Agenda

BOARD OF DIRECTORS MEETING

Thursday, January 5, 2017

CHANGE IN MEETING LOCATION

NOTICE IS HEREBY GIVEN that the Santa Clara Valley Transportation Authority Board of Directors Meeting scheduled for Thursday, January 5, 2017, at 5:30 p.m. has been relocated to VTA’s River Oaks Facility, in the Auditorium, 3331 N. First Street, San Jose.

Tracene Y. Crenshaw, Assistant Board Secretary Office of the Board Secretary

3331 North First Street ∙ San Jose, CA 95134‐1927 ∙ Administration 408.321.5555 ∙ Customer Service 408.321.2300

BOARD OF DIRECTORS MEETING Thursday, January 5, 2017 5:30 PM Board of Supervisors’ Chambers County LOCATION Government Center MEETING CHANGE: 70VTA WestAUDITORIUM Hedding Street San Jose, CA 95110 3331 N. First Street San Jose, CA 95134

AGENDA To help you better understand, follow, and participate in the meeting, the following information is provided: 





Persons wishing to address the Board of Directors on any item on the agenda or not on the agenda are requested to complete a blue card located at the public information table and hand it to the Board Secretary staff prior to the meeting or before the item is heard. Speakers will be called to address the Board when their agenda item(s) arise during the meeting and are asked to limit their comments to 2 minutes. The amount of time allocated to speakers may vary at the Chairperson's discretion depending on the number of speakers and length of the agenda. If presenting handout materials, please provide 25 copies to the Board Secretary for distribution to the Board of Directors. The Consent Agenda items may be voted on in one motion at the beginning of the meeting. The Board may also move regular agenda items on the consent agenda during Orders of the Day. If you wish to discuss any of these items, please request the item be removed from the Consent Agenda by notifying the Board Secretary staff or completing a blue card at the public information table prior to the meeting or prior to the Consent Agenda being heard.

3331 North First Street ∙ San Jose, CA 95134-1927 ∙ Administration 408.321.5555 ∙ Customer Service 408.321.2300

AGENDA BOARD OF DIRECTORS Thursday, January 05, 2017 

Disclosure of Campaign Contributions to Board Members (Government Code Section 84308) In accordance with Government Code Section 84308, no VTA Board Member shall accept, solicit, or direct a contribution of more than $250 from any party, or his or her agent, or from any participant, or his or her agent, while a proceeding involving a license, permit, or other entitlement for use is pending before the agency. Any Board Member who has received a contribution within the preceding 12 months in an amount of more than $250 from a party or from any agent or participant shall disclose that fact on the record of the proceeding and shall not make, participate in making, or in any way attempt to use his or her official position to influence the decision. A party to a proceeding before VTA shall disclose on the record of the proceeding any contribution in an amount of more than $250 made within the preceding 12 months by the party, or his or her agent, to any Board Member. No party, or his or her agent, shall make a contribution of more than $250 to any Board Member during the proceeding and for three months following the date a final decision is rendered by the agency in the proceeding. The foregoing statements are limited in their entirety by the provisions of Section 84308 and parties are urged to consult with their own legal counsel regarding the requirements of the law.



All reports for items on the open meeting agenda are available for review in the Board Secretary’s Office, 3331 North First Street, San Jose, California, (408) 321-5680, the Monday, Tuesday, and Wednesday prior to the meeting. This information is available on our website, www.vta.org, and also at the meeting. Any document distributed less than 72-hours prior to the meeting will also be made available to the public at the time of distribution. Copies of items provided by members of the public at the meeting will be made available following the meeting upon request.

In accordance with the Americans with Disabilities Act (ADA) and Title VI of the Civil Rights Act of 1964, VTA will make reasonable arrangements to ensure meaningful access to its meetings for persons who have disabilities and for persons with limited English proficiency who need translation and interpretation services. Individuals requiring ADA accommodations should notify the Board Secretary’s Office at least 48-hours prior to the meeting. Individuals requiring language assistance should notify the Board Secretary’s Office at least 72-hours prior to the meeting. The Board Secretary may be contacted at (408) 321-5680 or *e-mail: [email protected] or (408) 321-2330 (TTY only). VTA’s home page is on the web at: www.vta.org or visit us on Facebook at: www.facebook.com/scvta. (408) 321-2300: 中文 / Español / 日本語 / 한국어 / tiếng Việt / Tagalog. NOTE: THE BOARD OF DIRECTORS MAY ACCEPT, REJECT OR MODIFY ANY ACTION RECOMMENDED ON THIS AGENDA.

70 West Hedding St., San Jose, California is served by bus lines *61, 62, 66, 181, and Light Rail. (*61 Southbound last trip is at 8:55 pm for this location.) For trip planning information, contact our Customer Service Department at (408) 321-2300 between the hours of 6:00 a.m. to 7:00 p.m. Monday through Friday and 7:30 a.m. to 4:00 p.m. on Saturday. Schedule information is also available on our website, www.vta.org.

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AGENDA BOARD OF DIRECTORS Thursday, January 05, 2017

1.

2.

3.

CALL TO ORDER AND ROLL CALL 1.1.

ADMINISTER OATHS OF OFFICE to newly appointed Board Members.

1.2.

ROLL CALL

1.3.

Orders of the Day

AWARDS AND COMMENDATION 2.1.

INFORMATION ITEM - Recognize Andre Paradela, Information Systems Analyst, River Oaks; Mario Johnson, Bus Dispatcher, Chaboya Operations; Nickson Vidal, Transit Mechanic, Cerone Maintenance; as Employees of the First (1st) Quarter of 2017; and Thuy Montoya, Payroll Support Supervisor, River Oaks as our Supervisor of the First (1st) Quarter of 2017.

2.2.

INFORMATION ITEM - Recognize VTA Community Partner - Family Giving Tree.

2.3.

ACTION ITEM - Adopt the Resolution of Appreciation for outgoing VTA Alternate Board Member Howard Miller.

2.4.

ACTION ITEM - Adopt the Resolution of Appreciation for 2016 VTA Board Chairperson Cindy Chavez.

PUBLIC COMMENT This portion of the meeting is reserved for persons desiring to address the Board of Directors on any item within the Board's jurisdiction. Speakers are limited to 2 minutes. The law does not permit Board action or extended discussion of any item not on the agenda except under special circumstances. If Board action is requested, the matter can be placed on a subsequent agenda. All statements that require a response will be referred to staff for reply in writing.

4.

PUBLIC HEARINGS There are no public hearings.

5.

COMMITTEE REPORTS 5.1.

Citizens Advisory Committee (CAC) Chairperson's Report. (Verbal Report) (Wadler)

5.2.

Policy Advisory Committee (PAC) Chairperson's Report. (Verbal Report) (Carr)

5.3.

Standing Committee Chairpersons' Report. (Verbal Report)

5.4.

Policy Advisory Board Chairpersons' Report. (Verbal Report)

Page 3 of 8


6.

CONSENT AGENDA 6.1.

ACTION ITEM - Approve the Board of Directors Regular Meeting Minutes of December 8, 2016.

6.2.

ACTION ITEM - Adopt a resolution amending the VTA Administrative Code and approve amendments to the Board Rules of Procedure.

6.3.

ACTION ITEM - Ratify the appointments to the Citizens Advisory Committee of: (1) Chris O'Connor, representing the Silicon Valley Leadership Group; and (2) Aneliza Del Pinal, representing Senior Citizens.

6.4.

ACTION ITEM - Ratify appointments to the Bicycle & Pedestrian Advisory Committee for the two-year term ending June 30, 2018.

6.5.

ACTION ITEM - Appoint to the Committee for Transportation Mobility & Accessibility for the four-year term ending December 31, 2020 the following human service organizations: (1) Alzheimer's Association of Northern California & Northern Nevada; and (2) Sourcewise.

6.6.

ACTION ITEM - Approve the One Bay Area Grant Cycle 2 (OBAG 2) program of projects.

6.7.

ACTION ITEM - Review and approve the updated Debt Management Policy. The policy has been updated to address new legislative filing, reporting and other requirements of SB 1029 as well as make other minor adjustments.

6.8.

ACTION ITEM - Authorize the General Manager to execute a contract with Gonzalez, Quintana, Hunter & Cruz, LLC, (GQHC) for state legislative consulting services for a period of five years in the amount of $360,000. The term of the contract will be from February 3, 2017, to February 2, 2022. The fixed monthly retainer will be $6,000 for the entire five-year term of the contract.

6.9.

ACTION ITEM - Authorize the General Manager to approve the award of the Substance Abuse testing contract to Alliance Occupational Medicine and Instant Urgent Care. The contract is for Substance Abuse Testing, Medical Review Officer Services, and Medical Examination Services for three (3) years at a cost up to $673,968, with an option for two (2) one-year extensions priced at up to $224,656 per year, for a total authorization of up to $1,123,280 for a five (5) year contract.

Page 4 of 8


6.10. ACTION ITEM - Authorize the General Manager to approve and execute all documents necessary to convey or assign easement rights or fee title, as applicable, to third party agencies, who will operate and maintain certain facilities and infrastructure constructed as part of Phase 1 of the Silicon Valley Rapid Transit Program (“SVRT”), which includes the Silicon Valley Berryessa Extension (“SVBX”), the Kato Road Grade Separation, the Mission Boulevard and Warren Avenue Grade Separation, and the Freight Railroad Relocation Projects. 6.11. ACTION ITEM - Authorize the General Manager to execute an amendment to VTA’s contract with Universal Protection Services, LP, dba Allied Universal Security Services, increasing the contract amount by $7,589,000, for a new contract amount not to exceed $34,984,000 for the remaining three years of the existing five year agreement (through FY19). 6.12. ACTION ITEM - Authorize the General Manager to execute a contract amendment with WMH Corporation in an amount not-to-exceed $2,200,000 for a not-to-exceed total contract value of $4,844,551 and extend the contract term to December 31, 2018 to complete the Final Design and Right -Of-Way Engineering services for Mathilda Avenue Improvements at SR 237 and US 101 project. 6.13. ACTION ITEM - Receive and declare the results of Measure B as set forth in the Certificates of Election Results for the General Election held on November 8, 2016, pursuant to Elections Code Section 15400. 6.14. ACTION ITEM - 1. Adopt a resolution authorizing the General Manager to execute agreements with the State Board of Equalization to prepare and administer VTA Tax Ordinance No. 2016.01, “An Ordinance of the Santa Clara Valley Transportation Authority Enacting a Transactional Use Tax, Subject to Adoption by the Electorate, Which Tax to Be Administered by the State Board of Equalization,” (also known as the Silicon Valley Transportation Solutions Tax Ordinance) adopted by VTA Board on August 4, 2016; 2. Adopt a separate resolution authorizing the Chief Financial Officer, or other officer or employee of VTA designated in writing by the Chief Financial Officer, and VTA's transaction and use tax auditor, MuniServices, LLC, to examine transaction and use tax records; and 3. Adopt a 2016 Measure B Transportation Improvement Program Fund Operating Budget of $175,000 for Fiscal Year 2017. Note: Motion must be approved by at least 2/3 of the Board (8 members). 6.15. ACTION ITEM - Authorize the General Manager to enter into a contract with ACT Traffic Solutions for up to $1,480,000 to procure equipment and services for implementation of the Transit Signal Priority (TSP) detection upgrades for the light rail corridor. (Deferred from the December 8, 2016, VTA Board of Directors’ Meeting.)

Page 5 of 8


6.16. INFORMATION ITEM - Review and receive the Internal Audit Program's Audit Dashboard on the status of implementation of recommendations issued by the Office of the Auditor General. 6.17. INFORMATION ITEM - Receive the Programmed Projects Quarterly Monitoring Report for July - September 2016. 6.18. INFORMATION ITEM - Receive a presentation on the Core Connectivity Study on emerging mobility strategies. 7.

REGULAR AGENDA Administration and Finance Committee 7.1.

ACTION ITEM - 1) Authorize the General Manager to execute a contract with Mott MacDonald for project management and support services for a period of five years in an amount up to $49 million; and 2) Authorize the General Manager to execute a contract with Hill International for project management and support services for a period of five years in an amount up to $35 million.

7.2.

INFORMATION ITEM - Receive Report on Fare Policy Review.

Board of Directors 7.3.

ACTION ITEM - Approve appointments to Board Standing Committees, Joint Powers Boards, Policy Advisory Boards, and Ad Hoc Committees for 2017.

7.4.

ACTION ITEM - Approve the Draft Transit Service Plan for release to the public for review and comment.

7.5.

ACTION ITEM - Adopt a resolution committing up to $65 million as additional contingency for the Peninsula Corridor Electrification Project from revenues projected to be available from current sales tax measures to help cover potential cost overruns and to ensure the execution of a Full Funding Grant Agreement for the project with the Federal Transit Administration (FTA). Authorize the General Manager or her designee to a execute an agreement with the funding partners that all funding partners equally share in meeting the obligations anticipated in this additional cost overrun contingency. Direct staff to participate as an active partner in the Project Risk Management team, to oversee project implementation and review and approve cost reports, consultant selections, etc. (Revised Language)

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8.

OTHER ITEMS 8.1.

General Manager Report. (Verbal Report) 8.1.A. Receive Government Affairs Update. 8.1.B. INFORMATION ITEM - Receive Silicon Valley Rapid Transit (SVRT) Program Update.

8.2.

Chairperson's Report. (Verbal Report) 8.2.A.

Receive remarks from 2017 Chairperson Jeannie Bruins.

8.3.

ITEMS OF CONCERN AND REFERRAL TO ADMINISTRATION

8.4.

Unapproved Minutes/Summary Reports from VTA Committees, Joint Powers Boards (JPB), and Regional Commissions 8.4.A. VTA Standing Committees 8.4.B.

VTA Advisory Committees

8.4.C. VTA Policy Advisory Boards (PAB) 8.4.D. Joint Powers Boards and Regional Commissions 8.5. 9.

Announcements

CLOSED SESSION 9.1.

Recess to Closed Session A.

Conference with Legal Counsel -- Anticipated Litigation [Significant exposure to litigation pursuant to Government Code Section 54956.9(d)(2)] Number of potential cases: 1

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B.

Conference with Real Property Negotiators [Government Code Section 54956.8] Property: Morgan Hill Caltrain Park and Ride Lot, Morgan Hill, CA (APN: 726-15-069, -070, 071) Agency Negotiator: Ron Golem, Deputy Director, Real Estate & Joint Development Negotiating Parties: Successor Agency to the City of Morgan Hill Redevelopment Agency Under Negotiation: Exercise VTA Right of Refusal to Purchase Portion of Morgan Hill Caltrain Park and Ride Lot

C.

Conference with Labor Negotiators [Government Code Section 54957.6] VTA Designated Representatives: Cindy Chavez, 2016 Board Chairperson Alberto Lara, Director of Business Services Unrepresented Employee: General Manager

9.2.

Reconvene to Open Session

9.3.

Closed Session Report

9.4.

10.

ACTION ITEM - Approve modifications to employment contract with VTA General Manager.

ADJOURN

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2.1

Date: Current Meeting: Board Meeting:

December 7, 2016 January 5, 2017 January 5, 2017

BOARD MEMORANDUM TO:

Santa Clara Valley Transportation Authority Board of Directors

THROUGH:

General Manager, Nuria I. Fernandez

FROM:

Director of Business Services, Alberto Lara

SUBJECT:

Employees and Supervisor of the Quarter for the First (1st) Quarter of 2017 FOR INFORMATION ONLY

BACKGROUND: Employees and Supervisor of the 1st Quarter: Andre Paradela, Information Systems Analyst at River Oaks, is the Administration Award Winner for the 1st Quarter. This March will mark Andre’s 17-year anniversary as a VTA employee. Throughout that time, he has always performed his work with an excellent attitude. Whenever there is a problem with someone’s computer in his building, he always makes himself available and follows up afterward to ensure the problem is resolved. He is often the go-to person for resolving issues that come up in meetings, teleconferences, and webinars. Andre makes working at VTA fast and productive, and the amount of work he does is greatly appreciated. Congratulations to Andre Paradela, Administration Employee of the 1st Quarter. Mario Johnson, Bus Dispatcher at Chaboya Operations, is the Operations Award Winner for the 1st Quarter. For the 29 years Mario has been a VTA employee, he has consistently been a proactive and dedicated employee who comes to work every day with a smile and pleasant demeanor. He is always prepared to reschedule personnel at a moment’s notice to ensure services are covered. Mario is committed to helping other dispatchers by assisting with training and answering any questions they bring to him. He takes the time to guide new operators and ensure they understand their assignments. He is a great asset to the Dispatch Team. Congratulations to Mario Johnson, Operations Employee of the 1st Quarter. Nickson Vidal, Transit Mechanic at Cerone Maintenance, is the Maintenance Award Winner for the 1st Quarter. Throughout his 16 years as a VTA employee, Nickson has always maintained a great attitude towards his job. He has gained a great amount of knowledge from the various positions he has held at VTA and frequently puts it to good use. In his current role at Cerone, he can always be relied upon as a strong contributor to vehicle safety and maintenance. Nickson is 3331 North First Street ∙ San Jose, CA 95134-1927 ∙ Administration 408.321.5555 ∙ Customer Service 408.321.2300

2.1

an excellent team player who is held in great regard by all of his coworkers. He is an exemplary employee who always gives his best effort. Congratulations to Nickson Vidal, Maintenance Employee of the 1st Quarter. Thuy Montoya, Payroll Support Supervisor at River Oaks, is the Supervisory Award Winner for the 1st Quarter. Thuy will have worked for VTA a total of 18 years this May. With each position she has held at VTA, Thuy has consistently excelled in her work duties. Not only does she go above and beyond to handle issues that come her way, but she always maintains a calm and friendly demeanor in the process. In addition to demonstrating effective leadership time and time again, she frequently makes herself available to help her colleagues. Thuy has a great work ethic, displays great professionalism, and is greatly appreciated by those she works with. Congratulations to Thuy Montoya, Supervisor of the 1st Quarter. Prepared By: Office of Diversity and Inclusion Memo No. 5379

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2.2





THROUGH:


FROM:


SUBJECT:

Recognition - Family Giving Tree FOR INFORMATION ONLY

BACKGROUND: VTA remains a committed community partner and actively continues to pursue valued partnerships that enhance the quality of life in Santa Clara County. The Family Giving Tree is currently the largest gift and backpack donation program in California, having served more than one million Bay Area children and individuals in need. The Family Giving Tree is an established, widely respected non-profit organization committed to being of service to those most in need while inspiring the values of kindness, philanthropy, and volunteerism. VTA continues to partner with Family Giving Tree by leading both a Back to School Backpack Drive and a Holiday Wish Drive. VTA donated a total of $2,661.00 and 62 backpacks to the Family Giving Tree’s Back to School backpack drive this past August - a 38% increase in monetary donations from the previous school year. Additionally, VTA looks forward to participating once again in the Holiday Wish Drive this winter by fulfilling the wishes of children who may otherwise be forgotten during the holidays. VTA would like to take this time to recognize Family Giving Tree for being a valued community partner not only to VTA but to the many families in Santa Clara County as well. Together, as community partners, we will continue to strive to serve and enhance the lives of our community members. Prepared By: Elizabeth Jespersen Memo No. 5492


2.3





THROUGH:


FROM:

Board Secretary, Elaine Baltao

SUBJECT:

2016 Outgoing Board Member Resolution

Policy-Related Action: No

Government Code Section 84308 Applies: No

Resolution ACTION ITEM RECOMMENDATION: Adopt the Resolution of Appreciation for outgoing VTA Alternate Board Member Howard Miller. BACKGROUND: VTA benefits from local elected officials willing to serve on the VTA Board of Directors. Serving on the Board requires dedication, time and energy beyond their regular duties as council members. DISCUSSION: The attached resolution express VTA's appreciation for the diligent service of our outgoing board members. Their leadership has enabled VTA to provide transportation services, programs and projects to the residents of Santa Clara County. FISCAL IMPACT: There is no financial impact. Prepared by: Board Office Memo No. 5881


2.3.a

Resolution By the Board of Directors of the Santa Clara Valley Transportation Authority (VTA) a Special District of the State of California relative to commending the Honorable Howard Miller Whereas, Howard Miller is leaving the VTA Board of Directors, having served as an alternate from 2014 to the present, representing the Town of Los Gatos, and the cities of Campbell, Cupertino, Monte Sereno, and Saratoga; and Whereas, as a member of the State Route 85 Corridor Policy Advisory Board in 2015 and 2016, Howard Miller helped develop the State Route 85 Corridor Program category under the 2016 Measure B, which includes funding for new public transit and congestion relief projects, noise abatement, and the study of future transportation alternatives in the West Valley; and Whereas, as an alternate on the Administration & Finance, and Congestion Management Program & Planning Committees, Howard Miller provided vital oversight to ensure VTA’s financial health and the effective administration of VTA’s Congestion Management Program; and Whereas, Howard Miller led many discussions and provided important input on a broad range of policies and programs that improved transportation and mobility across Santa Clara County, while serving as a member of VTA’s Policy Advisory Committee from 2010 through 2016 and as chair of committee in 2014. Now therefore be it resolved, that the VTA Board of Directors hereby commends and expresses its sincerest appreciation to Howard Miller for his exemplary public service; and Be it further resolved, that this resolution is presented with the thanks and good wishes of VTA. Adopted by the VTA Board of Directors this fifth day of January 2017.

_____________________________ Jeannie Bruins, Chairperson Board of Directors Santa Clara Valley Transportation Authority

2.4





THROUGH:


FROM:


SUBJECT:

Board Resolution of Appreciation



ACTION ITEM RECOMMENDATION: Adopt the Resolution of Appreciation for 2016 VTA Board Chairperson Cindy Chavez. BACKGROUND: VTA benefits from local elected officials willing to serve on the VTA Board of Directors. Serving as Board Chairperson requires leadership, dedication, time and energy beyond their regular duties. DISCUSSION: The attached resolution expresses VTA's appreciation for the diligent service of 2016 Board Chairperson Cindy Chavez. Her leadership enabled VTA to provide transportation services, programs and projects to the residents of Santa Clara County. FISCAL IMPACT: There is no fiscal impact. Prepared by: Tracene Y. Crenshaw Memo No. 5843 ATTACHMENTS: 

2.3.a - Chavez Reso

(PDF)



2.3.a - Chavez Reso

(PDF)


2.4.a

Resolution By the Board of Directors of the Santa Clara Valley Transportation Authority (VTA) a Special District of the State of California relative to commending the Honorable Cindy Chavez Whereas, Cindy Chavez is completing her term as the 2016 chairperson of the VTA Board of Directors; and Whereas, as a member of the Ad Hoc Committee-Envision Silicon Valley, Cindy Chavez helped guide VTA’s Envision Silicon Valley process and championed the 30-year, ½-cent, local transportation sales tax known as Measure B, which passed in November 2016 with the support of 71.74 percent of Santa Clara County voters; and Whereas, Cindy Chavez prioritized public transit service to major events at Levi’s and Avaya Stadiums, and her leadership was crucial to VTA successfully carrying 9,500 passengers to and from Super Bowl 50 in February 2016; and Whereas, in partnership with the building and construction trades, Cindy Chavez championed the adoption of VTA’s Community Workforce Agreement Policy in September 2016 to promote careers in the construction industry for underrepresented workers; and Whereas, under Cindy Chavez’s leadership, VTA updated its Joint Development Policy to ensure that 35 percent of new residential units built on VTA properties are affordable to low-income households; and Whereas, as a tireless advocate for increasing opportunities for all members of our community, Cindy Chavez oversaw the expansion of VTA’s Business Diversity Program, which assists certified businesses seeking construction, purchasing and professional services contracts, to include disabled veteran and LGBT business enterprises. Now therefore be it resolved, that the VTA Board of Directors hereby commends and expresses its sincerest appreciation to Cindy Chavez for her exemplary public service as chairperson of the VTA Board of Directors for 2016; and Be it further resolved, that this resolution is presented with the thanks and good wishes of VTA. Adopted by the VTA Board of Directors this fifth day of January 2017.

_____________________________ Jeannie Bruins, Chairperson Board of Directors Santa Clara Valley Transportation Authority

Revised Agenda Item 6.1

BOARD OF DIRECTORS MEETING Thursday, December 8, 2016 MINUTES 1. CALL TO ORDER AND ROLL CALL The Regular Meeting of the Santa Clara Valley Transportation Authority’s (VTA) Board of Directors (Board) was called to order by Chairperson Chavez at 9:05 a.m. in the Board of Supervisors’ Chambers, County Government Center, 70 West Hedding Street, San José, California. 1.1.

ROLL CALL Attendee Name Jason Baker Jeannie Bruins Larry Carr Magdalena Carrasco Cindy Chavez David Cortese Jose E. Esteves Glenn Hendricks Rose Herrera Johnny Khamis Sam Liccardo John McAlister Howard Miller Manh Nguyen Teresa O'Neill Raul Peralez Perry Woodward Ken Yeager

Title Board Member Vice Chairperson Alternate Board Member Board Member Chairperson Alternate Board Member Alternate Board Member Board Member Board Member Board Member Board Member Alternate Board Member Alternate Board Member Board Member Board Member Alternate Board Member Board Member Board Member

Status Present Present Present Present Present Absent Present Absent Present Present Present Present Present Present Present Absent Absent Absent

* Alternates do not serve unless participating as a Member. A quorum was present. Alternate Board Member Esteves arrived at 9:06 a.m. and took his seat. 1.2.

Determine the Board’s Chairperson and Vice Chairperson for Calendar Year 2017 Chairperson Chavez indicated a letter of interest was received by Vice Chairperson Jeannie Bruins to serve as Chairperson for 2017.

3331 North First Street · San Jose, CA 95134-1927 · Administration 408.321.5555 · Customer Service 408.321.2300

MINUTES BOARD OF DIRECTORS Thursday, December 08, 2016

M/S (Liccardo/Herrera) to nominate Jeannie Bruins to serve as Chairperson for 2017. M/S/C (Herrera/Baker) to close nominations and elect Jeannie Bruins as Chairperson for 2017. RESULT: MOVER: SECONDER: AYES: ABSENT:

ADOPTED [UNANIMOUS] – Agenda Item #1.2 Herrera, Board Member Baker, Board Member Baker, Bruins, Carr, Carrasco, Chavez, Esteves, Herrera, Liccardo, Nguyen Khamis, O’Neill, Yeager

Chairperson Chavez indicated a letter of interest was received by Board Member Sam Liccardo to serve as Vice Chairperson for 2017. M/S (Herrera/Baker) to nominate Sam Liccardo to serve as Vice Chairperson for 2017. M/S/C (Herrera/Nguyen) to close nominations and elect Sam Liccardo as Vice Chairperson for 2017. RESULT: MOVER: SECONDER: AYES: ABSENT: 1.3.

ADOPTED [UNANIMOUS] – Agenda Item #1.2 Herrera, Board Member Nguyen, Board Member Baker, Bruins, Carr, Carrasco, Chavez, Esteves, Herrera, Liccardo, Nguyen Khamis, O’Neill, Yeager

Orders of the Day Chairperson Chavez noted staff’s request to defer Agenda Item 6.8., Transit Signal Priority (TSP) Detection Upgrades. She proposed the following changes to the Agenda: 1) hear Agenda Item 7.2., Purchase of 47 Sixty Foot Hybrid Articulated Transit Buses, before Agenda Item 7.1., Fiscal Year 2017 Statement of Revenues and Expenses for the period ending September 30, 2016. Board Member Liccardo requested removing the following items from the Regular Agenda and place on the Consent Agenda: Agenda Item 6.11., 2017 Legislative Program and Agenda Item 6.17., Capitol Light Rail extension, Vasona Light Rail and Airport People Mover Projects.

NOTE: M/S/C MEANS MOTION SECONDED AND CARRIED AND, UNLESS OTHERWISE INDICATED, THE MOTION PASSED UNANIMOUSLY. Page 2 of 19


Board Member Liccardo noted recusal from the following Consent Agenda items: Agenda Item 6.9., Capitol Expressway Light Rail Project - Eastridge Transit Center and Agenda Item 6.10., Interwest Consulting Group Contract. M/S/C (Herrera/Bruins) to approve the Orders of the Day. RESULT: MOVER: SECONDER: AYES: ABSENT:

ADOPTED [UNANIMOUS] – Agenda Item #1.2 Herrera, Board Member Bruins, Vice Chairperson Baker, Bruins, Carr, Carrasco, Chavez, Esteves, Herrera, Liccardo, Nguyen Khamis, O’Neill, Yeager

2. AWARDS AND COMMENDATION Board Member O’Neill arrived at 9:11 a.m. and took her seat. 2.1.

Resolutions of Commendation for Retiring Employees Chairperson Chavez recognized the following retirees for their distinguished public service with VTA: Dean Palmquist, Light Rail Technical Training Supervisor, for 36 years of service; and Michael Vargas, Coach Operator, for 31 years of service. The following retiree was unable to attend, but was recognized for his distinguished public service with VTA: Victor Munoz, Overhaul and Repair Mechanic, for 38 years of service. Board Member Khamis arrived at the meeting at 9:11 a.m. and took his seat.

2.2.

Recognition - 3 Million Safe Miles over 36 years Chairperson Chavez recognized and presented an award to Robert Lopez, Bus Operator at Chaboya Division, for driving 3 Million Safe Miles over 36 years.

2.3.

Resolutions of Commendation for Congressman Mike Honda and Assemblymember Nora Campos M/S/C (Herrera/Liccardo) to adopt Resolution of Commendation No. 2016.12.33 for Congressman Mike Honda; and Resolution of Commendation No. 2016.12.34 for Assemblymember Nora Campos.

RESULT: MOVER: SECONDER: AYES: ABSENT:

ADOPTED [UNANIMOUS] – Agenda Item #2.3 Herrera, Board Member Liccardo, Board Member Baker, Bruins, Carr, Carrasco, Chavez, Esteves, Herrera, Khamis, Liccardo, Nguyen, O’Neill Yeager Page 3 of 19


2.4.

Resolutions of Commendation for Carl Guardino and Ben Field Carl Guardino, CEO, Silicon Valley Leadership Group (SVLG) thanked VTA Board and staff for their commitment to traffic relief in the Bay Area and for their work on 2016 Measure B. He introduced several members of his staff and thanked them for their work and commitment. Ben Field, Executive Officer, South Bay AFL-CIO Labor Council, thanked the Board for its leadership and acknowledged Mr. Guardino and his team for their efforts. Public Comment Andrew Boone, Interested Citizen, congratulated VTA and Mr. Guardino. He noted members of the Sierra Club shared their view of 2016 Measure B projects that may cause harm to the environment and questioned if there are opportunities for trip reduction that do not call for highway expansion. Tessa Woodmansee, Interested Citizen, expressed concern with highway expansion, noting the priority should be mass transit and expressed the need for an El Camino Bus Rapid Transit (BRT) middle lane option. Roland Lebrun, Interested Citizen, noted it was a grass roots effort that ensured the passing of 2016 Measure B and thanked all parties involved. M/S/C (Herrera/Liccardo) to adopt Resolution of Commendation No. 2016.12.35 for Carl Guardino, CEO, Silicon Valley Leadership Group; and Resolution of Commendation No. 2016.12.36 for Ben Field, Executive Officer of the South Bay AFL-CIO Labor Council, for their work in support of Measure B.

RESULT: MOVER: SECONDER: AYES: ABSENT: 2.5.

ADOPTED [UNANIMOUS] – Agenda Item #2.4 Herrera, Board Member Liccardo, Board Member Baker, Bruins, Carr, Carrasco, Chavez, Esteves, Herrera, Khamis, Liccardo, Nguyen, O’Neill Yeager

Resolutions of Appreciation for Outgoing VTA Board Members Vice Chairperson Bruins recognized and thanked the following outgoing Board Members for their work and years of service on the Board: Board Member Baker, Alternate Board Member Esteves, Board Member Herrera, Board Member Nguyen, and Board Member Woodward. She also thanked Chairperson Chavez for her leadership in 2016. Chairperson Chavez thanked the Board for their work during the year. She acknowledged Mr. Guardino and team for their work and execution of the 2016 Measure B campaign. She thanked staff for all of their hard work and ability to excel.

Page 4 of 19


Board Member Herrera addressed the Board noting her appreciation for being allowed to serve on the Board and expressed appreciation for being able to contribute to moving 2016 Measure B forward. She thanked Nuria I. Fernandez, General Manager, for her vision and leadership. M/S/C (Chavez/Carrasco) to adopt Resolution of Appreciation No. 2016.12.37 for Jason Baker; Resolution of Appreciation No. 2016.12.38 for Jose Esteves; Resolution of Appreciation No. 2016.12.39 for Rose Herrera; Resolution of Appreciation No. 2016.12.40 for Manh Nguyen; and Resolution of Appreciation No. 2016.12.41 for Perry Woodward. RESULT: MOVER: SECONDER: AYES: ABSENT:

ADOPTED [UNANIMOUS] – Agenda Item #2.5 Chavez, Board Chairperson Carrasco, Board Member Baker, Bruins, Carr, Carrasco, Chavez, Esteves, Herrera, Khamis, Liccardo, Nguyen, O’Neill Yeager

3. PUBLIC COMMENT Mr. Guardino thanked the Board and Chairperson Chavez for collaborating to ensure the passage of the 2016 Measure B. He invited the Board to join him at the Santa Run Silicon Valley event on December 18, 2016. Bill Ashby, Interested Citizen, expressed difficulty encountered with reserving a paratransit ride and wanted to ensure it did not happen to anyone else. David Hirsch, Interested Citizen, congratulated the Board on 2016 Measure B. He questioned how he can get a copy of what is said at the meeting and noted he would like to speak with someone regarding operations. Tiffany Rodriguez, Assistant Manager of Transportation Solutions, San Jose State University (SJSU) expressed opposition to the $3.00 surcharge on Clipper and expressed concern with the possibility of future increases and requested VTA take the students’ needs into consideration when making their decision. Tari Hunter, Executive Director for Students, SJSU, expressed concern with the $3.00 charge for Clipper Card, noting some students cannot afford it especially with the potential tuition increase. Christina Cortes, Director of Business Affairs for Associated Students, SJSU, expressed concern with the unfairness of a fee increase when costs are already high in Silicon Valley. Nick Danty, Interested Citizen, expressed concern with the $3.00 increase for Clipper Card fee and students being responsible for paying the additional fee given their financial vulnerability.

Page 5 of 19


Luis Hernandez, Director of Community and Sustainability for Associated Students, SJSU, expressed concern with the $3.00 Clipper Card fee increase possibly causing a financial burden to students and stressed the Board to help alleviate any financial stress by absorbing the fee. Ms. Woodmansee thanked SJSU students for being involved. She expressed the need for the following: 1) El Camino BRT; 2) transit and bicycle lanes along the El Camino; and 3) free transit. Mr. Boone expressed agreement with SJSU students and noted the following: 1) need to approve El Camino BRT center lane; and 2) improvements needed along Santa Clara Street for pedestrians and bicyclists to make it a complete street. Chairperson Chavez noted the issue of the Clipper Card will be addressed by the full Board in January 2017 and requested staff contact speakers to ensure they are aware.

4. PUBLIC HEARINGS There were no Public Hearings.

5. COMMITTEE REPORTS 5.1.

Citizens Advisory Committee (CAC) Chairperson's Report Herman Wadler, Citizens Advisory Committee (CAC) Chairperson, provided a brief overview of the December 7, 2016, CAC Regular Meeting, noting the following: 1) committee discussion on the VTA Strategic Plan and the recommendation for adding measurable goals to evaluate the plans success; and 2) his re-election to serve as Chairperson for 2017 and the re-election of Sharon Fredlund as Vice Chair for 2017. He thanked Chairperson Chavez and Vice Chairperson Bruins for taking the time to meet with the Advisory Committee chairpersons.

5.2.

Policy Advisory Committee (PAC) Chairperson's Report Chairperson Chavez indicated the Policy Advisory Committee Report was located in the Board Members’ reading folders and on the Public Table.

5.3.

Standing Committee Chairpersons' Report There were no Standing Committee Chairperson’s Reports.

5.4.

Policy Advisory Board Chairpersons' Report There were no Policy Advisory Board Chairpersons’ Reports.

6. CONSENT AGENDA 6.1.

Regular Meeting Minutes of November 3, 2016 M/S/C (Herrera/Bruins) to approve the Regular Meeting Minutes of November 3, 2016. Page 6 of 19


6.2.

Workshop/Special Meeting Minutes of November 18, 2016 M/S/C (Herrera/Bruins) to approve the Workshop/Special Meeting Minutes of November 18, 2016.

6.3.

Committee for Transit Accessibility Appointments M/S/C (Herrera/Bruins) to appoint to the Committee for Transit Accessibility for the twoyear term ending December 31, 2018: (1) Melba Holliday; (2) Cheryl Hewitt; and (3) the San Andreas Regional Center.

6.4.

VTA Administrative Code, Board Rules of Procedure, and bylaws for the Committee for Transit Accessibility M/S/C (Herrera/Bruins) to adopt Resolution No. 2016.12.42 amending the VTA Administrative Code, Board Rules of Procedure, and bylaws for the Committee for Transit Accessibility.

6.5.

Comprehensive Annual Financial Report (CAFR) M/S/C (Herrera/Bruins) to review and receive the audited Comprehensive Annual Financial Report (CAFR) for the Santa Clara Valley Transportation Authority (VTA), and Financial Reports for the Amalgamated Transit Union (ATU) Pension Plan and Retirees’ Other Post- Employment Benefits (OPEB) (both referred to as Trusts) for Fiscal Year 2016.

6.6.

FY 2017 Internal Audit Work Plan M/S/C (Herrera/Bruins) to approve amending the FY 2017 Internal Audit Work Plan to add three new projects, defer two, and define the specific purpose and scope of one placeholder project.

6.7.

VTA's Updated Strategic Plan M/S/C (Herrera/Bruins) to adopt VTA's updated Strategic Plan.

6.8.

(Deferred to the January 5, 2017 Board of Directors Regular Meeting) Authorize the General Manager to enter into a contract with ACT Traffic Solutions for up to $1,480,000 to procure equipment and services for implementation of the Transit Signal Priority (TSP) detection upgrades for the light rail corridor.

6.9.

Capitol Expressway Light Rail Project - Eastridge Transit Center M/S/C (Herrera/Bruins) on a vote of 10 ayes to 0 noes and 1 recusal to authorize the General Manager to amend Contract C12093, Capitol Expressway Light Rail Project Eastridge Transit Center and Bus Improvements contract with Graniterock Company dba Pavex Construction Division in an amount of $3,000,000 increasing the total authorized contract amount to $21,094,247 for additional alterations to an existing building to accommodate paratransit operations. Board Member Liccardo recused. Page 7 of 19


6.10.

Interwest Consulting Group Contract M/S/C (Herrera/Bruins) on a vote of 10 ayes to 0 noes and 1 recusal to authorize the General Manager to negotiate and execute a contract with Interwest Consulting Group to provide real property right of way program management and acquisition services for VTA, for a contract term of five years and a value not to exceed $7,000,000. The contract will have an option for an additional five year term, at a value not to exceed $7,000,000 for the option term. The specific task orders issued under the contract will be funded in accordance with approved budgets for the relevant capital projects requiring the contracted services. Board Member Liccardo recused.

6.11.

(Removed from the Consent Agenda and placed on the Regular Agenda.) Approve the 2017 Legislative Program for the Santa Clara Valley Transportation Authority (VTA).

6.12.

Metering of I-680 On-Ramps M/S/C (Herrera/Bruins) to receive an update on the metering of I-680 on-ramps between King Road in San Jose to Scott Creek Road at the Alameda County Line.

6.13.

January 2, 2017 Transit Service Changes M/S/C (Herrera/Bruins) to receive a report on the January 2, 2017 Transit Service Changes.

6.14.

Santa Clara County Transportation Fund for Clean Air (TFCA) Program Manager Fund projects M/S/C (Herrera/Bruins) to review the status of ongoing Santa Clara County Transportation Fund for Clean Air (TFCA) Program Manager Fund projects.

6.15. Santa Clara County Vehicle Registration Fee activity M/S/C (Herrera/Bruins) to review the status of ongoing Santa Clara County Vehicle Registration Fee activity. 6.16.

Bicycle Expenditure Program (BEP) M/S/C (Herrera/Bruins) to receive a status update on the Bicycle Expenditure Program (BEP).

6.17.

(Removed from the Consent Agenda and placed on the Regular Agenda.) Receive an update status on Capitol Light Rail extension, Vasona Light Rail and Airport People Mover projects.

Page 8 of 19


6.18.

Vasona Light Rail Corridor Project M/S/C (Herrera/Bruins) to receive information on the Vasona Light Rail Corridor Project.

6.19.

Equal Employment Opportunity (EEO) Program M/S/C (Herrera/Bruins) to receive an Equal Employment Opportunity (EEO) Program status update.

6.20.

Development Review Quarterly Report for July to September 2016 M/S/C (Herrera/Bruins) to receive the Development Review Quarterly Report for July to September 2016.

RESULT: MOVER: SECONDER: AYES: ABSENT: RESULT: MOVER: SECONDER: AYES: ABSENT: RECUSAL:

APPROVED [UNANIMOUS] – Consent Agenda – Items #6.1 – 6.7; 6.12 – 6.16; 6.18 – 6.20 Herrera, Board Member Bruins, Vice Chairperson Baker, Bruins, Carr, Carrasco, Chavez, Esteves, Herrera, Khamis, Liccardo, Nguyen, O’Neill Yeager APPROVED – Consent Agenda – Items #6.9 – 6.10 Herrera, Board Member Bruins, Vice Chairperson Baker, Bruins, Carr, Carrasco, Chavez, Esteves, Herrera, Khamis, Nguyen, O’Neill Yeager Liccardo

7. REGULAR AGENDA 7.2.

Purchase of 47 Sixty Foot Hybrid Articulated Transit Buses M/S/C (Liccardo/Baker) to authorize the General Manager to execute a contract with New Flyer Industries in the amount of $50,558,203 for the purchase of 47 sixty foot hybrid articulated transit buses and related support, along with the option to purchase an additional eight (8) sixty foot articulated buses for service to future BART stations and other service needs in the amount of $1,075,706 per bus plus the applicable Producer Price Index (PPI).

Page 9 of 19



ADOPTED [UNANIMOUS] – Agenda Item #7.2 Liccardo, Board Member Baker, Board Member Baker, Bruins, Carr, Carrasco, Chavez, Esteves, Herrera, Khamis, Liccardo, Nguyen, O’Neill Yeager

Fiscal Year 2017 Statement of Revenues and Expenses for the period ending September 30, 2016 Raj Srinath, Chief Financial Officer, and Carol Lawson, Fiscal Resources Manager provided a brief overview of the report and a presentation, highlighting: 1) FY17 Revenues; 2) FY17 Expenses; and FY18 FY19 outlook. Board Member Liccardo expressed concern with utilizing the sales tax stabilization fund during a year when sales tax has grown and stressed the need to fix the structural problem. He stressed the need to remain conservative because revenues are so heavily dependent on sales tax. Ms. Fernandez indicated the forecast is based on actuals as the new biennial budget is developed. She noted one of the largest contributors to sales tax is business-to-business transactions and those have slowed down. Board Member Herrera commented on the work done by the Financial Recovery Committee in 2008 to put the reserve funds in place. She requested staff to address one-time and ongoing needs. She admonished staff to be careful with projections based on sales tax and suggested seeking out other revenue sources. Chairperson Chavez thanked staff for bringing the item forward. She recommended the following: 1) staff show how projections are done; 2) staff explain options so the Board can decide which way to proceed; 3) present a Next Network concept that is cost-neutral and the concept recommended by staff; 4) a discussion on policy and farebox recovery; 5) staff provide information on the ridership policy; and 6) staff provide status on reserves. Public Comment Mr. Boone expressed concern with dependence on sales tax and suggested a tax be placed on gas to discourage driving and encourage alternatives. Ms. Woodmansee expressed concern with the cost of travelling greater distances being less costly than riding a shorter distance if a transfer is involved and suggested making it more equitable and affordable.

Page 10 of 19


Board Member Liccardo addressed Mr. Boone’s suggestion, noting VTA is preempted under law from increasing the gas tax. M/S/C (Herrera/Baker) to review and accept the Fiscal Year 2017 Statement of Revenues and Expenses for the period ending September 30, 2016 with direction given by the Board. RESULT: MOVER: SECONDER: AYES: ABSENT: 6.11

APPROVED [UNANIMOUS] – Agenda Item #7.2 Herrera, Board Member Baker, Board Member Baker, Bruins, Carr, Carrasco, Chavez, Esteves, Herrera, Khamis, Liccardo, Nguyen, O’Neill Yeager

2017 Legislative Program Board Member Liccardo requested adding two potential elements to the legislative program: 1) work with Senator Jim Beall on the identification of a pilot project for an autonomous only vehicle lane: and 2) an alternative to Regional Measure 3 (RM3) for a funding measure in 2018 to lift sales tax cap. Chairperson Chavez requested staff consider lobby partnerships and think about new strategies for engaging at the federal level. She expressed the need for staff to have the flexibility to hire who is needed. M/S/C (Liccardo/Herrera) to approve the 2017 Legislative Program for the Santa Clara Valley Transportation Authority (VTA) with recommended additions, as amended.

6.17

Capitol Light Rail extension, Vasona Light Rail and Airport People Mover Projects Board Member Liccardo requested the scope of the Airport People Mover include potential autonomous vehicle only corridor. Board Member Herrera indicated the item was heard at the Congestion Management Program and Planning (CMPP) Committee and noted whatever investment made is one that works which people will utilize. On order of Chairperson Chavez and there being no objection, the Board received an update status on Capitol Light Rail extension, Vasona Light Rail and Airport People Mover projects.

8. OTHER ITEMS 8.1.

General Manager Report Ms. Fernandez thanked staff for their hard work on 2016 Measure B and executive team for delivering goals and providing leadership. Page 11 of 19


Ms. Fernandez provided a report highlighting several major milestones completed in 2016, including: 

Envision Silicon Valley process which helped build a broad network and allowed people to have input into the process of getting 2016 Measure B passed by nearly 72 percent



Super Bowl 50 efforts with staff helping move more than 9,500 people



VTA’s BART Silicon Valley Berryessa Extension project which is ahead of schedule and under budget



Numerous awards received including being the first transportation agency in the U.S. to include Lesbian Gay Bisexual Transgender (LGBT) and Veterans businesses in the Minority and Women Owned Business Enterprise (MBWE) program



40 Years of Service recognition celebration



Several employee diversity events and workforce development efforts



VTA Strategic Plan adoption to help simplify decision making

Ms. Fernandez provided information on ridership noting the decrease for the year and opportunities for enhancement of the system through the Next Network. Ms. Fernandez announced several upcoming events, including: 

Toys for Tots Stuff the Bus event on Saturday December 10, 2016, from 9:00 am 5:00 pm



Holiday tree lighting on December 16, 2016, from 5:00 pm -7:00 pm at the Alum Rock Santa Clara BRT Program office



Free New Year’s Eve service on Saturday, December 31, 2016, from 8:00 pm through 5:00 a.m. Sunday, January 1, 2017

Ms. Fernandez provided an update on the brand refresh, noting the new logo will be on buses starting in January 2017. Ms. Fernandez noted the security update was located in the Board Members’ reading folder and on the public table. Board Member Herrera thanked Ms. Fernandez and VTA staff for their work during her service on the Board.

Page 12 of 19


Public Comment Mr. Boone expressed concern with travel time, costs with transferring and any future cuts to bus service. Ms. Woodmansee expressed concern with ridership numbers. She expressed concern with device used for signaling wheelchair ramp deployment and the need for investment in rapid transit. Mr. Lebrun expressed disappointment with nothing being in the media regarding the Super Bowl 50 travel because there were no incidents. He noted those responsible should be rewarded. 8.1.A. Alum Rock/Santa Clara Bus Rapid Transit Project Activities George Rios, Independent Administrator of Small Business Sustainability Project, noted the project is complete. He provided a brief report on the applications and the outcome. Board Members thanked Mr. Rios for working with the Board and the community. Public Comment Mr. Boone expressed appreciation for the implementation of BRT, noting the moderate amount of investment to slash riding time for riders versus spending more money to expand highways that cuts car travel by a few minutes. He requested staff approve bus only lanes for El Camino BRT. Ms. Woodmansee expressed the need for a dedicated lanes option for El Camino BRT. On Order of Chairperson Chavez and there being no objection, the Committee received an update on Alum Rock/Santa Clara Bus Rapid Transit Project activities including the Small Business Sustainability Program. 8.1.B. Silicon Valley Rapid Transit (SVRT) Program Update Carolyn Gonot, Interim Director, Planning and Program Development, provided a presentation, highlighting: 1) SVRT progress; 2) Berryessa Extension cost summary; and 3) Berryessa Extension summary schedule. A video was presented to show the project’s progress. Board Member Liccardo left the meeting at 11:10 a.m. Public Comment Mr. Boone expressed appreciation for BART to Berryessa, noting the improvement for transit in the Bay Area. He expressed concern with costs and the Santa Clara BART station. Page 13 of 19


8.1.C. Implementation of Measure B Scott Haywood, Transportation Planning Manager, provided a presentation, highlighting: 1) Results from the election; 2) Project categories and amounts; 3) Measure B program office; 4) Measure B work plan; 5) Other policy items; and 6) Schedule. A video regarding the Strategic Plan was presented. Chairperson Chavez requested when city staff has met that the staff input get shared with elected officials; 2) decision making with VTA staff be given to city staff and elected officials so that everyone understands timelines. Member Baker requested staff distribute information in real time as much as possible. Public Comment Mr. Lebrun suggested an alternate way of implementing BART in Santa Clara be considered to save money. Mr. Boone expressed concern with damages to the environment due to some Measure B projects. He suggested the following: 1) stronger complete streets policies; 2) decrease in funds for highway services; and 3) looking at ways to decrease congestion. Ms. Woodmansee expressed concern with limited bike and pedestrian projects. 8.1.D. Placemat of VTA’s Next Network Plan, Paratransit Request for Proposal (RFP) Process, Biennial Budget Process, and Fare Policy Update Chris Augenstein, Deputy Director, Planning and Jim Unites, Transit Planning Manager, provided an overview of the placemat of VTA’s: 1) Next Network Plan; 2) Paratransit RFP Process; 3) Biennial Budget Process; and 4) Fare Policy Update. Chairperson Chavez requested staff to continue to update the placemat and place it on the web. Upon inquiry of Alternate Board Member Carr, Mr. Unites indicated the draft service plan will include the 85/15 plan and the public comment period will be January 2017 – March 2017. Board Member Khamis left the meeting at 11:36 a.m. Public Comment Penny Ellson, Interested Citizen, expressed concern with decreased service in Palo Alto under the Next Network plan, noting services for affordable and senior housing were placed in areas based on the availability of VTA services. Page 14 of 19


Jim Landowski, Interested Citizen, expressed concern with wait times for bus service. He suggested changes to the system that would allow buses to travel as fast as cars, eliminate schedule and list bus frequency. On Order of Chairperson Chavez and there being no objection the Committee received the General Manager’s Report. 8.2.

Chairperson's Report Chairperson Chavez provided a brief report, noting: 1) meeting with VTA advisory chairs which resulted in the following recommendations: 1) Board memos will indicate what committees it has gone through, public as well; 2) Board orientation will be made available to all committees; and 3) committee chairpersons will review the summary of the committee reports in the memos before they are placed on the Board agendas to ensure what the committee intended is presented. 8.2.A

VTA Board of Directors Meeting Schedule for Calendar Year 2017 M/S/C (Bruins/O’Neill) to approve the VTA Board of Directors Meeting Schedule for calendar year 2017.


APPROVED [UNANIMOUS] – Agenda Item #8.2.A Bruins, Vice Chairperson O’Neill, Board Member Baker, Bruins, Carr, Carrasco, Chavez, Esteves, Herrera, Nguyen, O’Neill Khamis, Liccardo, Yeager

Items of Concern and Referral to Administration There were no Items of Concern and Referral to Administration.

8.4.

Unapproved Minutes/Summary Reports from VTA Committees, Joint Powers Boards (JPB), and Regional Commissions 8.4.A. VTA Standing Committees 

Governance and Audit Committee – The November 3, 2016, Minutes were accepted as contained in the Agenda Packet.



Silicon Valley Rapid Transit Program Working Committee (SVRT PWC) – There was no report.



Congestion Management Program & Planning (CMPP) Committee – The November 20, 2016, Minutes were accepted as contained on the dais.

Page 15 of 19




Administration & Finance (A&F) Committee – The November 20, 2016, Cancellation Notice was accepted as contained in the Agenda Packet.



Transit Planning & Operations (TP&O) Committee – The November 3, 2016, Minutes were accepted as contained in the Agenda Packet.

8.4.B. VTA Advisory Committees 

Committee for Transit Accessibility (CTA) – There was no report.



Citizens Advisory Committee (CAC) and 2000 Measure A Citizens Watchdog Committee (CWC) – The November 10, 2016, Minutes were accepted as contained in the Agenda Packet.



Bicycle & Pedestrian Advisory Committee (BPAC) – The November 10, 2016, Minutes were accepted as contained in the Agenda Packet.



Technical Advisory Committee (TAC) – The November 11, 2016, Minutes were accepted as contained in the Agenda Packet.



Policy Advisory Committee (PAC) – The November 11, 2016, Minutes were accepted as contained in the Agenda Packet.

8.4.C. VTA Policy Advisory Boards (PAB) 

Downtown East Valley PAB – There was no report.



Diridon Station Joint PAB – There was no report.



El Camino Real Rapid Transit PAB – There was no report.



State Route 85 Corridor PAB – The November 21, 2016 Cancellation Notice was accepted as contained in the Agenda Packet.

8.4.D. Joint Powers Boards and Regional Commissions 

Caltrain Peninsula Corridor Joint Powers Board – The November 3, 2016, Summary Notes were accepted as contained on the dais.



Capitol Corridor Joint Powers Authority – The December 1, 2016 Summary Notes were accepted as contained on the dais.



Dumbarton Rail Corridor Policy Committee – There was no report.



Metropolitan Transportation Commission (MTC) – There was no report.



Sunol Smart Carpool Lane Joint Powers Authority – There was no report. Page 16 of 19


 8.5.

SR 152 Mobility Partnership – There was no report.

ANNOUNCEMENTS There were no Announcements.

9. CLOSED SESSION 9.1.

Recessed to Closed Session at 11:43 a.m. A. Public Employee Performance Evaluation [Government Code Section 54957] Title: General Manager B. Conference with Labor Negotiators [Government Code Section 54957.6] VTA Designated Representatives: Cindy Chavez, Board Chairperson Alberto Lara, Director of Business Services Unrepresented Employee: General Manager C. Public Employee Performance Evaluation [Government Code Section 54957] Title: General Counsel D. Conference with Labor Negotiators [Government Code Section 54957.6] VTA Designated Representatives: Cindy Chavez, Board Chairperson Alberto Lara, Director of Business Services Unrepresented Employee: General Counsel

9.2.

Reconvened to Open Session at 11:54 a.m.

9.3.

Closed Session Report A. Public Employee Performance Evaluation [Government Code Section 54957] Title: General Manager Robert Fabela, General Counsel, noted no reportable action was taken during Closed Session. Page 17 of 19


B. Conference with Labor Negotiators [Government Code Section 54957.6] VTA Designated Representatives: Cindy Chavez, Board Chairperson Alberto Lara, Director of Business Services Unrepresented Employee: General Manager Mr. Fabela noted no reportable action was taken during Closed Session. C. Public Employee Performance Evaluation [Government Code Section 54957] Title: General Counsel Mr. Fabela noted no reportable action was taken during Closed Session. D. Conference with Labor Negotiators [Government Code Section 54957.6] VTA Designated Representatives: Cindy Chavez, Board Chairperson Alberto Lara, Director of Business Services Unrepresented Employee: General Counsel Mr. Fabela noted no reportable action was taken during Closed Session. 9.4

Fourth Amendment to the Employment Agreement for the General Manager M/S/C (Herrera/Baker) to approve modifications to employment for the contract with the VTA General Manager, including a 3% increase in salary. The Board designated Chairperson Chavez to work with outside counsel regarding contract extension.

9.5

Fourth Amendment to the Employment Agreement for the General Counsel M/S/C (Herrera/Baker) to approve the recommendation of the Evaluation Committee and adopt a fourth amendment to the employment contract between Santa Clara Valley Transportation Authority (VTA) and General Counsel Robert Fabela. The amendment provides for 10 days of additional paid time off in lieu of a salary increase.

Page 18 of 19


10.

ADJOURNMENT On order of Chairperson Chavez and there being no objection, the meeting was adjourned at 11:57 a.m.

Respectfully submitted,

Menominee L. McCarter, Board Assistant VTA Office of the Board Secretary

Page 19 of 19

6.1 MINUTES BOARD OF DIRECTORS Thursday, December 08, 2016 RESULT: MOVER: SECONDER: AYES: ABSENT:

9.5.

ADOPTED [UNANIMOUS] Rose Herrera, Board Member Jason Baker, Board Member Baker, Bruins, Carr, Carrasco, Chavez, Esteves, Herrera, Nguyen, O'Neill Khamis, Liccardo, Yeager

M/S/C (Herrera/Baker) to approve the recommendation of the Evaluation Committee and adopt a fourth amendment to the employment contract between Santa Clara Valley Transportation Authority (VTA) and General Counsel Robert Fabela. The amendment provides for 10 days of additional paid time off in lieu of a salary increase.

RESULT: AYES: ABSENT:

ADOPTED [UNANIMOUS] Baker, Bruins, Carr, Carrasco, Chavez, Esteves, Herrera, Nguyen, O'Neill Khamis, Liccardo, Yeager

10.ADJOURN On order of Chairperson Chavez and there being no objection, the meeting was adjourned at 11:57 a.m. Respectfully submitted,


Page 20 of 20

6.2





THROUGH:


FROM:


SUBJECT:

Amendments to the VTA Administrative Code and Board Rules of Procedure

Policy-Related Action: Yes


Resolution ACTION ITEM RECOMMENDATION: Adopt a resolution amending the VTA Administrative Code and approve amendments to the Board Rules of Procedure. BACKGROUND: The VTA Administrative Code (“Admin Code”) prescribes the governance, administrative and financial provisions of VTA including the powers and duties of officers, the method of appointment of its governing board, committees and employees, and the methods, procedures, and systems for the operation and management of the organization. It is the rulebook established by the Board defining how VTA is structured and how it conducts its business. The Board Rules of Procedure (“Rules of Procedure” or “ROP”) govern the conduct of meetings of the Board of Directors and its standing committees. They are established by, derive from, and must be consistent with the Admin Code. Whereas the Admin Code is the rulebook for all aspects of the organization, the Rules of Procedure focus solely on the conduct of VTA Board and standing committee meetings, serving, in effect, as the bylaws for those meetings. Substantive amendments to the Admin Code requires adoption of a resolution of the VTA Board of Directors specifying the changes. Substantive amendments to the Rules of Procedure requires approval by the Governance & Audit Committee.


6.2

DISCUSSION: Changes are continually implemented to VTA and its Board and committee meetings to more efficiently or effectively conduct the organization’s business or to respond to changing conditions. Submitted for Board consideration are a small number of proposed modifications to the VTA Administrative Code (Attachment A) and Board Rules of Procedure (Attachment B). They are relatively minor and primarily ministerial in nature. The most substantive of the recommended modifications to both documents are: A.

Codify and enhance the safety and security duties currently performed by the Transit Planning & Operations (TP&O) Board standing committee and rename it the Safety, Security, and Transit Planning & Operations Committee (SSTPO). [Admin Code §2-40; Page A2; ROP §9.4, Page B3] The TP&O Committee currently reviews and provides input and perspective on system safety and security matters. However, the proposed changes would both formalize the current practice while establishing enhanced emphasis and focused attention, including on performance objectives, monitoring and reporting. Also, industry best practice is to have a committee with some governing board membership that focuses on safety and security issues, planning and performance monitoring. The proposed changes accomplish this. Further, the California Public Utilities Commission (CPUC) will likely soon require that VTA and similar organizations have a formal safety committee in place and operating.

B.

Increase the membership of the Capital Projects Oversight Committee (CPOC) Board standing committee from five to six Board members. [Admin Code §2-36, Page A1; ROP §9.1.1, Page B2] This change would allow for appointment of one Board member from each of the six City/County Groups as defined in the Administrative Code. This would result in comprehensive geographic coverage of the county and also provide the opportunity for localized input and perspective from a Board member or members representing the specific area of the county affected or impacted by the project.

C.

Clarify the process for Board members, VTA staff or members of the public to request either that an item on the Consent Agenda be considered and acted upon separately or that they be able to make public comment on the subject item prior to taking action on the item as part of the Consent Agenda. [ROP §4.4, Page B1]

If approved by the Board, the changes would take effect immediately. Full implementation would be achieved later in the Board’s January 5, 2017 agenda when Chairperson Bruins recommends for Board approval appointments to its standing committees. This action will include recommending six members to the Capital Projects Oversight Committee as well as the members for the enhanced Safety, Security, and Transit Planning & Operations Committee.

Page 2 of 3

6.2

ALTERNATIVES: The Board could choose to reject or modify any of the recommended modifications. FISCAL IMPACT: There is no significant financial impact associated with these modifications. STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Governance & Audit Committee did not meet in December 2016 nor is scheduled to during January 2017. Due to this, this item is being forwarded for Board consideration without Governance & Audit Committee review or recommendation. Prepared by: Stephen Flynn, Advisory Committee Coordinator Memo No. 5930

Page 3 of 3

6.2.a

VTA Administrative Code (Sections with Proposed Amendments Shown)

… Article IV Standing Committees Sec. 2-36. Appointments. At the first meeting in January, the Board shall approve the members and chairpersons of all standing committees of the Board based on recommendations for these positions provided by the Board Chairperson. The term of each appointment shall be for one year. The membership of each committee shall consist of four Directors except for: (A) Governance & Audit Committee, which shall consist of five Directors; and (B) Capital Projects Oversight Committee, which shall consist of six Directors. five Directors each. The membership of the Governance & Audit Committee shall consist of:    

Board Chairperson Board Vice Chairperson Chairperson, Administration & Finance Committee Chairperson, Congestion Management Program & Planning Committee



Chairperson, Safety, Security, and Transit Planning & Operations Committee

The Board Chairperson and Vice Chairperson shall also serve as the chairperson and vice chairperson, respectively, of the Governance & Audit Committee. The membership of the Capital Projects Oversight Committee shall consist of six Directors, one from each of the six City/County Groups as specified in Sec. 2-13, as practical. For each committee, not more than two of its members shall come from the same City Grouping. The Governance & Audit Committee shall not have alternate members, due to its membership comprised of specified Board and Standing Committee leadership positions. In addition, the Board Chairperson and Vice Chairperson may not concurrently serve as chairperson of any of the following Board standing committees: (1) Administration & Finance; (2) Congestion Management Program & Planning; or (3) Safety, Security, and Transit Planning & Operations.

…

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6.2.a

Sec. 2-40. Standing committees established. The standing committees of the Board and their general duties are as follows: (a) Administration and Finance Committee. The Administration and Finance Committee shall review and recommend to the Board policy decisions pertaining to the general administration and financial management of VTA. (b) Safety, Security, and Transit Planning and Operations Committee. The Safety, Security, and Transit Planning and Operations Committee shall review and recommend to the Board policy decisions pertaining to system safety and security planning, monitoring and reporting transit planning, transit capital projects, transit operations and marketing. (c) Congestion Management Program and Planning Committee. The Congestion Management Program and Planning Committee shall review and recommend to the Board policy decisions pertaining to the congestion management program and the development of the countywide transportation plan for Santa Clara County. (d) Governance & Audit Committee. The Governance & Audit Committee shall focus on the management and coordination of the Board of Directors to assist that body with efficiently guiding the organization in an efficient and effective manner to best accomplish VTA’s strategic objectives. It shall review and recommend to the Board policy decisions pertaining to Board and organizational goal setting and prioritization, strategic initiative framework development, budget development, and Board and committee processes. Furthermore, it shall oversee the activities of the VTA Auditor General function and recommend to the Board policy decisions required to fulfill the Board’s oversight responsibilities for: (1) the integrity of VTA financial statements; (2) compliance with legal and regulatory requirements; and (3) assuring an effective system of internal management and financial controls. (e) Capital Projects Oversight Committee. The Capital Projects Oversight Committee (CPOC) shall review and recommend to the Board policy decisions pertaining to the activities and imminent issues of VTA capital projects with major resource, multi-jurisdictional coordination, public perception and/or community impact factors. The Capital Projects Oversight Committee provides focused oversight to promote the efficient delivery of quality major transportation projects safely, on time, within scope and budget, while minimizing community impact. The specific duties and areas of responsibility for each Board standing committee shall be set forth in the Board’s Rules of Procedure.

…

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6.2.b

RULES OF PROCEDURE of the SANTA CLARA VALLEY TRANSPORTATION AUTHORITY (VTA) BOARD OF DIRECTORS (Sections with Proposed Amendments Shown)

… Article IV ORDER OF BOARD BUSINESS; AGENDAS; MEETING NOTICES §4.4

Consent AgendaCalendar

The Consent AgendaCalendar s hall consist of matters requiring Board action that are either: (A) routine in nature; (B) such that staff comment is not appropriate or necessary; or (C) have previously been discussed by the Board or in committee and appear on the Agenda for final action only. Each standing committee makes a recommended placement for each item it considers on either the Board’s Regular or Consent Agenda.Calendar. During Orders of the Day or Aat the presentation of the Consent AgendaCalendar, any member of the Board or any member of the staff or the public may request of the Chairperson that an item or items listed on the Consent Agenda Calendar be considered and acted upon separately. Each such request will be granted, or alternatively, the Chair may allow the requesting Board member or member of the public to make public comment on the subject item prior to taking action on the Consent Agenda. All items removed from the Consent Agenda and the item(s) will be heard separately and acted upon by the Board of Directors after completion of consideration of all items on the Regular Agenda, as provided under Section 4.1. All items listed on the Consent Agenda,Calendar, except those removed from the calendar for separate action, shall be acted upon by a single motion, and as part of Orders of the Day, as provided under Section 4.1. …

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6.2.b

Article IX BOARD STANDING COMMITTEES …

§9.1.1

Appointment; Vice Chairperson; Alternates

The Board Chairperson shall nominate and the Board shall appoint at the first meeting of the calendar year the members and chairperson of all standing committees of the Board. The membership of each committee shall consist of four voting Board members, except for: (A) the Governance & Audit Committee, which shall consist of five members as specified; and (B) Capital Projects Oversight Committee, which shall consist of six members, one from each City/County group where practical. Ex-Officio Board members are ineligible to serve on standing committees. Not more than two members of each standing committee shall come from the same city grouping. The term of each appointment shall be for one year. The Board Chairperson and Vice Chairperson, while serving in those positions, shall not concurrently serve as chairperson of any of the following standing committees: Administration & Finance Committee; Congestion Management Program & Planning Committee; or Safety, Security, & Transit Planning & Operations Committee. Alternates may not be appointed to serve on Board standing committees. Instead, if a standing committee member is absent from all or a portion of a standing committee meeting, the alternate for that City/County group shall be seated and vote in the place of the absent member. Each alternate shall have only one vote even though the alternate may be entitled to represent more than one absent Board member. An alternate shall be counted as part of the committee quorum only when seated in the place of an absent member. When not serving in place of the absent member, the alternate is a member of the public and accordingly shall sit with the audience and follow the procedures for the public to address the committee. The Governance & Audit Committee shall have no alternate members. At the first meeting of the calendar year, each standing committee, except for Governance & Audit, shall elect from its membership a vice chairperson; the Board Vice Chairperson shall serve as the vice chairperson of the Governance & Audit Committee. The vice chairperson performs the duties of the chairperson in the event of the chairperson’s absence or inability to act, and while so acting, has all of the authority of the chairperson. The vice chairperson position serves a one-year term coinciding with the calendar year. The vice chairperson is eligible for election to multiple and successive terms and only members, not alternates, are eligible to serve. The term of office shall commence immediately following the vote. …

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6.2.b

§9.4

Standing Committees Established

The standing committees of the Board and their duties are as follows: … Safety, Security, and Transit Planning and Operations (SSTPO) Committee shall review and recommend to the Board policy decisions relative to transit planning, transit capital projects and transit operations and marketing. Specific areas of responsibility include, but are not limited to:              

System safety and security program development System safety and security monitoring and reporting System safety and security performance objectives Performance objectives for transit services Bus route planning and ridership monitoring Service levels and standards Paratransit programs development Vehicle design and procurement Planning and implementation of marketing efforts Community relations and public outreach Transit grant development, advocacy and implementation Progress of rail corridor engineering and construction programs Short Range Transportation Plan (SRTP) Transit capital improvement program …

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6.2.c

Resolution No.__________

RESOLUTION OF THE SANTA CLARA VALLEY TRANSPORTATION AUTHORITY (VTA) BOARD OF DIRECTORS AMENDING SECTIONS OF THE VTA ADMINISTRATIVE CODE AND BOARD RULES OF PROCEDURE

WHEREAS, the VTA Administrative Code is the governing document for the organization established by the VTA Board of Directors as required by VTA’s enabling legislation; WHEREAS, the Administrative Code prescribes the powers and duties of VTA officers and directors, the method of appointment of VTA employees, and the methods, procedures, and systems for the operation and management of the VTA; WHEREAS, the Board Rules of Procedure govern the conduct of VTA Board and standing committees meetings, serving, in effect, as the bylaws; WHEREAS, the Rules of Procedure are established by and must be consistent with the Administrative Code; WHEREAS, changes are continually implemented to VTA and to Board and committee meetings in order to more efficiently or effectively conduct the organization’s business or to respond to changing conditions; WHEREAS, it is both important and in VTA’s best interest to realistically portray the organization’s current approved practices and provisions in both the Administrative Code and Board Rules of Procedure in order to both encourage and be able to enforce compliance; WHEREAS, it is important that the specific responsibility to provide focused attention on and monitor the safety and security of VTA’s system, passengers, staff and facilities be assigned to a Board standing committees; WHEREAS, it is in the public’s best interest that these responsibilities be codified as part of the committee’s permanent duties, and that the committee’s name be modified to reflect the additional specific duties and focused attention; WHEREAS, it is advantageous that the membership structure of the Capital Projects Oversight Committee (CPOC) be increased from five to six Board members, thus allowing for representation by one Board member from each of the six City/County groups;

6.2.c

NOW, THEREFORE, BE IT RESOLVED, that the Board of Directors of the Santa Clara Valley Transportation Authority does hereby: 1. Amend the VTA Administrative Code, effective January 5, 2017, with modifications as set forth in Attachment A hereto, to Sections: 2-36 and 2-40. 2. Amend the Board Rules of Procedures, effective January 5, 2017, with modifications as set forth in Attachment B hereto, to Sections: 4.4; 9.1.1; 9.2; and 9.4. PASSED AND ADOPTED by the Board of Directors of the Santa Clara Valley Transportation Authority on January 5, 2017 by the following vote: AYES: NOES: ABSENT:

______________________________ Jeannie Bruins, Chairperson Board of Directors

ATTEST:

Elaine Baltao, Secretary Board of Directors

APPROVED AS TO FORM:

Robert Fabela General Counsel

6.3





THROUGH:


FROM:


SUBJECT:

Citizens Advisory Committee Appointments



ACTION ITEM RECOMMENDATION: Ratify the appointments to the Citizens Advisory Committee of: (1) Chris O'Connor, representing the Silicon Valley Leadership Group; and (2) Aneliza Del Pinal, representing Senior Citizens. BACKGROUND: The Citizens Advisory Committee (CAC) is a 17-member committee representing the residents of the various city/county groupings of the VTA Board of Directors, as well as specified community stakeholder groups with an interest in transportation. The CAC advises the Board and VTA administration on issues impacting the communities and organizations they represent. It also serves in two other functions: (1) as the ballot-specified Citizens Watchdog Committee for the 2000 Measure A Transit Improvement Program; and (2) as the 2008 Measure D ballotspecified advisory body that reviews and comments on VTA’s comprehensive transit program as part of the countywide transportation plan. The CAC bylaws require that a committee member must be a resident of Santa Clara County while on the committee and cannot concurrently hold elected public office. Committee members cannot be VTA staff or employed by a city they represent. The committee membership term is indefinite, with CAC members serving until resignation or replacement by their appointing organization or the VTA Board.


6.3

The process to fill CAC vacancies, as defined by the bylaws, is that member agencies, specified business and labor groups, and specified community interests positions nominate representatives for their respective membership positions. For select Community Interests positions, VTA’s Administration & Finance Committee appoints one member per position from nominations submitted by advocacy groups or received at-large. In all cases, the Governance & Audit Committee must ratify the appointment. DISCUSSION: The VTA Administrative Code establishes the membership of the CAC. One of the five positions in the Business & Labor section represents and is appointed by the Silicon Valley Leadership Group (SVLG). One of six positions in the Community Interests section represents senior citizens and is appointed by Sourcewise (formerly Council on Aging - Silicon Valley). The SVLG has appointed Chris O’Connor to serve as its representative on the CAC, filling the vacancy created when its previous representative, Bena Chang, resigned to accept other employment. Mr. O’Connor is the Senior Director for Transportation Policy for the Silicon Valley Leadership Group. In this role he works with both public and private stakeholders throughout the region to shape decision-making related to transportation infrastructure, housing development and related funding initiatives. Mostly recently, Mr. O’Connor was a key member in the SVLG’s leadership effort that resulted in passage of 2016 Measure B. Mr. O’Connor’s expertise and experience in community relations, intergovernmental affairs and public policy is extensive. Before joining the Leadership Group, Mr. O’Connor lived in Washington D.C. and served as a Senior Consultant for the U.S. Department of State’s Bureau of International Security and Nonproliferation. Prior to the State Department, he served on the staff of California Congressman Dan Lungren, managing a diverse policy portfolio while working in both the Washington D.C. and Sacramento County Offices. Mr. O’Connor, who lives in San José, is a native Northern Californian. He earned a Bachelors and Master’s degree in Government from CSU Sacramento. Sourcewise has appointed Aneliza Del Pinal to serve as the representative for senior citizens on the CAC, replacing Sourcewise CEO Steven Schmoll who had to vacate the position due to schedule challenges. Ms. Del Pinal, a San José resident, serves as the Public Relations Director for Sourcewise, where she has worked since 2014. Her career began in Guatemala, working as a Marketing Director for Inforpress Centroamericana, a non-profit organization that analyzed economic, political, and social events in Central America. Since returning to the United States, Ms. Del Pinal has held several leadership roles, including Executive Store Team Leader for Target Corporation and Vice President of Operations for Newpane. Her previous civic and community involvement includes planning and coordinating volunteers

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for events such as: Sacramento Valley Aids Walk; Run to Feed the Hungry; and the Target Library Makeover Project. Since moving to Santa Clara County, Ms. Del Pinal has enjoyed volunteering at local events and charities through the One Brick organization. In addition, she serves on the planning committees for The Alzheimer’s Association Latino Caregiver Conference and The Rose, White, and Blue Parade. Based on their qualifications, experience and community involvement, staff recommends that the Board ratify the appointments of both individuals to the CAC. ALTERNATIVES: The Board could choose to not ratify either or both of the appointments, and instead ask the respective appointing authority to nominate another individual to represent it. FISCAL IMPACT: There is no fiscal impact as a result of this action. STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Governance & Audit Committee did not meet in December 2016 nor is scheduled to during January 2017. Due to this, this item is being forwarded for Board consideration without Governance & Audit Committee review or recommendation. Prepared by: Stephen Flynn, Advisory Committee Coordinator Memo No. 5901

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6.4





THROUGH:


FROM:


SUBJECT:

Ratification of Appointments to the Bicycle & Pedestrian Advisory Committee



ACTION ITEM RECOMMENDATION: Ratify appointments to the Bicycle & Pedestrian Advisory Committee for the two-year term ending June 30, 2018. BACKGROUND: The Bicycle & Pedestrian Advisory Committee (BPAC) advises the VTA Board of Directors on planning and funding for bicycle and pedestrian projects and issues. The BPAC consists of 16 voting members, one appointed by each of VTA’s Member Agencies (the 15 cities in the county and the County of Santa Clara), and one non-voting member and alternate appointed by the Silicon Valley Bicycle Coalition (SVBC). The BPAC also serves as the countywide bicycle and pedestrian advisory committee for the County of Santa Clara. The BPAC bylaws specify that the appointment term is two years and that members may be appointed to successive terms. Committee members must live, work or both in Santa Clara County during their term. Voting members of the Committee must also be a representative of the Member Agency’s local bicycle advisory committee or, for Member Agencies without a local bicycle advisory committee, their representative must be an individual who lives or works in the local jurisdiction and is interested in bicycle or pedestrian issues. BPAC members are precluded from representing a Member Agency that is their employer.


6.4

The process to fill BPAC vacancies is that staff notifies the appointing authority of the vacancy or approaching term expiration and provides the current membership requirements. The appointing authority then appoints one member for the designated membership position. For vacancies occurring mid-term, the bylaws specify that they be filled for the remainder of the term by the appointing authority. In both cases, the VTA Board must ratify the appointment. DISCUSSION: The County of Santa Clara has appointed Herman Wadler as its new representative on the BPAC, replacing Mila Zelkha who resigned due to schedule challenges. Mr. Wadler is a veteran member of the BPAC, having served as the City of Campbell’s representative for 13 years. His tenure on this committee includes serving one term each as chairperson and vice chairperson. In addition to his service on the BPAC, he has served for six years as the representative for bicyclists and pedestrians on VTA’s Citizens Advisory Committee, having been appointed by the BPAC from its membership. He is the 2017 CAC chairperson, having served in the same role for 2016. In late 2016, Mr. Wadler’s term on the Campbell BPAC expired. At the same time, he was appointed by the County of Santa Clara to serve on the County Roads Commission. He was then subsequently appointed as the County’s representative to the VTA BPAC. Mr. Wadler is an active cyclist. He is also a League of American Bicyclists League Cycling Instructor, teaching older adults who have never ridden how to safely ride a bike. Mr. Wadler is a member in good standing, has served both the BPAC and Board well, and is eligible for appointment/reappointment. The City of Morgan Hill has appointed Bill Haskell as its new representative on the BPAC, filling the vacant position resulting from its last representative, Mary Seehafer, relocating out of area. Mr. Haskell has lived in Santa Clara County since 1982 and in Morgan Hill since 2004. He has worked most of his career in the high tech sector for large, medium and startup companies. He began his career as a Systems Engineer, then followed that with project management. In addition, he has done teaching, property management, budgeting and finance, web design and multimedia editing. Mr. Haskell earned a Bachelor’s Degree in Electronic Engineering and a Master’s Degrees in Cybernetics & System Science, Education and business (MBA). His civic and community service is extensive. It includes participation in the Leadership Morgan Hill program, where, upon graduation, he joined that organization’s board of directors. He also serves on the Parks and Recreation Commission, has been a regular volunteer for Wildlife Education and Rehabilitation Center, and previously served on Morgan Hill’s Library, Culture and Arts Commission. Prior to these volunteer activities, he was involved with the Future Farmers of America and Habitat for Humanity as well as various education-related organizations over the years. Mr. Haskell is a regular bicyclist and avid walker/hiker. He has bicycled for pleasure, fitness

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and transportation including a commute from Berkeley to San Francisco, a portion of which was accomplished on public transit. Based on their qualifications, expertise and proven service to VTA and their communities, staff recommends that the Board ratify the appointment of Mr. Wadler and Mr. Haskell. ALTERNATIVES: The Board could choose to not ratify either or both of these appointments and request that the appointing authority appoint other representatives. FISCAL IMPACT: There is no fiscal impact as a result of this action. STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Governance & Audit Committee did not meet in December 2016 nor is scheduled to during January 2017. Due to this, this item is being forwarded for Board consideration without Governance & Audit Committee review or recommendation. Prepared by: Stephen Flynn, Advisory Committee Coordinator Memo No. 5813

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6.5





THROUGH:


FROM:


SUBJECT:

Appointments to the Committee for Transportation Mobility & Accessibility



ACTION ITEM RECOMMENDATION: Appoint to the Committee for Transportation Mobility & Accessibility for the four-year term ending December 31, 2020 the following human service organizations: (1) Alzheimer's Association of Northern California & Northern Nevada; and (2) Sourcewise. BACKGROUND: VTA’s five advisory committees provide input, perspective and technical expertise on proposed changes to VTA policy or priorities potentially impacting transit service and transportation projects throughout the county. The Committee for Transportation Mobility & Accessibility (CTMA) advises the Board of Directors on bus and rail system accessibility issues, paratransit service, and transportation accessibility matters in Santa Clara County. The committee has 17 voting and two ex-officio, non-voting members. The voting membership consists of seven seniors/individuals with disabilities, seven representatives of human service organizations serving older adults or persons with disabilities, and three representatives from either category. The CTMA bylaws define that appointments from either membership category are taken from applications or nominations received from the community at-large. Members serve a four-year term that commences on January 1st and are eligible for reappointment to successive terms. Members from the seniors/individuals with disabilities category must reside within the county during their term.


6.5

All CTMA membership applications are evaluated by a panel comprised of: (1) Committee Staff Liaison; (2) Advisory Committee Coordinator; and (3) Committee Chairperson. The evaluation process includes a review of the candidate’s qualifications, evaluation of the organization’s ability to meaningfully represent and facilitate communication their constituencies, and an interview of the individual or a representative of the candidate organization. Effort are made to ensure all specific regional areas of the county and all major disabilities affecting mobility are represented. The panel then recommends the candidate that, in its collective estimation, would best serve the Committee, Board and community. All membership appointments to the CTMA require approval of the Governance & Audit Committee. DISCUSSION: Both the Alzheimer’s Association Northern California & Northern Nevada (AA-NC&NN) and Sourcewise have requested to serve as human service organizations on the CTMA. The Alzheimer’s Association is the world’s leading voluntary health organization in Alzheimer’s care, support and research. The Alzheimer’s Association works on a global, national and local level to enhance care and support for all those affected by Alzheimer’s and other dementias. The Alzheimer’s Association Northern California & Northern Nevada (AA-NC&NN) is the local chapter of the Alzheimer’s Association. AA-NC&NN is a community-based non-profit service organization founded in Menlo Park in 1981. It has grown to include eleven offices across two states since its founding. It serves thousands of individuals and families coping with all forms of dementia with its 24/7 helpline, offers one-on-one care consultations, maintains more than 150 support groups, and provides Family Care Specialists to assist with care planning and managing challenging situations. Sourcewise, formerly known as the Council on Aging Silicon Valley, is a non-profit organization that has provided services and support to seniors in Santa Clara County since 1973. Headquartered in San Jose, its mission is to provide seniors in the county and their caregivers with the tools, information and services they need to effectively navigate their health and life options. Sourcewise collaborates with the County of Santa Clara, state, and local networks to provide a streamlined, coordinated approach to service and support systems, striving to create a community-based system of care that crosses city boundaries, income levels, geography, and special interests. These services allow for personal choices and encourage continued independence of seniors. To evaluate the candidate organizations, in December 2016 the review panel assessed the qualifications and conducted a group interview of the candidate organizations. Based on their qualifications, service to the community, ability to facilitate bi-directional communication with their stakeholder groups, and interest in transit and transportation issues, it was the panel’s unanimous conclusion that both candidate organizations would well-serve the CTMA, Board and community. As such, the panel recommends their appointment to the CTMA for the four-year term ending December 31, 2020.

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ALTERNATIVES: The Board could choose to not appoint either or both of these human services organizations. FISCAL IMPACT: There is no fiscal impact as a result of this action. STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Governance & Audit Committee did not meet in December 2016 nor is scheduled to during January 2017. Due to this, this item is being forwarded for Board consideration without Governance & Audit Committee review or recommendation. Prepared by: Stephen Flynn, Advisory Committee Coordinator Memo No. 5796

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6.6





THROUGH:


FROM:

Interim Director - Planning & Program Development, Carolyn M. Gonot

SUBJECT:

One Bay Area Grant Cycle 2 - Program of Projects



ACTION ITEM RECOMMENDATION: Approve the One Bay Area Grant Cycle 2 (OBAG 2) program of projects. BACKGROUND: The VTA Board of Directors adopted the process and criteria for allocation of One Bay Area Grant Cycle 2 (OBAG 2) program funds to cities, the County, and VTA on May 5, 2016. As explained below, the OBAG funds are programmed in two ways: a guarantee distribution program, the Agency Guarantee Program; and, a competitive award process, the Countywide Competitive Complete Streets Program. In turn, these programs are funded with Federal FY 2018-2022 Surface Transportation Block Grant Program (STBGP) funds and Congestion Mitigation and Air Quality (CMAQ) funds. Attachment A shows VTA's OBAG 2 program structure in graphic form, with program amounts updated to include the recently adopted Fixing America's Surface Transportation (FAST) act funds. DISCUSSION: Agency Guarantee Program: Road Rehabilitation Guarantee: As shown in Attachment A, the Board’s OBAG 2 Agency Guarantee Program structure provides $28.6 million to the cities and towns for road rehabilitation and repair, using MTC’s OBAG 2 formula to determine each agency’s share. The OBAG 2 formula is based on population, projected housing construction, and actual past housing construction. Each agency determines how it will spend its OBAG 2 Agency Guarantee Program share on road rehabilitation and sends its list and supporting documentation to VTA


6.6

staff. Attachment B provides the list of Agency Guarantee Program projects that VTA staff recommends to the Board for approval. Countywide Competitive Complete Streets Program: The Countywide Competitive Complete Streets Program is funded with a mix of STBGP and CMAQ funds, shown on Attachment A. Projects must either be located either in, or directly serve a Priority Development Area (PDA). PDAs are locations defined by the cities and towns and approved by the Association of Bay Area Governments for more intense development around high frequency transit services. As shown in the following table, approximately $48 million is available to the VTA Board to award for projects. Amount $53,946,500 ($4,350,000) ($5,000,000) $3,440,000 $48,036,500

Purpose Initial Countywide Competitive Complete Streets Program Amount March 2016 Award to Palo Alto Adobe Creek Bridge project May 2016 award to County Expressways rehabilitation program Unused OBAG 1 Funds Total Available for January 2017 Award

In May 2016, VTA staff released the OBAG 2 call-for-projects. A total of 27 projects were submitted, requesting more than $73 million in grant funds. The Competitive Scoring Process On October 2, 2008, the VTA Board of Directors adopted a policy requiring all competitive grant applications to be reviewed and ranked by a scoring committee drawn from the VTA Technical Advisory Committee’s (TAC) Capital Improvement Program Working Group (CIPWG) Scoring Committee, unless otherwise determined by the VTA Board. All of VTA’s member agencies are included in CIPWG, however per VTA Board policy, scoring committee participation is voluntary. No agency may have more than one representative, the minimum size is 3, and the maximum is 10. In addition, scoring committee members may not score their own project to avoid conflict. VTA requested participation on the OBAG 2 scoring committee from all member agencies. Staff from Campbell, San Jose, Santa Clara and Sunnyvale agreed to participate. The CIPWG scoring committee met in August, 2016 to evaluate and rank the applications using the VTA Board-adopted criteria shown on Attachment C. Attachment D presents the scored and ranked list of competitive projects submitted for consideration. In addition to considering the ranking of each project, staff has considered the best approach to incentivize prompt project delivery to ensure completion of projects that are funded. Historically, progress on the previous OBAG 1 program of projects has been slow. In fact, to date, approximately 67% of OBAG 1 projects have been delayed, re-scoped and/or altogether abandoned. Many of these projects were in their very early stages when they were originally programmed. In reviewing the ranked projects in Attachment D, Staff has noted that many of these projects are also in their very early stages.

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In light of the above, VTA staff recommends the following:  The VTA Board approve the programming of funds to projects scoring 70 points or more.  The Board approve the programming of funds to only the following pre-construction phases at this time: Environmental, Design, and Right-of-Way. If a project sponsor has requested construction funding only, VTA staff does recommend the Board approve programming funding for the construction phase now.  The Board approve the balance of the OBAG 2 program funding be placed into a project construction reserve.  The Board approve future programming of construction funding to partially funded OBAG 2 projects upon timely completion of pre-construction phases, to be programmed on a first-come, first-served basis.  The Board require that all projects obtain Federal authorization to proceed in the fiscal year that funds are programmed in the Federal Transportation Improvement Program (TIP) and that project funding not authorized by the end of that fiscal year revert to the VTA Board for reprogramming.  The VTA Board require that all project sponsors with federal pre-construction phase programming complete those phases within two years of Federal authorization to proceed; otherwise, VTA’s construction funding commitment will expire, and the funds held in reserve for that project will revert to the VTA Board for reprogramming. 

The VTA Board authorize staff to make exceptions to the above deadlines based on action or non-action by the Federal Government.

These staff recommendations are incorporated into the “Recommended Amount” column on Attachment D and brief project descriptions are presented in Attachment E. ALTERNATIVES: The Board may select alternative projects and/or alternative programming strategies. FISCAL IMPACT: This action prioritizes Federal programming for Congestion Management Program Member Agency projects. Only funds programmed to VTA for its own projects will flow to VTA. The budget impacts of those projects will be addressed in a separate memorandum. The Member Agencies will obtain their funding through Caltrans. If adopted as proposed, $10,900,000 will be made available for future VTA Congestion Management Program budgets covering fiscal years 2018 through 2022. ADVISORY COMMITTEE DISCUSSION/RECOMMENDATION: The Citizens Advisory Committee (CAC), Bicycle and Pedestrian Advisory Committee (BPAC), Technical Advisory and Policy Advisory Committees received presentations and discussed this

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item as part of their December 7 and 8, 2016 agendas. The CAC unanimously recommended VTA Board approval. The BPAC received public comment and engaged an extended discussion with regards to project #14, the San Tomas Aquino Creek Trail Bypass. The Committee and public were concerned that need for the project is generated by periodic closures of the existing San Tomas Aquino Creek trail during selected Levi's Stadium events. The Committee unanimously adopted a recommendation that VTA Board fund projects through Score 69, omitting the San Tomas Aquino Creek trail. The TAC discussed and ultimately endorsed the VTA staff recommendation with one member dissenting. A motion to have the VTA Board guarantee full funding for all recommended projects was considered, but failed. The PAC discussed and unanimously recommended approval of the item. Several PAC members requested consideration of geographic equity in future OBAG discretionary cycles, and the Chair requested an analysis by TAC of the degree to which the current criteria favor projects in the larger cities. STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Congestion Management Program & Planning Committee (CMPP) discussed this item at its December 15, 2016 meeting and unanimously recommended Board approval. The Committee requested a report on OBAG 1 project performance at a future meeting. Prepared by: Celeste Fiore Memo No. 5613 ATTACHMENTS: 

RES 5613_Attach A_Structure



RES 5613_Attach B



RES 5613_Attach C_Criteria

(PDF)



RES 5613_Attach D_Competitive

(PDF)



RES 5613_Attachment E_Proj Details (PDF)

(PDF)

(PDF)

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6.6.a

Attachment A - Santa Clara County OBAG II Structure SCL OBAG TOTAL $104 M STBGP -59.6% $62.0M County FAS $1.7M

PDA Planning $2.0M

CMA Planning $10.9M

CMAQ – 40.4% $42.0M

70% PDA $66.8M

VERBS $6.9 M

Competitive Complete Streets $53.9 $18.8M

$35.1M

Road Rehab. “Guarantee” $28.6 M

30% - Non-PDA

County Expressways $5.0M

6.6.b

Attachment B One Bay Area Grant Cycle 2 Santa Clara County Agencies Guarantee Local Streets & Roads Preservation Program Local Agency Campbell Cupertino Gilroy Los Altos Los Gatos Milpitas Morgan Hill Mtn View Palo Alto San Jose Santa Clara Saratoga Sunnyvale SC County Los Altos Hills Monte Sereno Total

OBAG Share %

Estimated Funds (rounded to 1,000s)

1.9% $554,000 2.7% $769,000 3.6% $1,028,000 1.2% $336,000 1.2% $343,000 5.6% $1,609,000 3.0% $857,000 4.0% $1,136,000 3.5% $1,009,000 51.0% $14,597,000 8.2% $2,356,000 1.2% $338,000 9.0% $2,566,000 4.0% $1,151,000 Deferred to next OBAG cycle. Programmed in OBAG cycle 1. 100.0% $28,649,000

Project Title Winchester Boulevard Overlay Cupertino Pavement Mgmt Program Monterey Street Streetscape and Rehabilitation Fremont Avenue Asphalt Concrete Overlay Lark Avenue Overlay Street Resurfacing 2018 East Dunne Avenue Pavement Rehabilitation West Middlefield Road Improvements Palo Alto OBAG 2 Street Resurfacing San Jose Pavement Maintenance Program OBAG2 Santa Clara Various Streets & Roads Preservation-2017 Saratoga Village Crosswalks and Sidewalk Rehabilitation Sunnyvale Traffic Signal Upgrades County Streets & Roads Preservation Program

All funds are Federal Surface Transportation Block Grant Program

ATTACHMENT C Santa Clara County OBAG 2 Competitive Program Scoring Criteria FY2018-2022 PRE-SCREENING CRITERIA CHECKLIST: 2008 Complete Streets Act Compliance

SCREENING CRITERIA CHECKLIST: VTP 2040 Consistency MTC Complete Streets Checklist PDA (and proximate access) location(s) Grant Request ≥ $500,000

6.6.c

Will incorporate complete streets design guidelines

CRITERIA: Minimum Score 25 points CATEGORIES DETAILS

MAX PTS

High: Project will address a demonstrated safety issue (e.g. multiple collisions/fatalities/injuries on a regular basis) with a proven/demonstrated countermeasure. Safety

Medium: Project will improve a situation with safety issues (e.g. conflicts or evidence of high vehicle traffic volume or speed).

15

Low: Project will generally improve safety issues. Project has the potential to reduce exposure/risk of conflicts between motor-vehicles and bike/pedestrians. Project Benefits: Catalyst for Economic Vitality; Livability (Design); Multimodal

Project has identifiable benefits beyond typical transportation benefits (improves livability, economic vitality; creates sense of place) Project uses best complete streets design practices (application indicates which guidelines will be used). Project serves and/or improves three (3) or more transportation modes.

10

Gap Closure/ Connectivity

Project proposes a shorter route, completes sidewalks, closes gaps in a transportation facility and/or multimodal network.

10

Air Quality Improvement and/or Vehicle Project demonstrates it can improve air quality by reducing emissions or lessening traffic congestion and/or the project employs strategies to reduce VMT (such as Miles Traveled (VMT) Reduced mobility management, bike/ped facilities, parking mgmt, etc.).

10

Public Involvement/Support

Project developed through a collaborative planning process that included broad partnerships among a variety of stakeholders.

10

Local Match

Agency can commit from 12% to  21% of total project cost from non- federal sources. (one point for each 1 percent to 10 points max) Categorical Exclusion (CE) pts Not CE pts Design Complete 5 ENV Complete 4 ROW Complete 5 Design Complete 3 ROW Complete 3 Ranges (jobs per acre) pts High: (30+) 5 (Include map to show project's location) Medium: (10-30) 3 Low: (1-9) 1 Ranges (housing units per acre) pts High: (20+) 5 (Include map to show project's location) Medium: (10-20) 3 Low: (1-9) 1

10

Project is located within a COC and/or CARE area. Map included showing project location. Y/N?

5

Project Readiness/Delivery

Jobs Density (current and future) within ABAG defined PDA Housing Density (current and future) within ABAG defined PDA Community of Concern and/or Community Air Risk Evaluation (CARE) Affordable Housing &/or Senior/DisabledServing Facilities Proximity to designated high ridership transit stop (rail, bus, BRT)

Project is within: 1/8 mile of affordable housing and/or a senior/disable facility Y/N? 1/4 mile of affordable housing and/or a senior/disable facility Y/N? Project is within: 1/4 mile of Major transit stop (≥ 200 boardings/day) 1/4 mile of Core transit stop (40 - 199 boardings/day)

pts 5 2 pts 5 2

10

5

5

(Include map to show facilities location)

5

(Include map/photo to show public transit stop location)

5 100 BONUS

BEP Plan

Project is in the Bicycle Expenditure Program Y/N?

10

Anti-Displacement Policies

Sponsoring jurisdiction has at least one anti-displacement policy in existence.

5

6.6.d

Attachment D OBAG 2 FY18-22 Competitive Applications - Recommended Funding Application Name

Agency

Requested Amount

Score

Recommended Funded Phase Amount

Reserved for Future Programming

Cumulative Amount

1

Sunnyvale

Peery Park Sense of Place Improvements

92

$ 2,686,000 $

1,151,143

Env/Design

$

1,534,857

$ 2,686,000

2

San Jose

McKee Road Vision Zero Priority Safety Corridor

89

$ 8,623,000 $

2,846,000

Env/Design

$

5,777,000

$ 11,309,000

3

Sunnyvale

East Sunnyvale Area Sense of Place-Transit/Bike/Ped Upgrades

89

$ 3,047,425 $

1,306,040

Env/Design

$

1,741,385

$ 14,356,425

4

Sunnyvale

Fair Oaks Ave Bikeway & Streetscape

86

$

335,355 Env/Design

$

5

Milpitas/VTA

Montague Expressway Pedestrian Overcrossing at Milpitas BART Station

84

$ 7,000,000 $

7,000,000

CON

6

San Jose

West San Carlos Urban Village Streetscape Improvements

82

$ 7,932,000 $

2,618,000

Env/Design

7

Sunnyvale

Bernardo Ave Bicycle Undercrossing

77

$

500,000 $

8

Sunnyvale

Java Drive Road Diet & Bike Lanes

76

$

500,000 $

9

Palo Alto

El Camino Real Pedestrian Safety & Streetscape

74

$ 4,655,000 $

4,655,000

CON

10

San Jose

Tully Road Vision Zero Priority Safety Corridor

74

$ 8,599,000 $

2,838,000

Env/Design

11

Santa Clara

Hetch-Hetchy Trail Phase 1

74

$

790,000 $

790,000 CON

$ 40,459,920

12

Santa Clara

Santa Clara Safe Routes to School

72

$

513,500 $

513,500 CON

$ 45,628,420

13

Sunnyvale

Lawrence Station Area Sidewalks & Bike Facilities

70

$

500,000 $

214,286 Env/Design

14 15

Santa Clara Santa Clara

San Tomas Aquino Creek Trail Underpass Saratoga Creek Trail Phase 1

16

San Jose/VTA

King Road Pedestrian Safety & Transit Access Improvements

17

Campbell

Campbell PDA Enhancements Project

69

$ 3,080,000

18

San Jose

Julian & St. James "Livable Streets" Couplet conversion

68

$ 6,753,000

19

Sunnyvale

Fremont Ave Bikeway & Streetscape Improvements

64

$ 1,244,000

20

Santa Clara

Lawrence Station Area - Monroe Street & Agate Drive Bike/Pedestrian

62

$

21

Mountain View

Shoreline Blvd Pathway Improvements

58

$ 1,996,000

22

Gilroy

Fourth Street Streetscape

57

$

23

Gilroy

Gourmet Alley

57

$ 1,168,000

24 25

Los Altos Gilroy

San Antonio Road & West Portola Ave Improvements Fifth Street & Martin Complete Street Gap Closure

56 54

$ 670,000 $ 1,853,000

26

Cupertino

Stevens Creek Blvd Class IV Bikeway

47

$

27

Palo Alto

California Avenue District Bike Station

44

$ 1,505,000

Palo Alto

782,495 $

CMAQ Requested Available OBAG 2 Funds Less Adobe Creek/Hwy 101 Bicycle Pedestrian Bridge (funded in OBAG 1) Sub-total OBAG1 Undelivered funds Total Available Funds

$ $ $ $ $ $

950,000

807,000 73,887,620 48,946,500 (4,350,000) 44,596,500 3,440,000 48,036,500

$ 22,138,920 $

5,314,000

500,000 Env/Design 214,286 Env/Design

70 $ 2,449,000 $ 2,449,000 CON 70 $ 3,735,200 $ 3,735,200 CON SCORE CUTOFF 607,000 $ 31,165,810 69 $

942,000

447,140 $ 15,138,920 $ 30,070,920 $ 30,570,920

$

285,714 $ 31,070,920 $ 45,114,920

$

$

5,761,000

$ 39,669,920

285,714 $ 46,128,420 $ 48,577,420 $ 52,312,620

$

21,146,810 $ 52,312,620

6.6.e

ATTACHMENT E ONE BAY AREA GRANT CYCLE 2 RECOMMENDED PROJECT DETAILS Sunnyvale –Peery Park Sense of Place Improvements This project will implement improvements to bicycle and pedestrian infrastructure along Mathilda Avenue and Maude Avenue as noted in the Peery Park Specific Plan. This corridor links the adjacent PDA with employment zones, retail, and parks. The project will close gaps in pedestrian and bicycle travel by extending the bike lanes from Maude Avenue to Central Expressway. An analysis of the last five years showed that there were a total of 10 vehicle collisions involving bicyclists or pedestrians on the facilities where improvements are planned. Improvements include sidewalk installation, bike lane installation, enhanced bike lanes, and enhanced pedestrian crosswalks. San Jose – McKee Road Vision Zero Priority Safety Corridor According to the city’s Vision Zero plan, McKee Road ranks among the fourteen major street segments that have the highest frequency of fatal and severe injury for people walking, bicycling, motorcycle riding, and driving. From Route 101 to Toyon Avenue, McKee Road is predominately a six-lane principal arterial roadway that runs in the east-west directions. The roadway carries an average daily traffic of 30,000 vehicles per day. Based on the reported traffic crashes in the past five years (2011 through 2015), there had been 517 crashes that resulted in 318 injuries (22 major injuries), and 3 fatalities. Of the 517 crashes, 33 involved a bicyclist, and 44 involved a pedestrian. Proposed safety measures include traffic signal modifications such as upgrading signals to current standards, increasing signal heads size, installing additional signal heads, replacing pedestal mounted signal heads to mast arm mounts, adding signal back plates and Accessible Pedestrian Signals (APS), and installing bicycle detections. Sunnyvale –East Sunnyvale Area Sense of Place-Transit/Bike/Pedestrian Upgrades The East Sunnyvale Area Sense of Place Plan addresses how the area can be improved to provide safety on Duane Avenue, Stewart Drive, and De Guigne Drive. Released in November 2015, the Plan lays out a specific framework for upgrades to the project area that would create a synergistic appeal. Those upgrades consist of new sidewalks, crosswalks, ADA ramps, landscaped pedestrian buffers, multi-use paths, green colored and buffered bike lanes, green bike route sharrows, two-stage bicycle left-turn boxes, bus stop improvements, on-street parking, intersection bulb-outs, reduced corner curb radii, and added street right-of-way to improve circulation. Sunnyvale – Fair Oaks Avenue Bikeways and Streetscape The project transforms a densely trafficked, chaotic, bicycle and pedestrian unfriendly thoroughfare into a complete street. By de-emphasizing automobile access and on-street parking and providing bicycle space and a pedestrian buffer, Fair Oaks Avenue will better serve the neighborhoods and allow and encourage people to walk and bike to the several neighborhood commercial centers that are located on the segment of Fair Oaks Avenue from Old San Francisco Road to Ahwanee Avenue. Collision statistics for 2010 and 2011 reflect the safety issues. Fair Oaks Avenue experiences the second highest level of collisions in the City of Sunnyvale. One hundred twenty-one collisions E-1

6.6.e

ATTACHMENT E ONE BAY AREA GRANT CYCLE 2 RECOMMENDED PROJECT DETAILS occurred on Fair Oaks Avenue in the project vicinity during this time. Four of these involved bicyclists. Twenty-nine percent (29%) of collisions were due to improper turning, and 45% were speed related. Project is in the Bicycle Expenditure Program. Milpitas/VTA – Montague Expressway Pedestrian Overcrossing at Milpitas BART Station, The Montague Expressway Pedestrian Overcrossing (MPOC) is on Montague Expressway, approximately 1000' east of the Montague Expressway/Great Mall Parkway/East Capitol Avenue intersection. The MPOC spans the expressway north‐south and connects the BART/VTA multimodal transit center to development on Piper Drive. The overcrossing is a 250‐foot long, elevated and fully enclosed public pathway for pedestrians, bicyclists, and persons in wheelchairs/other. Increased bicycle and pedestrian activity in the area is inevitable with the new BART station opening, and with increases in non‐motorist activity come potential increases in safety concerns for non-motorized users. The MPOC intends to provide a safer alternative that elevates all non-motorized trips that must cross Montague Expressway. This grant award will fund the construction phase only. Project is in the Bicycle Expenditure Program. San Jose – West San Carlos Urban Village Streetscape Improvements West San Carlos Street is a four-lane east-west principal arterial that carries an Average Daily Traffic (ADT) of approximately 21,000 vehicles per day. Based on reported traffic crashes in the past five years (January 1, 2011 - December 31, 2015) there have been 249 crashes that resulted in one fatality, 7 major injuries, 37 moderate injuries, and 98 minor injuries; of the 249 crashes, 45 involved bicyclists and/or pedestrians. This project proposes to: modify right-turn slip-lanes and reduce corner radii to slow turning traffic and increase pedestrian and bicycle safety; add new crosswalks and ADA-compliant curb ramps; enhance crosswalks with high visibility markings/signs; install rectangular rapid flashing beacons; add or reconstruct medians for safer crossings; add streetscape elements; upgrade traffic signals to current standards to detect and accommodate pedestrians; and install bike racks. Sunnyvale –Bernardo Avenue Bicycle Undercrossing This project will fund the Bernardo Avenue Undercrossing environmental analysis and preparation of the Environmental Impact Report (EIR). Bernardo Avenue is a two-lane collector roadway that is located in the western portion of the City. However, there is a break in the roadway at Evelyn Avenue due to the Caltrain Railroad tracks. The Bernardo Avenue bicycle undercrossing will provide the residents and workers a safer, alternative travel method. In addition, the bicycle facilities in the project area will be upgraded to provide a viable travel option and a direct route for bicyclists and pedestrians. The undercrossing will also serve the community with a safe and convenient way for bicyclists and pedestrians to cross the railroad tracks. Project is in the Bicycle Expenditure Program.

E-2

6.6.e

ATTACHMENT E ONE BAY AREA GRANT CYCLE 2 RECOMMENDED PROJECT DETAILS Sunnyvale –Java Drive Road Diet and Bike Lanes This project will construct approximately 5,000 linear feet of Class II bike lanes (each side) via a road diet on Java Drive from Mathilda Avenue to Crossman Avenue. The project will also include bicycle detection at five signalized intersections for added bicycle travel convenience. The project includes color pavement treatments for vehicle conflict zones. Collision data from 2011 to 2016 shows that there were 11 collisions in this segment. New bike lanes will provide an alternative to driving to work in one of the most concentrated workplace areas in the City. The bike lanes with the road diet will create a multi-modal travel approach to one of the major roadways in the area. It will serve three transportation modes as bicyclists will have a new bike lane to use, bus or light rail transit riders can begin or end their trips with their bikes on a bike lane, and pedestrians will benefit from slower vehicles on the roadway due to the reduction in travel lanes. Project is in the Bicycle Expenditure Program. San Jose – Tully Drive Vision Zero Priority Safety Corridor Tully Road is a six-lane principal arterial roadway that runs in the east-west directions. This roadway carries an Average Daily Traffic (ADT) of 37,000 vehicles per day. Based on the reported traffic crashes in the past five years (2011 through 2015) along Tully Road between Monterey Road and Capitol Expressway, there had been 852 crashes that resulted in 469 injuries (28 major injuries), and six (6) fatalities. Of the 852 crashes, 57 involved a bicyclist, and 41 involved a pedestrian. Project safety measures include: raised median islands; narrowed vehicle travel lanes; modified right-turn slip-lane and/or squared up intersections; installed new and raised crosswalks, ADA ramps, and buffered bike lanes. Modifications to right-turn slip-lanes and/or tightening corner radii at the intersection present an excellent opportunity for infrastructure upgrade to include ADA-compliant features providing safer and greater accessibility for pedestrians and the physically and visually impaired alike. Palo Alto – El Camino Real Pedestrian Safety and Streetscape The El Camino Real Pedestrian Safety and Streetscape Project will install complete streets improvements focused on pedestrian safety at controlled and uncontrolled crosswalks, enhanced bus operations at two existing major transit stops, and new urban design amenities between Stanford Avenue and Sheridan Avenue. The project includes: curb extensions; median refuges; two pedestrian hybrid beacons at a new and existing uncontrolled crosswalks; median shade trees; pedestrian scale lighting. Between 2009 and 2013, five pedestrian-auto collisions were reported in the study area. Long crossing distances, typically 100 feet in length, across the six- to seven-lane El Camino Real create a safety issue for pedestrians. At signalized intersections, turning and curb radii are generous, which lengthen crossing distances and allow vehicles to make high-speed turns across the signalized crosswalks.

E-3

6.6.e

ATTACHMENT E ONE BAY AREA GRANT CYCLE 2 RECOMMENDED PROJECT DETAILS Santa Clara – Hetch-Hetchy Trail Phase 1 Currently, the only option available to bicyclist traveling between Guadalupe River Trail and the San Tomas Aquino Creek Trail are the on-street bike lanes along 40 mph Tasman Drive or the on-street bike lanes on Agnew Road with an at-grade railroad crossing at Lafayette Street. Both options present safety issues for all but the very experienced bicyclist. Hetch-Hetchy Trail Phase 1 will construct a 12-foot wide asphalt/concrete class I bicycle and pedestrian facility along 1/3 miles of the Hetch-Hetchy right-of-way from Stars and Stripes Drive to San Tomas Aquino Creek and continuing along .6 miles of the east bank of the San Tomas Aquino Creek from Hetch-Hetchy right-of-way to Agnew Road. Project elements include striping, signage and a ramp connecting the Hetch-Hetchy portion of trail to the top of the eastern levee of the San Tomas Aquino Creek. Project is in the Bicycle Expenditure Program. Santa Clara – Santa Clara Safe Routes to School City staff contacted parents at seven Santa Clara public schools to determine which safety improvements are needed to enhance student participation in Safe Routes to School programs. These seven schools are Bowers, Briarwood, Haman, Montague, Scott Land, Sutter Elementary school, and Cabrillo Middle school. Those safety improvements are addressed with this infrastructure project. These improvements include, but are not limited to additional sidewalks and ADA ramps, improved crosswalks, additional bike lanes, traffic calming, and signal modifications. Sunnyvale –Lawrence Station Area Sidewalks and Bike Facilities The project will provide direct pedestrian and bicycle access to the Lawrence Caltrain station. Infrastructure improvements include enhanced pedestrian conditions and bike lanes where none exist on the south side of the station. Currently, a sidewalk on the non-station side of Willow Avenue requires that pedestrians execute an unmarked mid-block crossing on a blind corner with driver visibility blocked by a bridge support embankment. This project will close a sidewalk gap on the station side of the Willow Avenue, as well as close gaps on other areas of Willow Avenue and Aster Avenue that serve adjacent land uses. Bicycle lanes will create a connection between existing bike lanes on Evelyn Avenue to the train station. Based on collision statistics for 2009 to 2013, fourteen collisions occurred in the project vicinity. Santa Clara – San Tomas Aquino Creek Trail Underpass The occasional closure of the San Tomas Aquino Creek trail adjacent to Levi’s Stadium creates a temporary one mile gap in the existing facility from 0.1 mile north of Tasman Drive to Agnew Road. During these closures, trail users must choose to take a 2 mile detour through an adjacent neighborhood or a 1.75 mile detour along Mission College Boulevard and congested Great America Parkway to go around the Stadium. This project will close the gap, eliminate the need for a detour, and allow the general public uninterrupted access to the creek trail. Elements of the project include a ¼ mile class I bicycle and pedestrian underpass facility along the west bank San Tomas Aquino Creek, beginning at the existing Tasman Drive underpass and continuing under three pedestrian bridges adjacent to the creek trail and Levi’s Stadium. Also, E-4

6.6.e

ATTACHMENT E ONE BAY AREA GRANT CYCLE 2 RECOMMENDED PROJECT DETAILS the project includes a minimum 10-foot wide asphalt/concrete trail paved with decorative retaining walls to match adjacent trail facility. Project is in the Bicycle Expenditure Program. Santa Clara – Saratoga Creek Trail Phase 1 Saratoga Creek Trail Phase 1 will construct a portion of the planned Saratoga Creek Trail from Central Park to Homeridge Park. The multi‐use asphalt/concrete trail will be 10 - 14 feet wide, 1/4 mile in length, with signage, striping and landscaping. Project elements include a pedestrian bridge over the Saratoga Creek west of Kiely Boulevard, and two undercrossing at Homestead Road and Kiely Boulevard. This will be a Class I facility connecting the residents in the neighborhoods south of Homestead Road with the 52 acres Central Park. Currently, residents walking and biking to Homeridge Park and Central Park are exposed to conflicts with vehicles along Homestead Road and Kiely Boulevard. Project is in the Bicycle Expenditure Program. Palo Alto – Adobe Creek/ Highway 101 Bicycle Pedestrian Bridge As an eight‐lane freeway carrying 200,000 vehicles per day, with a partial cloverleaf interchange nearby and limited alternative routes for non‐motorized users, Highway 101 at Adobe Creek/San Antonio Road is a major physical and psychological gap in the regional and local bikeway network. The proposed overcrossing and 0.12 mile Class I multi‐use “reach” trail will provide connectivity from residential and commercial areas in Palo Alto to the Palo Alto Baylands Nature Preserve, East Bayshore and San Antonio businesses, and the regional San Francisco Bay Trail (Bay Trail) network of multi‐use trails. This new trail will open up alternative routes to/from the Baylands that avoid high‐speed arterials such as West Bayshore Road in favor of a grade‐separated trail access from local Class II and Class III Bicycle Boulevard) connections. It is an important commuter route for many who live in southern Santa Clara County and bicycle to work in Palo Alto and at Stanford University along the Bay Trail. Lastly, it provides local access and recreational options for the existing mix of employees, seniors, and daycare children who occupy nearby buildings. The overcrossing project will make this connection permanent, reliable, and accessible 365 days per year for all users. Project is in the Bicycle Expenditure Program.

E-5

6.7





THROUGH:


FROM:

Chief Financial Officer, Raj Srinath

SUBJECT:

Review and Approve Updated Debt Management Policy



ACTION ITEM RECOMMENDATION: Review and approve the updated Debt Management Policy (Attached). The policy has been updated to address new legislative filing, reporting and other requirements of SB 1029 as well as make other minor adjustments. BACKGROUND: The Debt Management Policy provides guidance on the issuance and management of VTA’s borrowing. SB 1029 is driving the need to update the policy in order to ensure compliance with SB 1029 prior to executing any future financings. DISCUSSION: The primary purpose of this update is to address the requirements of SB 1029, which requires prospective issuers of debt to file a Report of Proposed Issuance with the California Debt and Investment Advisory Commission (CDIAC) and include a certification that the issuer (VTA) has a “local debt policy” in place that addresses several specified points. SB 1029 also requires annual information filings and filings before and after each debt issuance. SB 1029 is an amendment to Government Code Section 8855, which defines certain responsibilities of the CDIAC and requirements of issuers to provide certain information to CDIAC. The required matters that must be addressed are: a. Purposes for which debt proceeds may be used


6.7

b. Types of debt that may be issued c. Relationship of the debt to, and integration with, the issuer’s capital improvement program or budget, if applicable d. Policy goals related to the issuer’s planning goals and objectives e. Internal control procedures that ensure the proceeds of debt issuance will be directed to the intended use. ALTERNATIVES: If the policy were not updated to address SB 1029, VTA’s bond counsel might be unwilling to provide its legal opinion for future bond sales, preventing the sale and delivery of bonds or other borrowing. FISCAL IMPACT: There is no fiscal impact as a result of changes to the policy. STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Administration and Finance Committee considered this item as part of the consent agenda at the December 15th meeting. There was no discussion specific to this item. The Committee recommended Board approval and placed the item on the Board's consent agenda for January 2017. Prepared by: Michael J. Smith, Finance Manager - Debt & Investment Memo No. 5863 ATTACHMENTS: 

Debt Management Policy Update (2016-11-30) Attachment (PDF)

Page 2 of 2

Attachment Santa Clara Valley Transportation Authority Debt Management Policy` Draft - November 30, 2016 I.

Introduction

The purpose of the Debt Management Policy of the Santa Clara Valley Transportation Authority (VTA) is to establish guidelines for the issuance and management of VTA’s debt. This Debt Management Policy confirms the commitment of the Board to: (a) adhere to sound financial management practices, including the prudent issuance and management of debt,our debt, including ensuring only appropriate expenditures of debt proceeds, the full and timely repayment of all borrowings, and achieving the lowest possible cost of capital within prudent risk parameters and (b) comply with all reporting, filing and continuing disclosure requirements. II.

Scope and Authority

This policy shall govern the issuance and management of all debt financings including ancillary transactions and investment of bond proceeds. While adherence to this Policy is required in applicable circumstances, VTA recognizes that changes in the capital markets, revenue receipts, program changes and other unforeseen circumstances may produce situations that are not covered by the Policy or require modifications or exceptions to achieve Policy goals. In these cases, management flexibility is appropriate provided specific authorization from the Board is obtained. The Chief Financial Officer (CFO) shall review the Debt Management Policy annually, and shall recommend amendments, if any, to the Board for approval. The General Manager and CFO shall administer the Debt Management Policy. The CFO shall have the day-to-day responsibility and authority for recommending, structuring, implementing and managing VTA debt and financing programs, including the issuance of commercial paper in accordance with the Board authorized programs. The Debt Management Policy requires that the VTA Board specifically authorize financial transactions, other than Commercial Paper rollovers, which may be authorized by the CFO within the maximum program amount parameters authorized by the Board. III. General Financial Practices and Context for Debt PolicyRelationship of Debt to Capital Improvement Program and Budget VTA’s Debt Management Policy must be viewed as an integral component of its overall financial practices and in the context of its capital-intensive expenditure plans. VTA’s DebtVTA’s issuance of debt must be generally consistent with its planning goals, capital improvement programs and budget. VTA’s Debt Management Policy and its overall approach to its finances must recognize that VTA is a sales tax-dependent organization. and that VTA receives sales tax revenues under multiple voter-approved authorizations which constrain the use of such sales tax revenues. Sales tax revenues must be available to repay VTA’s debt and to fund its entire operations, including subsidies associated with its light rail and bus lines. and

Santa Clara Valley Transportation Authority Debt Management Policy

Page 1 of 10

6.7.a

6.7.a

other transportation services. The Debt Management Policy must also recognize that VTA does not have control over sales tax revenues, which are dependent on the overall economy in Santa Clara County. VTA’s financial practices, including the issuance of debt, must be designed to assure sufficient resources to fund all of its operating and capital requirements in all circumstances and be able to accommodate potential declines in sales tax revenues. IV.

Debt Issuance Principles and Policies A. Board Authorization. The Board shall specifically authorize any debt issuance. The Board’s adoption of the Annual Budget or Capital Improvement Plan (CIP) does not constitute authorization for debt issuance. B. Appropriate Purposes for Debt Issuance. Each debt issuance must accomplish an appropriate purpose. Debt may be issued to accomplish the following objectives: 1.

Accelerate the delivery of projects. Debt financing allows the delivery of projects on an accelerated basis. Accelerating projects may provide a programmatic or financial benefit to VTA.

2.

Spread cost over the useful life of an asset. Debt financing allows VTA to spread the cost of a project over its useful life rather than paying for it at one time. In addition, financing effectively spreads the cost of a project among all users that benefit from it.

3.

Smooth out annual cash flow. Debt financing spreads the cost of a project over a period of years, thereby smoothing out VTA’s cash flow.

4.

Optimize overall financial resources. To enable existing cash to be invested at a rate higher than the cost of borrowing.

5.

Finance Unfunded Actuarial Liabilities. Debt financing would allow VTA to fund all or a portion of any unfunded actuarial liabilities relating to pension and other post-employment benefits.

6.

Refundings. It may become desirable for VTA to issue bonds or other securities to refinance outstanding obligations. The reasons for refinancing include: a)

To Achieve Debt Service Savings. In general, the net present value savings generated by the refunding bonds shall be at least 3% of the outstanding refunded bond amount.

b)

For Programmatic Reasons. Such as: restructuring outstanding debt, changing the type of debt instruments originally used, retiring a bond issue, removing covenants/pledges that have become restrictive, or retiring debt prior to maturity.


Page 2 of 10

6.7.a

C.

Debt Affordability. Debt affordability shall be determined by the requirements of VTA’s bond indentures (e.g. additional bonds test/debt service coverage) and VTA’s ability to meet all of its on-going operating, capital and reserve requirements.

D. Financing Goals. VTA shall issue debt so as to achieve the optimal balance of lowest borrowing cost, financing flexibility and market acceptance. V.

Approach to Financing A.

B.

Types of Financing Transactions 1.

Sales Tax Revenue Bonds. Sales tax revenue bonds shall be the preferred method of debt financing. SuchSales tax bonds may be issued as either aand secured on a senior or junior lien and on one or more subordinate liens and may be issued on a fixed or variable rate basis or be converted to a synthetic rate basis consistent with this Debt Management Policy.

2.

Debt Secured by Federal, State or Local Grants. VTA may issue debt secured by federal formula assistance, full funding grant agreements, or comparable federal, state or local approved grants or funding assistance and may participate in loans, credit enhancement or credit support provided under the Transportation Infrastructure Finance and Innovation Act (TIFIA).) and the Railway Rehabilitation and Improvement Financing program (RRIF), or other such programs.

3.

Other Kinds of Debt and Financing Transactions. VTA may issue debt secured by revenues other than sales tax, including a general obligation, or by engaging in financial lease transactions, as appropriate for the funding need being addressed.

4.

VTA may also issue debt directly, as well as through another entity, such as for the purpose of financing managed lanes. Such debt may be secured by toll revenues, fines, vehicle registration fees and other legally available revenues.

Use of Long-Term and Short-Term Debt 1.

Long-Term Debt. VTA may issue long-term debt, on a fixed or variable rate basis to finance the construction, acquisition, installation or rehabilitation of long-lived capital assets, and to finance actuarial unfunded liabilities with respect to pension and other post-employment benefits. a)

Fixed Rate Debt. Fixed rate debt is a form of long-term financing in which the interest rate is set at the time of bond issuance and


Page 3 of 10

6.7.a

does not change unless subsequently refinanced. It is expected that most of VTA’s debt obligations will be fixed rate.

2.

b)

Variable Rate Debt. Variable rate debt is a form of long-term financing in which the interest rates are reset periodically, typically on a weekly or daily basis. Forms of variable rate debt include variable rate demand bonds, auction rate securities and commercial paper. Typically, the interest rates for variable rate debt are lower than for fixed rate debt, although they will fluctuate throughout the term of a financing. Variable rate debt offers the benefits of diversifying the debt portfolio, reducing interest costs, providing interim funding for capital projects and improving the match of assets to liabilities. The amount of unhedged variable rate debt will generally not exceed 30% of the principal amount of all outstanding debt. If variable rate debt is used, VTA shall periodically determine the appropriateness of converting the debt to fixed interest rates.

c)

Synthetic Fixed and Variable Rate Debt. Converting one interest rate basis to a different basis by agreement with a counterparty results in the creation of a synthetic rate. For example, fixed rate obligations may be converted to a synthetic floating rate through a fixed-to-floating interest rate swap and variable rate obligations may be converted to a synthetic fixed rate through a floating-tofixed interest rate swap. Guidelines for the use and management of interest rate swap transactions are contained in VTA’s Interest Rate Swap Policy.

Short-Term Debt. VTA may finance, on an interim basis, operating and capital needs, with short-term debt pending the receipt of expected funding sources using: a)

Tax and Revenue Anticipation Notes. Tax and Revenue Anticipation Notes (“TRANs” or “RANs”) are borrowings that are used to bridge temporary cash flow deficits within a fiscal year.

b)

Grant Anticipation Notes. Grant Anticipation Notes (“GANs”) are issued to fund capital projects in advance of the receipt of grants, typically federal grants. Such notes may also include a back-up pledge of sales tax, farebox or other revenues, as appropriate, to enhance the creditworthiness of the GANs and to provide a source of repayment if the timing of the grant receipts is delayed due to the appropriation process.

c)

Bond Anticipation Notes. Bond anticipation notes (“BANs”) are issued to fund projects in advance of a revenue stream that has not yet been received. At maturity, BANs would be repaid from that


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6.7.a

revenue stream or by refunding bonds secured by that revenue stream. d)

C.

Commercial Paper. Commercial paper may be issued to cash-flow capital projects on an interim basis, at short-term interest rates, pending an ability to issue refunding bonds or its repayment from revenues or other sources. Commercial paper is most appropriately used in connection with large capital programs by allowing for the incremental long-term funding of such projects. At maturity, commercial paper may be rolled over, repaid or refunded with long-term bonds. Each commercial paper program shall be authorized in a maximum amount as determined by the Board of Directors. The CFO shall determine the specific amount of commercial paper, within Board-approved parameters, to be issued at any time and may authorize the rollover of commercial paper within those parameters without additional Board approval.

Structural Features. The CFO, with the advice of VTA’s Financial Advisor, shall determine the structural features to be included as part of each debt financing. The structural features shall be appropriate to the transaction and the markets at the time of the financing, and shall be consistent with this Debt Management Policy. 1.

Coupon Payment Structure. Coupon payment structures may consist of either current coupon bonds or capital appreciation bonds (or zero coupon bonds). Current coupon bonds pay interest periodically (generally, semiannually), pay principal at maturity, and generally produce the lowest interest rate. Capital appreciation bonds pay interest and principal at maturity and generally will increase the borrowing cost. Current coupon payment structures shall be used whenever possible. Capital appreciation bonds may be used to accomplish a structuring or programmatic objective that cannot be achieved with a current coupon payment structure (e.g., creating an overall level debt service) or to produce an overall lower interest rate under certain market conditions.

2.

Maturity of Debt. Generally, the final maturity of the debt shall not exceed the useful life of the assets being financed or the remaining term of the revenue stream pledged to repayment. The average life of the financing shall not exceed the average life of the assets being financed.

3.

Debt Service Structure. The principal and interest on VTA’s debt obligations shall be structured taking into account: a) the market conditions, b) indenture requirements, c) other outstanding debt, d) cash flow needs, and e) financing objectives. Absent unusual circumstances, debt service on VTA’s obligations shall be structured to achieve approximately equal annual debt service payments over the life of the bond.


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6.7.a

4.

Lien Levels. VTA may create senior and junior lien pledges for each revenue source that secure bond repayment in order to optimize VTA’s financing capacity; thus allowing for the most beneficial use of the revenue source securing the bond.

5.

Discount and Premium Bonds. Discount and Premium Bonds are those that are issued at a sale price below (Discount) or above (Premium) the principal amount or par value. VTA shall evaluate the use of Discount and Premium bonds in the context of general market conditions at the time of sale and the manner in which it offers its bonds for sale.

6.

Redemption Features. VTA’s securities shall contain appropriate redemption provisions relating to the ability to call or retire bonds prior to maturity. Redemption provisions shall reflect the kind of securities being issued and the market conditions at the time of issuance.

7.

Credit Enhancement. a)

Bond insurance. Bond insurance provides improved credit quality for the bonds as a result of the insurance provider’s guarantee of the payment of principal and interest on the bonds. Bond insurance shall be used when it provides an economic advantage to a particular bond maturity or entire issue. Because of the decreased risk, investors are willing to purchase bonds with lower yields than uninsured bonds, thus providing the issuer with interest cost savings. Bond insurance may be used for both fixed rate and variable rate financings.

b)

Lines and letters of credit. Lines and letters of credit (LOCs)), when used for credit enhancement, are arrangements with a bank which provide additional security that moneys will be available to pay debt service on an issue. They are typically issued by domestic and foreign banks in connection with commercial paper and certain variable rate transactions. Such banks improve the credit quality of variable rate financings by guaranteeing the repayment of bond principal and interest, and/or providing needed liquidity to investors. that wish to tender their bonds. LOCs shall be used where they provide an economic advantage to the transaction over other variable rate structures.

D.

Derivative Products. The use of derivative products shall be governed by VTA’s Interest Rate Swap Policy.

E.

Method of Bond Sale. VTA’s debt may be sold onvia public offering, either aby competitive or negotiated basissale, or through direct purchase.


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6.7.a

1.

Competitive Sale. In a competitive sale, VTA’s debt will be offered for sale on a set date and time, and investment banks and other financial institutions will have an equal opportunity to purchase the debt. The award of the debt will be made to the bidder that offers the lowest true interest cost. A competitive sale shall be used in connection with the issuance of traditional fixed rate bonds in stable market conditions.

2.

Negotiated Sale. In a negotiated sale, VTA’s debt will be offered to an investment bank or syndicate of investment banks that are pre-selected by VTA to market its debt. A negotiated sale shall be used when: a) b) c) d) e) f) g)

3.

VI.

Bond prices are volatile or demand is weak or supply of competing bonds is high Market timing is important, such as for advance refundings Coordination of multiple components of the financing is required Variable rate bonds or notes are issued or derivative products are used Bond insurance is not available or not offered Early structuring and market participation by underwriters is desired In the context of a major financing program, the orderly placement of VTA’s bonds will benefit future transactions under that program.

Direct Purchase. In a direct purchase, VTA’s debt will be purchased by a bank or other financial institution that typically intends to hold the debt for its own investment. A direct purchase approach generally involves lower transaction costs than a public offering as the debt is neither rated nor accompanied by an official statement. The method can also be used to control aspects of a transaction other than cost. A direct purchase is typically used when the all-in borrowing cost is expected to be lower than the all-in borrowing cost of a public offering. If VTA sells debt through direct purchase, the following procedures shall be followed:

Documentation of Transactions

The major aspects of each financing, including the decision processes, shall be fully documented. The documentation shall include at least: A. B. Threshold Decisions Memorandum. A memorandum addressing the selection of the financing team, type of financial instrument, structuring features, manner of sale, selection of vendors providing ancillary services, and selection of investment


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6.7.a

securities or products. B. C. Financial and Risk Analysis. An analysis of basic financial structuring options considered for the transaction, including an assessment of risks, credit impacts and impacts on future financing flexibility. C. D. Closing Transcript. At least two transcripts containing the full set of legal documents, certificates, and legal opinions associated with each financing. There shall be at least one physical set of signed original documents, and one set in electronic form. D. E. Post-Pricing Book. A post-pricing book containing information about the bond sale, a list of bids received (if a competitive sale was used), a list of comparable pricings at the time of sale, a final debt service schedule, Committee on Uniform Security Identification Procedures (CUSIP) numbers, and other relevant information pertaining to the transaction. VII.

Administration and Internal Control Procedures A.

Expenditure of Proceeds. Whenever reasonably possible, proceeds of VTA’s debt shall be held by a third party trustee which will release such proceeds upon written requisition signed by the Chief Financial Officer, or authorized designee.

B.

Requisition of Bond Proceeds. To reimburse VTA for expenditures incurred, bond proceeds requisitions will be prepared by staff and will include summary expenditure data listing the projects funded and related dollar amounts, all totaling to the requisition amount.

Investment of BondDebt Proceeds C.

. Proceeds raised in a debt financing shall be invested in a manner that is consistent with the bond indenture, and pursuant to the VTA’s Investment policy for investments not address by the indenture.

D.

Continuing Disclosure. VTA shall remain in compliance with Securities and Exchange Commission (S.E.C.) Rule 15c2-12 by filing its annual financial statements and other financial and operating data for the benefit of its bondholders within the period required by each Continuing Disclosure Agreement.

E.

Reporting and Filing Requirements. VTA shall comply with the applicable financing documents and reporting and filing requirements in California Government Code Section 8855.

F.

Federal and State law.Tax Compliance. VTA shall comply with any federal tax requirements, including without limitation, private use tracking, arbitrage and rebate compliance.

,


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6.7.a

VIII. Market Relationships

IX.

A.

Rating Agencies and Investors. Rating Agencies evaluate the credit of public and corporate transactions. The CFO shall maintain a relationship with Moody’s Investors Service, Standard & Poor’s, and Fitch. In addition to general communications, the CFO or his/her appropriate designees, shall: 1) meet with each agency’s credit analyst periodically, and 2) communicate with each agency’s analysts prior to each competitive or negotiated sale and 3) provide notice of any direct purchase transactions.

B.

VTA Board of Directors Communication. As a means of providing feedback from rating agencies and/or investors regarding VTA’s financial strengths and weaknesses as perceived by the market place, the General Manager or CFO shall inform the Board of Directors and the Administration and Finance Committee as material information develops.

Continuing Disclosure G.

VTA shall remain in compliance with Securities and Exchange Commission (S.E.C.) Rule 15c2-12 by filing its annual financial statements and other financial and operating data for the benefit of its bondholders within the period required by each Continuing Disclosure Agreement.

XIX. Financing Team Members The implementation of VTA debt financings shall involve the following financing team members where appropriate: A.

Financial Advisor. VTA’s Financial Advisor shall work with the CFO in developing the most appropriate approach to a particular debt financing transaction, including the type of financing transaction, structural features, manner of sale, and other relevant matters. In a competitive sale, the Financial Advisor shall work with VTA and Bond Counsel to develop an appropriate set of documents, coordinating rating agency presentations, managing the sale process, and overseeing the closing. In a negotiated transaction, the Financial Advisor shall also assist the CFO in the selection of underwriters. The Financial Advisor shall be selected by the Board through a Request for Proposal process.

B.

Bond Counsel. Bond Counsel gives the legal opinion delivered with the bonds confirming that the bonds are valid and binding obligations of the issuer. VTA’s Bond Counsel shall work with the CFO, VTA General Counsel, and VTA’s Financial Advisor in providing legal advice on proposed financing structures, drafting the relevant legal documentation, providing the necessary legal opinions, and preparing the closing documentation. VTA General Counsel, and the CFO shall select Bond Counsel from a pool of firms with extensive experience in public finance. The pool of Bond Counsel firms shall be selected by the Board


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6.7.a

through a Request for Proposal process. C.

Disclosure Counsel. Disclosure Counsel coordinates the preparation of the Official Statement. VTA shall hire, when appropriate, Disclosure Counsel in the event of a competitive sale. Disclosure Counsel shall be responsible for ensuring that the official statement complies with all applicable rules regulations and guidelines. Disclosure Counsel shall be a firm with extensive experience in public finance may also serve as Bond Counsel. Disclosure Counsel shall be chosen from the pool of Bond Counsel firms selected by the Board through a Request for Proposal process.

D.

Trustee. A nationally recognized trust company, with assets of at least $100,000,000 shall serve as trustee on VTA’s bond issues. If desired by the CFO, the trustee may also serve as VTA’s dissemination agent for purposes of complying with applicable continuing disclosure requirements. If not appointed under an existing trust indenture, the trustee shall be selected by a Request for Proposal process conducted by the Financial Advisor on behalf of the CFO.

E.

Underwriters. If VTA sells its debt securities at competitive sale, the underwriter shall be that firm or syndicate of firms that provides VTA with the lowest true interest cost in accordance with the terms and conditions in the notice of sale. If VTA sells its debt securities in a negotiated sale, the underwriter or underwriters shall be selected on the basis of a Request for Proposal process conducted by the Financial Advisor on behalf of the CFO.

F.

Disclosure by Financing Team Members. VTA expects that all financing team members shall at all times provide VTA with objective advice and analysis, maintain the confidentiality of VTA financial plans, and be free from any conflicts of interest. All financing team members shall be required to provide full and complete disclosure, under penalty of perjury, relative to any agreements with other financing team members and outside parties that could compromise any firm’s ability to provide independent advice that is solely in the best interests of VTA or that could be perceived as a conflict of interest. The extent of disclosure may vary depending on the nature of the transaction.


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6.8





THROUGH:


FROM:

Director of Government Affairs, Jim Lawson

SUBJECT:

State Legislative Consulting Services Contract


Government Code Section 84308 Applies: Yes

ACTION ITEM RECOMMENDATION: Authorize the General Manager to execute a contract with Gonzalez, Quintana, Hunter & Cruz, LLC, (GQHC) for state legislative consulting services for a period of five years in the amount of $360,000. The term of the contract will be from February 3, 2017, to February 2, 2022. The fixed monthly retainer will be $6,000 for the entire five-year term of the contract. BACKGROUND: Historically, VTA has contracted with a Sacramento-based firm to represent its interests before the California State Legislature, the Governor’s Office and the various administrative agencies that have jurisdiction over transportation-related issues. These agencies include the California State Transportation Agency (CalSTA), the Department of Transportation (Caltrans), the California Transportation Commission (CTC), the California Air Resources Board (CARB), and the California Public Utilities Commission (CPUC). More recently, the Board of Directors authorized the General Manager to execute a five-year contract for state legislative consulting services with GQHC in February 2012 for a fixed monthly retainer of $5,000 for the entire term of the contract. VTA’s contract with GQHC is scheduled to expire on February 2, 2017. DISCUSSION: In anticipation of the expiration of the current contract with GQHC, VTA issued a request for proposals (RFP) for state legislative consulting services on September 28, 2016. The RFP was listed on the VTA Web site, and notices were sent to 25 Sacramento-based lobbying firms.


6.8

Under the work scope of the RFP, the selected firm generally will be responsible for performing the following activities on behalf of VTA in Sacramento:  Monitoring and reporting on state legislation, policies and regulations affecting VTA.  Providing professional counsel on and analysis of state transportation legislation, policies, regulations, and other activities that impact VTA.  Developing strategies for advancing actions at the state level that are beneficial to VTA.  Making recommendations with regard to the adoption of formal positions on state legislative proposals that impact VTA for consideration by the Board of Directors.  Conducting activities necessary to carry out VTA’s goals with regard to the passage, defeat or amendment of proposed state legislation.  Communicating directly with members of the Legislature, staff in the Governor’s Office and administrative officials on the impact of state transportation legislation, policies and regulations on VTA.  Assisting in the process of securing approval for state funding for VTA projects and programs. On October 26, VTA received written proposals from the following two firms: 1. GQHC. 2. Capitol Advocacy, with the Law Offices of Alberto Torrico proposed as a subcontractor. A panel was convened on November 10 to review and score these written proposals according to the following evaluation criteria: 1. 2. 3. 4. 5.

Qualifications of the firm Staffing and project organization Demonstrated understanding of the project Local firm preference Cost and price

25 points 20 points 20 points 10 points 25 points

The review panel consisted of VTA’s Government Affairs Manager; VTA’s Senior Policy Analyst in the Government Affairs Department; VTA’s Transportation Planning Manager in the Programming & Grants Department; VTA’s Contracts Administrator for this RFP; and the Associate Transportation Specialist in the Department of Transportation at the city of San Jose. After an in-depth evaluation of the written proposals, the review panel invited both firms for interviews, which were conducted on November 16. Each firm made an oral presentation of approximately 10 minutes in length and then answered a series of questions posed by the review panel. Following these oral interviews, the review panel ranked the two firms and concluded that GQHC was the best qualified to perform the work described in the RFP. The review panel is recommending that VTA continue to contract with GQHC for a number of reasons. Most importantly, the review panel observed that GQHC has been an effective advocate for VTA at the state level for the past five years, compiling a lengthy list of accomplishments.

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6.8

For instance, GQHC’s advocacy resulted in the enactment of seven bills that were either sponsored or co-sponsored by VTA, including legislation that:  Incorporates into the Transit and Intercity Rail Capital Program several concepts that have been successfully used for other federal and state transportation funding programs, such as a multi-year programming process, full funding grant agreements (FFGAs) and letters of no prejudice (LONPs). These structural changes will allow the program to better accommodate large public transit expansion projects, such as Phase 2 of VTA’s BART Silicon Valley Extension Project.  Authorizes VTA to use the Construction Manager/General Contractor (CMGC) project delivery method for public transit projects.  Prohibits motorists from parking, stopping or driving in a roadway lane that has been designated for the exclusive use of public transit buses, thereby enhancing the success of bus rapid transit projects.  Addresses an unintended problem that the Public Employees’ Pension Reform Act (PEPRA) created for VTA stemming from the lack of reciprocity between VTA’s Amalgamated Transit Union (ATU) Pension Plan and the California Public Employees’ Retirement System (CalPERS).  Provides a few more tools and a little more flexibility to enable public transit agencies to more effectively manage and utilize their formula shares under the Low Carbon Transit Operations Program (LCTOP). Over the past five years, GQHC also was successful in advocating for the enactment of 30 bills that were supported by VTA, including legislation that:  Establishes a process that would allow VTA and other regional transportation agencies to submit applications for constructing and operating express lanes and other toll facilities within their respective jurisdictions to the CTC for review and approval.  Provides general authorization for all cities, counties and special districts, including VTA, to use design-build contracting for any non-state-highway public works project costing in excess of $1 million.  Until January 1, 2024, authorizes VTA and other regional transportation agencies to use design-build contracting for projects on the state highway system within their respective jurisdictions.  Establishes a “pathway” for California public transit agencies to receive their federal grant funds while a disagreement between the Brown Administration and the U.S. Department of Labor (DOL) over whether PEPRA violates a provision in federal law known colloquially as Section 13(c) gets litigated.  Allows a public transit agency to issue citations to passengers who refuse to yield seating on its buses or rail vehicles reserved for seniors and disabled individuals, if the agency’s governing board enacts an ordinance to that effect.  Allows for the use of three-position bike racks on public transit buses of not more than 40 feet in length.

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 Facilitates the expenditure of $1.1 billion in Proposition 1A bond proceeds appropriated to the California High-Speed Rail Authority in 2012 for projects in the northern- and southern-most portions of the state’s high-speed train system, including $600 million dedicated to electrifying the Caltrain Corridor.  Streamlines state law regarding the maximum allowable weight for public transit buses. Finally, GQHC worked with key members of VTA’s state legislative delegation to help produce the following notable results that were beneficial to VTA:  Awarding of a $20 million grant from CalSTA under the Transit and Intercity Rail Capital Program for Phase 2 of VTA’s BART Silicon Valley Extension Project for the FY 2017/FY 2018 programming cycle. In awarding this grant, CalSTA stated that it anticipates being a long-term funding partner with VTA to see this project come to fruition.  Allocation of $119 million from the CTC under the Traffic Congestion Relief Program (TCRP) for construction of Phase 1 of VTA’s BART Silicon Valley Extension Project.  Launching of the Innovative Delivery Team (iTeam) with Caltrans District 4, a new business model for delivering transportation projects, providing local assistance services and improving traffic operations in Silicon Valley  Awarding of a $250,000 planning grant from Caltrans for the I-680 Corridor Study. Given this list of accomplishments, the review panel noted that switching to a different state legislative consulting firm at this time would pose a significant risk for VTA, and concluded that the Capitol Advocacy contractor/subcontractor team did not provide compelling and persuasive reasons as to why VTA should take such a risk. The review panel is also recommending that VTA continue to contract with GQHC because there were a number of aspects of its written proposal and oral interview performance that set it apart from the Capitol Advocacy team: 1. GQHC has a balanced approach to state advocacy. Its approach is bipartisan and bicameral, and includes both legislative and Executive Branch advocacy. GQHC has established effective relationships with key members of the Assembly and Senate from both political parties, as well as with staff members for the various policy and fiscal committees that have jurisdiction over issues of importance to VTA. In addition, the firm has been working directly with VTA’s Assembly and Senate delegations for the past five years and, therefore, has established sound relationships with them. Finally, GQHC has access to key officials in the Governor’s Office, CalSTA, Caltrans, the CTC, CARB, and the CPUC. 2. Having served as VTA’s state legislative consulting services firm for the past five years, GQHC has an in-depth knowledge of VTA’s specific projects and programs, as well as of VTA’s policy interests and priorities at the state level. 3. GQHC has years of experience and a solid track record in representing public-sector transportation clients comparable to VTA. In its written proposal and during its oral

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6.8

interview, this firm was able to demonstrate an in-depth knowledge of state transportation policy issues of relevance to VTA, the political dynamics surrounding those issues, and how they impact VTA. GQHC offered clear guidance on how VTA should position itself with regard to such important issues as state transportation funding, climate change, and project and transit service delivery. 4. Delaney Hunter, one of the managing partners of GQHC, will continue to serve as the project manager under the new contract. She has developed expertise in transportation policy issues of relevance and importance to VTA during her professional career, and has a passion for the issue area, which clearly came through during the oral interview. Moreover, she has advocated on behalf of VTA in Sacramento not only during the five years of VTA’s current contract with GQHC, but also for six years when she worked for Smith, Watts & Company, the firm with whom VTA previously contracted. During the oral interview, it became very apparent that Ms. Hunter has a thorough understanding of VTA as an organization, as well as of VTA’s priorities in Sacramento. 5. GQHC’s advocacy strategy has been an excellent match for VTA’s needs at the state level. The strategy of GQHC is to aggressively advocate for the specific interests of its clients within the context of the big picture. Conversely, other lobbying firms in Sacramento tend to focus their advocacy efforts on influencing the big picture to the general benefit of their clientele. The latter approach is identical to how the statewide associations, such as the California Transit Association, the Self-Help Counties Coalition and the California Association of Councils of Governments (CalCOG), operate. The review panel determined that the client-focused approach of GQHC, coupled with the benefits that VTA receives from its memberships in the California Transit Association, the Self-Help Counties Coalition and CalCOG, and with the work of VTA’s government affairs staff, offers a complete package, has greater potential to take VTA’s advocacy efforts in Sacramento to the next level, and will result in greater success. 6. GQHC proposed a far superior staffing plan. Under this staffing plan, the roles and responsibilities of the individuals with the firm who will be performing the work under this contract are clearly delineated, are complementary, and address the differing needs that VTA has when it comes to retaining a lobbying firm in Sacramento. In addition, while Ms. Hunter would continue to handle the day-to-day work performed on behalf of VTA under the new contract, VTA would still be able to tap into the expertise and legislative/administrative relationships of the other three managing partners of the firm. When compared with the staffing plan presented by the Capitol Advocacy team, the review panel determined that GQHC offered much better policy, political and advocacy experience and expertise. 7. GQHC proposed a price for its services that was considerably less than the figure provided by the Capitol Advocacy team. The review panel concluded that when coupled with the firm’s track record, experience, expertise, advocacy approach, and staffing plan, GQHC’s proposed price offered substantially more value. VTA counts on state funding for its capital and operating budgets -- for example, through the State Transit Assistance Program (STA), the State Transportation Improvement Program (STIP), the Transit and Intercity Rail Capital Program, LCTOP, and Propositions 1A and 1B. Moreover, the Legislature considers numerous bills every year that impact how VTA does its business. Therefore, it is important for VTA to have a contract with a firm located in Sacramento to

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6.8

represent its policy, project and program interests before the Legislature and the administration on a day-to-day basis. ALTERNATIVES: The Board of Directors could request VTA staff to initiate a new RFP process for this contract. DISADVANTAGED BUSINESS ENTERPRISE (DBE) PARTICIPATION: Although no DBE goal was established for this contract because of the lack of subcontracting opportunities, GQHC is a certified minority- and women-owned business. SMALL BUSINESS ENTERPRISE (SBE) PARTICIPATION: Although no Small Business Enterprise (SBE) goal was established for this contract, GQHC is a certified SBE. STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Administration & Finance Committee considered this item on December 15, 2016, and recommended that it be placed on the Consent Agenda for the January 5, 2017, Board of Directors meeting. In addition, the committee requested that staff bring an item before the Board of Directors at a future meeting regarding the ability of VTA to contract with other entities to assist on federal policy issues, if it is determined that Van Scoyoc Associates, VTA’s current advocacy firm in Washington, DC, does not have the appropriate expertise. During the Administration & Finance Committee meeting, Board Chairperson Cindy Chavez emphasized the importance of VTA having the flexibility to be able to tap into additional resources and expertise in an expeditious manner, if needed to effectively advocate on any issues impacting VTA that may be pursued by the Trump Administration. FISCAL IMPACT: This action will authorize $360,000 for state legislative consulting services for a five-year term. Budget appropriation for the contract through June 30, 2017, is included in the FY 2017 Adopted VTA Transit Fund Operating Budget and 2000 Measure A Transit Improvement Program Fund Capital Budget. Appropriation for the remainder of the contract will be included in subsequent Biennial Budgets. Prepared by: Kurt Evans Memo No. 5692 ATTACHMENTS: 

State Lobbying Contract RFP 2016 -- Government Section Code 84308 Attachment (PDF)

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6.8.a

Attachment A State Legislative Consulting Services List of Consultant(s)

Firm Name

Name

Role

Location

Gonzalez, Quintana, Hunter & Cruz, LLC

William Gonzalez David Quintana Delaney Hunter Stephen Cruz

Partner Partner Partner Partner

Sacramento, CA

6.9





THROUGH:


FROM:


SUBJECT:

Substance Abuse Testing, Medical Review Officer and Medical Exam Services



ACTION ITEM RECOMMENDATION: Authorize the General Manager to approve the award of the Substance Abuse testing contract to Alliance Occupational Medicine and Instant Urgent Care. The contract is for Substance Abuse Testing, Medical Review Officer Services, and Medical Examination Services for three (3) years at a cost up to $673,968, with an option for two (2) one-year extensions priced at up to $224,656 per year, for a total authorization of up to $1,123,280 for a five (5) year contract. BACKGROUND: The Federal Transit Administration (FTA) Drug and Alcohol Regulations mandate drug and alcohol testing for all safety-sensitive personnel. Safety-sensitive classifications are those who perform, or are ready to perform any duty related to the safe operation of mass transit vehicles. For VTA, this applies primarily to Coach Operators and Mechanics. The testing services must be provided by a qualified service agent and reviewed and verified by a qualified Medical Review Officer (MRO). Examples of the duties of the MRO include acting as an independent and impartial “gatekeeper” ensuring the accuracy and integrity of the drug testing process, providing quality assurance reviews of the drug testing process, determining whether there is a legitimate medical explanation for confirmed positive test results, and performing all other functions in compliance with Department of Transportation (DOT) regulations. Since the inception of VTA’s Substance Abuse program in 1995, the services of a testing facility and a MRO have been provided on a contract basis. The contractor is paid for each drug and alcohol test performed, and for the MRO’s review of the tests. Also provided under this contract are required testing services for employees holding a


6.9

Commercial Class B license, pre-employment physical examinations and drug tests, and Hepatitis (HepB) vaccination and pulmonary function testing. Currently, these services are provided by U.S. HealthWorks, Inc. On an annual basis, they are providing approximately 1,600 urine and 900 breath tests, 275 new physicals for newly hired personnel including pre-employment drug tests, 600 Department of Motor Vehicle (DMV) Class B license recertification medical examinations, five (5) HepB vaccinations and 25 pulmonary function tests. DISCUSSION: A Request for Proposal (RFP) was issued on July 25, 2016. Four (4) firms, Alliance Occupational Medicine, Instant Urgent Care, Norton Medical Industries and US HealthWorks submitted proposals, three (3) of which were selected to go through the interview process to determine which contractor would best meet VTA’s needs. All proposals were considered and reviewed by a panel consisting of the Substance Abuse Program staff, a Contracts Administrator II, ATU’s President and Business Agent, AFSCME’s President, and Human Resources personnel. Each proposal was evaluated on the basis of technical experience, staffing and project organization, demonstrated understanding of the project, cost and geographical location. In the course of the review, the panel eliminated Norton Medical Industries due to features in their business model that were considered to be insufficient for VTA’s needs. The incumbent clinic, U.S. HealthWorks, was eliminated after the interview process. While U.S. HealthWorks’ business model meets the needs of VTA, there have been several issues that have occurred during the course of the contract agreement dating back to 2002. During the interview, they were asked questions related to resolving current recurring issues and they failed to provide sufficient answers. As a result, it was evident that Alliance Occupational Medicine and Instant Urgent Care far exceeded the other proposers in all areas. They have over 25 and 19 years of technical experience in occupational health and medical services, respectively. They have held contracts with other regional public agencies including County of Santa Clara, City of Milpitas, Mountain View and Santa Clara, and Santa Clara Valley Water District. Their staffing and project organization were thoroughly addressed, the Work Plan had all required elements and they demonstrated understanding of the key issues involved in collection procedures (e.g., direct observation, refusal to cooperate, cancelled tests). Both clinics also document everything from start to finish with each employee. Alliance Occupational Medicine has three (3) collection sites and will serve as the primary service provider to VTA. Instant Urgent Care has two (2) collection sites and will serve as the back-up collection site. The estimated cost for drug and alcohol testing and MRO services, pre-employment examinations and testing, HepB vaccinations and Pulmonary Function tests over the next three years is $673,968, with two (2) one-year optional extensions priced at $224,656 per year, for a five (5) year total cost of $1,123,280. This estimate is based on 12,360 drug and alcohol tests and related medical review officer services, 4,300 medical examinations and 125 Pulmonary

Page 2 of 3

6.9

Function tests. The price analysis shows that all proposals submitted for consideration were comparable in pricing and includes an average of a 4% annual escalation rate. ALTERNATIVES: There are no practical alternatives as these testing requirements are mandated by state and federal laws. FTA regulations require that employees performing safety-sensitive functions be tested for the use of illegal drug and the misuse of alcohol. VTA policy requires Pre-employment examinations, and the State of California requires medical certificates for Class B driver’s licenses. DISADVANTAGED BUSINESS ENTERPRISE (SBE) PARTICIPATION: Based on the limited scope of work and no subcontracting opportunities, no specific goal has been established by the Office of Business Diversity Programs for this contract. Contractor is encouraged to make reasonable efforts to meet VTA’s SBE overall annual goal of 19% in its procurement of ancillary services and products associated with the performance of this contract. FISCAL IMPACT: This action will authorize up to $1,123,280 for drug and alcohol testing and MRO services, preemployment examinations and testing, HepB vaccinations and Pulmonary Function tests. Appropriation for expenditures through June 30, 2017 are included in the FY 2017 Adopted VTA Transit Fund Operating Budget. Appropriation for the remaining term of contract will be included in subsequent Biennial Budgets. STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Administration and Finance Committee reviewed this item as part of the Consent Agenda on December 15, 2016. The Committee recommended Board approval and placed this item on the Board's consent agenda. Prepared by: Linda Durham Memo No. 5860 ATTACHMENTS: 

Attachment A - Goverment Policy

(PDF)

Page 3 of 3

6.9.a

Contractor Firm

Contact

Title

Email

Phone

Alliance Occupational Medicine Instant Urgent Care

Rena Flovin

Vice President

[email protected]

408.228-0455

Rick Virk

Chief Operating Officer

[email protected]

408-687-4806

Contractor Role Primary Contractor Secondary Contractor

Location San Jose, CA San Jose, CA

6.10





THROUGH:


FROM:


SUBJECT:

Authorization for SVRT Utility & Public Agency Conveyances



ACTION ITEM RECOMMENDATION: Authorize the General Manager to approve and execute all documents necessary to convey or assign easement rights or fee title, as applicable, to third party agencies, who will operate and maintain certain facilities and infrastructure constructed as part of Phase 1 of the Silicon Valley Rapid Transit Program (“SVRT”), which includes the Silicon Valley Berryessa Extension (“SVBX”), the Kato Road Grade Separation, the Mission Boulevard and Warren Avenue Grade Separation, and the Freight Railroad Relocation Projects. BACKGROUND: As part of Phase 1 of the SVRT Program (“SVRT”), VTA constructed or is in the process of constructing various facilities and infrastructure ancillary to the operation of BART. Examples include, but are not limited to, new roads, road widenings, turn pocket lanes, grade separations, sidewalks, trails/bike paths, storm management and water treatment facilities, and public utility facilities. VTA also relocated portions of Union Pacific Railroad’s facilities in the City of Milpitas. Many of the foregoing infrastructure and facilities were constructed pursuant to agreements with various agencies, including, but not limited to, the City of San Jose, City of Milpitas, City of Fremont, Alameda County Flood Control and Water District, Santa Clara Valley Water District and Union Pacific Railroad Corporation. Given the nature of the infrastructure, it is beneficial and appropriate for agencies other than VTA to own, operate and maintain these facilities. While the agreements addressed the construction, operation and maintenance of these facilities, they did not specifically authorize the General Manager to approve and execute documents necessary to convey property rights to the agencies for them to operate and maintain these facilities.


6.10

DISCUSSION: VTA and various agencies entered into agreements to construct infrastructure and facilities ancillary to BART operations. Many of these facilities were constructed to mitigate traffic and drainage issues caused by the construction of Phase 1 of SVRT. In other cases, facilities were relocated because their locations conflicted with proposed BART facilities. These facilities are more appropriately operated and maintained by agencies that routinely operate and maintain such facilities. Roadways, trails/bike paths and ancillary public utility areas that are unrelated to BART facilities, for instance, are typically operated and maintained by cities, counties or Caltrans -- not by VTA. VTA similarly does not typically maintain creeks, storm drainage or storm water treatment facilities that are unrelated to BART operations. VTA has acquired or is in the process of acquiring the real property interests necessary to construct the foregoing infrastructure or to relocate utilities. There are approximately 32 conveyances that need to be made for various infrastructure and facilities and approximately 57 conveyances required for replacement rights for these projects. Many of these conveyances have a dollar value of less than $500,000 and pursuant to the Administrative Code changes authorized by the Board at its December 8th meeting, the General Manager is authorized to execute these conveyances. However, certain conveyances, in particular new roadways through the Milpitas BART and Berryessa BART station, as well as other large easements, have a value greater than $500,000. To efficiently and timely convey these facilities to third parties and to convey the necessary replacement property rights to the utilities, VTA staff requests the Board to authorize the General Manager to execute documents necessary to accomplish these goals as recommended above. ALTERNATIVES: The Board may, in its discretion, decide not to provide the requested authorization to the General Manager, and, instead, require that each conveyance be approved by the Board. FISCAL IMPACT: There is no direct fiscal impact as a result of this action. STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Administration and Finance reviewed and recommended approval of this item as part of their consent agenda at their December 15, 2016 meeting. The Committee placed this item on the consent agenda for the VTA Board of Directors meeting on January 2017. Prepared by: Ron Golem Memo No. 5849

Page 2 of 2

6.11





THROUGH:


FROM:

Director of System Safety & Security, Rufus Francis

SUBJECT:

Allied Universal Contract Amendment 2



ACTION ITEM RECOMMENDATION: Authorize the General Manager to execute an amendment to VTA’s contract with Universal Protection Services, LP, dba Allied Universal Security Services, increasing the contract amount by $7,589,000, for a new contract amount not to exceed $34,984,000 for the remaining three years of the existing five year agreement (through FY19). BACKGROUND: The Auditor General findings dated May 18, 2016 recommended that: “VTA should evaluate existing levels and capabilities of law enforcement, private security and fare inspectors in conjunction with projected needs for BART SV service implementation and ongoing special events, to identify what VTA’s ideal staffing level would be to meet the Board’s strategic vision for public safety and accomplishing operating priorities on an ongoing, sustainable basis. VTA should also consider all types of resources that could be utilized (i.e., sheriff technicians in lieu of fare inspectors, since fare inspector cannot run ID checks and execute law-enforcement tasks, this results in Sheriff’s staff being taken away from primary responsibilities).” VTA’s security plan involves a combination of sworn law enforcement officers and private security services. VTA contracts with the County of Santa Clara, Office of the Sheriff (Sheriff) for sworn law enforcement services. Private security services are contracted with Allied Universal Security Services (formerly known as AlliedBarton Security Services, LP and hereafter, referred to as “Allied Universal”). VTA also uses Fare Inspectors who are VTA


6.11

employees to check on patron fares/tickets, any safety and security issues, and violations such as smoking, drinking and eating on VTA’s transit system. VTA’s goal is to operate a safe bus and light rail transit system. The following outlines the current security staffing plan and the corresponding roles. Allied Universal - Unarmed: Uniformed Security Staffing - 2,840 weekly hours (71 FTEs)  Provide on-site security at all VTA work facilities  Provide foot patrols roving between selected light rail stations and stationary security at selected light rail stations and transit centers  Provide security on the light rail system by riding light rail trains  Provide ambassador services as necessary, including at VTA construction projects Allied Universal - Armed: Uniformed Security Staffing - 1,480 weekly hours (37 FTEs)  Provide protective services to assist with revenue collection  Manage VTA's CCTV Program  Process Lost and Found Sheriff Transit Patrol Unit Staffing - 1040 weekly hours (26 FTEs)  Provide a uniformed law enforcement presence  Investigate crime  Enforce the law  Support service needs and events  Provide a Route Stabilization Team (RST) - undercover unit  Respond to calls for service VTA Fare Inspectors Staffing - 720 weekly hours (18 FTEs)  Provide assistance to patrons at VTA stations’ Ticket Vending machines  Check onboard patron fares and take appropriate fare collection actions as needed  Observe and report any safety and security issues, including violations such as smoking, drinking and eating on VTA’s transit system DISCUSSION: In response to the Auditor General findings, VTA conducted an evaluation of existing staffing levels and capabilities of law enforcement, private security, and fare inspectors to determine projected needs for the BART extension into Silicon Valley and ongoing special events and to identify VTA’s ideal staffing levels to ensure that the passengers, employees, and assets are safe and secure. During its evaluation, VTA found that crime and an increase in potential terrorist

Page 2 of 6

6.11

threats against public transportation systems necessitate additional resources. In fact, Allied Universal security officers continue to experience an increase in calls for service and are frequently called upon to assist the Sheriff’s Transit Patrol Division in responding to more serious and violent types of crime on the bus and light rail system. In addition numerous special events (stadium events, presidential visits, 4thof July, etc.) place ever increasing demands on VTA’s security providers. For example, a contract amendment was necessary to support VTA's additional security needs for Super Bowl 50. Specifically, the wage rate table was revised for a specific length of time to increase the hourly wage rates for selected classifications. This was done in order to attract temporary additional security personnel needed to support VTA's security needs. For reference, Table I shows the amendment history for their contract.

Table I Amendment History for Allied Universal Contract S14098 Vendor Name: Allied Universal Original Board Authorized Amount: $27,395,000 Security Services 5 years (through FY19) and $39,732,000 if the 2 one-year options are exercised (through FY21) Contract Number: S14098 Prior Modification: Amendment 1 (February 2016) modified the wage rate table increasing the hourly wage rate for a specific duration of time (February through December 2016) for selected classifications in order to attract temporary additional personnel for National Specific Security Events. No increase was made to contract value. Contract Term(s): 5 years with 2 oneAmount Requested: $7,589,000 (For the remaining year options 3 years of base contract through FY19) Total Amount Including Request: $34,984,000 Procurement Type: Competitive % of Request to Current Amount: 28% Services Small Business Enterprise Goal: No % Modifications including request to original Goal contract: 28% Disadvantaged Business Enterprise Funding Source(s): VTA Transit Fund, 2000 Goal: No Goal Measure A Fund, 2008 Measure B Program Finally, staff has determined that to ensure VTA’s assets are safe and secure, it is clear that private security resources must be in place for the BART extension into Silicon Valley at the following locations and prior to BART train testing and turnover of the Milpitas and Berryessa transit centers, the at-grade parking lots, the two parking structures, and the pedestrian bridge. If approved, the proposed amendment is based on the outcome of VTA’s evaluation and will increase the uniformed security presence not only at BART facilities but throughout VTA's bus and light rail systems. Following are the proposed increases to the Allied Universal contract for additional protective services.

Page 3 of 6

6.11

Proposed Additional Contract Security Staff and Services for VTA System  Up to a maximum of 1,120 weekly hours or 28 FTEs, spread over 7 days and among 3 different shifts. These hours will be made up of uniformed, unarmed Security Specialists for VTA bus and light rail service deployed as rovers riding light rail on the Tasman West, Tasman East, Guadalupe and Vasona lines.  Up to a maximum of 224 weekly hours or 6 FTEs, spread over 7 days and among 3 different shifts. These hours will be made up of uniformed, unarmed Security Specialist Supervisors who will supervise the Security Specialist teams while patrolling in marked Protective Services vehicles. Proposed Additional Contract Security Staff and Services for the BART Silicon Valley Extension Phase -1 - January 2017  Up to a maximum of 520 weekly hours or 13 FTEs, spread over 7 days and among 3 different shifts. These hours will be made up of uniformed, unarmed Security Specialists starting in January 2017 to provide security for the BART parking garages located at Milpitas and Berryessa BART Stations. Security for other assets at these stations (surface parking lots, the pedestrian bridge, and the transit center) will be provided by the project contractors until BART facilities are turned over to VTA. Phase - 2 - Fall 2017  Up to an additional 520 weekly hours or 13 FTEs, spread over 7 days and among 3 different shifts. These hours will be made up of uniformed, unarmed security that is comprised of Security Specialists and Security Specialist Supervisors once the BART facilities are turned over to VTA. Summary of Proposed Combined Sheriff's Staff & Allied Universal Staff for VTA & BART Table II reflects both the additional sworn staffing previously approved by the VTA Board as well as staff’s proposed amendment to the Allied Universal contract for uniformed, unarmed security for VTA’s bus and light rail and for BART facilities.

Sheriff's Contract Allied Universal - Security Allied Universal Supervisors Total

Table II Proposed Additional FTEs VTA Transit BART Extension 12.5 16 28 21 6 5

Total 28.5 49 11

46.5

88.5

42

Page 4 of 6

6.11

Summary of Proposed Cost Increase to VTA’s Original Contract with Allied Universal The proposed contract amendment totals $7,589,000 and is based on hourly wage rates for each noted classification, which in turn includes a 2% escalation rate per fiscal year for the three remaining years of the contract. This total amount also takes into consideration equipment (radios, cell phones, ear pieces and chargers) and training needs, with existing equipment and additional equipment needed for this contract being fully paid for at the end of FY19. The contract amendment also establishes a 6% contingency for unanticipated needs, as noted in Table III below. Table III FY17 to FY19 (7/1/16 to 6/30/19) Allied Universal - Contract Amendment 2 FY17 FY18 FY19 6,246,569 7,685,840 7,840,914 34,000 27,000 27,000 336,000 336,000 336,000 79,663 105,663 105,663

Labor Training Special Events Equipment (Radios and Cell Phones) Construction Projects 50,000 100,000 100,000 Projected Operating 6,746,233 8,254,504 8,409,577 Cost Plus 6% Contingency 404,774 495,270 504,575 Total Estimated 7,151,007 8,749,774 8,914,151 Contract Value FY17 to FY19 Plus Previously Expended Amounts FY15 & FY16

Total 21,773,323 88,000 1,008,000 290,990 250,000 23,410,313 1,404,619 24,814,932

10,168,610 Total 34,983,542 Less Board Approved Contract Value (5 years) 27,395,000 Total Increase of Contract Amendment 2 (for remaining 3 years) 7,588,542

ALTERNATIVES: The Board could direct staff to increase or decrease Allied Universal staffing or reapportion staffing levels between Allied Universal and the Sheriff. FISCAL IMPACT: This action will authorize up to a total of $7,589,000 for private security services to cover enhanced staffing levels for VTA bus and light rail services, support for the BART extension into Silicon Valley, and the continuation of key programs for the remaining three years of the existing contract agreement. The private security services dedicated to BART will be paid by the 2000 Measure A Transit Improvement Program and the 2008 Measure B BART Operating Sales Tax Program, as applicable. Appropriation for the contract term, through June 30, 2017, is

Page 5 of 6

6.11

available in the FY17 Adopted VTA Transit Fund Operating and 2000 Measure A Transit Improvement Program Fund Capital Budgets. Appropriation for the remaining term of the contract will be included in subsequent Biennial Budgets. STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Administration and Finance Committee (ADM/FIN) discussed and unanimously recommended the Board to approve the staff recommendation. The Committee requested the following: current Allied Universal’s Specialist Training Manuals, Bill Rates and special training received by Specialist Officers. Prepared by: Cathy Hendrix Memo No. 5861 ATTACHMENTS: 

Government Section Code 84308 AlliedUniversal - Attachment A

(PDF)

Page 6 of 6

6.11.a

Attachment _A__ AlliedUniversal Contract Amendment II List of Consultant(s)/Contractor(s)

Firm Name

Name

Role

Location

AlliedUniversal Security Services

Kelly Murcray

Vice President Operations

2540 North First Street Suite 101 San Jose CA 95131

6.12





THROUGH:


FROM:


SUBJECT:

Mathilda Avenue Improvements at SR 237 and US 101 - Contract Amendment #2



ACTION ITEM RECOMMENDATION: Authorize the General Manager to execute a contract amendment with WMH Corporation in an amount not-to-exceed $2,200,000 for a not-to-exceed total contract value of $4,844,551 and extend the contract term to December 31, 2018 to complete the Final Design and Right -Of-Way Engineering services for Mathilda Avenue Improvements at SR 237 and US 101 project. BACKGROUND: The Santa Clara Valley Transportation Authority (VTA), California Department of Transportation (Caltrans), and City of Sunnyvale are partnering on the development of the Mathilda Avenue Improvements at SR 237 and US 101. The project proposes to improve local roadway operations on Mathilda Avenue in the City of Sunnyvale from Almanor Avenue to Innovation Way, including on- and off-ramp improvements at the SR 237/Mathilda Avenue and US 101/Mathilda Avenue interchanges. The purpose of the project is to reduce congestion on Mathilda Avenue, improve mobility for all travel modes, and provide better access to local destinations. In December 2012, the VTA Board of Directors authorized the General Manager to execute a cooperative agreement with the City of Sunnyvale to define the roles and responsibilities of each party in funding and for project development. The cooperative agreement was executed in April 2013. Per the cooperative agreement, VTA’s funding contribution is $250,000 and the City of Sunnyvale’s funding contribution is $3,750,000 for a total of $4,000,000 in available funding for the project.


6.12

On March 29, 2013, VTA issued a Request for Proposals (RFP 13-08) to nine pre-qualified firms from the On-Call Highway Planning and Engineering list (RFQ 11-04) to perform planning, preliminary engineering and environmental documentation work for the the Mathilda Avenue Improvements at SR 237 and US 101 project. Based on the results of this selection process, VTA staff recommended the award of the contract for the planning, preliminary engineering and environmental documentation services for the Mathilda Avenue Improvements at SR 237 and US 101 project to WMH Corporation. This procurement provided for the ability for contract amendments to the WMH Corporation contract for final design services through two previous VTA board authorizations:  Planning, preliminary engineering and environmental documentation for an amount not to exceed $1,400,000 on June 6, 2013.  Complete environmental scope of services and begin Final Design and Right-of-Way Engineering services for an amount not to exceed $1,244,970 on June 2, 2016. On June 6, 2013, the VTA Board authorized the General Manager to execute a cost plus fixed fee contract with WMH Corporation in an amount not to exceed $1,400,000 for an initial term of three years to perform planning, preliminary engineering and environmental documentation services for the Mathilda Avenue Improvements at SR 237 and US 101 project. Contract No. S13089 was subsequently issued to WMH Corporation on August 19, 2013 in the amount of $1,399,581. At the June 2, 2016 meeting, the VTA Board authorized the General Manager to execute a contract amendment with WMH Corporation in an amount not-to-exceed $1,244,970, for a notto-exceed total contract value of $2,644,551 and extend the contract term to December 31, 2017 to complete the environmental scope of services and begin Final Design and Right -Of-Way Engineering services for the Mathilda Avenue Improvements at SR 237 and US 101 project. However, a future amendment would be needed to complete Final Design and Right-of-Way services. On October 6, 2016, the VTA Board authorized the General Manager to negotiate and enter into a cooperative funding agreement with the City of Sunnyvale for an amount up to $11,380,000 to help fund mutually defined regional transportation improvements to be delivered by VTA. The estimated additional amount needed to complete Final Design and Right-of-Way services for the Mathilda Avenue Improvements at SR 237 and US 101 project is $4,000,000. DISCUSSION: This high priority project for the City of Sunnyvale is needed to address existing and future projected roadway congestion and improve mobility for all travel modes in the area, including the providing of efficient access between downtown Sunnyvale and developments to the north of SR 237 that is critical to the City's economic vitality. Execution of this contract amendment helps to ensure that this vital project for the City and the region stays on schedule. The second allocation of $4,000,000 bringing the total amount provided to the project would be sufficient to complete work through Final Design and Right-Of-Way Engineering services. The

Page 2 of 4

6.12

City is preparing to take the amendment of the existing cooperative agreement between VTA and the City to increase the City's contribution to $8,000,000 to a January 2017 city council meeting. VTA staff is recommending to amend the scope of the existing WMH Corporation contract for additional services to complete Final Design and ROW Engineering phases of work. The recommendation to amend the existing contract with WMH Corporation is based on the consultant's excellent performance to date on this project. The existing contract is $2,644,551. The additional scope of work would require an additional $2,200,000 for a new contract amount not to exceed 4,844,551. The recommended contract amendment would extend the term to December 31, 2018. The WMH Corporation contract will need to be amended in the future to provide services to support ROW Acquisition and for Design Support during Construction. Contract Summary Vendor Name: WMH Corporation Contract Number: S15089 Contract Term(s): December 31, 2018 Procurement Type: Competitive Small Business Enterprise Goal: 11.71% (goal of existing contract) Funding Source(s): City of Sunnyvale & VTA Local Program Reserve

Original Contract Amount: Prior Modifications: Amount Requested: Total Amount Including Request: % of Request to Current Amount:

$1,399,581 $1,244,970 $2,200,000 4,844,551 83.19%

% Modifications including request to original contract:

246.14%

ALTERNATIVES: The Board of Directors could elect not to authorize amending the contract. However, that action would delay the completion of the project. FISCAL IMPACT: This action will authorize up to $2,200,000 for Final Design and Right-of-Way Engineering services. There is sufficient appropriation for these expenditures in the FY17 Adopted VTP Highway Improvement Program Fund Capital Budget. This contract will be funded by City of Sunnyvale funds. SMALL BUSINESS ENTERPRISE (SBE) PARTICIPATION: A Small Business Enterprise (SBE) goal of 11.71% has been established for this contract. WMH Corporation has met the established goal and has committed to the 11.71% SBE participation on this contract. This amendment does not change the SBE requirements for this contract.

Page 3 of 4

6.12

STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Administration and Finance Committee considered this item as part of its December 15, 2016 meeting regular agenda but did not have a quorum to make a recommendation. Chair pro tem Larry Carr asked to confirm that the funds were from the City of Sunnyvale. Prepared by: Gene Gonzalo Memo No. 5839 ATTACHMENTS: 

Attachment A

(PDF)



Attachment B

(PDF)

Page 4 of 4

6.12.a

Attachment A Mathilda Avenue Improvements at SR 237 and US 101 - Contract Amendment Location Map

6.12.b

Attachment B Mathilda Avenue Improvements at SR 237 and US 101 - Contract Amendment List of Consultants

FIRM NAME

NAME

ROLE

LOCATION

WMH Corporation (Prime Consultant)

William Hadaya

President

San Jose, CA

BASELINE Environmental Consulting (Sub-Consultant)

Yane Nordhav

Principal

Emeryville, CA

Fehr & Peers (Sub-Consultant)

Matthew Haynes

Sr. Associate

San Jose, CA

Haygood Associates (Sub-Consultant)

Leah Haygood

President

Albany, CA

ICF International (Sub-Consultant)

Mike Davis

Sr. Vice President

San Jose, CA

Parikh Consultants (Sub-Consultant)

Gary Parikh

President

San Jose, CA

RBF Consulting (Sub-Consultant)

Paul Klein

Executive Vice President

San Jose, CA

RSE, Inc (Sub-Consultant)

Nasser Ashrafi

Vice President

Belmont, CA

Wreco (Sub-Consultant)

Han-Bin Liang

President

Walnut Creek, CA

Y&C Transportation (Sub-Consultant)

Dan Yau

President

Sacramento, CA

6.13





THROUGH:


FROM:


SUBJECT:

2016 Measure B Certification



ACTION ITEM RECOMMENDATION: Receive and declare the results of Measure B as set forth in the Certificates of Election Results for the General Election held on November 8, 2016, pursuant to Elections Code Section 15400. BACKGROUND: On June 24, 2016, the Board of Directors approved a resolution calling for a measure to be placed on the ballot. This was Measure B, a one-half cent sales tax to repair potholes and fix local streets; finish the BART extension through downtown San José and to Santa Clara; improve bicycle and pedestrian safety; increase Caltrain capacity, in order to ease highway congestion, and improve safety at crossings; relieve traffic on the expressways and key highway interchanges; and enhance transit for seniors, students, low-income, and disabled. This measure was placed on the ballot as part of the General Election held on November 8th, 2016. We received the certified results of this election from the Santa Clara County Registrar of Voters (Elections Official) that show this measure was approved by the voters. Attached are the Certificate(s) and Official Final Results for the Measure received from the Santa Clara County Registrar of Voters. DISCUSSION: Elections Code Section 15372 provides that the Elections Official shall prepare a certified statement of the results of an election and submit it to the governing body within 28 days of the election. Elections Code Section 15400 provides that the governing body (VTA Board of Directors) shall declare the results of each election under its jurisdiction as to each measure


6.13

voted upon at the election. For the November 8, 2016 Election, the result to be declared for VTA is as follows: Measure B - passed (Yes - 71.74%; No - 28.26%). DISCUSSION: There are no practical alternatives. FISCAL IMPACT: There is no fiscal impact associated with the approval of this certification. Prepared by: Jim Lawson Memo No. 5871

Page 2 of 2

6.13.a

CERTIFICATE OF ELECTION RESULTS

STATE OF CALIFORNIA COUNTY OF SANTA CLARA

) ) ss. )

I, Shannon Bushey, Registrar of Voters of the County of Santa Clara, State of California, hereby declare: 1. A Presidential General Election was held in the County of Santa Clara, in the Valley Transportation Authority, on November 8, 2016 for the purpose of submitting the following measure to the voters:

8

To relieve traffic, repair potholes; shall VTA enact a 30-year half-cent sales tax to: • • • •

Repair streets, fix potholes in all 15 cities; Finish BART extension to downtown San Jose, Santa Clara; Improve bicycle/pedestrian safety, especially near schools; Increase Caltrain capacity, easing highway congestion, improving safety at crossings; • Relieve traffic on all 9 expressways, key highway interchanges; • Enhance transit for seniors, students, disabled; Mandating annual audits by independent citizens watchdog committee to ensure accountability?

2. The official canvass of the returns of the election was conducted by the Office of the Registrar of Voters in accordance with the appropriate provisions of the Elections Code of the State of California. 3. The Statement of Votes Cast, now on file at my office, shows the whole number of votes cast for Measure B in each of the precincts and the total shown is true and correct. WITNESS my hand and Official Seal this 8th day of December, 2016.

6.13.a Santa Clara County

Cumulative Totals

November 8. 2016

Proposition 84 - Marijuana Legalization

Proposition 59 ~ Campaign Finance

Completed Precincts:

OFFICIAL FINAL RESULTS

SCC_20161108_E


1,063 of 1,063

Measure B- VT A- Sales Tax

1,063 of 1,063

388,319 61.56% YES 242 464 38.44% NO

YES NO


NO YES

362,008 55.74% 287 455 44.26%

1,063 of 1,063

YES NO

1,063 of 1,063

353,709 52.04% 326 026 47.96%


Proposition 62 - Death Penalty


Proposition 63 - Firearms. Ammunition Sales



YES NO Run Daternme: 12/6/16 3:00:54 PM

500,802 73.93% BONDS YES. 176 626 26.07% BONDS NO


30 of 30

12,790 54.83% 10 536 45.17%

Measure E - City of San Jose - Opportunity to Work

1,063 of 1,063


504 of 504

446,530 65.83% YES 231 748 34.-17% NO

Measure A- County of Santa Clara- Bonds

1,063 of 1,063

14,147 60.88% 9089 39.12%

336,097 52.24% NO 307 306 47.76% YES

358,930 54.00% YES 305 794 4·6.00% NO

YES NO

30 of 30

NO YES

1,063 of 1,063

Proposition 67- Referendum To Overturn Ban

1,063 of 1,063


Measure D- City of Cuperti~o- Vallee Town Center

327,823 50.30% NO 323 860 49.70% YES

YES NO

487,539 71.74% 192,057 28.26%

Measure C-City of Cupertino-Sensible Growth Jnitia

Proposition 66 - Death Penalty. Procedures '

Proposition 61 -State Prescription Drug Purchases



1.D63 of 1,063

1,063 of 1,063

406,385 58.29% YES 290,786 41.71% NO

Proposition 65- Carry-Out Bags Charges

Proposition 60- Adult Films



202,634 63.94% 114 263 36.06%

Measure F- City of San Jose- Pension Agreement

1,063 of 1,063

454,284 67.88% YES 214 968 32.12% NO


------

504 of 504

188,943 61.14% 120,104 38.86%

Paae 8 of 10

6.14





THROUGH:


FROM:

General Counsel, Robert Fabela

SUBJECT:

State Board of Equalization Agreements for Preparation and Administration of 2016 Transactions and Use Tax Ordinance



ACTION ITEM RECOMMENDATION: 1. Adopt a resolution authorizing the General Manager to execute agreements with the State Board of Equalization to prepare and administer VTA Tax Ordinance No. 2016.01, “An Ordinance of the Santa Clara Valley Transportation Authority Enacting a Transactional Use Tax, Subject to Adoption by the Electorate, Which Tax to Be Administered by the State Board of Equalization,” (also known as the Silicon Valley Transportation Solutions Tax Ordinance) adopted by VTA Board on August 4, 2016; 2. Adopt a separate resolution authorizing the Chief Financial Officer, or other officer or employee of VTA designated in writing by the Chief Financial Officer, and VTA's transaction and use tax auditor, MuniServices, LLC, to examine transaction and use tax records; and 3. Adopt a 2016 Measure B Transportation Improvement Program Fund Operating Budget of $175,000 for Fiscal Year 2017. (Requires 2/3 Approval of the Board.) BACKGROUND: On June 24, 2016, the Board of Directors approved a resolution calling for a transactions and use tax measure to be placed on the ballot. VTA's tax measure, identified as Measure B, was placed on the ballot as part of the General Election held on November 8th, 2016. Over 2/3 of the voters approved Measure B.


6.14

Revenue and Taxation Code §7270 requires VTA to contract with the State Board of Equalization (SBOE) to perform all functions incident to the administration and operation of any VTA Transactions and Use Tax Ordinance. VTA is also required to pay SBOE for the costs incurred to prepare and administer the ordinance. DISCUSSION: The first resolution, which is required by the SBOE, authorizes the General Manager to execute two agreements: an agreement for the preparation to administer and operate the Silicon Valley Transportation Solutions Tax Ordinance (i.e, VTA Tax Ordinance No. 2016.01), and an agreement for on-going administration of the Ordinance. The resolution is attached hereto as Attachment A. The form of "Agreement for State Administration of District Transactions and Use Taxes," and the form of "Agreement for Preparation to Administer and Operate Transactions and Use Tax Ordinance" are attached to the Resolution. The agreement with the SBOE requires that VTA pay the SBOE for the start-up costs incurred by the SBOE to prepare for the administration of the VTA transactions and use tax. The costs associated with the preparation cannot exceed $175,000 pursuant to Revenue and Taxation Code §7272. These costs were not included in the Adopted Fiscal Year (FY) 2017 Operating Budget. As such, staff is recommending that the Board adopt a 2016 Measure B Transportation Improvement Program Fund Operating Budget of $175,000 for FY 2017 in order to pay the SBOE. In addition, SBOE will also incur costs related to on-going administration of the VTA Ordinance. The fee charged to VTA by the SBOE to recoup is costs is calculated using a legislatively approved costing model, pursuant to Revenue and Taxation Code Section 7273. The fee includes direct, indirect, and central agency charges. The fee is based upon the estimated cost of the sales tax program and revenue estimates for each local entity. Once actual costs and revenues are known, the difference between the current year billing and actual cost is included as an adjustment to a subsequent current year assessment. The fee is billed quarterly and deducted from revenue received on behalf of the local entity. The adoption of the second resolution will provide the ability for VTA staff and MuniServices, LLC (VTA's current transactions and use tax auditor) to examine tax records to track, forecast, and detect misallocations or missing tax payments. The Resolution Authorizing the Examination of Transactions (Sales) and Use Tax Records is attached hereto as Attachment B. ALTERNATIVES: There are no alternatives for the administration agreements with the SBOE as they are required by statute. The Board could choose not to adopt the resolution allowing for the examination of tax records. However, this would result in VTA's inability to verify that all taxes that are due to VTA are, in fact, received by VTA.

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FISCAL IMPACT: If all actions are taken, this will create a 2016 Measure B Transportation Improvement Program Fund Operating Budget of $175,000 for Fiscal Year 2017. Prepared by: Evelynn Tran, Assistant General Counsel Memo No. 5904 ATTACHMENTS: 

Attachment A to SBOE board memo



Attachment B to SBOE Board memo (2)

(PDF) (PDF)

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RESOLUTION NO. ______________ A RESOLUTION OF THE BOARD OF DIRECTORS OF THE SANTA CLARA VALLEY TRANSPORTATION AUTHORITY (VTA) AUTHORIZING THE GENERAL MANAGER TO EXECUTE AGREEMENTS WITH THE STATE BOARD OF EQUALIZATION FOR IMPLEMENTATION OF VTA’S TRANSACTIONS AND USE TAX ORDINANCE 2016.01

WHEREAS, on August 4, 2016, the Santa Clara Valley Transportation Authority, hereinafter VTA, approved Ordinance No. 2016.01, providing for a local transactions and use tax; and WHEREAS, the State Board of Equalization (Board) administers and collects the transactions and use taxes for all applicable jurisdictions within the state; and WHEREAS, the Board will be responsible to administer and collect the transactions and use tax for the Authority; and WHEREAS, the Board requires that VTA enter into a “Preparatory Agreement” and an “Administration Agreement” prior to implementation of said taxes, and WHEREAS, the Board requires that VTA Board of Directors authorize the agreements; NOW, THEREFORE BE IT RESOLVED by the Board of Directors of Santa Clara Valley Transportation Authority as follows:

Section 1. The proposed form of the Preparatory Agreement, attached hereto as Exhibit A, and the terms and conditions thereof, which are incorporated by reference herein, are hereby authorized and approved. The General Manager of VTA is hereby authorized and directed to execute and deliver the Preparatory Agreement, in substantially the form attached as Exhibit A, to the State Board of Equalization. Section 2. The proposed form of the Administrative Agreement attached hereto as Exhibit B, and the terms and conditions thereof, which are incorporated by reference herein, are hereby authorized and approved. The General Manager of VTA is hereby authorized and directed to execute and deliver the Administrative Agreement, in substantially the form attached as Exhibit B, to the State Board of Equalization. Section 3. This Resolution shall take effect upon its adoption.

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PASSED AND ADOPTED by the Board of Directors of the Santa Clara Valley Transportation Authority, State of California, on ___________________________________, by the following vote:

AYES:

NOES:

ABSENT ABSTAIN: __________________________________ Jeannie Bruins, Chairperson Santa Clara Valley Transportation Authority Attest:

___________________________________________ Elaine Baltao, Board Secretary Santa Clara Valley Transportation Authority

Approved As to form:

___________________________________________ Robert Fabela, General Counsel Santa Clara Valley Transportation Authority

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ATTACHMENT A TO RESOLUTION

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AGREEMENT BETWEEN SANTA CLARA VALLEY TRANSPORTATION AUTHORITY AND THE STATE BOARD OF EQUALIZATION FOR PREPARATION TO ADMINISTER AND OPERATE TRANSACTIONS AND USE TAX ORDINANCE 2016.01

In order to prepare to administer a transactions and use tax ordinance adopted in accordance with the provision of Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code, the Santa Clara Valley Transportation Authority, hereinafter called VTA, and the STATE BOARD OF EQUALIZATION, hereinafter called Board, do agree as follows: 1. The Board agrees to enter into work to prepare to administer and operate a transactions and use tax in conformity with Part 1.6 of Division 2 of the Revenue and Taxation Code which has been approved by a 2/3 majority of the electors of Santa Clara County and whose ordinance has been adopted by VTA. 2. VTA agrees to pay to the Board at the times and in the amounts hereinafter specified all of the Board's costs for preparatory work necessary to administer the VTA's transactions and use tax ordinance. The Board's costs for preparatory work include costs of developing procedures, programming for data processing, developing and adopting appropriate regulations, designing and printing forms, developing instructions for the Board's staff and for taxpayers, and other appropriate and necessary preparatory costs to administer a transactions and use tax ordinance. These costs shall include both direct and indirect costs as specified in Section 11256 of the Government Code. 3. Preparatory costs may be accounted for in a manner which conforms to the internal accounting and personnel records currently maintained by the Board. The billings for costs may be presented in summary form. Detailed records of preparatory costs will be retained for audit and verification by VTA. 4. Any dispute as to the amount of preparatory costs incurred by the Board shall be referred to the State Director of Finance for resolution, and the Director's decision shall be final. 5. Preparatory costs incurred by the Board shall be billed by the Board periodically, with the final billing within a reasonable time after the operative date of the ordinance. VTA shall pay to the Board the amount of such costs on or before the last day of the next succeeding month following the month when the billing is received. 6. The amount to be paid by VTA for the Board's preparatory costs shall not exceed one hundred seventy-five thousand dollars ($175,000) (Revenue and Taxation Code Section 7272.) 1

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7. Communications and notices may be sent by first class United States mail. Communications and notices to be sent to the Board shall be addressed to: State Board of Equalization P.O. Box 942879 Sacramento, California 94279-0027 Attention: Supervisor, Local Revenue Branch

Communications and notices to be sent to County shall be addressed to: Santa Clara Valley Transportation Authority C/O Fiscal Resources Manager, Finance 3331 N. First St. San Jose, California 95134

8. The date of this agreement is the date on which it is approved by the Department of General Services. This agreement shall continue in effect until the preparatory work necessary to administer VTA's transactions and use tax ordinance has been completed and the Board has received all payments due from VTA under the terms of this agreement.

SANTA CLARA VALLEY TRANSPORTATION AUTHORITY

STATE BOARD OF EQUALIZATION

By

By (Signature)

Administrator, Local Revenue Branch

Nuria Fernandez

CEO/General Manager Approved As to form:

___________________________________________ Counsel for Santa Clara Valley Transportation Authority

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ATTACHMENT B TO RESOLUTION

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AGREEMENT FOR STATE ADMINISTRATION OF SANTA CLARA VALLEY TRANSPORTATON AUTHORITY’S TRANSACTIONS AND USE TAX ORDINANCE NO. 2016.01

The Board of Directors of the Santa Clara Valley Transportation Authority (hereinafter “VTA”) has adopted, and the voters of the County of Santa Clara have approved by the required majority vote, VTA’s Transactions and Use Tax Ordinance No. 2016.01 (hereafter called “Ordinance”), a copy of which is attached hereto. To carry out the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code and the Ordinance, the State Board of Equalization, (hereinafter called the “Board”) and VTA do agree as follows: ARTICLE I DEFINITIONS Unless the context requires otherwise, wherever the following terms appear in the Agreement, they shall be interpreted to mean the following: 1. "VTA taxes" shall mean the transactions and use taxes, penalties, and interest imposed under an ordinance specifically authorized by Revenue and Taxation code Section 7251, et seq., and in compliance with Part 1.6, Division 2 of the Revenue and Taxation Code. 2. "VTA Ordinance" shall mean the VTA's Transactions and Use Tax Ordinance referred to above and attached hereto, Ordinance No. 2016.01, as amended from time to time, or as deemed to be amended from time to time pursuant to Revenue and Taxation Code Section 7262.2. ARTICLE II ADMINISTRATION AND COLLECTION OF VTA TAXES A. Administration. The Board and VTA agree that the Board shall perform exclusively all functions incident to the administration and operation of the VTA Ordinance.

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B. Other Applicable Laws. VTA agrees that all provisions of law applicable to the administration and operation of the State Sales and Use Tax Law which are not inconsistent with Part 1.6 of Division 2 of the Revenue and Taxation Code shall be applicable to the administration and operation of the VTA Ordinance. VTA agrees that money collected pursuant to the VTA Ordinance may be deposited into the State Treasury to the credit of the Retail Sales Tax Fund and may be drawn from that Fund for any authorized purpose, including making refunds, compensating and reimbursing the Board pursuant to Article IV of this Agreement, and transmitting to VTA the amount to which VTA is entitled. C. Transmittal of money. 1. For the period during which the tax is in effect, and except as otherwise provided herein, all VTA taxes collected under the provisions of the VTA Ordinance shall be transmitted to VTA periodically as promptly as feasible, but not less often than twice in each calendar quarter. 2. For periods subsequent to the expiration date of the tax whether by VTA’s self-imposed limits or by final judgment of any court of the State of California holding that VTA’s Ordinance is invalid or void, all VTA taxes collected under the provisions of the VTA Ordinance shall be transmitted to VTA not less than once in each calendar quarter. 3. Transmittals may be made by mail or electronic funds transfer to an account of the VTA designated and authorized by the VTA. A statement shall be furnished at least quarterly indicating the amounts withheld pursuant to Article IV of this Agreement. D. Rules. The Board shall prescribe and adopt such rules and regulations as in its judgment are necessary or desirable for the administration and operation of the VTA Ordinance and the distribution of the VTA taxes collected thereunder. E. Preference. Unless the payor instructs otherwise, and except as otherwise provided in this Agreement, the Board shall give no preference in applying money received for state sales and use taxes, state-administered local sales and use taxes, and VTA transactions and use taxes owed by a taxpayer, but shall apply moneys collected to the satisfaction of the claims of the State, cities, counties, cities and counties, redevelopment agencies, other districts, and VTA as their interests appear. (Rev. 11/16)

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F. Security. The Board agrees that any security which it hereafter requires to be furnished by taxpayers under the State Sales and Use Tax Law will be upon such terms that it also will be available for the payment of the claims of VTA for district taxes owing to it as its interest appears. The Board shall not be required to change the terms of any security now held by it, and VTA shall not participate in any security now held by the Board.

G. Records of the Board. When requested by resolution of the legislative body of the VTA under section 7056 of the Revenue and Taxation Code, the Board agrees to permit authorized personnel of the VTA to examine the records of the Board, including the name, address, and account number of each seller holding a seller’s permit with a registered business location in the VTA, pertaining to the ascertainment of transactions and use taxes collected for the VTA. Information obtained by the VTA from examination of the Board's records shall be used by the VTA only for purposes related to the collection of transactions and use taxes by the Board pursuant to this Agreement. H. Annexation.

VTA agrees that the Board shall not be required to give effect to an

annexation, for the purpose of collecting, allocating, and distributing VTA transactions and use taxes, earlier than the first day of the calendar quarter which commences not less than two months after notice to the Board. The notice shall include the name of the county or counties annexed to the extended VTA boundary. In the event VTA shall annex an area, the boundaries of which are not coterminous with a county or counties, the notice shall include a description of the area annexed and two maps of the VTA showing the area annexed and the location address of the property nearest to the extended VTA boundary on each side of every street or road crossing the boundary. ARTICLE III ALLOCATION OF TAX

A. Allocation. In the administration of the Board's contracts with all districts that impose transactions and use taxes imposed under ordinances, which comply with Part 1.6 of Division 2 of the Revenue and Taxation Code:

(Rev. 11/16)

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1. Any payment not identified as being in payment of liability owing to a designated district or districts may be apportioned among the districts as their interest appear, or, in the discretion of the Board, to all districts with which the Board has contracted using ratios reflected by the distribution of district taxes collected from all taxpayers.

2. All district taxes collected as a result of determinations or billings made by the Board, and all amounts refunded or credited may be distributed or charged to the respective districts in the same ratio as the taxpayer's self-declared district taxes for the period for which the determination, billing, refund or credit applies. B. Vehicles, Vessels, and Aircraft. For the purpose of allocating use tax with respect to vehicles, vessels, or aircraft, the address of the registered owner appearing on the application for registration or on the certificate of ownership may be used by the Board in determining the place of use. ARTICLE IV COMPENSATION

VTA agrees to pay to the Board as the Board's cost of administering the VTA Ordinance such amount as is provided for by law. Such amounts shall be deducted from the taxes collected by the Board for VTA.

ARTICLE V MISCELLANEOUS PROVISIONS

A. Communications. Communications and notices may be sent by first class United States mail to the addresses listed below, or to such other addresses as the parties may from time to time designate. A notification is complete when deposited in the mail.

(Rev. 11/16)

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Communications and notices to be sent to the Board shall be addressed to:

State Board of Equalization P.O. Box 942879 Sacramento, California 94279-0027 Attention: Administrator, Local Revenue Branch

Communications and notices to be sent to VTA shall be addressed to:

Santa Clara Valley Transportation Authority C/O Fiscal Resources Manager, Finance 3331 N. First St. San Jose, California 95134 Unless otherwise directed, transmittals of payment of VTA transactions and use taxes will be sent to the address above. B. Term. The date of this Agreement is the date on which it is approved by the Department of General Services. The Agreement shall take effect on April 1, 2017. This Agreement shall continue until December 31 next following the expiration date of the VTA Ordinance, and shall thereafter be renewed automatically from year to year until the Board completes all work necessary to the administration of the VTA Ordinance and has received and disbursed all payments due under that Ordinance.

C. Notice of Repeal of Ordinance. VTA shall give the Board written notice of the repeal of the VTA Ordinance not less than 110 days prior to the operative date of the repeal.

(Rev. 11/16)

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ARTICLE VI ADMINISTRATION OF TAXES IF THE ORDINANCE IS CHALLENGED AS BEING INVALID

A. Impoundment of funds. 1. When a legal action is begun challenging the validity of the imposition of the tax, VTA shall deposit in an interest-bearing escrow account, any proceeds transmitted to it under Article II. C., until a court of competent jurisdiction renders a final and non-appealable judgment that the tax is valid.

2. If the tax is determined to be unconstitutional or otherwise invalid, VTA shall transmit to the Board the moneys retained in escrow, including any accumulated interest, within ten days of the judgment of the trial court in the litigation awarding costs and fees becoming final and non-appealable.

B. Costs of administration. Should a final judgment be entered in any court of the State of California, holding that VTA's Ordinance is invalid or void, and requiring a rebate or refund to taxpayers of any taxes collected under the terms of this Agreement, the parties mutually agree that:

1. Board may retain all payments made by VTA to Board to prepare to administer the VTA Ordinance.

2. VTA will pay to Board and allow Board to retain Board's cost of administering the VTA Ordinance in the amounts set forth in Article IV of this Agreement.

3. VTA will pay to Board or to the State of California the amount of any taxes plus interest and penalties, if any, that Board or the State of California may be required to rebate or refund to taxpayers.

4. VTA will pay to Board its costs for rebating or refunding such taxes, interest, or penalties. Board's costs shall include its additional cost for developing procedures for processing the

(Rev. 11/16)

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6.14.a

rebates or refunds, its costs of actually making these refunds, designing and printing forms, and developing instructions for Board's staff for use in making these rebates or refunds and any other costs incurred by Board which are reasonably appropriate or necessary to make those rebates or refunds. These costs shall include Board's direct and indirect costs as specified by Section 11256 of the Government Code.

5. Costs may be accounted for in a manner, which conforms to the internal accounting, and personnel records currently maintained by the Board. The billings for such costs may be presented in summary form. Detailed records will be retained for audit and verification by VTA.

6. Any dispute as to the amount of costs incurred by Board in refunding taxes shall be referred to the State Director of Finance for resolution and the Director's decision shall be final.

7. Costs incurred by Board in connection with such refunds shall be billed by Board on or before the 25th day of the second month following the month in which the judgment of a court of the State of California holding VTA's Ordinance invalid or void becomes final. Thereafter Board shall bill VTA on or before the 25th of each month for all costs incurred by Board for the preceding calendar month. VTA shall pay to Board the amount of such costs on or before the last day of the succeeding month and shall pay to Board the total amount of taxes, interest, and penalties refunded or paid to taxpayers, together with Board costs incurred in making those refunds.

SANTA CLARA VALLEY TRANSPORTATION AUTHORITY

STATE BOARD OF EQUALIZATION

By

By (Signature)

Administrator, Local Revenue Branch

Nuria Fernandez

CEO/General Manager

(Rev. 11/16)

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RESOLUTION NO.__________ A RESOLUTION OF THE BOARD OF DIRECTORS OF THE SANTA CLARA VALLEY TRANSPORTATION AUTHORITY AUTHORIZING THE EXAMINATION OF TRANSACTIONS (SALES) AND USE TAX RECORDS WHEREAS, pursuant to Ordinance No. 2016.01 of the Santa Clara Valley Transportation Authority, hereinafter called VTA, and Section 7270 of the Revenue and Taxation Code, VTA entered into a contract with the State Board of Equalization to perform all functions incident to the administration and operation of the Transactions and Use Tax Ordinance; and WHEREAS, VTA deems it desirable and necessary for authorized representatives of the VTA to examine confidential transactions and use tax records of the State Board of Equalization pertaining to transactions and use taxes collected by the Board for pursuant to that contract; and WHEREAS, Section 7056 of the Revenue and Taxation Code sets forth certain requirements and conditions for the disclosure of Board of Equalization records and establishes criminal penalties for the unlawful disclosure of information contained in or derived from, the transactions and use tax records of the Board; NOW, THEREFORE IT IS RESOLVED by the Board of Directors of Santa Clara Valley Transportation Authority, as follows: Section 1. That the Chief Financial Officer or other officer or employee of VTA designated in writing by the Chief Financial Officer to the State Board of Equalization (hereafter referred to as Board) is hereby appointed to represent VTA with authority to examine transactions and use tax records of the Board pertaining to transactions and use taxes collected for VTA by the Board pursuant to the contract between VTA and the Board. The information obtained by examination of Board records shall be used only for purposes related to the collection of VTA’s transactions and use taxes by the Board pursuant to the contract. Section 2. That the Chief Financial Officer or other officer or employee of VTA designated in writing by the Chief Financial Officer to the Board of Equalization is hereby appointed to represent VTA with authority to examine those transactions and use tax records of the Board for purposes related to the following governmental functions of VTA: tracking, forecasting, detection of misallocations, transportation planning, budget planning, and economic development. The information obtained by examination of Board records shall be used only for those governmental functions of VTA listed above. Section 3. That MuniServices, LLC is hereby designated to examine the transactions and use tax records of the Board of Equalization pertaining to transactions and use taxes collected for VTA by the Board. The person or entity designated by this section meets all of the following conditions: a) has an existing contract with VTA to examine those transactions and use tax records;

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b) is required by that contract to disclose information contained in, or derived from those transactions and use tax records only to the officer or employee authorized under Section 1 (or Section 2) of this resolution to examine the information; c) is prohibited by that contract from performing consulting services for a retailer during the term of that contract; d) is prohibited by that contract from retaining the information contained in, or derived from those transactions and use tax records after that contract has expired. BE IT FURTHER RESOLVED that the information obtained by examination of Board records shall be used only for purposes related to the collection of VTA’s transactions and use taxes by the Board pursuant to the contracts between VTA and Board.

PASSED AND ADOPTED by the Board of Directors of the Santa Clara Valley Transportation Authority, State of California, on ___________________________________, by the following vote:

AYES:

NOES: ABSENT: ABSTAIN: __________________________________ Jeannie Bruins, Chairperson Santa Clara Valley Transportation Authority Attest:




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THROUGH:


FROM:


SUBJECT:

Light Rail Signal Priority Detection Upgrades - Contract Award



ACTION ITEM RECOMMENDATION: Authorize the General Manager to enter into a contract with ACT Traffic Solutions for up to $1,480,000 to procure equipment and services for implementation of the Transit Signal Priority (TSP) detection upgrades for the light rail corridor. BACKGROUND: In 2010, VTA undertook the “Light Rail System Analysis” study that identified several capital projects to improve the speed and reliability of light rail operations. This study conducted an overall assessment of current light rail operations that consists of 42 miles of track, 99 light rail vehicles (LRVs), 97 non-gated LRV traffic intersections, 13 at-grade crossings with rail crossing gates, and 2 pedestrian only crossings. One outcome of this study was the identification of a capital project to improve the Transit Signal Priority (TSP) detection system at each of the 97 non-gated LRV traffic signalized intersections used to trigger or place a priority call for an approaching LRV. In January 2012, Metropolitan Transportation Commission (MTC) released a call for projects totaling $30 million that focused on improvements for bus and light rail systems with high ridership on key urban trunk routes to Alameda-Contra Costa Transit District (AC Transit), San Francisco Municipal Transportation Agency (SFMTA), San Mateo County Transit District (SamTrans), and Santa Clara Valley Transportation Authority (VTA). VTA staff submitted two applications and was awarded both grant applications as follows:  VTA Light Rail Transit Signal Priority (TSP) Improvement Project (P-0821) that would


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implement real-time, reliable transit signal prioritization and light rail vehicle detection system, using Global Positioning System (GPS). VTA was awarded $1,587,176 by MTC for the Light Rail TSP Improvement Project. VTA provided $545,637 for the MTC required match and to provide additional project funds, for a total project budget of $2,132,813. These funds came from the VTA Transit Fund.  The Stevens Creek Limited 323 Transit Signal Priority (TSP) Improvement Project (P0715), which is a component of the Stevens Creek Bus Rapid Transit program, would implement real-time transit signal prioritization along Stevens Creek Boulevard and West San Carlos. This will benefit the Limited 323 service and future full BRT service in the corridor. VTA was awarded $712,888 by MTC for the Stevens Creek Limited 323 TSP Improvement Project. MTC required an 11.47% local match, so VTA provided $92,362, for a total project budget of $805,250. Local match was provided from the 2000 Measure A Fund. The status of Stevens Creek Limited 323 TSP is nearly complete, but the light rail TSP improvement project is still underway and is at the equipment procurement phase. The status of light rail TSP improvements is discussed in further detail below. DISCUSSION: VTA completed the preliminary engineering and planning for this project on March 14, 2014 to define the scope of these TSP detection improvements based on stakeholder input. The stakeholders included the agencies who maintain and operate the traffic signals along the light rail corridor (the cities of Milpitas, San Jose, Santa Clara, and Sunnyvale; County of Santa Clara; and Caltrans), and VTA Operations staff. The preliminary engineering and planning effort identified the critical requirements and preferred technology to be implemented. This effort recommended the following improvements to the TSP system:  Upgrade the TSP detection from a wired loop system to wireless-based detection such as one based on global positioning systems (GPS), with the wired loop system remaining in place as a backup detection system.  Implement an overall management plan to administer the setup parameters for the wireless detection system with related peripherals being procured and installed as part of this upgrade project. Between March 2014 and September 2015, the project advanced into detailed engineering to develop the specifications to procure TSP detection upgrades and the plans to install the TSP improvements upgrades. This 19-month period also included reviewing of plans and specifications with the stakeholders, including concurrence from the California Public Utilities Commission. After this phase, VTA released a request for proposals (RFP) to procure the TSP detection improvement equipment (also known as the “EMTRAC System”) on September 15, 2015. VTA received proposals from two vendors on October 14, 2015. They were ACT Traffic Solutions (STC Electronics/EMTRAC distributor) and Global Traffic Technologies (GTT), formerly 3M. Both proposals were responsive, and both proposers were interviewed on

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December 10, 2015 to make a final selection. The selection committee recommended awarding the contract to ACT Traffic Solutions, but the final award has been protracted due to the following: 

The Patent Litigation: The Parties Involved: GTT holds the patent STC manufactures and sells the EMTRAC System ACT is the distributor of the EMTRAC System  In 2011, GTT sued STC (and 2 other defendants), claiming that STC infringed GTT’s patent (the ‘398 Patent) by selling the Emtrac System. In 2014, the court entered judgment in favor of GTT, awarding GTT over $5M in damages.  As a result, STC had to file for Chapter 11 because it claimed that it did not have enough assets to satisfy the $5M judgment.  In September 2015, when VTA put out the RFP for traffic signal priority detection, the selection committee had concerns on how the patent litigation between GTT and STC could impact ACT Traffic Solutions’ ability to successfully provide equipment and services to VTA. The concern was what level of risk was associated with entering into contract with ACT, a vendor who would source the EMTRAC System from a manufacturer (STC) that was now in bankruptcy proceedings due to a jury finding that STC infringed upon GTT’s patent.  The selection team briefed VTA Legal on the issue, and Legal advised that we hold off awarding the contract to ACT so that Legal could conduct some due diligence on the patent litigation (e.g., chances that the Chapter 11 would be converted to a Chapter 7 proceeding; verify STC’s claims that the patent had expired; look into STC’s financial health and viability since filing for Chapter 11; and wait until the bankruptcy court confirmed STC’s Chapter 11 plan.  After Legal completed its due diligence, Legal advised that, provided that the contract includes stricter warranty, insurance, and indemnity requirements to protect VTA from any patent infringement liability, the selection team could proceed with awarding the contract to ACT.



Budget: The total budget available for this project is $2,132,813 with $1,480,000 for the equipment procurement, and the remaining $652,813 funding for construction, implementation, testing, and final acceptance activities by staff. ACT Traffic Solutions’ cost proposal for the TSP detection improvements equipment exceeded the budgeted equipment procurement by $340,000; however, additional local funding was secured to cover this gap to bring the total amount available to be $1,480,000.

Value Added Features: Although not specifically required in the RFP, ACT Traffic Solutions included 10 worker protection devices at no cost to VTA. The worker protection system uses the same technology as the TSP detection upgrades improvements. The location of workers and light rail vehicles in the

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railway are tracked using GPS, and wireless communications transmits warnings of potential conflicts between each other. The worker protection systems is recommended practice as described in CPUC General Order No. 175-A. ALTERNATIVES: VTA can elect not to lead this effort and forego this contract award. As an alternative VTA could decide to maintain the existing LRV TSP detection system that would likely result in the existing reliability issues on LRV operations to linger. FISCAL IMPACT: This action will authorize up to $1,480,000 to procure equipment and services for implementation of the TSP detection upgrades. The funding of this procurement is mainly MTC Transit Performance Initiative (TPI) funds with some local funding. The combination of these funds are sufficient funding to procure the necessary equipment and provide services to setup and install the equipment. Appropriation for these expenditures is included in the FY17 Adopted VTA Transit Fund Capital Budget. STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Administration and Finance Committee did not consider this item due to the cancellation of its November 17, 2016 meeting. Subsequently, the VTA Board of Directors deferred action on this item at its December 8, 2016 meeting. Prepared by: David Kobayashi Memo No. 5764 ATTACHMENTS: 

Attachment A - List of Consultants & Contractors (PDF)

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Attachment A Light Rail Signal Priority Detection Upgrades - Contract Award List of Consultant(s)/Contractor(s) Firm Name Name ACT Traffic Solutions, Inc. Brett Lievers

Role President

ACT Traffic Solutions

Josh Friesz

ACT Traffic Solutions

Jon Meusch, P.E.

STC Electronics

Brad Cross

Vice President Technical Sales Associate President

EMTRAC Systems

Kris Morgan

President

Location 23585 Yellowstone Trail Shorewood, MN 55331-2960 23585 Yellowstone Trail Shorewood, MN 55331-2960 12965 SW Herman Road Tualatin, OR 9706 1201 W. Randolph St. McLeansboro, IL 62859 1201 W. Randolph St. McLeansboro, IL 62859

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THROUGH:


FROM:


SUBJECT:

Audit Dashboard Follow Up: Audit Recommendations Issued by the Office of the Auditor General As of October 31, 2016 FOR INFORMATION ONLY

BACKGROUND: In 2008, VTA established an independent audit function reporting to the audit committee by utilizing contract auditors to perform independent audit services and serve in the position of the Auditor-General. The Office of the Auditor-General has issued recommendations to strengthen compliance, improve internal control, and promote operational effectiveness and efficiency. In May 2016, VTA Internal Audit Program was established to follow up and report on the status of open audit recommendations and corrective action plans. This is the third status report submitted to the Governance and Audit Committee. DISCUSSION: The purpose of the audit dashboard report is to provide a status summary of implementation of recommendations. This is a control mechanism established by management to track and provide reasonable assurance that appropriate and prompt action is provided by management in support of implementing the recommendations. The implementation status is based on compilation of information and documentary evidence from various departments. As of October 31, 2016, there were 143 open recommendations (Exhibit A). Of this total, 50 are not yet due for implementation. The implementation status of the remaining 93 recommendations is summarized by area of responsibility as follows:


6.16

Page 2 of 3

6.16

Exhibit B provides details on the recommendations that have not been implemented. Of the 93 recommendations due for implementation, nine have not been implemented. Of these nine recommendations, implementation of one recommendation with high risk rating is dependent on another local agency’s collaborative effort to implement the recommendation. Another three high-risk and one medium-risk recommendations have been not implemented as they will be considered in the new Collective Bargaining Agreement in September 2018. Implementation of the remaining recommendations pertaining to utilization of SAP or similar Pension application, development of standardized contract template, succession planning for key procurement positions, and cost-benefit analysis of a community policing station at Silicon Valley BART extensions, are being considered and in progress. A summary of the nine recommendations that are substantially implemented is presented in Exhibit C, consisting of three high, two medium, two low and two unspecified risk ratings. Highrisk recommendations pertain to Paratransit Operation Assessment, Operator Scheduling Assessment, and Procurement and Contracting Process Assessment. For the Paratransit Operation Assessment, recommendation has been generally implemented except for the elimination of advance payments. VTA was unable to negotiate the contract amendment of the existing advance provision, but anticipates to negotiate this appropriately in the new contract in July 2017. For the Operator Scheduling Assessment, VTA continues to hold discussions on improving operational performance on Levi’s Stadium Events. With the Procurement and Contracting Process Assessment, integration between SAP and other application will be part of the procurement solution which is anticipated to be fully implemented by April 2017. Implementation of the remaining recommendations is ongoing. VTA Internal Audit Program will continue to follow up on these recommendations until they are fully implemented. STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Governance and Audit Committee reviewed this item at their November 30, 2016 meeting. The Committee inquired about the outstanding implementation of recommendations related to procurement. Staff assured that they are working diligently with the Auditor General to address the recommendations. The Committee suggested staff provides a procurement process overview at a future Board meeting. The Committee recommended placing this item on the Board's consent agenda. Prepared By: Grace S. Ragni, Fiscal Resources Manager Memo No. 5841

Page 3 of 3

6.16.a

Exhibit A Page 1 of 36

Inventory of Recommendations Issued by the Office of the Auditor-General Status of Implementation As of October 31, 2016 Progress to Date Audit Report

Governance & Risk Rating: Audit High, Medium or Committee Low review date

Recommendation

Response by Department

Original Target Date of Implementation

Responsible for Implementation

Revised Date of Implementation Not Implemented

Substantially Implemented

Actions Taken To Date

Other Comments

Fully Implemented

Human Resources Timekeeping & Payroll Internal Audit

03/05/15

LOW

Although VTA can request but not compel its employees to elect direct deposit for payroll, we recommend management evaluate alternatives to live payroll paychecks that are in compliance with all applicable laws and regulations. Implementation of an automated solution, such as employer-sponsored payroll cards, that aligns with the existing direct deposit payroll process could result in the following: (1) Enhanced process (2) Cost reduction to VTA

VTA concurs. Although 87% of VTA’s employees receive their pay through direct deposit, VTA will continue to work with employee bargaining units to increase this metric. HR will work with employee bargaining units to improve the rate of participation. In addition, HR, as part of new employee “on boarding,” will encourage participation by discussing the advantages to both the employee and VTA.

12/31/15

Human Resources • Direct deposit form is sent to employee prior to start date, as part of "new hire packet." • Completion of the direct deposit form is emphasized to employees on their start of date if they arrive without it. • Implemented a 1-week follow-up for direct deposit forms that are not received on the start date. • Obtained a list of existing employees Next Steps: • Design a flyer to be placed with the direct deposit form into the envelope with the employee's paycheck. This flyer will outline all the benefits of direct deposit. Employees will be instructed to return the form to HR. The flyer and form is scheduled to be sent out next pay period. • Follow-up with employees after two-weeks to remind them to complete the form and identify those who are opposed to completing the form.

6/30/17

VTA currently processes live, hard copy payroll paychecks for a significant portion of employees. Although there are not significant risks associated with the use of live payroll checks, the process is inefficient due to the manual processes which require a significant amount of time and VTA resources.

Flyers were sent to employees with their live checks in Sept 2016. Succession Planning Process Assessment

09/01/16

HIGH

1.1a We recommend that management expand the completed Workforce Analysis study and include projected workforce needs in the coming years. Once VTA identifies long-term projected needs, the organization can develop a comprehensive risk assessment of projected skills and knowledge needs. We recognize that as a large organization with a diverse workforce skillset that knowledge management is a significant challenge to VTA. However, in order to effectively manage the demographic risk VTA faces, a more sustainable and comprehensive approach is necessary.

1.1 Expand the Workforce Analysis study to include a projection of future workforce needs.

We recommend that VTA develop a formalized, highly collaborative workforce planning process that HR leads and includes regular input from business divisions in order to protect the Authority and ensure VTA has the right workforce to meet its evolving needs. A robust workforce planning process that is continuous and proactive would allow VTA to better align workforce skills with both current and projected business needs. By focusing on collaboration with division leaders, HR would allow critical input and in-depth understanding of the evolving technical needs from each business division at VTA.

Management has an opportunity to present workforce needs at the beginning of each budget cycle. These needs are reviewed and analyzed in a collaborative process.

12/31/17

Not Yet Due for Implementation

Diversity and Inclusion Manager; HR Admin Manager

Over half of VTA's current workforce will be eligible to retire within ten years, and the organization may have potentially diminished ability to carry out business and service because of the retiring work force and insufficient knowledge and skills management processes.

N/A


Deputy Director, Human Resources; Diversity and Inclusion Manager; HR Admin Manager

Over half of VTA's current workforce will be eligible to retire within ten years, and the organization may have potentially diminished ability to carry out business and service because of the retiring work force and insufficient knowledge and skills management processes.

Explore and implement three progressive methods of knowledge transfer: 1) Training - to expose employee to additional skills. 2) Coaching - to put the transferred knowledge to practical is. 3) Mentoring - to transfer soft skills and intangibles to the mentees.

Explore ways in which VTA can shift the culture mindset to encourage knowledge sharing. This will 1.1b In addition to the assessment described in include encouraging coaching and mentoring training recommendation 1.1a, we recommend that VTA also for employees and specializes training and providing develop a comprehensive knowledge and skills performance appraisal training to ensure management program and/or workforce. We recommend accountability. that the program include processes to identify specialized skills and knowledge, a methodology for documenting critical information and transferring of knowledge on sustainable basis. Succession Planning Process Assessment

09/01/16

HIGH

At any time, management may also consult with HR if there is a need to reorganize their department. A final decision is made after receiving input from all relevant parties.

6.16.a




Recommendation





Succession Planning Process Assessment

09/01/16

HIGH

2.1a We recommend that VTA expand on its current recruiting and outreach techniques by developing a recruiting/branding campaign that is focused on developing a talent pipeline and aggressively targets Millennials because they are currently underrepresented in VTA's workforce. Generationally, Millennials rely more on social media to connect with companies and developed their careers, while they also prioritize career choices that provide purpose and meaning to their lives. A suggested approach would include a branding campaign that portrays VTA in a favorable manner and has a robust social-media presence that is linked to VTA career site. HR may also include the use of "ideal" candidate profiles that recruiters proactively seek and network with on LinkedIn, potentially utilizing premium services. 2.1b We also recommend that VTA managers be required to participate in recruiting efforts as part of their job responsibilities in order to foster a management culture that is engaged and vested in its workforce. For example, managers should proactively be building relationships to recruit talent while they are attending industry events or interacting with other agencies, and promote the hiring needs in their social media accounts, such as LinkedIn. By leveraging current leaders in the recruiting process, VTA will have increased market visibility and perception of potential recruits. If VTA implements a branded recruiting campaign and process that effectively leverages the organization's mission and vision in a media savvy way, while also requiring active involvement from management, VTA could potentially create a talent pipeline and interest in the organization that has not been achieved with traditional recruiting methods.


09/01/16

HIGH

We recommend that VTA complete a through job classification analysis that expands on the recent study and includes the majority of job classifications at VTA to ensure that job classifications and descriptions are accurate. We also recommend that VTA develop a periodic job classification review to ensure VTA can competitively recruit in the marketplace with accurate critical HR data. Leveraging the analysis and likely revised job classifications, we would also recommend that VTA continue to perform market-based compensation analyses and evaluate potential costs and benefits of realigning certain job classification pay rates to position itself competitively in the recruiting market.

In 2015, 30% of VTA new hires were Millennials. In order to continue to attract Millennials, VTA will: Continue to actively post VTA recruitments on VTA's social media pages (LinkenIn and Twitter). Continue to include community partnerships content on the internet/social media. Continue to engage Millennials through social media presence, specifically Twitter & LinkedIn. Continue to post personal LinkedIn updates with a Link to VTA job opportunities page. Encourage others to do so as well. Continue to reshape corporate projects showcasing socially responsible initiatives through personal social media accounts. Encourage other to do so as well. Continue to participate in job fairs and other community engagement events and continue to invite participation by members of management. Continue to use social media to inform job seekers of new and continuing hard-to-fill positions. Continue partnerships with local schools and continue apprenticeship programs in order to grow internal talent. Continue to revamp VTA's employment page on the internet to make it visually appealing and mobile friendly. Create a VTA careers page on the internet, highlighting employees and their impact to VTA and the community. Work with Marketing to identify additional ways to attract Millennials, e.g. make the recruitment process more trendy; a Silicon Valley experience. Encourage management to provide qualified leads for hard-to-fill positions and maintain a list of these leads for future contact. Job Interest Cards will be completed on behalf of interested qualified leads. Encourage managers to promote VTA recruitments when attending conferences and seminars. Pursue LinkedIn recruiter access to reach passive candidates. Additional resources will be required to ensuretofull VTA's current job classifications are designed cover a broad area of expertise and not each individual job, e.g. Human Resources Analyst classification encompasses analyst in the areas of Benefits, Recruitment and Selection, Classification and Compensation, Retirement Services, and Labor Relations. In addition, many of our represented classifications are studied as part of contract negotiations. moreover, classifications are updated as requested by management. While those interviewed may perceive an issue with classifications and salaries, HR has not experienced this to be a pervasive issue. HR will continue to add job statements to recruitments to address job specific details, as necessary. Review and revise titles to be consistent with current titling conventions used by other public agencies in our local labor market. Work with division managers to systematically update duties and responsibilities on job descriptions and update those that are inconsistent with actual duties performed by incumbents. Consult with unions regarding job titles and descriptions as called for in their respective collective bargaining agreements.



Other Comments

Fully Implemented

12/31/17


Diversity and Inclusion (OD&T) Diversity & Inclusion Manager HR Admin. Manager

VTA has sometimes been unsuccessful at attracting and hiring the necessary talent for its workforce needs because of recruiting processes that have not evolved with competitive marketplace practices, often in combination with inaccurate job classifications and non-competitive market salaries.

12/31/17




6.16.a




Recommendation







Other Comments

Fully Implemented


09/01/16

HIGH

2.3a We recommend that HR update its Employee Selection Process (ESP) to include a standardized method to evaluate candidates' attitude (i.e., work ethic) and initiative (i.e., ambition, drive) or other behavioral indicators of highly engaged employees prior to making hiring decisions. It is vital that both behavioral attributes and technical skills are evaluated when identifying the best candidates with the greatest growth potential. 2.2b We also recommend that HR clearly communicate current hiring practices and encourage internal promotions when it is the most qualified candidate. When candidates are not selected for an internal promotion, we recommend that VTA expand its current process to provide candidates with selection criteria for a position and feed back when a candidate is not selected for a specific position. Given the priority VTA places upon promoting from within, it is critical that VTA adequately communicate its HR practices to both management and staff to ensure there is appropriate transparency in the process and is fair and competitive for all employees.

VTA will: Enhance our current Employee Selection Process (ESP) Training by covering questions geared to assess applicant drive and potential in order to attract the right type of talent. Enhance the current ESP Training to emphasize to hiring authorities the need to meet with internal candidates who are not selected for a promotion and provide guidance to on how to give clear, constructive feedback to those employees who were not selected for a position. This will help create a culture of candor in feedback. Incorporate considerations for drive, potential, and other behavioral attributes into its Employee Selection Process (ESP) Training. Research the use of personality testing as part of the hiring process to determine if such a test increases the chances if finding "the right fit."

12/31/17





09/01/16

HIGH

We recognize that navigating the union landscape can be difficult, but in order to support talent retention, enhance employee engagement, and strengthen its talent pipeline, we recommend that VTA evaluate the implementation of a comprehensive career framework. VTA should consider documenting and communicating its expectations for employees across different job and career levels as part of a formal career development framework. A robust framework can serve as a roadmap for employees to understand what is required at different career stages and what type of activities, skills, or competencies may be necessary to progress within a career. We suggest that VTA develop a single career development framework that supports all HR processes (hiring, selection, promotion, discipline, etc.) and leverage the framework across all functions. This same framework could facilitate management's ability to effectively develop and coach employees at various stages in their careers. Ultimately, if VTA wants to attract and retain a talented workforce, a career framework is a fundamental tool for employees to bridge present job responsibilities with future career goals at VTA.

12/31/17



VTA does not have a comprehensive career framework and corresponding development programs that adequately foster employee development and skills to meet the organization's staffing and succession planning needs.


09/01/16

HIGH

VTA will: Conduct a cost-benefit analysis for purchasing the SuccessFactors career development tool in the next budget cycle, as well as increasing training offered through the LMS. A competency framework will be created separately as a reference tool for managers' use. Creating such a standard framework will be a group effort used to support all HR processes (OD&T, Employee Relations, and HR Administration). VTA's leadership Academy will include a module of Effective Staff Development that includes creating and implementing development plans, holding career discussions, and identifying and addressing competency gaps. Examine current job classifications and recommend development of a progressive career development path that focuses on the employees' needs for growth and development and the assistance VTA can provide to employees looking for opportunities to grow his or her career. Create a behaviorally anchored competency list to complement the Leadership Academy targeted competencies. Revise the current Supervisory Home Study Program (SHSP) to align with VTA Leadership Academy Competencies, and consider redesigning the program to include a project deliverable that the mentee completes with guidance from the mentor. Collaborate with Organizational Development & Training (OD&T) to further educate managers on the hiring process. This is currently covered in Employee Selection Process Training. Continue to host periodic Hot Topic Lunch and Learn seminars regarding this topic. VTA's Leadership Academy will significantly increase

3.2 Subsequent to developing a comprehensive career development framework, it is critical that VTA provide the offerings of management and supervisory skills employee training and leadership through effective HR training. programs and tolls. In order to enhance employee engagement while also aligning existing and future programs with talent needs, we recommend the following: 3.2a Expand LMS and other training courses to focus on the supervisory/management skills needed within VTA for quality job performance and development to talent supporting the succession plan.

06/30/18


Diversity and Inclusion (OD&T) Manager


6.16.a




Recommendation







Other Comments

Fully Implemented


09/01/16

HIGH

Implement a formal mentoring program that would match mentors and mentees in specific skill arears. A formalized program would help both mentors and mentees understand expectations. A formal plan could also provide guidance or training that would support the effectiveness of the program. In addition, we recommend that VTA develop and require coaching/mentoring training for all supervisory employees and above to better prepare coaches and mentors, while enhancing the culture of employee development.

Offer modules on "Motivating Others" and "Coaching and Mentoring" through VTA's Leadership Academy. VTA will incorporate elements in the recommendation into this or other relevant modules. Secure additional funding for regular course offerings in order to make these courses into a stand-alone program for all managers. Complete a cost-benefits analysis to determine what additional funding is needed to secure adequate staffing to coordinate and manage a formalized mentoring program.

06/30/18





09/01/16

HIGH

VTA should evaluate the tuition reimbursement program to ensure the most effective use of qualified employees. VTA should analyze the potential cost and benefits of expanding the current model. For example, VTA could provide the full $5,250 tax free allowable amount by the IRS up front to candidates similar to other organizations, including agencies in those in the public sector. Then to protect VTA's investment in the employee, VTA can require a passing grade and a pro-rated payback model if the employee leaves the company during a specific period.

Research what other public agencies in our region are doing in terms of tuition reimbursement caps.

06/30/18




VTA does not have a comprehensive career framework and corresponding development programs that adequately foster employee development and skills to meet the organization's staffing and succession planning needs. VTA does not have a comprehensive career framework and corresponding development programs that adequately foster employee development and skills to meet the organization's staffing and succession planning needs.

Conduct an analysis of the fiscal impact of raising the limit to the tax-free amount and whether additional restrictions would be implemented if VTA chose to increase the limit to the tax-free amount. If approved, implement approved changes to the tuition reimbursement program as appropriate (Nonreps; Unions per contract negotiations)


09/01/16

HIGH

In order to maximize available funding and increase technical operational skills, VTA should continue to seek available government funding opportunities for apprenticeship programs in Operations.

Continue to proactively seek additional funding sources and opportunities for apprenticeship programs in Operations.

Underway


Director of Planning and Prog Dev; Manager of Prog & Grants


09/01/16

HIGH

VTA should evaluate expanding the Supervisory Home Study Program to include a structed learning component, such as peer-to=peer learning circles or supplemental class environment to enhance the overall value to class participants. In addition, VTA should consider creating an online module to potentially expand the current offering.

06/30/18




09/01/16

HIGH

3.3a VTA has taken critical steps in developing its proposed Leadership Academy that will serve as a vital component to VTA's overall employee career and leadership develop program. We recommend that VTA continue the rollout of the program with the necessary funding to ensure the program can be successful and sustainable long-term.

Re-Structure SHAP to specific timeframe offerings (i.e. 3 time per year: Jan-Apr, Mau-Aug, Sept - Dec) in order to include peer-to-peer learning circles, deliverables, presentations, etc. in addition to the existing in-person meetings between the individual employee and his/her mentor. Consider developing online modules to supplement the program. Additionally, the VTA Leadership Academy will include a module on Coaching and mentoring, and current and future SHSP mentors will be required to attend this training. VTA will: Assess and request a budget in the next budget cycle for online content to add to the LMS, and possibly bitesize mobile learning options, in order to make some elements of the Academy more broadly available.

06/30/18



Forty-one employees are registered for the 2016-2017 VTA Leadership Academy. The Academy courses are VTA management should prioritize the investment in also available through the LMS to additional employee development and create a leadership bench in employees who are not officially part of the Academy, the coming years that can continue to fill roles of retirees for the purpose of individual development. and other high-skilled needs across the organization. Determine how to make a Leadership Academy 3.3b The proposed Leadership Academy model will be applicable to a broader group of employees and offer delivered to a small, select group of employees. While the courses on a regular basis. Secure funding on an the program offerings will be instrumental in developing ongoing basis to offer more frequent classes to reach potential high performers, we recommend that VTA more employees. Long term, Partner with Mission leverage the leadership development material and College to convert our Leadership Academy to a expand its offerings, possibly through LMS, to positively certificated program. influence the development of as many employees as possible.


6.16.a




Recommendation







Other Comments

Fully Implemented


09/01/16

MEDIUM

We recommend that VTA further define specific criteria and attributes for the 24 behaviors and skills currently used in the SuccessFactors performance evaluation process at different job and performance levels. By building the level of detail into the performance assessment model, both managers and employees will have greater clarity and understanding of expectations. VTA is responsible for defining clear performance attributes and expectations so managers can provide valuable feedback to employees and allow them the opportunity to make appropriate changes in performance.

VTA will create a competency framework as a reference tool for managers' use. Creating such a standard framework will be a group effort used to support all HR processes (OD&T, Employee Relations, and HR Administration).

12/31/17



Existing performance management processes have limited effectiveness because the criteria are not clearly defined and understood, and due to collective bargaining agreement restrictions, performance management processes are not broadly required across the organization.


09/01/16

MEDIUM

Although VTA is subject to current union agreement requirements, we commend management expand the current performance management process to include a broader employee base. VTA may consider, as is becoming an increasingly common HR practice, transitioning from traditional quantitative, holistic, and dialogue-focused performance evaluation process.

VTA will: Conduct research with other public agencies to identify best practices in performance management.

06/30/17


Diversity and Inclusion Manager

Existing performance management processes have limited effectiveness because the criteria are not clearly defined and understood, and due to collective bargaining agreement restrictions, performance management processes are not broadly required across the organization.

Existing performance management processes have limited effectiveness because the criteria are not clearly defined and understood, and due to collective bargaining agreement restrictions, performance management processes are not broadly required across the organization. Existing performance management processes have limited effectiveness because the criteria are not clearly defined and understood, and due to collective bargaining agreement restrictions, performance management processes are not broadly required across the organization.

Supplement the current performance management process with a dialogue-focused process that provides constructive feedback and coaching. This method can be used for union employees who do not receive the VTA will likely enhance employee engagement by rated performance assessments, and can provide changing the existing performance assessment model to additional feedback for those that do. This can be focus on long-term development and constructive communicated through follow-up training of performance feedback and coaching. In addition, VTA supervisors and managers. may garner support from unions and partner with the unions to potentially include performance management in future bargaining agreements. Succession Planning Process Assessment

09/01/16

MEDIUM

We recommend that VTA expand its perforamnce management process to formally include employee development and monitoring. Having a developmentoriented performance management process would facilitate on-going coaching and feedback, which could enhance employee engagement and retention, ultimately resulting in a stronger leadership talent pipeline.

VTA will conduct a cost-bemefit analysis for purchasing the SuccessFactors career development tool in the next budget cycle, as well as increasing training offered through the LMS.

06/30/18




09/01/16

MEDIUM

The success of the new performance management program is and will continue to be dependent on management's understanding and implementation of the criteria described in recommendation 4.1. Therefore, we recommend that VTA HR develop standardized training programs and/or modules for managers and employees that are readily available or can be delivered on-demand to ensure employees have the knowledge and skills to utilize the tool effectively and the benefits of the program can be fully realized.

VTA will develop standardized training programs or modules on giving effective performance feedback and encourage supervisors and managers to hold quarterly conversations with their employees and implement training to support this effort.

06/30/18




09/01/16

MEDIUM

We recommend that VTA develop a formal succession planning process. In conjunction with the other HRprocess specific recommendations listed in this report, developing a formal succession planning process will enable VTA to not only identify its key leaders, but more effectively identify future talent and have a robust process to manage growth and skills so that the next generation of leaders are capable to fill the critical roles as they become available.

VTA will develop a formal succession planning process that builds upon the initiatives for training and development; performance management; recruitment and selection; career planning; and knowledge management. Utilize the succession planning tool in SuccessFactors to identify charts, and create talent pools.

12/31/18



VTA does not have a formal, comprehensive succession-planning program in place that effectively identifies, manages, and develops the necessary skills within the organization.

6.16.a




Recommendation







Other Comments

Fully Implemented

Information Technology ATU Pension Plan Compliance Audit

8/28/14

MEDIUM

As a part of our recommendation related to Improvement Opportunity 1, using the SAP system to its fullest capabilities, management should re-evaluate the process for data retention. With this, management should consider: (1) Scanning in all relevant documents so that a second, secure copy exists; and (2) Complying with the VTA-approved retention policy destroying any hard copy files older than stipulated by the policy. If VTA chooses to retain all hard copies, then management should consider leveraging lower cost temporary employees or interns to inventory and organize the files. Offsite storage solutions, such as Iron Mountain, should also be considered to help maximize the safety of the documents.

VTA management concurs with the recommendation. Scanning and electronically storing critical supporting documents for new retirees has been implemented. An evaluation is underway to identify the best solution for cataloging and managing the files, which will be completed by the end of October 2014, at which time the selected document storage solution will be implemented. Digitally backing up all existing retiree documentation, however, will require additional resources, albeit on a temporary basis, to implement. An evaluation has been initiated to determine the scope, schedule and resources required to complete this project. This evaluation will be completed by the end of October 2014. Completion of digitally backing up existing critical retiree documentation is tentatively projected by March 2015, but is dependent on the results of the evaluation and resource availability.

Evaluation: 10/31/14 Conversion to digital: 3/31/15

ATU Pension Bd

In September 2014, Maria Chavez requested the establishment of a shared drive exclusively for Retirement Services staff. Retirement Services staff began to scan essential retirement documents (retirement request applications, birth/marriage certificates, divorce/DROs, salary calculations, actuary documents, etc.) of new retirees effective December 2014. Retirement Services has periodically met with Technology staff responsible for SharePoint to create a SharePoint collaboration site to house files. The intent is to eventually scan all Pension Plan retirement files. However, this will require additional resources, including staff to carry out the project effectively, accurately, and efficiently. Technology has loaned the Retirement Services unit scanning equipment to efficiently scan documents. Record retention policy will have to be approved by the Board of Pensions since it is a separate and independent entity from VTA. Policy will not be considered by the Board of Pensions until the completion and evaluation of the SharePoint site. Updated on 6-29-2016 VTA has an approved Record Management policy, procedure, destruction procedure. Records Management training is rolled out by department or division. Training is required prior to the group being allowed to destroy records. Ann will customize the training to the audience and their specific retention / destruction needs. For Example; in the case of Operations it was the entire division and we reviewed their unique retention items from the Legal approved schedule. In HR we did the training & review by department, and every department has completed their training except the retirement group.

Paper records could be more easily destroyed in a natural disaster or even inadvertently damaged beyond recognition through something as simple as a fire alarm setting off the sprinklers in the warehouse.

Training is scheduled after VTA’s Office of General Counsel completes the department or division Retention Schedule. Technology has a series of meetings each year with each department to revise Retention Schedule and then with General Counsel to get approval on the Retention Schedule. Then Technology customizes the training material to each department based on retention schedule requirements. Training is typically one hour for a department and longer if it’s the entire division team. Participants include the department Records Coordinator and other key employees involved with managing and disposing of the records. After completing the training, the participants conduct their annual disposition, which includes destruction or permanent archival. The training is offered annually to each department of division, as a refresher, when departments do their annual clean-up of files that have met retention requirements and are not under legal hold. Retirement Services’ current initiative is to digitize new retiree files going forward; files are currently scanned to a secure server with offsite back-up. All electronic files are fully searchable (OCR) PDF files. Files are audited against a checklist by the Retirement Services team to ensure all appropriate files are digitally captured and stored per retention schedule requirements. Next Steps: 1. Maria Chavez to review process and technology with the Pension board for their approval. 2. Technology is ready to contract with Ricoh to support scan in older documents and follow the destruction schedule. Timekeeping & Payroll Internal Audit

03/05/15

HIGH

Timekeeping & Payroll Internal Audit

03/05/15

MEDIUM


03/05/15

MEDIUM

Based on AG report of 08/22/16 - the recommendation is "Fully Implemented". VTA is upgraded the original GRC deployment using the latest release and upgraded best practice.

The current GRC tool rule sets are not regularly nor systematically reviewed by management for applicability to VTA. We recommend VTA management, across all key business processes, review the existing GRC rule sets and update as necessary to appropriately align with business risks. We were made aware that VTA is currently testing automated time entry applications at the time of review. We encourage implementation of an automated timekeeping system and workflow to enhance process efficiencies by: • Standardizing time entry and approval process • Automating workflow and approval process • Eliminating paper records and archival files • Reduction of manual errors at various process stages

VTA concurs. SAP GRC ruleset will be reviewed and updated. VTA plans to undertake a comprehensive review of the GRC tool rule sets to ensure adequate risk mitigation as well as applicability to VTA, and compatibility with VTA processes and procedures.

12/31/15

10/10/16

VTA concurs. An automated timekeeping application has been developed and is currently being tested in the Technology and Payroll Departments. Management plans to roll it out enterprise-wide within the next quarter in a phased manner.

06/30/15

VTA Technology and Finance Departments

We recommend that VTA review its document retention practices and ensure appropriate personnel are aware of and trained appropriately on document retention requirement and that ownership of timecard documentation is defined. Implementation of an automated timekeeping system should resolve this issue, but archival documents should be stored appropriately. We recommend consideration of offsite storage for records management (i.e. Iron Mountain) to reduce risk of loss and support compliance with VTA policy.

VTA concurs. VTA Technology, working with the General Counsel’s Office, will continue to review its records retention policies. Electronic solutions will be emphasized where appropriate. Training to relevant staff on new and revised policies will be administered by VTA’s Organizational Development and Training (OD&T) Office. Ongoing guidance and support will be provided by VTA’s Records Management Administrator in the Technology Department.

09/30/15

VTA Technology Department, Office of the General Counsel, and Organizational Development & Training

Training started on Sept 19, 2016 for "SAP User Access Approval Training" in GRC. GRC went live on 10/11/2016.

SAP Governance, Risk, and Compliance (GRC) rule sets are not reviewed by management to ensure effective segregation of duties analysis and mitigate appropriately as if needed.. Time recording, approval, and entry process is manual and non-standard throughout VTA. - Lack of standard process could result in inaccurate or unauthorized pay - Manual process results in inefficiencies and inconsistent documentation - Error correction is time-intensive and inefficient: requires re-work for timekeepers and payroll, including adjustment/issuance of off-cycle checks

VTA's electronic timekeeping system (eTime) has been fully deployed in support of VTA's non-ATU staff. OD&T has delivered full classroom training to staff prior to each Business Area rollout. Training materials in both written and A/V form are accessible via VTA's intranet site (the Hub) within OD&T's Training Aids website. eTime records are managed per VTA's Records Retention Schedule. eTime's business owner is Disbursements Manager. Human Resources is responsible for FMLA, WOOC, and Lead/Training Pay modules of the eTime system.

Record Retention plan pertaining to timekeeping/payroll processes not adhered to across organization and many key documents are only stored as hard copy.

6.16.a




Recommendation






03/05/15

Records and Information Management Assessment Report

2/2/2012


2/2/2012


2/2/2012

MEDIUM

As also observed in conjunction with the ATU Pension review (reported upon to the Audit Committee in September 2014), we recommend HR review record retention practices and identify critical documents to be stored electronically to reduce reliance on manual/paper processes and ensure compliance with VTA retention policies.

none specified VTA should develop a RIM Staff Committee comprised of cross-functional groups to develop, oversee and enforce a RIM Program across the organization. The committee should consist of representatives from various groups including Legal, IT groups and other key stakeholders and should establish standards and procedures and enforce startegic plans. VTA should also consider identifying resource or group and assigning them to records management.

VTA concurs. Any updates to improve the document retention policy, focusing on timecard records and electronic solutions, will be made. The policy will then be distributed and relevant staff will receive training. As part of the ongoing enterprise-wide effort to update VTA’s Records Management Program, HR will digitize appropriate documents and establish schedules for maintenance and destruction of all documents.

Concur. Staff is the process of developing a comprehensive organization-wide Record Information Management Program including Record management policy, retention schedule, and supporting procedures along with resources and budget. The Record Management Policy, Retention Schedule, and required budget request will go to the Administrative and Finance Committee in the next few months, and staff will provide progress report at the May Audit Committee meeting. none specified VTA should develop and adopt policies and guidelines VTA concurs with the findings in the Record to enhance the RIM Program: 1) A formal RIM Policy Retention Assessment. Staff is in process of across the orgnization to govern VTA's RIM program; 2) developing the Record management Program including Email strategy to be reflected in a written Email a Record management Policy, Retention Schedule, and Management and Retention Policy; 3) Disposition supporting procedures along with resources and guidelines mto address destruction of records; 4) budget. The Record management Policy, Retention Written Legal Hold Policy that provides an overview of schedule, and required budget request will go to the the process. Administrative & Finance Committee in the next few month, and staff will provide a progress report at the May Audit Committee meeting.

none specified VTA should evaluate existing information technology tools to determine if they can help with the implementation of the RIM policies, procedures and practices recommended above. During the assessment, we noted that VTA is currently considering migrating to a SharePoint 2010 Collaboration / Document Management / Record Management environment.

09/30/15

no specified date of implementation


VTA concurs with the findings in the Record no specified date Retention Assessment. Staff is in process of of implementation developing the Record management Program including a Record management Policy, Retention Schedule, and supporting procedures along with resources and budget. The Record management Policy, Retention schedule, and required budget request will go to the Administrative & Finance Committee in the next few month, and staff will provide a progress report at the May Audit Committee meeting.



Other Comments

Fully Implemented

VTA Technology Department, Office of the General Counsel, and Human Resources

1) In January 2015, the Board of Pensions adopted the retention period for ATU Local 265 Pension Plan records and treatment of original paper records after imaging; 2) In October 2015, Document Control collaborated with Retirement Services to develop a scanning procedure and designed and procured a mobile scanning cart which houses a high-speed production scanner; 3) In Dec 2015, Document Control trained the current Retirement Services staff on operating the mobile scanning cart. This scanning cart is currently "chartered" to the Retirement Services group; 4) Retirement Services' current initiative is to digitize new retiree files going forward; files are currently scanned to a secure server with off-site back-up. All electronic files are fully searchable (OCR) PDF files; 5) Files are audited against a checklist by the Retirement Services to ensure all appropriate files are digitally captured and stored per retention schedule requirements.

Record Retention plan pertaining to timekeeping/payroll processes not adhered to across organization and many key documents are only stored as hard copy.

Chief Information VTA’s Records Management Oversight Committee (RMOC) has been established with requisite Officer procedures in place. Completed the Record Management Policy and a very comprehensive Records Retention Schedule. Both the policy and retention schedule have been approved by the VTA Board of Directors. Staff developed very comprehensive Record Management procedure and destruction procedure. The Record Management program was presented to executive management multiple times from 2012 to 2016.

Overall, the assessment determined that VTA does not currently have a comprehensive, organization-wide RIM Program, and as a result, the organization could be at risk including potential noncompliance with certain legal and/or regulatory obligations. Additionally, there is cost and other risks associated with processes, practices, or activities that are not executed efficiently. Chief Information Completed the Record Management Policy and a very comprehensive schedule. Both the policy and Overall, the assessment determined that Officer original schedule went to the VTA Board for approval. Staff developed a very comprehensive Record VTA does not currently have a Management procedure, and destruction procedure. The Record Management program was presented comprehensive, organization-wide RIM to executive management multiple times from 2012 to 2016. In 2012 VTA Capital Committee, GM Program, and as a result, the organization and the VTA board approved the RIM capital plan and budget. Incremental funding for record could be at risk including potential management was added during the FY 2016 and 2017 budget cycle that was also approved by the noncompliance with certain legal and/or VTA Board. regulatory obligations. Additionally, there Lastly, VTA did not create a separate legal hold policy but integrated it into the Record Management is cost and other risks associated with policy per best practice processes, practices, or activities that are not executed efficiently.

Chief Information VTA selected Microsoft Sharepoint 2010 as our core Record/Document Management tool. Officer Successfully migrated eDOCS/OpenText documents into SharePoint. Built over 100 Sharepoint Teamsites with retention containing thousands of libraries. Upgraded to SharePoint 2013 in FY 2016. Used SharePoint 2013 as tool for VTA HUB and provided business a location to store business content/records.

Overall, the assessment determined that VTA does not currently have a comprehensive, organization-wide RIM Program, and as a result, the organization could be at risk including potential noncompliance with certain legal and/or regulatory obligations. Additionally, there is cost and other risks associated with processes, practices, or activities that are not executed efficiently.

6.16.a




Recommendation






2/2/2012

none specified VTA should develop and execute a Change Management/Training Communications (CTC) Plan to help deliver specific content on records retention and disposition, legal hold, readiness, email management and other related policies and procedures.

Concur. Staff is the process of developing a comprehensive organization-wide Record Information Management Program to develop and execute a Change Management/Training Communications Plan. The Record management Policy, Retention schedule, and required budget request will go to the Administrative & Finance Committee in the next few month, and staff will provide a progress report at the May Audit Committee meeting.




Fully Implemented

Chief Information VTA developed a Microsoft Sharepoint governance model, developed a Sharepoint training site Officer; IT located within VTA HUB and the Record management site. Developed overall RIM Program Supervisor summary materials with RIM 101 explanations, like what’s Records Management. Developed RIM Program training decks with training material that’s curtailed specially to each business area’s content. Engaged VTA Record Coordinators on all RIM concepts as well as the comprehensive Destruction Procedure and processes. Deployed Record Management to certain departments. Currently in the process of deploying Record Management to AP and Purchasing, including training. Anticipated full implementation date: 12/31/17

Procurement & Contracting Process Assessment Alum Rock Bus Rapid Transit (BRT) Project Delay Assessment

05/05/16

none specified • Ensure radar scan requirement is a component in future contracts • Utility relocations should be included as part of the preconstruction process.

-VTA management agrees. In addition to the current no implementation practice of utility research, review of as-built date specified drawings, and explorations/borings, staff is now utilizing Ground Penetration Radar (GPR) during the design (pre-construction) phase of all applicable construction projects to identify existing utilities. For both the Alum Rock Avenue Roadway/Stations and Downtown Stations contracts, GPR was used to confirm utility locations prior to construction. -VTA typically does major utility relocations before construction. For the AR/SC project, the relocations were done as part of the major project. The newly implemented Pre-Construction Requisition Review process will ensure appropriate utilities have been relocated prior to bid or relocations are included in the contract. Utility relocations will be accomplished either by third party utility companies or a separate utility relocation contract issued prior to the main construction contract.

Alum Rock Bus Rapid Transit (BRT) Project Delay Assessment

05/05/16

none specified • Ensure bid scope requires contractor to have adequate experience for project • Ensure the right VTA/Vendor Project Manager is assigned for the contract • Insert required qualifications into contract for key personnel • Verify contractor's experience and qualification after receipt of bid based on information submitted by the contractor.

VTA management agrees: no implementation -To this end, staff is currently preparing for Board date specified consideration proposed revisions to the Board-adopted prequalification process, including enhanced requirements for minimum qualifications and experience for the contractor. -Newly revised technical specifications include provisions for minimum qualifications and experience for the contractor’s project manager. -Newly revised technical specifications include provisions for minimum qualifications and experience for the contractor’s key personnel including the project manager, quality assurance manager, community outreach representative and safety manager. -Contractor’s submitted qualifications for key personnel are now reviewed by qualified VTA staff prior to contractor’s personnel being allowed to perform any work on the contract.

Manager of Fully implemented. AG report to Bd on Aug 4, 2016. Ongoing procedure has been implemented Procurement, Contracts & Matls

End of 2016

Other Comments

Manager of Fully implemented - VTA has sdopted a "Pre-Con Req Form" to ensure compliance (Form #PCR-01Procurement, Pre-Conreq Bid document Checklist). This form is posted on the VTA web. Contracts & Matls

Overall, the assessment determined that VTA does not currently have a comprehensive, organization-wide RIM Program, and as a result, the organization could be at risk including potential noncompliance with certain legal and/or regulatory obligations. Additionally, there is cost and other risks associated with processes, practices, or activities that are not executed efficiently. Commitment date for full implementation: 12/31/17

6.16.a




Recommendation





Procurement & Contracting Process Assessment



05/01/14

05/01/14

05/01/14

HIGH

MEDIUM

MEDIUM

We strongly recommend Management explore fully implementing and using the SAP procurement and contracts module. This would allow all documents to be online and easily accessible, tracked and reported upon, which would help remediate current communication gaps. Utilizing the system to its full capabilities would streamline the process, reduce paperwork, allow for online signatures/approvals, simplify workflow and reduce procurement turnaround time.

Management concurs. To implement this recommendation, staff will take the following steps: (1) Identify functions within the SAP procurement and contracting modules that have not been implemented, yet are necessary to completely automate the date tracking and reporting functionality; (2) In support of this, staff has initiated development of the prototype workflow process and status reporting functionality in SAP. The first reports using this process will be produced by the close of April 2014; and (3) Initiate the process to procure the services of a third-party contractor to expedite the automation of the procurement and contracting process. Staff will report on the timeline for full implementation at the next (August 28, 2014) Audit Committee meeting.

Workflow process: 4/28/2014 Report on timeline for full implement- action: 8/28/14

As a part of recommendation Number 1, we recommend that Management re-evaluate and determine the purpose and function of the contracts and purchasing functions within CAMM. With this, management should: (1) Decide if the CAMM group is a true service department that supports VTA customers, find efficiencies and cost savings while ensuring VTA compliance, or are they just “gate-keepers” with complete control over this process; (2) Clearly communicate and train all appropriate VTA personnel on the roles and responsibilities so all have a good understanding of the requirements, timeframes, communication channels and expectations in order to simplify the process; and (3) Include tracking and reporting of metrics, (timeframes, budget vs. actual dollars used, renegotiation, etc.)

Management concurs. To implement this recommendation, staff will take the following steps: • CAMM will obtain needed assistance from VTA’s Organizational Development and Training staff to provide guidance, instruction and training to CAMM staff to ensure they understand the service nature of the procurement process and provide the proper level of assistance to CAMM internal customers. • With the assistance of internal customer departments, staff will develop a training plan that will communicate and train all appropriate VTA personnel on the roles and responsibilities of both CAMM and the user departments so that there is a clear understanding of the requirements, timeframes, communication channels and expectations in order to simplify the procurement process. • Expand the use of e-procurement where possible to expedite the procurement process. • As a part of the implementation of the SAP procurement and contracting modules, staff will develop tracking and reporting metrics that provide meaningful information to VTA management and staff. These steps will be completed by the end of October 2014.

10/31/14

Since the existing limits have been in place, in some cases for more than 20 years, we recommend Management consider increasing the limits to help streamline the procurement and contracting process. Increasing limits will reduce the amount of review and approvals needed to make basic purchases.

Management concurs with this recommendation. To implement, staff will take the following steps: (1) Conduct a review with other similar governmental agencies and assess industry standards for levels of purchasing authority other governmental bodies have delegated to their general manager; (2) Analyze how inflation has eroded current authorization limits since their inception; and (3) Based on that information, staff will recommend increasing the Board authorized delegation of contracting authority if it is determined that such a recommended change would help streamline the procurement and contracting process.

08/31/14

04/28/17



Other Comments

Fully Implemented

Chief Information Technology, Manager of Procurement, Contracts & Matls,

Substantially completed with on-going process improvements (based on AG report). Because of the large undertaking involved with this recommendation, the PCMM group divided this into short and long term goals. To date, PCMM has made substantial progress with the short term items. The longterm item can be classified as ongoing process improvement.

-The process is, at times, prohibitively delayed, jeopardizing critical deadlines. - Project documents are in several places & not organized; documents may be misplaced or lost. Documented the procurement business process from document creation to PO / Contract approval. - Buyer/Status of project is unknown, or Developed an SAP, K2 interactive forms and sharepoint record center solution. SAP process, screens not readily available. and workflow are being tested with an early August 2016 release. The interactive custom forms are - No formal reporting of metrics; limited or 85% complete with testing to start in August of 2016. Storage of all electronic document will be done no capability to quickly gather needed in Sharepoint which is also in test. data. As of 9/23/2016 - VTA decided that additional features and functionality be included to the procurement solution. There are also improvements to the integration between SAP, K2 interactive forms, and Sharepointe to allow for a system that better supports the business processes. The new projected roll out date is: April 28, 2017.

04/28/17

Manager of Substantially completed with on-going process improvements (based on AG report). Because of the Procurement, large nature of the recommendation and how several recommendations are linked together, the AG Contracts & Matls, feels this is mostly complete with a couple of items that will be considered ongoing process improvement. As of 9/23/16 - VTA decided that additional features and functionality be included to the procurement solution. There are also improvements to the integration between SAP, K2 interactive forms, and Sharepointe to allow for a system that better supports the business processes. The new projected roll out date is: April 28, 2017.

Manager of After doing analysis of other transit agencies, the GM's approval limit was raised to $500K. The Procurement, Board approved this change to the VTA Admin Code effective 1/1/15. Contracts & Matls,

- Roles and responsibilities are not clearly defined - Documentation may not be processed or completed in a timely manner, may be provided twice, or not be provided at all - Process requirements/forms are not clearly explained, understood or used consistently - Lack of communication or miscommunication

Projects may be delayed based on approval matrix requiring several approvals. Dollar thresholds may not be assigned using a risk-based tolerance perspective, thereby causing unnecessary reviews & extending the end-to-end process turnaround time.

6.16.a




Recommendation








05/01/14

05/01/14

05/01/14

LOW

MEDIUM

LOW

We recommend management thoroughly review and evaluate from the customer’s perspective existing policies and procedure to either combine existing documents or replace the current procedures with the CAMM desktop procedures (or something similar) which describe the process and how to comply with the process. This will be especially important if the process is automated as outlined in Recommendation #1. Additionally, CAMM should create a short, easy-to-use “users guide” that clearly describes how to submit the required documents and how to use the SAP functionality. This would allow those customers that rarely use request procurements to submit the proper requirements correctly the first time with little or no help from CAMM staff.

Management concurs. To implement this recommendation, staff will take the following steps: (1) Perform a review of existing Policies and Procedures with internal customer departments to update, simplify and make them more user-friendly; and (2) With assistance of outside resources, develop short, easy-to-use “user guides” to clearly describe how to submit required documents and how to use SAP functionality. These steps will be completed by the end of calendar 2014.

12/31/14

We recommend Legal and CAMM Management consider developing a series of standardized contract templates, if not already developed for simple and routine contracts. Legal should write the template to ensure proper terms and conditions are included. Both CAMM and legal would work on a new set of requirements that a contract must meet before it is sent to legal for review. These pre-approved requirements may include contracts over a certain dollar threshold, contracts that are complex or unusual or possibly new or questionable vendors. If the contract does not meet the legal requirements, CAMM would only input the required information and submit it to CAMM management for review and approval. Contracts that would not go to legal for review might include basic or routine items, simple changes or updates in part numbers or pricing, or simple contract renewals. These can be approved within CAMM which will also streamline the process.

Management concurs. To implement this recommendation, staff will take the following steps: (1) Work with the VTA General Counsel’s Office to develop a process that allows a one-time review of frequently used standard contract documents. Once the standard is approved by Counsel, no further review will be needed if the item does not contain any changes from the standard contract. This step will be completed by August 2014.

08/31/14

We recommend Management consider having all CAMM personnel become certified in transportation purchasing and contracting through a national accreditation organization, if not already certified.

Management concurs with this recommendation. To implement, staff will take the following steps: (1) Determine the requirements to obtain the Certified Purchasing Manager certification as well as other certification achievement that may be appropriate for procurement staff; (2) For appropriate classifications, recruitment bulletins will list “CPM” credentials as a “Desired” attribute as well as seek those candidates that have the ability to obtain the CPM designation while employed at VTA; (3) Where appropriate, management will create incentives for obtaining the CPM for those employees/candidates seeking advancement in the CAMM department; and (4) Review and update if necessary, the existing training matrix for CAMM staff. These steps will be completed by the end of August 2014.

7/1/17



Other Comments

Fully Implemented

Manager of AG Report in April 2016 disclosed that this recommendation is substantially completed with ongoing Procurement, process improvements. This recommendation is highly dependent upon the first recommendation. Contracts & Matls, Once #1 is implemented, this will soon follow. The User Guide is created but not yet implemented. The AG feels this is mostly complete with a few items that are ongoing process improvement. Meeting have been held on contract templates. A few policies and procedures will be revised in the very near future and will be working with legal in November 2016.

Lack of clearly stated procedures & inadequate training on said procedures can cause CAMM customers to submit inaccurate or incomplete data, thereby delaying their procurement or contracting requests.

Anticipated full implementation due 07/01/17.

7/1/17

Manager of The Manager of the PCMM department was hired in July 2016. The work that needs to be performed Procurement, to update the job specifications, research training/program information, and ascertain those staff Contracts & Matls, members who should continue in their professional development will be on the new manager's agenda. Meetings have been held on contract templates and succession planning. A few policies and procedures will be revised in the very near future and will be working with legal in November 2016. Anticipated full implementation due 07/01/17.

08/31/14

Manager of The Manager of the PCMM department was hired in July 2016. The work that needs to be performed Procurement, to update the job specifications, research training/program information, and ascertain those staff Contracts & Matls, members who should continue in their professional development will be on the new manager's agenda. Based on an email from A. Lara on 5/17/16, there are several staff in PCMM (formerly CAMM) attending courses toward their professional certification. PCMM will perform more formal action after the succession plan framework from HR is firmed up.

AG report in April 2016 disclosed that this is not fully completed. This recommendation was to improve the turn around time of contracts by establishing standard templates. However, as a precaution, Legal still reviews all contracts. This is an ongoing process and small improvements continue to be made. Legal becomes the bottleneck holding up the process on routine items. Several contract forms or templates are currently being used thus requiring several levels of review.

- VTA doesn't keep up on the latest best practices and trends. - From a public perspective or reputation, the CAMM group may not appear qualified or professional having not been certified.

6.16.a




Recommendation






05/01/14

LOW

We recommend that CAMM management work with VTA’s General Manager and other members of executive management to develop a succession plan for key CAMM purchasing and contracts-related positions that covers the next 3-5 years.

Management concurs with this recommendation. To implement, staff will take the following steps: (1) VTA is currently developing a formal, agency-wide Succession Planning program that will meet the needs of CAMM; (2) In the short term, an important consideration is the implementation of cross-training opportunities for staff where feasible, enabling employees to increase their knowledge and skill levels to become proficient in all disciplines within CAMM. This will also allow employees to take on greater responsibilities and ensure that quality service is provided at all levels. These steps will be completed by the end of calendar 2014.

12/31/14

VTA management concurs with the recommendation. VTA will immediately begin evaluation to determine the business needs of the VTA/ATU Pension Plan administration process. Following completion of an SAP enhancement (Pack 6) scheduled for completion by December 2014 and depending on the results of the business needs evaluation, VTA will implement either SAP functionality or another available technology solution, whichever best meets the business needs. Although a firm date cannot be determined at this time, implementation of the technology solution is estimated for early 2015.

03/31/15

7/1/17



Other Comments

Fully Implemented

Manager of The Manager of the PCMM department was hired in July 2016. The work that needs to be performed Procurement, to update the job specifications, research training/program information, and ascertain those staff Contracts & Matls, members who should continue in their professional development will be on the new manager's agenda. Meetings have been held on contract templates and succession planning. A few policies and procedures will be revised in the very near future and will be working with legal in November 2016. Anticipated full implementation due 07/01/17.

AG status report as of April 2016 disclosed that CAMM is dependent upon VTA succession plan that is currently in development. Once rolled out, CAMM will proceed according to plan. Procurement Manager also indicated that Succession Plan is a long-term effort. However, PCMM has developed a training matrix and continues to provide training opportunities as time and budget allow. This is still in the exploratory stage. - Lack of adequate succession planning can lead to less than adequate change management during times of anticipated or unanticipated employee turnover. - Inadequate change management can cause inconsistencies in the application of policies and procedures, and additional delays in end-to-end procurement turnaround times.

ATU Pension ATU Pension Plan Compliance Audit

8/28/14

HIGH

Management to explore fully implementing and using the SAP Pension module or similar application that fully integrates with SAP. Utilizing the SAP system to its fullest capabilities would streamline the manual processes, automate controls, reduce paperwork and simplify workflow. This would also allow all documents to be located electronically in one place and easily accessed, searched, tracked and reported upon. Additionally, if VTA management elects to implement the SAP Pension module, relevant training should be provided to all users to help maximize system usability, employee satisfaction with the new process and return on investment.

3/31/17

Chief Information Following update provided by Gary Miskell on 09/06/16: Officer After further analysis in the last week of August 2016 with Maria Chavez and Jon Maier the group needs information out of 4 different data sources (pre 1995 Microfiche, BW data warehouse, SAP 4.6, and the production SAP), consolidated into a single data base and a few custom reports written. To further refine the requirement, build the data mart, extract the data and build the reports, estimated completion date is 03/31/17. While VTA has fully implemented the digitization of Pension Records to a backed-up, secure share file- IT is in the design phase of automating employee records, including Pension Records, in Sharepoint which is scheduled to be deployed by 3/31/17.

- Critical Pension Plan documents are stored onsite with no backup of key data and/or documents. Documents may be misplaced or damaged, and confidential retiree personally identifiable information (PII) may be more easily compromised. - Due to current SAP limitations, necessary Pension Plan information may not be captured accurately or timely (i.e. contingent annuitant information).

6.16.a




Recommendation





ATU Pension Plan Compliance Audit

8/28/14

MEDIUM

The RS team should consider updating existing documentation and developing new documentation where none exists for processes and controls across their scope of responsibility. As a part of this documentation, the RS team should utilize the IT department to identify key fields within the current SAP HR module and limit what fields are used and what data can be entered into each field. This would create consistency within all processes and thus enhance their ability to extract more accurate data for actuarial purposes. Some benefits that would be derived would include: • Consistent, standardized process execution and data entry methodologies; • Strengthened and more efficient internal controls throughout the processes; • Improved employee understanding of system access and capabilities, allowing for thorough review of segregation of duties; and • Easier training for new employees and cross-training of current employees. • The Board of Pensions should thoroughly review and update, where warranted, related existing Plan policies to accurately match current business practices. • Until the policy is revised, the BoP should provide clear guidance to RS staff on how disability retirements and medical re-evaluations should be processed. This will be especially important if the process is automated as outlined in the recommendation for Improvement Opportunity 1. These decisions should be formally announced as part of the BoP’s decision and be captured in the record of the meeting.

VTA management agrees with the recommendation. Critical work procedures will be developed or updated by June 30, 2015. In addition, additional internal controls, albeit manual ones, suggested by Auditor General’s Office staff, will be implemented immediately. VTA Management concurs with the recommendation. In anticipation of upcoming VTA/ATU contract negotiations, a subcommittee of BoP members and headed by BoP Vice Chairperson Robert Escobar has been established to review current Pension Plan policies. Any changes to Pension Plan policies as a result of contract negotiations will be presented to the BoP. Completion of any modifications to Pension Plan policies is targeted for six months following successful completion of negotiations between VTA and ATU.


8/28/14

MEDIUM

• The Board of Pensions should thoroughly review and update, where warranted, related existing Plan policies to accurately match current business practices. • Until the policy is revised, the BoP should provide clear guidance to RS staff on how disability retirements and medical re-evaluations should be processed. This will be especially important if the process is automated as outlined in the recommendation for Improvement Opportunity 1. These decisions should be formally announced as part of the BoP’s decision and be captured in the record of the meeting.

VTA Management concurs with the recommendation. Six months In anticipation of upcoming VTA/ATU contract following effective negotiations, a subcommittee of BoP members and date on new headed by BoP Vice Chairperson Robert Escobar has VTA/ATU contract been established to review current Pension Plan policies. Any changes to Pension Plan policies as a result of contract negotiations will be presented to the BoP. Completion of any modifications to Pension Plan policies is targeted for six months following successful completion of negotiations between VTA and ATU.

Even though the ATU Investment Committee does provide optional training for its members, there is no formal requirement outlined in Plan policies. We recommend that VTA be proactive by identifying options and creating a recommended training plan policy for the BoP’s consideration. This will ensure that recommendations made to the Investment Committee and BoP can be more effectively discussed and decided upon.

VTA management concurs with the recommendation. This recommendation was presented to BoP members at the August 12, 2014 BoP meeting. BoP members expressed support that formalized training opportunities will assist them in their fiduciary responsibilities and improve their contributions in making investment decisions on behalf of VTA-ATU, Local 265 members. VTA staff will work with the BoP to assist in formalizing training opportunities as part of reviewing the BoP’s policies and will complete this effort by December 2014.


8/28/14

LOW

06/30/15

12/31/14

12/31/16



Other Comments

Fully Implemented

ATU Pension Bd

Since 2015, Retirement Services staff has updated work procedures/business processes. As time permits and/or business processes change, Retirement Services is updating work instructions.

Turnover within the RS team could slow the processing of retiree benefits to create unforeseen data entry errors due to a lack of sufficient knowledge.

ATU Pension Bd

Since 2014, the Pension Plan Policies sub-committee has met periodically to discuss existing Board of Pensions policies. The sub-committee has developed/revised several Board policies that are scheduled to go to the Board of Pensions for their review and approval in the near future.

- Inconsistent or non-compliant administrative practices could develop among staff. - Non-compliance with policy may expose the BoP and its trustees to unnecessary financial commitments that may not be in the best fiduciary interest of the Plan. - Failure to re-evaluate retirees' medical disabilities could result in payments to a retiree who is no longer medically disabled.

Based on AG report of 8/22/16: fully implemented.

ATU Pension Bd

The Pension Plan Policies sub-committee has revised the Board of Pensions Education Policy which should be presented to the Board of Pensions in June or July 2016 for their review and approval. Completion date: 8/7/16.

Not having the sufficient investment knowledge to proactively make changes with the holdings to protect the fund in case of an adverse event can reduce the long-term effectiveness of the Plan.

6.16.a




Recommendation







Fully Implemented

Engineering and Transportation Infrastructure Development Alum Rock Bus Rapid Transit (BRT) Project Delay Assessment

05/05/16

none specified • Ensure the bid goes out fully-developed to minimize change orders • Insert and enforce contract penalties for failure to perform, including schedule-adherence by contractor • While delays are inevitable, develop contingency plans for contractor.

VTA management agrees: no implementation - A new process, Pre-Construction Requisition Review date specified (Pre-Conreq), has been established to review contract documents for readiness to advertise. The review is performed by managers within the Engineering and Transportation Infrastructure Division (ETID) which requisite knowledge and experience to ensure completeness of the contract documents and that all pre-construction activities are addressed. -Contractors are no longer issued a Notice to Proceed until a baseline schedule is submitted and approved. Also, although California law generally limits the ability to impose contract “penalties”, new construction contracts, such as the current Alum Rock Avenue Roadway/Stations construction contract, include interim milestones with corresponding liquidated damages. -Project Management Plans (PMP) will identify critical elements of the project and provide possible contingency actions in case of contractor nonperformance. For example, for some key projects a completion contract could be used to clean up and install safety improvements during downtime if a nonperforming contractor is terminated.

Director of Engr & Fully implemented. AG report to Bd on Aug 4, 2016. Ongoing procedure has been implemented Transp Infra Dev; Manager of Procurement, Contracts & Matls


05/05/16

none specified • Major goal in construction contracts should be to minimize community impacts (e.g. develop schedules that minimize community disruption) • Outline acceptable work plans in contract to ensure community impact is minimized (e.g. perform work in sections of the street in shorter increments to minimize impacts to businesses).

-VTA management concurs: no implementation - New contracts are being structured to minimize date specified community impacts. Also, a community outreach plan will be prepared early in the project life to identify potential impacts and develop mitigation plans. -Constructability reviews will now include reviews for minimizing community impacts and will involve community outreach staff. Also, newly developed construction contracts now contain provisions to minimize community impacts. One example is the redesign of the Downtown BRT shelters to reduce the excavation required for the new shelters thus shortening the construction duration. Another example is the use of “CIR” (Cold in Place Recycling) asphalt paving for Alum Rock Avenue. CIR is a more environmentally friendly method of paving and can be done much quicker to reduce community impacts. Lastly, shorter, less-disruptive phasing is being implemented going forward in future construction contracts.

Director of Engr & Fully implemented. AG report to Bd on Aug 4, 2016. Ongoing procedure has been implemented Transp Infra Dev; Manager of Procurement, Contracts & Matls; Director of Communications

Other Comments

6.16.a




Recommendation







Fully Implemented


05/05/16

none specified • Provide more specific contract requirements and guidelines • Set up additional processes in bid documents and contracts to ensure that priority expectations are met and impacts are minimized, utilizing interim milestones and liquidated damages • Include performance incentives in contract document • Nonperformance can be considered in evaluating future contractor bids.

VTA management agrees: no implementation -In addition to our current use of standard contract date specified language for consistent and specific requirements, training is being implemented for project managers to prepare contract documents with more clear and specific contract language. A recent training event was held for project managers (June 28, 2016) with VTA legal counsel providing information on the preparation and execution of construction contracts. Also, the newly implemented Pre-Construction Requisition Review process includes a review by managers with appropriate design and construction experience to confirm that contract documents are specific, clear, biddable and buildable. -Contract language was recently revised to tighten specifications related to minimizing and mitigating impacts to the community, businesses, and others. Additionally, new construction contracts, such as the current Alum Rock Avenue Construction, include several interim milestones and associated liquidated damages. -Staff will continue to evaluate performance incentives on a project-by-project basis and implement as appropriate. -To this end, staff is currently preparing for Board consideration proposed revisions to the Board-adopted prequalification process, including allowing consideration of contractor prior non-performance.

Director of Engr & Fully implemented. AG report to Bd on Aug 4, 2016. Ongoing procedure has been implemented Transp Infra Dev; Gen Counsel


05/05/16

none specified • Ensure consensus on all design issues are established prior to bid process • Provide status reports to an active policy Advisory Board (PAB) • Report regularly to a standing committee of the VTA Board.

VTA management agrees: -The new Pre-Construction Requisition Review process includes reviews by Engineering and Transportation Infrastructure Division managers to ensure all open issues with stakeholders have been addressed prior to advertising the contract. -Staff will schedule recurring PAB meetings from initial project stages through final design. Project status reports will be presented at each meeting. During construction, regular updates will be provides to PAB members, the affected jurisdictions and other stakeholder groups. -Semiannual reports, action items (such as contract award, agreements, etc.) and major decisions will be taken to the appropriate standing committee.

Director of Engr & Fully implemented. AG report to Bd on Aug 4, 2016. Ongoing procedure has been implemented Transp Infra Dev

no implementation date specified

Other Comments

6.16.a




Recommendation






05/05/16

none specified • Ensure that all pre-construction activities have been scheduled properly such as right-of-way acquisition, demolition, utility relocation, and permits prior to start of construction as required by the VTA policies and procedures • VTA should continue to consider its right to recover costs under the surety bond for contractor's nonperformance • Start weekly progress reporting prior to the first week of construction • Ensure consistent review of proper coverage and limits per contract • Develop early warning system to ensure contract compliance

BART Comprehensive Agreement Assessment

09/03/15

HIGH


09/03/15

HIGH



Other Comments

Fully Implemented

VTA management concurs: -The new Pre-Construction Requisition process includes reviews by qualified managers to ensure all pre-construction activities have been addressed. This includes property acquisition, utility relocations and permits. -VTA has and will continue to evaluate all options available in accordance with California law and the particular facts and circumstances of each matter. -Weekly meetings between VTA’s construction staff and the contractor’s key personnel will be held throughout the contract duration, starting well prior to any field activities. This will be a standard requirement in all future construction contracts. -VTA management agrees. Legal counsel and VTA’s Risk Manager are part of the enhanced review process for readiness of contract documents prior to advertising. The Risk Manager’s review will include a review of the coverage and limits. -A system is being set up to include a list of early warning signs that will include but not be limited to qualifications of key contractor personnel, early submittals including site specific work plans, and a baseline schedule. Failure of the contractor to perform on any of the key early warning signs will a notification warning to be issued to the contractor and for staff to implement appropriate actions. We recommend that if a subsidy is used to reimburse BARTCAA 01.1 O&M costs, BART should provide VTA with a monthly Prior to the AG report, VTA orgnized an internal or quarterly report "truing up" actual costs incurred to working group under the general oversight of the VTA budgeted costs and demonstrating that the subsidy was Chief of Staff involving all affected division directors. actually used to pay for those costs. For years, VTA's BART Silicon Valley Program staff have been meeting monthly with their counterparts at BART to arrange the details of implementing their mutual obligations under the VTA-BART Comprehensive Agreement. To date, VTA and BART have mave made arrangements on: -reimbursement to BART for costs incurred in making staff and other resources available to the BART SV Extension. -providing specific equipment to BART SV Extension construction. VTA and BART have also executed two companion agreements that address events and requirements not anticipated by the Comprehensive Agreement, as follows: - Hayward Maintenance Complex that supports the phased implementation of VTA's Extension. -Vehicle Procurement that will supply VTA with rolling stock from BART's vehicle fleet replacemetn program. VTA and BART management and staff have developed a schedule for completing the planned O&M Agreement, and defining roles and responsbilities between VTA and BART. Internal and interagency coordination has include operations, maintenance, police, security, finance and accounting, communications, planning, real estate, labor relations, General Counsel, and other third-party interfaces.


9/30/16

Director of Engr & A system has been set up to include regular meetingsa list of early warning signs that will include but Transp Infra Dev not be limited to qualifications of key contractor personnel, early submittals including site specific work plans, and a baseline schedule. Failure of the contractor to perform on any of the key early warning signs will create a notification warning to be issued to the contractor and for staff to implement appropriate actions. As an example, the contractor's ability to submit a realistic, acheivable and approvable baseline schedule is a crtical warning sign. A Notice to Proceed will not be issued without a VTA-approved schedule. Source: AG report to Bd on Aug 4, 2016.


6/30/18

NOT YET DUE FOR IMPLEMENTATION

Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel This will be addresed in O&M Agreement which is anticipated to be completed in October 2017. Full implementation of the related contract provisions is anticipated to occur in June 2018.

The format prescribed in the Agreement for invoicing O&M costs does not provide VTA sufficient prior visibility into the costs incurred. The majority of O&M costs may potentially be reimbursed out of the subsidy and revenues, with only a minimal amount costs being invoiced and subject to VTA's review.

The subsidy from VTA should be deposited into a VTA See combined response in Audit Reference account dedicated to paying O&M costs. Any accrued BARTCAA 01.1 interest from the subsidy should similarly be used towards reimbursing O&M costs.


6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel This will be addresed in O&M Agreement which is anticipated to be completed in October 2017. Full implementation of the related contract provisions is anticipated to occur in June 2018.

The format prescribed in the Agreement for invoicing O&M costs does not provide VTA sufficient prior visibility into the costs incurred. The majority of O&M costs may potentially be reimbursed out of the subsidy and revenues, with only a minimal amount costs being invoiced and subject to VTA's review.

Now fully implemented - VTA now has the procedure in place to conduct weekly meeting per contract to ensure that all activities are on schedule, within costs, no issues, etc. There is a standardized form for the weekly meeting minutes which ensure that all items are covered during each meeting.

6.16.a




Recommendation







Other Comments

Fully Implemented


09/03/15

HIGH

VTA should evaluate whether a model-based form of See combined response in Audit Reference calculation is most appropriate for the calculation and BARTCAA 01.1 invoicing of O&M costs. Other options may include reimbursing BART for actual cost incurred (although the effort required to substantiate and verify actual costs may be excessive) or a task-based form of reimbursement.


6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel A review of Cost Model will be undertaken. Outcome will be reflected in O&M Agreement which is anticipated to be completed in October 2017. Full implementation of the related contract provisions is anticipated to occur in June 2018.


09/03/15

HIGH

If a model-based form of reimbursement is determined to See combined response in Audit Reference be the most appropriate, VTA should evaluate whether BARTCAA 01.1 the Padron Model (or "Kinetics Model", as it is currently known) is the appropriate model to use or whether an alternative model should be considered.


6/30/18


Director of Engr & Transp Infra Dev; CFO, General Counsel


09/03/15

HIGH

If a model-based form of reimbursement is determined to See combined response in Audit Reference be the most appropriate, VTA should have the right to BARTCAA 01.1 review and approve the costs included in the model. VTA should also be provided the right to audit and verify the model on a periodic basis.


6/30/18




09/03/15

HIGH

VTA and BART should evaluate whether a $12 million See combined response in Audit Reference subsidy is appropriate and accurately captures the costs BARTCAA 01.1 of O&M. The subsidy agreed to in the Companion Agreement should reflect the actual current alignment, with the potential for being reevaluated once Phase 2 is complete.


6/30/18




09/03/15

HIGH

VTA should evaluate whether using an escalation factor See combined response in Audit Reference is the most appropriate method for adjusting the subsidy. BARTCAA 01.1 Other options include reviewing and approving a total annual subsidy amount based on forecasted O&M costs.


6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel A review of subsidy allocation and escalation factors will be undertaken. Outcome will be reflected in O&M Agreement which is anticipated to be completed in October 2017. Full implementation of the related contract provisions is anticipated to occur in June 2018.

The $12M subsidy in the agreement does not accurately reflect the current length of the alignment, nor does it consider the relative O&M costs of the remaining 3 miles that has not yet been built. The growth in taxable sales rate likely does not accurately reflect the actual growth of O&M costs.


09/03/15

HIGH

If an escalation factor is used, VTA should evaluate whether the taxable sales growth rate is the most appropriate factor to use or whether other industry escalation factors would be more appropriate.

See combined response in Audit Reference BARTCAA 01.1


6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel A review of subsidy allocation and escalation factors will be undertaken. Outcome will be reflected in O&M Agreement which is anticipated to be completed in October 2017. Full implementation of the related contract provisions is anticipated to occur in June 2018.

The $12M subsidy in the agreement does not accurately reflect the current length of the alignment, nor does it consider the relative O&M costs of the remaining 3 miles that has not yet been built. The growth in taxable sales rate likely does not accurately reflect the actual growth of O&M costs.


09/03/15

HIGH

VTA should evaluate the methodology used by BART to See combined response in Audit Reference report revenue and determine whether it is sufficiently BARTCAA 01.1 reasonable and accurate, and the Companion Agreement should define the methodology and frequency of revenue reporting.


6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel A review of Revenue Reporting process and reporting will be undertaken. Outcome will be reflected in O&M Agreement which is anticipated to be completed in October 2017. Full implementation of the related contract provisions is anticipated to occur in June 2018.

BART may use a methodology to calculate & credit revenue to the Extension that is inaccurate, inappropriate or otherwise require a significant level of review by VTA. The agreement does not specifically address VTA's right to audit & verify the revenue reported by BART, & VTA does not have access to BART's fare data to verify the accuracy of revenue reported.

The costing model may include specific costs or cost types for which VTA should not be liable, & identifying these costs would likely require significant effort. Even if VTA were to identify specific costs for exclusion, the Comprehensive Agreement does not currently provide for VTA's right to do so. The agreement also does not specifically address VTA's right to audit & verify the model on a periodic basis. The recommendations from the Audit Report have been incorporated into an Audit Reconciliation The costing model may include specific Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. costs or cost types for which VTA should not be liable, & identifying these costs A review of Cost Model will be undertaken. Outcome will be reflected in O&M Agreement which is would likely require significant effort. anticipated to be completed in October 2017. Full implementation of the related contract provisions is Even if VTA were to identify specific anticipated to occur in June 2018. costs for exclusion, the Comprehensive Agreement does not currently provide for VTA's right to do so. The agreement also does not specifically address VTA's right to audit & verify the model on a periodic basis. The recommendations from the Audit Report have been incorporated into an Audit Reconciliation The costing model may include specific Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. costs or cost types for which VTA should not be liable, & identifying these costs A review of Cost Model will be undertaken. Outcome will be reflected in O&M Agreement which is would likely require significant effort. anticipated to be completed in October 2017. Full implementation of the related contract provisions is Even if VTA were to identify specific anticipated to occur in June 2018. costs for exclusion, the Comprehensive Agreement does not currently provide for VTA's right to do so. The agreement also does not specifically address VTA's right to audit & verify the model on a periodic basis. The recommendations from the Audit Report have been incorporated into an Audit Reconciliation The $12M subsidy in the agreement does Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. not accurately reflect the current length of the alignment, nor does it consider the A review of subsidy allocation and escalation factors will be undertaken. Outcome will be reflected in relative O&M costs of the remaining 3 O&M Agreement which is anticipated to be completed in October 2017. Full implementation of the miles that has not yet been built. The related contract provisions is anticipated to occur in June 2018. growth in taxable sales rate likely does not accurately reflect the actual growth of O&M costs.

6.16.a




Recommendation







Other Comments

Fully Implemented


09/03/15

HIGH

The Companion Agreement should provide VTA the right to audit revenue reported, and VTA should have periodic access to BART's fare data and other information in order to be able to independently verify the revenue credited to the Extension.



6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel The Comprehensive Agreement address this item under General Provisions- Records and Audit Section - addresses in general terms. O&M Agreement (anticipated completion date is October 2017) will address this item in greater detail.

BART may use a methodology to calculate & credit revenue to the Extension that is inaccurate, inappropriate or otherwise require a significant level of review by VTA. The agreement does not specifically address VTA's right to audit & verify the revenue reported by BART, & VTA does not have access to BART's fare data to verify the accuracy of revenue reported.


09/03/15

HIGH

The Companion Agreement should require BART to obtain VTA review and approval for the use of all revenues generated by (credited to) the Extension.



6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel A review of Revenue Reporting process and reporting will be undertaken. Outcome will be reflected in O&M Agreement which is anticipated to be completed in October 2017. Full implementation of the related contract provisions is anticipated to occur in June 2018.

Revenues generated from the operations of the Extension may potentially by used by BART to pay for O&M costs not attributable to Extension, or for costs which VTA should otherwise not be liable.


09/03/15

HIGH

VTA should have access to any excess revenue See combined response in Audit Reference generated by the Extension at least on annual basis once BARTCAA 01.1 those revenues are known.


6/30/18



09/03/15

HIGH

VTA should address with the FTA whether additional grants will be available to VTA.



6/30/18


Director of Engr & Transp Infra Dev; CFO, General Counsel Director of Engr & Transp Infra Dev; CFO, General Counsel


09/03/15

HIGH

1) Areas of responsibility for BART and VTA in and outside of stations should be clearly defined in the Companion Agreement in a method determined to be most appropriate by both parties, i.e. defined areas inside and outside of stations, boundaries marked on architectural drawings, etc.



6/30/18



09/03/15

HIGH

The Companion Agreement should address roles and responsibilities for aspects of O&M that are not easily defined or span multiple boundaries (such as underground utilities, fire protection, or security).



6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel SVBX has undertaken an effort to clearly delineate BART/VTA responsibilities, including utilities. O&M Agreement (anticipated completion date is Oct 2017) will include the outcome. Fire Protection and Security will be addressed under a separate agreement. Full implementation of the related contract provisions is anticipated to occur in June 2018.


09/03/15

HIGH

VTA should collaborate with BART to review the See combined response in Audit Reference standards in place for BART operations and BARTCAA 01.1 maintenance. If VTA determines that BART's standards are not acceptable for the operation of the Extension, new standards should be developed, agreed to and incorporated into the Companion Agreement.


6/30/18




09/03/15

HIGH

VTA should have the right to approve all changes to standards that may substantially impact Extension ridership, safety and security, or customer satisfaction.


6/30/18



The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. The Capital Reserve Fund Allocation must also be considered (per IV.F.5, pg. 29)

VTA may potentially not have access to any excess revenues generated & earned on the Extension for the first 15 years of operations. The recommendations from the Audit Report have been incorporated into an Audit Reconciliation If BART is permitted to claim 100% of Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. ridership increases in its FTA grant Comprehensive Agreement (VII.C.5 p.52) notes VTA will be reporting extension data to FTA. Full application, BART may be granted implementation of the related contract provisions is anticipated to occur in June 2018. additional funds to cover O&M whereas VTA may have to pay for its costs out of existing funds. Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation There is not sufficient definition or Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. distinction of the areas or services that CFO, General each party will be responsible for during Counsel SVBX has undertaken an effort to clearly delineate BART/VTA responsibilities, including utilities. the O&M phase. As a result, significant O&M Agreement (anticipated completion date is Oct 2017) will include the outcome. Fire Protection disputes, disagreements & conflicts may and Security will be addressed under a separate agreement. Full implementation of the related arise due to lack of understanding roles & contract provisions is anticipated to occur in June 2018. responsibilities. Routine & non-routine services & repairs may be unnecessarily delayed, and customer service & reputation may suffer as a result.

The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. The Comprehensive Agreement allows for VTA to request the Extn to be operated and maintained at a level higher than the BART Core Standards.

There is not sufficient definition or distinction of the areas or services that each party will be responsible for during the O&M phase. As a result, significant disputes, disagreements & conflicts may arise due to lack of understanding roles & responsibilities. Routine & non-routine services & repairs may be unnecessarily delayed, and customer service & reputation may suffer as a result.

VTA does not have the right to approve changes to the O&M standards for the Extension. The Extension may be operated & maintained at lower standards that VTA standards, & Extension SVBX has undertaken an effort to clearly delineate BART/VTA responsibilities, including utilities. ridership, safety & security, & customer O&M Agreement (anticipated completion date is Oct 2017) will include the outcome. Fire Protection satisfaction may be negatively impacted and Security will be addressed under a separate agreement. Full implementation of the related due to lower standards. contract provisions is anticipated to occur in June 2018. Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation VTA does not have the right to approve Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. changes to the O&M standards for the CFO, General O&M Agreement (with anticipated completion date of October 2017) will outline circumstances (e.g. Extension. The Extension may be Counsel change O&M Standards) in which VTA may request higher maintenance levels. Full implementation operated & maintained at lower standards of the related contract provisions is anticipated to occur in June 2018. that VTA standards, & Extension ridership, safety & security, & customer satisfaction may be negatively impacted due to lower standards.

6.16.a




Recommendation







Other Comments

Fully Implemented


09/03/15

HIGH

Areas of responsibility for BART and VTA security and See combined response in Audit Reference safety in and outside of stations should be clearly BARTCAA 01.1 defined in the Companion Agreement in a method determined to be most appropriate by both parties, i.e. defined areas inside and outside of stations, boundaries marked on architectural drawings, etc.


6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel SVBX has undertaken an effort to clearly delineate BART/VTA responsibilities, including utilities. O&M Agreement (anticpated completion date is Oct 2017) will include the outcome. Fire Protection and Security will be addressed under a separate agreement. Full implementation of the related contract provisions is anticipated to occur in June 2018.

The agreement does not define the safety & security functions that will be performed by either party both on trains & inside & outside of stations. For BART, the agreement does not define the levels or types of staffing BART will be required to provide on the Extension trains, stations & in parking facilities & other areas outside the stations. There may also be differences in policy & procedure between BART & VTA, which could lead to decreased security standards & rider safety on the Extension.


09/03/15

HIGH

VTA should evaluate BART's safety and security standards and determine whether they are consistent with VTA's standards and expectations.



6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel SVBX has undertaken an effort to clearly delineate BART/VTA responsibilities, including utilities. O&M Agreement (anticpated completion date is Oct 2017) will include the outcome. Fire Protection and Security will be addressed under a separate agreement. Full implementation of the related contract provisions is anticipated to occur in June 2018.



09/03/15

HIGH

The Companion Agreement should define the safety and See combined response in Audit Reference security expectations on the Extension and set minimum BARTCAA 01.1 standards, expected staffing levels, and Key Performance Indicators (KPIs) to accurately track performance and overall safety.


6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel A review of Revenue Reporting process and reporting will be undertaken. Outcome will be reflected in O&M Agreement which is aniticipated to be completed in October 2017. Full implementation of the related contract provisions is anticipated to occur in June 2018.



09/03/15

HIGH

VTA should evaluate whether BART's operations and maintenance standards meet VTA's standards and expectations.



6/30/18



The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. A comparison of the BART's Operations and Maintenance Standards against VTA standards will be undertaken. Outcome will be reflected in O&M Agreement (which is anticipated to be completed in October 2017). Full implementation of the related contract provisions is anticipated to occur in June 2018.


09/03/15

HIGH

The Companion Agreement should clearly define roles and responsibilities for the operation of the Extension.



6/30/18



The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. The O&M Agreement (which is anticipated to be completed in October 2017) will provide details regarding Operation/Maintenance of SVBX.


09/03/15

HIGH

VTA should have the right to approve all changes to standards that are determined to substantially impact Extension ridership, safety and security, or customer satisfaction.



6/30/18



The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. The O&M Agreement (which is anticipated to be completed in October 2017) will outline circumstances (e.g., change O&M Standards) in which VTA may request higher service levels. Full implementation of the related contract provisions is anticipated to occur in June 2018.


09/03/15

HIGH

VTA should have personnel assigned to the coordination, management, and liaising of Extension activities with BART.



6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General O&M Agreement is anticipated to be completed in October 2017. Counsel

Differences in O&M policy & procedures between VTA & BART could lead to decreased standards & service on the Extension. As a result, significant disputes, disagreements & conflicts may arise due to lack of understanding roles & responsibilities. Differences in O&M policy & procedures between VTA & BART could lead to decreased standards & service on the Extension. As a result, significant disputes, disagreements & conflicts may arise due to lack of understanding roles & responsibilities. Differences in O&M policy & procedures between VTA & BART could lead to decreased standards & service on the Extension. As a result, significant disputes, disagreements & conflicts may arise due to lack of understanding roles & responsibilities. VTA may be understaffed or insufficiently staffed to respond to the demands required for effective & efficient management of the Extension operations & maintenance.

6.16.a




Recommendation







Other Comments

Fully Implemented


09/03/15

HIGH

VTA should have personnel assigned to processing and approving the invoices in accordance with the Companion Agreement terms and conditions and any changes or modifications therewith.



6/30/18



The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. O&M Agreement is anticipated to be completed in October 2017. Full implementation of the related contract provisions is anticipated to occur in June 2018.

VTA may be understaffed or insufficiently staffed to respond to the demands required for effective & efficient management of the Extension operations & maintenance.


09/03/15

HIGH

VTA should have personnel assigned to monitoring service levels and key performance indicators of the Extension.



6/30/18



The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. O&M Agreement is anticipated to be completed in October 2017. Full implementation of the related contract provisions is anticipated to occur in June 2018.

VTA may be understaffed or insufficiently staffed to respond to the demands required for effective & efficient management of the Extension operations & maintenance.


09/03/15

HIGH

The Companion Agreement should clearly define the See combined response in Audit Reference boundaries of VTA's liability on the BART core system, BARTCAA 01.1 i.e. by geographical boundaries, project type, or incremental benefit to VTA.


6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel Implementation of Capital Improvement Projects will be handled under independent agreements (e.g. Cost Share Agreements, Implementation Letter). Full implementation of the related contract provisions is anticipated to occur in June 2018.

VTA will be obligated to pay for improvements to the BART Core System that are unrelated to Extension operations or from which VTA receives a very limited benefit.


09/03/15

HIGH

VTA should have increased participation in the 10-year See combined response in Audit Reference CIP development process with BART for any costs that BARTCAA 01.1 will impact VTA.


6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel O&M Agreement (with anticipated completion date of October 2017) will detail the Capital Investment/Planning process. Capital Projects will be implemented with BART through individual and independent agreements (e.g. Cost Share Agreements or Implementation Letters). It should be noted that the Comprehensive Agreement requires Capital Investment needs (Capital Planning) will be addressed through three mechanisms: (1) Development of CIP with annual updates, (2) Jointly developed/approved annual Capital Invest Financial Plan, (3) Cost estimates for Capital; Projects included in both of the above. Full implementation of the related contract provisions is anticipated to occur in June 2018.

The lack of agreement between VTA's right to approve costs in the 10-year CIP plan & annual CIP plan may lead to disputes between VTA and BART over the capital improvement costs borne by VTA.


09/03/15

HIGH

The Companion Agreement should give VTA the right to See combined response in Audit Reference approve any capital improvement projects for which they BARTCAA 01.1 will be substantially liable.


6/30/18


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel O&M Agreement (with anticipated completion date of October 2017) will detail the Capital Investment/Planning process. Capital Projects will be implemented with BART through individual and independent agreements (e.g. Cost Share Agreements or Implementation Letters). It should be noted that the Comprehensive Agreement requires Capital Investment needs (Capital Planning) will be addressed through three mechanisms: (1) Development of CIP with annual updates, (2) Jointly developed/approved annual Capital Invest Financial Plan, (3) Cost estimates for Capital; Projects included in both of the above. Full implementation of the related contract provisions is anticipated to occur in June 2018.

The lack of agreement between VTA's right to approve costs in the 10-year CIP plan & annual CIP plan may lead to disputes between VTA and BART over the capital improvement costs borne by VTA.

6.16.a





Recommendation



04/30/14




09/03/15

HIGH

The Companion Agreement should clearly identify the methodology (or methodologies, if multiple are required) used to apportion Capital Improvement project costs to VTA.

VTA Management recognizes that risks identified in the AG Assessment of the VTA-BART Comprehensive Agreement and will rely on the recommended mitigation strategies during the development of the O&M Agreement and any needed future agreements. Prior to, and independent of the AG's Risk assessment of the Comp. Agreement, VTA MGMT organized an internal working group under the general oversight of the VTA Chief of Staff involving all affected VTA Division Directors, this group tasked with developing the full range of provisions that need to be included in the planned O&M Agreement. This working group is already addressing most of the risks identified in the AG's report and will take into consideration the recommended mitigation strategies during development of the O&M Agreement. For several years, VTA's BART Silicon Valley Program, VTA MGMT and staff have been meeting monthly with their counterparts at BART to arrange the details of implementing their mutual obligations under the VTA-BART Comprehensive Agreement. To date, as provided by the Comprehensive Agreement, VTA and BART have made arrangements for such details, including: - Reimbursement to BART for costs incurred in making staff and other resources available to the BART SV Extension - Providing specific equipment to BART SV Extension construction. VTA and BART have also executed two companion agreements that address events and requirements not anticipated by the Comprehensive Agreement. These agreements cover: - Hayward Maintenance Complex that supports the phased implementation of VTA's Extension - Vehicle Procurement that will supply VTA with rolling stock from BART's vehicle fleet replacement program VTA and BART staff are approaching the O&M Agreement in the same way as the two prior companion agreements. This involves first stabling Principles of Agreement approved by the VTA and BART General Managers, then preparing a detailed agreement from those principles for subsequent approval by their BOD's. VTA and BART MGMT and staff have developed a schedule of completing the planned O&M Agreement, and have been meeting with their Divisions and Departments to define specific roles and responsibilities between VTA and BART. Internal and interagency coordination has included operations, maintenance, police, security, finance and accounting, communications, planning, real estate, labor relations, General Counsel, and other relevant considerations such as 3rd-party interfaces. VTA staff briefed the VTA BOD on the status of the Comprehensive Agreement, including the planned O&M Agreement, at its April 2015 meeting. VTA staff will continue to provide regular briefings to the SVRT Program Working Committee (Board standing committee) as we continue developing the O&M Agreement.

BART Silicon Valley (SVBX) Schedule Assessment

05/01/14

MEDIUM

We recommend that VTA continue to conduct the weekly meetings with SSH and emphasize the importance of communicating the current, accurate and complete schedules. We also recommend that VTA request SSH to review the staffing level for this requirement to ensure staffing is adequate to meet the upcoming construction, and provide a report back to VTA on their go-forward plans to ensure adequate staffing, including measures such as provisions for backup personnel and cross-training provisions.

We agree with the recommendation as stated and will continue to use the contractual tools at our disposal including formal notifications to SSH for corrective actions needed, non-compliance reports and /or withholding portions of payments until SSH is fully compliant. VTA is reorganizing its team that will closely coordinate with SSH’s field staff to assure seamless communication. By April 30, 2014, VTA will reiterate contractual obligations regarding community outreach requirements to SSH, indicate that given their current performance SSH resources applied to this requirement appear to be insufficient, and strongly encourage them to consider making changes to the SSH organization to realize needed performance improvement in this area.

6/30/18



Other Comments

Fully Implemented


Director of Engr & The recommendations from the Audit Report have been incorporated into an Audit Reconciliation Transp Infra Dev; Plan as part of the Internal VTA management working group for the VTA-BART O&M Agreement. CFO, General Counsel Capital Projects (including cost allocations) will be implemented with BART through individual and independnet agreements (e.g., Cost Share Agreements or Implementation Letters). Full implementation of the related contract provisions is anticipated to occur in June 2018.

Without a defined methodology, VTA & BART may disagree on costing allocation methodology, which could result in a dispute between parties. VTA may bear an unreasonable & unnecessary amount of CIP costs if an inappropriate allocation methodology is used.

Director of Engr & Completed 4/30/2014. Transp Infra Dev (BART Silicon Reference Document: Valley) P0728-C700-14-0953.

Failure to properly notify the public may result in adverse public perception of the project, which could jeopardize public support for both the SVBX component and, more importantly, for the 2nd phase from Berryessa through downtown San Jose to Santa Clara. Failure to notify the public increases the risk of accidents involving the public that are related to the construction. This will become ratably more significant as construction is projected to increase substantially within the next year & will require additional time to monitor & report the construction schedules timely to VTA.

6.16.a




Recommendation







05/01/14

05/01/14

MEDIUM

MEDIUM



Other Comments

Fully Implemented

We recommend that VTA work closely with SSH to ensure that they submit timely and accurate information as requested by Change Order #38 and the subsequent Project Manager’s response dated March 11, 2014. Additionally, should future change orders arise whereby schedule updates are required, VTA should work with SSH to help ensure that the process is completed timely.

SSH submitted a revised Baseline Contract Schedule on January 16, 2013 that was accepted with status Make Corrections Noted (MCN) on February 10, 2014. SSH made a subsequent submittal on February 14th as stated. It was also accepted MCN on March 11, 2014. We agree with the recommendation that VTA work closely with SSH to ensure they submit timely and accurate information as requested by CO #38 and for any future schedule revisions. This can be augmented by the Project Manager’s potential usage of Contract provisions relative to withholding of payment as described in Contract section 7.3.2, Special Withholding. By April 30, 2014, VTA will reiterate contractual obligations regarding schedule submittal requirements to SSH, indicate that based on past performance SSH resources applied to this requirement appear to be insufficient, and make specific recommendations about changes to the SSH organization to improve performance in this area.

Director of Engr & Completed Transp Infra Dev (BART Silicon VTA implemented a program of special withholding for schedule deficiencies and issued a Corrective Valley) Action Report that ultimately induced a change in SSH schedule resources and a contract compliant schedule submittal.

The Project Management team should continue to dedicate resources to review the RFC design. SSH should be advised to dedicate the necessary resources to provide current, accurate, and complete RFC drawings. VTA should also work closely between the Project Management team and SSH to help ensure that the review and subsequent questions are facilitated timely.

Management concurs. It should be pointed out that the 04/30/14 team has been working closely with SSH and has developed a modification to the existing incentive program that is designed to encourage SSH to focus on quality and timeliness of their design submittals. While the contract stipulates review of no more than three design packages in a 21-day period, VTA has dedicated resources to simultaneously review significantly more packages to expedite the process. VTA has fully documented the timeliness and content in all communications relating to design review and resolution of comments to establish a record of VTA and SSH performance on this process. April 30, 2014, VTA will reiterate contractual obligations regarding design requirements to SSH, indicate that based on past performance SSH resources applied to this requirement appear to be insufficient to assure adequate coordination between technical disciplines and design packages, and suggest that changes to the SSH organization might be needed to improve performance in this area.

Director of Engr & Completed Transp Infra Dev (BART Silicon VTA focused SSH on specific design deliverables to assure timely preparation of critical design Valley) elements. Design is now fully complete.

Reference Document: P0728-C700-14-2002 P0728-C700-CAR-000004

Reference Document: P0728-C700-14-1450

The project management team may not be able to effectively evaluate the project schedule & monitor the construction progress, including impact upon the critical path, which could lead to missed milestones & adverse financial, operational & public perception impacts.

Delays in reviewing & approving RFC drawings could impact the start of construction, achievement of subsequent milestones, & the ultimate completion date for the project, causing potentially adverse financial impact & heightened exposure to reputational risk. This also increases the risk associated with potential claims & additional cost to meet the completion dates.

6.16.a




Recommendation






BART SV Interagency Agreement Assessment


05/01/14

11/06/14

11/06/14

MEDIUM

HIGH

MEDIUM

SSH should take the appropriate measures to ensure that there is stability by dedicating a team of schedulers to support the scheduling function. Additionally, SSH should also ensure that the accuracy and timeliness of schedule submissions is consistently adhered to, regardless of personnel turnover. To the extent possible, VTA should communicate its dissatisfaction with SSH’s inability to provide continuity of personnel.

Management agrees. To-date there have been 04/30/14 numerous changes in SSH management and in the field support staff that have likely had substantial impacts on scheduling. Directions from upper SSH management about their implementation strategies have not been consistent and the recurring reorganization of staff over the first two years of SSH’s contract has not helped with the comprehensive planning for the project’s implementation. Although coordination between SSH scheduling and field personnel has greatly improved in recent months, the SSH scheduling group remains understaffed. We do see a risk to timely and complete schedule submissions unless the SSH Scheduling Department staff is increased. As a result, VTA will continue to express its concern in writing and encourage that SSH take steps to ensure the stability and continuity of whoever is assigned to this position. By April 30, 2014, VTA will reiterate contractual obligations regarding scheduling requirements to SSH, indicate that based on past performance SSH resources applied to this requirement appear to be insufficient, and make specific recommendations about changes to the SSH organization that might improve performance in this area. Also, to address the general concern regarding comprehensive planning, VTA will add two additional Field Engineers to the VTA team to coordinate and assure that SSH adequately addresses this issue.

We recommend that VTA obtain written assurances and clarifications from the City of Milpitas regarding its commitments under the MA considering the circumstances of the conflicting agreement.

VTA agrees. VTA and the City of Milpitas management are coordinating resolution of this issue and are developing the pertinent clarifications regarding the City’s commitments under an amendment to the Master Agreement. Although a firm deadline cannot be established due to the complexity of this issue and because the two parties still need to reach an amended agreement and obtain City Council approval, VTA has already initiated the process of obtaining written assurances and clarifications from the City of Milpitas and anticipates the process will be completed by the end of February 2015.

02/28/15

After the utility’s proposed cost estimate and cost allocation is reconciled with VTA’s independent cost estimate, VTA issues a Notice to Owner authorizing the work to begin. VTA agrees to reimburse the utility for VTA’s share of the actual costs of the relocation as indicated in the Notice to Owner. The progress of utility relocation work is monitored by VTA staff, and each progress payment to the utility owner is evaluated against the measured progress. VTA management agrees with the Auditor General’s recommendation that for subsequent utility relocation agreements, VTA’s process for issuing the Notice to Owner should include more defined cost elements and more specific provisions for making progress payments and for reimbursing the utility for management and administrative costs. VTA will pursue such arrangements when negotiating subsequent utility relocation agreements. To that end, VTA will review and modify applicable policies and procedures to reflect these changes by the end of January 2015.

01/31/15

For future agreements with utilities, VTA should include contract verbiage that specifically defines allowable cost of work by cost element. We also recommend that VTA identify in the agreements any mark-ups, such as allowable overhead and profit. At a minimum, the utility should provide a reconciliation detailing the actual costs incurred to the amount billed.



Other Comments

Fully Implemented

Director of Engr & Completed Personnel turnover increases the risk of Transp Infra Dev inaccurate and untimely schedules (BART Silicon VTA implemented a program of special withholding for schedule deficiencies and issued a Corrective submissions. Valley) Action Report that ultimately induced a change in SSH schedule resources and a contract compliant schedule submittal. Reference Document: P0728-C700-14-2002 P0728-C700-CAR-000004

Dependent on city's collaborative effort

Director of Engr & Transp Infra Dev (BART Silicon Valley)

VTA met with the City of Milpitas on July 1, 2015 to coordinate the pertinent clarifications regarding the City’s commitments under an amendment to the Master Agreement. On July 15, 2015, VTA proposed amended terms for payment based on the discussions at July 1 Meeting. (Reference document P0728-C640-LTR-000001) Although VTA and City staff continue to meet and coordinate project implementation matters, VTA has not received a formal response to the proposed amendment. VTA continues to invoice the City for reimbursement, and is preparing another request for written assurances and clarifications from the City of Milpitas regarding its commitments under the Master agreement. This matter is now with the Office of the General Counsel. Estimated date of implementation: Dec 31, 2017

Director of Engr & VTA has reviewed its policies and procedures, and updated the applicable procedure on Utility Transp Infra Dev relocation Agreements with additional requirements for Payment Obligations. (Reference Procedure (BART Silicon No. P0728-PW-PRO-TPA-005, Rev. 1) The revised requirements for Payment Obligations include: Valley) • A clear definition of allowable cost of work by cost element. • Specified mark-ups, such as allowable Overhead, Management, and Administrative Costs. • A process for issuing the Notice to Owner that reflects the defined cost elements and specific provisions for making progress payments. • Requirements for a reconciling statement with each invoice or request for payment that details the actual costs incurred and applicable mark-ups for cumulative and current request for payment. • Provisions for VTA to make adjustments to invoices and requests for payment if supporting documents are sufficient.

The City of Milpitas has not responded to requests for payment, or to requests for amended terms for payment. As of July 31, 2016 VTA has invoiced the City approximately $11 million. Failure to properly comply with the agreement increases the risk that the City may not have adequate funds to reimburse VTA for the Eastern Segment. Without the City and VTA reaching agreement, financial exposure to VTA could potentially reach $17M. VTA may pay for cost that is considered to be unallowable under industry standards. Disputes and/or disagreements could also result in potential delays to completing the overall project per the integrated project schedule.

6.16.a




Recommendation






11/06/14

MEDIUM

When future agreements are executed, they should include a required billing format with support such that adequate reviews of invoices can be performed. VTA should also consider exercising its right to audit by verifying select Utilities have invoiced based on actual cost incurred.

Each invoice VTA receives for utility relocation work is reviewed by VTA field and administrative staff to assure that the invoice is commensurate with the actual work performed. The Auditor General’s report is correct that in some instance utility invoices did not include adequate supporting documentation. In such instances where VTA staff could not establish the basis of the amounts invoices, VTA has withheld payment until adequate supporting documentation has been provided. VTA management agrees with the Auditor General’s recommendation that VTA should exercise its right to audit utility relocation costs, and will conduct audits of representative samples by June 30, 2015.

06/30/15



Other Comments

Fully Implemented

Director of Engr & VTA has reviewed its policies and procedures, and updated the applicable procedure on Utility Transp Infra Dev relocation Agreements with additional requirements for Payment Obligations. (Reference Procedure (BART Silicon No. P0728-PW-PRO-TPA-005, Rev. 1) The revised requirements for Payment Obligations include: Valley) • A clear definition of allowable cost of work by cost element. • Specified mark-ups, such as allowable Overhead, Management, and Administrative Costs. • A process for issuing the Notice to Owner that reflects the defined cost elements and specific provisions for making progress payments. • Requirements for a reconciling statement with each invoice or request for payment that details the actual costs incurred and applicable mark-ups for cumulative and current request for payment. • Provisions for VTA to make adjustments to invoices and requests for payment if supporting documents are insufficient.

Failure to obtain sufficient supporting documentation, including invoices, and/or conduct an audit of the Utilities' costs incurred, could result in over-payment or otherwise inaccurate payments.

VTA has also strengthened its invoicing reviews and continues to audit utility company invoices to validate eligible actual cost information, and makes deductions and corrections as needed. An example audited invoice adjustment is attached.


11/06/14

LOW

VTA should review the procedures for issuing notices to owners in lieu of contract amendments to confirm that each option is being used appropriately. Where none are present, procedures should be developed so that VTA employees are able to easily make the most appropriate selection in each instance.

The determination for the use of an amendment or a Notice to Owner is based on the usual business practices of each utility. Notice to Owner is a standard business practice for many utilities. For utilities where Notice to Owner is not a recognized practice, an amendment is normally used. VTA management agrees with the Auditor General’s recommendation that VTA’s process for issuing the Notice to Owner should include defined cost elements and more specific provisions for reimbursing the utility for management and administrative costs. VTA will pursue such arrangements when negotiating subsequent utility relocation agreements. To that end, VTA will review and modify applicable policies and procedures to reflect these changes by the end of January 2015.

01/31/15


11/06/14

LOW

VTA should review the issue with VTA legal counsel and approach MCI, requesting that it comply with the invoice provision of the contract and provide current actual costs to date. Additionally, cost accruals should be maintained in the project plan and in the financial system to ensure that a large sudden cost does not have a material impact on financial results.

VTA management agrees with the Auditor General’s recommendation. Since MCI utility relocations have been difficult to coordinate due to their extensive presence throughout the SVBX Project corridor, VTA management, in coordination with VTA legal counsel, in September 2014 established specific work processes that will regulate the work of MCI and VTA’s contractors on site. This should result in bringing MCI’s billings up to date and in line with VTA’s agreements with MCI. In the meantime, VTA staff continues to track the anticipated costs of MCI relocation work by monitoring the estimated costs of the specific work requested, and by monitoring the onsite activities conducted by MCI.

06/30/15

12/31/16

Director of Engr & VTA has reviewed its policies and procedures, and updated the applicable procedure on Utility Transp Infra Dev relocation Agreements with additional requirements for Payment Obligations. (Reference Procedure (BART Silicon No. P0728-PW-PRO-TPA-005, Rev. 1) The revised requirements for Payment Obligations include: Valley) • A clear definition of allowable cost of work by cost element. • Specified mark-ups, such as allowable Overhead, Management, and Administrative Costs. • A process for issuing the Notice to Owner that reflects the defined cost elements and specific provisions for making progress payments. • Requirements for a reconciling statement with each invoice or request for payment that details the actual costs incurred and applicable mark-ups for cumulative and current request for payment. • Provisions for VTA to make adjustments to invoices and requests for payment if supporting documents are insufficient.

The notice to owner is less formal and may not provide adequate terms and conditions and internal controls to protect VTA's interest in all cases; there may be instances when only a contract amendment would properly mitigate VTA's risk exposure.

Director of Engr & VTA maintains cost projections for anticipated costs related to all Utility relocations. MCI Transp Infra Dev relocations for SVBX are now complete, and VTA is expecting a final invoice from MCI in Q3 2016. (BART Silicon Valley) Final invoices were received the end of October and are within the established budgets. Inspection services invoices will still be coming through and should taper off through Q1 & Q2 2017.

Additional costs could be incurred by MCI where VTA is unaware. Invoice delays increase the risk of variances in the actual versus estimated completion costs and as the resulting effort needed to resolve any discrepancies.

Estimated date of full implementation is 12/31/16.

6.16.a




Recommendation






11/06/14



Other Comments

Fully Implemented

LOW

In future agreements, the Utilities should be required to obtain VTA approval prior to incurring cost that will exceed stated limitations. The agreement should also include a requirement for the Utilities to provide a revised cost estimate, which VTA can approve prior to incurring additional cost.

VTA’s Notice to Owner is based on an estimate of costs, not lump sum amounts. VTA is obligated to reimburse the utility owner for VTA’s share of actual costs. Actual costs cannot be known until the work is completed. The 15% allowance for costs greater than the estimated costs is an administrative convenience that reflects the accuracy of estimated costs. VTA is obligated to reimburse the utility owner for VTA’s share of actual costs, including justifiable cost overruns. VTA construction management staff observes the utility relocation work to assure that no unnecessary activities are conducted. If a utility submits an invoice for an amount exceeding 115% of the estimated cost in the Notice to Owner, the invoice is paid only up to the 115% limit until adequate documentation for the cost overrun is received and recognized as valid justifiable costs. VTA agree to review future utility relocation agreements with VTA counsel to assess whether more specific provisions can be implemented to address the measurement and payment of actual costs. VTA will pursue such arrangements when negotiating subsequent utility relocation agreements. To that end, VTA will review and modify applicable policies and procedures to reflect these changes by the end of January 2015.

01/31/15

Director of Engr & VTA has reviewed its policies and procedures, and updated the applicable procedure on Utility Additional, unexpected and unnecessary Transp Infra Dev relocation Agreements with additional requirements for Payment Obligations. (Reference Procedure cost could be incurred by VTA. (BART Silicon No. P0728-PW-PRO-TPA-005, Rev. 1) The revised requirements for Payment Obligations include: Valley) • A clear definition of allowable cost of work by cost element. • Specified mark-ups, such as allowable Overhead, Management, and Administrative Costs. • A process for issuing the Notice to Owner that reflects the defined cost elements and specific provisions for making progress payments. • Requirements for a reconciling statement with each invoice or request for payment that details the actual costs incurred and applicable mark-ups for cumulative and current request for payment. • Provisions for VTA to make adjustments to invoices and requests for payment if supporting documents are insufficient.

VTA Management agrees. VTA will reclassify TECO4 as a non-key control and remove it from further testing during the audit of key controls. This will be accomplished by the end of September 2013

09/30/13

Manager of Investments

N/A - NOT A KEY CONTROL - This is a process rather than a control. The actual review of the journal entries is a control which is included in control TECO13.


N/A - NOT A KEY CONTROL.

Finance and Budget Investment Control (2013) Internal Audit

11/07/13

LOW

Management reclassify TECO4 as a non-key control and remove it from further testing during the audit of key controls. Doing so will save VTA staff time each month, and since the actual control is tested at TECO13 the overall integrity of the control portfolio will not be compromised by the elimination of TECO4

Investment Control (2013) Internal Audit

11/07/13

LOW

As stated previously in this report, based on our [No management commitment] assessment of associated risk, combined with the fact that no high or medium risk issues have been identified during the four Investment Controls internal audits, we recommend that consideration be given to performing this audit on a slightly longer cycle, perhaps alternating between a two and three-year interval. This would allow re-allocation of Auditor General hours to higher-risk areas during the years when the Investment Controls internal audits are not performed.

Investment Program Controls Internal Audit (FY15)

05/07/15

LOW

Convert the existing duplicate control of SSAE 16 report VTA concurs. VTA will update the controls as review from the Custodial Agent to the Investment recommended Manager to ensure documented controls cover all Investment process service organizations and their controls.

05/31/15


Various investment controls did not reflect current investment processes, & not all control objectives were adequately covered by existing controls. Review of the Investment Manager's SSAE 16 report was not a documented control activity.


05/07/15

LOW

Revise existing controls to require only one level of review of the SSAE 16 report that includes all control objectives. Revising the control will optimize VTA resources, while adequately reviewing the service organization’s controls.

VTA concurs. VTA will update the controls as recommended

05/31/15


Various investment controls did not reflect current investment processes, & not all control objectives were adequately covered by existing controls. The SSAE 16 reports were unnecessarily reviewed by both the Investment Programs Manager & Fiscal Resources Manager, but the review did not cover all control objectives covered in the SSAE 16 reports.


05/07/15

LOW

Update existing controls to only require the Investment VTA concurs. VTA will update the controls as Manager’s review and approval of investment journal recommended entries. The revision would result in process efficiencies while effectively mitigating risks related to journal entries.

05/31/15


It was noted that investment journal entries require a secondary review, though such journal entry controls generally only require one level of review.

6.16.a




Recommendation







Other Comments

Fully Implemented


05/07/15

LOW

Reclassify the duplicate control as non-key and remove it from further testing during the audit of key controls. Doing so would eliminate control redundancies and result in time savings for VTA process owners without compromising the control portfolio.

VTA concurs. TECO-4 will be removed from the investment key control listing.

05/31/15

Investment Program Management

Operator Scheduling Assessment

05/07/15

HIGH

Maintenance staffing levels may be another potential constraint. We recommend an analysis of staffing levels to provide adequate services to ensure vehicle availability is increased.

Staffing levels for both LR vehicle maintenance and WP&S have been analyzed and additional staffing has been requested in the upcoming two-year transit operating budget.

05/31/15

Chief Financial Officer


05/07/15

HIGH

Currently, the community buses have limited route options and bus fares are lower compared to other bus routes. We recommend that VTA investigate fare standardization for bus fares - through an increase in bus fares on community routes - to lift the restrictions to the current sub-fleet to operate on other routes.

VTA's newest community buses are 30-foot hybrid standard transit buses that completely replace our previous fleet of cutaway buses. This new bus style, which does not include a community bus branding, does allow use of these buses on other lines, such as first/last mile service. However, on weekdays this fleet is fully deployed on community bus lines. In many cases, a smaller 30-foot bus is needed on these lines due to street configurations, turning movements and community desires. In the future, as vehicles become available or more are procured VTA will look to using these smaller buses on other services. At this time, VTA is not considering any changes to community bus fares.

Third-Party Fare Reporting Process Assessment

09/03/15

MEDIUM

VTA management concurs that periodic testing of revenue transaction data to confirm that revenue calculations reflect actual ridership data and reconcile to Clipper Settlement Reports will enhance the fare reconciliation process. VTA will select at least three sample days from each of the four quarters of the prior fiscal year and will review all original revenue transactions for the selected sample dates by collecting transaction data directly from the production system with the assistance of staff from MTC and Cubic.

06/30/16

Fare Programs and Tested transaction data and reviewed transactions. Enclosed email of VTA Data Sets of Jun 2016. Systems

VTA does not independently verify Clipper revenue-generating data for transactions that occur outside of VTAowned terminals.


09/03/15

LOW

Because VTA is only able to verify Clipper data for transactions on VTA-owned terminals, we recommend that VTA evaluate and select one of the two platforms identified during fieldwork that would allow VTA to access Clipper transaction data. Subsequently, we recommend that VTA develop a process to independently verify Clipper transaction data and reconcile the information to the Clipper Settlement Report. Although neither the MTC database nor the TDS Store account for back office related user data transactions, such as manual adjustments (claims), add value recoveries and auto-load settlement transactions, either alternative selected by VTA would facilitate independent verification of the completeness and accuracy for the majority of Clipper transaction data and enhance VTA’s Clipper fare recovery reconciliation process. We recommend VTA management request and review the SOC-1 report provided by Cubic on an annual basis to ensure VTA is familiar with Cubic’s internal controls and verify if any testing exceptions documented in the report are relevant to VTA. For example, by VTA reviewing the Cubic SOC-1 report, any items identified that represent a risk of material misstatement would be identified and additional actions on VTA’s part could be taken to mitigate the associated risk.

VTA management concurs and has implemented the recommendation. The review was conducted by VTA personnel on 3/20/2015 on the latest Cubic SOC-1 Report (covering through 09/01/2013 to 05/31/14) and related bridge letter (through 9/22/2014), noting the relevance of the user considerations tested and reported upon in the SOC-1 report and that no adverse findings were noted that might create increased risk exposure to VTA with respect to Cubic’s processes. VTA will review SOC-1 reports and related bridge letters annually.

06/30/15

Fare Programs and Systems

Cubic SOC-1 report was not reviewed by VTA management on an annual basis and therefore they would not be aware of any potential conditions that could adversely affect VTA's internal control over financial reporting.


09/03/15

LOW

We recommend that VTA expand its existing review process of the Clipper monthly operating fee invoice to include the verification of the revenue allocation amounts used by MTC to calculate VTA’s operating fee against VTA’s revenue summary spreadsheet. By including this verification step VTA validates the completeness and accuracy of the calculation basis of its operating fees and increases the likelihood that an inaccurate fee amount would be detected prior to remittance.

VTA management concurs and has enhanced the review process as follows: Daily: Monitor and record revenue from Clipper Reports Server (TLF 002 Report). Monthly: Calculate revenue totals from subtotal of daily report work sheets. Compare totals to revenue totals reported in monthly operator report by MTC. Review the monthly cost calculation worksheet from MTC, compare revenue totals used in cost allocation calculations to total from daily work sheets, and calculate VTA percentage share of revenue to confirm accuracy of cost allocation.

06/30/15

Fare Programs and Systems

Prior to issuing payment for Clipper operating fees, VTA does not verify the revenue amount used in the allocation calculation.

It was identified that a control activity was documented and tested in two separate key controls.

Supply chain management & maintenance process are negatively affecting light rail vehicle (LRV) availability. In additional, bus service is limited by sub-fleets operating on community bus routes. In addition to supply chain management practices, it was observed maintenance staffing levels may constrain LRV availability. Deputy Director of VTA staff informed the BOD that at this time, VTA is not considering any changes to community bus Supply chain management & maintenance Accounting; fares. process are negatively affecting light rail Deputy Director of vehicle (LRV) availability. In additional, Transit Operations bus service is limited by sub-fleets operating on community bus routes. Bus fares on the community routes could be raised to standard fare and, as a result, this fleet could also operate on other services providing flexibility and system efficiency.

6.16.a




Recommendation







Other Comments

Fully Implemented


03/05/15

MEDIUM

Because of the complexity of timecard exception pay codes VTA employees, supervisors, and timekeepers frequently have questions on processing timecards. We recommend VTA identify a centralized expert-level function, often referred to as a “center of competence,” that would be responsible for the communication of timekeeping information throughout VTA. Centralized process ownership facilitates: • Ease of access to information • Standard implementation of processes • Consistent communication of information • Clearly defined roles and responsibilities

VTA concurs. Management will clarify that Payroll is the primary owner of the timekeeping process, and that Human Resources (HR) is responsible for various personnel actions which affect timekeeping. These HR activities include updating personnel systems to reflect new hires, pay rate changes, promotions, transfers, and separations. The two departments will develop and deploy documentation and training to users in VTA.

09/30/15

Payroll and Human Resources

No centralized process owner and standards for timekeeping information and training.


03/05/15

MEDIUM

In addition, we recommend VTA identify best practices for timekeeping and develop standard training for employees, timekeepers, and supervisors. Training should include, but not be limited to: a standard breakdown sheet of pay codes and examples for each union; FAQs and common mistakes; training for collective bargaining agreement (CBA) revisions that affect pay codes; refresher courses, etc. Implementation of standard training would facilitate the following: • Consistent implementation of pay codes • Reduction of manual re-work by timekeepers and payroll department • Increased accuracy of data inputs and remuneration

VTA concurs. The timekeeping function is affected by Human Resources functions. Adequate internal control is maintained by segregation of duties within the two functions. Each function owner will develop and deploy training to users in a coordinated and integrated manner.

09/30/15


No centralized process owner and standards for timekeeping information and training.


03/05/15

MEDIUM

We recommend that documentation be developed or updated for key processes and procedures. Developing adequate documentation can support: • Standardized process execution, yielding process efficiencies • Clear identification of roles and responsibilities • Defining of baseline metrics that can be used to monitor and measure process performance • Employee accountability to defined standards We recommend primarily focusing on: • Standard time recording and timekeeping procedures • Process documentation for Employee Set Up and change processes in SAP, including procedures, as appropriate • Updated Payroll Process documentation and development of procedures for key tasks

VTA concurs. The documentation prepared to address Recommendations 3.1 and 3.2 will ensure alignment with the current state.

09/30/15


Documentation provided during review to support processes and procedures was limited or out of date.

We were made aware that the procurement process has incredible lead-time and parts were often unavailable for service needs. We recommend that VTA evaluate its existing supply chain management process and establish appropriate processes that would allow the light rail division to calculate the service life of each light rail vehicle, plan for vehicle failures, and have sufficient spare parts to repair nonfunctional vehicles to maintain 90% light rail vehicle availability. Effective and efficient supply chain management supports VTA’s need for light rail availability for critical transportation services.

The materials management section, previously in Operations, has been reorganized to report directly to Procurement & Contracting Department. This reorganization is streamlining communications and creating inventory ordering improvements.

03/31/15

GM/CEO

Supply chain management & maintenance process are negatively affecting light rail vehicle (LRV) availability. In additional, bus service is limited by sub-fleets operating on community bus routes. The combined lead time and lack of parts indicates ineffective supply chain management, which will continue to impact light rail vehicle availability.

Office of the General Manager Operator Scheduling Assessment

05/07/15

HIGH

6.16.a




Recommendation







Other Comments

Fully Implemented

Operations Operator Scheduling Assessment

05/07/15

HIGH


05/07/15

HIGH



05/07/15

05/07/15

HIGH

HIGH

The current rail vehicle availability is a constraint on operations. We recommend that VTA increase its operating light rail availability target to between 80-90% and evaluate organization needs for achieving the target. With additional light rail vehicle availability, the light rail division will be better prepared for daily AM and PM peaks and special events.

Operations has submitted an analysis and staffing plan to create a third LR maintenance shift with the bulk of the employees available on weekends which will increase the amount of preventative and corrective maintenance that can be accomplished. This will lead to fleet availability in the 80 to 90% range as suggested. The implementation of the new light rail service in conjunction with the BART extension opening will require over 80 peak vehicles. For Wrestlemania in March 2015, VTA had 84 LRVs available for service. Schedulers currently have difficulty in creating efficient Moving from the current modified cafeteria style schedules and routes with the modified cafeteria bidding to regular rostering would be a significant approach. While it would take considerable effort to cultural and operational change to the VTA workforce. change existing work rules, including agreement from This would likely require agreement with the ATU and the ATU, we recommend that VTA conduct a costmodifications to VTA’s scheduling and workforce benefit analysis of implementing regular rostering management software (Trapeze FX and OPS). VTA scheduling. Rostering would allow VTA to create prestaff and Trapeze would likely need to run some packaged schedules, including assigned days off while computerized test scenarios to determine the cost allowing operators to select packages, as preferred. This savings of such an approach. This effort could be could completely remove the group relief packages and complicated and time consuming. This change would result in budget and administrative savings without need to be negotiated with ATU. This will be unduly burdening the operators and relieving constraints addressed during the current negotiations with ATU on schedulers and office supervisor supports on a new collective bargaining agreement. The other related factors will also be evaluated.

08/31/15

04/30/15

We recommend that VTA use the same cost-benefit analysis above and explore the possibility of removing the union restriction on straight runs. This would provide a more efficient solution for scheduling.

VTA management agrees with the recommendation to remove run restrictions that are part of the collective bargaining agreement with ATU. This will be addressed during the current negotiations with ATU on a new collective bargaining agreement.

06/30/15

Quarterly schedule bidding provides operators flexibility in selecting work hours and routes, but lowering the bidding frequency would result in administrative efficiencies and cost savings related to schedule preparation and bidding. We recommend that VTA proposes to change the frequency of schedule bidding from four to three times per year, as well as having date flexibility when operators’ scheduling bidding occurs and their effective dates. Through these changes, VTA gains process efficiency and flexibility to adjust for service changes such as school schedules, sporting events, holiday events, and other external impacts.

VTA management agrees that the recommendation to reduce the frequency of schedule bids from quarterly to three times per year would be more efficient. Again, this would need to be addressed in the collective bargaining agreement with ATU. To make this recommendation most effective, management recommends that the labor agreement be modified to have more flexibility as to when the date of the sign up is effective to adjust for service changes, school schedules and other impacts.

06/30/15

Deputy Director of A third shift was added which increased rail car availability. Completed 8/2015 -We hire additional Supply chain management & maintenance Transit Operations staff and created a 3rd shift as planned. For the Super Bowl in Feb 2016 we had all 99 LRV (100% of process are negatively affecting light rail the fleet) in service. vehicle (LRV) availability. In additional, bus service is limited by sub-fleets operating on community bus routes. VTA should have, at minimum, 74-79 cars available to handle current demand for events.

Dependent upon successful negotiation in the next CBA which is anticipated in Sept 2018






VTA was not able to achieve through the required CBA. However, group relief rostering is being implemented in July, 2016, which enables this part of the bidding process to move from a manual to an automated process, which is more efficient and saves staff time. VTA will try to negotiate this recommendation into the new CBA effective 9/1/2018.

VTA was not able to achieve through the required CBA. VTA will try to negotiate this recommendation into the new CBA effective 9/1/2018.


Recent negotiations with ATU did not agree to changing our bidding to a rostering approach. This would be a significant organizational change that would need to be negotiated and union leadership has indicated that they do not support this change at all. It would be beneficial to have a cost benefit analysis performed. However, group relief rostering was implemented in July 2016, which enables this part of the bidding process to move from a manual to an automated process, which is more efficient and saves staff time. Current operator work rules governed by union agreements inhibit bidding & scheduling efficiency. VTA's current modified cafeteria style allows flexibility for operators to select their divisions, routes, work hours & days off. However, this comes at a cost to the operating budget & creates a multi-step bidding process. VTA was not able to achieve through the CBA. Current operator work rules governed by union agreements inhibit bidding & scheduling efficiency. Scheduling efficiency of operator runs for a given day by limiting the amount of operators that work both peak periods and paying overtime for these runs. This was not addressed in the last round of ATU contract negotiations. There should be internal discussion on the pros/cons of implementation. If the analysis proved beneficial, then VTA would take its findings to the next round of ATU negotiations. Current operator work rules governed by union agreements inhibit bidding & scheduling efficiency. It was found that the process of creating the group relief packages is heavily manual and timeintensive.

6.16.a




Recommendation






05/07/15

HIGH

We recommend that VTA implement an operator work VTA management agrees with the recommendation to rule that allows supervisors to operate vehicles in case of implement a work rule that allows supervisors to emergency situations related to shortage of manpower. operate vehicles in case of emergencies.

06/30/15



Other Comments

Fully Implemented


The only time that a Supervisor will operate a train or bus is in an emergency. This is already part of the Stadard Operating Procedures

This recommendation was based upon the shortage of Operators. Operations addressed this by hiring more Operators. It also becomes a Union issue whereas the only time that a Supervisor will operate a train or bus is in an emergency and not in revenue service. Current operator work rules governed by union agreements inhibit bidding & scheduling efficiency. It was observed that there are low operator staffing levels, which resulted in the borrowing of operators, operators working on scheduled days off, & operators volunteering on a regular basis. Each of these scheduling practices place potentially undue stress on the workforce.


05/07/15

HIGH

VTA is well aware that the current staffing levels and requirements for Levi’s Stadium Special Events is unsustainable long-term and have recently hired several people to address this. Still, we recommend that VTA evaluate alternative staffing and operation strategies, including the use of part-time operators, possibly creating a new category of operators that can work on bus and rail, and options to augment existing services provided by VTA.

VTA management agrees and will investigate other operating personnel deployment strategies (use of part time operators, dual bus/rail operators, etc.) to sustain event operations while continuing to provide effective day to day service. Many potential changes would need union agreement or change in current operating practices, which will be addressed during the current negotiations with ATU on a new collective bargaining agreement.

07/30/15


05/07/15

HIGH

Due to the scale of special events and Levi’s Stadium Service, VTA should consider maintaining the Levi’s Stadium Coordinator position to focus solely on special events and Levi’s Stadium service and also provide support staff to ensure continued successful event operations in a sustainable manner.

Upon resignation of the Levi’s Stadium Coordinator, a Transportation Superintendent position was approved and filled to manage Levi’s Stadium plus other events

09/30/15

Deputy Director Service & Operations Planning; Deputy Director of Transit Operations

It was noted during interviews that VTA had a dedicated Levi's Stadium coordinator assigned to managing Levi's Stadium events in 2014 - should consider maintaining this position.

The current group relief runs are created manually and have potential for errors, and add unnecessary time and risk to the picking process. We recommend Trapeze OPS be utilized for run-cutting group relief work.

Management agrees with the recommendation to alleviate the manual process in packaging group relief runs. VTA is currently establishing a scope of work for Trapeze to develop a solution to automate the group relief packaging process.

10/31/15

Manager of This solution and correspondence processes went live June 2016 in time for the July 2016 sign-up. Operations, Project sign-off documentation attached. Analysis, Systems and Reporting

Trapeze OPS requires additional modules, additional training and reporting functionality.


05/07/15

MEDIUM

such as San Jose Earthquakes games, July 4 th fireworks, etc. The position will also coordinate operational impacts from the VTA and third-party various construction projects impacting VTA light rail and bus operations. A Transit Service Development Supervisor was also recently hired in Service and Operations Planning to lead the complex event service planning. Six new Transportation Supervisor positions were approved to support event days and daily service, and two more are proposed in the FY16 budget. Finally, VTA has initiated a retiree ambassador program, where VTA retirees can return to paid part time status as ambassadors for events, removing work load from other full time staff. Finally, VTA will use these retirees and other trained staff to work the queue teams. We don’t see a need to augment our staffing levels with third-party vendors beyond the current use of Allied-Barton and Sheriff’s Transit Patrol.

9/1/18

Deputy Director of Operations does not have a budget to hire separate staff to handle all Levi's Stadium events. VTA is The events placed stress on operating & Transit Operations currently trying to get some type of funding from Levi's, however nothing has been agreed upon. VTA supervision staff that is not sustainable, will try to negotiate this recommendation into the new CBA effective 9/1/2018. especially as events are added at Levi's Stadium & Avaya Stadium opens in 2015. In the interim, Operations has evaluated alternative operational strategies which include adjusting service levels on event attendance to help with the other added costs. Oher operational strategies to help minimize operational losses on Levi's Stadium events include the operation of Express Buses. VTA continues to hold discussions on improving operational performance on related events.

6.16.a




Recommendation






05/07/15

MEDIUM

Trapeze contains information utilized for a variety of functions, but does not duplicate reports previously available. We recommend establishing a process to create special reports to duplicate previous reports, especially in regards to time worked/not worked.

Management agrees with the recommendation. This process has been in place since the June 2014 Trapeze OPS deployment. Development of internal reports is ongoing. Report developer staff will continue to reach out to users for reporting requirements. In addition, VTA will engage Trapeze to conduct database structure training for VTA staff. Viewpoint, a business and reporting intelligence tool for OPS, is currently in design review with a target implementation of August 2015. This business intelligence tool will provide another layer of reporting solution for Trapeze OPS.

08/31/15

12/31/16


05/07/15

MEDIUM

Currently bidding is done manually and Trapeze may have ability to perform this function in a Web-based format. We recommend investigating Trapeze to allow for bidding via the Web, saving time and money.

Management agrees with the recommendation. The implementation of web bidding requires ATU participation and extensive changes to administrative procedures and processes. This will be addressed during the current negotiations with ATU on a new collective bargaining agreement.

08/31/15




Other Comments

Fully Implemented

Manager of Viewpoint solution in configuration/testing phase. Implementation is targeted for October 2016. Operations, Viewpoint meeting notes submitted. Anticipated full implementation date: 12/31/2016 Analysis, Systems and Reporting


Deputy Director of VTA was not able to achieve this through negotiations in the new CBA. VTA will try to negotiate this VTA was not able to achieve this through Transit Operations recommendation into the new CBA effective 9/1/2018. negotiations in the new CBA. The Union's main concern is that not all Operators may be computer literate. Trapeze OPS requires additional modules, additional training and reporting functionality. Trapeze OPS requires additional modules, additional training and reporting functionality.


05/07/15

MEDIUM

Current staff was trained on Trapeze, but additional, more specific training would facilitate better performance of job functions. We recommend providing additional training for operations staff, Office Time Technicians and Office Support Supervisors.

Management agrees with the recommendation. Training items have been identified and VTA is planning to start these training sessions mid-March 2015. In June 2015, VTA also plans to bring Trapeze back onsite for specialized training sessions catered to Operations Superintendents and Supervisors.

06/30/15

Manager, Operations, Analysis, Systems and Reporting


05/07/15

MEDIUM

Trapeze automates availability of operators for some functions, but some availability is documented manually, such as birthdays and incentive days. We recommend exploring the possibility of implementing this functionality into Trapeze, eliminating a manual process.

Management clarified with staff that this item refers to absence (vacation, floating holiday, incentives) quota configuration. This configuration activity is required once a year, before the annual general sign-up in January, and would be the first year VTA utilized Trapeze OPS for this purpose. Management agrees to review the quota configuration process and implement process improvements where necessary.

01/31/16

Manager of Operations, Analysis, Systems and Reporting



05/07/15

LOW

We recommend that VTA investigate CHP log book requirements and discuss the need for this practice, especially with automation of Trapeze and Advanced Vehicle Systems (AVS) systems. If necessary, engage the Board of Directors for possible negotiation and resolution of eliminating requirement.

10/31/15

Deputy Director of VTA has included a solution requirement for the log books in the RFP for the new CAD/AVL. This Transit Operations will eliminate the need for Operator Log Books. Expected full implementation date is: 01/30/2019; NTP for CAD/AVL project: 09/2016. With the approval of CHP, we expect to be able to eliminate the log books prior to project completion.

Log books, as required by California Highway Patrol (CHP), are redundant as VTA has existing timekeeping and scheduling methods.


05/07/15

LOW

We recommend that VTA investigate the implementation of a new AVS (communication) system that would provide greater accuracy and ability for reporting.

Management agrees with the recommendation. VTA previously engaged CHP regarding this issue 2.5 years ago, which did not result in any substantive improvement to the current process for VTA. VTA believes the underlying issue is that CHP is inconsistently and incorrectly applying this regulation in the transit industry. The preferred solution would be for CHP to not require log books in any form for public transit operators. VTA will approach the CHP again on this issue. Management agrees with the recommendation. The CAD/AVL capital project expected to commence at the end of 2015 includes automation design requirements to replace manual monitoring and collection of information required for the logbooks. The technology design will require CHP consensus.

06/30/15

Manager of Implementation of an Automated Log Books and/or Automated Vehicle Systems have been Log books, as required by California Operations, investigated and will be included in the scope of the CAD/AVL replacement capital project. Attached Highway Patrol (CHIP), are redundant as Analysis, Systems is a copy of a section of the CAD/AVL RFP requirements (section 2.9.1.9). VTA has existing timekeeping and and Reporting scheduling methods.

12/14/15

HIGH

VTA is responsible for using taxpayer dollars in the most efficient and effective manner possible. This includes ensuring fair and open competition for all contracts. Given that VTA has not completed a competitive bid in over 20 years and VTA’s Board of Directors approved the most recent contract agreement that will automatically continue into evergreen status in July 2021, we recommend that VTA obtain independent cost estimates for both ADA brokerage and purchased transportation services to evaluate the program’s current costs and competitive market rates.

VTA management agrees with the recommendation. The new Regional Transportation Services Manager, who is anticipated being hired shortly, will initiate the process immediately upon hire. He/she will, in partnership with VTA’s Procurement & Contracts unit, develop the scope and specifications for the competitive selection process to determine interest and comparative costs. However, the effectiveness of this process is dependent on successful prior implementation of the actions identified in the Auditor General’s recommendations for Items 2.1, 2.2, 6.1 and 7.1. Once the corrective actions for these items are completed, VTA will have much clearer information and a better picture to identify the optimal service model.

12/31/16

Operations/ Regional Transportation Services Manager

Paratransit Paratransit Operation Assessment

RFP was issued in September 2016. VTA obtained proposal by October 31, 2016.

Outreach has competitively bid all of its third-party purchased transportation providers. Therefore, it is possible that VTA may not easily be able to measure the benefit being received from utilizing a broker to provide ADA paratransit services. Without performing due diligence and obtaining independent cost estimates, VTA cannot adequately determine if the aggregate costs of its ADA paratransit program aligns with current market rates.

6.16.a




Recommendation





Paratransit Operation Assessment

12/14/15

HIGH

We recommend that VTA obtain access to all systems and applications that are utilized by Outreach to deliver ADA paratransit services and develop internal review processes to independently and, on an ongoing basis, verify Outreach-prepared reports and invoices. Without adequate independent review and oversight of Outreach, VTA risks potentially paying inaccurate invoice amounts to Outreach or submitting inaccurate federal transportation data.

VTA management agrees to obtain access to systems and applications Outreach uses to deliver paratransit service in order to be independently review and verify Outreach-provided reports and invoices. Arranging for direct access will require amendment of the VTA/Outreach contract as well as potentially a small incremental cost for the software access license(s).

03/31/16


12/14/15

HIGH

We also recommend that VTA evaluate the current reports required in the contract to determine critical information needed to oversee operations and performance. VTA should develop internal review controls that ensure consistency in reporting formats and presentation of data. In order to effectively manage operational and financial performance, it is imperative that VTA understand how the information is gathered and reported. In combination with Recommendation 2.1, VTA should be able to effectively oversee ADA paratransit services and reasonably verify that costs incurred by and billed to VTA are accurate.

VTA management agrees to review in detail all required reports from Outreach and develop internal review controls and procedures to help ensure consistency in reporting formats and presentation of data. We will ensure that we fully understand how the information is gathered and reported by Outreach, which is a key component in VTA effectively overseeing ADA paratransit services. We will also notify Outreach of any required reports not currently being provided as well as needed changes to existing reports in order to supply VTA with critical information it needs to properly oversee operations and performance.

04/30/16


12/14/15

HIGH

In order to ensure that invoiced amounts are accurate and the approximately $20 million paid to Outreach for ADA paratransit services are substantiated, we recommend that VTA require Outreach to provide appropriate supporting documentation with invoices as described in Section 5.5 of the agreement. VTA should have adequate visibility to specific costs elements incurred both directly from Outreach and its third-party vendors. It is important that VTA management evaluate how the data is obtained and prepared to ensure information is complete, accurate and reliable for financial and NTD reporting. We also suggest that VTA management review the Auditor General report No. 2011-04 and identify source data and documentation required to verify Outreach’s stated revenues.

VTA management agrees to establish requirements for supporting documentation necessary for invoice reconciliation and resulting payment to Outreach. These requirements will include, but not be limited to, cost drivers such as MV contract costs, Outreach staff expenses, fuel, vehicle maintenance, other vendor services, etc. In addition, a VTA internal procedure will be developed so that VTA staff has clear direction on the requirements for supporting documentation for invoices.


12/14/15

HIGH

Due to the increased risk of inaccurate invoice amounts and lack of visibility to specific expense and revenue elements for ADA paratransit services, we recommend VTA to contractually pursue the elimination of advance payments. Outreach should be required to submit invoices based on actual expenses incurred and revenue generated during a specific period. Revising this process would not only alleviate and streamline the process at VTA, it would also facilitate greater visibility for VTA management and reduce the risk of inaccurate billings.

VTA management agrees with the recommendations to eliminate or simplify advance payments and to streamline the invoicing process. Modification of the existing advance payment provision will require amendment of the VTA/Outreach contract.



Other Comments

Fully Implemented


1) VTA was provided direct access via VPN along with contract amendment language - no full agreement or completion to date; 2) Outreach has provided a workstation at their office with Trapeze access, however, they restricted VTA viewing access; 3) Extraction of the productivity database required a non-disclosure agreement that was first signed in March; 4) Staff has been in discussion with software company on ability to transfer or buy full license access, both Trapeze and Outreach refuse this option; 5) $1.4M proposal provide to procure our own identical system.

VTA is responsible for reporting paratransit service data to the federal government. However, VTA has allowed Outreach to self-report National Transit Databases (NTD) information, including eligibility, ridership, and financial data, without independently verifying the VTA was provided full Trapeze access through VPN portal. This allows staff to independently review accuracy or reasonableness of Outreach's and verify reports to approve invoices. Staff is currently developing and internal controls and reporting, potentially putting the formalizing them in an upcoming request for proposals for paratransit services. organization's federal funding at risk.

9/30/16


1) Outreach is now providing reports via dropbox in a central location. 2) Backup reports exceed two hundred documents and staff is currently evaluating which ones are relevant for verifying costs incurred 3) Staff has started draft procedures for invoice processing and verification. 4) Staff is now requiring its contractor to adhere to section 20 - Required Reports and Submittals Provision including General Ledger account activity reports 5) Additional raw data is now provided pursuant to VPN Trapeze access to validate billing and performance standards, including adherence to contract section 20, Required Reports and Submittals.

Requested system-generated source data were not extracted directly by the system. In most cases the data was not easily reconcilable across various reports. Inspection of Outreach's budgeting, GL, and invoicing reports revealed inconsistencies in how specific cost elements are accounted for by Outreach and reported by VTA.

03/31/16

9/30/16


1) Outreach is now providing reports via dropbox in a central location; 2) Backup reports exceed two hundred documents and staff is currently evaluating which ones are relevant for verifying costs incurred; 3) Staff has drafted procedures for invoice processing and verification; 4) AG report no. 2011-04 has been reviewed 5) Invoicing procedures are on hold until automated invoicing rolls out; 6) Operations changed the Target Date of Implementation from 03/31/16 to 09/30/16. 7) Outreach has provided VTA with source data access as of June 30, requiring staff to revamp its current draft procedures.

Vendor invoices are entirely prepared by Outreach for they are responsible for scheduling. Invoices for Outreach's purchased transportations providers are not directly provided to VTA to substantiate vendor costs. Outreach provides VTA with manually created ridership reports - not system generated source data.

03/31/16

7/1/17

Operations/ Chief Operating Officer with the assistance of both General Counsel’s Office and Contracts and Procurement unit.

Since July 4, 2016, VTA is able to obtain VPN access to the Trapeze pass software and able to run reports to validate invoices. However, VTA is unsuccessful to negotiate the contract amendment of the existing advance payment provision.

Invoices submitted to VTA are insufficiently supported as required by the contract. Additionally, Outreach's paratransit services invoicing process is unnecessarily complex because of VTA's advance payments, resulting in increased risk of inaccurate invoice amounts.

There is an active RFP which closes the first week of November 2016 and this RFP has contract payment requirements. By July 2017, VTA will have a new contract for Paratransit Services which will require supporting documents of service for payment.

6.16.a




Recommendation






12/14/15

HIGH

Although VTA has an effective budget review, we encourage the organization to evaluate its existing invoice review procedures and process for the paratransit services contract. In order to ensure invoice review is effective at detecting potential errors, VTA must understand the supporting data provided by Outreach as described in Observation 4.1 while also verifying the amounts reported independently. VTA’s Accounts Payable manager informed the Auditor General’s Office that automation efforts are underway to ensure invoices and support are electronically captured and approval workflows are automated, and we recommend VTA management continue to pursue automation efforts. Not only does automation result in efficiencies during the invoice review process, it facilitates electronic records and control over invoice documentation and changes.

VTA management agrees to review and improve its invoice review process including more meaningful scrutiny of invoices and their supporting documentation. VTA also has efforts underway to automate invoice processing. Corrective action for this recommendation is related to and will be accomplished in conjunction with corrective actions for Recommendation 3.1.

03/31/16


12/14/15

HIGH

We recommend that VTA require Outreach to submit all invoices to the attention of AP so all invoices and supporting documentation are formally received and time stamped prior to departmental review. Additionally, any invoice disputes should follow requirements as described in section 5.6 of the agreement between Outreach and VTA.

VTA management agrees and has already instituted this recommendation. However, additional changes may be required for the electronic submission process as it relates to Recommendation 3.1 on defining the required supporting documentation for invoices. This may or may not require an amendment to the contract.


12/14/15

HIGH

In order for VTA to have assurance that the paratransit services budget is reasonable and aligns with actual results, we recommend that VTA management evaluate its existing budgeting process for paratransit services and develop requirements and internal review controls that include trend analysis and substantiation for spending justification. Given the significant costs associated with paratransit and VTA’s use of the brokerage model, we recommend that VTA management and Board require the detailed analysis previously described prior to the Board approval of the budget. It is also critical that budget tracking include sufficient detail on a regular basis to ensure detailed cost drivers compared to budget are appropriately investigated and reviewed by VTA management. Without sufficient analysis, VTA may expose itself to unnecessary costs as a result of the brokerage model and its increasing costs, as well as the potential over-utilization of non-dedicated transportation providers.


12/14/15

HIGH

The company or organization responsible for managing the ADA paratransit eligibility process inherently serves as a custodian for VTA because the eligibility determination is the primary factor affecting future paratransit costs. Therefore, it is critical that VTA pursue an ADA paratransit model that has sufficient VTA oversight as well as independence between the eligibility and brokerage/transportation service, thus eliminating any potential conflict of interest. Furthermore, we recommend that VTA evaluate the existing eligibility process and benchmark against other eligibility service providers to assess Outreach’s current performance metrics. We also suggest VTA complete a cost-benefit analysis of an in-person functional assessment program to determine if a more thorough upfront assessment model would more accurately determine applicant eligibility and protect VTA from potentially incurring costs for ineligible riders.

9/30/16



Other Comments

Fully Implemented

Operational/ Training started September 30, 2016 - e-invoice went live 10/31/16 Regional Transportation Services Manager in cooperation with the Accounts Payable unit

VTA's AP process requires that invoices be directed to the AP department to be formally received and time stamped before being directed to the appropriate department for review. It was noted, however, that not all vendors send invoices to the attention of AP. Invoices submitted outside of the standard process may result in invoice revisions or changes to documentation without being formally documented.

12/03/15

Operational/ Regional Transportation Services Manager in cooperation with the Accounts Payable unit

Internal invoice review procedures for the paratransit services contract are not sufficient to substantiate disbursement, and invoices are not always submitted to Accounts Payable (AP) to be formally received prior to internal review.

VTA management agrees. Operations staff will coordinate with the Finance & Budget Division to review its existing budgeting process for paratransit services and revise as needed to ensure development of the annual/biennial paratransit budget at a sufficient level for VTA Board of Directors review and approval, including trend analysis and other key factors. VTA will also implement an enhanced budget tracking process to ensure costs are appropriately reviewed and justified, which is related to the Recommendation 2.2, 3.1 and 4.1 and thus will be accomplished in combination with the corrective actions for those items.

04/30/2016Implementation of improved budget tracking process. 12/2016-Enhanced paratransit budget development process will be in place for the FY 2018 & FY 2019 VTA Biennial Budget process scheduled to commence late 2016.

Chief Operating Officer in conjunction with the Chief Financial Officer

VTA management agrees. It will comprehensively study its complete current paratransit eligibility process. This process will factor in the Auditor General’s recommendations to: (1) segregate the eligibility and brokerage/transportation responsibilities; (2) perform a cost-benefit analysis of implementing in-person functional assessments; and (3) benchmark and assess current eligibility performance metrics. It will also take into account industry best practices as well as other factors. Any major changes to the program would require amendment of the contract between VTA and Outreach.

12/31/16

1) Staff has started reoccurring line by line review of actuals versus budget and separately tracking vendor actuals versus budget 2) Staff is following up on any trends and requesting further information for changes 3) Staff will include more information in the proposed budget going forward which will include major cost drivers such as fuel, labor, vendor and broker costs.

Operations/ RFP S16239 was released on September 2, 2016, taking into account analytical tools and industry Regional best practices. Transportation Services Manager

The VTA BOD of Directors approves the annual paratransit services budget, as provided by Outreach, without analysis and comparison by VTA staff to actual program costs or justification of budget projections. VTA's budget review controls and analyses are ineffective at developing a quality budget that is critical to managing ADA paratransit costs on an ongoing basis.

Outreach currently manages VTA's ADA paratransit eligibility program, which is a potential conflict of interest. Further, Outreach does not require all applicants to complete as in-person functional assessment.

6.16.a




Recommendation







Other Comments

Fully Implemented

12/14/15

MEDIUM

For VTA to develop a long-term strategic ADA paratransit fleet management plan, it is critical that the organization have a clear understanding of the current fleet’s utilization and capability to meet demand. We recommend that VTA develop an ongoing, sustainable fleet management plan to ensure that VTA vehicles are used optimally and, if possible, Outreachowned vehicles are no longer used for ADA paratransit services and maintained at the expense of VTA. In addition, we recommend that VTA fully evaluate vehicle acquisition proposals and grants to ensure they meet ADA service needs.

Grants Management & Compliance Assessment

05/05/16

MEDIUM

The Programming & Grants Department is of vital VTA management concurs with the recommendation. importance to the VTA. The funding they receive is vital Programming and Grants staff will be developing to VTA operations. Because of this, we recommend policies and procedures to document its processes. Programming & Grants develop policies and procedures that cover their various processes. Doing so would help both maintain useful training material for new employees and other VTA employees who work closely with that department.

12/31/16


Director of Planning & Prog Dev; Manager of Prog & Grants

Anticipated full implementation: 12/31/16

The Programming & Grants Department does not have formally documented policies and procedures for their various workflows.. Therefore other departments may not fully understand the processes or timing of the grants.


05/05/16

MEDIUM

We recommend that the Programming & Grants house all grants and supporting documents in one common place. SAP doesn't currently have this capability so we suggest a web-based repository. Once this repository is established, all documents should be scanned and uploaded in order to: 1) Reduce the amount of paper on site and in storage. 2) Make documents more easily retrievable and have the ability to be sorted by fiscal year, project number, grant number, etc. 3) Make it much easier to comply with VTA's document retention policy.

VTA management concurs with the recommendation. Programming and Grants staff will be developing policies and procedures to document its processes, in combination with IT, is in process of developing a SharePoint (online and shared) site to house all digital and scanned copies of documentation.

SharePoint site operational: 12/31/16; Archival documents uploaded: 12/31/17



Grants Share Point Site technology will be demo on 08/16/16.

The Programming & Grants does not have a document repository to house all relevant documents and mostly maintain hard copies of documents. Some documents were not readily available.


05/05/16

LOW

We recommend VTA require cities to provide more detail and substantiation in their required grant project status reports, especially for future awards. Requiring more substantiation such as photos of project progress gives more transparency on expenditure of VRF 15% funds. In addition, having cities report semi-annually instead of annually gives VTA more detail and timeliness in monitoring the expenditure of public funds.

VTA management concurs with the recommendation. Immediate Programming & Grants staff will include semi-annual reporting and photo documentation of project progress requirements in future funding agreements for VRF 15% projects


BOD approved the new cycle of ITS projects on 08/04/16 and these projects will be requested to submit biannual status report. New forms were created top request for additional information.

Currently, several local cities that receive grants from VTA provide inconsistent annual updates related to Vehicle Registration Fee (VRF) 15% funded projects.


VTA management agrees with the recommendation. It will develop a comprehensive paratransit fleet management plan that takes into consideration, among other factors: recent procurements; vehicle utilization and maximization; vehicle type and capacity; hourly/daily/monthly deployment trends including the use of taxis; and changing passenger and operational needs. However, the effectiveness of this process is dependent on successful prior implementation of the actions identified in the recommendations for Items 2.1 and 2.2. Once the corrective actions for these items are completed, VTA will have much clearer information and a better picture to identify the optimal fleet management plan.

11/30/2016 (in time for use in the FY 2018 & FY 2019 VTA Biennial Budget process scheduled to commence the end of 2016 as well as development of the next SRTP.

Operations/ 11/30/2016 (in time for use in the FY 2018 & FY 2019 VTA Biennial Budget process scheduled to Regional commence the end of 2016 as well as development of the next SRTP. Transportation Services Manager VTA has developed the FY17-FY21 Fleet Plan Master.

VTA does not currently have a process to evaluate and manage its paratransit services fleet to evaluate vehicle type, utilization, or spare ratios to identify current and future needs.

Grants

Planning and Programming Development Operator Scheduling Assessment

05/07/15

HIGH

We recommend analyzing a cost-benefit of extending station platforms to accommodate three-car trains, consistent with the rest of the rail system thus improving your ability to handle increased ridership.

VTA management agrees that the current Vasona line infrastructure with two car platforms and two single track segments constrains event day operations as well as daily service. The VTA Planning and Project Development Division has a study underway, the Light Rail Enhancement Project, to review a variety of system design and operational strategies that would improve service, ridership and operating speed. Vasona line improvements are only one of many enhancements being studied. The study will consider the cost and benefits of each potential improvement. Future decisions will be made on which improvements to pursue for funding and implementation. The study is targeted for completion by the end of 2016.

01/31/17


Director of Planning & Programming

The Vasona Branch contains several stations that are restricted to two-car berthing which limits flexibility for operations for special events, constrains operations, and often requires more operators.

6.16.a




Recommendation







Fully Implemented

Communications - Community Outreach Alum Rock Bus Rapid Transit (BRT) Project Delay Assessment

05/05/16

none specified • Centralized communications with one point of contract for the public • Provide sufficient resources with appropriate, qualified skills and public outreach experience • Contract for the most appropriate community outreach staff as needed • Open field office 3 months before construction begins with regular visits from engineering and construction personnel.

Management agrees: no implementation -Unified messaging is critical. Initially the contractor date specified was required to provide a Community Relations Officer who worked under the direction of a project designated member of the VTA Outreach team. Currently, two VTA outreach specialists are supporting the project; one is assigned for the Downtown segment of the project and an additional outreach specialist has been assigned for the Alum Rock (eastern) section, assuring adequate, timely, appropriate and unified messaging, as well as enhanced community engagement. -Community relations is an essential element of successful project delivery. To ensure adequate resources to support current and future capital projects to ensure unified messaging, VTA has augmented its outreach team with experienced, culturally diverse outreach specialists. -VTA now has contracts in place with three firms who are providing and have ongoing access to experienced, culturally diverse, multi-lingual outreach specialists. -For future projects, the Community Outreach team will work with Engineering and Transportation Infrastructure Division staff to establish and staff a field office for larger longer-term projects impacting businesses and residents. The field office will be established at least three months prior to commencement of any project related construction.

Director of Communications

Fully implemented. AG report to Bd on Aug 4, 2016. Ongoing procedure has been implemented


05/05/16

none specified • Create a running log of inquiries, responses, and outcomes to facilitate rapid and accurate response • Identify one primary person with designated backup, to ensure consistent messaging • Communicate to the public on a weekly basis (at minimum) • Need to have a more targeted outreach strategy, where community organizations are lacking.

Management agrees: no implementation -While all project contacts, communications and date specified interactions were previously tracked, VTA recently augmented its Salesforce Constituent Program Management system, which had been created to support the BART Silicon Valley project, to support all capital projects. This program enables all communications and contacts related to projects to be addressed and documented in on place. -Each active capital project now has a community outreach specialist as well as a back-up assigned to it. Larger projects have multiple specialists to support specific geographical areas of the project and develop relevant outreach and engagement plans following the Capital Projects Outreach and Communications Policies and Procedures. -Procedures and Outreach plans have been established or enhanced to now provide bi-weekly project update newsletters and proactive timely construction updates as frequently warranted by construction activities. Due to time required for broad distribution of materials that require translation, more frequent communications, sometimes as much as 2-3 times per week, are customized for the specific stakeholders impacted. Written materials are delivered door-todoor in the community and available at the field office as well as on VTA’s website. -VTA’s assigned outreach specialists are more strictly adhering to the Project Communications and Outreach Policies and procedures which guide stakeholder identification and classification, and communications methods and timing.


Fully implemented. AG report to Bd on Aug 4, 2016. This tool, which will be used on an ongoing basis, has been implemented

Other Comments

6.16.a




Recommendation






05/05/16

none specified • Open field office to future projects at least 3 months in advance of construction (in addition to the standard communication and notification plan) • Develop a consistent team to provide uniform messaging throughout construction • Conduct several informal meetings in the community • Consider developing a Business Advisory Committee to solicit input.

Management agrees: no implementation -Going forward, the Community Outreach team will date specified work with Engineering and Transportation Infrastructure Division staff to establish and staff a field office for larger longer-term projects impacting businesses and/or residents. The field office will be established at least three months prior to commencement of any project-related construction. -VTA has augmented its Community Outreach team to enable outreach specialists to more fully engage in the communities where projects take place. -Outreach specialists are working proactively with planning and construction teams to identify key milestones and opportunities for public engagement. Public meetings are an important component of the project outreach plans. In addition to public meetings, all larger scope projects that include a field office will offer identified, recurring schedules where staff are available to meet with the public. -Community Outreach is more fully engaging in the project planning and contract development processes to ensure the interests of businesses are considered in delivery approaches. Establishing a Business Advisory Committee may be one of the methods used to solicit valuable input from the business community. VTA is also researching other agencies for best practices in mitigating business impacts.


05/05/16

none specified • Perform short, concentrated project framing workshop to ensure staff-level consensus and consensus with the City • Ensure that consensus with the City and its partners are established on all issues prior to going out for bid • Ensure that the Policy Advisory Board and standing Board subcommittee has consistent and recurring input on the project • Create working groups with other transit agencies/DOT's performing BRT projects.

VTA management agrees: no implementation -Staff will conduct focused meetings with project date specified stakeholders to ensure consensus and achieve written accord. This will be done on a project-by-project basis based on the specific parameters and challenges of each project. -Staff will contact other agencies/cities/DOT’s to determine their interest in building a network for the exchange of information and sharing Best Management Practices on BRT projects. -The recently implemented Pre-Construction Requisition Review process will ensure that all open issues with stakeholders are addressed prior to approving the contract for advertising. -PAB meetings will be scheduled starting from early in the project lifecycle until the project is in construction, with regular project updates. VTA management suggests that PAB and standing Board committees will be advised and informed on project progress during construction. Semiannual reports, action items (such as contract award, agreements, etc.) and major decisions will be taken to the appropriate standing Board committee.

9/30/16

12/31/16



Fully Implemented


Fully implemented. AG report to Bd on Aug 4, 2016. This ongoing practice has been implemented.


Substantially implemented. All action items are implemented except for the creation of working groups with other transit agencies with a target date of implementation of End of 2016. Source: AG report presented to BOD on August 4, 2016. Per Director of Communications on 10/7/16, VTA participated in AC Transit's selection of a Communications and Outreach Consultant. This was the beginning of partnering to support each other in delivery of BRT. VTA has extended an invitation to AC Transit to participate in a BRT Working Group. New Target Date for Implementation: December 31, 2016.

Other Comments

6.16.a




Recommendation







Other Comments

Fully Implemented

System Safety and Security Public Safety Process Assessment

12/14/15

MEDIUM

VTA should evaluate existing staffing levels and capabilities of law enforcement, private security, and fare inspectors in conjunction with projected needs for BART SV service implementation and ongoing special events, to identify what VTA’s ideal staffing levels would be to meet the Board’s strategic vision for public safety and accomplishing operating priorities on an ongoing, sustainable basis. VTA should also consider all types of resources that could be utilized (i.e., sheriff technicians in lieu of fare inspectors, since fare inspectors cannot run ID checks and execute lawenforcement tasks, this results in Sheriff’s Office staff being taken away from primary responsibilities).

VTA management concurs with the recommendation. VTA will evaluate staffing levels and capabilities of law enforcement, private security and fare enforcement personnel with projected needs for BART SV service implementation and ongoing special events to identify VTA’s ideal staffing levels insuring that we are meeting the Board’s strategic vision for public safety and accomplishing operating priorities. VTA management will also consider the best and most efficient use of resources to insure best use of staff available.

06/01/16

Security staffing levels and capability may not be optimal to address security concerns with the increase in special events and the projected security needed for BART Silicon Valley (BART SV) Phase I services implementation.

*The contract amendment to increase law enforcement and contracted private security are being prepared for presentation to VTA Board of Directors. The amendments are planned to be presented at the September Board Meeting.

Public Safety Process Assessment

12/14/15

MEDIUM

VTA should formally evaluate the costs and benefits of VTA management concurs with the recommendation. contracting out CCTV control room management. Based VTA will evaluate the costs and benefits of staffing the on discussions with members of Protective Services, it is CCTV control room with VTA personnel. clear that there are benefits to using a VTA employee to manage the CCTV control room.

12/31/15


12/14/15

MEDIUM

VTA should evaluate the costs and benefit of requiring Allied Barton security contractors to receive CIT training to ensure its security presence has the adequate skills to effectively de-escalate and manage potential crises. VTA should also consider the costs and benefit around both IB and CS training. Such training can enhance the AB security contractors’ ability to fairly work with passengers, especially in tense or controversial situations. VTA may also benefit by considering the feasibility of AB contractors participating with other law enforcement agencies’ CIT, IB, and CS training to save on costs.

12/31/15

VTA management concurs with the recommendation. VTA will evaluate the costs and benefit of requiring Allied Barton security contractors to receive CIT, IB, and CS training.

Manager of Protective Services is currently in the process of assessing the staffing needs for VTA’s service area Protective including the BART/SVBX. Contracts amendments are being considered for Santa Clara County Services Programs Sheriff’s Office and AlliedBarton Security Services. The amendment is requesting additional law enforcement and security officers. The number of the additional staff will be dependent upon on the approval from VTA’s Board of Directors for both contract amendments. The requested contract amendments are being prepared for the September’s Board of Supervisor Meeting.

Director of Safety Cost of permanent VTA employee versus contracted security personnel is prohibitive. We will and Security continue to evaluate this option as the environment is ever changing. We have implemented interim solutions and have worked with Allied Barton to ensure proper staffing is in place. The interim solution is working very well and should be monitored as it may be an excellent solution.VTA management is continually evaluating staffing that will allow the best and most efficient use of resources. An example, is the changing of hours to security officers assigned to Ohlone/Chynoweth Light Rail Station. The change in hours has allowed VTA to have two security officers present during peak afternoon commute hours. The increase in staff has also deterred physical assaults, loiters and improved safety along the right of way. Manager of Upon review and evaluation the cost and time commitment for having Allied Barton attend a 40 hour Protective CIT course is not feasible. We are working on a solution for a shorter condensed course and are Services Programs working on implementing the solution. VTA management has participated in a presentation of Mental Health First Aid conducted by the Santa Clara Valley Mental Health Department. VTA management determined the 8 hour Mental Health First Aid is suitable option to the Crisis Intervention Training (CIT) for AlliedBarton officers. Based upon the training the officers are currently mandated to participate in, including but not limited to interpersonal communications and managing conflict, VTA management has determined that if an AlliedBarton officers displays poor judgment in de-escalating a situation or ineffectively manages a crisis they will receive Mental Health First Aid training in addition to a refresher of training already received.



*This action has been implemented and any officers displaying poor judgement in de-escalating a situation or ineffectively managing a crisis will attend the 8 hour Mental Health Firs Aid training. Public Safety Process Assessment


12/14/15

12/14/15

MEDIUM

MEDIUM

VTA should evaluate whether 24/7 staffing of the CCTV VTA management concurs with the recommendation. control room would be beneficial. Considerations VTA will evaluate the costs and benefit of 24/7 should include the cost of staffing, other supplementary staffing of the CCTV control room. work that could be performed by security staff working on weekends and nights, and the overall benefit to have real time monitoring and resources to pull video footage immediately when requested.

12/31/15

VTA should devote resources to eliminate the backlog of incident reports. VTA should also evaluate the manual nature of incident reporting. Process improvements that allow or encourage operators to enter incidents directly into IndustrySafe should be explored. We understand that incident reports need to be reviewed by a Supervisor and there are issues with providing tablets or computer access to operators, but exploring automation opportunities could greatly enhance the speed with which reports are entered into IndustrySafe and available for analysis and reporting.

03/31/16

VTA management concurs with the recommendation. VTA will devote resources to eliminate the backlog of incident reports. VTA will also evaluate the manual nature of incident reporting and will explore automation.

Manager of The CCTV control room is now staffed 20 hours a day, Monday through Friday and during on staffed Protective time we have implemented an on call procedure to ensure that we have staff available to provide Services Programs timely response to major incidents that require immediate access to CCTV. This is the most cost effective solution and meets our needs. *Our current staffing of 20 hours a day has improved our CCTV coverage. No further action is required at this time. Manager of At this time, all incidents including accidents, injuries, criminal activity and security incidents are Protective input into Industry Safe. We continue to explore automation of this function but we have a Services Programs workaround in place that is working to keep up to date.


IndustrySafe functionality is not effectively utilized in all segments of VTA's public safety process.

6.16.a




Recommendation






12/14/15

MEDIUM

VTA should evaluate IndustrySafe reporting to determine if it has sufficient incident reporting capabilities. If it does not, VTA should consider other reporting options such as Crystal reports. If IndustrySafe does have sufficient reporting capabilities, then VTA should evaluate whether the application has effectively been rolled out to all departments and whether additional training should be provided to ensure all users are aware of and employing the full functionality of the application.

VTA management concurs with the recommendation. VTA will evaluate Industry safe and determine it capabilities in the area of security related incident tracking, reporting and forecasting.

06/30/16



Other Comments

Fully Implemented

Director of Safety and Security, Manager of Protective Services Programs, and Principal Safety Auditor

In general staff has run reports on an as needed basis. The latest IndustrySafe release has increased IndustrySafe functionality is not reporting functionality, which will be rolled out to all departments as needed. VTA has purchased effectively utilized in all segments of additional report training from IndustrySafe which will be used once Observations data entry has VTA's public safety process. occurred in order to work with live data. Training efforts have increased with additional IndustrySafe webinars, including a VTA specific webinar on the new Observations Module, a more robust IndustrySafe Administration & Resource Center, and VTA's own guidance materials under the Document Library. Training is an on-going process for new staff; and, also part of continuous process improvement to streamline processes and learn new features of IndustrySafe with each new product release (upgrade). Currently, working with Security on queries and reporting. *Security is continuously working on improving incident tracking, reporting and forecasting with Industry Safe. Based upon system upgrades and improved processes this project has been implemented.



12/14/15

12/14/15

MEDIUM

LOW

We recommend evaluating the IndustrySafe audit VTA management concurs with the recommendation. module to determine if it provides additional VTA will evaluate Industry safe and determine its functionality that improves the operational efficiency of capabilities in the area of audit functionality. audit monitoring through automating processes.

Because of the complexity of providing transit security along the VTA footprint, we recommend evaluating whether a process to periodically assess the need for mutual protocol agreements is necessary. The mutual protocol agreement with the city of San Jose is intuitive because 95% of calls occur within San Jose, but there should be a process to determine if mutual protocol agreements with other municipalities should be pursued.

06/30/16

VTA management concurs with the recommendation. VTA will evaluate the mutual protocol agreements with overlapping municipalities and/or feasibility of an educational document that defines VTA security responsibilities which could be communicated to other law enforcement agencies. Further, VTA will develop a procedure for periodic review of changing demographics and population within the VTA footprint.

12/31/15

Director of Safety and Security, Manager of Protective Services Programs, and Principal Safety Auditor Program Manager of Protective Services and Captain of Transit Patrol

IndustrySafe has no "audit module". Question what module the auditors are referencing. IndustrySafe IndustrySafe functionality is not has reports and analysis functionality that can be used to review and analyze data in various modules. effectively utilized in all segments of IndustrySafe provides advanced grid analysis tutorials to query data, which is downloaded to excel VTA's public safety process. No action taken. Functionality described is already part of web-based reporting tool. Reports can be automated and emailed at scheduled frequency.

VTA, through the Sheriff's Department Transit Patrol has entered an agreement with San Jose PD. VTA will monitor on annual basis changing demographics to determine if any charges are needed or if other MOUs are required going forward.

VTA does not have a formalized process to evaluate the need for mutual protocol agreements.

Program Manager Meetings with the SVBX project team are ongoing. There will be a discussion whether a community of Protective policing station will be built into the design plans for BART phase 2 at the Berryessa Station. Services and Evaluation is aniticpated to be peformed by July 31, 2018. Captain of Transit Patrol

The BART SV Extension service will create additional safety and security complexity that should be managed through an assessment of best practice security approaches used at other BART stations and coded in the O&M Companion Agreement being developed.

A process that includes periodic assessments provide a mechanism to monitor changing demographics, as well as the VTA footprint, to ensure that mutual protocol agreements are pursued with high value municipalities. Another approach is consideration of whether an educational document that defines VTA security responsibilities could be created and communicated to other law enforcement agencies.


12/14/15

LOW

VTA should evaluate the costs and benefits of a community policing station by assessing best practice security approaches used at other BART stations.

VTA management concurs with the recommendation. VTA will evaluate benefits of a community policing station by assessing best practice security approaches used at other BART stations.

06/30/16


12/14/15

LOW

VTA should evaluate CCTV recording options and work VTA management concurs with the recommendation. with BART to share CCTV recording data. VTA will evaluate CCTV recording options and work with BART to share CCTV recording data

06/30/16

Program Manager Fiber has been installed to allow for information sharing between BART and VTA. Discussions are of Protective still in process, with the goal of all CCTV at the facilities to be viewable by both agencies but Services and recordability will fall only to the agency of jurisdiction. This will maintain evidentiary integrity. Captain of Transit Patrol

The BART SV Extension service will create additional safety and security complexity that should be managed through an assessment of best practice security approaches used at other BART stations and coded in the O&M Companion Agreement being developed.


12/14/15

LOW

Although security response times have not been an issue, VTA should evaluate the service call process to determine if response times should be tracked and reported. Additionally, VTA should evaluate the service call process to determine if the OCC should have a dedicated personnel to manage incoming security calls.

06/30/16

Program Manager of Protective Services and Captain of Transit Patrol

The Operations Control Center (OCC) does not have dedicated personnel to manage incoming security calls.

VTA management concurs with the recommendation. VTA will evaluate the service call process to determine if response times should be tracked and reported. Further VTA will evaluate the feasibility of having dedicated security personnel in OCC to manage incoming security related calls.

7/31/18

Upon evaluation it was determined that the existing methods are appropriate for tracking response times. The Sheriff's Office already tracks and reports response times for law enforcement details. Furthermore, private security's role is to witness and report, with the response component falling to Transit Patrol. It was also determined that the security presence inside OCC would be better utilized elsewhere on the system.

6.16.b Exhibit B Page 1 of 4

Audit Recommendations that have not been Implemented As of October 31, 2016 Progress to Date

Audit Report

Governance & Audit Committee review date

Risk Rating: High, Medium or Low


Recommendation


Revised Date of Implementation

Not Implemented Responsible for Substantially Implementation Implemented


Other Comments

VTA met with the City of Milpitas on July 1, 2015 to coordinate the pertinent clarifications regarding the City’s commitments under an amendment to the Master Agreement. On July 15, 2015, VTA proposed amended terms for payment based on the discussions at July 1 Meeting. (Reference document P0728-C640-LTR-000001)

The City of Milpitas has not responded to requests for payment, or to requests for amended terms for payment. As of July 31, 2016 VTA has invoiced the City approximately $11 million.

Fully Implemented

Engineering and Transportation Infrastructure Development BART SV Interagency Agreement Assessment

11/06/14

HIGH

We recommend that VTA obtain written assurances and clarifications from the City of Milpitas regarding its commitments under the MA considering the circumstances of the conflicting agreement.

VTA agrees. VTA and the City of Milpitas management are coordinating resolution of this issue and are developing the pertinent clarifications regarding the City’s commitments under an amendment to the Master Agreement. Although a firm deadline cannot be established due to the complexity of this issue and because the two parties still need to reach an amended agreement and obtain City Council approval, VTA has already initiated the process of obtaining written assurances and clarifications from the City of Milpitas and anticipates the process will be completed by the end of February 2015.

02/28/15

Dependent on city's collaborative effort


Although VTA and City staff continue to meet and coordinate project implementation matters, VTA has not received a formal response to the proposed amendment. VTA continues to invoice the City for reimbursement, and is preparing another request for written assurances and clarifications from the City of Milpitas regarding its commitments under the Master agreement. This matter is now with the Office of the General Counsel.

Failure to properly comply with the agreement increases the risk that the City may not have adequate funds to reimburse VTA for the Eastern Segment. Without the City and VTA reaching agreement, financial exposure to VTA could potentially reach $17M.

Estimated date of implementation: 12/31/17

ATU Pension ATU Pension Plan Compliance Audit

8/28/14

HIGH

Management to explore fully implementing and using the SAP Pension module or similar application that fully integrates with SAP. Utilizing the SAP system to its fullest capabilities would streamline the manual processes, automate controls, reduce paperwork and simplify workflow. This would also allow all documents to be located electronically in one place and easily accessed, searched, tracked and reported upon. Additionally, if VTA management elects to implement the SAP Pension module, relevant training should be provided to all users to help maximize system usability, employee satisfaction with the new process and return on investment.

VTA management concurs with the recommendation. VTA will immediately begin evaluation to determine the business needs of the VTA/ATU Pension Plan administration process. Following completion of an SAP enhancement (Pack 6) scheduled for completion by December 2014 and depending on the results of the business needs evaluation, VTA will implement either SAP functionality or another available technology solution, whichever best meets the business needs. Although a firm date cannot be determined at this time, implementation of the technology solution is estimated for early 2015.

03/31/15

03/31/17

Chief Information Following update provided by Gary Miskell on 09/06/16: Officer After further analysis in the last week of August 2016 with Maria Chavez and Jon Maier the group needs information out of 4 different data sources (pre 1995 Microfiche, BW data warehouse, SAP 4.6, and the production SAP), consolidated into a single data base and a few custom reports written. To further refine the requirement, build the data mart, extract the data and build the reports, estimated completion date is 03/31/17.

While VTA has fully implemented the digitization of Pension Records to a backed-up, secure share file - IT is in the design phase of automating employee records, including Pension Records, in Sharepoint which is scheduled to be deployed by 3/31/17.

- Critical Pension Plan documents are stored onsite with no backup of key data and/or documents. Documents may be misplaced or damaged, and confidential retiree personally identifiable information (PII) may be more easily compromised. - Due to current SAP limitations, necessary Pension Plan information may not be captured accurately or timely (i.e. contingent annuitant information).



Audit Report



Recommendation






Other Comments

Fully Implemented



05/07/15

05/07/15

HIGH

HIGH

Schedulers currently have difficulty in creating efficient schedules and routes with the modified cafeteria approach. While it would take considerable effort to change existing work rules, including agreement from the ATU, we recommend that VTA conduct a costbenefit analysis of implementing regular rostering scheduling. Rostering would allow VTA to create prepackaged schedules, including assigned days off while allowing operators to select packages, as preferred. This could completely remove the group relief packages and result in budget and administrative savings without unduly burdening the operators and relieving constraints on schedulers and office supervisor supports

We recommend that VTA use the same cost-benefit analysis above and explore the possibility of removing the union restriction on straight runs. This would provide a more efficient solution for scheduling.

Moving from the current modified cafeteria style bidding to regular rostering would be a significant cultural and operational change to the VTA workforce. This would likely require agreement with the ATU and modifications to VTA’s scheduling and workforce management software (Trapeze FX and OPS). VTA staff and Trapeze would likely need to run some computerized test scenarios to determine the cost savings of such an approach. This effort could be complicated and time consuming. This change would need to be negotiated with ATU. This will be addressed during the current negotiations with ATU on a new collective bargaining agreement. The other related factors will also be evaluated.

04/30/15

VTA management agrees with the recommendation to remove run restrictions that are part of the collective bargaining agreement with ATU. This will be addressed during the current negotiations with ATU on a new collective bargaining agreement.

06/30/15



VTA was not able to achieve through the required CBA. However, group relief rostering is being implemented in July, 2016, which enables this part of the bidding process to move from a manual to an automated process, which is more efficient and saves staff time. VTA will try to negotiate this recommendation into the new CBA effective 9/1/2018.

Recent negotiations with ATU did not include changing our bidding to a rostering approach. This would be a significant organizational change that would need to be negotiated and union leadership has indicated that they do not support this change at all. It would be beneficial to have a cost benefit analysis performed. However, group relief rostering is being implemented in July, 2016, which enables this part of the bidding process to move from a manual to an automated process, which is more efficient and saves staff time. Current operator work rules governed by union agreements inhibit bidding & scheduling efficiency. VTA's current modified cafeteria style allows flexibility for operators to select their divisions, routes, work hours & days off. However, this comes at a cost to the operating budget & creates a multi-step bidding process.




VTA was not able to achieve through the CBA. Current operator work rules governed by union agreements inhibit bidding & scheduling efficiency. Scheduling efficiency of operator runs for a given day by limiting the amount of operators that work both peak periods and paying overtime for these runs.



Audit Report


Risk Rating: Recommendation

High, Medium or Low






Other Comments

Fully Implemented



05/07/15

05/07/15

HIGH

MEDIUM

Quarterly schedule bidding provides operators flexibility in selecting work hours and routes, but lowering the bidding frequency would result in administrative efficiencies and cost savings related to schedule preparation and bidding. We recommend that VTA proposes to change the frequency of schedule bidding from four to three times per year, as well as having date flexibility when operators’ scheduling bidding occurs and their effective dates. Through these changes, VTA gains process efficiency and flexibility to adjust for service changes such as school schedules, sporting events, holiday events, and other external impacts.

VTA management agrees that the recommendation to reduce the frequency of schedule bids from quarterly to three times per year would be more efficient. Again, this would need to be addressed in the collective bargaining agreement with ATU. To make this recommendation most effective, management recommends that the labor agreement be modified to have more flexibility as to when the date of the sign up is effective to adjust for service changes, school schedules and other impacts.

06/30/15

Currently bidding is done manually and Trapeze may have ability to perform this function in a Web-based format. We recommend investigating Trapeze to allow for bidding via the Web, saving time and money.

Management agrees with the recommendation. The implementation of web bidding requires ATU participation and extensive changes to administrative procedures and processes. This will be addressed during the current negotiations with ATU on a new collective bargaining agreement.

08/31/15

Management concurs. To implement this recommendation, staff will take the following steps: (1) Work with the VTA General Counsel’s Office to develop a process that allows a one-time review of frequently used standard contract documents. Once the standard is approved by Counsel, no further review will be needed if the item does not contain any changes from the standard contract. This step will be completed by August 2014.

08/31/14




Deputy Director of Transit Operations


VTA was not able to achieve this through negotiations in the new CBA. VTA will try to negotiate this recommendation into the new CBA effective 9/1/2018.

This was not addressed in the last round of ATU contract negotiations. There should be internal discussion on the pros/cons of implementation. If the analysis proved beneficial, then VTA would take its findings to the next round of ATU negotiations. Current operator work rules governed by union agreements inhibit bidding & scheduling efficiency. It was found that the process of creating the group relief packages is heavily manual and timeintensive. VTA was not able to achieve this through negotiations in the new CBA. The Union's main concern is that not all Operators may be computer literate. Trapeze OPS requires additional modules, additional training and reporting functionality.

Procurement and Contracts Procurement & Contracting Process Assessment

05/01/14

MEDIUM

We recommend Legal and CAMM Management consider developing a series of standardized contract templates, if not already developed for simple and routine contracts. Legal should write the template to ensure proper terms and conditions are included. Both CAMM and legal would work on a new set of requirements that a contract must meet before it is sent to legal for review. These pre-approved requirements may include contracts over a certain dollar threshold, contracts that are complex or unusual or possibly new or questionable vendors. If the contract does not meet the legal requirements, CAMM would only input the required information and submit it to CAMM management for review and approval. Contracts that would not go to legal for review might include basic or routine items, simple changes or updates in part numbers or pricing, or simple contract renewals. These can be approved within CAMM which will also streamline the process.

07/01/17

Manager of Procurement, Contracts & Matls,

The Manager of the PCMM department was hired in July 2016. The work that needs to be performed to update the job specifications, research training/program information, and ascertain those staff members who should continue in their professional development will be on the new manager's agenda.

AG report in April 2016 disclosed that this is not fully completed. This recommendation was to improve the turn around time of contracts by establishing standard templates. However, as a precaution, Legal still reviews all contracts. This is an ongoing process and small improvements continue to be made.

Meetings have been held on contract templates and succession planning. A few policies and procedures will be revised in the very near future and will be working Legal becomes the bottleneck holding up the process on routine items. Several with Legal in November 2016. contract forms or templates are currently being used thus requiring several levels Anticipated full implementation due 07/01/17. of review.



Audit Report



Recommendation






Other Comments

Fully Implemented


05/01/14

LOW

We recommend that CAMM management work with VTA’s General Manager and other members of executive management to develop a succession plan for key CAMM purchasing and contracts-related positions that covers the next 3-5 years.

Management concurs with this recommendation. To implement, staff will take the following steps: (1) VTA is currently developing a formal, agency-wide Succession Planning program that will meet the needs of CAMM; (2) In the short term, an important consideration is the implementation of cross-training opportunities for staff where feasible, enabling employees to increase their knowledge and skill levels to become proficient in all disciplines within CAMM. This will also allow employees to take on greater responsibilities and ensure that quality service is provided at all levels. These steps will be completed by the end of calendar 2014.

12/31/14

07/01/17


The Manager of the PCMM department was hired in July 2016. The work that needs to be performed to update the job specifications, research training/program information, and ascertain those staff members who should continue in their professional development will be on the new manager's agenda.

AG status report as of April 2016 disclosed that CAMM is dependent upon VTA succession plan that is currently in development. Once rolled out, CAMM will proceed according to plan. Procurement Manager also indicated that Succession Plan is a long-term effort. However, PCMM has developed a Meetings have been held on contract templates and succession planning. A few policies and procedures will training matrix and continues to provide be revised in the very near future and will be working training opportunities as time and budget allow. Based on with legal in November 2016. an email from A. Lara on 5/17/16, there are several staff in PCMM (formerly Anticipated full implementation due 07/01/17. CAMM) attending courses toward their professional certification. PCMM will perform more formal action after the succession plan framework from HR is firmed up. - Lack of adequate succession planning can lead to less than adequate change management during times of anticipated or unanticipated employee turnover. - Inadequate change management can cause inconsistencies in the application of policies and procedures, and additional delays in end-to-end procurement turnaround times.

System Safety & Security Public Safety Process Assessment

12/14/15

LOW

VTA should evaluate the costs and benefits of a community policing station by assessing best practice security approaches used at other BART stations.

VTA management concurs with the recommendation. VTA will evaluate benefits of a community policing station by assessing best practice security approaches used at other BART stations.

06/30/16

07/31/18

Program Manager of Protective Services and Captain of Transit Patrol

Meetings with the SVBX project team are ongoing. There Community Policing stations are will be a discussion whether a community policing station somewhat unique to transit systems but will be built into the design plans for BART phase 2 at the not unique to general law enforcement. Berryessa Station. The BART SV Extension service will Evaluation is anticipated to be performed by July 31, 2018. create additional safety and security complexity that should be managed through an assessment of best practice security approaches used at other BART stations and coded in the O&M Companion Agreement being developed.

6.16.c

Exhibit C Page 1 of 5

Audit Recommendations that have been Substantially Implemented As of October 31, 2016 Progress to Date Governance & Risk Rating: Audit Audit Report High, Medium Committee or Low review date

Recommendation


Due to the increased risk of inaccurate invoice amounts and lack of visibility to specific expense and revenue elements for ADA paratransit services, we recommend VTA to contractually pursue the elimination of advance payments. Outreach should be required to submit invoices based on actual expenses incurred and revenue generated during a specific period. Revising this process would not only alleviate and streamline the process at VTA, it would also facilitate greater visibility for VTA management and reduce the risk of inaccurate billings.

VTA management agrees with the recommendations to eliminate or simplify advance payments and to streamline the invoicing process. Modification of the existing advance payment provision will require amendment of the VTA/Outreach contract.

VTA is well aware that the current staffing levels and requirements for Levi’s Stadium Special Events is unsustainable long-term and have recently hired several people to address this. Still, we recommend that VTA evaluate alternative staffing and operation strategies, including the use of part-time operators, possibly creating a new category of operators that can work on bus and rail, and options to augment existing services provided by VTA.

VTA management agrees and will investigate other operating personnel deployment strategies (use of part time operators, dual bus/rail operators, etc.) to sustain event operations while continuing to provide effective day to day service. Many potential changes would need union agreement or change in current operating practices, which will be addressed during the current negotiations with ATU on a new collective bargaining agreement.



03/31/16

7/1/17

Not Implemented Responsible for Substantially Implementation Implemented Fully Implemented


Other Comments

Paratransit Paratransit Operation Assessment

12/14/15

HIGH

Operations/ Chief Operating Officer with the assistance of both General Counsel’s Office and Contracts and Procurement unit.

Since July 4, 2016, VTA is able to obtain VPN access to the Trapeze pass software and able to run reports to validate invoices. However, VTA is unsuccessful to negotiate the contract amendment of the existing advance payment provision. There is an active RFP which closes the first week of November 2016 and this RFP has contract payment requirements.

Invoices submitted to VTA are insufficiently supported as required by the contract. Additionally, Outreach's paratransit services invoicing process is unnecessarily complex because of VTA's advance payments, resulting in increased risk of inaccurate invoice amounts.

By July 2017, VTA will have a new contract for Paratransit Services which will require supporting documents of service for payment.


05/07/15

HIGH

07/30/15

9/1/18

Deputy Director of Operations does not have a budget to hire separate staff to Transit Operations handle all Levi's Stadium events. VTA is currently trying to get some type of funding from Levi's, however nothing has been agreed upon. VTA will try to negotiate this recommendation into the new CBA effective 9/1/2018. In the interim, Operations has evaluated alternative operational strategies which include adjusting service levels on event attendance to help with the other added costs. Other operational strategies to help minimize operational losses on Levi's Stadium events include the operation of Express Buses. VTA continues to hold discussions on improving operational performance on related events.

The events placed stress on operating & supervision staff that is not sustainable, especially as events are added at Levi's Stadium & Avaya Stadium opens in 2015.

6.16.c




05/07/15

MEDIUM

Recommendation

Trapeze contains information utilized for a variety of functions, but does not duplicate reports previously available. We recommend establishing a process to create special reports to duplicate previous reports, especially in regards to time worked/not worked.




Management agrees with the recommendation. This process has been in place since the June 2014 Trapeze OPS deployment. Development of internal reports is on-going. Report developer staff will continue to reach out to users for reporting requirements. In addition, VTA will engage Trapeze to conduct database structure training for VTA staff. Viewpoint, a business and reporting intelligence tool for OPS, is currently in design review with a target implementation of August 2015. This business intelligence tool will provide another layer of reporting solution for Trapeze OPS.

08/31/15

12/31/16

Manager of Operations, Analysis, Systems and Reporting

Viewpoint solution in configuration/testing phase. Trapeze OPS requires additional Implementation is targeted for October 2016. Viewpoint modules, additional training and meeting notes submitted. Anticipated full implementation reporting functionality. date: 12/31/2016

Management concurs. To implement this recommendation, staff will take the following steps: (1) Identify functions within the SAP procurement and contracting modules that have not been implemented, yet are necessary to completely automate the date tracking and reporting functionality; (2) In support of this, staff has initiated development of the prototype workflow process and status reporting functionality in SAP. The first reports using this process will be produced by the close of April 2014; and (3) Initiate the process to procure the services of a third-party contractor to expedite the automation of the procurement and contracting process. Staff will report on the timeline for full implementation at the next (August 28, 2014) Audit Committee meeting.

Workflow process: 4/28/2014 Report on timeline for full implement- action: 8/28/14

04/28/17

Chief Information Technology, Manager of Procurement, Contracts & Matls,

Substantially completed with on-going process improvements (based on AG report). Because of the large undertaking involved with this recommendation, the PCMM group divided this into short and long term goals. To date, PCMM has made substantial progress with the short term items. The long-term item can be classified as ongoing process improvement. Documented the procurement business process from document creation to PO / Contract approval. Developed an SAP, K2 interactive forms and sharepoint record center solution. SAP process, screens and workflow are being tested with an early August 2016 release. The interactive custom forms are 85% complete with testing to start in August of 2016. Storage of all electronic document will be done in Sharepoint which is also in test.



Other Comments

Procurement & Contracting Process Assessment Procurement & Contracting Process Assessment

05/01/14

HIGH

We strongly recommend Management explore fully implementing and using the SAP procurement and contracts module. This would allow all documents to be online and easily accessible, tracked and reported upon, which would help remediate current communication gaps. Utilizing the system to its full capabilities would streamline the process, reduce paperwork, allow for online signatures/approvals, simplify workflow and reduce procurement turnaround time.

As of 9/23/2016 - VTA decided that additional features and functionality be included to the procurement solution. There are also improvements to the integration between SAP, K2 interactive forms, and Sharepointe to allow for a system that better supports the business processes. The new projected roll out date is: April 28, 2017.

-The process is, at times, prohibitively delayed, jeopardizing critical deadlines. - Project documents are in several places & not organized; documents may be misplaced or lost. - Buyer/Status of project is unknown, or not readily available. - No formal reporting of metrics; limited or no capability to quickly gather needed data.

6.16.c




05/01/14

MEDIUM

Recommendation


As a part of recommendation Number 1, we recommend that Management re-evaluate and determine the purpose and function of the contracts and purchasing functions within CAMM. With this, management should: (1) Decide if the CAMM group is a true service department that supports VTA customers, find efficiencies and cost savings while ensuring VTA compliance, or are they just “gatekeepers” with complete control over this process; (2) Clearly communicate and train all appropriate VTA personnel on the roles and responsibilities so all have a good understanding of the requirements, timeframes, communication channels and expectations in order to simplify the process; and (3) Include tracking and reporting of metrics, (timeframes, budget vs. actual dollars used, renegotiation, etc.)

Management concurs. To implement this recommendation, staff will take the following steps: • CAMM will obtain needed assistance from VTA’s Organizational Development and Training staff to provide guidance, instruction and training to CAMM staff to ensure they understand the service nature of the procurement process and provide the proper level of assistance to CAMM internal customers. • With the assistance of internal customer departments, staff will develop a training plan that will communicate and train all appropriate VTA personnel on the roles and responsibilities of both CAMM and the user departments so that there is a clear understanding of the requirements, timeframes, communication channels and expectations in order to simplify the procurement process. • Expand the use of e-procurement where possible to expedite the procurement process. • As a part of the implementation of the SAP procurement and contracting modules, staff will develop tracking and reporting metrics that provide meaningful information to VTA management and staff. These steps will be completed by the end of October 2014.



10/31/14

04/28/17




Substantially completed with on-going process improvements (based on AG report). Because of the large nature of the recommendation and how several recommendations are linked together, the AG feels this is mostly complete with a couple of items that will be considered ongoing process improvement.

Other Comments

- Roles and responsibilities are not clearly defined - Documentation may not be processed or completed in a timely manner, may be provided twice, or not be provided at all - Process requirements/forms As of 9/23/16 - VTA decided that additional features and are not clearly explained, functionality be included to the procurement solution. understood or used consistently There are also improvements to the integration between - Lack of communication or SAP, K2 interactive forms, and Sharepointe to allow for a miscommunication system that better supports the business processes. The new projected roll out date is: April 28, 2017.

6.16.c




05/01/14

LOW

Recommendation

We recommend management thoroughly review and evaluate from the customer’s perspective existing policies and procedure to either combine existing documents or replace the current procedures with the CAMM desktop procedures (or something similar) which describe the process and how to comply with the process. This will be especially important if the process is automated as outlined in Recommendation #1. Additionally, CAMM should create a short, easy-to-use “users guide” that clearly describes how to submit the required documents and how to use the SAP functionality. This would allow those customers that rarely use request procurements to submit the proper requirements correctly the first time with little or no help from CAMM staff.


Management concurs. To implement this recommendation, staff will take the following steps: (1) Perform a review of existing Policies and Procedures with internal customer departments to update, simplify and make them more user-friendly; and (2) With assistance of outside resources, develop short, easy-to-use “user guides” to clearly describe how to submit required documents and how to use SAP functionality. These steps will be completed by the end of calendar 2014.



12/31/14

7/1/17




AG Report in April 2016 disclosed that this recommendation is substantially completed with ongoing process improvements. This recommendation is highly dependent upon the first recommendation. Once #1 is implemented, this will soon follow. The User Guide is created but not yet implemented. The AG feels this is mostly complete with a few items that are ongoing process improvement.

Other Comments

Lack of clearly stated procedures & inadequate training on said procedures can cause CAMM customers to submit inaccurate or incomplete data, thereby delaying their procurement or contracting requests.

Meeting have been held on contract templates. A few policies and procedures will be revised in the very near future and will be working with legal in November 2016. Anticipated full implementation due 07/01/17.

Engineering and Transportation Infrastructure Development BART SV Interagency Agreement Assessment

11/06/14

LOW

VTA should review the issue with VTA legal counsel and approach MCI, requesting that it comply with the invoice provision of the contract and provide current actual costs to date. Additionally, cost accruals should be maintained in the project plan and in the financial system to ensure that a large sudden cost does not have a material impact on financial results.

VTA management agrees with the Auditor General’s recommendation. Since MCI utility relocations have been difficult to coordinate due to their extensive presence throughout the SVBX Project corridor, VTA management, in coordination with VTA legal counsel, in September 2014 established specific work processes that will regulate the work of MCI and VTA’s contractors on site. This should result in bringing MCI’s billings up to date and in line with VTA’s agreements with MCI. In the meantime, VTA staff continues to track the anticipated costs of MCI relocation work by monitoring the estimated costs of the specific work requested, and by monitoring the onsite activities conducted by MCI.

06/30/15

12/31/16


VTA maintains cost projections for anticipated costs related to all Utility relocations. MCI relocations for SVBX are now complete, and VTA is expecting a final invoice from MCI in Q3 2016.

Additional costs could be incurred by MCI where VTA is unaware. Invoice delays increase the risk of variances in the actual versus estimated Final invoices were received the end of October and completion costs and as the are within the established budgets. Inspection services resulting effort needed to invoices will still be coming through and should taper resolve any discrepancies. off through Q1 & Q2 2017. Estimated full implementation date is 12/31/16.

6.16.c



Recommendation






Other Comments

Communications - Community Outreach Alum Rock Bus Rapid Transit (BRT) Project Delay Assessment

05/05/16

none specified • Perform short, concentrated project framing workshop to ensure staff-level consensus and consensus with the City • Ensure that consensus with the City and its partners are established on all issues prior to going out for bid • Ensure that the Policy Advisory Board and standing Board subcommittee has consistent and recurring input on the project • Create working groups with other transit agencies/DOT's performing BRT projects.

VTA management agrees: no implementation -Staff will conduct focused meetings with project date specified stakeholders to ensure consensus and achieve written accord. This will be done on a project-by-project basis based on the specific parameters and challenges of each project. -Staff will contact other agencies/cities/DOT’s to determine their interest in building a network for the exchange of information and sharing Best Management Practices on BRT projects. -The recently implemented Pre-Construction Requisition Review process will ensure that all open issues with stakeholders are addressed prior to approving the contract for advertising. -PAB meetings will be scheduled starting from early in the project lifecycle until the project is in construction, with regular project updates. VTA management suggests that PAB and standing Board committees will be advised and informed on project progress during construction. Semiannual reports, action items (such as contract award, agreements, etc.) and major decisions will be taken to the appropriate standing Board committee.

9/30/16

Concur. Staff is the process of developing a no specified date comprehensive organization-wide Record Information of implementation Management Program to develop and execute a Change Management/Training Communications Plan. The Record management Policy, Retention schedule, and required budget request will go to the Administrative & Finance Committee in the next few month, and staff will provide a progress report at the May Audit Committee meeting.

12/31/17


Substantially implemented. All action items are implemented except for the creation of working groups with other transit agencies with a target date of implementation of End of 2016. Source: AG report presented to BOD on August 4, 2016. Per Director of Communications on 10/7/16, VTA participated in AC Transit's selection of a Communications and Outreach Consultant. This was the beginning of partnering to support each other in delivery of BRT. VTA has extended an invitation to AC Transit to participate in a BRT Working Group. New Target Date for Implementation: December 31, 2016.

Information Technology Records and Information Management Assessment Report

2/2/2012

None Specified

VTA should develop and execute a Change Management/Training Communications (CTC) Plan to help deliver specific content on records retention and disposition, legal hold, readiness, email management and other related policies and procedures.

Information Technology/ Finance

VTA developed a Microsoft Sharepoint governance model, developed a Sharepoint training site located within VTA HUB and the Record management site. Developed overall RIM Program summary materials with RIM 101 explanations, like what’s Records Management. Developed RIM Program training decks with training material that’s curtailed specially to each business area’s content. Engaged VTA Record Coordinators on all RIM concepts as well as the comprehensive Destruction Procedure and processes. Deployed Record Management to certain departments. Currently in the process of deploying Record Management to AP and Purchasing, including training. Anticipated full implementation date: 12/31/17

Overall, the assessment determined that VTA does not currently have a comprehensive, organization-wide RIM Program, and as a result, the organization could be at risk including potential noncompliance with certain legal and/or regulatory obligations. Additionally, there is cost and other risks associated with processes, practices, or activities that are not executed efficiently.

6.17





THROUGH:


FROM:


SUBJECT:

Programmed Project Monitoring - Quarterly Report FOR INFORMATION ONLY

Every quarter, the Programmed Projects Quarterly Monitoring Report is presented to the Technical Advisory Committee (TAC), Policy Advisory Committee (PAC) and the VTA Board of Directors. The purpose of the report is to assist the VTA Board, committees, staff and project sponsors in tracking progress of projects funded through programming actions of the VTA Board. Additionally, the report helps to ensure implementing agencies comply with Metropolitan Transportation Commission's (MTC) Regional Project Funding Delivery Policy and do not lose any funds due to missing a federal or state funding deadline. The Programmed Projects Quarterly Monitoring Report for July - September 2016 is attached for review. This report provides the latest status on discretionary funded projects. A project summary sheet highlighting status of projects with funds expiring in FY2016/17 is also attached. The project summary sheet identifies projects in three categories:  Red: Projects at the risk of losing funds due to delivery difficulties.  Yellow: Projects that need extra attention, and are at risk running into difficulties.  Green: Projects are progressing smoothly. This quarter, two of San Jose's projects, the Citywide Safe Routes To School Program and the East San Jose Bikeways, were reprogrammed to FY2017/18. The City is preparing documents for environmental and/or ROW clearance. The City expects to submit the final requests for grant fund authorizations for both projects to Caltrans by early 2017. The next Programmed Projects Quarterly Monitoring Report will cover the period for October December 2016. ADVISORY COMMITTEE DISCUSSION/RECOMMENDATION: The Technical Advisory and Policy Advisory Committees received this item as part of their December 8, 2016 consent agendas. 3331 North First Street ∙ San Jose, CA 95134-1927 ∙ Administration 408.321.5555 ∙ Customer Service 408.321.2300

6.17

STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Congestion Management Program & Planning Committee (CMPP) received and accepted this report as part of its consent agenda at the December 15, 2016 meeting. Prepared By: Bill Hough Memo No. 5752

Page 2 of 2

Attachment A: Status summary of FY2016/17 Projects

Red = Project at risk of losing funds due to delivery difficulties. Yellow = Project may need extra attention or will risk running into difficulties. Green = Project is progressing smoothly.

Status

Mountain View El Camino Real Streetscape Study

SCL150017

$260,000

San Jose

San Jose Citywide SRTS Program

SCL130006

$1,000,000*

*Programmed in 2017/18

San Jose

East San Jose Bikeways

SCL130016

$2,000,000*

*Programmed in 2017/18

San Jose

North 1st Street Urban Village Plan

SCL150020

$369,962

In progress

San Jose

Berryessa BART Urban Village Plan

SCL150021

$331,630

In progress

SC County

Capitol Expressway ITS and Bike/Ped Improvements

SCL130037

$6,258,637

Submitted RFA request to Caltrans on 11/10/2016.

Saratoga

Prospect Road Complete Streets

SCL130026

$4,205,000

City submited E76 to Caltrans.

Monterey Road Preservation

Comments Applied for E76 on 10/27/2016. In progress

6.17.a

Page 1

Red

$1,379,000

Morgan Hill

Yellow

SCL130043

Project Title

Sponsor

Green

Project #

Federal/State Funds for 2016/17

Programmed Projects Quarterly Monitoring Report July - September 2016

Sponsor: 1 of 1

City of Campbell

Project No

Project Description

SCL130017

On Virginia Avenue between Budd Avenue and Hacienda Avenue, add pedestrian sidewalks, curb, gutter, and curb ramps.

Fund Source CMAQ $708 Local $92

Virginia Avenue Sidewalks

Project Title: Project Milestone

Funds ($000)

Schedule Programmed Year

Field Review

End mm/yyyy

2014

complete

ENV

$0

2014

complete

Design

$92

2014

complete N.A.

Manager Name

Fred Ho

ROW

$0

N.A.

Phone/Fax

408-866-2156

Construction

$708

2015

E-Mail

[email protected]

Total

$800

Under construction.

10/2016

4/2017

Funding Deadline

awarded

E-76 Const (sub/app)

2/2015

3/19/2015

Last Updated

10/28/2016

Last Invoice (sub/app)

8/31/2015

City of Campbell

Page 1 of 24

6.17.b

Thursday, November 17, 2016 1:22:11 PM

Start mm/yyyy

Comments

Programmed Projects Quarterly Monitoring Report July - September 2016 City of Gilroy

Sponsor: 1 of 1

Project No SCL110032 Fund Source

CMAQ $1,706 Local $223

Project Description Project will convert existing unpaved creek-side maintenance road closed to the public to a multi-use public trail along the New Ronan Channel.

New Ronan Channel and Lions Creek Trail-BEP G02


Funds ($000)

Programmed Year

Start mm/yyyy

ENV

$760

Design

End mm/yyyy

10/2011

7/2015

$0

5/2015

11/2015

4/2016

4/2016

10/2016

9/2017

David Stubchaer

ROW

$0

Phone/Fax

408-846-0451

Construction

$1,169

E-Mail

[email protected]

Total

Comments

Drafting water district permit as of 11/7/2016.

10/2010

Field Review

Manager Name

$1,929

2011

2017 E-76 Const (sub/app)

4/2016


5/10/2016

City of Gilroy

Funding Deadline

obligated

Last Updated

11/7/2016

7/22/2016

Page 2 of 24

6.17.b


Schedule


Sponsor: 1 of 1


City of Morgan Hill Project Description Resurfacing of Monterey Road between East Dunne Avenue and East Middle Avenue

Monterey Road Preservation


Funds ($000)


Start mm/yyyy

ENV

$0

2015

Design

$153

2015

Manager Name

Scott Creer

ROW

$0

n.a.

Phone/Fax

408-778-6480

Construction

$1,558

2017

E-Mail

[email protected]

Total

End mm/yyyy

Applied for E76 on 10/27/2016.

10/2015

Field Review Local $332 STP $1379

Comments

$1,711


7/2016 5/2015

7/2015 7/2016

12/2016

7/2017

Funding Deadline

11/1/2016

9/1/2016

1/2017

Last Updated

11/4/2016


City of Morgan Hill

Page 3 of 24

6.17.b



Sponsor: 1 of 2


CMAQ $840 Local $110

City of Mountain View Project Description Implement complete street and "road diet" on Castro Street between El Camino Real and Miramonte Avenue.

Castro Street Complete Streets


Funds ($000)


Start mm/yyyy

Comments End mm/yyyy complete

Field Review ENV

$0

2015

complete

Design

$0

2015

complete

Manager Name

Sayed Fakhry

ROW

$0

Phone/Fax

650-903-6511

Construction

$950

E-Mail

[email protected]

Total

$950


Bid opening scheduled for December 8 with construction beginning early 2017.

3/2017

12/2017

Funding Deadline

obligated

10/30/2015

1/2016

Last Updated

10/28/2016


Sponsor: 2 of 2


City of Mountain View Project Description In Mountain View: resurface Rengstorff/Old Middlefield/Charleston Roads.

Various Road Preservation & Bike lanes


Funds ($000)


Start mm/yyyy

ENV

$0

Design

$257

Manager Name

Quan Tran

ROW

$0

Phone/Fax

650-903-6311

Construction

$1,318

E-Mail

[email protected]

Total

End mm/yyyy

Under construction.

complete

Field Review

Local $412 STP $1,166

Comments

$1,575

complete 2014


complete

8/2016

12/2016

Funding Deadline

awarded

10/29/2015

1/2016

Last Updated

11/1/2016


City of Mountain View

Page 4 of 24

6.17.b



Sponsor: 1 of 2



City of Palo Alto Project Description Reconstruct the sidewalk along the south side of Arastradero Road between the Hetch Hetchy Los Altos Pathway and Miranda Avenue to a multiuse trail.

Arastradero Road Schoolscape/Multiuse Trail


Funds ($000)


Start mm/yyyy

End mm/yyyy 5/2016

Field Review ENV

$196

Design

$0

Manager Name

Holly Boyd

ROW

$0

Phone/Fax

650-329-2612

Construction

$1,306

E-Mail

[email protected]

Total

Comments

$1,502

2015


City received NEPA clearance in October 2016. At 35% design.

4/2016

10/2016

1/2016

2/2017

6/2017

2/2018

Funding Deadline

11/1/2017

3/1/2017

5/2017

Last Updated

11/4/2016


Sponsor: 2 of 2


Local $8,650 STIP 4,350

City of Palo Alto Project Description In Palo Alto, provide a year round ped crossing of Highway 101 to replace the existing Lefkowitz tunnel, which is a seasonal underpass subject to repeated and unanticipated closures that limit its use to less than half the year.

Adobe Creek / Highway 101 Bicycle Pedestrian Bridge


Funds ($000)


Comments

Start mm/yyyy

End mm/yyyy

Field Review ENV

$1,500

2014

1/2013

12/2017

Design

$1,500

2014

6/2015

11/2018

Preliminary design and the preparation of environmental studies will be complete Fall 2017.

Manager Name

Elizabeth Ames

ROW

$0

2016

2/2018

9/2018

Phone/Fax

650-329-2502

Construction

$10,000

2017

1/2019

4/2020

Funding Deadline

11/1/2018

E-Mail

[email protected] g

9/2018

11/2018

Last Updated

11/14/2016

Total

$13,000

E-76 Const (sub/app) Last Invoice (sub/app)

City of Palo Alto

Page 5 of 24

6.17.b



Sponsor: 1 of 15


Earmark $496

City of San Jose Project Description Almaden Expressway, near Coleman Rd; Construct a 360 ft. Ped Bridge over Almaden Expressway to connect nearby trails and to the Almaden Light Rail Station.

Almaden Expressway Pedestrian Bridge


Funds ($000)


Start mm/yyyy

ENV

$113

07/08

Design

$239

07/08

Yves Zsutty

ROW

$0

Phone/Fax

(408) 793-5561

Construction

$0

E-Mail

[email protected]

Total

$352

complete 01/2009

2 of 15


Earmark $675 Local $7,863

Project Description Preparation of CON and ENV documents for 1.2 miles of trail, a pedestrian bridge, and underpass with safety and enhancement improvements.

Funds ($000)

Funding Deadline

no expiration

Last Updated

10/28/2016


ENV

$815

06/07

Design

$0

08/09

Manager Name

Yves Zsutty

ROW

$63

08/09

Phone/Fax

(408) 793-5561

Construction

$7,660

not determined

E-Mail

[email protected]

$8,538

Start mm/yyyy

Comments End mm/yyyy

complete 3/2008


City of San Jose

12/2013

NEPA completed for both reaches. Reach 9 (1.1mile) trail is designed to the 95% stage. ·Reach 9B (Ped Bridge) is designed to the 35% stage. Continuing to seek large grants and funding opportunities. Private development has been approved near south footing of bridge and includes grading to support future bridge development.

Funding Deadline

no expiration

Last Updated

10/28/2016

8/2010

Page 6 of 24

6.17.b


Caltrans seeks to revisit past expenses as design work could not proceed for reasons beyond San Jose's control.

5/2013

Field Review

Total

City staff had secured confirmation from Caltrans that project can be closed out with no risk of repayment. Final project close-out paperwork has been submitted.

Bay Trail Reach 9 & 9B


12/2011

4/17/2012


City of San Jose

End mm/yyyy

Field Review

Manager Name

Sponsor:

Comments


Sponsor: 3 of 15


Earmark $3,674 Local $5,095 RTP-LRP $6,000

City of San Jose Project Description Master Plan, design of 9.8 miles transportation trail, including safety and improvements between SR 237 and Story Rd.

Coyote Creek Trail (Hwy 237-Story Rd)


Funds ($000)


ENV

$572

08/09

Design

$1,077

08/09

9/2008

13/14

10/2016

Yves Zsutty

ROW

$0

Phone/Fax

(408) 793-5561

Construction

$13,120

E-Mail

[email protected]

Total

$14,769

complete


4 of 15

City of San Jose

Project No

Project Description

SCL090004

In San Jose: Almaden/Vine couplet conversion

End mm/yyyy

Field Review

Manager Name

Sponsor:

Start mm/yyyy

Comments

City seeking to resolve budget conflict between finance letter and engineer's estimate.

10/2017

Funding Deadline

No expiration

4/10/2012

Last Updated

10/28/2016

3/2015

Downtown San Jose Bike Lanes and De-couplet


Funds ($000)


Start mm/yyyy


Fund Source 11/2016

Field Review

CMAQ $1,500 Dev Fees $18,000 Local $315

ENV

$1,815

Design

$0

2016

Manager Name

Beza Kedida

ROW

$5,000

2018

Phone/Fax

408-535-3534

Construction

$13,000

2020

E-Mail

[email protected]

Total

Staff is coordinating with Caltrans to secure E76 for construction of trail between Story Road and I280. That project will likely lead to full expenditure of remaining balance and City will seek close-out of this account once trail is constructed.

$19,815


Received E76 for PE in January 2016. Revised proposed project and expanded descriptions submitted to MTC in May 2016. Phase 1will retain 1-way operations instead of decoupling. Field review expected in November.

12/2016

3/2017

1/2017

6/2017

9/2017

12/2017

Funding Deadline

PE obligated

11/2015

12/2015

Last Updated

11/10/2016


City of San Jose

Page 7 of 24

6.17.b



Sponsor: 5 of 15

Project No SCL110029

City of San Jose Project Description Develop construction drawings for trail improvements

Los Gatos Creek Reach 5 Bridge Crossings


Funds ($000)


Comments

Start mm/yyyy

End mm/yyyy

3/2011

6/2013

Fund Source Field Review

CMAQ $1,200 Local $350 RTP-LRP $3,000

ENV

$1,450

Design

$0

2011

TBD

Manager Name

Yves Zsutty

ROW

$100

2013

TBD

Phone/Fax

408-793-5561

Construction

$3,000

not yet determined

TBD

E-Mail

[email protected]

$4,550


Total


Sponsor: 6 of 15

City of San Jose

Project No

Project Description

SCL110117

In San Jose: Improve pedestrian and bicycle facilities along Park Avenue between Hedding and Montgomery Streets.

Fund Source Local $364 STIP-TE $1,456

Design work on trail to resume on November 9 pending a confirmed mitigation plan and permits being secured by Caltrain for its project. DE Funding Deadline CMAQ PE obligated 10/28/2016

Last Updated

7/2015

Park Avenue Multi-Modal Improvements


2/23/2012

Caltrain has provided 100% plans for review. City is negotiating cost sharing agreement with Caltrain for conduit and surface improvements that will support future trail underpass. City has funds to prepare plans to 65% stage only.

Funds ($000)


Start mm/yyyy


Under construction.

complete

Field Review ENV

$137

2012/13

Design

$528

2013

complete

Manager Name

Beza Kedida

ROW

$0

2013

11/2016

3/2017

Phone/Fax

408-535-3534

Construction

$1,234

2015

7/2017

9/2016

Funding Deadline

obligated

E-Mail

[email protected]


10/22/2015

1/2016

Last Updated

11/10/2016


3/2017

$1,899

City of San Jose

Page 8 of 24

6.17.b


Total


Sponsor: 7 of 15



City of San Jose Project Description Complete the connection between Scott Street and Auzerais Avenue, providing a functional cross-town bikeway to San Carlos Street all the way into downtown.

Meridian Bike/Ped Improvements


Funds ($000)


Comments

Start mm/yyyy

End mm/yyyy complete

Field Review ENV

$120

2014

Design

$0

2015

Manager Name

John Brazil

ROW

$37

2014

Phone/Fax

408-975-3206

Construction

$1,299

2018

E-Mail

[email protected]

Total

$1,456


CON moved to FY2018. Scope modified; design work in process. City studying ROW issues

11/2015

1/2017

5/2017

10/2017

Funding Deadline

11/1/2017

2/2017

5/2017

Last Updated

11/10/2016


Sponsor: 8 of 15


City of San Jose Project Description Implement walking route improvements around schools.

San Jose Citywide SRTS Program


Funds ($000)


Comments

Start mm/yyyy

End mm/yyyy

1/2016

10/2016

7/2015

9/2016

1/2017

6/2018

Funding Deadline

11/1/2016


11/1/2016

12/1/2016

Last Updated

11/16/2016


2/3/2016



ENV

$173

Design

$0

Manager Name

Tina Smith

ROW

$0

Phone/Fax

408-975-3266

Construction

$1,133

E-Mail

[email protected]

$1,306

2017

City of San Jose

Page 9 of 24

6.17.b


Total

2014

City preparing documents for environmental clearance. The expected submission of the E-76 request is by the end of December 2016.


Sponsor: 9 of 15


City of San Jose Project Description Construct pedestrian safety and transit access enhancements along Jackson Avenue.

Project Milestone

Funds ($000)


ENV

$95

2014

Design

$570

2014

1/2017

5/2017

Funding Deadline

awarded


2/2015

4/2015

Last Updated

11/10/2016


8/12/2016

$0

2014

Phone/Fax

408-535-3534

Construction

$1,234

2015

E-Mail

[email protected]

Project No

Project Description

SCL130010

Traffic signal controlled crossings will be implemented at 6 key intersections.

Fund Source

$1,899

San Jose Pedestrian Oriented Traffic Safety Signals


Funds ($000)


Comments

Start mm/yyyy

End mm/yyyy

Field Review


All CON funds obligated. All phases awarded except Bascom/Palmer and Henry/Stevens Creek, which are scheduled for January and March 2017 award.

ENV

$1,899

2014

2/2014

7/2014

Design

$0

2014

4/2014

6/2014

2015/17

1/2015

12/2017

Funding Deadline

obligated


11/2016

2/2017

Last Updated

11/10/2016


7/29/2016

Manager Name

Ken Jung

ROW

$0

Phone/Fax

408-975-3262

Construction

$1,899

E-Mail

[email protected]

Total

$3,798

City of San Jose

Page 10 of 24

6.17.b


Construction scheduled for 1/2017.

6/2015

ROW

City of San Jose

End mm/yyyy

6/2014

Beza Kedida

Total

Comments

complete

Manager Name

Sponsor:

Start mm/yyyy

Field Review


10 of 15

Jackson Ave Bicycle and Pedestrian Improvements

Project Title:


Sponsor: 11 of 15

City of San Jose

Project No

Project Description

SCL130011

In San Jose: fill bikeway and sidewalk gaps on St. John Street.

St. John Street Bikeway and Pedestrian Improvements


Funds ($000)


Start mm/yyyy


Fund Source

ENV

$78

2014

Design

$400

2014

Manager Name

Beza Kedida

ROW

$0

2014

Phone/Fax

408-535-3534

Construction

$2,898

2016

E-Mail

[email protected]

Sponsor: 12 of 15

complete

Field Review

CMAQ $1,185 Local $615 STIP-TE $1,500

City of San Jose

Project No

Project Description

SCL130012

Extends work on The Alameda that enhances pedestrian and vehicle safety in accordance with the Grand Boulevard Initiative.

Fund Source CMAQ $3,150 Local $930

Total

$3,376

1/2017

6/2017

Funding Deadline

obligated


11/2015

6/2016

Last Updated

11/10/2016


3/13/2015

Funds ($000)


Start mm/yyyy

ENV

$30

2014

Design

$900

2014

Beza Kedida

ROW

$0

2014

Phone/Fax

408-353-3534

Construction

$3,150

2015

E-Mail

[email protected]

Total

Comments End mm/yyyy complete

Field Review

Manager Name

$4,080

City will advertise this project in November 2016. Expected award date is February 2017..

complete

3/2017

9/2017

Funding Deadline

obligated


2/2015

4/2015

Last Updated

11/10/2016


3/25/2016

City of San Jose

Page 11 of 24

6.17.b


complete

The Alameda Grand Blvd Phase 2


Project will be awarded in November 2016.


Sponsor: 13 of 15



City of San Jose Project Description Make improvements to the bikeway network including the installation of new bikeways, traffic calming features, public bike racks, bike-friendly signal detection and pavement markings.

East San Jose Bikeways


Funds ($000)


Start mm/yyyy

End mm/yyyy 3/2014

Field Review ENV

$75

2014

Design

$382

2014

Manager Name

John Brazil

ROW

$75

2014

Phone/Fax

408-975-3206

Construction

$2,000

2018

E-Mail

[email protected]

Total

Comments

$2,532


City preparing documents for environmental clearance. The expected submission of the E-76 request is by the end of December 2016.

7/2015

10/2016

4/2017

10/2017

Funding Deadline

11/1/2016

11/2016

12/2016

Last Updated

11/2/2016


Sponsor: 14 of 15



City of San Jose Project Description Upgrade traffic signal controls at 35 intersections along six miles of Tully Road and Saratoga Avenue.

San Jose Smart Intersections Program


Funds ($000)

Programmed Year

Start mm/yyyy

ENV

$0

Design

$410

Ho Nguyen

ROW

$0

Phone/Fax

408-975-3254

Construction

$897

E-Mail

[email protected]

Total

Comments End mm/yyyy 8/2015

Field Review

Manager Name

$1,307

Obligated 3/24/2016. RFP posted 8/2016 and anticipated award in 1/2017. Interviews with top three responsive proposers scheduled for week of Nov. 14.

2015

2/2015

2016

3/2017


11/1/2015


4/13/2016

City of San Jose

6/2016

12/1/2015

Funding Deadline

obligated

Last Updated

11/10/2016

Page 12 of 24

6.17.b


Schedule


Sponsor: 15 of 15



City of San Jose Project Description Encourage the use of transit, bike, walking and other alternative transportation modes in San Jose, beginning with the Downtown and Central City.

San Jose Transportation Demand Management


Funds ($000)


Start mm/yyyy

Field Review ENV

$0

Design

$0

Manager Name

Laura Stuchinsky

ROW

$0

Phone/Fax

408-975-3226

Construction

$1,694

E-Mail

[email protected]

Total

$1,694



Completing research phase for cycle 1 and beginning research phase for cycle 2. Both cycles to be implemented in 2017.

6/2016

Funding Deadline

awarded

9/29/2015

Last Updated

11/10/2016


City of San Jose

Page 13 of 24

6.17.b



Sponsor: 1 of 3


City of Saratoga Project Description Construct bike/ped safety improvements on SR9 in Saratoga.

Highway 9 Safety Improvements (BEP Project)


Funds ($000)


ENV

$522

Design

$0

Manager Name

Iveta Harvancik

ROW

$0

Phone/Fax

408-868-1274

Construction

$2,104

E-Mail

[email protected]

Total

$2,626

City of Saratoga

Project No

Project Description

SCL130026

Traffic calming on Prospect Road between Saratoga/Sunnyvale Rd and Lawrence Expressway and on Saratoga Ave between Highway 85 to the City Limits to the north.

2008/09

6/2016


Fund Source CMAQ $4,205 Local $560

12/2016

Funding Deadline

obligated

3/2016

Last Updated

11/10/2016

11/2014

Prospect Road Complete Streets


Construction bids received. Contract award scheduled for December 7.

complete

2008/09


2 of 3

End mm/yyyy

Field Review

CMAQ $462 HSIP-T3 $900 HSIP-T4 $900 Local $364

Sponsor:

Start mm/yyyy

Comments

Funds ($000)


Start mm/yyyy


E76 request submitted to Caltrans.

4/2014

Field Review ENV

$260

Design

$0

2014

1/2015

11/2015

1/2015

5/2016

Manager Name

Macedonio Nunez

ROW

$5

2014

3/2016

6/2016

Phone/Fax

408-868-1218

Construction

$4,500

2017

4/2017

12/2017

Funding Deadline

11/1/2016

E-Mail

[email protected]

2/2016

4/2016

Last Updated

10/17/2016

Total

$4,765


City of Saratoga

Page 14 of 24

6.17.b



Sponsor: 3 of 3

City of Saratoga

Project No

Project Description

SCL130027

Sidewalk rehabilitation along Big Basin Way between 6th street and Hwy 9.

Fund Source

Saratoga Village Sidewalk Rehabilitation


Funds ($000)


Start mm/yyyy

End mm/yyyy

Moved CON funding to 2018.

4/2014

Field Review

CMAQ $162 Local $40

Comments

ENV

$19

Design

$0

6/2015

8/2015

2014

4/2015

9/2015

Manager Name

Macedonio Nunez

ROW

$0

2014

8/2015

6/2016

Phone/Fax

408-868-1218

Construction

$183

2018

4/2018

9/2018

Funding Deadline

11/1/2017

E-Mail

[email protected]

9/2017

11/2017

Last Updated

11/14/2016

Total

$202


City of Saratoga

Page 15 of 24

6.17.b



Sponsor: 1 of 5


CMAQ $162 Local $21

City of Sunnyvale Project Description In Sunnyvale: On SunnyvaleSaratoga Road at Mathilda: Upgrade the existing traffic signal and install new ramps, bike detection and ped signals.

Sunnyvale/Saratoga Road Bike/Ped Safety


Funds ($000)


Field Review ENV

$90

Design

$0

Manager Name

Shahid Abbas

ROW

$0

Phone/Fax

408-730-733

Construction

$524

E-Mail

[email protected]

Total

$614

2015


Comments

Start mm/yyyy

End mm/yyyy

5/2016

6/2016

5/2016

11/2016

5`2016

2/2017

7/2017

2/2018

Funding Deadline

11/1/2017

11/2016

2/2017

Last Updated

11/4/2016

Design at 75% complete.


Sponsor: 2 of 5



City of Sunnyvale Project Description In Sunnyvale: On three separate sections of Fair Oaks Avenue, construct bike lanes and twoway left turn lanes.

Fair Oaks Avenue Bikeway and Streetscape


Funds ($000)

Programmed Year

Start mm/yyyy


Field Review

Consultant currently conducting traffic and pricing studies.

ENV

$0

2015

6/2016

6/2017

Design

$174

2015

6/2016

9/2017

2018

1/2018

6/2018

Funding Deadline

11/1/2017


11/2017

1/2018

Last Updated

11/4/2016


10/31/2016

Manager Name

Shahid Abbas

ROW

$0

Phone/Fax

408-730-7330

Construction

$1,036

E-Mail

[email protected]

Total

$1,210

City of Sunnyvale

Page 16 of 24

6.17.b


Schedule


Sponsor: 3 of 5

City of Sunnyvale

Project No

Project Description

SCL130030

In Sunnyvale, on Maude Avenue between Mathilda Avenue and Fair Oaks Avenue, install bike lanes, remove on street parking and center turn lane. Modify road geometry at Sunnyvale intersection. Curb ramp/curb/gutter repairs and ped. Crossing improvements.

Fund Source CMAQ $695 Local $135

Maude Avenue Bikeway and Streetscape


Funds ($000)


Field Review ENV

$135

Design

$0

Manager Name

Shahid Abbas

ROW

$0

Phone/Fax

408-730-7330

Construction

$695

E-Mail

[email protected]

Total

$830

2015


Comments

Start mm/yyyy

End mm/yyyy

9/2016

11/2016

10/2016

2/2017

9/2016

9/2017

10/2017

4/2018

Funding Deadline

11/1/2017

3/2017

6/2017

Last Updated

11/4/2016

Design progress at 50% completion.


Sponsor: 4 of 5


City of Sunnyvale Project Description Project scope to be determined.

Sunnyvale East and West Channel Multi-Use Trails


Funds ($000)


Start mm/yyyy


Fund Source

Being deprogrammed, funds going to OBAG2

Field Review

CMAQ $3,440 Local $1,305

ENV

$400

Design

$0

Manager Name

Shahid Abbas

ROW

$0

Phone/Fax

408-730-7330

Construction

$4,345

E-Mail

[email protected]

Total

$4,745


11/2015

2/2016

Funding Deadline

11/1/2017

Last Updated

9/29/2016


City of Sunnyvale

Page 17 of 24

6.17.b



Sponsor: 5 of 5



City of Sunnyvale Project Description In Sunnyvale: Construct sidewalks, bulb-outs, and curb ramps; install in-pavement crosswalk lights, signs, and pavement markings; upgrade (reduce) corner radius.

Sunnyvale SRTS Ped Infrastructure Improvements


Funds ($000)


Start mm/yyyy

End mm/yyyy

Obligated 10/21/2016.

8/2012

Field Review ENV

$331

Design

$0

Manager Name

Shahid Abbas

ROW

$0

Phone/Fax

408-730-7330

Construction

$1,569

E-Mail

[email protected]

Total

Comments

$1,900

2014


6/2015

10/2016

8/2015

10/2016

1/2017

6/2017

Funding Deadline

obligated

6/2016

10/2016

Last Updated

11/4/2016


City of Sunnyvale

Page 18 of 24

6.17.b



Sponsor: 1 of 4

County of Santa Clara

Project No

Project Description

SCL110121

Fill in sidewalk gaps and provide ADA enhancements within existing rights-of-way on various roads.

Fund Source Local $532 STP $2,128

Project Milestone

Funds ($000)

ENV

$0

Design

$210 $0

Phone/Fax

408-494-1335/408-573-2465

Construction

$2,340

E-Mail

sadegh.sadeghi/dawn.cameron@ rda.sccgov.org

Project No

Fund Source

Project Description Non-infrastructure SRTS education and encouragement services for schools.

Total

$2,550

2013

2016

8/2015

5/2013

4/2016

8/2015

10/2015

2/2017

7/2017

3/2/2015


10/27/1015

Funds ($000)

Start mm/yyyy

Funding Deadline

obligated

Last Updated

11/10/2016

7/7/2016


In progress.

4/2014

ENV

$0

N.A.

Design

$0

N.A. N.A.

Bonnie Broderick

ROW

$0

Phone/Fax

(408) 793-2700

Construction

$946

E-Mail

[email protected] g

Total

CON to start in February 2017.


Manager Name

$946

2014 E-76 Const (sub/app) Last Invoice (sub/app)


7/2015

6/2017

Funding Deadline

obligated

7/10/14

8/21/14

Last Updated

11/10/2016

8/15/2016

Page 19 of 24

6.17.b


7/2013


Field Review

CMAQ $838 Local $08

End mm/yyyy

Santa Clara County Non Infrastructure SRTS Program


Comments

3/2013

ROW

SCL130021

Start mm/yyyy

Field Review

Sadegh Sadeghi/Dawn Cameron



Manager Name

Sponsor: 2 of 4

East San Jose Pedestrian Improvements

Project Title:


Sponsor: 3 of 4


CMAQ $1,884 Local $1,760 TAP $1,350

County of Santa Clara Project Description Construct an extension of the San Tomas Aquino Spur Trail (a Class I bicycle/pedestrian trail) on the west side of San Tomas Expressway from SR 82 (El Camino Real) to Homestead Road.

San Tomas Aquino Spur Trail Multi-Use Trail Phase 2


Funds ($000)


Start mm/yyyy

ENV

$400

Design

$0

complete complete

Dawn Cameron/Craig Petersen

ROW

$0

Phone/Fax

408-573-2465/408-573-2490

Construction

$4,994

E-Mail

dawn.cameron/craig.petersen@r da.sccgov.org

Total

4 of 4


CMAQ $6,085 Local $1,899 STP $1,650

Project Description In San Jose: Install Intelligent Transportation System infrastructure, fill in sidewalk gaps, install pedestrian sensors and bike detection at all intersections and implement traffic responsive and adaptive signal timing.

$5,394


6/2016

9/2017

Funding Deadline

awarded

2/2015

5/1/2015

Last Updated

11/10/2016

Funds ($000)


Start mm/yyyy

ENV

$0

Design

$1,434

Dawn Cameron/Jamil Salas

ROW

$0

Phone/Fax

408-573-2465/408-494-1375

Construction

$8,200

E-Mail

dawn.cameron/[email protected] ccgov.org

Total


Field Review

Manager Name

$9,634

2014

5/2014

6/2016

3/2014

5/2016

NEPA clearance received from Caltrans. CEQA notice of exemption filed. Submitted RFA request to Caltrans on 11/10/2016.

12/2015 2017 E-76 Const (sub/app) Last Invoice (sub/app)


6/2017

10/2018

Funding Deadline

11/1/2016

11/2016

2/2017

Last Updated

11/20/2016

7/7/2016

Page 20 of 24

6.17.b


7/7/2016

Capitol Expressway ITS and Bike/Ped Improvements


Under construction.

complete

2013



End mm/yyyy complete

Field Review

Manager Name

Sponsor:

Comments

Programmed Projects Quarterly Monitoring Report July - September 2016 VTA

Sponsor: 1 of 8


IIP $5 Local $5.15 STP $2.86

Project Description Route 152 new alignment from Rte 101 to Rte 156. Realign highway and evaluate route management strategies, including potential roadway pricing. Also includes SR152 "trade corridor" study from 101 to I-5.

Route 152 New Alignment


Funds ($000)


Comments

Start mm/yyyy

End mm/yyyy

2008

3/2018

Field Review ENV

$13

Design

$0

Manager Name

Gene Gonzalo

ROW

$0

Phone/Fax

408-952-4236

Construction

$0

E-Mail

[email protected]

Total

2008/09

VTA is requesting additional funding from CTC to continue project efforts, including PA/ED. An additional $20 million is needed to complete the environmental clearance.

Funding Deadline

$13


Last Updated

11/9/2016


VTA

Sponsor: 2 of 8


Project Description Implement roadway pricing on SR 85 carpool lanes.

SR 85 Express Lanes


Funds ($000)


Comments

Start mm/yyyy

End mm/yyyy

7/2009

4/2015


ARRA $3,300,000 Earmark $1,500,000 Local $2,000,000 RTP-LRP $163,200,000

ENV

$4,800

Design

$19,000

Manager Name

Gene Gonzalo

ROW

$500

Phone/Fax

408-952-4236

Construction

$145,700

E-Mail

[email protected]

Total

$170,000

2013


VTA

Funding Deadline

PE: 6/30/2018

Last Updated

11/9/2016

5/1/2015

Page 21 of 24

6.17.b


3/20/2015

Project report and environmental document approved in April 2015. Design phase will be conducted via separate projects.


Sponsor: 3 of 8


Project Description Santa Clara: Regional Planning Activities and Planning, Programming and Monitoring

Regional Planning Activities and PPM - Santa Clara


Funds ($000)


Start mm/yyyy


Field Review

Local $148 STIP $3,944 STP $1,145

ENV

$5,237

Design

$0

Manager Name

Amin Surani

ROW

$0

Phone/Fax

408-546-7989

Construction

$0

E-Mail

[email protected]

Total

14/15-18/19

Funding Deadline

$5,237


Last Updated

1/6/2015


VTA

Sponsor: 4 of 8


Project Description Implement roadway pricing on US 101 carpool lanes

US 101 Express Lanes


Funds ($000)


Comments

Start mm/yyyy

End mm/yyyy

11/2010

8/2015


Local $10,200 RTP-LRP $414,800

ENV

$6,200

2010

Design

$34,000

2014

Manager Name

Lam Trinh

ROW

$5,000

2015

Phone/Fax

408-952-4217

Construction

$379,800

2019

E-Mail

[email protected]

$425,000

Funding Deadline


N.A.


N.A.

VTA

Last Updated

11/9/2016

N.A.

Page 22 of 24

6.17.b


Total

PSR-PDS for Project Initiation Documents (PID) Phase approved in August 2012. Project Report and Environmental Document (CE/CE) were completed in August 2015. Design phase will be conducted via separate projects.


Sponsor: 5 of 8

Project No

Project Description

SCL110008

Implement roadway pricing on SR 237 carpool lane; extending the Express Lanes on SR 237 to Mathilda Avenue

Fund Source Local $7,564 RTP-LRP $10,903 San Jose $1,000 Sunnyvale $1,739 VPPP $1,600

SR 237 Express Lanes: Zanker Rd to Mathilda Ave


Funds ($000)


Comments

Start mm/yyyy

End mm/yyyy

Field Review ENV

$2,850

2013

1/2013

6/2015

Design

$9,053

2013

7/2014

12/2016

2015

1/2017

10/2018

Manager Name

Lam Trinh

ROW

$0

Phone/Fax

(408) 952-4217

Construction

$10,903

E-Mail

[email protected]

Total

$22,806


PID and PA/ED completed in June 2015. PS&E is in progress including Electronic Toll System (ETS) development.

Funding Deadline Last Updated

11/9/2016


VTA

Sponsor: 6 of 8


Project Description Construct sound walls on I-680 between Capitol Expressway and Mueller Avenue.

I-680 Soundwalls - Capitol Expwy to Mueller Ave


Funds ($000)


Comments

Start mm/yyyy

End mm/yyyy

Consultant contract executed in August 2016.

Field Review

Local $502 STIP $4,456

ENV

$597

2016

8/2016

9/2017

Design

$731

2017

9/2017

8/2018

Manager Name

Brian Pantaleon

ROW

$355

2018

9/2017

8/2018

Phone/Fax

408-952-4283

Construction

$3,275

2019

7/2019

3/2020

E-Mail

[email protected]

Total

$4,958


Funding Deadline

11/1/2018

Last Updated

11/1/2016


VTA

Page 23 of 24

6.17.b



Sponsor: 7 of 8


ATP $443 Local $58

Project Description Phased update to the Santa Clara Countywide Bicycle Plan. The update will focus on disadvantaged communities in Santa Clara County, including downtown San Jose, East San Jose, northern Santa Clara, and Gilroy.

Central and South County Bicycle Plan


Funds ($000)


Comments

Start mm/yyyy

End mm/yyyy

10/2015

2016

In progress.

Field Review ENV

$0

Design

$0

Manager Name

Lauren Ledbetter

ROW

$0

Phone/Fax

408-321-5716

Construction

$501

E-Mail

[email protected]

Total

2015

$501


Funding Deadline

obligated

Last Updated

4/20/2015


VTA

Sponsor: 8 of 8


Local $250 San Jose $250 STP $500

Project Description Conduct environmental studies and prepare environmental document for improvements in the vicinity of the I280/Winchester Boulevard interchange.

I-280/Winchester Study


Funds ($000)


Comments

Start mm/yyyy

End mm/yyyy

12/2015

6/2018

Obligated on 9/12/2015.

Field Review ENV

$1,000

Design

$0

Manager Name

Sajeeni DeAlwis-Mima

ROW

$0

Phone/Fax

408-952-4175

Construction

$0

E-Mail

[email protected]

Total

$1,000

2017


Funding Deadline

obligated

Last Updated

8/9/2015


VTA

Page 24 of 24

6.17.b


6.17.c

Programmed Projects Quarterly Monitoring Report Attachment C List of Acronyms NOP -Notice of Preparation NPDES- National Pollution Discharge Elimination System PCC -Portland Concrete Cement PDR -Planned Development Rezoning PE -Preliminary Engineering PTG- VTA Pedestrian Technical Guidelines PUC-Public Utilities Commission PUD -Planned Urban Development R&D -Research & Development RFP-Request for Proposals ROW -Right-Of-Way RTP/LRP-Long Range Undefined Funds SCVWD -Santa Clara Valley Water District SF -Square Foot SHOPP-State Highway Operation and Protection Program SPA- Specific Plan Amendment STIP-State Transportation Improvement Program STP-Surface Transportation Program SVRT -Silicon Valley Rapid Transit SVRTC- Silicon Valley Rapid Transit Corridor SWPPP -Storm Water Pollution Prevention Program TDM -Transportation Demand Management TE-Transportation Enhancements TFCA – Transportation Fund for Clean Air TIA -Transportation Impact Analysis TOD -Transit-Oriented Development UPRR- Union Pacific Railroad VPPP-Value Pricing Pilot Program

ABAG -Association of Bay Area Governments ABC -Across Barrier Connections AC -Asphalt Concrete ACE -Altamont Commuter Express ADA-Americans with Disabilities Ac t ARRA-American Recovery and Reinvestment Act BART -Bay Area Rapid Transit BEP-Bicycle Expenditure Program BRT- Bus Rapid Transit BTG - VTA Bicycle Technical Guidelines CDT - VTA Community Design & Transportation CEQA-California Environmental Quality Act CIP-Capital Improvement Program CMAQ-Congestion Mitigation and Air Quality Improvement Program CMIA-Corridor Mobility Improvement Account CMP -Congestion Management Program CTC-California Transportation Commission CUP-Conditional Use Permit CWC -Citizen Watchdog Committee DASH - San Jose Downtown Area Shuttle DEIR -Draft Environmental Impact Report DU/AC -Dwelling Units Per Acre E76-Formally called “Authorization to Proceed" EIR -Environmental Impact Report EIS-Environmental Impact Statement ER -Environmental Review ETS-Electronic Toll System FAR- Floor Area Ratio FEIR -Final Environmental Impact Report GPA -General Plan Amendment HBRR- Highway Bridge Replacement and Rehabilitation HOV -High-Occupancy Vehicle HPP-High Priority Project HSR -High-Speed Rail IS -Initial Study ITS -Intelligent Transportation System LPR-Local Program Reserve LRT -Light Rail Transit LU/TD -Land Use/Transportation Diagram MND -Mitigated Negative Declaration MTC -Metropolitan Transportation Commission ND -Negative Declaration NEPA-National Environmental Policy Act NOI -Notice of Intent

Page 1

6.18





THROUGH:


FROM:


SUBJECT:

Core Connectivity Study FOR INFORMATION ONLY

BACKGROUND: In 2014, VTA received funding from the Metropolitan Transportation Commission (MTC) to conduct a Core Connectivity Study - a comprehensive evaluation of first/last mile connections to major rail stations in Santa Clara County, with an emphasis on the new BART stations at Milpitas and Berryessa. The first phase of the Core Connectivity Study developed an initial “toolkit” of possible solutions for first/last mile strategies including alternatives to traditional transit services. In 2015, VTA project staff developed an initial “toolkit” of alternative mobility solutions for providing first/last mile connections to major transit stations. The toolkit identified a range of shared mobility strategies that included both traditional and dynamic service delivery models such as on-demand, subscription, or advance reservation services. Staff conducted an assessment of potential markets and most promising strategies from the toolkit, which resulted in the implementation of the VTA FLEX pilot project. VTA is currently engaged in a major service redesign effort aimed at optimizing the efficiency and usefulness of VTA’s fixed-route services. This effort, known as VTA’s Next Network Plan, will redesign VTA’s fixed-route network to connect with the future BART stations at Milpitas and Berryessa, as well as determine the appropriate balance between ridership and coverage oriented services. While the same level of transit service hours are provided under the draft network plan, some geographic areas of the County may see service loss due to existing low ridership and/or difficult to serve suburban and semi-rural communities. Therefore, the next phase of the Core Connectivity Study is examining innovative and cost-effective service delivery models to increase connectivity to VTA’s core network, as well as identifying alternative options for markets not served well by traditional transit.


6.18

DISCUSSION: Core Connectivity Toolkit Phase 2 of the Core Connectivity Study augments the initial toolkit to include new mobility strategies that have emerged since the development of the toolkit in 2015. The expanded toolkit primarily focuses on new and innovative strategies designed for markets that are not a good fit for traditional fixed route transit. In particular, the toolkit focuses on the growing trend of public-private partnerships between public agencies and providers of various shared mobility services, as well as successful strategies used by other transportation authorities. In addition to identifying strategies, the toolkit will include a discussion of local opportunities and constraints, a rating analysis to determine how well each strategy is able to meet certain characteristics for implementation, and more than dozen case studies of emerging mobility partnerships. Toolkit Strategies VTA project staff identified emerging mobility strategies in the Toolkit, which may have potential for application in Santa Clara County. These emerging mobility strategies are grouped into the following main categories: 1. Emerging Mobility Partnerships VTA project staff reviewed more than a dozen recent examples of public-private partnerships (in planning or will soon to be implemented) as part of the Toolkit development. A growing number of public agencies are partnering with emerging mobility providers (typically Uber or Lyft) to address specific mobility needs in their community. These partnerships can offer public agencies a cost-effective way to deliver transit service in areas that are poorly suited to traditional fixedroute bus service. These partnerships have been gaining traction in recent years due to the flexibility they provide transit agencies in addressing mobility needs in hard-to-serve/lowproductivity areas. The types of partnership arrangements with these mobility providers vary by the type of service they provide. Some examples are: 

First/last mile connections: This service typically provides connections from rail or major buses lines to employment or outlying areas. In Denton County, the transportation authority offered a $2 discount on Uber for transit riders traveling within the Highland Village zone. Potential application for this type of partnership could be connecting Milpitas to BART or Morgan Hill to Caltrain.



Lifeline service gaps: This strategy is suitable for markets with individuals needing to travel at times of the day when demand is low or when fixed routes are limited (e.g. late nights, weekends and off-peak trips). This type of partnership service may provide trips at lower costs than fixed-route at low demand times of the day, and would be beneficial to late night service workers and low-income populations. Potential local markets include connecting the Alum Rock neighborhood to BART or connecting commuter colleges to either Caltrain, Page 2 of 5

6.18

VTA light rail, or BART. 

Suburban point-to-point mobility: This particular strategy could address mobility in coverage areas due to the lack of appropriate land use patterns for fixed route service. High priority areas for implementation are those with specific population groups who are most impacted by the loss or reduction of coverage service.



Real-time carpooling partnerships for first/last mile: This is a new partnership model that pairs carpool-oriented TNCs to commuters using real-time carpool apps. Transit agencies can offer a fixed subsidy budget to spread across drivers and riders to attract a critical mass. MTC partnered with BART and Scoop (TNC carpool service marketed to large employers in the Bay Area) to test this new service model using grant funds from FTA's Mobility on Demand Sandbox.



Real-time carpooling partnerships for long-distance express: This partnership helps to facilitate critical mass for longer-distance carpool trips, connecting residents in low density areas of the County to employment centers using real-time carpool apps. This strategy can provide express-like mobility to areas not served by existing VTA Express service. Ideal markets are areas with sparse origin zones to sparse destination zones.

2. Grant Programs for Local Transportation Projects This type of strategy is aimed at providing funding opportunities to municipalities and other public entities (e.g. school districts) who wish to design and operate a localized transit service. Candidate markets for this type of strategy are low-density, low-demand areas that may be better served with a locally operated (municipal) service, or to replace coverage service that have been lost. Similar programs exist with Orange County Transportation Authority and Los Angeles Metropolitan Transportation Authority. Contingent upon the availability of funds, VTA could establish a grant match program to offer municipalities the option to operate their own local service or partner with a shared mobility provider. The VTA Board of Directors in their discussions on the Measure B program could identify the funding levels available for these projects. 3. Excess Paratransit Capacity This strategy would be to use VTA’s paratransit contractor to provide services to non-ADA paratransit eligible persons. There are times of day when the paratransit program would have excess capacity and be able to carry other passengers. Examples in other areas include providing service to seniors who make similar trips as those using paratransit. VTA would need to define the program, including fares. VTA has included the ability to do supplemental services in the Request for Proposals that was issued for the new paratransit contractor. The specific program and rates would have to be separately negotiated once VTA develops the program. Considerations for Implementation VTA may be able to use a portion of 2016 Measure B to develop partnerships with emerging mobility providers, to create a grant program and/or to develop public-public partnerships. The Page 3 of 5

6.18

new ½ cent sales tax measure (2016 Measure B) within the Transit Operations program area identifies funds which may be used to support development of such localized services. According to the language in the sales tax measure, eligible projects and program are ones that: “Support new innovative transit service models to address first/last mile connections The project would support affordable new innovative transit service models to address first/last mile connections including FLEX type services, dynamic on-demand subscription shuttles and partnerships with other demand responsive service providers serving vulnerable, underserved and transit dependent populations.” If VTA pursues the various strategies, some level of funding or subsidy would likely be required. Typically if funding is provided, the funding is constrained by specific parameters to reduce risk to the public agency. To ensure that alternatives to fixed-route service have the best possible chance to succeed, VTA will need to address key challenges for implementation. These have been addressed in other cities, so VTA would use their experiences as part of our analysis. Some of the considerations include:     

Equity implications Financial risk Liability Driver requirements Accessible vehicle requirements

Next Steps VTA project staff will present the Core Connectivity Study to committees in December 2016 to seek input on the suite of mobility strategies presented. The input from committees and Board members will help inform what strategies may be considered for the Draft Next Network Plan. ADVISORY COMMITTEE DISCUSSION/RECOMMENDATION: The Citizens Advisory Committee (CAC) received this presentation on December 7, 2016. Committee members commended VTA's efforts to study alternative mobility solutions in parallel with the Next Network Plan. A question was raised whether the same level of access in a coverage area would be retained through a Transportation Network Company (TNC) partnership. Members also inquired about ridership data from existing TNC partnerships. Technical Advisory Committee (TAC) members received this presentation on December 8, 2016. Committee Members inquired about the environmental impacts of TNCs if those services grow to handle a significant amount of daily trips. Members also inquired about the possible role of TNCs and other strategies in the Core Connectivity Toolkit in providing school trips. The TAC expressed interest in some of the examples presented, especially with regard to a possible competitive grant program to fund local services, but also noted that even with new funding it may be difficult for some of the smaller cities to run their own programs.

Page 4 of 5

6.18

The Policy Advisory Committee (PAC) Members received this presentation on December 8, 2016. Committee members encouraged staff to consider taxis as another partnership option. A Committee Member asked for clarification on the competitive grant program example and asked whether cities would have to find their own funding. Members also inquired whether the toolkit is intended for the cities only, or if VTA could implement the strategies as well. Members noted that the 2016 Measure B funds may not be available immediately which could affect the timing of implementing the potential strategies presented. STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Congestion Management Program & Planning Committee received this presentation on December 15, 2016. Committee members requested clarification on the funding source that will be used for implementing the toolkit strategies and if potential markets include the areas within the core network. Staff confirmed the funding source will come from the new sales tax measure (2016 Measure B), and that strategies would apply to all areas of the County and not just the outlying markets. Committee members encouraged staff to consider partnerships with taxis as another option for on-demand services, to pursue last-mile strategies that are less expensive to administer, and to give consideration to low-income individuals and seniors in accessing these types of services. Prepared By: Aiko Cuenco Memo No. 4961

Page 5 of 5

7.1





THROUGH:


FROM: Interim Director - EnJU 7UDQVSRUWDWLRQ,QIUDVWUXFWXUH'HY'HQQLV5DWFOLIIH ,QWHULP'LUHFWRU3ODQQLQJ Program Development, Carolyn M. Gonot SUBJECT:

Project Management and Support Services



ACTION ITEM RECOMMENDATION: 1) Authorize the General Manager to execute a contract with Mott MacDonald for project management and support services for a period of five years in an amount up to $49 million; 2) Authorize the General Manager to execute a contract with Hill International for project management and support services for a period of five years in an amount up to $35 million. BACKGROUND: VTA is implementing transportation improvements that address three program areas: 1) the 2000 Measure A Transit Improvement Program; 2) a program of highway improvements funded by a combination of state, federal and local revenues; and 3) a transit facilities capital improvement program funded by VTA Transit Fund. To manage the changing resource needs of its capital program schedules and budgets, VTA has historically utilized the services of consultants. This enables VTA to respond effectively to periods of high demand and short duration, and to engage additional technical expertise when VTA staff are fully utilized on other projects. In December 2006, the Board authorized the General Manager to execute a contract with South Bay Transportation Associates (SBTA) to provide program and construction management services in support of the capital improvement programs. In October 2015, the Board authorized the General Manager to extend the term of this agreement through January 31, 2017, with the understanding that VTA staff was preparing a competitive procurement for similar services after 3331 North First Street ∙ San Jose, CA 95134-1927 ∙ Administration 408.321.5555 ∙ Customer Service 408.321.2300

7.1

the end of the SBTA contract. The program and construction management services provided under the SBTA contract enabled VTA staff to deliver over a billion dollars in capital improvements over the past ten years. This model of using consultant resources integrated with VTA staff for delivery of capital improvements through all phases has proven to be highly successful with the 1996 Measure B Program as well as the current Measure A Transit Program. At its June 24, 2016 meeting, the Board authorized the placement of a new ½ cent sales tax measure (2016 Measure B) on the November 2016 ballot. The 2016 passage of Measure B is expected to generate approximately $6.5 billion in capital funding over the next 30 years. To deliver all of the capital projects planned for 2016 Measure B in a timely manner VTA will continue to need the services of consultants to manage the changing resource needs of its capital program schedules and budgets. This approach allows VTA management to vary the overall size of consultant resources directly involved or supporting the delivery of capital improvement projects. Services to be provided under this contract include activities related to project management, planning, design and construction management, scheduling, cost control, quality assurance, inspection, field services, and managed lanes support. Utilization of services under this contract are based on the needs of VTA to deliver capital improvement projects, and therefore will vary with the availability of funding. Project needs are first filled by VTA staff, and then augmented by consultant staff to meet additional project needs required for successful deliver in a timely manner. Consultant staff are utilized only if and when their services are necessary in order to meet our goals. DISCUSSION: To select a qualified professional consultant team for project management support services, VTA issued a Request for Proposal (RFP S16030) on March 1, 2016. A Pre-Proposal Conference was held on March 24, 2016, to answer any questions and clarify any terms and conditions before final submittals. Two proposals were received on May 12, 2016 from Mott MacDonald (formerly Hatch Mott MacDonald), and Hill International, Inc. (Hill International). The consultant selection process consisted of a review and evaluation of all written proposals followed by oral interviews of those firms whose proposals ranked highest according to established criteria and interview questions designed to reveal the best firm qualified to serve VTA’s needs. The evaluation criteria included: qualifications of project staff, particularly key personnel and their level of involvement in performing related work; the qualifications of the firm, particularly their experience working with Caltrans and transit properties or other public agencies; technical expertise; success in delivering capital improvement projects; their approach to quality assurance; and other technical capabilities. VTA’s selection panel consisted of two Deputy Directors from the Planning & Project Development division, two Deputy Directors for Engineering Transportation & Infrastructure Development division, the Environmental Program & Resource Manager, and the SVRT Project Controls Manager. Based on evaluation of the submitted written proposals, both firms were asked to participate in an oral interview to clarify and expand on their proposal, as well as to

Page 2 of 4

7.1

answer some questions from the panel. Through the written proposals and follow up oral interviews both Mott MacDonald and Hill International demonstrated significant capabilities in the areas VTA needs to support its capital programs. Though Mott MacDonald ranked higher in the ratings, each firm demonstrated unique strengths in different areas. The Mott MacDonald team demonstrated significant knowledge and experience with VTA and a broad range of capabilities through its 33 subconsultants, while the Hill International team demonstrated unique expertise in construction contracts and construction management services. VTA staff is recommending that VTA enter into contracts with both Mott MacDonald and Hill International, with each firm providing the services that best fit the assignment. Attachment A lists the services anticipated to be provided by each firm. Generally, Mott MacDonald will provide project management support services, and Hill International will provide project controls and independent review and technical services. The Mott MacDonald consultant team consists of 33 subconsultants, with a strong local presence in the Bay Area. Attachment B lists the Mott MacDonald Team. The Hill International team consists of 26 subconsultants, also with a strong local presence in the Bay Area. Attachment C lists the Hill International team. The proposed contract amounts are approximated based on anticipated work by each firm over the five year period to deliver VTA’s Transit, Measure A and Highway capital programs as well as the anticipated 2016 Measure B program. The Mott MacDonald contract is estimated in the amount $49.0 million for a period of five years. The Hill International contract is estimated in the amount of $35.0 million also for a period of five years. The contracts will be a time & materials (T&M) type contract. The work will be performed on a yearly task order basis. The task orders for each year under the contracts will be based on projected workloads as determined by Board authorized capital programs and budget authorizations. ALTERNATIVES: The Board could elect to not authorize two contracts as recommended, and instead direct staff to issue just one contract to the highest ranking firm, Mott MacDonald. The Board could also request that staff to present other alternatives at a later date. However, the existing program and construction management contract expires on January 31, 2017, and a disruption in support services would jeopardize the timely completion of on-going work. FISCAL IMPACT: This action will authorize up to $84 million for project management and project support services for a period of five years for both contracts. Appropriation for these expenditures through June 30, 2017 are included in the FY17 Adopted VTA Transit Fund, 2000 Measure A Transit Improvement Program Fund and VTP Highway Improvement Program Fund Capital Budgets. Appropriation for the remainder of the contract period will be included in subsequent Biennial Budgets.

Page 3 of 4

7.1

DISADVANTAGED BUSINESS ENTERPRISE (DBE) PARTICIPATION: Based on identifiable subcontracting opportunities, a DBE goal of 6.49% has been established for this contract. STANDING COMMITTEE DISCUSSION/RECOMMENDATION: The Administration & Finance committee considered this item as part of its December 15, 2016 Regular Agenda. Staff provided the following clarifications to the committee’s questions and comments:  Because the scope of services is not specific and will vary over the five-year duration for these contracts, VTA will negotiate annual Task Orders based on the estimated level of effort anticipated to be needed for each year.  The Board can monitor costs for these contracts through regular staff reports to relevant committees.  Having two service contracts is equally cost effective as having a single contract, but provides VTA with opportunity for more independence for services such as constructability reviews. After further discussion, this item was forwarded to the January 5, 2017 Board without recommendation due to lack of a quorum. Prepared by: Jim Costantini, Deputy Director Memo No. 5603 ATTACHMENTS: 

Attachment A

(PDF)



Attachment B

(PDF)



Attachment C

(PDF)

Page 4 of 4

7.1.a

Attachment A

Services

Hatch Mott MacDonald P

Project Management Quality Assurance/Quality Control Light Rail Systems Design X Architectural Services X Resident Engineer S Civil/Electrical Inspection S Building Inspection S Fire And Life Safety Compliance S Project Controls S Estimating S Project Planning X Express Lane Technician X Document Control X Community Outreach X Construction Contract Claims Analysis S Utility Coordination X Permit Coordination X Survey Support Value Engineering S Constructability Review S Preparation of Technical Specifications S Geotechnical Engineering Structural Engineering Systems Engineering X Environmental Planning X Storm Water Pollution Prevention Plans Intelligent Transportation Systems X Express Lane Operations X Toll Collection Systems X Geographical Information Systems X Graphic Design X Traffic Operations Analysis X Traffic Engineering X Traffic & Revenue Forecasting X Travel Demand Model Forecasting X Administrative Support X Electrical & Mechanical Engineering P = Primary Provider S = Secondary Provider X = Sole Provider

Hill International S P P P P P P P P X P P P X X X X

7.1.b

Attachment B RFP S16030 Project Management and Support Services Mott MacDonald, LLC Lee Abramson, Executive Vice President 181 Metro Drive, Suite 510 San Jose, CA 95110 Subconsultant

Contact

Office Address

AECOM Technical Services, Inc. Eileen Goodwin DBA Apex Strategies BKF Engineers CDM Smith Inc. California Environmental Services* CSG Consultants, Inc. Deenscorp Inc.* 4Leaf, Inc. Ghirardelli Associates, Inc.* Gray-Bowen Scott* Jensen Hughes, Inc. Josephine ‘s Professional Staffing* Kathryn M. Blevins Katz & Associates, Inc. Keish Environmental, PC* Kimley-Horn & Associates, Inc. Kittelson & Associates, Inc. Lamoreaux Associates, Inc. LKG-CMC, Inc.* Marshall Railway Consulting LLC Quality Engineering, Inc.* Rowe & Associates Rail Surveyors & Engineers (RSE)* Inc Inb Inc.* Safework, Signet Testing Laboratories, Inc. Silicon Transportation Consultants* Stantec Consulting Services, Inc. Strategic Value Solutions, Inc. Sunrise Pacific, Inc.* Sydkeat, LLC, DBA Turn2 Solutions Vali Cooper & Associates, Inc. VSCE, Inc.* Walker Property Evaluation Services * DBE Firm

408-297-9585 408-309-1426 408-467-9100 415-653-3317 510-573-3557 650-522-2500 408-345-3860 925-462-5858 408-435-5503 925-937-0890 925-938-3550 408-943-0111 770-213-4984 858-452-0031 408-592-0223 510-625-072 510-839-1742 408-329-1636 818-844-0800 801-200-2831 510-301-9185 408-421-6600 650-759-3676 818-716-0384 510-887-8484 617-448-8611 925-941-1400 816-795-0700 925-247-4266 650-659-9600 510-446-8301 510-835-5001 650-873-4224

100 W. San Fernando Street, Suite 200, San Jose, CA 95113 510 41st Avenue, Santa Cruz, CA 95062 1650 Technology Drive, Suite 650, San Jose, CA 95110 220 Montgomery Street, Suite 1418, San Francisco, CA 94104 4127 Bay Street, Suite B, Fremont, CA 94528 550 Pilgrim Drive, Foster City, CA 94404 2175 The Alameda, Suite 100, San Jose, CA 95126 2110 Rheem Drive, Pleasanton, CA 94588 2055 Gateway Place, Suite 410, San Jose, CA 95110 1676 North California Blvd, Suite 400, Walnut Creek, CA 94596 2950 Buskirk Avenue, Suite 225, Walnut Creek, CA 94597 2158 Ringwood Avenue, San Jose, CA 95131 8102 Walden Crossing Drive, Canton, CA 30115 5440 Morehouse Drive, San Diego, CA 92121 6768 Crosby Court, San Jose, CA 95129 1300 Clay Street, Suite 325, Oakland, CA 94612 155 Grand Avenue, Suite 900, Oakland, CA 94612 4855 Stoneyford Court, San Jose, CA 95138 550 N. Brand Boulevard, Suite 1660, Glendale, CA 91203 360 S Fort Lane, Suite 3A 1281 30th Street, #100 Oakland, CA 94608 908 Forest Ridge Drive, San Jose, CA 95129 1075 Old County Road, #D, Belmont, CA 94002 20750 Ventura Blvd, Suite 330, Woodland Hills, CA 91364 3526 Breakwater Court, Hayward, CA 94545 4352 Silva Court, Palo Alto, CA 94306 1340 Treat Boulevard, Suite 300, Walnut Creek, CA 94597 19201 E. Valley View Parkway, Suite H, Independence, MO 64055 P O Box 6168, Moraga, CA 94570 289 S. San Antonio Rd, Suite 203, Los Altos, CA 94022 2000 Powell Street, Suite 550, Emeryville, CA 94608 827 Broadway, Suite 340, Oakland, CA 94607 3001 Sneath Lane, San Bruno, CA 94066

7.1.c

Attachment C RFP S16030 Project Management and Support Services Hill International, Inc. Anthony Marraro, Senior Vice President and Northern California Area Manager One Sansome Street, Suite 2940 San Francisco, CA 94104 Subconsultant

Contact No.

Office Address

Apex Testing Labs Biggs Cardosa Associates, Inc. CDM Smith Chaves Associates* CM Pros Fire Cause Analysis FMG Architects * Grid Strategy + Design, LLC JMW Consulting Engineers Keish Environmental, PC * Lamoreaux Associates, Inc. Langan Treadwell Rollo Lea + Elliot, Inc. LKG-CMC, Inc. * Maintenance Design Group MWA Architects OrgMetrics, LLC Quality Engineering, Inc. * RailPros, Inc. Rowe & Associates S&C Engineers, Inc. The Culver Group, Inc. The Their Group * Transmetrics, Inc. Value Management Strategies, Inc.Inc. YEI Engineers, Inc. * * DBE Firm

408-282-9800 408-296-5515 415-495-6201 510-268-6900 415-437-0701 510-649-1300 510-465-8700 415-652-2456 650-616-61122 408-592-0223 408-329-1636 408-551-6700 415-908-6450 818-844-0800 626-389-2440 415-957-2750 925-449-8300 510-301-9185 925-478-7345 408-421-6600 510-272-2970 925-356-2044 415-440-0234 408-371-6800 760-741-5518 510-383-1050

686 Stockton Avenue, San Jose, CA 95126 865 The Alameda, San Jose, CA 95126 220 Montgomery Street, Suite 1418, San Francisco, CA 94104 289 Park Street, San Leandro, CA 94577 1601 Market Street, Suite 516, San Francisco, CA 94103 935 Pardee Street, Berkeley, CA 94710 330 15th Street, Oakland, CA 94612 1229 San Anselmo Avenue, San Anselmo, CA 94960 594 Rocca Avenue, South San Francisco, CA 94080 6768 Crosby Court, San Jose, CA 95129 4855 Stoneyford Court, San Jose, CA 95138 4030 Moorpark Avenue, Suite 210, San Jose, CA 95117 101 Montgomery Street, Suite 1750, San Francisco, CA 94104 550 N. Raymond Avenue, Suite 1660, Glendale, CA 91203 87 N. Raymond Avenue, Suite 700, Pasadena, CA 91103 655 Montgomery Street, Suite 1780, San Francisco, CA 94111 291 McLeod Street, Livermore, CA 94550 1281 30th Street, Suite 100, Oakland, CA 94608 1300 Clay Street, Suite600, Oakland, CA 94612 908 Forest Ridge Drive, San Jose, CA 95129 1814 Franklin Street, Suite 600, Oakland, CA 94612 5056 Commercial Circle, Unit A, Concord, CA 94520 3749 Buchanan Street, #475266, San Francisco, CA 94147 2155 South Bascom Avenue, Suite 214, Campbell, CA 95008 900 Canterbury Place, Suite 330, Escondido, CA 95225 7700 Edgewater Drive, Suite 128, Oakland, CA 94621

7.2





THROUGH:


FROM:


SUBJECT:

Fare Policy Review FOR INFORMATION ONLY

BACKGROUND: VTA is designing a more useful transit network that will meet the goals of increasing ridership, cost-effectiveness and regional connections. This redesign, to be implemented through a revised transit service plan, will have more frequent service but will also require more transfers by patrons to reach their destinations. Currently VTA does not provide free transfers between buses or between buses and light rail. The last comprehensive adjustment of VTA fares took effect in 2009, when VTA increased the base fare from $1.75 to $2.00 along with proportional increases to other fares. Since then, VTA’s cost of providing one hour of bus service has increased by 14% whereas the cost of providing rail service has increased by 50%. During the same period, VTA's share of operating expenses recovered from fares has declined from 14.3% to 11.2%. VTA’s Board adopted Fare Policy requires a fare review as part of the biennial budget process. Attachment A provides a summary of VTA fares over the past decade. DISCUSSION: Due to the magnitude of potential changes to the transit network, many riders may need to transfer to complete their trips and reach their final destinations. This requires VTA to review its intra-operator (VTA-to-VTA) transfer policy. Other elements of the fare structure such as Youth fares, fares for Low Income riders, Community Bus fares and the Eco Pass program are also due for review. VTA has contracted with Four Nines Technologies to assist in a comprehensive fare policy review. The following sections further describe fare policies under review and which are proposed to be presented to the public for comment in the January/February time period, along with public outreach for the revised transit service plan. 3331 North First Street ∙ San Jose, CA 95134-1927 ∙ Administration 408.321.5555 ∙ Customer Service 408.321.2300

7.2

Intra-Operator Transfers (VTA-to-VTA) Currently, fares on VTA buses are valid only for a single boarding and there is no provision for free or reduced price “transfer” fares for riders needing to use more than one bus to reach their destination. Similarly, VTA has no provision for free or reduced price transfers from buses to light rail, or from light rail to the bus system. In contrast, on light rail, a single ride fare is valid for 2 hours in any direction from the time of purchase, including transfers between light rail lines. The current transfer provisions are inconsistent with the design of the revised transit service plan, which requires the ability to transfer within a defined period to complete a trip. The fare policy review will assess the financial impact of offering free or reduced price transfers for up to 90 or 120 minutes for all Clipper® users to optimize the revised transit service plan. Intra-operator transfers would be offered exclusively on Clipper® to minimize fraud and minimize operational costs and service delays. In 1981, VTA eliminated intra-operator transfers to address fraud and conflicts associated with hand-torn paper transfers. Day passes had been introduced in the late 1970’s, and so for the next 35 years, VTA has relied on single ride fares, day passes, monthly passes, and Eco Pass to meet the needs of its riders. Currently, VTA’s ticket vending machines (TVMs) issue a paper ticket for a single ride fare purchase which acts as the proof of payment for Fare Inspectors performing fare enforcement on light rail. However, on buses, Bus Operators currently do not issue proof of payment for single rides and it is not desirable to burden them with fare enforcement responsibilities when their primary responsibility is to operate the bus safely and on schedule. VTA’s fareboxes are equipped to issue limited use smart cards that could be used as proof of payment for transfer, but they cost $0.25-$0.30 each, making it financially impractical to use them for this purpose. For these reasons, staff is considering extending the validity period of single ride fares on Clipper® only. This approach is consistent with the regional goal of maximizing the use of Clipper® as the fare collection system in the Bay Area. VTA and other Clipper® operators have already begun the transition of transfers to Clipper® and have successfully transitioned many inter-operator transfers (e.g., BART-VTA or Caltrain-VTA) to Clipper® only status. Staff will prepare mitigation strategies to assist riders who do not have a Clipper® card similar to the strategies adopted to ease VTA’s recent transition of the day pass to Clipper® only. A key consideration in moving to a system wide free or reduced price transfer policy will be the potential impact on fare revenues. Four Nines Technologies will assist VTA in estimating this impact and in analysis of alternative to make up for any significant impacts, if these are found. Youth Fares VTA’s Youth fares are currently approximately 80% of Adult fares as compared to 50% for Seniors and Disabled persons. Families with multiple children find it difficult to purchase fares for all their school-going children, and staff has heard multiple requests to provide further

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7.2

discounted or free fares for Youth on VTA. San Francisco Municipal Transportation Agency recently introduced a “Free Muni for Youth” program that provides low and moderate income San Francisco youth ages 5 to 18 free access to Muni services when using a Clipper® card. VTA collects $4.2 million annually from Youth fares. Staff is considering options ranging from free fares to further discounted fares for youth and will assess the financial impact as well as funding options to cover the adverse impact on fare revenues. Fares for low Income riders In August 2013, at the request of the group People Acting in Community Together (PACT), the VTA Board approved the Transit Assistance Program (TAP) pilot project. VTA received a $1.3 million grant from MTC to increase ridership by providing a discounted fare for low income adults not receiving other forms of transportation support. These grants will most likely not be available in the future. Staff will assess and present the Board with funding options to continue and potentially expand the TAP program. Community Bus fares VTA established a lower fare for Community Bus routes at their inception in 2007 for two basic reasons. 1. The routes were serviced by light duty gasoline-fueled “cut-away” vehicles which were significantly cheaper to acquire 2. Bus Operators assigned to Community Bus routes were paid less than Bus Operators assigned to regular routes. These cost differentials that were the basis of the reduced Community Bus fares no longer exist as VTA operates diesel hybrid transit buses on Community Bus routes and Bus Operators are paid the same wages regardless of the route that they operate. In addition, as part of the revised transit service plan, the route restructuring discontinues Community Bus as a distinct service type. Staff will review the basis and appropriateness of Community Bus fares and make a recommendation to the Board. Base Fare Adjustment VTA has experienced increased costs in providing service but has not had a fare increase since 2009. Staff projects a fiscal deficit for FY 2017 in the range of $20-25 million. Many of our neighboring agencies have either already approved fare increases or are in the process of doing so. VTA staff will review options to increase fares by approximately 12.5% to 25%, increasing the base fare from $2.00 to $2.25 or $2.50, along with commensurate increases to other fares, such as day passes and monthly passes. Two scenarios being considered are shown below:

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7.2

ADULT Single Ride Cash Community Bus Light Rail Excursion Pass Clipper Day Pass Accumulator Day Pass Token (bag of 5) Express Cash Clipper Express Day Pass Accumulator Monthly Pass Express Monthly Pass YOUTH Single Ride Cash Community Bus Light Rail Excursion Pass Clipper Day Pass Accumulator Day Pass Token (bag of 5) Monthly Pass SENIOR/DISABLED Single Ride Cash Community Bus Light Rail Excursion Pass Clipper Day Pass Accumulator Monthly Pass

Current Fare

Review Option 1

Review Option 2

$2.00 $1.25 $4.00 $6.00

$2.25 n/a $4.50 $6.75

$2.50 n/a $5.00 $7.50

$15.00 $4.00 $12.00

$16.75 $4.50 $13.50

$18.75 $5.00 $15.00

$70.00 $140.00

$80.00 $160.00

$90.00 $180.00

$1.75 $0.75 $3.50 $5.00

Free Free Free Free

$1.25 n/a $2.50 $3.75

$12.50 $45.00

Free Free

$9.50 $30.00

$1.00 $0.50 $2.00 $2.50

$1.10 n/a $2.25 $3.00

$1.25 n/a $2.50 $3.75

$25.00

$30.00

$30.00

The adjustment in base fares will strengthen VTA’s capacity to provide free VTA-to-VTA transfers while minimizing or negating any adverse impacts on fare revenues and also responding to the increase in cost to provide service since 2009 and helping to improve, or at least maintain, farebox recovery. Eco Pass fares VTA’s Eco Pass fares were established with twin goals of increasing ridership by providing more access and generating revenues equal to the average adult fare per boarding. The program has been well utilized; however, the average fare per boarding has consistently lagged the average adult fare per boarding. The pricing structure is tiered and complex and has not been modified since inception in the 1990’s. As a result, the program has provided low cost transit access to employers, non-profits and universities/colleges. This raises questions of equity where Page 4 of 5

7.2

individuals with low or moderate incomes who do not qualify for the Transit Assistance Program (TAP) pay a full fare; whereas, businesses who can afford to pay more are charged a significantly lower fare. Staff plans to review the Eco Pass program and assess the pricing as well as splitting the program into more logical components such as a College Pass program, a separate program for non-profits and perhaps migration of employers to the regional Clipper® Direct program that enables employers and employees to use pre-tax transit benefits. Next Steps Staff will engage the community through meetings and other outreach efforts coordinated with service planning for the Next Network. A fare proposal will be developed along with initial Title VI Fare Equity Analysis and presented to the Board for consideration at the Board Workshop in April 2017 along with the biennial budget. An amended fare resolution and the final Title VI Fare Equity Analysis will be presented to the Administration and Finance committee in May and to the Board of Directions in June for approval with implementation of the approved changes targeted to commence October 2017. STANDING COMMITTEE DISCUSSION: The Administration & Finance Committee received a presentation on this item on December 15 and committee members made the following comments: 1) Chairperson pro tem Larry Carr indicated that the value of the community bus ride was the same as a local bus ride; 2) Member Savita Vaidhyanathan asked how VTA was planning to address the concerns of San Jose State University students regarding the $3.00 charge for new Clipper cards. Ali Hudda, Deputy Director Finance and Budget responded that MTC's costs for Clipper cards are just under $4.00 per card and they are not even getting full cost recovery by charging $3.00 per card. The issue is who will bear the cost of the card and MTC as well as transit operators are all facing financial challenges. Prepared By: Ali Hudda Memo No. 5868

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7.2.a

ATTACHMENT A

VTA Fare Structure History Fixed Route and ADA Paratransit January 2005 to Date

Fares

1/2005 to 8/2007

9/2007 to 9/2009

10/2009 to date

(effective date)

(Jan 2005)

(Sep 2007)

(10/09, 1/15, 1/16)

Fixed Route Service (Bus and Light Rail) Adult Cash Community Bus Express Light Rail Excursion (1) Day Pass (6) Day Pass Express (6) Monthly Pass Monthly Pass Express Day Pass Token (Bag of Five) (4) 12 month Pass Subscription 12 month Express Pass Subscription

$1.75 $3.50 $3.50 $5.25 $10.50 $61.25 $122.50 $23.60 $674.00 $1,348.00

$1.75 $1.00 $3.50 $3.50 $5.00 $10.00 $61.25 $122.50 $22.50 $674.00 $1,348.00

$2.00 $1.25 $4.00 $4.00 $6.00 $12.00 $70.00 $140.00 $15.00 $770.00 -

Youth (2) (7) Cash Community Bus Light Rail Excursion (1) Day Pass (6) Monthly Pass Day Pass Token (Bag of Five) (5) 12 month Pass Subscription

$1.50 $3.00 $4.50 $49.00 $20.25 $539.00

$1.50 $0.50 $3.00 $4.00 $40.00 $18.00 $440.00

$1.75 $0.75 $3.50 $5.00 $45.00 $12.50 $495.00

Senior/Disabled (2) Cash Community Bus Light Rail Excursion (1) Day Pass (6) Monthly Pass 12 month Pass Subscription

$0.75 $1.50 $2.25 $26.00 $286.00

$0.75 $0.50 $1.50 $2.00 $20.00 $220.00

$1.00 $0.50 $2.00 $2.50 $25.00 $275.00

$3.50

$4.00

ADA Paratransit (3) ADA One-Way Trip (1) (2) (3) (4) (5) (6) (7)

$3.50

Light Rail Excursion passes implemented on promotional basis in June 2006 and placed in tariff in July 2007. Youth and Senior/Disabled riders can board Express services for the same fare as Local services. Effective August 1, 2003, persons with ADA paratransit photo ID cards may ride any VTA fixed-route service for free. Adult Day Pass Tokens reduced to $15.00 for bag of five effective January 2015. Youth Day Pass Tokens reduced to $12.50 for bag of five effective January 2015. All Day Passes to be "Clipper Only" (using Accumulator logic) beginning January 2016. Eligibility for all Youth fares extended to 18-year olds effective July 2015.

Item # 7.2

VTA Fare Policy Review January 5, 2017

Intra-Operator Transfers

(VTA-to-VTA)

❏ Reduced or free transfers will support VTA’s new transit service plan ❏ Transfers are currently not free unless rider has a pass ❏ Transfers would be available Clipper® only

❏ Enable bus operators to focus on safety and schedule ❏ Minimize rider/operator conflicts ❏ Reduce operational and cost impacts ❏ Maintain VTA’s commitment to Clipper®

2

Youth Fares Peer Fare Discounts on Adult Fares One Ride

Monthly Pass

VTA

13% discount from Adult 36% discount from Adult

AC Transit

50% discount

73% discount

SamTrans

50% discount

59% discount

Muni

50% discount

50% discount

Free for Low/Moderate Low Income

❏ Potential revenue impact up to $4.2 million annually ❏ Identify funding sources

3

Low Income Fares ❏ Expiration of two-year Transportation Assistance Program (TAP) pilot ❏ Need to identify new funding sources to continue or expand TAP program

Community Bus ❏ No longer a cost differential with Local Bus ❏ Elimination of Community Bus service type

4

Base Fare Adjustment ❏ $20-25 million fiscal deficit for FY 2017 ❏ Last fare increase in 2009 ❏ Board Fare Policy requires fare review as part of biennial budget process and targets 20% farebox recovery Local Adult Fares ❏ Base fare increase from $2.00 to $2.25 or $2.50 ❏ Board Fare Policy ties the paratransit fare to the adult base fare

One Ride

Monthly Pass

VTA

$2.00

$70.00

AC Transit

$2.10

$75.00

SamTrans

$2.25

$65.60

Muni

$2.50

$73.00 5

Eco Pass ❏ Eco Pass Goals ❏ Increase ridership by providing more access

❏ Generate revenue equal to the average adult fare per boarding ❏ Program well utilized but the average fare for Eco Pass well below the average adult fare ❏ Several types of institutions: for-profit employer, nonprofits, residential communities and colleges ❏ Potential for different offerings for different types of institutions

❏ E.g., transition employers to Clipper® Direct ❏ Clipper® Card cost of $3 for all Eco Pass users

6

Fare Review Schedule Nov-Dec ’16

Data Collection & Review

Jan 5, 2017

Board Briefing

Jan-Feb ’17

Public Outreach

Mar 2017

Revenue, Ridership, and Title VI Analysis

April 2017

Board Workshop, Update Analysis

May 2017

Standing and Advisory Committees

June 1, 2017

Board Adoption

Oct ’17-Jan ’18 Fare Change Implementation* *Fare changes may be implemented in phases extending even beyond January 2017 7

Agenda Item 7.3


January 4, 2017 January 5, 2017 January 5, 2017



THROUGH:

N/A

FROM:

Board Chairperson, Jeannie Bruins

SUBJECT:

2017 Appointments to Board Standing Committees, Joint Powers Boards, Policy Advisory Boards, and Ad Hoc Committees



ACTION ITEM RECOMMENDATION: Approve appointments to Board Standing Committees, Joint Powers Boards, Policy Advisory Boards, and Ad Hoc Committees for 2017.

BACKGROUND: The VTA Administrative Code specifies five Board standing committees: 1) 2) 3) 4) 5)

Administration and Finance (A&F) Congestion Management Program and Planning (CMPP) Safety, Security, and Transit Planning and Operations (SSTPO)1 Capital Projects Oversight Committee (CPOC) Governance and Audit (G&A)

It also specifies that the membership of the Governance & Audit Committee consists of the Board Chairperson, Board Vice Chairperson, and the chairpersons of three Board standing committees: (1) A&F; (2) CMPP; and (3) SSTPO. Due to this, the Board Chairperson and Vice Chairperson cannot concurrently serve as chairperson of A&F, CMPP or SSTPO. All other standing committees consist of four Directors each except for CPOC, which has six. No more than two members for each committee can be from the same City/County Group.


The Administrative Code further specifies that at its first meeting in January, the Board of Directors approves the members and chairpersons of all Board standing committees based on recommendations for these positions provided by the Board Chairperson. The term of appointment is one year, coinciding with the calendar year. Only directors, not alternates or exofficio members, are eligible for appointment to standing committees. However, Board alternate members are eligible for VTA appointment to joint powers boards (JPBs), policy advisory boards (PABs), and ad hoc committees. DISCUSSION: Submitted for consideration are recommended appointments to the indicated committees: Board Standing Committees Administration and Finance (A&F) Glenn Hendricks, Chair Larry Carr Sam Liccardo3 Jeannie Bruins Congestion Management Program and Planning (CMPP) Teresa O’Neill, Chair Savita Vaidhyanathan Lan Diep3 Johnny Khamis3 Safety, Security, and Transit Planning and Operations (SSTPO)1 Cindy Chavez, Chair Raul Peralez3 Ken Yeager Charles “Chappie” Jones3 Capital Projects Oversight Committee (CPOC) Sam Liccardo3, Chair Cindy Chavez Teresa O’Neill Jeannie Bruins Savita Vaidhyanathan Larry Carr Governance & Audit (G&A) Jeannie Bruins Sam Liccardo3 Glenn Hendricks Teresa O’Neill Cindy Chavez

Board chair (also serves as G&A chairperson) Board vice chair (also serves as G&A vice chairperson) A&F chairperson CMPP chairperson SSTPO chairperson

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Joint Powers Boards (JPBs) Peninsula Corridor (Caltrain) Joint Powers Board Ken Yeager Raul Peralez3 Jeannie Bruins Capitol Corridor Joint Powers Board Raul Peralez3 Teresa O’Neill I-680 Sunol SMART Carpool Lane Joint Powers Board Lan Diep3 Santa Clara Valley Habitat Plan Joint Powers Board Ann Calnan2 Tom Fitzwater2, Alternate Policy Advisory Boards (PABs) County Expressways Policy Advisory Committee Johnny Khamis3 Teresa O’Neill Diridon Station Policy Advisory Board Cindy Chavez Downtown East Valley Policy Advisory Board David Cortese Sylvia Arenas El Camino Rapid Transit Policy Advisory Board Jeannie Bruins Silicon Valley Regional Interoperability Authority (SVRIA) Larry Carr Silicon Valley Rapid Transit Corridor & BART Warm Springs Extension PAB Sam Liccardo3 Ken Yeager

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Other Ad Hoc SVRT Program Working Committee Sam Liccardo3 Cindy Chavez Ken Yeager Teresa O’Neill Raul Peralez3 VTA Committee for Transportation Mobility & Accessibility (ex-officio member) Cindy Chavez (Board chairperson or his/her designee serves as representative) The appointments will take effect immediately following Board approval. 1.

Board adoption of both codifying and enhancing the safety and securities responsibilities currently performed by the Transit Planning & Operations (TP&O) Committee, and concurrently renaming the committee Safety, Security, and Transit Planning & Operations (SSTPO), is anticipated at the Board’s January 5, 2017 meeting, prior to consideration of Board member committee assignments for 2017.

2.

The Santa Clara Valley Habitat Conservation Plan (SCVHCP) JPB allows VTA to appoint staff members. The recommended appointees are two VTA Environmental Planning managers that have served as the VTA representatives on this committee for several years. These individuals possess the experience, expertise, and long history with the SCVHCP JPB that allow them to well-represent VTA’s interests.

3.

Committee appointments for Directors representing the City of San José are conditional on the member being appointed by the San José City Council to the VTA Board of Directors. This action is scheduled for January 10, 2017.

FISCAL IMPACT: There is no fiscal impact. Prepared by: Jim Lawson, Director of Public Affairs & Executive Policy Advisor Memo No. 5724 ATTACHMENTS: 

7.3 - appointments

(PDF)

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7.4





THROUGH:


FROM:


SUBJECT:

Next Network Draft Plan



ACTION ITEM RECOMMENDATION: Approve the Draft Transit Service Plan for release to the public for review and comment. BACKGROUND: Under VTA’s Transit Ridership Improvement Program (TRIP) initiated in 2015, VTA began a two-year planning and outreach effort to develop a redesigned transit network. This project was known as Next Network, with implementation of a new transit service plan to occur concurrent with the opening of BART Phase 1 service at the Milpitas and Berryessa stations. The project aims to engage the community in developing a new bus and light rail transit network that reflects our transit needs and values, while increasing ridership, improving farebox recovery, and integrating BART service into the transit network. VTA engaged Jarrett Walker + Associates, an internationally-recognized leader in transit planning, to assist with the effort. The project's major milestones include: -

Late 2015: Independent assessment of VTA’s service and market

-

April 2016: Transit Choices and Alternatives reports to VTA Board

-

Summer 2016: Community outreach phase 1

-

November 2016: VTA Board decision on ridership-coverage allocation (85/15)

-

January 2017: Draft transit service plan released

-

January-February 2017: Community outreach phase 2


7.4

-

April 2017: Final transit service plan for VTA Board approval

-

Fall 2017: Service begins (concurrent with the opening of BART Phase 1)

The Next Network project started with an independent assessment of VTA's transit service and market. This assessment, called the Transit Choices Report and accompanying Transit Alternatives Report (both available at http://nextnetwork.vta.org/library), illustrated the significant tradeoff decisions for consideration in developing a redesigned transit network. The reports identified the allocation of services between ridership-oriented service and coverageoriented service as the most critical policy choice facing VTA. To this end, the project team sought to engage the community in a broad discussion of VTA's allocation of resources on the spectrum and whether the new transit service plan should represent a shift in resource allocation towards ridership and away from coverage. Over the summer of 2016, the project team utilized a series of three transit network concept maps to engage the community and solicit their input on tradeoff questions. This first of two project outreach phases included VTA-hosted community meetings, discussions at non-VTA community meetings, intensive community leader workshops, an online meeting, an interactive dedicated project website, numerous blog posts with accompanying discussion area, social media engagement, and tabling events. The project team received over 5,000 points of valuable feedback, including votes on the ridership-coverage balance. The volume of feedback was used to develop a draft transit service plan. Following the first phase of community outreach, the VTA Board of Directors held a November 2016 workshop to discuss the community’s input and give staff direction on the ridershipcoverage balance for the draft transit service plan. At the conclusion of the meeting, the VTA Board voted to direct staff to develop a draft transit service plan that reflects an “85/15” split that is, a network that allocates 85% of resources to ridership-oriented service and 15% of resources to coverage-oriented service. This direction to pursue a network designed to achieve higher ridership represents a shift from today’s network of 70% ridership-oriented service and 30% coverage-oriented service. This change would have the effect of increasing frequency in high ridership transit-supportive corridors and areas, decreasing service in areas with low transit demand, and a design philosophy that embraces a grid of frequent routes with more rapid routes and more midday and weekend service. DISCUSSION: VTA staff have developed a draft transit service plan that reflects the substantial community input received over the summer as well as the VTA Board’s guidance on the ridership-coverage balance given at the November 18 Board Workshop. Staff is requesting Board approval to take the draft transit service plan out to the community in a second phase of outreach. The draft plan’s network map is presented as Attachment A; a route-by-route matrix of proposed service changes is presented as Attachment B. The draft transit service plan includes the following major features:

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7.4

REALLOCATION OF RESOURCES FROM COVERAGE TO RIDERSHIP What we heard: The community understood the difficult ridership and coverage tradeoff and overall voted strongly in favor of VTA allocating more resources to ridership service and fewer resources to coverage service. VTA currently spends approximately 70% of its operating dollars on productive ridershiporiented service and the remaining 30% to unproductive coverage-oriented service, a “70/30” balance. The draft plan would achieve an 85/15 balance by reallocating resources from unproductive services and investing those resources in more productive services. This reallocation of coverage-oriented service to ridership-oriented service is how the plan can offer significant benefits while not increasing the total cost of service. The areas that would lose service under the draft plan are generally areas that lack the transitsupportive characteristics such as dense, walkable, pedestrian-oriented spaces that are necessary for transit to be productive. VTA is exploring alternative mobility strategies for these difficult-toserve areas in a concurrent Core Connectivity project to potentially serve these “gaps” in the transit network. INCREASED LIGHT RAIL SERVICE What we heard: The community expressed a strong desire to invest in VTA’s light rail system. The VTA Light Rail to BART connection will be at the Montague Light Rail station, and VTA will modify the light rail service plan to better serve this connection as well as the ongoing needs of Santa Clara Valley residents and workers. In May 2016, staff brought, for review, three different operating plans with three different optional enhancements to the VTA Board of Directors. Staff returned in October 2016 with a staff recommendation that includes the following changes (see Attachment C for a map of the recommended light rail operating plan): ‒ A new line from Alum Rock to Mountain View operating every 15-minutes. This new line would double the Light Rail service frequency at the Milpitas BART Station and provide a direct trip from BART to major employment centers in North San Jose, Santa Clara, Sunnyvale, and Mountain View. This line would also serve Levi’s Stadium, reducing the need for special event trains. Staff is also continuing to study the potential for an express service on part of this line. ‒ The existing Winchester to Mountain View line would be modified to a Winchester to Old Ironsides line. The frequency of this service would improve from the current 15minute peak hour/30-minute midday frequencies to 15-minute frequencies all day. ‒ The Commuter Express, which currently operates three trips each peak period between Santa Teresa and Baypointe, would operate from Santa Teresa to St. James Station and be expanded to six trains each peak period, instead of the current three, using the same resources. ‒ No changes are proposed for the existing Santa Teresa to Alum Rock line and the

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7.4

existing Almaden Service. ‒ Signage and wayfinding improvements, including renaming the light rail lines to coincide with their colors (Orange, Blue, Green, Purple, Yellow) and renaming of two stations. Montague light rail station will become Milpitas light rail station, and I-880/Milpitas light rail station will become Alder light rail station. FREQUENT BART CONNECTIONS What we heard: The community reiterated the importance of BART service in the county and expressed a desire for convenient transit connections to BART service. The draft plan includes frequent connecting service at the Milpitas and Berryessa transit centers, ensuring that riders would have a range of transit options to connect with BART trains (see Attachment D for an illustration of transit connections at the two transit centers). The Milpitas and Berryessa transit centers would feature an array of connecting services: ‒ A new light rail line between Alum Rock and Mountain View, discussed above, that would provide a direct BART connection for Alum Rock, Santa Clara, Sunnyvale, and Mountain View destinations (every 15-minutes all day). ‒ A redesigned and improved DASH service, renamed Route 500, would provide a direct service with more frequency, longer spans of service, and a larger service area that would include the Berryessa BART station. As an expanded route with new regional connections, Route 500 would be a standard fare route. Route 500 trips would be timed to meet BART trains at the Berryessa BART station and provide fast and direct service into downtown San Jose and Diridon Station (trips timed to meet every BART train). ‒ Today’s Airport Flyer Route 10 would be upgraded to become a new frequent Route 60 that would provide a direct connection between the Milpitas transit center’s BART trains and Mineta San Jose International Airport, Santa Clara Caltrain Station, Valley Fair/Santana Row, and the Winchester corridor (every 15-minutes all day). As a new countywide frequent route, Route 60 would be a standard fare route, with the exception of boardings at the airport, which would be fare-free. ‒ Rapid 523, a new Rapid service between Berryessa BART, downtown San Jose (via King Road and Alum Rock Avenue), San Carlos Street, Stevens Creek Boulevard, Sunnyvale-Saratoga Road, downtown Sunnyvale, and Lockheed Martin via Mathilda Avenue (every 15-minutes all day). ‒ A new Route 20 that would serve north San Jose, Santa Clara, Sunnyvale, and Mountain View (every 15-minutes peak and 30-minutes midday). ‒ Additional bus routes from the Milpitas and/or Berryessa BART stations: o Route 47 would serve Milpitas (every 30-minutes all day). o Route 66 would serve Milpitas, Oakland Road, downtown San Jose, and Monterey Highway (every 15-minutes all day). o Route 77 would serve both Milpitas and Berryessa BART stations, plus Lundy

Page 4 of 10

7.4

o

o o o

Avenue, King Road, and the Eastridge Transit Center (every 15-minutes all day). Route 70 would serve both Milpitas and Berryessa BART stations, plus southern Milpitas, Jackson Avenue, and the Eastridge Transit Center (operating every 15 or 30 minutes all day, depending on route segment). Route 71 would serve Piedmont Road, White Road, and the Eastridge Transit Center (every 30-minutes all day). Route 61 would serve Berryessa Road and West San Jose via Taylor Street, Naglee Avenue, and Bascom Avenue (every 15-minutes all day). AC Transit’s Route 217 would serve Milpitas and Fremont BART via Mission Boulevard (every 30-minutes all day).

SIMPLIFIED FAMILY OF SERVICES What we heard: The community expressed frustration in understanding and using VTA’s complex transit network. The draft plan features a simplified family of transit services that would make service easier to understand and use (see Attachment E). The new family of services would establish a strong hierarchy of transit service and a clear structure to complement VTA’s new brand: ‒ Light rail, featuring 7-day a week service every 15-minutes ‒ Rapid bus, featuring 7-day a week service every 15-minutes, with limited stops ‒ Frequent bus, featuring 7-day a week service every 15-minutes, with local stops ‒ Local bus, featuring weekday service every 30-minutes, with local stops ‒ Express bus, featuring peak-only commuter service on weekdays The draft plan also proposes discontinuing Community Bus as a distinct service class and fare. The Community Bus fare was established in 2007 because the Community Bus routes were serviced by light duty gasoline-fueled cutaway vehicles (which were significantly cheaper to acquire) and because the bus operators assigned to Community routes were paid less than operators assigned to regular routes. Neither of these cost differentials apply today; VTA operates our regular transit buses on all Community routes and all operators are paid the same wage regardless of the route they operate. Therefore, the draft plan incorporates routes previously classified as Community routes into the Local Bus class. REGIONAL CONNECTIONS What we heard: The community expressed a desire for better connections with other regional transit services to expand mobility beyond Santa Clara County. The draft plan would enhance regional mobility by improving connections with the Bay Area’s regional transit network. Better regional connections would be achieved by 1) improving the

Page 5 of 10

7.4

frequency of VTA routes that connect to the regional transit network, thereby reducing transfer wait times, and 2) introducing new VTA routes that connect to the regional transit network. Some of the improved regional connections include: ‒ Numerous Frequent routes that would serve the Milpitas and Berryessa BART stations. ‒ A new light rail Orange Line that would offer direct service between Alum Rock and Mountain View, serving Milpitas BART, Mountain View Caltrain, and ACE/Capitol Corridor at Great America Station. ‒ A new cross-county Frequent route that would offer a direct connection between Milpitas BART, San Jose International Airport, Santa Clara Caltrain, light rail, and Valley Fair/Santana Row (Route 60). ‒ Improved service frequencies at Diridon Station for routes connecting to MontereySalinas Transit Route 55 to Monterey and the Highway 17 Express to Santa Cruz. ‒ New Rapid 523 service that would connect Sunnyvale Caltrain to Lockheed Martin transit center, De Anza College, and the Stevens Creek/San Carlos/Santa Clara/Alum Rock corridors. ‒ A revised and more frequent downtown San Jose DASH shuttle that would offer frequent connections at Diridon Station and the Berryessa BART station (Route 500). ‒ New routes at Milpitas BART that would offer connections with AC Transit’s Route 217 (previously connecting at the Great Mall Transit Center). FOCUS SERVICE NEAR TRANSIT-SUPPORTIVE DEVELOPMENT What we heard: Community members understood the land use and transportation connection and expressed a desire for transit to support dense, walkable, and sustainable development. Transit, land use, and the street grid form an interrelated trio of features that work together to produce sustainable communities where residents can adopt transit-oriented lifestyles. The draft plan focuses transit resources in areas with a street grid and land use pattern that support transit and where it would achieve the greatest ridership per dollar spent. These transit-supportive areas, often in dense cores, along corridors, and around station areas, would benefit from additional transit service as part of a robust frequent transit network. By establishing a frequent transit network where cities could focus dense, transit-oriented development, cities could accommodate future growth while minimizing new auto trips. In turn, additional growth along the frequent network would generate additional ridership on the transit network, continuing the mutually beneficial cycle of transit-supportive land use and transit productivity. MORE RESIDENTS AND JOBS ON THE FREQUENT TRANSIT NETWORK

Page 6 of 10

7.4

What we heard: Today’s transit network tries to go too many places and transit is spread too thin, service doesn’t come very often, and therefore transit trips take too long. The community expressed a desire for transit to focus on transit-supportive areas. As outlined in the project’s Transit Choices Report released in early 2016, a transit network maximizes ridership by maximizing the total number of residents and jobs on a frequent network of transit services (i.e. getting more people to more places in less time). The draft plan aims to maximize the number of residents and jobs on a network of frequent transit routes in the most transit-supportive areas of the county by taking more residents to more places in the same amount of time, which is a central theme of high ridership transit networks. PARATRANSIT SERVICE AVAILABILITY What we heard: High-quality paratransit service options are critical to valley residents. The draft plan features a redesigned fixed-route transit network which would impact VTA’s federal requirements regarding complementary paratransit service. Some network changes would increase VTA’s paratransit service obligations, such as new service in previously-unserved geographic areas or an expansion of the hours of service availability in evenings and on weekends. Conversely, some network changes would reduce VTA’s paratransit obligations, such as geographic areas that would lose fixed route service entirely. The net impact of the draft plan’s fixed route network on paratransit service has not been fully analyzed yet, and VTA staff will engage the VTA Committee for Transportation Mobility and Accessibility (CTMA) in developing a recommended paratransit policy strategy for adoption with the final transit service plan. In advance of Board adoption of a paratransit policy, the draft plan includes a recommendation to minimize service impacts for all existing paratransit customers in the county so that paratransit users are not negatively impacted by the new transit service plan. IMPROVED SERVICE TO LOW INCOME AND MINORITY RESIDENTS What we heard: VTA should pay particular attention to the transit needs of low income and minority residents. The draft plan includes elements to increase transit service available to low income and minority residents. As outline in VTA’s Title VI program, staff paid particular attention to the location and travel needs of low income and minority residents during the planning process to develop the draft plan. In Santa Clara County, low income and minority residents tend to reside in areas that are already transit supportive (featuring dense, mixed land uses and a strong street grid). The draft plan’s emphasis on expanding service in transit-supportive areas work hand-in-hand with the goal of improving service for low income and minority residents. Staff also enlisted the expertise of an independent consultant to conduct a preliminary Title VI equity analysis. The preliminary Title VI analysis concluded that the draft plan does not impose a disparate impact on minority populations or a disproportionate burden on low income populations. Staff will continue to include Title VI equity considerations as part of the planning process to revise the draft plan into the final transit service plan. A full Title VI service equity analysis will be conducted on the final transit service plan and the results will be presented with the final plan.

Page 7 of 10

7.4

EXPANDED WEEKEND SERVICE What we heard: The community expressed frustration with VTA’s limited transit options on weekends, particularly those residents who work in the service and retail sectors. The draft plan aims to increase the amount of transit service provided on weekends, particularly on the core network of frequent routes. Compared to VTA’s current transit network, the draft plan provides 9% more service on Saturdays and 7% more service on Sundays. For example, VTA’s transit network today provides no service to Alviso on Saturdays or Sundays. Under the draft plan, Alviso would have 15 hours of service on Saturdays and 11 hours of service on Sundays. By providing a more useful 7-day transit network, more residents could adopt a transit-oriented lifestyle. BETTER NORTH-SOUTH CONNECTIONS IN WEST VALLEY What we heard: West Valley residents and workers expressed a desire for more frequent transit service, particularly north-south service. Effective transit networks utilize a grid of intersecting frequent routes to create the possibility of travel anywhere within the grid, as demonstrated by the success of East San Jose’s strong grid network of frequent routes. The draft plan introduces new north-south frequent service in West Valley’s strongest corridors. These new frequent corridors include: ‒ A Frequent 57 route on the Saratoga/Kiely/Bowers/Great America corridor, every 15minutes on weekdays and 20-minutes on weekends. ‒ Improved service on Frequent route 60 along the Winchester corridor, every 15minutes on weekdays and every 20-minutes on weekends. ‒ A new Rapid 523 route along the Mathilda/Sunnyvale-Saratoga/Hollenbeck corridor between De Anza College and the Lockheed Martin transit center, every 15-minutes every day (including weekends). SCHOOL SERVICE What we heard: Many communities rely on VTA service for youth school trips. Many schools are located near fixed-route service, and VTA plays a role in getting these students to and from school. VTA’s school service takes the form of additional vehicles added to routes near schools, timed to the school bell times, to ensure students are well-served. The draft plan continues VTA’s program to provide supplementary school trips at the same level as today, about 46,000 annual service hours (3% of VTA’s total annual bus service hours). The draft plan includes four cases where VTA would scale back an existing all-day fixed route to a schedule focused on school bell times. These four routes have low ridership today and would otherwise have been discontinued under the draft plan’s shift to a more ridership-oriented network. Instead, these four routes have been scaled back to operate at school bell times only: ‒ Route 88 in Palo Alto would be converted to special service (Route 288), for Gunn

Page 8 of 10

7.4

High School, Kehillah Jewish High School, Palo Verde Elementary School, Hoover Elementary School, and Jane Lathrop Stanford Middle School. ‒ Route 82 in Willow Glen would be converted to special service (Route 282), for Willow Glen High School and Willow Glen Elementary School. ‒ Route 46 in Milpitas would be converted to special service (Route 246), for Milpitas High School. ‒ Route 16 in Morgan Hill would be converted to special service (Route 216), for Sobrato High School, Live Oak High School, and Lewis Britton Middle School. VTA EXPRESS SERVICE VTA’s twelve Express routes were not studied as part of this project. However, a dedicated Express service redesign project will be conducted following adoption of the final transit service plan in 2017. Therefore, the draft plan does not make recommendations for VTA’s Express routes, except for the routes that currently serve Fremont BART (Express routes 120, 140, 180, and 181). As the only VTA routes that provide service outside of Santa Clara County, the four Express routes that currently serve Fremont BART would all be replaced by the BART Phase 1 extension: ‒ Express 120 to Lockheed Martin/Moffett Park (6 AM and 6 PM trips) would be replaced by the new Orange light rail line (every 15-minutes all day) and the BART extension to Milpitas. ‒ Express 140 to Mission College and Montague Expressway (3 AM and 3 PM trips) would be replaced by a new Frequent route 20 (every 15-minutes peak and 30-minutes midday) and the BART extension to Milpitas. ‒ Express 180 to Milpitas (and Eastridge on select peak trips) (every 30-minutes) would be replaced by the BART extension to Milpitas (and Frequent route 77 every 15-minutes). ‒ Express 181 to downtown San Jose (every 15-minutes) would be replaced by Rapid route 500 (timed to meet every BART train at Berryessa Station), and the BART extension to Berryessa Station. ‒ Express 101, 102, 103, 104, 121, 122, 168, 182: no change; service remains as it is today. RELATIONSHIP TO FARE STUDY The draft plan utilizes a grid network of frequent routes to expand the range of trips possible on the transit network, however VTA’s current fare structure discourages the transfers that would

Page 9 of 10

7.4

unlock the ridership benefits of the grid. Concurrent with the project, VTA staff will separately engage the Board in discussions and development of revised fare policies that would complement the new transit service network. BUDGET Following VTA Board guidance, the draft plan represents an unchanged total amount of bus service, utilizing the same annual service hours as the most recent Board-approved service plan (the FY16-17 Transit Service Plan). The draft bus service plan is anticipated to be cost neutral, i.e., no increase in annual operating expenses directly related to the number of service hours. The light rail portion of the draft plan represents an increase in the total amount of service provided. The proposed light rail service plan is projected to increase operating costs by approximately $11 Million annually. Net costs after projected fares, would be approximately $8 Million annually. ALTERNATIVES: Alternatively, the Board could direct staff to defer release of the draft transit service plan or make modifications to the proposals contained within the draft service plan. FISCAL IMPACT: There is no direct fiscal impact related to approval of the draft transit service plan. However, subsequent adoption of the final transit service plan, currently scheduled for April 2017, could result in increased annual operating expenses of up to $11 Million ($8 Million net of projected fare revenues) depending on the level of light rail service ultimately approved. In addition, changes made to the draft bus service plan that result in a higher amount of overall service hours could result in increased annual operating expenses. Prepared by: Jason Tyree Memo No. 5840 ATTACHMENTS: 

Attachment A: System Map (PDF)



Attachment B: Route by Route List of Major Changes



Attachment C: Light Rail System Map (PDF)



Attachment D: BART Connections

(PDF)



Attachment E: Family of Services

(PDF)

(PDF)

Page 10 of 10

AC217

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7.4.a

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Attachment A: System Map

12/29/2016

Route-By-Route List of Major Changes in DraŌ Plan

A achment B Rou ng Change

Weekday

Saturday

Sunday

Frequency Change

Span

Peak

Midday

Span

Frequency

Span

Frequency

●

7-8am, 2-4pm

30 min

—

—

—

—

—

VTA Bus Lines

Proposed Change

10

Metro/Airport LRT Sta on - Santa Clara Transit Center

Combine with new Route 60, which would connect Mineta San Jose Airport to Milpitas BART Sta on, Santa Clara Caltrain Sta on, Valley Fair, Santana Row and Downtown Campbell.

12

Eastridge Transit Center - San Jose Civic Center

Discon nue; current riders may use revised Route 61 or Route 77.

13

Ohlone/Chynoweth LRT Sta on - Almaden/McKean

Discon nue due to low ridership.

14

Gilroy Transit Center - St. Louise Hospital

Discon nue and replace with new Route 96, which serves Route 14 des na ons and other areas of Gilroy.

16

Morgan Hill Civic Center - Burne Avenue

Scale back to school-oriented service (to be called Route 216) for Sobrato High School, Live Oak High School and Lewis Bri on Middle School

17

Gilroy Transit Center - St. Louise Hospital

Discon nue and replace with new Route 96, which serves Route 17 des na ons and other areas of Gilroy.

18

Gilroy Transit Center - Gavilan College

Renumber to Route 97; decrease frequency on weekdays, add service on weekends.

19

Gilroy Transit Center - Wren and Marshall

Discon nue; replace with new Route 96, which serves Route 19 des na ons and other areas of Gilroy.

20

Downtown Mountain View - Milpitas BART Sta on

Create new Route 20 that would connect Milpitas BART Sta on, Mission College, Santa Clara Square, Downtown Sunnyvale and Downtown Mountain View. New Route 20 would provide service to areas currently served during commute periods by parts of Routes 58, 321 and 304.

New

6am - 10pm

15 min

30 min

—

—

—

—

New

6am - 10pm

30 min

30 min

8am - 8pm

45 min

9am-8pm

60 min

●

24 hours

15 min

15 min

24 hours

15 min

24 hours

15 min

Palo Alto Transit Center - Santa Clara Caltrain Sta on

Create new Route 21 that would connect Downtown Palo Alto with San Antonio Transit Center, Downtown Mountain View, Downtown Sunnyvale and Santa Clara Caltrain Sta on. New Route 21 would replace current Routes 32 and 35.

22

Palo Alto Transit Center - Eastridge Transit Center

Decrease weekday frequency; increase frequency on Route 522 (to be implemented in April 2017).

23

De Anza College - Alum Rock Transit Center

Change rou ng on east end to serve White Road in East San Jose. Decrease frequency from 12 to 15 minutes on Route 23 and ;increase frequency on Route 523.

●

●

5am - 12am

15 min

15 min

6am - 12am

15 min

6am - 12pm

15 min

25

De Anza College - Alum Rock Transit Center

Change rou ng on east end to no longer serve White Road in East San Jose. Decrease weekday frequency and increase Sunday frequency.

●

●

6am - 12pm

12 min

12 min

6am - 12pm

15 min

6am - 12pm

15 min

26

Lockheed Mar n Transit Center - Eastridge Transit Center

Split into two separate routes. Revised Route 26 would connect West Valley College and Eastridge Transit Center; frequency would increase on weekdays and weekends. New Route 56 would connect Lockheed Mar n and Winchester Transit Centers.

●

●

6am - 12pm

15 min

15 min

7am - 12pm

20 min

8am - 11pm

20 min

●

●

6am - 10pm

30 min

30 min

7am - 10pm

30 min

8am - 8pm

60 min

●

●

7am - 10pm

30 min

30 min

7am - 7am

45 min

9am - 6pm

45 min

●

●

6am - 10pm

30 min

30 min

7am - 9pm

30 min

8am - 8pm

30 min

●

●

7am - 6pm

30 min

60 min

—

—

—

—

7am - 10pm

30 min

30 min

—

—

—

—

6am - 8pm

30 min

30 min

9am - 6pm

60 min

—

—

6am - 10pm

30 min

30 min

8am - 9pm

30 min

8am - 8pm

30 min

6am - 10pm

30 min

30 min

7am - 10pm

30 min

8am - 9pm

30 min

6am - 11pm

15 min

15 min

7am - 11pm

20 min

8am - 10pm

20 min

27

Good Samaritan Hospital - Kaiser San Jose

Extend to Winchester Transit Center via Los Gatos Boulevard, Highway 9 and Winchester Boulevard; increase frequency on weekdays and Saturdays.

31

Evergreen Valley College - Eastridge Transit Center

Discon nue; replace with part of new Route 76 (formerly Route 42).

32

San Antonio Shopping Center - Santa Clara Transit Center

Discon nue; replace with new Route 21.

34

San Antonio Shopping Center - Downtown Mountain View


35

Stanford Shopping Center - Downtown Mountain View

Discon nue; replace with new Route 21.

37

West Valley College - Capitol Light Rail Sta on

Discon nue due to low ridership; current riders may use new Route 26.

39

Eastridge Transit Center - The Villages

Renumber to Route 93; decrease peak period frequency.

40

Foothill College - Downtown Mountain View

Extend Route 40 along Shoreline Boulevard to connect with Mountain View Transit Center; increase Sunday frequency.

42

Kaiser San Jose - Evergreen Valley College

Renumber to Route 76; change rou ng between Capitol Expressway and Evergreen College to serve Eastridge Transit Center and current Route 31. Increase weekday frequency. Discon nue segments with low ridership.

45

Penetencia Creek Transit Center - Alum Rock Transit Center


46

Great Mall Transit Center - Milpitas High School

Scale back to school-oriented service (to be called Route 246) between Milpitas High School and Landess/ Yellowstone. Current riders may use Route 47.

47

Milpitas BART Sta on - McCarthy Ranch

Reroute Main Street segment to McCarthy Boulevard; route becomes a two-way loop. Increase Sunday frequency.

48

Downtown Los Gatos - Winchester LRT Sta on

Discon nue and replace with revised Route 27; increase frequency on Route 27.

49

Downtown Los Gatos - Winchester LRT Sta on

Discon nue and replace with revised Route 27; increase frequency on Route 27.

51

Moffe Field - De Anza College

New number for Moffe Field to De Anza College por on of current Route 81; decrease frequency in this sec on and discon nue Saturday service.

52

Foothill College - Downtown Mountain View

No Changes

53

Downtown Sunnyvale - Santa Clara Caltrain Sta on

Change rou ng to serve Vallco Mall and Santa Clara Caltrain Sta on instead of West Valley College; this change replaces part of current Route 81. Increase frequency on weekdays.

54

Lockheed Mar n Transit Center - De Anza College

Discon nue Route 54; add more frequent new Rapid 523 service on Mathilda Avenue/De Anza Boulevard corridor.

55

De Anza College - Old Ironsides LRT Sta on

Change rou ng between Downtown Sunnyvale and Remington Avenue from Fair Oaks Avenue to Sunnyvale Avenue; decrease weekday peak period frequency and increase Sunday frequency.

56

Lockheed Mar n Transit Center - Winchester LRT Sta on

Create new Route 56, which would connect Lockheed Mar n Transit Center to Downtown Sunnyvale, Vallco Mall, Downtown Campbell and Winchester Transit Center.

57

West Valley College - Old Ironsides LRT Sta on

Increase weekday and Saturday frequency.

No changes ●

●

● New ●

7.4.b

21

A achment B Rou ng Change

VTA Bus Lines (Con nued)

Proposed Change

58

West Valley College - Alviso

Discon nue; current riders may use Routes 57, 59, 20 and 26.

59

Baypointe Light Rail Sta on - Santa Clara Caltrain Sta on

Create new Route 59, which would connect Santa Clara Caltrain Sta on, Mission College, Alviso and Baypointe Light Rail Sta on. New Route 59 would cover segments of discon nued Route 58 and revised Route 60.

60

Downtown Campbell - SJC Airport - Milpitas BART Sta on

Combine with Route 10 to create new Route 60, which would connect Mineta San Jose Airport to Milpitas BART Sta on, Santa Clara Caltrain Sta on, Valley Fair, Santana Row and Downtown Campbell. Increase weekend frequency.

Good Samaritan Hospital - Berryessa BART - Sierra/Piedmont

Change rou ng from Mabury Road to Berryessa Road between Berryessa BART Sta on and Piedmont Road. Increase frequency on weekdays, Saturdays and Sundays.

62

Good Samaritan Hospital - Sierra/Piedmont

Discon nue; current riders may use Route 61.

63

Almaden Expressway/Camden - San Jose State University

64

Almaden LRT Sta on - McKee/White

65

Kooser/Blossom Hill - 13th/Hedding

Discon nue due to low ridesrhip; current riders may use Route 61, 63 or 66.

66

Milpitas/Dixon - Kaiser San Jose

Change rou ng to serve Milpitas BART Sta on; increase weekday frequency.

68

San Jose Diridon Sta on - Gilroy Transit Center

Decrease midday frequency on Santa Teresa Light Rail Sta on to Gilroy Caltrain Sta on segment.

70

Capitol LRT Sta on - Berryessa BART - Milpitas BART

Change northern end from Great Mall Transit Center to Milpitas BART Sta on, change rou ng to connect to Berryessa BART Sta on. Discon nue service between Eastridge Transit Center and Capitol Light Rail Sta on, some riders in that segment may use Routes 76, 72 or 26.

●

61

Frequency Change

Weekday

Saturday

Sunday

Span

Peak

Midday

Span

Frequency

Span

Frequency

6am - 10pm

30 min

30 min

7am - 10pm

30 min

8am - 6pm

60 min

●

5am - 11pm

15 min

15min

5am - 11pm

20 min

5am - 11pm

20 min

●

6am - 11pm

Change southern end from Almaden Expressway/Camden Avenue to Meridian Avenue/Blossom Hill Road.

●

6am - 10pm

Change downtown rou ng.

●

6am - 11pm

New

●

15-30 min 15-30 min 7am - 11pm

30 min

30 min

20-40 min

8am - 10pm 20-40 min

8am - 7pm

60 min

9am - 6pm

60 min

15-30 min 15-30 min 7am - 11pm

30 min

7am - 11pm

30 min

●

5am - 11pm

15 min

15-30 min 6am - 11pm

20 min

6am - 11pm

20 min

●

5am - 11pm

15 min

15-30 min

20 min

5am - 11pm

20 min

6am - 11pm

5am-11pm

15-30 min 15-30 min 7am - 11pm

20-40 min

7am - 10pm 20-40 min

71

Milpitas BART Sta on - Eastridge Transit Center

Change northern end from Great Mall Transit Center to Milpitas BART Sta on; decrease weekday peak period service and increase Sunday service.

●

●

6am - 10pm

30 min

30 min

7am - 10pm

30 min

8am - 9pm

30 min

72

Downtown San Jose - Senter/Monterey

Extend to Capitol Light Rail Sta on; increase frequency on Saturday and Sunday.

●

●

6am - 11pm

15 min

15 min

7am - 11pm

20 min

8am - 11pm

20 min

73

Downtown San Jose - Berryessa BART - Snell/Capitol

Change southern end from Capitol Expressway/Snell to Monterey Road/Branham Road; increase weekend frequency.

●

●

6am - 11pm

15 min

15 min

7am - 11pm

20 min

8am - 11pm

20 min

76

Monterey/Branham - Evergreen College

Create new Route 76 to replace Routes 42 and 31.

●

●

6am - 10 pm

30 min

30 min

8am - 7pm

60 min

9am - 6pm

60 min

77

Milpitas BART Sta on - Eastridge Transit Center

Change northern end from Great Mall Transit Center to Milpitas BART Sta on; change southern end of route to access Eastridge Transit Center via Tully Road rather than Rigole o Drive. Change rou ng to connect to Berryessa BART Sta on. Increase weekday, Saturday and Sunday frequencies.

●

●

6am - 11pm

15 min

15 min

7am - 11pm

20 min

7am - 10pm

20 min

●

7-8am, 2-4pm

30 min

—

—

—

—

—

7am - 6pm

60 min

60 min

9am - 6pm

60 min

9am - 6pm

60 min

7am - 6pm

60 min

60 min

9am - 6pm

60 min

9am - 6pm

60 min

7am - 10pm

30 min

30 min

—

—

—

—

81

Moffe Field - Downtown San Jose

Discon nue; replace Moffe Field to De Anza College segment with new Route 51. Replace De Anza College to Santa Clara Caltrain Sta on segment with revised Route 53.

82

Westgate - Downtown San Jose

Scale back to school trips (to be called Route 282) serving Willow Glen High School. Alterna ves include Routes 66, 68, 56.

88

Palo Alto VA Hospital - Middlefield/Colorado

Scale back to school trips (to be called Route 288) serving Gunn High School, Kehillah Jewish High School, Palo Verde Elementary School, Hoover Elementary School, Jane Lathrop Stanford Middle School.

89

California Avenue Caltrain Sta on - Palo Alto VA Hospital


93

Eastridge Transit Center - The Villages

New number for Route 39; decrease weekday peak period frequency.

New

96

Gilroy Caltrain Sta on - St. Louise Hospital - Gilroy Plaza

New two-way loop route in Gilroy; replaces Routes 14, 17 and 19.

New

97

Gilroy Caltrain Sta on - Gavilan College

Renumbered from Route 18

101

Camden/Highway 85 - Palo Alto

No changes proposed.

No changes

2 trips each peak period

—

—

—

—

102

South San Jose - Palo Alto


No changes


—

—

—

—

103

Eastridge Transit Center - Palo Alto


No changes


—

—

—

—

No changes


—

—

—

—

●

Penetencia Creek Transit Center - Palo Alto

Change eastern end to serve Milpitas BART Sta on rather than Great Mall Transit Center.

Fremont BART - Lockheed Mar n Transit Center/Shoreline

Discon nue due to extension of BART to Santa Clara County.

121

Gilroy Transit Center - San Jose Diridon Sta on


No changes


—

—

—

—

122

South San Jose - Lockheed Mar n Transit Center


No changes

1 trip each peak period

—

—

—

—

140

Fremont BART Sta on - Mission College/Montague


168

Gilroy Transit Center - San Jose Diridon Sta on


No changes


—

—

—

—

180

Fremont BART Sta on - Great Mall - Eastridge


181

Fremont BART - San Jose Diridon Sta on


182

Palo Alto - Baily Road/IBM


No changes

1 trip each peak period

—

—

—

—

185

Gilroy Caltrain Sta on - Shoreline - San Antonio

Create new express route between Gilroy Transit Center and North Bayshore in Mountain View (to be implemented in January 2017).

No changes


—

—

—

—

7.4.b

104 120

A achment B

VTA Bus Lines (Con nued)

Proposed Change

Rou ng Change

Frequency Change

Weekday Span

Peak

Saturday Midday

Span

Sunday

Frequency

Span

Frequency

216

Sobrato High School - Main/Hale

School-oriented service

●

7-8am, 2-4pm

30 min

—

—

—

—

—

246

Milpitas High School - Yellowstone/Landess


●

7-8am, 2-4pm

30 min

—

—

—

—

—

282

Willow Glen High School - Tamien Sta on - Monterey/Alma


●

7-8am, 2-4pm

30 min

—

—

—

—

—

288

Gunn High School - North Palo Alto


●

7-8am, 2-4pm

30 min

—

—

—

—

—

304

South San Jose - Sunnyvale Transit Center

Discon nue due to low ridership; some current riders may use Routes 66, 68 or 20.

321

Great Mall - Lockheed Mar n Transit Center - Moffe Park

Discon nue due to low ridership; current riders may use new Route 20.

323

De Anza College - Downtown San Jose

Upgrade to Rapid 523 and extend western end to Lockheed Mar n Transit Center and eastern end to Berryessa BART Sta on; increase frequency on Rapid 523.

4am - 12am

8 min

15 min

6am - 12am

15 min

8am - 12am

20 min

5am - 11pm

12 min

12 min

6am - 11pm

15 min

6am - 9pm

15 min

5am - 10pm

15 min

15 min

6am - 10pm

15 min

7am - 9pm

15 min

328

Almaden/Via Valiente - Lockheed Mar n Transit Center


330

Almaden/Via Valiente - Lockheed Mar n Transit Center


500

Diridon Sta on - Berryessa BART Sta on

Replaces DASH shu le; connects Diridon Sta on to San Jose State University and Berryessa BART Sta on; increase frequency on Rapid 500.

522

Palo Alto Transit Center - Eastridge Transit Center

Increase weekday frequency (to be implemented in April 2017).

523

Lockheed Mar n Transit Center - Berryessa BART Sta on

Create new Route 523 which would connect Lockheed Mar n Transit Center, Downtown Sunnyvale, De Anza College, Vallco, Valley Fair, Santana Row, Downtown San Jose, Mexican Heritage Plaza and Berryessa BART Sta on; increase frequency.

DASH

New ● New

Diridon Sta on - Downtown San Jose - San Jose State University Discon nue; replace with Rapid 500.

VTA Light Rail Lines

Weekday

Saturday

Sunday

Rou ng Change

Frequency Change

Span

Peak

Midday

Span

Frequency

Span

Frequency

●

●

5am - 12am

15 min

15 min

6am - 12pm

15 min

6am - 12pm

15 min

Green

Old Ironsides LRT Sta on - Winchester LRT Sta on

Change name to Green Line. Change northern end to Old Ironsides Light Rail Sta on; increase frequency to 15 minutes all day.

Blue

Alum Rock Transit Center - Santa Teresa LRT Sta on

Change name to Blue Line.

No changes

5am - 1am

15 min

15 min

5am - 1am

15 min

5am - 1am

15 min

Purple

Almaden LRT Sta on - Ohlone/Chynoweth LRT Sta on

Change name to Purple Line.

No changes

6am - 10pm

15 min

15 min

8am - 10pm

15 min

8am - 10pm

15 min

15 min

15 min

Orange Mountain View Transit Center - Alum Rock Transit Center

Create new Orange Line to connect Downtown Mountain View with Alum Rock Transit Center; operate at 15-minute frequency all day. Poten al express service under review.

Yellow

Change name to Yellow Line. Change northern end from Baypointe Light Rail Sta on to St. James Light Rail Sta on; increase peak period frequency.

Downtown San Jose - Santa Teresa LRT Sta on

New ●

●


15 min —

—

15 min —

—

7.4.b

Routes Listed by City/Town

A achment B

VTA Bus and Light Rail Routes Campbell

26, 27, 37, 48, 49, 56, 60, 61, 62, 82, 101, 328, 330, Green

Cuper no

23, 25, 26, 51, 53, 54, 55, 56, 81, 101, 182, 323, 523

Gilroy

14, 17, 18, 19, 68, 96, 97, 121, 168, 185

Los Altos

22, 40, 51, 52, 81, 522

Los Altos Hills Los Gatos

27, 48, 49

Milpitas

20, 46, 47, 60, 66, 70, 71, 77, 104, 140, 180, 181, 246, 321, 330, Blue

Monte Sereno Morgan Hill

16, 68, 121, 168, 185, 216

Mountain View

20, 21, 22, 32, 34, 35, 40, 51, 52, 81, 120, 185, 522, Green, Orange

Palo Alto

21, 22, 35, 88, 89, 102, 103, 104, 182, 288, 522

San Jose

10, 12, 13, 20, 22, 23, 25, 26, 27, 31, 32, 37, 39, 42, 45, 49, 56, 57, 58, 59, 60, 61, 62, 63, 64, 65, 66, 68, 70, 71, 72, 73, 76, 77, 81, 82, 93, 101, 102, 103, 104, 122, 140, 168, 180, 181, 182, 185, 282, 304, 321, 323, 328, 330, 500, 522, 523, Blue, DASH, Green, Orange, Purple, Yellow

Santa Clara

10, 20, 21, 22, 23, 32, 53, 55, 57, 58, 59, 60, 81, 121, 140, 304, 321, 328, 330, 522, Green, Orange

Saratoga

37, 53, 57, 58

Sunnyvale

20, 21, 22, 26, 32, 53, 54, 55, 56, 120, 121, 122, 304, 321, 328, 522, 523, Green, Orange

7.4.b

Attachment C: Light Rail System Map

7.4.c

Next Network Draft Plan BART Station Service (Attachment D)

7.4.d

Milpitas Fremont

LR

e T 15mvery in

7 21 ery

ev min 30

47 y

66

ever in 30m

every 30min

Rapid Bus Frequent Bus Local Bus Light Rail

47

ev 30mery in

N W

E S

MILPITAS TRANSIT CENTER

every 20 30min

RT

Downtown San Jose

71

ery ev 5min 1

60

e 15mvery L in

e 30mvery in

West Valley

very in e every m 15min every everyin 7.5 T m 15min 30 LR 6

6

70

77

East San Jose

trains 42 departing & buses per hour

Milpitas 77 70

every eve 15min 30mriny

61

Rapid Bus Frequent Bus Local Bus Light Rail

Berryessa

e 30 ver y min

N W

E S

West Valley

BERRYESSA TRANSIT CENTER

every 61 15min

50

ry eve min 15

0

Downtown San Jose

e 15mver y 5 in

West Valley

23

every 15min

77

ry eve min 5 1

70

East San Jose

buses 28 departing per hour

VTA’s Service Hierarchy

Light Rail Rapid Frequent Local

Express

Frequent Trains All Day • Every 15 minutes • Wide stop spacing

• 7 days a week

Fast, Frequent, Reliable • Every 15 minutes • Wide stop spacing

• 7 days a week

Show Up and Go Service • Every 15 minutes • Local stop spacing

• 7 days a week

FREQUENT NETWORK

(Attachment E)

Neighborhood Connections • Every 30-60 minutes • Local stop spacing

• 5-7 days a week

Peak Period Commuter Service • Weekday mornings & evenings • Freeway & expressway based routes

7.4.e

Draft Transit Service Plan January 5, 2017

Next Network Project Goals 1

2

Next Network Project Goals 2

3

3

Project Schedule

4

Summer 2016 Community Engagement

• • • • •

• • •

•

5

85/15 Ridership/Coverage Balance

6

Bascom

Winchester

Bowers

Theme: Frequent Grid

7

Theme: More Rapid Service

/

8

Theme: More Residents and Jobs on Frequent Network

9

Access for Current Riders

10

Theme: Weekend Service Increase

11

A Network of Layers: Service Categories

12

Proposed Transit Network

13

14

BART Connections - Milpitas Milpitas local service

Mission College Sunnyvale Mountain View

Lundy Av. King Rd. Eastridge

15

BART Connections - Berryessa

Taylor St Naglee Av Bascom Av Santa Clara Co Med. Ctr. Pruneyard Good Samaritan Hosp.

16

Access Maps 30 min

45 min

60 min

Current

17,083

100,358

284,320

Proposed

44,025

142,246

378,221

Change

+158%

+42%

+33%

30 min

45 min

60 min

Current

19,274

112,375

276,344

Proposed

42,182

156,672

391,292

Change

+119%

+39%

+42%

17

Next Steps

18

Community Engagement •

• • • • •

19

Project Website

20

Questions

21

EXTRA SLIDES do not print

22

Related Efforts

• •

23

Related Efforts

24

25

26

27

28

29

30

31

32

33

34

35

36

37

38

39

40

41

42

43

44

45

46

47

48

49

7.5


January 5, 2017 January 5, 2017 January 5, 2017



THROUGH:


FROM:


SUBJECT:

Peninsula Corridor Electrification Project Funding Commitment



Resolution ACTION ITEM RECOMMENDATION: Adopt a resolution committing up to $65 million as additional contingency for the Peninsula Corridor Electrification Project from revenues projected to be available from current sales tax measures to help cover potential cost overruns and to ensure the execution of a Full Funding Grant Agreement for the project with the Federal Transit Administration (FTA). Authorize the General Manager or her designee to a execute an agreement with the funding partners that all funding partners equally share in meeting the obligations anticipated in this additional cost overrun contingency. Direct staff to participate as an active partner in the Project Risk Management team, to oversee project implementation and review and approve cost reports, consultant selections, etc. BACKGROUND: In 2012, the Peninsula Corridor Joint Powers Board (Caltrain)1, the Santa Clara Valley Transportation Authority (VTA) and seven other agencies (California High Speed Rail 1

The Peninsula Corridor Joint Powers Board is a partnership between the San Mateo County Transit District (SamTrans), the Santa Clara Valley Transportation Authority (VTA) and the City and County of San Francisco through the San Francisco Municipal Transportation Agency (SFMTA). This partnership owns, funds and operates Caltrain.


Authority, MTC, San Francisco County Transportation Authority, San Mateo County Transportation Authority, City of San Jose, City and County of San Francisco, and Transbay Joint Powers Authority) entered into a Memorandum of Understanding (MOU) for the High Speed Rail Early Investment Strategy for a Blended System in the San Francisco to San Jose Segment known as the Peninsula Corridor of the Statewide High-Speed Rail System. This nineparty MOU outlined financial contributions totaling $1.456 billion for two projects: the federally required Advanced Signal System/Positive Train Control and the Peninsula Corridor Electrification Program (PCEP) with the cost of the PCEP estimated at $1.225 billion. The PCEP will convert Caltrain from a diesel-based train service to a modernized electric rail system with high-performance trains that will provide faster and more frequent service to the Bay Area Region. The electrified system will also enable faster acceleration and shorter headways, allowing Caltrain to serve more riders at more stations with a more efficient service plan. This will also replace the majority of Caltrain’s current diesel locomotive fleet with environmentally friendly electric vehicles. To accomplish this, each of the Caltrain funding partners committed $60 million for the two projects and VTA separately committed an additional $27 million from Prop 1A Connectivity funds. In 2014, Caltrain conducted a cost estimate study to update the results of the previous cost estimate (performed in 2008) for the PCEP. The results of the revised cost estimate, inflation and additional project contingency resulted in an increase in the total anticipated PCEP budget to $1.98 billion and necessitated additional regional funding commitments to address a $524 million budget gap, after deductions were made for $230 million in Cap and Trade funding. As a result, the parties below entered into an MOU Supplement committing the following additional funding:  $20 million from VTA  $20 million from San Mateo County Transportation Authority (TA)  $20 million from the San Francisco County Transportation Authority/City and County of San Francisco (SFCTA/CCSF)  $113 million from the California High Speed Rail Authority  $28.4 million from Metropolitan Transportation Commission (MTC)  $9 million from Caltrain The parties further agreed that if overall program costs fell below the financial commitments outlined above, these commitments would be reduced proportionally according to their respective additional shares and if program costs exceeded the estimated $1.98 billion or if the project was awarded less than needed in grant funds, then all parties would discuss project scope adjustments and strategies to secure additional funding. Although the above contributions totaled $210.4 million, the parties also agreed that $125 million originally included for PCEP in the 2012 MOU would be utilized for immediate state-ofgood-repair projects to maintain existing Caltrain operations, increasing the budget gap from $524 million to $649 million. Caltrain is now seeking to close the funding gap with federal grant funding through the FTA’s Core Capacity Grant program. On September 14, 2016, Caltrain submitted a request for $649

Page 2 of 4

million in FTA’s Core Capacity funds. Since then, Caltrain has been working with FTA to secure the approval and execution of a Full Funding Grant Agreement (FFGA). In order to be awarded the FFGA, FTA notified Caltrain that it needed to provide an additional contingency equal to 10 percent of the project’s total budget of $1.98 billion (or approximately $200 million). This is in addition to the $316 million contingency currently included. FTA’s position was that the extra contingency was needed to ensure that any cost overruns or shortfalls in revenues could be covered without additional federal assistance. In response, VTA, the San Francisco Municipal Transportation Agency (SFMTA), the San Mateo County Transit District (SamTrans)/San Mateo County Transportation Authority (SMCTA), and the Metropolitan Transportation Commission (MTC) provided letters to FTA regarding each agency’s potential funding capacity for equivalent commitments of up to $50 million. On December 15, 2016, FTA informed Caltrain that an actual resolution committing these funds adopted by the governing boards for each of the funding partners would be required. The FTA is further requiring that the additional contingency funds committed by the partners be available to the PCEP without the need for further policy actions by their governing boards. DISCUSSION: In response to Caltrain’s application for grant funding for the PCEP project, the FTA is requiring the PCEP budget to include three types of contingency funding, as follows: 1. Allocated contingency for each of the Standardized Cost Categories (SCC) that reflects the risk for particular activities, such as real estate acquisition and rail car procurement. ($154 million) 2. Unallocated contingency based on FTA’s assessment of risk for the entire project. ($162 million) 3. Cost Overrun contingency of 10%. ( $200 million) The Cost Overrun contingency, which was not already contained in the project budget, is required for a successful FFGA application. This additional contingency would be utilized only in the event that the project costs exceed the existing line item and overall project contingencies. VTA has been working with Caltrain and the other partners funding PCEP and all parties are committed to maintaining controls to guard against and mitigate for potential cost overruns. Further, each of the PCEP funding partners will have opportunities to review and approve progress and cost reports, participate in consultant selection panels and proposal/bid reviews, and serve as members of the project’s Risk Management Team. The Metropolitan Transportation Commission, San Francisco County Transportation Authority, and San Mateo County Transportation Authority are bringing similar resolutions to their respective Boards. As a result, should the Board vote to approve a resolution committing up to an additional $65million in contingency funds for PCEP, there is sufficient funding in VTA’s dedicated sales tax measures to cover that commitment. Further, the General Manager, or her designee, would execute any necessary documents and take any additional actions necessary, to

Page 3 of 4

give effect to the above-referenced action. ALTERNATIVES: The Board of Directors could elect to not approve an additional commitment of funds for the PCEP. This action would result in FTA not sending Caltrain’s FFGA to Congress for the required 30-day review period before March 1, 2017. If the FFGA is not reviewed and signed by March 1, Caltrain staff will not be able to issue the Notice to Proceed and risks losing bids and financial penalties that would significantly increase the cost of the project. FISCAL IMPACT: This action is a guarantee for a cost overrun contingency. In the event this contingency is exercised, the amount expended would be based on VTA’s one quarter share of said contingency paid from dedicated sales tax revenue in that fiscal year. This would be achieved by using available contingency funds from completed projects and/or re-programing funds from projects no longer viable. Prepared by: Jim Lawson Memo No. 5965

Page 4 of 4

Revised Agenda Item 7.5.a7.5.a

RESOLUTION NO. ______________ A RESOLUTION OF THE BOARD OF DIRECTORS OF THE SANTA CLARA VALLEY TRANSPORTATION AUTHORITY COMMITTING UP TO $65 MILLION IN ADDITIONAL CONTINGENCY FUNDS FOR THE PENINSULA CORRIDOR ELECTRIFICATION PROJECT USING PROJECTED AVAILABLE REVENUE FROM VTA’S EXISTING SALES TAX MEASURES TO SUPPORT AND ENSURE EXECUTION OF A FULL FUNDING GRANT AGREEMENT WITH THE FEDERAL TRANSPORTATION ADMINISTRATION WHEREAS, it is the Peninsula Corridor Joint Powers Board's (JPB) goal to electrify the Caltrain railroad corridor and enter revenue service on the electrified rail line by 2021 with an estimated total budget for the Peninsula Corridor Electrification Project ("PCEP" or "Project") of $1.98 billion, including $316 million (approximately 16.5%) in overall Project contingency; and WHEREAS, the JPB has applied for inclusion in the Federal Transit Administration's (FTA) Core Capacity Grant program to receive funding for the PCEP, and has worked with FTA staff to prepare for approval of the Full Funding Grant Agreement (FFGA), the last phase of the Core Capacity Grant program; and WHEREAS, the FTA informed the JPB that the FTA required evidence that the JPB will have access to an additional 10% beyond the budgeted Project contingency to ensure that any cost over-runs or shortfall in revenues will be covered without additional federal assistance; and WHEREAS, the JPB sought, received, and provided to the FTA, letters from the Executive Directors of the Metropolitan Transportation Commission (MTC), and of the JPB member agencies – Santa Clara Valley Transportation Authority (VTA), the San Francisco Municipal Transportation Agency (SFMTA) and San Mateo County Transit District (SMCTD)/San Mateo County Transportation Authority (SMCTA) – indicating that each agency has available up to an additional directly proportional $50 million share of the funding plan gap to support the PCEP, beyond previously stated commitments to the Project; and WHEREAS, the FTA has informed the JPB that in order for the FTA to approve the FFGA, the JPB must provide Board of Directors resolutions evidencing the agencies' commitments to be held to this additional contribution, if needed; and WHEREAS, the JPB has put into place extensive controls to guard against cost over-runs, which include extensive and frequent opportunities for all PCEP funding partners to oversee PCEP implementation, such as through review and comment on progress and cost reports, participation in consultant selection panels and proposal/bid reviews, and membership on the Project's Risk Management Team; and WHEREAS, JPB staff has requested the VTA Board of Directors provide this resolution committing to fund, on behalf of VTA, up to $65 million of a 10% shortfall in the PCEP financial plan, associated with potential cost over-runs above the estimated project delivery cost and

previously budgeted contingency or a shortfall in revenues, to support and ensure execution of the PCEP; and

WHEREAS, future sales tax funds available for programming or re-programming to projects under VTA’s discretion are sufficient to meet the JPB staff's request. NOW, THEREFORE, BE IT RESOLVED that the Board of Directors of Santa Clara Valley Transportation Authority hereby commits to funding up to $65 million for potential cost over-runs, if they arise, above the estimated project delivery cost and previously-budgeted contingency, or shortfall in revenues, for the Peninsula Corridor Electrification Project. BE IT FURTHER RESOLVED that this Resolution will take effect upon the adoption of similar resolutions or actions by SMCTA/SMCTD, and either SFMTA or the San Francisco County Transportation Authority. BE IT FURTHER RESOLVED that the General Manager or her designee is authorized to execute any necessary documents, and to take any additional actions necessary, to give effect to this resolution. BE IT FURTHER RESOLVED that the General Manager or her designee shall forward a copy of this resolution, and such other information as may be required to the FTA, JPB, and to such other agencies as may be appropriate. PASSED AND ADOPTED by the Board of Directors of the Santa Clara Valley Transportation Authority, State of California, on ___________________________________, by the following vote:

AYES:

NOES:

ABSENT ABSTAIN: __________________________________ Jeannie Bruins, Chairperson Santa Clara Valley Transportation Authority

Attest:




8.1.B





THROUGH:


FROM:

Interim Director - Engr & Transp Infra Dev, Dennis Ratcliffe

SUBJECT:

Silicon Valley Rapid Transit (SVRT) Program Update FOR INFORMATION ONLY

Silicon Valley Berryessa Extension Project Earned Progress this Period (November / To-Date) ROW Complete To-Date: 100% Complete GUIDEWAY To-Date: 98% Complete November Progress: 1%  Trackwork and Fencing  Pump station installation  Roadway restoration CAMPUSES To-Date: 95% November Progress: 2%  Berryessa Police Zone Facility  Ancillary building interiors, MEP  Parking structure elevators, and façade STATIONS To-Date: 86% November Progress: 2%  Roofing, Skylights, Siding  Mechanical, Electrical, Piping


8.1.B

 Interior finishes SYSTEMS To-Date: 83% November Progress: 1%  Traction Power installation and testing  Train Control installation and testing  Communications installation and testing Budget (Through November 2016) Project Element SVBX New Starts Project (FTA) Concurrent Non-Project Activity (Local)

Total SVBX

Estimate $2,330.0 $ 91.3 $2,421.3

Cost Forecast $2,330.0 $ 91.3 $2,421.3

Incurred To-Date $1,639.3 $ 64.6 $1,703.9

Significant activities and progress on VTA’s BART Silicon Valley Berryessa Extension Project continued during October 2016. Key activities that occurred throughout the 10-mile extension include the following: Key Highlights  Project progress remains ahead of schedule and is over 94 percent complete overall.  The Line, Track, Station and Systems (LTSS) Contractor performed the first Dynamic Train testing on the project at the north end of alignment.  The LTSS Contractor continued testing of the Hostetter Road, Montague Expressway, and Berryessa Station traction power substations. The contractor continued train control testing at the Kato Road, Railroad Court, Milpitas Station, Hostetter Road, and Berryessa Station train control houses.  he parking structures design-build contract continued with building interiors, elevator installation and sitework at the Berryessa and Milpitas sites. Work on the structure façades and Parking Access and Revenue Collection System installation also continues at both sites. Communications and Outreach  utreach continued for intersection road work for traffic signal modifications and utility relocations at the N. King Road and McKee Road intersection in San Jose and roadway modification work at the S. Milpitas Boulevard/Montague Expressway intersection in Milpitas.

Page 2 of 3

8.1.B

 Staff supported the City of San Jose Berryessa BART Residential Parking Permit Program activities in neighborhoods surrounding Berryessa BART Station.  Staff began developing an outreach plan for the full closure of the Montague Light Rail Station. Phase II Extension Key Activities  Staff and consultant HNTB continued analysis for the single-bore technical study. The team met with BART staff in mid-December to review progress on contract tasks before the draft study is completed. In January, the draft study will be shared and reviewed with BART. It is anticipated that the final study will be completed in the first quarter of 2017.  The Request for Proposals for an independent risk assessment of tunneling alternatives was advertised in mid-November. A pre-proposal conference was held in late November, with the deadline to submit proposals scheduled for January 5, 2017. The assessment will assess qualitative and quantitative risks associated with the two tunneling alternatives, to assist VTA in determining which tunneling methodology to move forward with for the Phase II Extension. The study is expected to begin in the first half of 2017.  The Draft SEIR/SEIS is scheduled to be released in late December 2016 for a 45-day public review period with public meetings tentatively scheduled at the following dates and locations: o January 25, 2017: Mexican Heritage Plaza, Gallery Room o January 26, 2017: Santa Clara Senior Center, Room 222 o January 30, 2017: San Jose City Hall, Rooms 118-120  In January, the Phase II Community Working Groups will receive a preview of key environmental document elements prior to the public meetings. The next regular series of CWG meetings are scheduled for February 7-9, 2017. Prepared By: Kevin Kurimoto, Sr. Management Analyst Memo No. 5440

Page 3 of 3

Agenda Item 8.1.B.

SVRT Program Update Board of Directors Meeting January 5, 2017

SVRT Program Cost Summary

2

Berryessa Extension Cost Summary FTA Estimate

Nov 2016 Forecast

Incurred to-Date*

Sub-Total

416.1 250.3 46.5 220.1 260.7 261.0 174.3 548.3 $ 2,177.3

340.7 253.7 67.4 249.4 261.5 167.7 114.7 601.6 $ 2,056.7

323.3 191.2 11.5 198.0 184.2 160.0 14.8 479.0 $ 1,562.0

FTA New Starts Project Total

40.2 112.5 $ 2,330.0

150.1 123.2 $ 2,330.0

77.3 $ 1,639.3

91.3 $ 2,421.3

91.3 $ 2,421.3

64.6 $ 1,703.9

SVBX Project Element (FTA Standard Cost Categories)

Incurred this Period*

SVBX – FTA New Starts Project 10 Guideway and Track Elements 20 Stations, Stops, Terminals & Intermodal 30 Support Facilities: Yards, Shops, Admin. Buildings 40 Sitework and Special Conditions 50 Systems 60 ROW, Land, and Existing Improvements 70 Vehicles 80 Professional Services

90 Unallocated Contingency 100 Finance Charges

999 Concurrent Non-project Activities SVBX Project Total

$Millions – Year of Expenditure

$

1.8 6.1 1.2 1.7 8.5 0.3 0.8 2.4 22.8

$

22.8

$

1.7 24.5

* Through November 2016

3

Berryessa Extension Earned Progress this Period

4

Berryessa Extension Earned Progress this Period

5

South Milpitas Boulevard Construction Progress

October 2016 • • • •

Installation of a diversion pipeline within Berryessa Creek.

VTA; County of Santa Clara; Santa Clara Valley Water District; City of Milpitas Berryessa Creek flood protection improvements Montague Expressway roadway improvements Extension of South Milpitas Boulevard to Capital Avenue

6

Milpitas Station Construction Progress

Installing metal roofing to the west end of the pedestrian overcrossing connection to light rail.

November 2016 Milpitas – Platform conduit set for slab pour.

7

Berryessa Station Construction Progress

November 2016 Third rail safety guard installation on the Berryessa Aerial Structure.

Handrail installation along the Berryessa Aerial Structure emergency/maintenance walkway.

8

Phase II Extension Activities •

Technical study for a single-bore tunnel alternative continues. Completion is anticipated in the first quarter of 2017.

•

An Independent Risk Assessment of tunneling alternatives will be conducted. Proposals due January 6, 2017. The assessment will consider qualitative and quantitative risks associated with the single-bore and twin-bore alternatives.

•

The Draft SEIS/SEIR environmental document was formally release on December 28, 2016 for a 45-day public review.

• Phase II Community Working Groups will review key environmental document elements in January 2017. Regular CWG meetings are scheduled for February 7-9, 2017.

9

End

10

8.4.a

SILICON VALLEY RAPID TRANSIT PROGRAM WORKING COMMITTEE Monday, December 5, 2016

MINUTES CALL TO ORDER The Regular Meeting of the Silicon Valley Rapid Transit (SVRT) Program Working Committee was called to order at 10:10 a.m. by Vice Chairperson Cindy Chavez in Conference Room B-106, Valley Transportation Authority (VTA), 3331 North First Street, San Jose, California. 1.

ROLL CALL Attendee Name Jose Esteves Ken Yeager Cindy Chavez Sam Liccardo

Title Alternate Member Member Vice Chairperson Chairperson

Status Present Absent Present Present

A quorum was not present and a Committee of the Whole was declared. 2.

PUBLIC PRESENTATIONS Roland Lebrun, Interested Citizen, noted as VTA transitions to Phase 2 of the project, it would be appropriate to move the meeting location closer to stakeholders and suggested San Jose City Hall Community Rooms 118 to 120. He stated the facility has video recording capability which would allow the community to view meetings after work. Vice Chairperson Chavez requested VTA staff to consider the issue and provide feedback to the Committee Chair regarding the meeting location. Chairperson Liccardo arrived at the meeting, took his seat at 10:14 a.m., and a quorum was established. Vice Chairperson Chavez relinquished her seat as Chairperson, and Chairperson Liccardo presided over the remainder of the meeting.

3.

ORDERS OF THE DAY There were no Orders of the Day.


8.4.a

CONSENT AGENDA 4.

Meeting Minutes of October 3, 2016 M/S/C (Chavez/Liccardo) to approve the Regular Meeting Minutes of October 3, 2016. RESULT: MOVER: SECONDER: AYES: NOES: ABSENT:

APPROVED [UNANIMOUS] Agenda Item #4 Cindy Chavez, Vice Chairperson Sam Liccardo, Chairperson Liccardo, Chavez, Esteves None Yeager

REGULAR AGENDA 5.

VTA BART Silicon Valley Berryessa Extension (SVBX) Project and Silicon Valley Rapid Transit (SVRT) Program updates/key activities a. Schedule & Budget Update Dennis Ratcliffe, Interim Director of Engr. & Trans. Infrastructure, introduced John Engstrom, SVRT/SVBX Project Manager, and Krishna Davey, SVRT Project Controls Manager. Mr. Ratcliffe and Mr. Davey reviewed the SVRT Program Cost Summary, Berryessa Extension Cost Summary and Berryessa Extension Summary Schedule. Members of the Committee discussed Phase 2 grant funding estimates. Staff provided an updated cost forecast and indicated that a reforecast of the schedule will be provided at the next Committee meeting. b. Construction Progress (Activities/Safety/Interfaces) Mr. Engstrom reported that dynamic testing and integration is currently underway. He displayed photos of the construction progress along the project areas in the cities of Fremont, Milpitas and San Jose. c. Status of Construction Contracts Mr. Engstrom provided a status update of the construction contracts and change orders within the SVBX Project. d. Community Outreach Activities Mr. Engstrom reviewed significant outreach support activities, presentations and project tours. Public Comment Mr. Lebrun queried about the $145,500 Bus Transit Center Revision.

NOTE: M/S/C MEANS MOTION SECONDED AND CARRIED AND, UNLESS OTHERWISE INDICATED, THE MOTION PASSED UNANIMOUSLY. SVRT Program Committee Minutes

Page 2 of 4

December 5, 2016

8.4.a

e. Safety Plan for Parking Garages Octavio Garcia, Safety and Security, and Captain David Lera, Santa Clara County Sheriff’s Department, reported on the coordination of the BART Safety Plan. Members of the Committee discussed the following: 1) coordination of interjurisdictional law enforcement, and; 2) suggested looking at existing Memorandums of Understanding (MOU) between other agencies. Members of the Committee requested the following: 1) Safety Operation Plan (SOP) be presented to VTA Committees and the Board of Directors six months prior to the start of revenue service; 2) requested additional research regarding agency responsibilities be conducted prior to the Safety Plan's completion, and; 3) VTA initiate a discussion with the District Attorney to insure collaboration in the process. Public Comment Mr. Lebrun expressed support for a local policing agency to manage the VTA BART Station. He suggested using a toll gate system from the Milpitas BART pedestrian bridge to the VTA platform to deter fare evasion rather than having VTA Fare Inspectors. On order of Chairperson Liccardo and there being no objection, the Committee received an update on the VTA BART Silicon Valley Berryessa Extension (SVBX) Project and Silicon Valley Rapid Transit (SVRT) Program updates/key activities. 6.

BART Silicon Valley Phase 2 a. Environmental Studies Tom Fitzwater, SVRT Environmental Program Manager, provided an update on the BART Silicon Valley Phase 2 Activities. He noted that the environmental document is expected to be completed by the end of 2016. Tentative Public Hearing dates are set for the end of January 2017, with the official comment period ending February 20, 2017. b. Community Working Groups Mr. Fitzwater stated that the next meetings of the Community Working Groups will be held in early February, 2017. c. Technical Studies Mr. Davey provided a status update of the Single-bore Tunneling Technical Study noting the draft report is anticipated to be completed by early 2017. d. Independent Risk Assessment Request for Proposal (RFP) Mr. Davey stated there will be an independent risk assessment of both single and twin-bore tunneling. Request For Proposal (RFP) took place in November 2016 with proposals due mid-December 2016.

SVRT Program Committee Minutes

Page 3 of 4

December 5, 2016

8.4.a

Members of the Committee and staff discussed the following: 1) the purpose of the assessment is to quantify the risks for single and twin-bore alternatives, and then present those risk profiles to executive management to determine next steps; 2) staff recommendation will be provided in the May to August, 2017, time frame, and; 3) requested, as part of the assessment, the implications of single-bore versus twinbore be studied in the areas of safety, ventilation, earthquakes and ingress/egress. Public Comment Mr. Lebrun commented on the following: 1) expressed support for the independent risk assessment; 2) noted San Jose City Council has unanimously approved the study of an underground high speed rail station at Diridon; 3) impacts of tunneling options, and; 4) offered a third alternative suggesting staff consider visiting the Barcelona Sants Station in Barcelona and the Bond Street Crossrail station in Central London to observe different construction techniques. OTHER ITEMS 7.

Committee Staff Report There was no Committee Staff Report.

8.

Open/Pending issues There were no Open/Pending Issues.

9.

Announcements There were no Announcements.

10.

Adjournment On order of Chairperson Liccardo and there being no objection, the meeting was adjourned at 11:39 a.m.


Anita McGraw, Board Assistant VTA Office of the Board Secretary

SVRT Program Committee Minutes

Page 4 of 4

December 5, 2016

8.4.a

ADMINISTRATION & FINANCE COMMITTEE Thursday, December 15, 2016

MINUTES

CALL TO ORDER The Regular Meeting of the Administration and Finance Committee (A&F) was called to order at 12:02 p.m. by Chairperson Pro Tem Carr in Conference Room B-106, VTA River Oaks Campus, 3331 North First Street, San Jose, California. 1.

ROLL CALL Attendee Name Cindy Chavez Savita Vaidhyanathan Howard Miller Raul Peralez Larry Carr Dave Cortese Manh Nguyen Vacant

Title Member Member Alternate Member Alternate Member Alternate Member Alternate Member Vice Chairperson Chairperson

Status Present Present NA Absent Present NA Absent -

*Alternates do not serve unless participating as a Member. A quorum was present. 2.

PUBLIC PRESENTATIONS Doug Muirhead, Interested Citizen, expressed concern about the public not receiving enough details in the Agenda packet in order to provide proper feedback. Mr. Muirhead inquired about information that will be distributed prior to the Community Outreach Meetings for Next Network. Roland Lebrun, Interested Citizen, referenced San Francisco’s success in transportation and how they address their core system. Mr. Lebrun commented VTA may need to adopt some of San Francisco’s practices in order to achieve the same level of success in transportation.

8.4.a

3.

ORDERS OF THE DAY Member Chavez requested that the following item be removed from the Consent Agenda and placed on the Regular Agenda: Agenda Item #6., State Legislative Consulting Services Contract. M/S/C (Chavez/ Vaidhyanathan) to accept the Orders of the Day. RESULT: MOVER: SECONDER: AYES: NOES: ABSENT:

APPROVED [UNANIMOUS] Cindy Chavez, Member Savita Vaidhyanathan, Member Carr, Chavez, Vaidhyanathan None Nguyen

CONSENT AGENDA 4.

Meeting Minutes of October 20, 2016 M/S/C (Chavez/Vaidhyanathan) to approve the Regular Meeting Minutes of October 20, 2016.

5.

Review and Approve Updated Debt Management Policy M/S/C (Chavez/Vaidhyanathan) to review and approve the updated Debt Management Policy (Attached). The policy has been updated to address new legislative filing, reporting and other requirements of SB 1029 as well as make other minor adjustments

6.

(Removed from the Consent Agenda and placed on the Regular Agenda.) Authorize the General Manager to execute a contract with Gonzalez, Quintana, Hunter & Cruz, LLC, (GQHC) for state legislative consulting services for a period of five years in the amount of $360,000. The term of the contract will be from February 3, 2017, to February 2, 2022. The fixed monthly retainer will be $6,000 for the entire five-year term of the contract.

7.

Substance Abuse Testing, Medical Review Officer and Medical Exam Services M/S/C (Chavez/Vaidhyanathan) to approve submitting a recommendation to the Board of Directors to authorize the General Manager to approve the award of the Substance Abuse testing contract to Alliance Occupational Medicine and Instant Urgent Care. The contract is for Substance Abuse Testing, Medical Review Officer Services, and Medical Examination Services for three (3) years at a cost up to $673,968, with an option for two (2) one-year extensions priced at up to $224,656 per year, for a total authorization of up to $1,123,280 for a five (5) year contract.

NOTE: M/S/C MEANS MOTION SECONDED AND CARRIED AND, UNLESS OTHERWISE INDICATED, THE MOTION PASSED UNANIMOUSLY. Administration and Finance Committee

Page 2 of 9

December 15, 2016

8.4.a

8.

Authorization for SVRT Utility & Public Agency Conveyances M/S/C (Chavez/Vaidhyanathan) to approve submitting a recommendation to the Board of Directors to - 1. Authorize the General Manager to approve and execute all documents necessary to convey or assign easement rights or fee title, as applicable, to third party agencies, who will operate and maintain certain facilities and infrastructure constructed as part of Phase 1 of the Silicon Valley Rapid Transit Program (“SVRT”), which includes the Silicon Valley Berryessa Extension (“SVBX”), the Kato Road Grade Separation, the Mission Boulevard and Warren Avenue Grade Separation, and the Freight Railroad Relocation Projects; and 2. Authorize the General Manager to approve and execute all documents necessary to convey or assign easement rights or fee title, as applicable, to utility providers for replacement rights, along with requisite access rights, related to utility relocations that occurred as a result of construction of the Freight Railroad Relocation, the Mission Boulevard and Warren Avenue Grade Separation and the Kato Road Grade Separation Project.

9.

Monthly Investment Report M/S/C (Chavez/Vaidhyanathan) to approve submitting a recommendation to the Board of Directors to receive the Monthly Investment Report for October 2016. RESULT: MOVER: SECONDER: AYES: NOES: ABSENT:


REGULAR AGENDA 6.

State Legislative Consulting Services Contract Kurt Evans, Government Affairs Manager, provided an overview of the staff report. Member Chavez stressed the importance of having flexibility and being prepared with the changes that will happen at the federal level. She recommended staff to bring to a future meeting an item that will discuss VTA’s ability to obtain additional federal legislative consulting services, noting it may be crucial in the coming months in order to have VTA’s needs met. Mr. Evans noted that the contract for consideration is for the state legislative consulting services. As for the federal legislative consulting services, Mr. Evans reported VTA contracts with Van Scoyoc Associates. He confirmed that VTA has the ability to contract with other firms when the need arises.

Administration and Finance Committee

Page 3 of 9

December 15, 2016

8.4.a

Chairperson Pro Tem Carr reported that the Government Affairs report is distributed monthly to the Board of Directors and the Policy Advisory Committee (PAC) M/S/C (Chavez/ Vaidhyanathan) to approve submitting a recommendation to the Board of Directors authorize the General Manager to execute a contract with Gonzalez, Quintana, Hunter & Cruz, LLC, (GQHC) for state legislative consulting services for a period of five years in the amount of $360,000. The term of the contract will be from February 3, 2017, to February 2, 2022. The fixed monthly retainer will be $6,000 for the entire five-year term of the contract. Further, requested staff to forward an item to the Board that describes the level of flexibility in contracting for federal legislative consulting services that can ensure effective advocacy for VTA at the federal level. RESULT: MOVER: SECONDER: AYES: NOES: ABSENT: 10.


Project Management and Support Services Member Chavez noted recusal for this item. She left her seat at 12:15 p.m. and a Committee of the Whole was declared. Dennis Ratcliffe, Interim Engineering & Transportation Infrastructure Development, provided an overview of the staff report and explained the rationale for having two service contracts. Public Comment Mr. Lebrun expressed strong support for the staff recommendation. On order of Chairperson Pro Tem Carr and there being no objection, the Committee reviewed the recommendation to the Board of Directors to: 1) Authorize the General Manager to execute a contract with Mott MacDonald for project management and support services for a period of five years in an amount up to $49 million; and 2) Authorize the General Manager to execute a contract with Hill International for project management and support services for a period of five years in an amount up to $35 million.

11.

Allied Universal Contract Amendment 2 Member Chavez took her seat at 12:27 p.m. Octavio Garcia, Manager of Security Programs, provided an overview of the staff report and distributed a presentation entitled, “Allied Universal Security Services S14098Contract Amendment 2,” highlighting: 1) Current Security Program Configuration; 2) Allied Universal Current Staffing; 3) Allied Universal Proposed Staffing; 4) Milpitas BART Station; 5) Berryessa BART Station; and 6) Justification for Increased Staffing.


Page 4 of 9

December 15, 2016

8.4.a

Member Chavez requested the following prior to the next Board meeting: 1) the employee handbook; 2) a chart that illustrates benefits received; and 3) any specialized training that staff would receive. M/S/C (Carr/ Vaidhyanathan) to approve submitting a recommendation to the Board of Directors to authorize the General Manager to execute an amendment to VTA’s contract with Universal Protection Services, LP, dba Allied Universal Security Services, increasing the contract amount by $7,589,000, for a new contract amount not to exceed $34,984,000 for the remaining three years of the existing five year agreement (through FY19). RESULT: MOVER: SECONDER: AYES: NOES: ABSENT:

APPROVED [UNANIMOUS] Larry Carr, Member Savita Vaidhyanathan, Member Carr, Chavez, Vaidhyanathan None Nguyen Member Chavez left the meeting at 12:45 p.m.

12.

Mathilda Avenue Improvements at SR 237 and US 101 - Contract Amendment #2 Gene Gonzalo, Engineering Group Manager, provided an overview of the staff report. On order of Chairperson Pro Tem Carr and there being no objection, the Committee received a recommendation to the Board of Directors to authorize the General Manager to execute a contract amendment with WMH Corporation in an amount not-to-exceed $2,200,000 for a not-to-exceed total contract value of $4,844,551 and extend the contract term to December 31, 2018 to complete the Final Design and Right -Of-Way Engineering services for Mathilda Avenue Improvements at SR 237 and US 101 project.

13.

Joint Development Parking Policy The Committee requested to table this item. Public Comment Mr. Lebrun urged staff to address the parking issues at the Tamien Station. On order of Chairperson Pro Tem Carr and there being no objection, the Committee of the Whole deferred the Joint Development Parking Policy.


Page 5 of 9

December 15, 2016

8.4.a

14.

Fare Policy Review Ali Hudda, Deputy Director of Accounting, introduced Laura Wolfgram, consultant for, Four Nines Technologies. Ms. Wolfgram provided a presentation entitled, “VTA Fare Policy Review,” highlighting: 1) Intra-Operator Transfers; 2) Youth Fares; 3) Low Income Fares; 4) Community Bus; 5) Base Fare Adjustment; 6) Eco Pass; and 7) Fare Review Schedule. Members of the Committee and staff discussed the following: 1) value of community bus ride and local bus ride; 2) multiple fares; 3) ways to improve fare box recovery and ridership; and 4) Clipper Card $3 surcharge. On order of Chairperson Pro Tem Carr and there being no objection, the Committee received a report on Fare Policy Review.

15.

New Trip Planner Marshall Ballard, Senior Transportation Planner, provided a demonstration of the new Trip Planner. In response to Chairperson Pro Tem Carr’s comments, Nuria I. Fernandez, General Manager/CEO, reported that staff will find an alternate term to “Safe” to avoid the perception that the other options are not safe. Public Comment Mr. Lebrun inquired about the cost of the new Trip Planner application. On order of Chairperson Pro Tem Carr and there being no objection, the Committee received a presentation on VTA's New Trip Planner.

OTHER ITEMS 16.


17.

Committee Work Plan On order of Chairperson Pro Tem Carr and there being no objection, the Committee reviewed the Committee Work Plan.

18.


19.

Chairperson's Report There was no Chairperson’s Report.


Page 6 of 9

December 15, 2016

8.4.a

20.

Determine Consent Agenda for the January 5, 2017, Board of Directors Meeting CONSENT: Agenda Item #5. Review and approve the updated Debt Management Policy (Attached). The policy has been updated to address new legislative filing, reporting and other requirements of SB 1029 as well as make other minor adjustments. Agenda Item #6.Authorize the General Manager to execute a contract with Gonzalez, Quintana, Hunter & Cruz, LLC, (GQHC) for state legislative consulting services for a period of five years in the amount of $360,000. The term of the contract will be from February 3, 2017, to February 2, 2022. The fixed monthly retainer will be $6,000 for the entire five-year term of the contract. Agenda Item #7. Authorize the General Manager to approve the award of the Substance Abuse testing contract to Alliance Occupational Medicine and Instant Urgent Care. The contract is for Substance Abuse Testing, Medical Review Officer Services, and Medical Examination Services for three (3) years at a cost up to $673,968, with an option for two (2) one-year extensions priced at up to $224,656 per year, for a total authorization of up to $1,123,280 for a five (5) year contract. Agenda Item #8. 1. Authorize the General Manager to approve and execute all documents necessary to convey or assign easement rights or fee title, as applicable, to third party agencies, who will operate and maintain certain facilities and infrastructure constructed as part of Phase 1 of the Silicon Valley Rapid Transit Program (“SVRT”), which includes the Silicon Valley Berryessa Extension (“SVBX”), the Kato Road Grade Separation, the Mission Boulevard and Warren Avenue Grade Separation, and the Freight Railroad Relocation Projects; and 2. Authorize the General Manager to approve and execute all documents necessary to convey or assign easement rights or fee title, as applicable, to utility providers for replacement rights, along with requisite access rights, related to utility relocations that occurred as a result of construction of the Freight Railroad Relocation, the Mission Boulevard and Warren Avenue Grade Separation and the Kato Road Grade Separation Project. Agenda Item #9. Receive the Monthly Investment Report for October 2016. Agenda Item #11. Authorize the General Manager to execute an amendment to VTA’s contract with Universal Protection Services, LP, dba Allied Universal Security Services, increasing the contract amount by $7,589,000, for a new contract amount not to exceed $34,984,000 for the remaining three years of the existing five year agreement (through FY19). Agenda Item #12. Authorize the General Manager to execute a contract amendment with WMH Corporation in an amount not-to-exceed $2,200,000 for a not-to-exceed total contract value of $4,844,551 and extend the contract term to December 31, 2018 to complete the Final Design and Right -Of-Way Engineering services for Mathilda Avenue Improvements at SR 237 and US 101 project.


Page 7 of 9

December 15, 2016

8.4.a

REGULAR: Agenda Item #10. 1) Authorize the General Manager to execute a contract with Mott MacDonald for project management and support services for a period of five years in an amount up to $49 million; and 2) Authorize the General Manager to execute a contract with Hill International for project management and support services for a period of five years in an amount up to $35 million. Agenda Item #14. Receive report on Fare Policy Review. DEFFERED: Agenda Item #13. Approve a revised Joint Development Parking Policy that will establish a comprehensive strategy for managing parking on Santa Clara Valley Transportation Authority (VTA) property. 21.

Announcements There were no Announcements.

22.

Adjournment On order of Chairperson Pro Tem Carr and there being no objection, the meeting was adjourned at p.m.1:25 pm.


Theadora Abraham, Board Assistant VTA Office of the Board Secretary


Page 8 of 9

December 15, 2016

8.4.a

Congestion Management Program & Planning Committee Regular Meeting Minutes of December 15, 2016

WILL BE FORWARDED UNDER SEPARATE COVER

8.4.a

Governance and Audit Committee Thursday, November 30, 2016

MINUTES CALL TO ORDER The Regular Meeting of the Governance and Audit Committee (“Committee”) was called to order at 4:03 p.m. by Chairperson Pro Tem Herrera in Conference Room 1854, San Jose City Hall, 200 East Santa Clara Street, San Jose, California. 1.

ROLL CALL Attendee Name Johnny Khamis Jason Baker Jeannie Bruins Cindy Chavez Rose Herrera

Title Member Member Vice Chairperson Chairperson Member

Status Present Present Present Present Present

A quorum was present. 2.

PUBLIC PRESENTATIONS: There were no Public Presentations.

3.

ORDERS OF THE DAY Chairperson Pro Tem Herrera noted that the focus of the meeting is to complete the annual performance evaluations for the General Manager and General Counsel.

CONSENT AGENDA Public Comment Referred to a staff report regarding VTA’s contribution to Caltrain and stated that VTA may be liable for more money than what was reported. He suggested VTA be more involved with Caltrain administration and planning.. Member Khamis requested to remove the following items from the Consent Agenda and place on the Regular Agenda: Agenda Item #5. Audit Dashboard Follow Up: Audit Recommendations Issued by the Office of the Auditor General As of October 31, 2016; and Agenda Item #6. Interagency Services Review.


8.4.a

4.

Regular Meeting Minutes of November 3, 2016 M/S/C (Baker/Khamis) to approve the Regular Meeting Minutes of November 3, 2016.

5.

(Removed from the Consent Agenda and placed on the Regular Agenda.) Recommend that the VTA Board of Directors (Board) Review and receive the Internal Audit Program's Audit Dashboard on the status of implementation of recommendations issued by the Office of the Auditor General.

6.

(Removed from the Consent Agenda and placed on the Regular Agenda.) Receive a report on VTA's Interagency Services. M/S/C (Baker/Khamis) to approve the Consent Agenda, as amended. RESULT: MOVER: SECONDER: AYES: NOES: ABSENT:

APPROVED - Agenda Item #4 Jason Baker, Member Johnny Khamis, Member Baker, Herrera, Khamis None Bruins Chairperson Chavez arrived and took her seat at 4:11 pm.

Chairperson Pro Tem Herrera relinquished the seat to Chairperson Chavez. Chairperson Chavez presided over the remainder of the meeting. REGULAR AGENDA 5.

Audit Dashboard Follow Up: Audit Recommendations Issued by the Office of the Auditor General as of October 31, 2016 Member Khamis referenced attachment 5.a, page 10 of 36, Procurement & Contracting Process Assessment, and inquired about the delays. Alberto Lara, Director of Business Services, commented that VTA staff is working diligently to review the outstanding procurement items. Chairperson Chavez requested that VTA staff from the Procurement department sit with the Board so the Members can better understand the procurement process. Chairperson Chavez further requested that staff go through the recommendations with the Auditor General to see if there is still value to them.

NOTE: M/S/C MEANS MOTION SECONDED AND CARRIED AND, UNLESS OTHERWISE INDICATED, THE MOTION PASSED UNANIMOUSLY. Governance and Audit Committee Minutes

Page 2 of 5

November 30, 2016

8.4.a

Raj Srinath, Chief Financial Officer, reported VTA staff is working with the Auditor General in order to address other recommendations and determine alternatives to recommended tools that are not accessible to VTA. On order of Chairperson Chavez, and there being no objection, the Committee reviewed and received the Internal Audit Program's Audit Dashboard on the status of implementation of recommendations issued by the Office of the Auditor General. 6.

Interagency Services Review Member Khamis referenced attachment 6.a, Regional Service Matrix, and inquired about any challenges that VTA may have with the partnerships. Nuria I. Fernandez, General Manager/CEO and Staff Liaison, noted the intention of the report was to illustrate the following: 1) benefits of partnerships; and 2) how the partners are utilizing the funds. Ms. Fernandez further noted the Auditor General is conducting an audit on VTA’s regional partnerships. Aaron Vogel, Regional Transportation Services Manager, provided an overview of the staff report. The Committee made the following comments: 1) noted the goal of the report was to illustrate VTA’s financial commitments and expectations from the partners; 2) requested staff to include in future reports regarding VTA partnerships more background so that the Board can better understand the history and can make informed decisions; and 3) requested to include the report in the Next Network when presenting to the Board. Member Bruins arrived and took her seat at 4:27 p.m. On order of Chairperson Chavez, and there being no objection, the Committee received a report on VTA's Interagency Services.

OTHER ITEMS 10.


11.

Review Committee Work Plan On order of Chairperson Chavez and there being no objection, the Committee reviewed the Committee Work Plan.

12.


13.

Chairperson's Report Chairperson Chavez announced that this will be the last Governance & Audit meeting for Mayor Baker and Mayor Herrera. Chairperson Chavez thanked the Mayor and Vice Mayor for their hard and diligent work on the Committee and Board.

Governance and Audit Committee Minutes

Page 3 of 5

November 30, 2016

8.4.a

Member Baker thanked VTA staff and the Committee noting how much he enjoyed being part of such an important Committee. Member Herrera thanked VTA staff and the Committee for all their work. She looks forward to seeing what is accomplished in the future and noted how much she enjoyed being part of the Committee. Chairperson Chavez noted that the online Board self-assessments are due and she will be contacting members to take time out and complete the survey. 14.

Determine Items for the Consent Agenda for Future Board of Directors' meetings CONSENT: Agenda Item #5. Audit Dashboard Follow Up: Audit Recommendations Issued by the Office of the Auditor General as of October 31, 2016.

15.

ANNOUNCEMENTS Ms. Fernandez thanked both Mayor Baker and Vice Mayor Herrera for their leadership, ideas and advice.

16.

Recessed to Closed Session at 4:32 p.m. A. Public Employee Performance Evaluation [Government Code Section 54957] Title: General Manager B. Public Employee Performance Evaluation [Government Code Section 54957] Title: General Counsel

17.

Reconvened to Open Session at 6:15 p.m. A. Public Employee Performance Evaluation [Government Code Section 54957] Title: General Manager B. Public Employee Performance Evaluation [Government Code Section 54957] Title: General Counsel

18.

CLOSED SESSION REPORT Chairperson Chavez noted no reportable action was taken during Closed Session

19.

ADJOURNMENT On order of Chairperson Chavez and there being no objection, the Committee was adjourned at 6:17 p.m.


Page 4 of 5

November 30, 2016

8.4.a

Respectfully submitted, Theadora Abraham, Board Assistant VTA Office of the Board Secretary


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November 30, 2016

8.4.b

CITIZENS ADVISORY COMMITTEE and 2000 MEASURE A CITIZENS WATCHDOG COMMITTEE Wednesday, December 7, 2016

MINUTES CALL TO ORDER The Regular Meeting of the Citizens Advisory Committee (CAC)/2000 Measure A Citizens Watchdog Committee (CWC) was called to order at 4:00 p.m. by Chairperson Wadler in Conference Room B-106, VTA River Oaks Campus, 3331 North First Street, San Jose, California. 1.

ROLL CALL Attendee Name Stephen Blaylock Clinton Brownley Chris Elias Sharon Fredlund William Hadaya Ray Hashimoto Roberta Hughan John Melton Aaron Morrow Charlotte Powers Lucas Ramirez Connie Rogers Stephen Schmoll Martin Schulter Noel Tebo Herman Wadler

Title CAC Member CAC Member CAC Member CAC Member Chairperson CAC Member CAC Member CAC Member CAC Member CAC Member CAC Member CAC Member CAC Member CAC Member CAC Member Vice Chairperson

Status Present Absent Absent Present Present Present Absent Absent Absent Absent Present Present Absent Present Present Present

A quorum was not present and a Committee of the Whole was declared. The Agenda was taken out of order. 3.

PUBLIC PRESENTATIONS There were no Public Presentations.


8.4.b

4.

Committee Staff Report Aaron Quigley, Senior Policy Analyst and Staff Liaison, introduced Nuria I. Fernandez, General Manager and CEO, who reported on the success of 2016 Measure B which was approved by nearly 72% of voters. Ms. Fernandez highlighted 2016 accomplishments: 1) Super Bowl 50 Transit Service; 2) embarked on VTA Strategic Plan; 3) Envision Silicon Valley, and; 4) Jarrett Walker study to evaluate ways to improve the transit system to better meet the needs of the community while increasing fare-box recovery. Member Hadaya arrived at the meeting, took his seat at 4:05 p.m., and a quorum was established. Ms. Fernandez reported on recent activities, highlighting: 1) VTA's annual Stuff the Bus gift giving event took place December 10, 2016; 2) VTA's Alum Rock/Santa Clara Bus Rapid Transit Project holiday tree lighting event on December 16, 2016; 3) New Year's Eve transit service beginning at 8:00 p.m. on Saturday, December 31 through 5:00 a.m. on Sunday, January 1, 2017; 4) VTA holiday wrap for bus and light rail vehicles, and; 5) brand refresh update. Members of the Committee and staff discussed the following: 1) fare policy; 2) ridership decrease; 3) specific long term ridership goals, and; 4) oversight committee for 2016 Measure B. Jane Shinn, Senior Management Analyst, provided a verbal report and a presentation entitled "Measure B," highlighting: 1) Election results; 2) Project Categories & Amounts; 3) 2016 Measure B Program Office; 4) 2016 Measure B Work Plan; 5) Other Policy Items, and; 6) Schedule. On order of Chairperson Wadler and there being no objection, the Committee received the Committee Staff Report.

COMBINED CAC AND 2000 MEASURE A CITIZENS WATCHDOG COMMITTEE CONSENT AGENDAS 8.

Regular Meeting Minutes of November 9, 2016. Vice Chairperson Fredlund referenced the November 9, 2016, Regular Meeting Minutes: Agenda Item # 10. Strategic Plan Final Draft Amended Recommendation, and requested “Further, that the Committee views the document as a Strategic Vision…” be removed from the recommendation and replaced with “However, that the Committee views the document as a Strategic Vision…” to reflect the amendment was an exception to, rather than just an addition to the Strategic Plan. M/S/C (Fredlund/Ramirez) to November 9, 2016, as amended.

Citizens Advisory Committee

approve

Page 2 of 6

the

Regular

Meeting

Minutes

of

Wednesday, December 7, 2016

8.4.b

9.

Transit Operations Performance Report - Q1 FY 2017 M/S/C (Fredlund/Ramirez) to receive the FY2017 First Quarter Transit Operations Performance Report. RESULT: MOVER: SECONDER: AYES: NOES: ABSENT:

5.

APPROVED [UNANIMOUS] (Consent Agenda Items #8-9) Fredlund, Member Ramirez, Member Blaylock, Fredlund, Hadaya, Hashimoto, Powers, Ramirez, Rogers, Schulter, Tebo, Wadler None Brownley, Hughan, Melton, Morrow, Powers, Schmoll

Chairperson's Report Chairperson Wadler announced he will attend the December 8, 2016, VTA Board of Directors (Board) meeting to report the Committee's robust discussion on the Draft Strategic Plan. He will relay to the Board the Committee’s recommendation to give consideration to adding measurable goals to evaluate the plan’s success both during and at the end of the five year period. Chairperson Wadler reported the following: 1) thanked Committee Members Brownley and Melton for their service and indicated they have resigned; 2) there will be a new member from the Silicon Valley Leadership Group in 2017; and 3) Member Chris Elias’ request for temporary attendance waiver was granted.

6.

Committee for Transit Accessibility (CTA) Report There was no Committee for Transit Accessibility (CTA) Report.

7.

Bicycle and Pedestrian Advisory Committee (BPAC) Report There was no Bicycle and Pedestrian Advisory Committee (BPAC) Report.

2.

ORDERS OF THE DAY Chairperson Wadler requested Agenda Item #10, CAC Election Process for 2017 Committee Leadership: Conduct Elections, be moved to the end of the Regular Agenda.

2000 MEASURE A CITIZENS WATCHDOG COMMITTEE REGULAR AGENDA There were no items for the 2000 Measure A Citizens Watchdog Committee Regular Agenda.

NOTE: M/S/C MEANS MOTION SECONDED AND CARRIED AND, UNLESS OTHERWISE INDICATED, THE MOTION PASSED UNANIMOUSLY.


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8.4.b

CITIZENS ADVISORY COMMITTEE REGULAR AGENDA 11.

One Bay Area Grant Cycle 2 - Program of Projects Marcella Rensi, Transportation Planning Manager – Planning and Grants, provided the staff report. M/S/C (Rogers/Hashimoto) to recommend that the Board of Directors approve the One Bay Area Grant Cycle 2 (OBAG 2) program of projects. APPROVED [UNANIMOUS] MOVER: Rogers, Member SECONDER: Hashimoto, Member AYES: Blaylock, Fredlund, Hadaya, Hashimoto, Powers, Ramirez, Rogers, Schulter, Tebo, Wadler NOES: None ABSENT: Brownley, Hughan, Melton, Morrow, Powers, Schmoll

12.

Joint Development Parking Policy Ron Golem, Deputy Director of Real Estate, provided an overview of the staff report and a presentation entitled "Joint Development Parking Policy," highlighting: 1) Parking: Key to Joint Development; 2) Policy Goals; 3) Park and Ride Parking Utilization;; 4) Joint Development and Parking Supply; 5) Customer Survey Findings; 6) Best Practices Pricing Parking; 7) Parking Management; 8) Proposed Joint Development Parking Policy; 9) New Parking Policy Implementation, and; 10) Discussion. Members of the Committee and staff discussed the following: 1) parking standards for joint development must meet local planning standards, zoning codes and parking requirements; 2) consider convenient payment strategies such as tying all accounts together in one card, such as the Clipper Card; 3) expressed concern with non-transit users utilizing VTA Park and Ride Lots for commuter pick-up; 4) accommodate future growth and ridership, and; 5) importance of encouraging all modes of access and integration. M/S/C (Hadaya/Fredlund) to recommend that the Board of Directors approve a revised Joint Development Parking Policy that will establish a comprehensive strategy for managing parking on Santa Clara Valley Transportation Authority (VTA) property.

13.

Receive a Presentation on the Core Connectivity Study on Emerging Mobility Strategies Aiko Cuenco, Transportation Planner, provided a verbal report and a presentation entitled "Core Connectivity Study," highlighting: 1) Transit Ridership Improvement Program (TRIP); 2) Transportation Challenge; 3) Core Connectivity Study; 4) What Alternative Transit Delivery Strategies Exist?; 5) Potential Markets for Alternative Services; 6) Analysis of Toolkit Strategies; 7) Strategy: Public-Private Partnerships; 8) Example: Public-Private Partnerships; 9) Strategy: Grant Program for Local Transportation


Page 4 of 6


8.4.b

Projects; 10) Additional Strategies; 11) How might we deliver these strategies locally, and; 12) Next Steps: Core Connectivity. Member Tebo referenced Public-Private Partnerships, Pinellas Suncoast Transit Authority (PSTA), and queried about “Partnership resulted in 50% savings in operating costs over eliminated route,” asking if that is burdened cost or actual out of pocket cost? On order of Chairperson Wadler and there being no objection, the Committee received the Core Connectivity Study on emerging mobility strategies. 10.

CAC Election Process for 2017 Committee Leadership: Conduct Elections Stephen Flynn, Senior Management Analyst and Advisory Committee Coordinator, provided a brief overview of the election process. Member Hashimoto reiterated that the Nomination Subcommittee nominated the following slate of candidates for the 2017 elections: 1) Chairperson Herman Wadler for Chairperson; and 2) Vice Chairperson Sharon Fredlund for Vice Chairperson. Chairperson Wadler opened the nominations from the floor for the position of Chairperson for 2017. M/S/C (Hashimoto/Tebo) to close nominations and elect Herman Wadler as Chairperson for 2017. APPROVED [UNANIMOUS] MOVER: Hashimoto, Member SECONDER: Tebo, Member AYES: Blaylock, Fredlund, Hadaya, Hashimoto, Powers, Ramirez, Rogers, Schulter, Tebo, Wadler NOES: None ABSENT: Brownley, Hughan, Melton, Morrow, Powers, Schmoll Chairperson Wadler opened nominations from the floor for the position of Vice Chairperson for 2017. M/S/C (Hadaya/Tebo) to close nominations and elect Sharon Fredlund as Vice Chairperson for 2017. APPROVED [UNANIMOUS] MOVER: Hadaya, Member SECONDER: Tebo, Member AYES: Blaylock, Fredlund, Hadaya, Hashimoto, Powers, Ramirez, Rogers, Schulter, Tebo, Wadler NOES: None ABSENT: Brownley, Hughan, Melton, Morrow, Powers, Schmoll


Page 5 of 6


8.4.b

On behalf of VTA Staff, Mr. Flynn extended thanks to Members Wadler and Fredlund for their service to VTA and the community.

COMBINED CAC AND CITIZENS WATCHDOG COMMITTEE ITEMS 14.

Review the Citizens Advisory Committee and Citizens Watchdog Committee Work Plans. On order of Chairperson Wadler and there being no objection, the Committee reviewed the Citizens Advisory Committee and Citizens Watchdog Committee Work Plans.

OTHER 15.


16.

ADJOURNMENT On order of Chairperson Wadler and there being no objection, the meeting was adjourned at 6:10 p.m. Respectfully submitted,



Page 6 of 6


8.4.b

BICYCLE & PEDESTRIAN ADVISORY COMMITTEE Wednesday, December 7, 2016

MINUTES CALL TO ORDER The Regular Meeting of the Bicycle and Pedestrian Advisory Committee (BPAC) was called to order at 6:34 p.m. by Chairperson Caidoy in Conference Room B-106, Santa Clara Valley Transportation Authority (VTA), 3331 North First Street, San José, California. 1.

ROLL CALL Attendee Name Wes Brinsfield Kristal Caidoy Barry Chaffin Jaime Fearer Paul Goldstein Peter Hertan Sarah Peters David Simons Jim Stallman Greg Unangst Herman Wadler Vacant Vacant Vacant Vacant Vacant Colin Heyne Shiloh Ballard

Title Member Chairperson Member Member Member Vice Chairperson Member Member Member Member Member Member Member Member Member Member Ex-Officio Member Alt. Ex-Officio Member

Representing City of Los Altos City of Milpitas City of Monte Sereno City of San José City of Palo Alto Town of Los Gatos City of Santa Clara City of Sunnyvale City of Saratoga City of Mountain View City of Campbell City of Cupertino City of Gilroy Town of Los Altos Hills City of Morgan Hill County of Santa Clara Silicon Valley Bicycle Coalition Silicon Valley Bicycle Coalition

Status Absent Present Present Absent Present Present Present Present Present Present Present n/a n/a n/a n/a n/a Present n/a



3.

PUBLIC PRESENTATIONS: Scott Lane, Interested Citizen, commented on Levi's Stadium and the San Aquino Creek Trail. Andrew Boone, Interested Citizen, commented on Complete Streets on Santa Clara Street in San José. Betsy Megas, Interested Citizen, commented on the Lawrence Station redevelopment plan.


8.4.b

4.

Update on Measure B Jane Shinn, Senior Management Analyst, provided a presentation titled “Measure B,” highlighting the following: 1) Election results; 2) Project Categories & Amounts; 3) 2016 Measure B Program Office; 4) 2016 Measure B Work Plan; 5) Other Policy Items; and 6) Schedule. Public Comment Mr. Lane expressed concern with VTA’s oversight history. Mr. Boone commented on the negative environmental effects of 2016 Measure B. Vice Chairperson Hertan left his seat at 6:54 p.m. Members of the Committee discussed the following: 1) project coordination; 2) citizen’s oversight committee; and 3) BPAC representation in the decision making process as well as being a part on the oversight committee. Vice Chairperson Hertan returned to his seat at 6:59 p.m. On order of Chairperson Caidoy, and there being no objection, the Committee received an update on Measure B.

CONSENT AGENDA 5.

(Deferred) On order of Chairperson Caidoy and there being no objection, the Committee deferred Regular Meeting Minutes of November 9, 2016 to the January 11, 2017 meeting.

REGULAR AGENDA 6.

Election Process for 2017 Bicycle & Pedestrian Advisory Committee Leadership: Conduct Elections Stephen Flynn, Advisory Committee Coordinator, provided a brief overview of the BPAC leadership election process, noting Members Hertan and Stallman were nominated for Chairperson and Members Fearer, Peters, and Stallman were nominated for Vice Chairperson. Member Fearer withdrew her nomination for BPAC Vice Chairperson for 2017 prior to the meeting. Chairperson Caidoy opened the floor for additional nominations for the position of 2017 BPAC Chairperson. There were no additional nominations.

Bicycle & Pedestrian Advisory Committee Minutes Page 2 of 7

December 7, 2016

8.4.b

On a vote of 7 ayes to 2 noes to elect Member Hertan for BPAC Chairperson for 2017. Members Unangst and Wadler opposed. RESULT: AYES: NOES: ABSENT:

FAILED Caidoy, Chaffin, Goldstein, Hertan, Peters, Simons, Stallman Unangst, Wadler Brinsfield, Fearer

On a vote of 2 ayes to 7 noes to elect Member Stallman for BPAC Chairperson for 2017. Members Caidoy, Chaffin, Goldstein, Hertan, Peters, Simons, and Stallman opposed. RESULT: AYES: NOES: ABSENT:

FAILED Unangst, Wadler Caidoy, Chaffin, Goldstein, Hertan, Peters, Simons, Stallman Brinsfield, Fearer

On a vote of 9 ayes to 0 noes to elect Member Hertan for BPAC Chairperson for 2017. RESULT: AYES: NOES: ABSENT:

APPROVED Caidoy, Chaffin, Goldstein, Hertan, Peters, Simons, Stallman, Unangst, Wadler None Brinsfield, Fearer

Chairperson Caidoy opened the floor for additional nominations for the position of 2017 BPAC Vice Chairperson. There were no additional nominations. On a vote of 6 ayes to 3 noes to elect Member Peters for BPAC Vice Chairperson for 2017. Members Chaffin, Unangst, and Wadler opposed. RESULT: AYES: NOES: ABSENT:

FAILED Caidoy, Goldstein, Hertan, Peters, Simons, Stallman Chaffin, Unangst, Wadler Brinsfield, Fearer

On a vote of 5 ayes to 4 noes to elect Member Stallman for BPAC Vice Chairperson for 2017. Members Caidoy, Goldstein, Peters, and Stallman opposed. RESULT: AYES: NOES: ABSENT:

FAILED Chaffin, Hertan, Simons, Unangst, Wadler Caidoy, Goldstein, Peters, Stallman Brinsfield, Fearer


December 7, 2016

8.4.b

On a vote of 9 ayes to 0 noes to elect Member Peters for BPAC Vice Chairperson for 2017. RESULT: AYES: NOES: ABSENT: 7.

APPROVED Caidoy, Chaffin, Goldstein, Hertan, Peters, Simons, Stallman, Unangst, Wadler None Brinsfield, Fearer

One Bay Area Grant Cycle 2 - Program of Projects Marcella Rensi, Transportation Planning Manager - Planning and Grants, provided an overview of the staff report. Public Comment Mr. Boone made the following comments: 1) projects were scored by a scoring committee without BPAC representation; and 2) the San Aquino Creek Trail was not reviewed publically and was scored before the City Council approved it. Mr. Lane made the following comments: 1) expressed concern that the BPAC did not have a more prominent role in the One Bay Area Grant (OBAG) scoring process; and 2) the Santa Clara Mayor does not want the San Aquino Creek Trail funded by OBAG. Ms. Megas commented that the San Aquino Creek Trail plan is not complete. Members of the Committee and staff discussed the following: 1) funding the San Aquino Creek Trail later but reserve the funds now; 2) the San Aquino Creek Trail was not part of any mitigation when Levi’s stadium was built; 3) the San Aquino Creek Trail may not pass Homeland Security standards; 4) expressed support for the San Aquino Creek Trail being open 24 hours per day, seven days per week; and 5) BPAC’s role on future OBAG rounds. M/S/F (Goldstein/Wadler) on a vote of 8 ayes to 1 no to recommend, as amended, that the Board of Directors approve the One Bay Area Grant Cycle 2 (OBAG 2) program of projects but strike out item 14 - San Tomas Aquino Creek Trail Underpass, for the reasons the committee has stated, including an inappropriate use of OBAG funds, and include items 16 - King Road Pedestrian Safety & Transit Access Improvements and 17 - Campbell PDA Enhancements Project in the funding. Member Chaffin opposed. RESULT: MOVER: SECONDER: AYES: NOES: ABSENT:

FAILED Paul Goldstein, Member Herman Wadler, Member Caidoy, Goldstein, Hertan, Peters, Simons, Stallman, Unangst, Wadler Chaffin Brinsfield, Fearer

NOTE: M/S/F MEANS MOTION SECONDED AND FAILED. Bicycle & Pedestrian Advisory Committee Minutes Page 4 of 7

December 7, 2016

8.4.b

M/S/C (Goldstein/Wadler) to recommend, as amended, that the Board of Directors approve the One Bay Area Grant Cycle 2 (OBAG 2) program of projects but strike out item 14 - San Tomas Aquino Creek Trail Underpass, for the reasons the committee has stated, including an inappropriate use of OBAG funds, and include items 16 - King Road Pedestrian Safety & Transit Access Improvements and 17 - Campbell PDA Enhancements Project in the funding. RESULT: MOVER: SECONDER: AYES: NOES: ABSENT:

APPROVED Paul Goldstein, Member Herman Wadler, Member Caidoy, Chaffin, Hertan, Peters, Simons, Stallman, Unangst, Wadler None Brinsfield, Fearer

OTHER 8.

Committee Staff Report Lauren Ledbetter, Senior Transportation Planner and BPAC Staff Liaison, provided a report, highlighting the following: 1) VTA Complete Streets Policy Update; 2) Monthly Bike Pedestrian webinar on “Tips to Demystify Traffic Analysis” on Wednesday, December 14, 2016 at noon; and 3) Santa Clara Caltrain Pedestrian/Bicycle Undercrossing. Public Comment Mr. Boone made the following comments: 1) expressed concern that the agenda says “Committee Staff Report” and does not provide details of what is included in the verbal report; 2) the Santa Clara Caltrain pedestrian/bicycle undercrossing is an improvement for bicyclists and pedestrians for a BART station that should not be built; and 3) Countywide bike plan does not have sufficient funding from 2016 Measure B and other sources. Mr. Lane made the following comments: 1) expressed gratitude to VTA for the progress made over the Thanksgiving weekend on the Santa Clara Caltrain pedestrian/bicycle undercrossing; 2) Plan Bay Area 2040 has significant funding for active transportation; and 3) transit oriented housing projects with secure bicycle parking. On order of Chairperson Caidoy, and there being no objection, the Committee received the Committee Staff Report.

9.

Santa Clara County Staff Report Paul Pascoal, County of Santa Clara Associate Civil Engineer, reported the following: 1) San Tomas Expressway Trail update; and 2) Page Mill Road/Interstate 280 Interim Project update.

NOTE: M/S/C MEANS MOTION SECONDED AND CARRIED AND, UNLESS OTHERWISE INDICATED, THE MOTION PASSED UNANIMOUSLY. Bicycle & Pedestrian Advisory Committee Minutes Page 5 of 7

December 7, 2016

8.4.b

Public Comment Mr. Lane made the following comments: 1) suggested installing a sign along the San Tomas Expressway Trail noting project progress; and 2) bicycle friendly housing. Mr. Boone commented on the Page Mill Road/Interstate 280 Interim Project. On order of Chairperson Caidoy, and there being no objection, the Committee received the Santa Clara County Staff Report. 10.

Chairperson's Report Chairperson Caidoy thanked the Committee for her year as Chairperson.

11.

Reports from BPAC Subcommittees Ms. Ledbetter noted that the Complete Streets subcommittee is meeting on December 8, 2016. Public Comment Mr. Boone commented on dangerous recent Complete Streets projects. On order of Chairperson Caidoy, and there being no objection, the Committee received the BPAC Subcommittee reports.

12.

Citizens Advisory Committee (CAC) and 2000 Measure A Citizens Watchdog Committee (CWC) Report Member Wadler provided the CAC/CWC report, highlighting: 1) he was elected as Chairperson of CAC/CWC for 2017 and Sharon Fredlund was elected as Vice Chairperson for 2017; and 2) using a program similar to FLEX for lesser served areas of Santa Clara County. On order of Chairperson Caidoy, and there being no objection, the Committee received the CAC/CWC Report.

13.

BPAC Work Plan Ms. Ledbetter provided an overview of the BPAC Work Plan, noting the following: 1) Measure B will be a standing item going forward; and 2) moved county bike plan projects to the queue from the schedule. On order of Chairperson Caidoy, and there being no objection, the Committee reviewed the BPAC Work Plan.

14.

ANNOUNCEMENTS Member Simons announced the following: 1) BPAC’s play an important role in development projects; and 2) development projects in Sunnyvale.


December 7, 2016

8.4.b

Member Stallman commented on a Class I bicycle lane with decomposed granite surface is successful and well used. Member Unangst announced that the Silicon Valley Bikes Festival will be held on May 7, 2017, including a meeting of the BPAC’s. Vice Chairperson Hertan expressed gratitude to the Committee for electing him as Chairperson for 2017. 15.

ADJOURNMENT On order of Chairperson Caidoy and there being no objection, the meeting was adjourned at 8:52 p.m.


Thalia Young, Board Assistant VTA Office of the Board Secretary


December 7, 2016

8.4.b

Technical Advisory Committee Regular Meeting Minutes of December 8, 2016

WILL BE FORWARDED UNDER SEPARATE COVER

8.4.b

POLICY ADVISORY COMMITTEE Thursday, December 8, 2016

MINUTES CALL TO ORDER The Regular Meeting of the Policy Advisory Committee (PAC) was called to order at 4:00 p.m. by Chairperson Carr in Conference Room B-106, Valley Transportation Authority (VTA), 3331 North First Street, San Jose, California. 1.

ROLL CALL Attendee Name Paul Resnikoff Michael Kotowski (Alternate) Savita Vaidhyanathan Barry Chang (Alternate) Harney, Daniel Tucker, Cat (Alternate) Mary Prochnow Megan Satterlee (Alternate) John Harpootlian Gary Waldeck (Alternate) Marcia Jensen Rob Rennie (Alternate) Carmen Montano Garry Barbadillo (Alternate) Evert Wolsheimer Marshall Anstandig (Alternate) Larry Carr Rich Constantine (Alternate) John McAlister Pat Showalter (Alternate) Liz Kniss Cory Wolbach (Alternate) Charles “Chappie” Jones Vacant (Alternate) Kathy Watanabe Patrick Kolstad(Alternate) Howard Miller Rishi Kumar (Alternate) Jim Davis Gustav Larsson (Alternate) Mike Wasserman A quorum was present

Title City of Campbell City of Campbell City of Cupertino City of Cupertino City of Gilroy City of Gilroy City of Los Altos City of Los Altos Town of Los Altos Hills Town of Los Altos Hills Town of Los Gatos Town of Los Gatos City of Milpitas City of Milpitas City of Monte Sereno City of Monte Sereno City of Morgan Hill City of Morgan Hill City of Mountain View City of Mountain View City of Palo Alto City of Palo Alto City of San Jose City of San Jose City of Santa Clara City of Santa Clara City of Saratoga City of Saratoga City of Sunnyvale City of Sunnyvale SCC Board of Supervisors

Status Present NA Present NA Absent Absent Absent Absent Prsent NA Present NA Present NA Absent Absent Present NA Present NA Present NA Present Present NA Present NA Present NA Absent

8.4.b

2.

ORDERS OF THE DAY Member Vaidhyanathan requested to hear Agenda Item # 10., One Bay Area Grant Cycle 2 - Program of Projects as the first item on the Regular Agenda.

3.

PUBLIC PRESENTATIONS Roland Lebrun, Interested Citizen, referred to transportation policies and planning. He urged the PAC to apply a holistic approach to ensure that new policies will address the transportation issues within the County.

4.

Committee Staff Report Member Jones arrived and took his seat at 4:04 p.m. Jim Lawson, Director of Public Affairs and Executive Policy Advisor and Committee Staff Liaison, introduced Nuria I. Fernandez, General Manager and CEO, who provided a report highlighting the following: 

2016 Measure B passed with nearly 72 percent of votes. VTA will continue to be transparent while delivering projects in a timely manner and within budget and will continue to update the PAC and the Technical Advisory Committee (TAC). A 2016 Measure B Oversight Committee will soon be established. Member Watanabe arrived and took her seat at 4:06 p.m.



VTA’s BART to Silicon Valley Berryessa Extension is more than 90 percent complete.



VTA partnered with the U.S. Marine Corps for the Stuff the Bus event on December 10, 2016.



Invited Committee Members to participate in the tree lighting ceremony near the VTA office in the Santa Clara Alum Rock Community on December 16, 2016.



VTA will offer free transportation on December 31, 2016, New Year’s Eve, from 8:00 p.m. - 5:00 a.m.



VTA’s Brand Refresh will officially launch January 1, 2017.

Members of the Committee made the following comments: 1) inquired about the selection process for the 2016 Measure B Oversight Committee; 2) referenced an article regarding the BART extension to San Jose and expressed concern about the public perception that VTA is behind schedule; and 3) inquired about the VTP Call for Projects List and how the implementation process will take place. Ms. Fernandez referred to the BART extension article and indicated that this project is separate from VTA’s BART Silicon Valley project. The article was about the Warm Springs Extension that BART is building.

Policy Advisory Committee Minutes

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December 8, 2016

8.4.b

Mr. Lawson and Ms. Fernandez noted that the ballot language and the categories allows flexibility. They assured that the Committee will be periodically informed and will have opportunities to provide recommendations to the VTA Board of Directors (Board) prior to implementation of the program. . Ms. Fernandez further noted that periodic updates will be provided to local municipalities. Member Kniss recommended sending out information prior to visiting the cities, so that it might minimize questions during her visit. Scott Haywood, Transportation Planning Manager, provided a presentation entitled “Measure B,” highlighting the following: 1) Results from Election; 2) Project Categories & Amounts; 3) Measure B Programs Office; 4) Measure B Work Plan; 5) Other Policy Items; and 6) Schedule. Mr. Haywood made the following comments: 1) consistent updates will be provided to ensure Committees are well informed; 2) invited the Committee Members to contact him with any questions they may have; 3) reported that VTA will start collecting money in June 2017; and 4) announced that VTA staff would be happy to provide in person follow up to any cities that would request it. Mr. Lawson noted the Government Affairs report is in front of the Members on the table. 5.

Chairperson’s Report Chairperson Carr reported that he attended a Leadership meeting with Vice Chairperson Davis and all the Chairs and Vice Chairs of VTA’s Committees, noting various topics, concerns, and issues were discussed. Chairperson Carr reported that it was a very productive meeting. Chairperson Carr requested that the Next Network Placemat - VTA Major Initiatives that was distributed at the Board of Directors meeting be sent to the PAC Members.

CONSENT AGENDA 6.

Regular Meeting Minutes of November 10, 2016 M/S/C (Miller/McAlister) to approve the Regular Meeting Minutes of November 10, 2016.

7.

Programmed Project Monitoring - Quarterly Report M/S/C (Miller/McAlister) to receive the Programmed Projects Quarterly Monitoring Report for July - September 2016.

8.

Transit Operations Performance Report - FY2017 First Quarter M/S/C (Miller/McAlister) to receive the FY2017 First Quarter Transit Operations Performance Report.



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December 8, 2016

8.4.b

M/S/C (Miller/McAlister) to approve the Consent Agenda. RESULT: MOVER: SECONDER: AYES: NOES: ABSENT:

APPROVED [UNANIMOUS] Howard Miller, Member John McAlister, Member Carr, Davis, Hartpootlian, Jensen, Jones, Kniss, McAlister, Miller, Montano, Resnikoff, Vaidhyanathan, Watanabe None Harney, Prochnow, Wasserman, Wolsheimer

REGULAR AGENDA (The Agenda was taken out of order.) 10.

One Bay Area Grant Cycle 2 - Program of Projects Marcella Rensi, Transportation Planning Manager, provided an overview of the staff report and directed attention to attachment 10.D. Upon inquiry from Committee Members regarding evaluation criteria and scoring, Ms. Rensi reported that based on the amount of funds, VTA staff determined 70 points would be the score cutoff. She further reported about some of the reasons on why projects scored low. Ms. Rensi noted that this OBAG item was reviewed by other Advisory Committees as well. Mr. Lawson noted that VTA staff could review with city staff the applications and could make recommendations on how the project could score higher. Vice Chairperson Davis commented that a few years ago, PAC Members were involved and made suggestions about how to determine the criteria. M/S/C (Miller/ Davis) to recommend that the Board of Directors approve the One Bay Area Grant Cycle 2 (OBAG 2) program of projects RESULT: MOVER: SECONDER: AYES: NOES: ABSENT:

APPROVED [UNANIMOUS] Howard Miller, Member Jim Davis, Member Carr, Davis, Hartpootlian, Jensen, Jones, Kniss, McAlister, Miller, Montano, Resnikoff, Vaidhyanathan, Watanabe None Harney, Prochnow, Wasserman, Wolsheimer

Member Vaidhyanathan left her seat at 5:05 p.m.


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December 8, 2016

8.4.b

9.

Joint Development Parking Policy Ron Golem, Deputy Director of Real Estate, provided a report and distributed a presentation entitled “Joint Development Parking Policy,” highlighting 1) Parking: Key to Joint Development; 2) Policy Goals; 2) Park and Ride Parking Utilization; 3) Joint Development and Parking Supply; 4) Customer Survey Findings; 5) Best Practices- Pricing Parking; 6) Parking Management; 7) Proposed Joint Development Parking Policy; 8) New Parking Policy Implementation; and 9) Discussion. Robust discussion ensued between the Committee and staff regarding the following: 1) concerns about charging parking fees at park and ride lots and its potential impacts to nearby neighborhoods; 2) importance of using accurate data, including growth projections; and 3) how VTA’s other major initiatives such as Next Network, BART extensions, Highway 85, and other pending projects will affect the Joint Development Policy. Committee Members commented parking fees will not be strong revenue and will not increase ridership. Member Kniss left her seat at 5:42 p.m. Public Comment Mr. Lebrun, noted that the Joint Development Policy is not ready to be reviewed by the Board. Mr. Lebrun mentioned the lack of service at some stations would make it difficult to shift demand to those park and ride lots. He recommended involving all the necessary parties in order to find solutions and receive feedback. M/S/C (Jensen/Jones) to defer making a recommendation to the Board until there is clarity on how VTA’s major initiatives will affect the implementation of the parking policy. RESULT: MOVER: SECONDER: AYES: NOES: ABSENT:

UNANIMOUS Marcia Jensen, Member Chappie Jones, Member Carr, Davis, Hartpootlian, Jensen, Jones, Kniss, McAlister, Miller, Montano, Resnikoff, Watanabe None Harney, Prochnow, Vaidhyanathan, Wasserman, Wolsheimer

Member Jones left his seat at 6:07 p.m. 11.

Core Connectivity Study Aiko Cuenco, Transportation Planner III, provided an overview of the staff report and distributed a presentation entitled “Core Connectivity Study Emerging Mobility Strategies,” highlighting the following: 1) Transit Ridership Improvement Program; 2) Transportation Challenge; 3) Core Connectivity Study; 4) What Alternative Transit Delivery Strategies Exist; 5) Potential Markets for Alternative Services; 6) Analysis of Toolkit Strategies; 7) Strategy: Public-Private Partnerships; 8) Example: Public –Private Partnerships; 9) Strategy: Grant Program for Local Transportation Projects; 10) Example: Grant Program for Local


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December 8, 2016

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Transportation Projects; 11) Additional Strategies; 12) How might we deliver these strategies locally; 13) Next Steps: Core Connectivity. Upon inquiry of Committee Members, Jim Unites, Executive Manager, Transit Planning and Capital Development, reported that 2016 Measure B funds has a program category for first and last mile strategies. Mr. Unites further clarified that the solutions presented would vary per city based on their needs. Members of the Committee made the following comments: 1) expressed concern that everything is tied into the 2016 measure B funds which are not available until the summer of 2017; and 2) noted that Scoop, a shared commuting or rideshare service, has become a great alternative to carpooling in the City of Santa Clara. Chairperson Carr noted the Core Connectivity Study will return to the Committee in April 2017. On order of Chairperson Carr and there being no objection, the Committee received a presentation on the Core Connectivity Study on emerging mobility strategies. 12.

Election Process for 2017 Policy Advisory Committee Leadership: Nomination Subcommittee Report Member Miller provided a brief report, noting that an email has been sent out to the Committee to see who has interest in serving as Chair and/or Vice Chair for PAC. Member Miller noted voting will take place at the first meeting in January 2017. Member Montano announced it will be her last PAC meeting. Member Watanabe left her seat at 6:25 p.m. On order of Chairperson Carr and there being no objection, the Committee received the PAC Nomination Subcommittee's report on members expressing interest in serving as either chairperson or vice chairperson for 2017.

OTHER 13.

Committee Work Plan On order of Chairperson Carr and there being no objection, the Committee reviewed the Committee Work Plan.

14.

ANNOUNCEMENTS Chairperson Carr thanked those members who will no longer be on the Committee for their outstanding service on the PAC.

15.

ADJOURNMENT On order of Vice Chairperson Carr and there being no objection, the Committee meeting was adjourned at 6:27 p.m.


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COMMITTEE FOR TRANSIT ACCESSIBILITY

Friday, December 16, 2016

NOTICE OF CANCELLATION

NOTICE IS HEREBY GIVEN that the Santa Clara Valley Transportation Authority Committee for Transit Accessibility Workshop meeting scheduled for Friday, December 16, 2016, at 1:00 p.m. has been cancelled.


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STATE ROUTE 85 CORRIDOR POLICY ADVISORY BOARD Monday, December 12, 2016 MINUTES

CALL TO ORDER The Regular Meeting of the State Route 85 Corridor Policy Advisory Board (SR 85) was called to order at 10:01 a.m. by Chairperson Sinks in Community Hall, 10350 Torre Avenue, Cupertino, California. 1. ROLL CALL Attendee Name Mary-Lynne Bernald Jeannie Bruins Barry Chang Burton Craig Elizabeth Gibbons Glenn Hendricks Walter Huff Marcia Jensen Chappie Jones Tara Martin-Milius John McAlister Howard Miller Rob Rennie Paul Resnikoff Pat Showalter Rod Sinks Bijan Sartipi Dan McElhinney

Title Alternate Member Alternate Member Alternate Member Alternate Member Alternate Member Member Member Member Member Alternate Member Vice Chairperson Member Alternate Member Member Alternate Member Chairperson Ex-Officio Member Alt. Ex-Officio Member

Representing City of Saratoga City of Los Altos City of Cupertino City of Monte Sereno City of Campbell City of Sunnyvale City of Monte Sereno Town of Los Gatos City of San José City of Sunnyvale City of Mountain View City of Saratoga Town of Los Gatos City of Campbell City of Mountain View City of Cupertino Caltrans Caltrans

Status Absent Present Absent Absent Absent Absent Absent Present Present Present Absent Present Present Present Absent Present Absent Absent


PUBLIC PRESENTATIONS: Beverley Bryant, Interested Citizen, commented that high density along transit corridors is key to increasing ridership. Roland Lebrun, Interested Citizen, commented on the following: 1) VTA parking policy; and 2) Smart Freeways.

3.

ORDERS OF THE DAY There were no Orders of the Day. 3331 North First Street · San Jose, CA 95134-1927 · Administration 408.321.5555 · Customer Service 408.321.2300

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Member Miller requested staff provide a work plan to the Committee. Carolyn Gonot, Interim Director of Planning & Program Development and Staff Liaison, indicated that a work plan can be created and placed on the Agenda. 4.

Committee Staff Report Ms. Gonot provided updates on the following: 1) 2016 Measure B; 2) Next Network; 3) Transit Guideway Request for Proposals (RFP); 4) Express Lanes. Public Comment Mr. Lebrun commented on the following: 1) 2016 Measure B; and 2) Transit Guideway RFP.

CONSENT AGENDA 5.

Regular Meeting Minutes of September 26, 2016 M/S/C (Resnikoff/Miller) to approve the Regular Meeting Minutes of September 26, 2016. RESULT: MOVER: SECONDER: AYES: NOES: ABSENT:

APPROVED [UNANIMOUS] Paul Resnikoff, Member Howard Miller, Member Bruins, Jensen, Jones, Martin-Milius, Miller, Resnikoff, Sinks None Huff, McAlister

REGULAR AGENDA 6.

SR 85 Noise Reduction Program (Phase 1) Gene Gonzalo, Engineering Group Manager - Capital Program, provided a presentation titled “SR 85 Noise Reduction Study (Phase 1),” highlighting: 1) Project Background; 2) Noise Reduction Pilot Testing Locations; and 3) Recommendation and Next Steps. The Committee discussed the following: 1) pilot project; 2) similar paving projects; 3) pavement maintenance; and 4) other funding sources. Public Comment Meir Levi, Interested Citizen, made the following comments: 1) expressed gratitude for the noise study; and 2) other options for noise abatement. Mr. Lebrun commented on the following: 1) how the asphalt reacts to rain; 2) repaving SR 85; and 3) displaying the decibels along SR 85 for the public to see. Cheriel Jensen, Interested Citizen, commented on funding sources.

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Steven Levin, Interested Citizen, commented that asphalt is prone to more accidents than concrete. Members of the Committee and staff discussed the following: 1) Interstate 280 overlay project and similar paving projects; 3) next maintenance cycle for Highway 85; 4) cost of pilot project and implementation; 4) public outreach timeline; and 5) other funding sources. On order of Chairperson Sinks, and there being no objection, the Committee received a report on the “State Route 85 Noise Reduction Study Final Phase I Report” dated September 2016. 7.

Report on Express Route 185 Steve Fisher, Senior Transportation Planner, provided an overview of the staff report. Members of the Committee discussed the following: 1) advertising; 2) assessing success; 3) partnering with small and medium sized companies; and 4) express bus schedule. Public Comment Mr. Lebrun commented that the Express 185 would compete with Caltrain and shuttles when it should complement what is existing. Ms. Jensen suggested that the Express bus service start on a reservation basis. Mr. Levin made the following comments: 1) double express lanes will make Express bus service faster; and 2) expressed support for charging more for Express Route185. Rob Rennie, Town of Los Gatos Vice Mayor, suggested implementing the service in phases. Members of the Committee discussed the following: 1) using the shoulder for buses, which has been blocked by the California Highway Patrol's union; 2) comparison to Caltrain service; 3) ridership expectations; and 4) provided route and stop suggestions. Member Miller suggested staff look into free rides for a short period of time as part of the launch of Express Route 185. On order of Chairperson Sinks, and there being no objection, the Committee received a status report on VTA's forthcoming Express 185 service.

8.



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9. ADJOURNMENT On order of Chairperson Sinks and there being no objection, the meeting was adjourned at 11:27 a.m.


Thalia Young, Board Assistant VTA Office of the Board Secretary


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Diridon Station Joint Policy Advisory Board Friday, December 16, 2016

MINUTES

CALL TO ORDER The Regular Meeting of the Diridon Station Joint Policy Advisory Board (“Committee”) was called to order at 3:02 p.m. by Chairperson Liccardo in Wing Room 120, San José City Hall, 200 East Santa Clara Street, San José, California. 1.

ROLL CALL Attendee Name Tom Blalock Cindy Chavez Sam Liccardo Pierluigi Oliverio Raul Peralez Jim Beall Rod Diridon, Sr.

Title Member Vice Chairperson Chairperson Member Member Ex-Officio Ex-Officio

Status Present Absent Present Present Present Present Present


PUBLIC PRESENTATIONS: Roland Lebrun and David Dearborn, Interested Citizens, provided a brief video entitled “Roosevelt Park Underground Electric Substation Dedication,” highlighting the grand opening ceremony for Roosevelt Park’s underground substation that reliably delivers electricity to the Anaheim Hills and Canyon area.

3.


3331 North First Street · San Jose, CA 95134-1927 · Administration 408.321.5555 · Customer Service 408.321.2300

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CONSENT AGENDA 4.

Regular Meeting Minutes of September 16, 2016 M/S/C (Oliverio/Peralez) September 16, 2016. RESULT: MOVER: SECONDER: AYES: NAYES: ABSENT:

to

approve

the

Regular

Meeting

Minutes

of

APPROVED [UNANIMOUS] Pierluigi Oliverio, Vice Chairperson Raul Peralez, Member Blalock, Liccardo, Oliverio, Peralez None Chavez

REGULAR AGENDA 5.

Update on Caltrain Modernization Casey Fromson, Caltrain Modernization Program, provided a presentation entitled “Peninsula Corridor Electrification Project Update (PCEP),” highlighting: 1) Contract Award; 2) PCEP Timeline; 3) Electric Trains - Activities; 4) Electric Vehicle Outreach; 5) Electrification – Activities; 6) Electrification Phased Work; 7) Outreach; 8) Outreach Venues; 9) Community; 10) Funding Update; 11) High-Level Schedule, and; 12) Questions. Public Comment Mr. Lebrun commented on the following: 1) Caltrain funding; 2) programming and allocations; 3) noted Sacramento has serious concerns about the project which include the current management structure at Caltrain, and the fact that the tracks are currently at the wrong place, and; 4) Electrical Multiple Unit (EMU) funding. On order of Chairperson Liccardo and there being no objection, the Committee received an update on Caltrain Modernization.

6.

Update on High Speed Rail Ben Tripousis, Northern California Regional Director, California High Speed Rail Authority (CHSRA), provided a brief verbal report, highlighting: 1) project update; 2) community outreach; 3) environmental schedule, with anticipation to move forward with the preliminary preferred alternative in 2017, and; 4) revenue service is scheduled for 2025.


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Public Comment Mr. Lebrun commented on high speed rail through Santa Clara County District 1. On order of Chairperson Liccardo and there being no objection, the Committee received an update on High Speed Rail. 7.

Update on the Diridon Transportation Facilities Master Plan Nuria I. Fernandez, General Manager and CEO, introduced Leyla Hedayat, Transportation Planning Manager, as the Project Manager for Diridon Station Master Plan. Ms. Fernandez stated VTA has secured a consultant firm to help further understand the interconnectivity of all the modes of transportation that will be utilizing the Diridon Station, and to ensure a functional operations plan that will serve as the footprint for the intermodal facility. Ms. Hedayat introduced Jim Gast, Associate Vice President and Consultant, AECOM. Ms. Hedayat and Mr. Gast provided a presentation entitled “San Jose Diridon Transportation Facilities Master Plan,” highlighting: 1) Study Background; 2) Recent & Ongoing Planning; 3) Immediate Planning Needs; 4) Study Context; 5) Study Overview; 6) Introducing the Team; 7) Denver Union Station; 8) Comparing Diridon and Denver; 9) Applying and Adapting Lessons from Denver; 10) Goals; 11) Diridon Transportation Center 2025; 12) Master Plan Study 2017; 13) Phase 1: Objectives & Criteria; 14) Access Study; 15) Work Plan Highlights: Programming; 16) Diridon Station Master Plan; 17) Phase 2: Alternatives Analysis; 18) Work Plan Highlights: Identification of Alternatives; 19) Work Plan Highlights: Alternatives; 20) Objective and Transparent Screening Criteria; 21) Consultation & Guidance; 22) Guidance for Intermodal Facility Planning; 23) Consultation with DOMG/DTAG; 24) Overview Schedule; 25) Sample Drawing; 26) Work Plan: Principles, and; 27) Work Plan: Primary Activities. Members of the Committee and staff discussed the following: 1) master planning to connect Diridon Station to San Jose Airport; 2) functional needs to include restaurants, retail and possible hotel integration, and; 3) consider building partially below ground level to facilitate additional commercial opportunities. Public Comment Laura Tolkoff, San Jose Policy Director at SPUR, made the following comments: 1) expressed excitement in the project moving forward; 2) encouraged partners to think big about a set of aspirational goals, and; 3) evaluate the trade-offs of each alternative. Adina Levin, Friends of Caltrain, made the following comments: 1) expressed support for the project, and; 2) suggested as the high speed rail lines are being designed to consider options for those traveling between San Jose and San Francisco by offering more service and schedule options. Mr. Lebrun commented on the following: 1) expressed support for the project, and; 2) encourages moving the substation underground and building a park on top.


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Chairperson Liccardo stated the High Speed Rail (HSR) informed him that the Pacific Gas & Electric (PG&E) substation would need to be moved. He suggested the matter be discussed off-line. On order of Chairperson Liccardo and there being no objection, the Committee received an update on the Diridon Transportation Facilities Master Plan. 8.

Station Area Interim Parking Update Bill Ekern, City of San Jose Consultant, provided a presentation entitled “Parking Analysis and Strategy: 2016-2025,” highlighting: 1) The Issues; 2) Process; 3) Key Decisions; 4) Strategy; 5) Recommended Sites, and; 6 Recommendations. Members of the Committee and staff discussed the following: 1) roadway capacity on Autumn and Montgomery Streets; 2) leasing redevelopment cites; 3) replacement of San Carlos Street bridge overpass due to seismic instability; 4) parking rules within Diridon Station planning area have not been determined by the City of San Jose, and; 5) expressed support for underground parking within Diridon Station. Senator Beall stated he would like to see more planning around the San Carlos Street bridge overpass, railroad trestle and creek area. Public Comment Mr. Lebrun referenced slide four of the presentation and commented: 1) Site C2 is critical as one of the two entrances to the HSR station and needs to be saved, and 2) Site S2 is a possible relocation site for the underground substation. M/S/C (Peralez/Blalock) to: 1) Direct staff to refine the analysis for development of three sites for use as interim surface parking supply in support of ongoing transit and business operations in the Diridon Area; 2) Direct staff to explore options for uses of the properties owned by the Successor Agency to the Redevelopment Agency to the City of San Jose as interim surface parking supply in support of ongoing transit and business operations in the Diridon Area, and; 3) Direct staff to proceed with preparation of a Memorandum of Understanding that outlines how the transit agencies and the City of San Jose will coordinate the development and operation of the aforementioned surface parking supply. RESULT: MOVER: SECONDER: AYES: NAYES: ABSENT:

APPROVED [UNANIMOUS] Raul Peralez, Vice Chairperson Tom Blalock, Member Blalock, Liccardo, Oliverio, Peralez None Chavez


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9.

Legislative Update Aaron Quigley, Senior Policy Analyst, direction attention to the Legislative Report and provided a brief update. On order of Chairperson Liccardo and there being no objection, the Committee received the Legislative Update.

10.

ANNOUNCEMENTS Ex-Officio Member Diridon expressed concern that the Caltrain Station interior ceiling is deteriorating and asked Ms. Fromson to make sure roof repair is included in the budget.

11.

ADJOURNMENT On order of Chairperson Liccardo and there being no objection, the meeting was adjourned at 4:17 p.m.




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DOWNTOWN EAST VALLEY POLICY ADVISORY BOARD


NOTICE OF CANCELLATION

NOTICE IS HEREBY GIVEN that the Downtown East Valley Policy Advisory Board Meeting scheduled for 1:00 p.m. on Monday, December 19, 2016, has been cancelled.
