Metro - File #: 2025-0479

• File #: 2025-0479
• Type: Informational Report
• Status: Agenda Ready
• File created: 5/27/2025
• In control: Planning and Programming Committee
• On agenda: 6/18/2025
• Title: RECEIVE AND FILE the status report on Metro's Draft Cost Benefit Analysis and Methodology.
• Sponsors: Program Management (Department), Maria Luk
• Indexes: Accessibility, Annual Program Evaluation, Ara Najarian, Board approved a Motion, Capital Project, Capital Project Funds, Community Transportation, Construction, Economic benefits, Equity Focus Communities, Federal Transit Administration, Fernando Dutra, Grant Aid, Guidelines, Hilda Solis, Informational Report, James Butts, Kathryn Barger, Lindsey Horvath, Long range planning, Long Range Transportation Plan, Maintenance practices, Metro Equity Platform, Motion / Motion Response, Project delivery, Quality of life, Safety, Strategic planning, Transportation modes, Transportation policy, Travel time, United States Department Of Transportation, Weight

Meeting_Body
PLANNING AND PROGRAMMING COMMITTEE
CONSTRUCTION COMMITTEE
JUNE 18, 2025

Subject
SUBJECT: METRO COST BENEFIT ANALYSIS AND METHODOLOGY

Action
ACTION: RECEIVE AND FILE

Heading
RECOMMENDATION

Title
RECEIVE AND FILE the status report on Metro's Draft Cost Benefit Analysis and Methodology.

Issue
ISSUE

At its February 2025 meeting, the Board approved Motion 14 by Directors Dutra, Najarian, Barger, Butts and Solis, and amended by Director Horvath, that directed staff to develop a framework for a Metro Cost Benefit Analysis (CBA) that could be used as one tool among others to support investment and funding decisions for Metro's capital projects. The consistent application of a Metro CBA is intended to inform a more data-driven and transparent decision-making process that also includes economic data and evaluation criteria approved by the Board in October 2023 as part of the Measure M 5-Year Comprehensive Assessment and Equity Report.

Staff have developed a draft framework that includes a methodology that is consistent with United States Department of Transportation (USDOT) and California Department of Transportation (Caltrans) guidance and incorporates benefits criteria aligned with Board adopted objectives and goals. These objectives are operationalized into performance metrics used to evaluate projects, especially in assessing their contributions to the economic output and vitality of the region, equity, and sustainability. This report provides an update on the progress of developing the methodology. Staff anticipate returning to the Board next month to seek the Board's approval of a final Metro CBA methodology that integrates comments received this month.

Background
BACKGROUND

Metro currently is planning for and delivering the largest portfolio of transportation capital projects in the nation, due in large part to the revenue streams provided by Measure R, Measure M, Senate Bill 1 - the Transit and Intercity Rail Capital Program, th...