January 21, 2010

 

REPORT OF THE BUILDING AND OPERATING COMMITTEE

 

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

Honorable Members:

A meeting of the Building and Operating Committee was held in the Board Room, Administration Building, Toll Plaza, San Francisco, CA, on Thursday, January 21, 2010, at 10:00 a.m., Chair Eddie presiding.

Committee Members Present (7): Chair Eddie; Vice Chair Moylan; Directors Cochran, Newhouse Segal, Reilly and Stroeh; President Boro (Ex Officio)

Committee Members Absent (1): Director McGlashan

Other Directors Present (2): Directors Grosboll and Pahre

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 Transit Division Teri W. Mantony; Deputy General Manager/Ferry Transit Division James P. Swindler; Deputy General Manager/Administration and Development Division Z. Wayne Johnson; Public Affairs Director Mary C. Currie; Business System Implementation Manager Marvin Miller; Executive Assistant to the General Manager Amorette Ko; Assistant Clerk of the Board Patsy Whala

Visitors Present: None

   
1.

Authorize Execution of a Services Agreement with Barbier Security Group Relative to Request for Proposals No. 2010-MD-3, Security Guard Services for Bus and Ferry Facilities

Committee Chair James Eddie reported that this matter has been postponed, and that this matter will be discussed at a future meeting of a Committee and the Board at to be announced some time later.

   
2.

Authorize Award of Contract No. 2010-FT-12, Sale of Four Surplus Cummins Diesel Engines and Miscellaneous Spare Parts, to Wagner & Pigozzi, Inc.

In a memorandum to Committee, Marine Projects Manager/Ferry Division Christian Stark, Deputy General Manager/Ferry Transit Division James P. Swindler and General Manager Celia G. Kupersmith reported on staff’s recommendation to authorize award of a contract to Wagner & Pigozzi, Inc., relative to Contract No. 2010-FT-12, Sale of Four Surplus Cummins Diesel Engines and Miscellaneous Spare Parts.

The report stated that in FY 07/08, the District completed Contract No. 2008-FT-4, Installation of Four New Main Engines for Re-Powering of the M.V. Mendocino, and Dry-Docking for Routine U.S. Coast Guard Inspection, Hull Maintenance and Repairs, with Bay Ship & Yacht Co. This project was funded with Carl Moyer grant funds, in which regulations necessitate that the engine blocks of the original main propulsion engines be rendered inoperable and allow the remaining useful parts to be disposed of at the grantee’s discretion. The report noted that the four original Cummins KTA50 engines do not meet current Environmental Protection Agency requirements and the parts are not interchangeable with any District asset. Since the four Cummins KTA50 engines were purchased with Federal Transit Administration (FTA) grant funds valued at over $100,000.00, Board approval is required before disposition.

The report also stated that on November 24, 2009, the District issued Contract No. 2010-FT-12, and that a sole bid from Wagner & Pigozzi, Inc., was received by the deadline date of December 29, 2009, for the four Cummins KTA50 engines; and, that no bid was received for the inventory of spare Cummins parts. Staff determined that the sole bid from Wagner & Pigozzi, Inc., to be fair and reasonable. The funds received by the award of the sale of the used engines will, with FTA approval, be included in the District’s next FTA grant to reduce the cost of a FTA-funded project. A copy of the staff report is available in 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 the award of Contract No. 2010-FT-12, Sale of Four Surplus Cummins Diesel Engines and Miscellaneous Spare Parts, to Wagner & Pigozzi, Inc., Oakland, CA, in the amount of $83,052.96; with the understanding that the proceeds from the sale will be set aside for a future District project to be funded and approved by the Federal Transportation Administration.

Action by the Board at its meeting of January 22, 2010 – Resolution
NON-CONSENT CALENDAR

AYES (7): Chair Eddie; Vice Chair Moylan; Directors Cochran, Newhouse Segal, Reilly and Stroeh; President Boro (Ex Officio)
NOES (0): None
ABSENT (1): Director McGlashan

   
3.

Authorize Execution of the First Amendment to the Services Agreement with Verizon Business Network Services, Inc., Relative to Request for Proposals No. 2010-D-3, Installation Services for Nortel Switch Upgrade, to Extend the Term of the Service Warranty

In a memorandum to Committee, Electrical Superintendent, Kevin Raddatz, Deputy General Manager/Bridge Division Kary H. Witt and General Manager Celia G. Kupersmith reported on staff’s recommendation to authorize execution of the First Amendment to the Services Agreement (Agreement) with Verizon Select Services Inc., relative to Request for Proposals No. 2010-D-3, Installation Services for Nortel Switch Upgrade, for an additional three-year service warranty for the District’s Nortel telephone equipment.

The report stated that the Nortel telephone equipment was outdated and was no longer supported by the manufacturer; and, that staff determined that it was necessary to upgrade this equipment to ensure continuity of services. This upgrade allows the District the option to utilize added functionality such as Auto Phone Attendant, Voice Over Internet Protocol and a number of other features, which are not currently available with the District’s existing equipment. Staff budgeted $1,200,000.00, in the FY 09/10 District Division Capital Budget to replace the telephone switch equipment, and it was determined by staff that equivalent functionality could be achieved by upgrading the equipment at a significant lower cost.

The report also stated that on August 13, 2009, the General Manager approved the Nortel Telephone Switch Upgrade project, in the amount of $227,213.00, for equipment, installation services and a two-year Maintenance Agreement. Staff has recently learned that the manufacturer of Nortel equipment is undergoing new ownership and will no longer be offering extended service on the District’s equipment, and that it would be beneficial to purchase a three-year extended warranty while it is still available from the manufacturer. A budget transfer, in the amount of $54,768.00, is required from the FY 09/10 District Division Capital Budget to the FY 09/10 District Division Operating Budget, subject to the concurrence by the Finance-Auditing Committee at its meeting of January 21, 2010.

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 Request for Proposals (RFP) No. 2010-D-3, Installation Services for Nortel Switch Upgrade, as follows:

  a.
Authorize execution of the First Amendment to the Services Agreement with Verizon Select Services Inc., relative to RFP No. 2010-D-3, in the amount of $54,768.00, for an additional three-year service warranty for the District’s Nortel telephone equipment; and,
  b.

Authorize a budget transfer in the amount of $54,768.00, from the FY 09/10 District’s Capital Budget to the FY 09/10 District Division Operating Budget, as concurred with by the Finance-Auditing Committee at its meeting of January 21, 2010.

Action by the Board at its meeting of January 22, 2010 – Resolution
NON-CONSENT CALENDAR

   
  AYES (7): Chair Eddie; Vice Chair Moylan; Directors Cochran, Newhouse Segal, Reilly and Stroeh; President Boro (Ex Officio)
NOES (0): None
ABSENT (1): Director McGlashan
   
4.

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

The Committee was provided with a copy of the agenda items and staff reports for the December 16, 2009, Sonoma-Marin Area Rail Transit (SMART) District Board Meeting, December 16, 2009 SMART Executive Committee Meeting and January 13, 2010, SMART Operations Committee Meeting Agenda. 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, Director Pahre, newly appointed Vice Chair of the SMART Board of Directors (SMART Board), reported on the following:

  a.
The SMART Board will be conducting two public workshops regarding rail station planning in each city that is designated to have a rail station.
 

b.

The SMART Board approved a strategy to close the funding gap for the rail project by seeking to participate in the Federal Transportation Administration’s (FTA) “New Starts” program. She noted that, in order to successfully compete for those federal funds, SMART staff advised proceeding with the project in two sections, an initial “local project” and concurrent “federal project” to be constructed as an extension of the local project. She also noted that the “local project,” from Larkspur to Sonoma County, would be completed in 2014 and the “federal project,” from Sonoma County to Healdsburg, would be finished and begin operation in 2016.
  c.

The SMART-owned portions of right-of-way are outside the current project scope and may be future elements of a broader system of transit. She stated that the SMART Board adopted a Rail Right-of-Way Preservation Policy to preserve opportunities for future extensions of passenger rail service.

Action by the Board – None Required

   
5.

Status Report on Engineering Projects

In a memorandum to Committee, Deputy District Engineer Ewa Bauer, District Engineer Denis Mulligan and General Manager Celia G. 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

   
6.

Public Comment

There was no public comment.

   
7.

Adjournment

All business having been concluded, the meeting was declared adjourned at 10:17 a.m.

   
   

Respectfully submitted,

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