05-2012

GOLDEN GATE BRIDGE, HIGHWAY AND TRANSPORTATION DISTRICT

MEMORANDUM OF MINUTES

BOARD OF DIRECTORS MEETING

MARCH 23, 2012

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, March 23, 2012, at 10:00 a.m., President Reilly presiding.

ROLL CALL

Directors Present (15): Directors Arnold, Campos, Cochran, Elsbernd, Fredericks, Mar, Moylan, Pahre, Renée, Sobel, Stroeh and Theriault; Second Vice President Grosboll; First Vice President Eddie; President Reilly

Directors Absent (4): Directors Chu, Rabbitt, Sears and Snyder

Staff Present: General Manager Denis Mulligan; Auditor-Controller Joseph Wire; District Engineer Ewa Bauer; Secretary of the District Janet Tarantino; Attorney David Miller; Attorney Jerry Schaefer; Attorney Molly Kaban; Deputy General Manager/Bridge Division Kary Witt; Deputy General Manager/Ferry Transit Division James Swindler; Acting Deputy General Manager/Administration and Development Ron Downing; Marketing and Communications Director Peter Guthlein; Public Affairs Director Mary Currie; Executive Assistant to the General Manager Amorette Ko; Assistant Clerk of the Board Lona Franklin

Visitors Present: Ray Messier, President of Amalgamated Transit Union Local No. 1575;
Harry Barbier, Barbier Security Service; Evan Barbier, Barbier Security Service

PLEDGE OF ALLEGIANCE

Director Tiffany Renée led the Board of Directors in the Pledge of Allegiance to the Flag.

PUBLIC COMMENT

There was no public comment.

CONSENT CALENDAR

	Attorney David Miller reported that Agenda Item No. 5.B.2., “Claim of Janet Hackett,” has been amended. Directors COCHRAN/MOYLAN moved and seconded to approve the Consent Calendar, as amended. All items were approved by the following vote of the Board of Directors: AYES (14): Directors Arnold, Campos, Cochran, Elsbernd, Fredericks, Moylan, Pahre, Renée, Sobel, Stroeh and Theriault; Second Vice President Grosboll; First Vice President Eddie; President Reilly NOES (0): None ABSENT (5): Directors Chu, Mar, Rabbitt, Sears and Snyder

1.	Approve the Minutes of the Following Meetings
	a.	Building and Operating Committee/Committee of the Whole of February 23, 2012;
	b.	Finance-Auditing Committee/Committee of the Whole of February 23, 2012; and,
	c.	Regular Meeting of the Board of Directors of February 23, 2012. Carried

2.	Denial of Claims
	a.	Claim of Emily Casnocha Carried
	b.	Amended Claim of Janet Hackett Carried
	c.	Claim of James Seidel Carried
	d.	Claim of Sally Bergstein Carried
	e.	Claim of Lakew Kentiba Carried

	f.	Amended Claim of Evelyn L. Guess Carried

GENERAL MANAGER’S REPORT

Presentation of Employees of the Month Award for March 2012, to Bridge Division Employees James Abbott, Bridge Sergeant; Jose Sanchez, Bridge Patrol Officer; and, Tooraj “Tony” Yegan, Bridge Patrol Officer

President Reilly presented the Employees of the Month Award for March 2012, to the following Bridge Division Employees: James Abbott, Bridge Sergeant; Jose Sanchez, Bridge Patrol Officer; and, Tooraj “Tony” Yegan, Bridge Patrol Officer, and expressed her congratulations on behalf of the Board of Directors.

Report of the General Manager

General Manager Denis Mulligan stated that the items contained in the written General Manager’s Report are informational. A copy of the General Manager’s Report is available from the Office of the District Secretary and on the District’s web site.

ATTORNEY’S REPORT

5.	Attorney David Miller reported that all items contained in the written Attorney’s Report are informational. A copy of the Attorney’s Report is available from the Office of the District Secretary and on the District’s web site. Attorney Miller also reported that a Closed Session will be held just prior to the conclusion of this meeting to discuss the following item, listed on the Agenda as Item No. 6.B.1.a., as follows:

	"Closed Session
	"1.	Conference with Labor Negotiator "Pursuant to Government Code Section 54957.6
		"a.	Union Coalition"

	He further stated that the following item, listed on the Agenda as Item No. 6.B.2.a., will not require the Board to convene in Closed Session:
	“Closed Session
	“2.	Conference with Legal Counsel--Potential Litigation “Pursuant to Government Code Section 54956.9(b)(1)
		“a.	Report of Hanson Bridgett LLP “(One Potential Case)”

	Finally, Mr. Miller reported that he had seen a presentation about the building of the Golden Gate Bridge (Bridge), which was given by General Manager Denis Mulligan to a group of individuals who wished to commemorate the 75th Anniversary of the Bridge. He described the presentation as “breath-taking and wonderful.”

ENGINEER’S REPORT

6.	District Engineer Ewa Bauer reported that all items contained in the written Engineer’s Report are informational. A copy of the Engineer’s Report is available from the Office of the District Secretary and on the District’s web site. She reported that the 15th deck unit over the North Anchorage Housing was installed during the nights of March 22 and 23, 2012, and that 27% of the replacement is now complete. Regarding the Doyle Drive Reconstruction Project, Ms. Bauer reported that the District has been in communication with Caltrans and has received assurance that Doyle Drive will remain open during the Golden Gate Bridge 75th Anniversary Celebration.

OTHER REPORTS

7.	There were no “Other Reports” to discuss.

REPORT OF THE BUILDING AND OPERATING COMMITTEE/COMMITTEE OF THE WHOLE, MARCH 22, 2012

8.	Authorize Execution of Change Order Nos. 3, 10 and 71 to Contract No. 2006-B-1, Golden Gate Bridge Seismic Retrofit Phase IIIA, North Anchorage Housing/North Pylon
	a.	Summary of Contract Change Orders by District Engineer
		In response to Directors’ requests, Ms. Bauer provided the following summary of the Contract Change Orders for which approval is requested. She stated that, in September 2011, the Board had been briefed about a delay in constructing Phase IIIA of the Golden Gate Bridge Seismic Retrofit Project (Project) and that staff were engaged in negotiations with the contractor to resolve the issues. She stated that, as a result, a resolution was arrived at that will benefit the construction of the job, and allow the District to add an item of work that is required to be completed as soon as possible. She indicated that $4 million of the Change Order No. 10 value relates to the seismic retrofit of the most northern portion of the North Approach Viaduct. It was determined that modifications to the previous design would be required. The dispute with the original designer was resolved, and the District received $3.5 million in settlement. The Federal Highway Administration evaluated the inclusion of Change Order No. 10 in the Phase IIIA construction and indicated their agreement that this course of action would be the most expeditious and effective way to implement the corrections. She stated that, regarding Change Order No. 3, as previously reported, extensive field measurements and verifications were required. Precise measurements must be made before certain items can be attached to the existing structure, due to their traffic-carrying nature. Enlargement and adjustment of support brackets for the temporary structures that support the existing roadway deck during the bridge deck removal operation was required. Staff negotiated the price of $384,000.00 and determined it is a fair price for materials and labor for this work. Finally, Change Order No. 71 relates to time adjustments to the Contract. Differences of opinion exist between the District and the contractor who caused the delay. As a result of negotiations, the District will waive the liquidated damages, and increase the contract time within which the job must be completed. However, the District will make no additional payment for that time extension. In exchange, the contractor will complete the beam span work within the timeframe of the Phase IIIA retrofit contract. She stated that the settlement is seen as a “win-win” settlement. The biggest advantage is that it settles all claims, clear the slate and restart the contract clock. She concluded by stating that the Project is under budget and that, after considering these three Change Orders and using the $3.5 million received in settlement of claims against the original designer, over $4.3 million remains in the Contingency Fund. Mr. Mulligan added that a release of all claims included in the settlement is advantageous to the project.

	b.	Discussion by the Board
		Discussion ensued, including the following inquiry and comment: Director Theriault inquired as to the nature of the work that must be done. In response, Ms. Bauer stated that workers must extend the seats, tie in between the span of the north viaduct, and modify and expand joints. Lane closures will be required. This method will allow work to be done during the same time that lanes are closed for other purposes, which benefits traffic. Director Stroeh commented that Ms. Bauer and staff deserve congratulations for concluding this item and the related work orders. He recalled the contentiousness and problems associated with similar work at the north end of the Bridge (Phase I construction). He stated that Ms. Bauer pulled all this together and turned the remaining phases of the project into great work. He added that Ms. Bauer has been able to negotiate a great conclusion that is “win-win” for everyone. He concluded by stating that he supports moving forward in the fashion recommended by staff. [Director Mar arrived at this time.] President Reilly commented that the Building and Operating Committee had received an extensive presentation on this topic at its meeting of March 22, 2012. She indicated her feeling that the resolution recommended is excellent.

	c.	Action by the Board Directors EDDIE/STROEH Resolution No. 2012-012 approves actions relative to Contract No. 2006-B-1, Golden Gate Bridge Seismic Retrofit Phase IIIA, North Anchorage Housing/North Pylon, with Shimmick Construction Company, Inc./Obayashi Corporation, a Joint Venture, Hayward, CA, as follows:
		a.	Authorizes execution of Change Order No. 3, in the amount of $384,000.00, for modifications to the North Anchorage Housing Roadway Deck Temporary Structure Support Brackets, with the understanding that requisite funds are available in the FY 11/12 Bridge Division Capital Budget;
		b.	Authorizes execution of Change Order No. 10, in the amount of $4,000,000.00, for seismic retrofit modifications to the Beam Span of the North Approach Viaduct; with the understanding that requisite funds are available in the FY 11/12 Bridge Division Capital Budget; and,
		c.	Authorizes execution of Contract Change Order No. 71, at no cost, for adjustment of the contract completion date and related modifications of contract terms;
		with the understanding that the District has received concurrence by the Federal Highway Administration for this work. Adopted AYES (15): Directors Arnold, Campos, Cochran, Elsbernd, Fredericks, Mar, Moylan, Pahre, Renée, Sobel, Stroeh and Theriault; Second Vice President Grosboll; First Vice President Eddie; President Reilly NOES (0): None ABSENT (4): Directors Chu, Rabbitt, Sears and Snyder

9.	Approve Actions Relative to the Ratification of the Award of an Emergency Contract to Bay Ship & Yacht Co., for Dry-Docking and Repair of the M.S. Sonoma Directors EDDIE/PAHRE Resolution No. 2012-013 ratifies the actions of the General Manager relative to the issuance of an emergency Contract to Bay Ship & Yacht Co., Alameda, CA, in the amount of $198,921.13, for dry docking and repair of the M.S. Sonoma; and, approve a budget transfer from the FY 11/12 Bridge Division Operating Budget to the FY 11/12 Ferry Transit Division Operating Budget, in the amount of $199,000.00, as concurred with by the Finance-Auditing Committee of March 22, 2012; with the understanding that requisite funds are available in the FY 11/12 Bridge Division Operating Budget. Adopted AYES (15): Directors Arnold, Campos, Cochran, Elsbernd, Fredericks, Mar, Moylan, Pahre, Renée, Sobel, Stroeh and Theriault; Second Vice President Grosboll; First Vice President Eddie; President Reilly NOES (0): None ABSENT (4): Directors Chu, Rabbitt, Sears and Snyder

10.	*Authorize Execution of Change Orders to Contract No. 2010-FT-1, Refurbishment of the M.V. Napa and the M.V. Chinook (M.V. Golden Gate) Ferries, with Ice Floe, LC, dba Nichols Brothers Boat Builders* Directors EDDIE/ELSBERND Resolution No. 2012-014 authorizes execution of Change Orders to Contract No. 2010 FT-1, Refurbishment of the M.V. Napa and the M.V. Chinook (M.V. Golden Gate) Ferries, with Ice Floe, LLC, dba Nichols Brothers Boat Builders, in the cumulative amount of $1,195,869.16, to provide for the repair and refurbishment of both vessels, as identified and required by the United States Coast Guard; and, authorized an increase of $700,000.00 in the Contingency Fund to complete the refurbishment of both vessels; with the understanding that requisite funds are available in the FY 11/12 Ferry Transit Division Capital Budget. Adopted AYES (15): Directors Arnold, Campos, Cochran, Elsbernd, Fredericks, Mar, Moylan, Pahre, Renée, Sobel, Stroeh and Theriault; Second Vice President Grosboll; First Vice President Eddie; President Reilly NOES (0): None ABSENT (4): Directors Chu, Rabbitt, Sears and Snyder

11.	*Approve Actions Relative to the Award of Contract No. 2012-FT-9, M.V. Del Norte Ferry Accessibility Improvements, to Bay Ship & Yacht Co. Directors EDDIE/COCHRAN Resolution No. 2012-015 approves actions relative to the award of Contract No. 2012-FT-9, M.V. Del Norte Ferry Accessibility Improvements*, as follows:
	a.	Authorizes the award of Contract No. 2012-FT-9 to Bay Ship & Yacht Co., Alameda, CA, in the amount of $364,779.00;
	b.	Establishes a total project budget in the amount of $303,500.00, to be 100% District funded;
	c.	Establishes a Contingency Fund $58,721.00, to fund unanticipated items that may be discovered once work commences;
	d.	Authorizes the General Manager to issue change orders up to the amount of the Contingency Fund;
	e.	Authorizes a budget transfer from the FY 11/12 Bridge Division Operating Budget, to the FY 11/12 Ferry Transit Division Operating Budget, in the amount of $120,000.00, to fully fund items associated with inspections and regularly scheduled maintenance, as concurred with by the Finance-Auditing Committee, at its meeting of March 22, 2012; and,
	f.	Authorizes a budget increase in the FY 11/12 Ferry Transit Division Capital budget, in the amount of $200,000.00, to be funded from District reserves, as concurred with by the Finance-Auditing Committee, at its meeting of March 22, 2012.

	Adopted AYES (15): Directors Arnold, Campos, Cochran, Elsbernd, Fredericks, Mar, Moylan, Pahre, Renée, Sobel, Stroeh and Theriault; Second Vice President Grosboll; First Vice President Eddie; President Reilly NOES (0): None ABSENT (4): Directors Chu, Rabbitt, Sears and Snyder

12.	Authorize Execution of a Services Agreement with Barbier Security Group Relative to Request for Proposals No. 2012-FT-6, Onboard Security Services for Ferry Transit Service Directors EDDIE/MOYLAN Resolution No. 2012-016 authorizes execution of a Services Agreement with Barbier Security Group, San Rafael, CA, relative to Request for Proposals No. 2012-FT-6, Onboard Security Service for Ferry Transit Service, in the amount of $64,370.00, for a three-year period, effective April 1, 2012, with two successive one-year option terms, exercisable at the discretion of the General Manager of the District, in an amount not to exceed $21,980.00 for Year 4 and $22,765.00 for Year 5, for a total amount not to exceed $109,115.00, for unarmed onboard security services on those District ferries transporting customers to and from the Larkspur Ferry Terminal and AT&T Park for post season, if applicable, and regular season home games of the San Francisco Giants; and that, in addition to the San Francisco Giants baseball team’s home games served by the Golden Gate Ferry, the security services may be provided for other events and assignments; with the understanding that requisite funds are available in the FY 11/12 Ferry Transit Division Operating Budget, and that future years will be budgeted accordingly. Adopted AYES (15): Directors Arnold, Campos, Cochran, Elsbernd, Fredericks, Mar, Moylan, Pahre, Renée, Sobel, Stroeh and Theriault; Second Vice President Grosboll; First Vice President Eddie; President Reilly NOES (0): None ABSENT (4): Directors Chu, Rabbitt, Sears and Snyder

REPORT OF THE FINANCE-AUDITING COMMITTEE/COMMITTEE OF THE WHOLE, MARCH 22, 2012

13.	Authorize Execution of an Agreement between the San Francisco Municipal Transportation Agency and the Golden Gate Bridge, Highway and Transportation District for Ticket Vending Machines Support Services Directors STROEH/COCHRAN Resolution No. 2012-017 authorizes execution of an Agreement with the San Francisco Municipal Transportation Agency, at a total cost not to exceed $450,000.00, to provide data platform support services for the District's ticket vending machines, for the period January 1, 2011, through March 31, 2018; with the understanding that requisite funds are available in the FY 11/12 Ferry Transit Division Operating Budget and that future years will be budgeted accordingly. Adopted AYES (15): Directors Arnold, Campos, Cochran, Elsbernd, Fredericks, Mar, Moylan, Pahre, Renée, Sobel, Stroeh and Theriault; Second Vice President Grosboll; First Vice President Eddie; President Reilly NOES (0): None ABSENT (4): Directors Chu, Rabbitt, Sears and Snyder

14.	Approve Actions Relative to the Implementation of a Demonstration Project Relative to the Management of Passenger Reservations for Special Event Ferry Service to AT&T Park Directors STROEH/MOYLAN Resolution No. 2012-018 authorizes the implementation of a demonstration project for the use of an online system to manage passenger reservations for special event Golden Gate Ferry service to and from the Larkspur Ferry Terminal and AT&T Park during the 2012 San Francisco Giants baseball season, and a charge of $1.00 for a one-way ticket reservation, to cover the costs of implementation, maintenance and administrative costs associated with the operation of the online reservation system. Adopted AYES (15): Directors Arnold, Campos, Cochran, Elsbernd, Fredericks, Mar, Moylan, Pahre, Renée, Sobel, Stroeh and Theriault; Second Vice President Grosboll; First Vice President Eddie; President Reilly NOES (0): None ABSENT (4): Directors Chu, Rabbitt, Sears and Snyder

REPORT OF THE GOVERNMENTAL AFFAIRS AND PUBLIC INFORMATION COMMITTEE/COMMITTEE OF THE WHOLE, MARCH 23, 2012

15.	Authorize Execution of an Agreement with LJH Enterprises, dba The Mobile Gourmet Relative to Request for Proposals No. 2012-FT-5, Mobile Gourmet Food Trucks at the Larkspur Ferry Terminal Directors COCHRAN/EDDIE Resolution No. 2012-019 authorizes execution of an Agreement with LJH Enterprises, dba The Mobile Gourmet, Pleasanton, CA, relative to Request for Proposals 2012-FT-5, Mobile Gourmet Food Trucks at the Larkspur Ferry Terminal, with a guaranteed per-event payment to the District of $100.00, or $300.00 per special event, or 3.5% of gross revenue received, whichever is greater, for a one-year term, with four additional one-year option terms exercisable at the District’s sole discretion; with the understanding that staff will consult with appropriate regulatory agencies concerning this Program. Adopted AYES (15): Directors Arnold, Campos, Cochran, Elsbernd, Fredericks, Mar, Moylan, Pahre, Renée, Sobel, Stroeh and Theriault; Second Vice President Grosboll; First Vice President Eddie; President Reilly NOES (0): None ABSENT (4): Directors Chu, Rabbitt, Sears and Snyder

ADDRESSES TO THE BOARD

16.	There were no “Addresses to the Board” to discuss.

SPECIAL ORDER OF BUSINESS

17.	There was no “Special Order of Business” to discuss.

CLOSED SESSION

18.	Attorney David Miller, at the request of President Reilly, stated that the Board would convene in Closed Session, to discuss the matter listed under Closed Session, outlined above in Item No. 5 and listed on the Agenda as Item No. 6.B.1.a. After Closed Session, President Reilly called the meeting to order in Open Session with a quorum present. Attorney Miller reported that the Board had met in Closed Session, as permitted by the Brown Act, to hear a report from labor negotiators regarding the matter listed above in Item No. 5. He reported that the Board provided direction for the next meeting, which is scheduled to take place on Monday, March 26, 2012. Attorney Miller also reported that, in keeping with Resolution No. 2011-073, regarding benefit modifications for non-represented employees and retirees, which was adopted at the Board meeting of July 22, 2011, at the appropriate time, the General Manager will present a report to the Rules, Policy and Industrial Relations Committee to request that the Board take action to implement an employee premium-sharing component as part of the District’s program of medical benefits. He indicated that changes subsequently adopted by the Board will apply to all non-represented employees, Deputy General Managers, Officers of the District and Board members. No action was taken.

UNFINISHED BUSINESS

19.	There was no “Unfinished Business” to discuss.

NEW BUSINESS

20.	President Reilly reported that, on March 24, 2012, beginning at 11:00 a.m., a memorial service will take place for retired Director Harold C. Brown, Jr. The location will be the Marin Civic Center, 3501 Civic Center Drive, San Rafael, CA 94903. She indicated that doors will open at 10:30 a.m.

COMMUNICATIONS

21.	A copy of Board Agenda Item No. 13, “Communications,” is available from the Office of the District Secretary and on the District’s web site.

ADJOURNMENT

22.	All business having been concluded, the meeting was adjourned at 11:20 a.m., in memory of Amy Belser, Don Denton Porteous, Joyce M. Lile, Malcolm Stroud, Kenneth Daniel Whitfield and Antonio Santiago.

Respectfully submitted,

s/ Janet S. Tarantino
Secretary of the District