October 21, 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, October 21, 2010, at 10:00 a.m., Chair Eddie presiding.

Committee Members Present (6): Chair Eddie; Vice Chair Moylan; Directors McGlashan, Newhouse Segal, Reilly and Stroeh
Committee Members Absent (2): Director Cochran; President Boro (Ex Officio)
Other Directors Present (5): Directors Elsbernd, Grosboll, Kerns, Pahre and Sobel

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

Staff Present: General Manager Denis Mulligan; Acting District Engineer Ewa Bauer; Auditor-Controller Joseph Wire; Secretary of the District Janet Tarantino; Attorney David Miller; Deputy General Manager/Bridge Division Kary Witt; Deputy General Manager/Ferry Transit Division James Swindler; Deputy General Manager/Administration and Development Z. Wayne Johnson; Public Relations Director Mary Currie; Executive Assistant to the General Manager Amorette Ko; Assistant Clerk of the Board Lona Franklin

Visitors Present: None

   
1.

Authorize Execution of the Second Amendment to the Professional Services Agreement with Anchor QEA, L.P., Relative to Request for Proposals No. 2008-FT-3, Berth and Channel Maintenance Dredging Design and Permitting Support Services for the Larkspur Ferry Terminal, for Additional Support Services

In a memorandum to Committee, Acting District Engineer Ewa Bauer and General Manager Denis Mulligan reported on staff’s recommendation to authorize execution of the Second Amendment to the Professional Services Agreement (PSA) with Anchor QEA, L.P., (formerly Anchor Environmental CA, L.P.) (Anchor), in the amount of $20,000.00, for assistance in obtaining permits and preparing plans and technical specifications for removal and repair of pilings at the Larkspur Ferry Terminal channel and berth.

The staff report stated that berth and channel maintenance dredging, planned to be performed in 2007 and 2008, was postponed until May 2009. At that time, Anchor resumed work on securing permits for dredging, as well as developing design and technical specifications. In February 2010, the Board authorized the First Amendment to the subject PSA for additional services associated with new regulatory requirements enacted during work suspension.

The staff report stated that Anchor investigated whether the removal and repair of the pilings could be performed under existing permits associated with the on-going maintenance dredging. It was found that additional permits and authorizations would be required, including a maintenance amendment to the District’s existing Bay Conservation and Development Commission permit for Larkspur Ferry Terminal; a Nationwide Permit from the United States Army Corps of Engineers; a permit from the San Francisco Regional Water Quality Control Board; and, a permit from the State Lands Commission.

The staff report stated that the proposed Second Amendment to the PSA with Anchor will increase the design consultant budget for these projects from $555,000.00 to $575,000.00. Sufficient funds are available within the Ferry Transit Division Capital Budget. A copy of the staff report is available from the Office of the District Secretary and on the District’s web site.

At the meeting, Ms. Bauer summarized the staff report, stating that defective pilings impede operation of the ferry boats. She stated that the work can be conducted in the Larkspur Channel only from July to November each year. It is hoped that permits can be issued soon enough to allow repairs to be done under the current dredging construction contract.

Staff recommended and the Committee concurred by motion made and seconded by Directors STROEH/MOYLAN 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 the Second Amendment to the Professional Services Agreement, with Anchor QEA, L.P., (formerly Anchor Environmental CA, L.P.), in the amount of $20,000.00, relative to Request for Proposals No. 2008-FT-3, Berth and Channel Maintenance Dredging Design and Permitting Support Services for the Larkspur Ferry Terminal, for assistance in obtaining permits and preparing plans and technical specifications for removal and repair of piling at the Larkspur Ferry Terminal channel and berth; with the understanding that requisite funds are available in the FY 10/11 Ferry Transit Division Capital Budget.

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

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

   
2.

Authorize Execution of Change Order No. 2 with Ice Floe, LLC, dba Nichols Brothers Boat Builders, Relative to Contract No. 2010-FT-1, Refurbishment of the M.V. Napa and the M.V. Chinook (M.V. Golden Gate) Ferries, for the Repair and Replacement of the Wet-Deck Structure on the M.V. Chinook (M.V. Golden Gate)

In a memorandum to Committee, Marine Projects Manager/Ferry Transit Division Christian Stark, Deputy General Manager/Ferry Transit Division James Swindler and General Manager Denis Mulligan reported on staff’s recommendation to authorize execution of Change Order No. 2 with Ice Floe, LLC, dba Nichols Brothers Boat Builders (Nichols Bros.), in the amount of $257,846.25, relative to Contract No. 2010-FT-1, for the repair and replacement of the wet-deck structure on the M.V. Chinook (M.V. Golden Gate).

The staff report stated that Contract No. 2010-FT-1 was awarded to Nichols Bros. on March 26, 2010. Subsequently, excessive salt and carbon buildup were found on the M.V. Golden Gate. The U. S. Coast Guard (USCG) inspected the vessel, and informed the District that the lower portion of all 29 wet-deck frames and the lower portion of the watertight bulkheads to the hulls were required to be cropped out and replaced.

The staff report stated that, upon discovering the wastage on the M.V. Golden Gate, the M.V. Del Norte and the M.V. Napa were inspected by District staff for similar signs of accelerated corrosion. There were some signs of the salt accumulation evident on the M.V. Napa but not nearly to the level seen on the M.V. Golden Gate. The full extent of the wastage on the M.V. Napa will not be known until all of the wet-deck cladding can be removed and the area can be properly cleaned and prepared for inspection.

The staff report stated that Change Order No. 2 has been submitted by Nichols Bros. for crop out and replacement of wasted areas identified by the USCG. Staff evaluated the proposal and, after obtaining a competing quote from a different shipyard, determined that the price is fair and reasonable. A copy of the staff report is available from the Office of the District Secretary and on the District’s web site.

At the meeting, Mr. Swindler summarized the staff report and presented a PowerPoint slide show to illustrate the damage to the M.V. Golden Gate.

Discussion ensued, including the following comments and inquiries:

  • Director Kerns inquired as whether sealing could be done to keep the salt water from contacting the vessel and whether this problem is likely to recur. In response, Mr. Swindler stated that regulations require leaving the cladding open to the sea. He added that, once frames have been replaced, the work will not have to be done again. He speculated that the cause of the excessive salt and carbon build-up may have been running the vessel in the bow down condition prior to its purchase by the District. He noted that the District will not operate the vessel in the bow down condition.
  • Director Newhouse Segal inquired as to whether the seller is liable for the damage. In response, Attorney Miller stated that the vessel was purchased “as is.”
  • Director Sobel inquired as to whether experts had inspected the vessel prior to the District’s purchase. In response, Mr. Swindler stated that, in this instance, inspection was not done, as the cladding was in place; however, in the future, these types of inspections will be completed. Mr. Mulligan added that the area that was damaged is not accessible, and that cladding would have to have been removed in order to inspect that area.
  • Director Reilly inquired as to whether the District had saved a significant amount of money by purchasing the used vessel, despite the repairs it will need. In response, Mr. Mulligan stated that, even with the cost of this repair, the price of purchase was far less than the cost of a new vessel.
  • Director Eddie commented that, because the M.V. Golden Gate is already in dry dock, it would not be necessary to remove it from service in order to make the repairs.

Staff recommended and the Committee concurred by motion made and seconded by Directors STROEH/KERNS 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. 2, with Ice Floe, LLC, dba Nichols Brothers Boat Builders, in the amount of $257,846.25, relative to Contract No. 2010-FT-1, Refurbishment of the M.V. Napa and the M.V. Chinook (M.V. Golden Gate) Ferries; with the understanding that requisite funds are available in the FY 10/11 Ferry Transit Division Capital Budget.

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

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

   
3.

Status Report from Board Appointee(s) on Sonoma-Marin Area Rail Transit (SMART) Board

The Committee was provided with copies of agenda items and staff reports for the September 30, 2010, SMART Citizens Oversight Committee Meeting, October 6, 2010, SMART Executive Committee Meeting, October 6, 2010, SMART Real Estate/Project Development Committee Meeting, and October 13, 2010, SMART Operations Committee Regular Meeting. 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, one of the members of the SMART Board of Directors (SMART Board), reported that SMART is working on negotiations for an operational agreement regarding the Todd Road Operations and Maintenance Facility Project (Todd Road Project). He also reported that staff is working with a Japanese railroad car builder that meets requirements for being American-made.

Vice Chair Pahre, a member of the SMART Board, reported that a public meeting would take place on October 28, 2010, regarding the Todd Road Project, to describe the project, summarize the environmental analysis, and receive oral comments on the adequacy of the environmental analysis.

Director McGlashan, a member of the SMART Board, reported that, regarding the Todd Road Project, the Environmental Impact Report has not yet been certified. He stated that SMART is doing all it can to work expeditiously and reach agreement.

Discussion ensued, including the following comments and inquiries:

  • Director Kerns inquired as to the status with the North Coast Railroad Authority (NCRA) and whether a timeline is in place to begin running. In response, Director McGlashan stated that further negotiation is taking place.
  • Director Stroeh inquired as to the status of real estate project development. In response, Director Pahre reported that she is Chair of the Real Estate/Project Development Committee (Committee) and that actions regarding the Todd Road Project must be approved by the Committee. A property management plan has been approved and can be accessed on the internet at http://www.sonomamarintrain.org.

Action by the Board – None Required

   
4.

Status Report on Engineering Projects

In a memorandum to Committee, Acting District Engineer Ewa Bauer and General Manager Denis Mulligan 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

   
5.

Public Comment

There was no public comment.

   
6.

Adjournment

All business having been concluded, the meeting was adjourned at 10:20 a.m.

   

 

Respectfully submitted,

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