10-2008

GOLDEN GATE BRIDGE, HIGHWAY AND TRANSPORTATION DISTRICT

MEMORANDUM OF MINUTES

BOARD OF DIRECTORS MEETING

MAY 23, 2008

 

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 23, 2008, at 10:00 a.m., President Moylan presiding.

ROLL CALL

Directors Present (15): Directors Cochran, Dufty, Eddie, Grosboll, Hernández, McGlashan, McGoldrick, Newhouse Segal, Reilly, Sanders, Sandoval and Stroeh; Second Vice President Ammiano; First Vice President Boro; President Moylan

Directors Absent (3): Directors Brown, Kerns and Pahre

[On this date, there was one vacancy on the Board of Directors.]

Staff Present: General Manager Celia G. Kupersmith; District Engineer Denis J. Mulligan; Auditor-Controller Joseph M. Wire; Secretary of the District Janet S. Tarantino; Attorney David J. Miller; Deputy General Manager/Bridge Division Kary H. Witt; Deputy General Manager/Bus Division Teri W. Mantony; Deputy General Manager/Ferry Division James P. Swindler; Public Affairs Director Mary C. Currie; Assistant Clerk of the Board Karen B. Engbretson; Executive Assistant to the General Manager Amorette Ko; Captain Michael J. Locati

Visitors Present: Joseph Deery and Tony Hatem, HNTB Corporation; Jerry Grace, Union City resident

PLEDGE OF ALLEGIANCE

Director Janet Reilly led the Board of Directors in the Pledge of Allegiance to the Flag.

PUBLIC COMMENT

Jerry Grace described a recent trip he had made to the State Capitol in Sacramento to attend a rally protesting the state budget cuts proposed by the Governor.

CONSENT CALENDAR

         
1.

Request to Sever Item from Consent Calendar

Secretary of the District Janet Tarantino requested, and the President concurred, that Item No. 5.A.1., “Approve the Minutes of the Finance-Auditing Committee meeting of May 8, 2008,” and Item No. 5.A.3., “Approve the Minutes of the Regular Meeting of the Board of Directors of May 9, 2008,” be severed from the Consent Calendar, as these minutes were not yet ready for approval.

         
2.

Motion to Approve the Remaining Consent Calendar Items:

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

AYES (13): Directors Cochran, Dufty, Eddie, Grosboll, McGlashan, McGoldrick, Newhouse Segal, Reilly, Sanders and Stroeh; Second Vice President Ammiano; First Vice President Boro; President Moylan
NOES (0): None
ABSENT (5): Directors Brown, Hernández, Kerns, Pahre and Sandoval

         
  a. Approve the Minutes of the Following Meetings:
         
    1.

Rules, Policy and Industrial Relations Committee/Committee of the Whole of May 9, 2008;

Carried

         
  b. Denial of Claims
         
    1. Subrogation Claim of Inter-Insurance Exchange of the Automobile Club (Insured: Richard Wootton)

Carried

    2. Subrogation Claim of California State Automobile Association (Insured: Maureen Crabtree)

Carried

    3. Claim of John Jacobs

Carried

    4. Subrogation Claim of State Farm Insurance Company (Insured: Gordon Wong)

Carried

    5. Claim of Yanyi Zhen

Carried

    6. Claim of Richard Wootton

Carried

         
GENERAL MANAGER'S REPORT
         
3.

U.S. Department of Homeland Security Press Conference

General Manager Celia Kupersmith reported that on June 12, 2008, at 11:30 a.m., a press conference will be held at the Golden Gate Bridge Toll Plaza flagpole, at which time the State of California, Department of Homeland Security (DHS) representatives will distribute to the District Proposition 1B funding in the amount of $800,000 for security projects.

         
4.

Status Report on the California Coastal Conservancy Specialty Fundraising License Plate Program

Ms. Kupersmith reported that an important development arose with respect to the plans by the California Coastal Conservancy to issue a new commemorative license plate bearing the image of the Golden Gate Bridge, prompting the need to hold a closed session at the conclusion of today’s Board of Directors meeting.

Attorney Miller explained that since this item was discussed two weeks ago at the May 9, 2008, meeting of the Board of Directors, a new matter has arisen that could conceivably lead to the initiation of litigation. He stated that under the Brown Act, Government Code Section 54956.9(c), it will require a vote of the Board of Directors to add a closed session to the agenda, since the matter arose subsequent to the posting of the agenda and requires immediate action. He noted that the Coastal Conservancy has agendized this matter, as requested by the District, for their June 2008 meeting, and have noticed it as a closed session item. He further stated that the public has been advised of the proposed consideration of this subject matter by virtue of its having been listed on the agenda, and that a report will be provided in open session at the conclusion of the closed session.

Directors MCGOLDRICK/REILLY moved and seconded that the matter of, Status Report on the California Coastal Conservancy Specialty Fundraising License Plate Program, be added to the agenda of the Board of Directors for consideration in closed session at its meeting of May 23, 2008, as permitted by the Brown Act.

Carried

AYES (14): Directors Cochran, Dufty, Eddie, Grosboll, Hernández, McGlashan, McGoldrick, Newhouse Segal, Reilly, Sanders and Stroeh; Second Vice President Ammiano; First Vice President Boro; President Moylan
NOES (0): None
ABSENT (4): Directors Brown, Kerns, Pahre and Sandoval

         
5.

California State Budget Impacts on State Transportation Funding

In response to comments made during Public Comment, Ms. Kupersmith stated that District staff is aware of the proposal by Governor Schwarzenegger to take funding away from the State Transit Assistance (STA) program in an attempt to balance the California State Budget. She noted that the District has joined with other state transit operators, through the California Transit Association, to express concerns to the Governor regarding proposed reductions in transit funding. She stated that if funding is removed from the STA program over a two-year period, the District could lose up to $2 million in STA funds, and the Marin County Transit District could lose up to $430,000 in STA funds.

         
6.

Report on May 21, 2008 Crossover Accident on the Golden Gate Bridge

In response to an inquiry by Director Grosboll, Ms. Kupersmith provided a report on the May 21, 2008, head-on collision on the Golden Gate Bridge, in which three people were injured, one of whom is still in critical condition. She stated that an accident investigation is currently underway by the California Highway Patrol. She noted that the Golden Gate Bridge was closed in both directions following the accident, and that despite the seriousness of the accident, it was cleared relatively quickly, within one hour and seven minutes. She commended the emergency response personnel from the District and outside agencies who worked quickly and efficiently to clear the roadway and attend to the accident victims.

Ms. Kupersmith also reported that the Moveable Median Barrier project is now fully funded and that a Request for Proposals (RFP) will be issued within the next two weeks to hire a consultant to do the environmental studies and preliminary design for a Moveable Median Barrier on the Golden Gate Bridge. She noted that the Moveable Median Barrier project will require a full environmental review process because the District will need to build a new structure in which to store and maintain the Moveable Median Barrier transfer vehicles. She also noted that the environmental review process will take into consideration that the Golden Gate Bridge is a historic structure located within a National Park. She also reported that in 2007, during the wind tunnel testing of the Suicide Deterrent concepts, the tests included studying how the Golden Gate Bridge structure would react to high winds with and without a solid barrier separating the lanes on the Bridge. The tests determined that the installation of a Moveable Median Barrier on the Bridge would not be a problem with respect to wind.

Discussion ensued, including the following:

  • Director Ammiano inquired as to whether the anticipated lengthy environmental review process for the Moveable Median Barrier project can be expedited. In response, Ms. Kupersmith stated that many steps in the process are beyond the District’s control, but every effort will be made to ensure that the various regulatory agencies expedite their review and approval process. She added that the District is fast-tracking those steps of the process that are under the District’s control, such as in-house engineering work and legal consultations. Attorney Miller noted that the Moveable Median Barrier RFP will include multi-disciplinary work tasks in order to have a beneficial effect on timing.
  • Director Newhouse Segal inquired regarding other types of accidents on the Golden Gate Bridge that may occur once a Moveable Median Barrier is installed. In response, Ms. Kupersmith stated that some studies have been done and that more studies will be undertaken as part of the design and environmental review process. She noted that the District has been cognizant of the fact that the presence of a Moveable Median Barrier may increase the potential for a different type of accident, such as side-swipe collisions.
         
ATTORNEY’S REPORT
         
7. Attorney David Miller reported that all items contained in the Attorney’s Report were informational.
         
ENGINEER’S REPORT
         
8.
District Engineer Denis Mulligan reported that all items contained in the Engineer’s Report were informational.
         
REPORT OF THE BUILDING AND OPERATING COMMITTEE/COMMITTEE OF THE WHOLE MEETING OF MAY 22, 2008
         
9.

Approve Actions Relative to the Execution of a Professional Services Agreement with HNTB Corporation Relative to Request for Proposals No. 2006-B-2, Golden Gate Bridge Seismic Retrofit Phase III, Construction Management and Inspection Support Services

Directors EDDIE/STROEH
Resolution No. 2008-040
approves the following actions relative to Request for Proposals No. 2006-B-2, Golden Gate Bridge Seismic Retrofit Phase III, Construction Management and Inspection Support Services:

  a.
Authorize execution of a Professional Services Agreement with HNTB, Oakland, CA, in an amount not to exceed $6,110,000, subject to the Golden Gate Bridge, Highway and Transportation District receiving approval from the Federal Highway Administration and the California Department of Transportation; and,
  b.

Establish a contingency reserve fund in the amount of $150,000.

Adopted

         
 
AYES (14): Directors Cochran, Eddie, Grosboll, Hernández, McGlashan, McGoldrick, Newhouse Segal, Reilly, Sanders, Sandoval and Stroeh; Second Vice President Ammiano; First Vice President Boro; President Moylan
NOES (0): None
ABSENT (4): Directors Brown, Dufty, Kerns and Pahre
         
10.

Approve Actions Relative to the Execution of a Professional Services Agreement with HDR Engineering, Inc., Relative to Request for Proposals No. 2006-B-3, Golden Gate Bridge Seismic Retrofit Phase IIIA, Engineering Support Services

Directors EDDIE/STROEH
Resolution No. 2008-041
approves the following actions relative to Request for Proposals No. 2006-B-3, Golden Gate Bridge Seismic Retrofit Phase IIIA, Engineering Support Services:

  a. Approve a finding of public interest and authorize execution of a Professional Services Agreement with HDR Engineering, Inc., Walnut Creek, CA, in an amount not to exceed $3,300,000, subject to the Golden Gate Bridge, Highway and Transportation District receiving approval from the Federal Highway Administration and the California Department of Transportation; and,
  b.

Establish a contingency reserve fund in the amount of $400,000.

Adopted

         
 
AYES (14): Directors Cochran, Eddie, Grosboll, Hernández, McGlashan, McGoldrick, Newhouse Segal, Reilly, Sanders, Sandoval and Stroeh; Second Vice President Ammiano; First Vice President Boro; President Moylan
NOES (0): None
ABSENT (4): Directors Brown, Dufty, Kerns and Pahre
         
11.

Approve Changes to the Change Order Authorization Limits for the Golden Gate Bridge Seismic Retrofit Phase IIIA Project

Directors EDDIE/STROEH
Resolution No. 2008-042
approves changes to the General Manager’s contract change order authorization limits for Golden Gate Bridge Seismic Retrofit Phase IIIA Project, as follows:

  a.
The General Manager will have the authority to approve construction contract change orders, within the financial limits of the contract budget, up to a maximum of $250,000 for any individual change order, with contract change orders exceeding $100,000 requiring the concurrence of the President of the Board and the Building & Operating Committee Chair; and,
  b.
The General Manager will have the authority to approve amendments to professional services agreements, within the financial limits of an agreement budget, up to a maximum of $100,000 for any individual contract amendment; and,
  c.

The General Manager will have the authority to delegate portions of these approval authorities to her designees.

Adopted

         
  AYES (14): Directors Cochran, Eddie, Grosboll, Hernández, McGlashan, McGoldrick, Newhouse Segal, Reilly, Sanders, Sandoval and Stroeh; Second Vice President Ammiano; First Vice President Boro; President Moylan
NOES (0): None
ABSENT (4): Directors Brown, Dufty, Kerns and Pahre
         
12.
Approve Actions Relative to the Award of Contract No. 2008-BT-2, San Rafael District Administration Building HVAC Improvements, to Best Contracting Services, Inc.
         
  a. Discussion by the Board
         
 
  • Director Hernández made the following comments and inquiries:
    • She reiterated comments she made at the May 22, 2008, meeting of the Building and Operating Committee, noting that she is familiar with the contractor, Best Contracting Services, Inc., and has serious concerns about their work, particularly regarding the company’s compliance with certified payroll requirements. She stated that she will support, with some reservations, the recommendation to award Contract No. 2008-BT-2 to this contractor.
    • She suggested that staff consider using Project Labor Agreements with its construction contracts, where allowed by law, and require prospective contractors to prove that they participate in apprenticeship programs.
    • She stated that some public agencies have put into practice the use of Safety Orders, which require that two-thirds of the workforce in certain trades be certified as having graduated from state-approved apprenticeship programs. She offered to participate in any District effort to introduce this type of requirement into its construction contract language.
  • Director Grosboll inquired as to whether the award of Contract No. 2008-BT-2 could be delayed in order to address Director Hernández’ concerns. In response, Denis Mulligan stated that the Board has the option to postpone the project. This project has been scheduled in the District’s 10-Year Capital Plan. He added that if the project is postponed, it will further delay needed improvements to an aging roof and HVAC system at the San Rafael District Administration Building. He stated that he recommends that the project be allowed to proceed at this time. He further noted that due to the fact that Contract No. 2008-BT-2 is partially federally funded, the District is prohibited from using Project Labor Agreements with this contract. He noted, however, that the contract includes provisions for prevailing wage requirements, which the District will aggressively enforce.
  • Director Newhouse Segal inquired as to whether the specific language suggested by Director Hernández could be added to District contracts in the future. In response, Attorney Miller stated that the suggested language warrants further review and discussion as to the terms and types of protections that are built into the District’s contracts. He noted that the District has an excellent record with respect to safety and compliance with and enforcement of prevailing wage requirements.
  • Director McGlashan inquired as to whether the District had the option of rejecting the low bid and award the contract to the second lowest bidder. In response, Mr. Mulligan stated that the low bidder, Best Contracting Services, Inc., is fully licensed in the State of California for this type of work. Mr. Mulligan further noted that there are no citations or other liens against the contractor, and that if the District were to proceed with someone other than the lowest responsible bidder, it might trigger litigation.
         
  b. Action by the Board
         
 
Directors EDDIE/STROEH
Resolution No. 2008-043
approves the following actions relative to the award of Contract No. 2008-BT-2, San Rafael District Administration Building HVAC Improvements:
  a.
Authorize the award of Contract No. 2008-BT-2 to Best Contracting Services, Inc., Hayward, CA, in the amount of $597,500 (100% District funded);
  b.
Authorize a contract contingency fund in the amount of $59,750, equal to 10% of the contract award; and,
  c.

Authorize a budget increase in the FY 07/08 Bus Transit Division Operating Budget in the amount of $380,000, to be financed from District reserves, subject to the concurrence of the Finance-Auditing Committee at its meeting of May 23, 2008.

Adopted

         
 
AYES (13): Directors Cochran, Dufty, Eddie, Hernández, McGlashan, McGoldrick, Newhouse Segal, Reilly, Sanders, Sandoval and Stroeh; First Vice President Boro; President Moylan
NOES (2): Director Grosboll; Second Vice President Ammiano
ABSENT (3): Directors Brown, Kerns and Pahre
         
REPORT OF THE FINANCE-AUDITING COMMITTEE/COMMITTEE OF THE WHOLE MEETING OF MAY 22, 2008
         
13.

Authorize Budget Transfers in the FY 07/08 Operating Budget

Directors STROEH/McGOLDRICK
Resolution No. 2008-044
authorizes the following budget transfers relative to the FY 07/08 Operating Budget:

  a.

A transfer in the amount of $1,000,000 to Bus Fuel and Related Taxes to be funded by $400,000 from Bridge Interest Expense and by $600,000 from Bus Professional Services;

  b.
A transfer in the amount of $800,000 to Ferry Fuel and Related Taxes to be funded by $250,000 from Ferry Professional Services and by $550,000 from Bridge Interest Expense;
  c.
A transfer in the amount of $200,000 to Bus Benefit Expenses from Bus Professional Services; and,
  d.

A transfer in the amount of $600,000 to Bridge Legal Expenses from Bridge Interest Expense.

Adopted

         
 
AYES (15): Directors Cochran, Dufty, Eddie, Grosboll, Hernández, McGlashan, McGoldrick, Newhouse Segal, Reilly, Sanders, Sandoval and Stroeh; Second Vice President Ammiano; First Vice President Boro; President Moylan
NOES (0): None
ABSENT (3): Directors Brown, Kerns and Pahre
         
14.

Approve Actions Relative to the Filing of a Grant Application with the U.S. Department of Homeland Security for Fiscal Year 2006/2007

Directors STROEH/COCHRAN
Resolution No. 2008-045
authorizes the General Manager or her designee to execute any necessary actions, including related certifications and assurances, relative to the filing of a grant application with the U.S. Department of Homeland Security, for FY 06/07 Transit Security Grant Program funds, in the amount of $841,503, to support transit security capital projects.

Adopted

AYES (15): Directors Cochran, Dufty, Eddie, Grosboll, Hernández, McGlashan, McGoldrick, Newhouse Segal, Reilly, Sanders, Sandoval and Stroeh; Second Vice President Ammiano; First Vice President Boro; President Moylan
NOES (0): None
ABSENT (3): Directors Brown, Kerns and Pahre

         
15.

Approve Actions Relative to the Renewal of the Commercial Paper Line of Credit Agreement with JP Morgan Chase Bank

Directors STROEH/SANDOVAL
Resolution No. 2008-046
approves the following actions relative to the Line of Credit Agreement (Agreement) with JP Morgan Chase Bank, National Association (JP Morgan), for the Commercial Paper Program:

  a.
Authorize execution of a 364-day extension of the Agreement with JP Morgan, at the cost of thirty-two and a half basis points, or an approximate annual fee of $250,000, for the term from July 7, 2008, to July 5, 2009; and,
  b.
Approve the following conforming amendments to the Agreement with JP Morgan:
    (1)
Amend Section 2.06 to reflect an increase in the commitment fee and corresponding escalating point increases in the event of downgrades in the District’s credit rating, relative to the 364-day extension period;
    (2)
Amend Section 2.10 to reflect a tighter window of notice required by the District to notify JP Morgan of the District’s request for extension to not more than 60 days nor less than 30 days prior to the then current stated expiration date of the Agreement; and,
    (3)

Amend Section 7.08 and Exhibits B and C to update certain JP Morgan contact information;

 

with the understanding that requisite funds are available in the proposed FY 08/09 District Division Operating Budget.

Adopted

   
 
AYES (15): Directors Cochran, Dufty, Eddie, Grosboll, Hernández, McGlashan, McGoldrick, Newhouse Segal, Reilly, Sanders, Sandoval and Stroeh; Second Vice President Ammiano; First Vice President Boro; President Moylan
NOES (0): None
ABSENT (3): Directors Brown, Kerns and Pahre
         
16.

Authorize a Resolution of Appreciation for Former Director Maureen Middlebrook, in Recognition of her Dedicated Service to the Golden Gate Bridge, Highway and Transportation District Board of Directors

Directors BORO/EDDIE
Resolution No. 2008-047
authorizes a Resolution of Appreciation for former Director Maureen Middlebrook, in recognition of her dedicated service to the Golden Gate Bridge, Highway and Transportation District Board of Directors.

Unanimously Adopted

AYES (15): Directors Cochran, Dufty, Eddie, Grosboll, Hernández, McGlashan, McGoldrick, Newhouse Segal, Reilly, Sanders, Sandoval and Stroeh; Second Vice President Ammiano; First Vice President Boro; President Moylan
NOES (0): None
ABSENT (3): Directors Brown, Kerns and Pahre

         
CLOSED SESSION
         
17.

Attorney’s Report

Attorney David Miller, at the request of President Moylan, stated that the Board of Directors would convene in closed session to discuss a matter of potential litigation with Legal Counsel regarding the California Coastal Conservancy’s Commemorative License Plate Program.

After closed session, President Moylan 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 discuss a matter that was added to the agenda for closed session as an urgency item, as the matter had arisen subsequent to the posting of the agenda and there was a need for immediate action. Mr. Miller stated that the Board of Directors received a report from the General Manager regarding the California Coastal Conservancy proposal for a license plate program, and that there are active discussions taking place between the two agencies regarding the matter. He further stated that this matter will be calendared on the agenda for the next meeting of the Board of Directors on June 13, 2008, with a closed session component included, if it is deemed to be necessary.

         
ADJOURNMENT
         
18.

All business having been concluded, the meeting was adjourned at 11:15 a.m., in the memory of Adriana Choy, Brandon Aaron Brier, David Martinez and Ed Woo.

         


Respectfully submitted,

/s/ Janet S. Tarantino
Secretary of the District