04-2011

GOLDEN GATE BRIDGE, HIGHWAY AND TRANSPORTATION DISTRICT

MEMORANDUM OF MINUTES

BOARD OF DIRECTORS MEETING

FEBRUARY 25, 2011

 

The Board of Directors (Board) of the Golden Gate Bridge, Highway and Transportation District (District) met in regular session in the Board Room, Administration Building, Golden Gate Bridge Toll Plaza, San Francisco, CA, on Friday, February 25, 2011, at 10:00 a.m., President Reilly presiding.

ROLL CALL

Directors Present (15): Directors Boro, Chu, Cochran, Elsbernd, Grosboll, Moylan, Pahre, Rabbitt, Sanders, Snyder, Sobel and Stroeh; Second Vice President Newhouse Segal; First Vice President Eddie; President Reilly

Directors Absent (3): Directors Brown, Campos and McGlashan

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

Staff Present: General Manager Denis Mulligan; Auditor-Controller Joseph Wire; District Engineer Ewa Bauer; District Secretary Janet Tarantino; Attorney David Miller; Deputy General Manager/Bridge Division Kary Witt; Deputy General Manager/Bus Transit Division Teri Mantony; Deputy General Manager/Administration and Development Z. Wayne Johnson; Executive Assistant to the General Manager Amorette Ko; Senior Board Analyst Elizabeth Eells; Assistant Clerk of the Board Lona Franklin

Visitors Present: None

PLEDGE OF ALLEGIANCE

Director Dick Grosboll led the Board of Directors in the Pledge of Allegiance to the Flag.

PUBLIC COMMENT

There was no public comment.

CONSENT CALENDAR

 

     
1.

Request to Sever Item from Consent Calendar

Attorney David J. Miller requested, and the Board concurred, that Item No. 5.B.2., “Insufficient Amended Claim of Mary Frazell-Clifford,” be severed from the Consent Calendar.

     
2.

Motion to Approve the Remaining Consent Calendar Items:

Directors STROEH/EDDIE moved and seconded to approve the Consent Calendar, as amended. All remaining items were approved by the following vote of the Board of Directors:

AYES (15): Directors Boro, Chu, Cochran, Elsbernd, Grosboll, Moylan, Pahre, Rabbitt, Sanders, Snyder, Sobel and Stroeh; Second Vice President Newhouse Segal; First Vice President Eddie; President Reilly
NOES (0): None
ABSENT (3): Directors Brown, Campos and McGlashan

     
3. Approve the Minutes of the Following Meetings
     
  a. Finance-Auditing Committee/Committee of the Whole of January 27, 2011; and,
  b.

Regular Meeting of the Board of Directors of February 11, 2011.

Carried

     
4. Denial of Claims
     
  a.

Insufficient Claim of Sik Hoi Wong

Carried

  b.

Subrogation Claim of GEICO General Insurance Company (Insured: Anne Carroll and Christopher D. Cochrane)

Carried

 

c.

Amended Claim of Paul D. Sequeira

Carried

     
GENERAL MANAGER’S REPORT
     
5.

Presentation of 2010 Employee of the Year Award to Duarte Machado, Chief Mechanic, Bus Transit Division

President Reilly presented the 2010 Employee of the Year Award to Duarte Machado, Chief Mechanic, Bus Transit Division, and expressed her congratulations on behalf of the Board of Directors.

     
6.

Announcement

General Manager Denis Mulligan reported that, on March 2, 2011, a portion of a video game is planned to be filmed on the Golden Gate Bridge (Bridge). He stated that it is consistent with the District’s expressive activities requirements, and the video game is to include a segment with actors posing as protesters.

     
ATTORNEY’S REPORT
     
7.
Attorney David Miller reported that all items contained in the Attorney’s Report are informational. Attorney Miller reported that a Closed Session will be held just prior to the conclusion of this meeting, to discuss the following items, listed on the Agenda as Items No. 6.B.1 and 6.B.2.:
     
  1. Conference with Legal Counsel – Pending Litigation
Pursuant to Government Code Section 54956.9(a)
Report of Sterling & Clack
Danny Olivera vs. Golden Gate Bridge, Highway and Transportation District
     
  2. Conference with Labor Negotiator
Pursuant to Government Code Section 54957.6
2011 Union Coalition
     
ENGINEER’S REPORT
     
8.

General Monthly Report

District Engineer Ewa Bauer reported that all items contained in the written Engineer’s Report are informational. She added that scaffolding was delivered to the west Bridge sidewalk and is in the process of being assembled. Renovation of main cables is expected to begin soon.

     
9.

Monthly Update on California Department of Transportation Project – Doyle Drive Reconstruction

There was no new information to report regarding the Doyle Drive Reconstruction Project.

     
REPORT OF THE BUILDING AND OPERATING COMMITTEE/COMMITTEE OF THE WHOLE OF FEBRUARY 24, 2011
     
10.

Approve Actions Relative to Contract No. 2011-FT-8, Golden Gate Ferry Terminals Site Construction for Ticket Machines, with Valentine Corporation

Directors EDDIE/STROEH
Resolution No. 2011-013
approves actions relative to Contract No. 2011-FT-8, Golden Gate Ferry Terminals Site Construction for Ticket Machines, as follows:

  a.
Authorizes an increase of $10,000.00 in the Contingency Fund for a total in the amount of $35,836.00; and,
  b.
Authorizes the General Manager to approve contract change orders up to the maximum of the increased Contingency Fund;
 

with the understanding that requisite funds are available in the FY 10/11 Ferry Transit Division Capital Budget.

Adopted

AYES (15): Directors Boro, Chu, Cochran, Elsbernd, Grosboll, Moylan, Pahre, Rabbitt, Sanders, Snyder, Sobel and Stroeh; Second Vice President Newhouse Segal; First Vice President Eddie; President Reilly
NOES (0): None
ABSENT (3): Directors Brown, Campos and McGlashan

     
REPORT OF THE FINANCE-AUDITING COMMITTEE/COMMITTEE OF THE WHOLE OF FEBRUARY 24, 2011
     
11.

Approve Renewal of the Marine Insurance Program

Directors STROEH/COCHRAN
Resolution No. 2011-014
approves renewal of the District’s Marine Insurance Program, as follows:

  a.
Renew the Hull & Machinery/Protection and Indemnity Insurance policy with AGCS Marine Insurance Company (40%), National Union (25%), Starr Indemnity (25%) and Navigators Insurance Company (10%), with an annual aggregate deductible of $350,000.00 and a limit of liability of $1 million, including Terrorism Risk Insurance Act (TRIA) endorsements for the 2011 Policy Year, at an annual premium of $219,008.00, for a one-year term, effective February 28, 2011;
  b.
Renew the Excess Marine Liability Insurance policy (including Terminal Operator’s Legal Liability and Excess Protection and Indemnity Insurance) with Starr Indemnity, National Union, AGCS Marine Insurance Company, Continental, Great American and Navigators Insurance Company, with a limit of liability of $100 million, including TRIA endorsements for the 2011 Policy Year, at an annual premium of $132,425.00, for a one-year term, effective February 28, 2011; and,
  c.
Renew the Vessel Pollution Liability Insurance policy with Great American at an annual premium of $5,368.00, for a one-year term, effective February 28, 2011;
 

with the understanding that requisite funds are available in the FY 10/11 Ferry Transit Division Operating Budget and that requisite funds will be included in the FY 11/12 Ferry Transit Division Operating Budget.

Adopted

AYES (15): Directors Boro, Chu, Cochran, Elsbernd, Grosboll, Moylan, Pahre, Rabbitt, Sanders, Snyder, Sobel and Stroeh; Second Vice President Newhouse Segal; First Vice President Eddie; President Reilly
NOES (0): None
ABSENT (3): Directors Brown, Campos and McGlashan

     
12.
Authorize the Setting of Public Hearings Relative to a Proposed FY 2012-2016 Five-Year Fare Program
     
  a.

Discussion by the Board

Discussion ensued, including the following comments and inquiries:

  • Director Sanders commented that she would not support the proposal. She added that, during the four years that she has been a member of this Board, fares have been raised for various bus and ferry routes. She stated that users of public transportation are unlikely to have seen similar increases in their wages or retirement earnings. She noted that the media have reported about pension reform and the benefits afforded public employees. She stated that, in her opinion, the Board should look closely at these benefits as a source of revenue savings.
  • Director Grosboll inquired as to whether the proposal and the amounts quoted in the staff report originated with staff, as opposed to an Advisory Committee. In response, Mr. Mulligan stated that the staff report was generated by staff for the purpose of setting open houses and public hearings in order to engage the public. He noted that no approval of any amounts would be sought until the open houses and public hearings have all taken place and analysis of public responses completed.
     
  b.

Action by the Board

Directors STROEH/EDDIE

Resolution No. 2011-015 approves actions relative to the public review process associated with a proposal to consider establishment of a FY 2012-2016 Five-Year Fare Program to increase bus, paratransit, special event ferry and single ride (formerly referred to as “cash”) ferry fares, beginning July 1, 2011, and annually thereafter, until July 1, 2016, in line with Initiative No. 12, “Fare Increase on Regional Buses for Local Trips”; and, Initiative No. 25, “Renew Transit Fare Increase Plan: Annual 5% Fare Increases for Bus and Ferry Transit Fares,” of the FY 09/10 Financial Plan for Achieving Long-Term Financial Stability, as follows:

    a.
Authorizes the setting of a public hearing on Wednesday, April 6, 2011, at 6:00 p.m., at Jackson Café, Whistlestop, 930 Tamalpais Avenue, San Rafael, CA;
    b.
Authorizes the setting of a public hearing on Thursday, April 7, 2011, at 9:30 a.m., in the Board Room, Administration Building, Golden Gate Bridge Toll Plaza, San Francisco, CA; and,
    c.
Authorizes staff to present for public review at the Open Houses listed below, and at the Public Hearings listed above in Item Nos. a. and b, a proposal to consider establishment of a FY 2012-2016 Five-Year Fare Program, as described above;
   

with the understanding that a recommendation with the final set of changes will be presented to the Finance-Auditing Committee on Thursday, April 21, 2011, for its recommendation, and to the Board of Directors on Friday, April 22, 2011, for approval:

Tuesday, March 1, 2011, 4:00 p.m. to 6:00 p.m.
San Francisco Ferry Terminal
One Ferry Plaza
San Francisco, CA

Thursday, March 10, 2011, 3:30 p.m. to 6:00 p.m.
San Francisco Ferry Terminal
One Ferry Plaza
San Francisco, CA

Tuesday, March 15, 2011, 5:00 p.m. to 7:00 p.m.
Beverly C. Wilson Hall – Petaluma Fairgrounds
175 Fairgrounds Drive
Petaluma, CA

Wednesday, March 16, 2011, 6:00 to 8:00 p.m.
Santa Rosa City Council Chambers
100 Santa Rosa Avenue
Santa Rosa, CA

Tuesday, March 22, 2011, 4:30 p.m. to 7:00 p.m.
Jackson Café, Whistlestop
930 Tamalpais Avenue
San Rafael, CA

Thursday, March 24, 2011, 4:00 p.m. to 6:00 p.m.
Directors’ Annex, First Floor, Administration Building
Golden Gate Bridge Toll Plaza
San Francisco, CA

Adopted

     
 

AYES (14): Directors Boro, Chu, Cochran, Elsbernd, Grosboll, Moylan, Pahre, Rabbitt, Snyder, Sobel and Stroeh; Second Vice President Newhouse Segal; First Vice President Eddie; President Reilly
NOES (1): Director Sanders
ABSENT (3): Directors Brown, Campos and McGlashan

     
13.

Receive the Golden Gate Bridge, Highway, and Transportation District's Other Post-Employment Benefit Trust's Audited Financial Statements for the Year Ending June 30, 2010

Directors STROEH/COCHRAN

Resolution No. 2011-016 receives the Other Post-Employment Benefits (OPEB) Retirement Investment Trust Board’s Financial Statements for the Year Ending June 30, 2010, as submitted by Vavrinek, Trine, Day & Co., LLP, to the OPEB Retirement Investment Trust Board at its meeting of February 23, 2011.

Adopted

AYES (15): Directors Boro, Chu, Cochran, Elsbernd, Grosboll, Moylan, Pahre, Rabbitt, Sanders, Snyder, Sobel and Stroeh; Second Vice President Newhouse Segal; First Vice President Eddie; President Reilly
NOES (0): None
ABSENT (3): Directors Brown, Campos and McGlashan

     
14.

Special Order of Business

President Reilly announced that she had appointed an All Electronic Toll Advisory Committee (Committee), with Director Brian Sobel appointed as Chair of the Committee. She also announced that members of the Committee will be Directors Albert J. Boro, Gerald D. Cochran, James C. Eddie, John J. Moylan, Barbara L. Pahre, David Rabbitt and J. Dietrich Stroeh. She added that she would be an Ex Officio member of the Committee. She further stated that the first meeting would be held in March 2011.

Director Sobel stated that the Committee would meet to determine when and how often meetings would be held and to determine how the Committee wishes to move forward.

     
15.

Closed Session

Attorney David Miller, at the request of President Reilly, stated that the Board of Directors would convene in Closed Session, to discuss the matters listed under Closed Session as outlined above in Item No. 7.

After Closed Session, President Reilly called the meeting to order in Open Session with a quorum present. Attorney Miller reported that the Board of Directors had met in Closed Session, as permitted by the Brown Act, to receive a status report and discuss the matters listed above in Item No. 7. No action was taken. With regard to the pending litigation, the Board provided instructions to Attorney Rex Clack of Sterling & Clack.

     
ADJOURNMENT
     
16.
All business having been concluded, the meeting was adjourned at 11:35 a.m., in memory of Thomas Adams, Harry Fogle, Faith Hogue, Shirley Luthman and Vallie Lee Rhodes.
     
     

 

Respectfully submitted,

s/ Janet S. Tarantino
Secretary of the District