEP funding to ensure adequate time for subregions to understand and approve any funding recommendations; 3. Standard and explicit criteria for how and when a subregion's SEP allocation may be accelerated to meet their needs, consistent with Board file 2019-0598 (see above); D. Report back on all the above during the September 2020 Board cycle.