May 21, 2009

REPORT OF THE BUILDING AND OPERATING COMMITTEE/
COMMITTEE OF THE WHOLE

Honorable Board of Directors
Golden Gate Bridge, Highway
  and Transportation District

Honorable Members:

A meeting of the Building and Operating Committee/Committee of the Whole was held in the Board Room, Administration Building, Toll Plaza, San Francisco, California, on Thursday, May 21, 2009, at 10:00 a.m., Chair Eddie presiding.

Committee Members Present (8): Chair Eddie; Vice Chair Moylan; Directors Cochran, McGlashan, Newhouse Segal, Reilly and Stroeh; President Boro (Ex Officio).
Committee Members Absent (0): None
Other Directors Present (4): Directors Elsbernd, Grosboll, Pahre and Sobel

Committee of the Whole Members Present (12): Directors Cochran, Elsbernd, Grosboll, McGlashan, Moylan, Newhouse Segal, Pahre, Sobel and Stroeh; Second Vice President Eddie; First Vice President Reilly; President Boro
Committee of the Whole Members Absent (7): Directors Brown, Campos, Chu, Dufty, Kerns, Sanders and Snyder

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, Bus Division Teri W. Mantony; Deputy General Manager, Ferry Division James P. Swindler; Deputy General Manager, Administration Z. Wayne Johnson; Public Affairs Director Mary C. Currie; Director of Planning Alan R. Zahradnik; Executive Assistant to the General Manager Amorette Ko; Assistant Clerk of the Board Patsy Whala

Visitors Present: John Vidaurri, San Francisco Suicide Prevention, Inc.

       
1.

Status Report and Possible Action Regarding a Memorandum of Agreement with Historic Preservation Agencies and Other Interested Parties Relative to the Golden Gate Bridge Physical Suicide Deterrent System Project

In a memorandum to Committee, Deputy District Engineer Ewa Bauer, District Engineer Denis Mulligan and General Manager Celia Kupersmith reported on staff’s recommendation to authorize the General Manager to execute, on behalf of the District as a concurring party, the Memorandum of Agreement (MOA) between the California Department of Transportation (Caltrans), the California State Historic Preservation Officer (SHPO) and the Federal Advisory Council on Historic Preservation (ACHP), relative to the proposed Golden Gate Bridge Physical Suicide Deterrent System project.

The report stated that, in accordance with State and Federal environmental and historic preservation laws, specific procedures must be followed when an undertaking is proposed which modifies an historic structure. The Golden Gate Bridge is subject to these procedures and associated protections. As part of this process, the District consulted with SHPO, ACHP, Caltrans and other interested parties and has negotiated a MOA pursuant to Section 106 of the National Historic Preservation Act (16 USC 470 et seq.). Key points were identified in the MOA.

The report highlighted the District’s environmental process for the Golden Gate Bridge Physical Suicide Deterrent System Project (Suicide Deterrent Project), which included preparing historical and cultural resources studies that are summarized in the Draft Environmental Impact Report/Environmental Assessment (Draft EIR/EA). These studies determined that the Suicide Deterrent Project will have an adverse effect on the historic Golden Gate Bridge. The District has approved Alternative 3, installation of a Net system, as the Locally Preferred Alternative. In light of the adverse effects identified, the MOA is necessary to allow the Suicide Deterrent Project to qualify for federal funding, should such funding become available.

The report also stated that the MOA is one of the last steps in the environmental process. If the MOA is not approved by the signatory agencies, the project may face delays while the parties consult regarding alternatives to address the adverse effect of the project. It is anticipated that the Final EIR and Findings of No Significant Impacts will be released in the coming weeks after the MOA is executed.

The report further stated that there is no fiscal impact associated with this item. As per Board policy, the Suicide Deterrent Project is to be funded with non-District funds. The obligations associated with the proposed MOA are triggered by the construction of the Net, and are included in the cost estimate for the construction of the Net. A copy of the report is available from the Office of the District Secretary and on the District’s web site.

At the meeting, Denis Mulligan summarized the staff report and provided a PowerPoint presentation, stating that installation of a Net system on the Golden Gate Bridge, as the Locally Preferred Alternative, will have an adverse affect on the historic Golden Gate Bridge. Mr. Mulligan explained that staff met with representatives of ACHP, SHPO and Caltrans regarding mitigating the adverse affects and highlighted those recommendations in the presentation. Mr. Mulligan also stated that in 1997, the National Park Service prepared a National Historic Landmark (NHL) nomination for the Golden Gate Bridge; however, at that time the nomination process was not completed because the District had questions regarding the affects of becoming a NHL on Bridge operations. Recent direction indicates that with the NHL designation, the role of the Federal government would be expanded. The effect of the designation is to bring the Secretary of the Interior into the procedures already applicable to the Golden Gate Bridge in the area of reviewing potential effects of federally-funded projects at the Golden Gate Bridge. However, this designation would not change the District’s management and oversight of the day-to-day maintenance or operations of the Golden Gate Bridge. He noted that the cost of preparing and filing the necessary paperwork for the NHL nomination is estimated at $25,000.00; this expense is included in the Suicide Deterrent Project construction cost estimate. Mr. Mulligan further described the other mitigation measures proposed in the MOA which are discussed in the staff report.

Discussion ensued, including the following inquiry:

  • Director Pahre inquired as to whether or not the status of becoming a National Historic Landmark will interfere with any future decisions regarding the Golden Gate Bridge Preservation Partnership program. In response, Mr. Mulligan stated that the issue would arise only if the District was seeking federal funds as part of that action, which then would require federal oversight.

Staff recommended and the Committee concurred by motion made and seconded by Directors MOYLAN/REILLY to forward the following recommendation to the Board of Directors for its consideration:

RECOMMENDATION

The Building and Operating Committee recommends that the Board of Directors authorize the General Manager to execute, on behalf of the District as a concurring party, the Memorandum of Agreement (MOA) between the California Department of Transportation, the California State Historic Preservation Officer and the Federal Advisory Council on Historic Preservation, relative to the proposed Golden Gate Bridge Physical Suicide Deterrent System project, and selection of Alternative 3, installation of a Net system, as the Locally Preferred Alternative.

Action by the Board at its meeting of May 22, 2009 – Resolution
NON-CONSENT CALENDAR

AYES (10): Directors Cochran, McGlashan, Moylan, Newhouse Segal, Pahre, Sobel and Stroeh; Second Vice President Eddie; First Vice President Reilly; President Boro
NOES (0): None

       
2.

Approve Actions Relative to the Award of Contract No. 2009-B-4, Toll Plaza Pavement and Access Improvements, to Granite Rock Company, dba Pavex Construction Division

In a memorandum to Committee, Deputy District Engineer Ewa Bauer, District Engineer Denis Mulligan and General Manager Celia Kupersmith reported on staff’s recommendation to approve actions relative to the award of Contract No. 2009-B-4, Toll Plaza Pavement and Access Improvements, to Granite Rock Company, dba Pavex Construction Division, including concurrence from the Finance-Auditing Committee of a budget decrease in the FY 08/09 Bridge Division Capital Budget in the amount of $892,000.00.

The report detailed the work associated with this project. The District advertised for bids on April 14, 2009. On February 10, 2009, five bids were received, opened and publicly read by the Secretary of the District. The report further stated that the Engineering Department staff and the Attorney have evaluated the bids and concluded that the apparent responsive, responsible low bidder is Granite Rock Company, dba Pavex Construction Division, with a bid price of $1,403,325.00. In addition, the DBE Program Administrator determined that Granite Rock Company, dba Pavex Construction Division, has complied with the DBE requirements applicable to this Contract. Although no contract-specific DBE goal was established, a 6.4% DBE participation is anticipated during the performance of this Contract.

The report further stated that requisite funds for this project are available in the FY 08/09 Bridge Division Capital Budget in the amount of $3,100,000.00, and this project is 100% District funded. A project budget is being established in the amount of $2,208,000.00. A copy of the report is available from the Office of the District Secretary and on the District’s web site.

Discussion ensued, including the following comment:

Director Moylan commented that one of the causes for the deterioration of asphalt concrete at these locations is due to the wear and tear from the millions of visitors who visit this national icon. He stated that some of the costs associated with these types of projects should be borne by the members of the public by way of a user fee.

Staff recommended and the Committee concurred by motion made and seconded by Directors STROEH/COCHRAN to forward the following recommendation to the Board of Directors for its consideration:

RECOMMENDATION

The Building and Operating Committee recommends that the Board of Directors approve actions relative to the award of Contract No. 2009-B-4, Toll Plaza Pavement and Access Improvements, as follows:

  a.
Authorize award of Contract No. 2009-B-4, to Granite Rock Company, dba Pavex Construction Division, San Jose, CA, in the amount of $1,403,325.00;
  b. Authorize a contingency fund in the amount of $140,332.00, equal to 10% of the contract award;
  c. Establish a total project budget of $2,208,000.00 (100% District funded); and,
  d.

Authorize a budget decrease in the FY 08/09 Bridge Division Capital Budget in the amount of $892,000.00, subject to the concurrence of the Finance-Auditing Committee at its meeting of May 21, 2009.

   
 

Action by the Board at its meeting of May 22, 2009 – Resolution
NON-CONSENT CALENDAR

AYES (10): Directors Cochran, McGlashan, Moylan, Newhouse Segal, Pahre, Sobel and Stroeh; Second Vice President Eddie; First Vice President Reilly; President Boro
NOES (0): None

       
3.

Approve Actions Relative to the Award of Contract No. 2009-FT-9, Seating and Miscellaneous Furniture for the M.V. Snohomish (M.V. Napa) and the M.V. Chinook Ferries, to Beurteaux (Australia) Pty Ltd.

In a memorandum to Committee, Marine Projects Manager Christian Stark, Deputy General Manager/Ferry Transit Division James Swindler and General Manager Celia Kupersmith reported on staff’s recommendation to approve actions relative to the award of Contract No. 2009-FT-9, Seating and Miscellaneous Furniture for the M.V. Snohomish (M.V. Napa) and the M.V. Chinook Ferries, to Beurteaux (Australia) Pty. Ltd.

The report stated that the District acquired the M.V. Snohomish (M.V. Napa) and the M.V. Chinook from Washington State Ferries, with the understanding that significant improvements and modifications would be necessary to prepare them for regular service. The report provided a detail description of the necessary work, and stated that the base contract will be for the refurbishment of the M.V. Chinook. The costs associated with the procurement of seating and furniture for the M.V. Snohomish (M.V. Napa) are included in the Contract, as an option.

The report also stated that the District advertised for bids on April 1, 2009. On May 5, 2009, a sole bid was received, opened and publicly read by the Secretary of the District, from Beurteaux (Australia) Pty Ltd., in the amount of $294,917.10. The report further stated that the Ferry Transit Division staff and the Attorney have evaluated the sole bid and determined that it was responsive and responsible. Staff has performed a price analysis of the bid price and has concluded that the bid price is fair and reasonable. Since the seating and furniture will be manufactured in Australia, it will be necessary to obtain a waiver from the Federal Transit Administration for the Buy America Certificate.

The report further stated that requisite funds for this project are available in the FY 08/09 Ferry Transit Division Capital Budget in the amount of $23,410,000.00 (88% grant funded; 12% District funded), to be funded with $8,566,469.00 American Recovery and Reinvestment Act funds, with $9,920,000.00 Federal Transit Administration funds, with $2,116,322.0 State I-Bond funds and with $2,807,209.00 District funds. A copy of the report is available from the Office of the District Secretary and on the District’s web site.

Mr. Swindler summarized the staff report stating that the passenger capacity for each of these ferries will increase from 350 to 450. Mr. Swindler noted that staff is recommending that the seating be purchased and installed separate from the dry-docking contract to ensure that the vessels will be ready for service at the allotted time.

Discussion ensued, including the following inquiry:

  • Director Moylan inquired as whether or not an American-based company performs this type of work. In response, Mr. Swindler stated there is a company doing business in the United States, but that this company works primarily with military contracts and are no longer supporting the passenger vessel industry. Mr. Swindler noted that Beurteaux has dedicated itself to the passenger-vessel industry worldwide, and is the company that receives a majority of these types of procurements.

Staff recommended and the Committee concurred by motion made and seconded by Directors STROEH/REILLY to forward the following recommendation to the Board of Directors for its consideration:

RECOMMENDATION

The Building and Operating Committee recommends that the Board of Directors approve actions relative to the award of Contract No. 2009-FT-9, Seating and Miscellaneous Furniture for the M.V. Snohomish (M.V. Napa) and the M.V. Chinook Ferries, as follows:

  a.
Authorize the award of Contract No. 2009-FT-9, to Beurteaux (Australia) Pty Ltd., in the amount of $294,917.10, for seating and miscellaneous furniture for the M.V. Chinook;
  b.
Authorize the General Manager, or her designee, to exercise an option, if the exercise of such option is in the District’s best interest, for the procurement of seating and miscellaneous furniture for the M.V. Snohomish (M.V. Napa), in the amount of $294,917.10; and,
  c.

Establish a contingency fund in the amount of $100,000.00, to cover taxes and unanticipated items;
subject to the receipt of a waiver from the Federal Transit Administration for the Buy America Certificate, and with the understanding that requisite funds are available in the FY 09/10 Ferry Transit Division Capital Budget.

   
 

Action by the Board at its meeting of May 22, 2009 – Resolution
NON-CONSENT CALENDAR

AYES (11): Directors Cochran, Grosboll, McGlashan, Moylan, Newhouse Segal, Pahre, Sobel and Stroeh; Second Vice President Eddie; First Vice President Reilly; President Boro
NOES (0): None

       
4.

Authorize Actions Relative to the Execution of a Services Agreement with Karl Senner, Inc., Regarding Sole Source Contract No. 2010-FT-4, Gearbox and Re-Ratioing for the M.V. Del Norte

In a memorandum to Committee, Marine Projects Manager Christian Stark, Deputy General Manager/Ferry Transit Division James Swindler and General Manager Celia Kupersmith reported on staff’s recommendation to authorize actions relative to the execution of a Services Agreement with Karl Senner, Inc., regarding Contract No. 2010-FT-4, Gearbox and Re-Ratioing for the M.V. Del Norte, including concurrence from the Finance-Auditing Committee of a budget increase in the FY 08/09 Ferry Transit Division Capital Budget in the amount of $907,000.00.

The report stated that the M.V. Del Norte is scheduled to be repowered with new Environmental Protection Agency (EPA) Tier II engines. Consequently, the water jets must be replaced in order to accommodate the new heavier EPA Tier II engines, and the reduction ratio of the gearboxes must be re-ratioed in order to accommodate the new water jets. At the same time, it is being recommended to rebuild the gearboxes as an efficient use of time and resources.

The report also stated that the M.V. Del Norte uses Reintjes gearboxes, which are solely licensed in the United States by Karl Senner, Inc. (Karl Senner). Karl Senner has submitted a proposal to the District for the necessary work and staff has determined that the price is fair and reasonable. State law permits an exception from the competitive bidding requirement when such a process would be unavailing and not in a public agency’s best interests. Because Karl Senner is uniquely positioned to provide the necessary work, a competitive bidding process would serve no useful purpose. The report further stated that since the Reintjes gears used in the rebuilding are manufactured in Germany, it will be necessary to obtain a waiver from the Federal Transit Administration for the Buy America Certificate.

The report further stated that this project is 100% grant funded (with $3,173,854.00 Carl Moyer Program grant funds and with $326,146.00 Federal Transit Administration grant funds). A copy of the report is available from the Office of the District Secretary and on the District’s web site.

Staff recommended and the Committee concurred by motion made and seconded by Directors COCHRAN/STROEH to forward the following recommendation to the Board of Directors for its consideration:

RECOMMENDATION

The Building and Operating Committee recommends that the Board of Directors approve actions relative to the award of Contract No. 2010-FT-4, Gearbox and Re-Ratioing for the M.V. Del Norte, as follows:

  a.
Authorize the award of the Sole Source Contract to Karl Senner, Inc., Kenner, LA, in the amount of $344,488.00;
  b.
Establish a contingency fund in the amount of $80,512.00, to cover taxes and unanticipated items; and,
  c.
Authorize a budget increase in the FY 08/09 Ferry Transit Division Capital Budget in the amount of $907,000.00, subject to the concurrence of the Finance-Auditing Committee at its meeting of May 21, 2009;
 

subject to the receipt of a waiver from the Federal Transit Administration for the Buy America Certificate.


Action by the Board at its meeting of May 22, 2009 – Resolution
NON-CONSENT CALENDAR

AYES (11): Directors Cochran, Grosboll, McGlashan, Moylan, Newhouse Segal, Pahre, Sobel and Stroeh; Second Vice President Eddie; First Vice President Reilly; President Boro
NOES (0): None

       
5.

Authorize Actions Relative to the Execution of Change Order No. 4, Relative to Contract No. 2009-FT-11, Interior and Exterior Modifications to the M.V. Snohomish (M.V. Napa), with Dakota Creek Industries, Inc.

In a memorandum to Committee, Deputy General Manager/Ferry Transit Division James Swindler and General Manager Celia Kupersmith reported on staff’s recommendation to authorize execution of Change Order No. 4 to Contract No. 2009-FT-11, Interior and Exterior Modifications to the M.V. Snohomish (M.V. Napa), with Dakota Creek Industries, Inc. (DCI), in the amount of $35,682.00; and, authorize an increase the contingency fund in the amount of $5,000.00.

The report stated that the M.V. Snohomish (M.V. Napa) underwent minor interior and exterior modifications so that the ferry could be placed into service to substitute for the M.V. Del Norte while that ferry is being re-powered. Under separate contract, the District contracted with Sound Propeller Systems, Seattle, WA, for work on the water jets. As a result of this work, DCI had to provide additional support and affect repairs to correct defects that were uncovered as part of the water jet repair/refurbishment effort.

This Contract will be included in the total project budget of $11,705,000.00 (77% grant funded; 23% District), to be funded with $7,955,185 Federal Transit Administration grant funds (68%), with $1,058,161.00 State I-Bond funds (9%) and with $2,691,654.00 District funds (23%). A copy of the report is available from the Office of the District Secretary and on the District’s web site.

Staff recommended and the Committee concurred by motion made and seconded by Directors STROEH/COCHRAN to forward the following recommendation to the Board of Directors for its consideration:

RECOMMENDATION

The Building and Operating Committee recommends that the Board of Directors authorize execution of Change Order No. 4 to Contract No. 2009-FT-11, Interior and Exterior Modifications to the M.V. Snohomish (M.V. Napa), with Dakota Creek Industries, Inc., Anacortes, WA, in the amount of $35,682.00, to provide additional support and effect repairs to correct defects that were uncovered as part of the water jet repair/refurbishment effort; authorize an increase in the contingency fund in the amount of $5,000.00; and, establish a total project budget of $232,000.00.

Action by the Board at its meeting of May 22, 2009 – Resolution
NON-CONSENT CALENDAR

AYES (12): Directors Cochran, Elsbernd, Grosboll, McGlashan, Moylan, Newhouse Segal, Pahre, Sobel and Stroeh; Second Vice President Eddie; First Vice President Reilly; President Boro
NOES (0): None

       
6.

Status Report from District Appointees on Sonoma-Marin Area Rail Transit (SMART) Board

The Committee was provided with a copy of the agenda for the April 15, 2009, meeting and the minutes of the March 18, 2009, meeting of the Sonoma-Marin Area Rail Transit District (SMART). Copies of these items are available in the Office of the District Secretary, as well as on the District’s web site.

At the meeting, Chair Eddie, Director McGlashan and President Boro, members of the SMART Board of Directors (SMART Board), reported on items discussed at the May 20, 2009, meeting of the SMART Board, including comments regarding the procurement of light rail vehicles versus heavy rail vehicles.

Discussion ensued, including the following comments and inquiries:

  • Director Cochran inquired as to the differences between the light rail vehicles versus the heavy rail vehicles as relates to passenger capacity and fuel consumption... In response, Director McGlashan stated that heavy rail cars carry more passengers, but use 58% more fuel.
  • Director Stroeh inquired as to life expectancy of the heavy rail vehicles. In response, Director McGlashan stated that both light rail and heavy rail vehicles last 15 years.

Action by the Board – None Required

       
7.

Status Report on Engineering Projects

In a memorandum to Committee, Deputy District Engineer Ewa Z. Bauer, District Engineer Denis Mulligan and General Manager Celia Kupersmith reported on current engineering projects. A copy of the report is available in the Office of the District Secretary and on the District’s web site.

Action by the Board – None Required

       
8.

Public Comment

There was no public comment.

       
9.

Adjournment

All business having been concluded, the meeting was declared adjourned at 10:30 a.m.

       

 

Respectfully submitted,

/s/ James C. Eddie, Chair
Building and Operating Committee