10-2005

GOLDEN GATE BRIDGE, HIGHWAY AND TRANSPORTATION DISTRICT
MEMORANDUM OF MINUTES
BOARD OF DIRECTORS MEETING
MAY 27, 2005


The Board of Directors of the Golden Gate Bridge, Highway and Transportation District (District) met in regular session in the Board Room, Administration Building, Toll Plaza, San Francisco, California, on Friday, May 27, 2005, at 10:00 a.m., President Middlebrook presiding.

ROLL CALL

Directors Present (14): Directors Ammiano, Brown, Cochran, Dufty, Eddie, Martini, Moylan, Murray, Pahre, Reilly, Sandoval and Stroeh; Second Vice President Boro; President Middlebrook

Directors Absent (5): Directors Hernández, Kerns, McGoldrick and Shahum; First Vice President Harrison

Staff Present: District Engineer Denis J. Mulligan; Auditor-Controller Joseph M. Wire; Secretary of the District Janet S. Tarantino; Attorney David J. Miller; Acting General Manager and Deputy General Manager/Bridge Division Manager Kary H. Witt; Deputy General Manager/Bus Division Susan C. Chiaroni; Deputy General Manager/Ferry Division James P. Swindler; Deputy General Manager/Administration and Development Teri W. Mantony; Public Affairs Director Mary C. Currie; Executive Assistant to the General Manager Amorette Ko; Assistant Clerk of the Board Patsy Whala

Visitors Present: None

PLEDGE OF ALLEGIANCE

Director Tom Ammiano led the Board of Directors in the Pledge of Allegiance to the Flag.

PUBLIC COMMENT

There was no public comment.

CONSENT CALENDAR

Directors STROEH/EDDIE moved approval of the Consent Calendar. All items were approved by the following vote of the Board of Directors:

AYES (14): Directors Ammiano, Brown, Cochran, Dufty, Eddie, Martini, Moylan, Murray, Pahre, Reilly, Sandoval and Stroeh; Second Vice President Boro; President Middlebrook
NOES (0): None
ABSENT (5): Directors Hernández, Kerns, McGoldrick and Shahum; First Vice President Harrison

1. Approve the Minutes of the Regular Meeting of the Board of Directors of May 13, 2005


Carried


2. Denial of Claims

a. Claim of Kamalesh Singh

Carried

GENERAL MANAGER'S REPORT

3. Announcement

a. Kary Witt announced that the Grand Opening for the Regional FasTrak™ Customer Service Center (CSC) will take place on Tuesday, June 7, 2005, at its new site located at 475 Embarcadero in San Francisco. The CSC will provide consolidated FasTrak™ account management and violation processing services for the California Department of Transportation (Caltrans) and the District. He stated that President Middlebrook and District Director and San Francisco Supervisor Tom Ammiano will be guest speakers, along with San Francisco Mayor Gavin Newsom. Mr. Witt noted that the District’s FasTrak™ Customer Service Center, located in Mill Valley, will be closing on Friday, May 27, 2005.

Director Eddie inquired as to how many transponders have been issued since the inception of the program. In response, Mr. Wire stated that 130,000 transponders have been distributed.

b. Kary Witt announced that the Metropolitan Transportation Commission (MTC) and the Bay Area Air Quality Management District (BAAQMD) have launched a “2005 Spare the Air/Free Morning Transit Commute” promotion. He further reported that the District is participating in this effort, by providing free morning commute rides for up to five “Spare the Air” days from June 1 through October 14, 2005. The District will be reimbursed for lost bus and ferry revenue and operating expenses associated with the promotion. As a promotional effort, BAAQMD provided funding to paint a Golden Gate Transit articulated bus in an eye-catching deep blue wrap sign that will travel primarily within the Marin County.

ATTORNEY’S REPORT

4. Attorney Miller reported that all items contained in the Attorney’s Report were informational.

Mr. Miller stated that, subsequent to posting the Agenda, the District received correspondence from Marsh & McLennan Companies, Inc., that is germane to a matter of pending litigation, Golden Gate Bridge, Highway and Transportation District vs. Marsh and McLennan Companies, Inc., et al. Mr. Miller also stated that it would be necessary to add this closed session item to this meeting’s agenda in order for the Board of Directors to discuss this matter of pending litigation. He further stated, for the record, that the Brown Act allows adding items to the agenda if the item arose subsequent to the posting of the agenda and if there is an immediate need for discussion and possible action. Mr. Miller also reported that the closed session would be held just prior to the conclusion of the meeting.

Directors BORO/REILLY moved that the matter of, Golden Gate Bridge, Highway and Transportation District vs. Marsh and McLennan Companies, Inc., et al, be added to the agenda of the Board of Directors for consideration in closed session at its meeting of May 27, 2005, as permitted by the Brown Act, as this matter arose subsequent to the posting of the agenda and requires immediate attention.

Carried

AYES (14): Directors Ammiano, Brown, Cochran, Dufty, Eddie, Martini, Moylan, Murray, Pahre, Reilly, Sandoval and Stroeh; Second Vice President Boro; President Middlebrook
NOES (0): None
ABSENT (5): Directors Hernández, Kerns, McGoldrick and Shahum; First Vice President Harrison

ENGINEER’S REPORT

5. District Engineer Denis Mulligan reported that all items contained in the Engineer’s Report were informational.

REPORT OF THE SPECIAL MEETING OF THE GOVERNMENTAL AFFAIRS AND PUBLIC INFORMATION COMMITTEE/COMMITTEE OF THE WHOLE MEETING OF MAY 12, 2005

6. All items contained in this report are informational, as the item requiring Board action was acted upon by the Board of Directors at its meeting of May 13, 2005.

REPORT OF THE FINANCE-AUDITING COMMITTEE/COMMITTEE OF THE WHOLE MEETING OF MAY 12, 2005

7. All items contained in this report are informational, as the item requiring Board action was acted upon by the Board of Directors at its meeting of May 13, 2005.

REPORT OF THE FINANCE-AUDITING COMMITTEE/COMMITTEE OF THE WHOLE MEETING OF MAY 26, 2005

8. Authorize Filing an Application with the Metropolitan Transportation Commission for FY 05/06 Transportation Development Act and State Transit Assistance Funds to Support Bus, Ferry and Paratransit Services

Directors STROEH/PAHRE
Resolution No. 2005-039 authorizes the General Manager to execute and file an application and related assurances with the Metropolitan Transportation Commission for FY 05/06 Transportation Development Act (TDA) and State Transit Assistance (STA) funds in the amount of $13,574,190 for TDA funds and in the amount of $2,372,769 for STA funds, to support bus, ferry and paratransit services.

Adopted

AYES (14): Directors Ammiano, Brown, Cochran, Dufty, Eddie, Martini, Moylan, Murray, Pahre, Reilly, Sandoval and Stroeh; Second Vice President Boro; President Middlebrook
NOES (0): None
ABSENT (5): Directors Hernández, Kerns, McGoldrick and Shahum; First Vice President Harrison

9. Authorize Execution of an Agreement with John Glenn Adjusters and Administrators Relative to RFP No. 2005-D-7, Third Party Administrator for Public Liability Claims Investigation and Adjustment Services

Directors STROEH/COCHRAN
Resolution No. 2005-040 authorizes execution of a Professional Services Agreement with John Glenn Adjusters and Administrators, Walnut Creek, CA, relative to RFP No. 2005-D-7, Third Party Administrator for Public Liability Claims Investigation and Adjustment Services, Inc., for administration of public liability and miscellaneous claims for the Bus, Bridge and Ferry Divisions, at a cost of $341,452 for Year 1, $315,155 for Year 2 and $289,364 for Year 3, for a three-year period commencing July 1, 2005, with two optional one-year extensions, exercisable by the General Manager or designee; with the understanding that requisite funds are available in the FY 05/06 Operating Budget and that funds for Years 2 and 3 will be included in the appropriate future fiscal years’ Operating budgets.

Adopted

AYES (14): Directors Ammiano, Brown, Cochran, Dufty, Eddie, Martini, Moylan, Murray, Pahre, Reilly, Sandoval and Stroeh; Second Vice President Boro; President Middlebrook
NOES (0): None
ABSENT (5): Directors Hernández, Kerns, McGoldrick and Shahum; First Vice President Harrison

10. Approve Actions Relative to the Line of Credit Agreement (Agreement) with JP Morgan Chase & Co. (JP Morgan) for the Commercial Paper Program:
1. Authorize Execution of Amendments to the Agreement with JP Morgan; and,
2. Authorize Execution of a Three-year Extension of the Agreement with JP Morgan

Directors STROEH/EDDIE
Resolution No. 2005-041
approves the following actions relative to the Line of Credit Agreement (Agreement) with JP Morgan Chase & Co. (JP Morgan) for the Commercial Paper Program:
a. Authorize execution of amendments to the Agreement with JP Morgan to amend Section 2.10 to permit multi-year terms, and amend Section 2.06 to add a third step to the escalating point increase for a downgrade in the credit rating in order to reflect the longer three-year extension period; and,
b. Authorize execution of a three-year extension to the Agreement with JP Morgan, at the cost of twenty (20) basis points, for the approximate annual fee of $153,000, to provide financial liquidity agreements, for the period of July 6, 2005, to July 6, 2008;
with the understanding that requisite funds are available in the FY 05/06 Operating Budget and that funds for the remaining years will be included in the appropriate future fiscal years’ Operating budgets.

Adopted

AYES (14): Directors Ammiano, Brown, Cochran, Dufty, Eddie, Martini, Moylan, Murray, Pahre, Reilly, Sandoval and Stroeh; Second Vice President Boro; President Middlebrook
NOES (0
): None
ABSENT (5): Directors Hernández, Kerns, McGoldrick and Shahum; First Vice President Harrison

11. Authorize Execution of a Three-Year Extension of the Core Natural Gas Sales and Aggregation Agreement with Association of Bay Area Governments Publicly Owned Energy Resources (ABAG POWER)

Directors STROEH/PAHRE
Resolution No. 2005-042 authorizes execution of a three-year extension of the Core Natural Gas Sales and Aggregation Agreement with Association of Bay Area Governments Publicly Owned Energy Resources (ABAG POWER), for the purchase of gas on members’ behalf; with the understanding that this extension will change the program term to institute a three-year “Rolling Evergreen” arrangement; with the further understanding that continued participation in this program will result in savings to the District for purchase of natural gas.

Adopted

AYES (14): Directors Ammiano, Brown, Cochran, Dufty, Eddie, Martini, Moylan, Murray, Pahre, Reilly, Sandoval and Stroeh; Second Vice President Boro; President Middlebrook
NOES (0): None
ABSENT (5): Directors Hernández, Kerns, McGoldrick and Shahum; First Vice President Harrison

REPORT OF THE RULES, POLICY AND INDUSTRIAL RELATIONS COMMITTEE/ COMMITTEE OF THE WHOLE MEETING OF MAY 13, 2005

12. All items contained in this report are informational, as the item requiring Board action was acted upon by the Board of Directors at its meeting of May 13, 2005.

REPORT OF THE BUILDING AND OPERATING COMMITTEE/COMMITTEE OF THE WHOLE MEETING OF MAY 26, 2005

13. Approve Actions Relative to Change Order No. 91 to Contract No. 99-B-5, Golden Gate Bridge Seismic Retrofit (Phase II), South Approach Structures, with Shimmick Construction Company, Inc./Obayashi Corporation JV, for Repair and Painting of Steel Elements at the Fort Point Arch Tower Truss

Directors EDDIE/STROEH
Resolution No. 2005-043
approves the following actions relative to Change Order No. 91 to Contract No. 99-B-5, Golden Gate Bridge Seismic Retrofit (Phase II), South Approach Structures, with Shimmick Construction Company, Inc./Obayashi Corporation JV:
a. Authorize execution of Change Order No. 91, for the repair of designated members of the Fort Point Arch Lower Truss Inner and Outer Ribs, for the preparation of the steel surfaces and for the application of a three-coat paint system, including a top coat finish of “International Orange”, in the amount of $3,600,000; and,
b. Authorize an increase in the Bridge Division Capital Budget and in the contingency fund for Contract No. 99-B-5, in the amount of $3,600,000, to be funded with federal grant funds secured for the Seismic Retrofit Project, as concurred with by the Finance-Auditing Committee at its meeting of May 26, 2005;
with the understanding that these actions are contingent upon the availability of federal grant funds and subject to the Federal Highway Administration’s concurrence.

Adopted

AYES (14): Directors Ammiano, Brown, Cochran, Dufty, Eddie, Martini, Moylan, Murray, Pahre, Reilly, Sandoval and Stroeh; Second Vice President Boro; President Middlebrook
NOES (0): None
ABSENT (5): Directors Hernández, Kerns, McGoldrick and Shahum; First Vice President Harrison

14. Approve Actions Relative to Contract No. 99-B-5, Golden Gate Bridge Seismic Retrofit (Phase II), South Approach Structures, for Construction Administration Services

Directors EDDIE/STROEH
Resolution No. 2005-044
approves the following actions relative to Contract No.
99-B-5, Golden Gate Bridge Seismic Retrofit (Phase II), South Approach Structures:
a. Authorize an addendum to the Ninth Amendment to the Professional Services Agreement with HNTB Corporation, Inc., for construction management and inspection support services, in an amount not to exceed $1,840,000;
b. Authorize an increase in the Bridge Division Capital Budget, in the amount of $2,057,500, for costs relative to District staff and consultants to administer an increase in scope and time for Contract No. 99-B-5, of which $600,000 will be allocated for District staff time, as concurred with by the Finance-Auditing Committee at its meeting of May 26, 2005;
said increase to be funded with federal grant funds secured for the Seismic Retrofit Project and with the understanding that these actions are contingent upon the availability of federal grant funds and subject to the Federal Highway Administration’s concurrence.

Adopted

AYES (14): Directors Ammiano, Brown, Cochran, Dufty, Eddie, Martini, Moylan, Murray, Pahre, Reilly, Sandoval and Stroeh; Second Vice President Boro; President Middlebrook
NOES (0): None
ABSENT (5): Directors Hernández, Kerns, McGoldrick and Shahum; First Vice President Harrison

15. Authorize Execution of an Amendment to the Agreement with the California Highway Patrol Relative to Contract No. 99-B-5, Golden Gate Bridge Seismic Retrofit (Phase II), South Approach Structures, for Traffic Enforcement Services

Directors EDDIE/MARTINI
Resolution No. 2005-045
authorizes execution of an amendment to the On-call Service Agreement with the California Highway Patrol relative to Contract No. 99-B-5, Golden Gate Bridge Seismic Retrofit (Phase II), South Approach Structures, in the amount of $80,000, for enforcement of the construction zone speed limit and assistance with traffic diversions for nighttime lane closures; with the understanding that requisite funds are available in the FY 04/05 Bridge Division Capital Budget.

Adopted

AYES (14): Directors Ammiano, Brown, Cochran, Dufty, Eddie, Martini, Moylan, Murray, Pahre, Reilly, Sandoval and Stroeh; Second Vice President Boro; President Middlebrook
NOES (0): None
ABSENT (5): Directors Hernández, Kerns, McGoldrick and Shahum; First Vice President Harrison


16. Approve Actions Relative to Contract No. 2004-B-6, Consultant to Design and Prepare Bid Documents for the Golden Gate Bridge Seismic Retrofit Project Phase IIIA, North Anchorage Housing/North Pylon, with HDR Engineering, Inc., for Design Services

Directors EDDIE/STROEH
Resolution No. 2005-046
approves the following actions relative to Contract No. 2004-B-6, Consultant to Design and Prepare Bid Documents for the Golden Gate Bridge Seismic Retrofit Project Phase IIIA, North Anchorage Housing/North Pylon, with HDR Engineering, Inc.:
a. Authorize execution of an amendment to the Professional Services Agreement for the design, as well as the preparation of plans and specifications, of an inspection and maintenance access system under the new roadway deck of the North Anchorage Housing, in an amount not to exceed $175,000, subject to concurrence by the Federal Highway Administration (FHWA);
b. Authorize execution of an amendment to the Professional Services Agreement for design support during the advertising of construction bids for Contract No. 2006-B-1, Golden Gate Bridge Seismic Retrofit Phase IIIA, North Anchorage Housing/North Pylon, in an amount not to exceed $300,000, contingent upon FHWA’s approval to proceed with Phase IIIA construction of the Seismic Retrofit Project;
c. Authorize an increase in the contract contingency fund in the amount of $50,000; and,
d. Authorize the General Manager to approve change orders to Contract No. 2004-B-6, within the financial limits of the total contract budget, up to the maximum of the outstanding contract contingency fund for any individual change order, with a change order exceeding $100,000, subject to the concurrence of the Chair of the Building and Operating Committee and the President of the Board;
with the understanding that requisite federal grant funds are available in the Bridge Division Capital Budget.

Adopted

AYES (14): Directors Ammiano, Brown, Cochran, Dufty, Eddie, Martini, Moylan, Murray, Pahre, Reilly, Sandoval and Stroeh; Second Vice President Boro; President Middlebrook
NOES (0): None
ABSENT (5): Directors Hernández, Kerns, McGoldrick and Shahum; First Vice President Harrison

17. Authorize Rejection of All Bids for Contract No. 2005-B-10, Crane Truck, and Authorize Re-Advertisement of this Bid

Directors EDDIE/STROEH
Resolution No. 2005-047
authorizes rejection of all bids for Contract No. 2005-B-10, Crane Truck, as permitted by Section G10 of the Contract General Conditions; and, authorizes re-advertisement of this bid.


Adopted


AYES (14): Directors Ammiano, Brown, Cochran, Dufty, Eddie, Martini, Moylan, Murray, Pahre, Reilly, Sandoval and Stroeh; Second Vice President Boro; President Middlebrook
NOES (0): None
ABSENT (5): Directors Hernández, Kerns, McGoldrick and Shahum; First Vice President Harrison

SPECIAL ORDER OF BUSINESS

18. Ratify Appointment by the President of the Board of Directors of John J. Moylan to Represent the Golden Gate Bridge, Highway and Transportation District as Trustee to the Golden Gate Transit Amalgamated Health and Welfare Trust and Retirement Board

Directors BORO/EDDIE
Resolution No. 2005-048
ratifies the appointment by the President of the Board of Directors of John J. Moylan to represent the Golden Gate Bridge, Highway and Transportation District as Trustee to the Golden Gate Transit Amalgamated Health and Welfare Trust and Retirement Board, effective May 27, 2005.

Adopted

CLOSED SESSION

19. Attorney’s Report

Attorney David Miller, at the request of President Middlebrook, stated that the Board of Directors would convene in closed session to discuss one matter of pending litigation, Golden Gate Bridge, Highway and Transportation District (District) vs. Marsh and McLennan Companies, Inc., et al., which matter was added to this meeting’s agenda as noted above in Item No. 4.

After closed session, President Middlebrook called the meeting to order in open session, with a quorum present. Attorney Miller reported that the Board of Directors met in closed session, as permitted by the Brown Act, to hear a report from Counsel regarding pending litigation, District vs. Marsh and McLennan Companies, Inc., et al. This matter was referred to the Board of Directors for discussion and possible action at its meeting of either June 10, or June 24, 2005, depending upon the availability of the representatives from the Furth Firm, LLP, the outside counsel representing the District in this matter.

ADJOURNMENT

20. All business having been concluded, the meeting was adjourned at 10:35 a.m., in the memory of Joan Patricia “Pat” Kovarik and Elena Martinez.

Respectfully submitted,

Janet S. Tarantino
Secretary of the District
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