April 22, 2010

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, CA, on Thursday, April 22, 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 (4): Directors Grosboll, Kerns, Pahre and Sobel

Committee of the Whole Members Present (11): Directors Cochran, Grosboll, Kerns, Moylan, Newhouse Segal, Pahre, Sobel and Stroeh; Second Vice President Eddie; First Vice President Reilly; President Boro (Ex Officio)
Committee of the Whole Members Absent (8): Directors Brown, Campos, Chu, Dufty, Elsbernd, McGlashan, Sanders and Snyder

Staff Present: Deputy General Manager/Bridge Division and Acting General Manager Kary Witt; 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 Transit Division Teri W. Mantony; Deputy General Manager/Ferry Transit Division James P. Swindler; Deputy General Manager/Administration and Development Z. Wayne Johnson; Executive Assistant to the General Manager Amorette Ko; Assistant Clerk of the Board Lona Franklin

Visitors Present: None


1.	Approve Actions Relative to Contract No. 2010-FT-10, Installation of New Propulsion System for Re-Powering and Dry-Docking of the M.V. Del Norte, for Overhaul of the Waterjets and Installation of New Radar Equipment In a memorandum to Committee, Marine Projects Manager/Ferry Division Christian Stark, Deputy General Manager/Ferry Division James Swindler, Auditor-Controller Joseph Wire and General Manager Celia Kupersmith reported on staff’s recommendation that the Board of Directors authorize execution of Change Orders Nos. 1, 25 and 26, relative to Contract No. 2010-FT-10, in the total amount of $312,939.60, with Ice Floe, LLC, dba Nichols Brothers Boat Builders (Nichols Bros.), Freeland, WA, for the overhaul of waterjets and the installation of new radar equipment; ; and, approve all other related items.. The staff report stated that, on September 25, 2009, the District awarded Contract No. 2010-FT-10, Installation of New Propulsion System for Re-Powering and Dry-Docking of the M.V. Del Norte (M.V. Del Norte Repower Project) to Nichols Bros. The M.V. Del Norte Repower Project is included in the FY 09/10 Ferry Transit Division Capital budget costing the amount of $5,793,000.00, and is 100% grant funded. The Board of Directors (Board), on May 22, 2009, authorized the establishment of a budget in the amount of $350,000.00 for the purchase, disassembly and installation of waterjets for the M.V. Del Norte . The staff report noted that waterjets have been purchased and disassembled at a cost of $71,000.00. The report also stated that staff has determined that it is in the best interests of the District for the installation to be performed by Sound Propeller Systems, LLC, the only firm on the West Coast capable of and authorized by the manufacturer to perform the work, under a subcontracting arrangement with Nichols Bros., on a time schedule that will not interfere with the refurbishment of M.V. Del Norte . The staff report further stated that the M.V. Del Norte’s primary navigation radar unit requires replacement. The report stated that it was in the best interests of the District to replace the radar unit while the ferry was at the shipyard. A budget transfer from the Ferry Transit Division Capital Equipment Project Budget to the Ferry Transit Division Capital Budget for the M.V. Del Norte Repower Project, in the amount of $32,000.00, is required to fully fund the installation of waterjets for the M.V. Del Norte. A copy of the report is available in the Office of the District Secretary and on the District’s web site. At the meeting, Mr. Swindler stated that all three change orders deal with work that was planned to take place. Regarding the refurbishing of the waterjets, four used units were purchased and a budget of $350,000.00 established for the work. The actual cost will be slightly higher, resulting in this request for a budget transfer of $1,958.80. Work to replace the primary navigation radar unit with new radar equipment was planned for and funds included in the Capital Equipment Budget. At that time, however, staff did not know the most appropriate time to complete the work. Transfer of funds in the amount of $32,000.00 from the FY 09/10 Ferry Transit Division Capital Equipment Project Budget to the FY 09/10 Ferry Transit Division Capital Budget for the M.V. Del Norte Repower Project will allow replacement of the primary navigation radar unit while the vessel is out of service for refurbishment and overhaul of waterjets. 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 Contract No. 2010-FT-10, Installation of New Propulsion System for Re-Powering and Dry-Docking of the M.V. Del Norte, as follows:
	a.	Authorize execution of Change Orders Nos. 1, 25 and 26, relative to Contract No. 2010-FT-10, in the total amount of $312,939.60, with Ice Floe, LLC, dba Nichols Brothers Boat Builders, for the overhaul of waterjets and the installation of new radar equipment; and,
	b.	Establish a Project Budget in the amount of $5,825,000.00; and,
	c	Authorize a transfer from the FY 09/10 Ferry Transit Division Capital Equipment Project Budget to the FY 09/10 Ferry Transit Division Capital Budget for the M.V. Del Norte Repower Project, in the amount of $32,000.00, as concurred with by the Finance-Auditing Committee at its meeting of April 22, 2010. Action by the Board at its meeting of April 23, 2010 - Resolution NON-CONSENT CALENDAR

	AYES (9): Chair Eddie; Vice Chair Moylan; Directors Cochran, Grosboll, Kerns, Newhouse Segal, Reilly, Sobel and Stroeh NOES (0): None ABSENT (1): Director McGlashan

2.	Status Report from Board Appointee(s) on Sonoma-Marin Area Rail Transit (SMART) Board The Committee was provided with a copy of the agenda items and staff reports for the April 7, 2010, Sonoma-Marin Area Rail Transit (SMART) Executive Committee Meeting, April 14, 2010, SMART Executive Committee Meeting, and the April 14, 2010, SMART Operations Committee Meeting. Copies of these items are available in the Office of the District Secretary, as well as on the District’s web site. [Director Pahre arrived at 10:10 a.m., and President Boro arrived at 10:13 a.m.] The following District Directors, who are also members of the SMART Board of Directors (SMART Board), made the following statements: Director Eddie reported on the meeting of April 21, 2010, stating that the SMART Board voted unanimously to approve issuance of a Request for Proposals for purchase of rail cars. He also stated that a schedule of major program activities was distributed. Director Pahre noted that SMART issued its rail car Request for Proposals on Earth Day. She stated that Board members went on a tour of some rail stations, including Atherton, Novato and Larkspur, among others. She stated that additional workshops are scheduled to take place in the upcoming months. She reported that Houston wishes to purchase up to fifty rail cars and “piggy-back” on SMART’s purchase order, which will reduce the cost per unit for those units purchased by SMART. She commented that she had learned the shorthand term “mup,” meaning multi-use pathway. Discussion ensued, including the following comments and inquiries: Director Sobel inquired as to whether the SMART Board members discussed truncating rail lines as part of implementation. In response, Director Eddie stated that truncation was discussed, but no action was taken. Director Moylan inquired as to whether the rail cars would be American manufactured. In response, Director Eddie stated they would. Director Stroeh inquired as to the planned location for the pedestrian and bicycle path(s), and whether installation would be alongside the rails. In response, Director Eddie stated that work was in progress to design the pedestrian and bicycle path(s), and that SMART staff have met with consultants in this regard. He added that projected costs will soon be determined. Action by the Board – None Required

3.	Status Report on Engineering Projects In a memorandum to Committee, Deputy District Engineer Ewa 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. Discussion ensued, including the following inquiry: Director Sobel inquired as to whether the District’s contracts include incentives to complete work on time, and penalties for work incomplete by the deadline. In response, Mr. Mulligan stated that all District contracts have provisions to encourage on-time performance. In those cases where contractors are behind schedule, the District will receive liquidated damages. Action by the Board – None Required

4.	Public Comment There was no public comment.

5.	Adjournment All business having been concluded, the meeting was adjourned at 10:15 a.m.

Respectfully submitted,

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