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TRANSCRIPT
BOX 9000, PRESIDIO STATION ♦ SAN FRANCISCO, CA 94129-0601 ♦ USA
September 20, 2019
BOARD OF DIRECTORS MEETING FRIDAY, SEPTEMBER 27, 2019
(5) CONSENT CALENDAR:
(A) Approve the Minutes of the following Meetings: (1) Building and Operating Committee of August 22, 2019; (2) Finance-Auditing Committee of August 22, 2019; and, (3) Board of Directors of August 23, 2019.
Motion (B) Ratification of Previous Actions by the Auditor-Controller:
(1) Ratify Commitments and/or Expenditures (2) Ratify Previous Investments (3) Authorize Investments (4) Accept Investment Report, August 2019
Resolution
DRAFT
BOX 9000, PRESIDIO STATION ♦ SAN FRANCISCO, CA 94129-0601 ♦ USA
August 22, 2019
MINUTES OF THE BUILDING AND OPERATING COMMITTEE/
COMMITTEE OF THE WHOLE
Honorable Board of Directors
Golden Gate Bridge, Highway
and Transportation District
Honorable Members:
A meeting of the Building and Operating Committee/Committee of the Whole (Committee) of the
Golden Gate Bridge, Highway and Transportation District (District) was held in the Board Room,
Administration Building, Golden Gate Bridge Toll Plaza, San Francisco, CA, on Thursday, August
22, 2019, at 9:30 a.m., Acting Chair/President Hernández presiding.
(1) Call to Order: 9:30 a.m.
(2) Roll Call: Secretary of the District Amorette M. Ko-Wong.
Committee Members Present (5): Acting Chair/President Hernández; Directors Cochran,
Fredericks, Garbarino, and Rabbitt.
Committee Members Absent (3): Chair Theriault; Vice Chair Moylan; Director Belforte.
Other Directors Present (5): Directors Grosboll, Hill, Pahre, Sears, and Sobel.
Committee of the Whole Members Present (10): Directors Cochran, Fredericks,
Garbarino, Grosboll, Hill, Rabbitt, Sears, and Sobel; First Vice President Pahre; President
Hernández.
Committee of the Whole Members Absent (9): Directors Arnold, Belforte, Brown,
Fewer, Mastin, Moylan, Walton, and Yee; Second Vice President Theriault.
Staff Present: General Manager Denis Mulligan; Auditor-Controller Joseph Wire;
District Engineer Ewa Bauer-Furbush; Secretary of the District Amorette Ko-Wong;
Attorney Kimon Manolius; Deputy General Manager/Administration and Development
Kellee Hopper; Deputy General Manager/Bridge Steve Miller; Division Deputy General
Manager/Bus Transit Division Mona Babauta; Deputy General Manager/Ferry Division
James Swindler; Director of Risk Management and Safety Kelli Vitale; Director of Public
Affairs Priya Clemens; Executive Assistant to the General Manager Justine Bock; Assistant
Clerk of the Board Patsy Whala.
Visitors Present: None
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BUILDING AND OPERATING COMMITTEE/COMMITTEE OF THE WHOLE
AUGUST 22, 2019/PAGE 2
(3) Authorize Execution of Contract Change Order No. 62 to Contract No. 2016-B-1,
Golden Gate Bridge Physical Suicide Deterrent System and Wind Retrofit Project
(a) Staff Report
In a memorandum to the Committee, Deputy District Engineer John Eberle, District
Engineer Ewa Bauer-Furbush, and General Manager Denis Mulligan reported on staff’s
recommendation to authorize execution of Contract Change Order (CCO) No. 62 to
Contract No. 2016-B-1, Golden Gate Bridge Suicide Deterrent System and Wind Retrofit
Project, for modifications to the suicide deterrent system (SDS) wire mesh splice details.
A copy of the staff report is available on the District’s web site or upon request from the
Office of the District Secretary.
(b) Presentation of Staff Report
At the meeting, Ms. Bauer-Furbush reviewed the staff report. She stated that this item is
regarding the construction of the wire ropes to create the stainless steel wire mesh for the
SDS net. She explained that the original contract called for one connector (called ferrule)
to splice the wire mesh fabric; however, on the mockup, staff discovered that the wire ropes
at the splice location had an uneven finish. She pointed out that, considering the
environmental conditions at the Bridge, the splice would accumulate salt and debris, which
would make it prone to corrosion. District staff worked with the fabricator and they
developed a splice detail that utilizes two ferrules. This solution will not only cover the
ends of the splice but also provides sufficient splice strength to support objects that may
fall into the net.
(c) Discussion by the Committee
Director Cochran inquired as to the cost breakdown of the CCO’s listed on the table in the
staff report. Ms. Bauer-Furbush explained that when there is a potential for modifications
to the contract, staff will assign a CCO even though the cost has not been negotiated with
the contractor. She explained that it is not beneficial to provide the amount of the CCO
until an agreement has been reached.
President Hernández commented that the CCO is another example of the complexity of the
SDS project.
Director Sobel inquired as to why this modification was not foreseeable. In response, Ms.
Bauer-Furbush stated that one ferrule met the District’s load criteria of tensile strength;
however, after inspecting the mockup, staff found that the uneven finish of the splice was
subject to maintenance issues. Staff is recommending the addition of a second splice to err
on the side of caution.
(d) Action by the Committee
Staff recommended and the Committee concurred by motion made and seconded by
Directors GROSBOLL/COCHRAN to forward the following recommendation to the
Board of Directors for its consideration:
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BUILDING AND OPERATING COMMITTEE/COMMITTEE OF THE WHOLE
AUGUST 22, 2019/PAGE 3
RECOMMENDATION
The Building and Operating Committee/Committee of the Whole recommends that the
Board of Directors authorize execution of Contract Change Order (CCO) No. 62 to
Contract No. 2016-B-1, Golden Gate Bridge Suicide Deterrent System and Wind Retrofit
Project, in the amount of $420,685 for modifications to the suicide deterrent system wire
mesh splice details; with the understanding that sufficient funds are available in the
Contract No. 2016-B-1 construction contingency to finance this CCO.
Action by the Board at its meeting of August 23, 2019 - Resolution
AYES (10): Directors Cochran, Fredericks, Garbarino, Grosboll, Hill, Rabbitt, Sears,
and Sobel; First Vice President Pahre; President Hernández.
NOES (0): None.
ABSENT (9): Directors Arnold, Belforte, Brown, Fewer, Mastin, Moylan, Walton, and
Yee; Second Vice President Theriault.
(4) Approve Award of Sole Source Contract No. 2019-F-023, Procurement and
Installation of MRAD System for Golden Gate Ferry Fleet, to Vector Controls Inc.
(a) Staff Report
In a memorandum to the Committee, Director of Engineering and Maintenance/Ferry
Division Damon Brewer, Deputy General Manager/Ferry Division James Swindler, and
General Manager Denis Mulligan reported on staff’s recommendation to award Sole
Source Contract No. 2019-F-023, Procurement and Installation of MRAD System for
Golden Gate Ferry Fleet to Vector Controls Inc. (Vector), Newton, MA. A copy of the
staff report is available on the District’s web site or upon request from the Office of the
District Secretary.
(b) Presentation of Staff Report
At the meeting, Mr. Swindler briefly reviewed the staff report. He stated that it is easier to
diagnose problems with the ferry using electronic controls as opposed to the mechanical
controls of years past. He highlighted one of the benefits of installing the digital system is
that it allows the crew to make diagnoses onboard and to access information that can be
uploaded onto a server to pinpoint problems.
(c) Discussion by the Committee
Director Hill inquired as to whether it works in real time to analyze the problems with the
propulsion system right away. In response, Mr. Swindler stated that staff is presently
assessing connection issues; however, the system will provide information in real time. He
noted that the information can be sent to Vector and they can provide assistance in real
time as well.
(d) Action by the Committee
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BUILDING AND OPERATING COMMITTEE/COMMITTEE OF THE WHOLE
AUGUST 22, 2019/PAGE 4
Staff recommended and the Committee concurred by motion made and seconded by
Directors COCHRAN/FREDERICKS to forward the following recommendation to the
Board of Directors for its consideration:
RECOMMENDATION
The Building and Operating Committee/Committee of the Whole recommends that the
Board of Directors approve award of Sole Source Contract No. 2019-F-023, Procurement
and Installation of MRAD System for Golden Gate Ferry Fleet, to Vector Controls Inc.,
Newton, MA, in the not to exceed amount of $312,036.
Action by the Board at its meeting of August 23, 2019 - Resolution
AYES (10): Directors Cochran, Fredericks, Garbarino, Grosboll, Hill, Rabbitt, Sears,
and Sobel; First Vice President Pahre; President Hernández.
NOES (0): None.
ABSENT (9): Directors Arnold, Belforte, Brown, Fewer, Mastin, Moylan, Walton, and
Yee; Second Vice President Theriault.
(5) Approve Actions Relative to the Award of Sole Source Contract No. 2019-F-043,
Diesel Engines and Control Systems for Spaulding Class Vessels, to Pacific Power
Group
(a) Staff Report
In a memorandum to the Committee, Director of Engineering and Maintenance/Ferry
Division Damon Brewer, Deputy General Manager/Ferry Division James Swindler, and
General Manager Denis Mulligan reported on staff’s recommendation to award Sole
Source Contract No. 2019-F-043, Diesel Engines and Control Systems for Spaulding Class
Vessels to Pacific Power Group of Kent, WA. A copy of the staff report is available on the
District’s web site or upon request from the Office of the District Secretary.
(b) Presentation of Staff Report
At the meeting, Mr. Swindler briefly summarized the staff report. He noted a catastrophic
loss of an engine on a Spaulding-class ferry would tie-up a ferry at the shipyard for months
awaiting repair or a new engine. He also noted that spare engines would lessen the time it
takes for major overhauls.
(c) Action by the Committee
Staff recommended and the Committee concurred by motion made and seconded by
Directors GARBARINO/FREDERICKS to forward the following recommendation to
the Board of Directors for its consideration:
RECOMMENDATION
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BUILDING AND OPERATING COMMITTEE/COMMITTEE OF THE WHOLE
AUGUST 22, 2019/PAGE 5
The Building and Operating Committee/Committee of the Whole recommends that the
Board of Directors approve actions relative to the award of Sole Source Contract No. 2019-
F-043, Diesel Engines and Control Systems for Spaulding Class Vessels, to Pacific Power
Group, as follows:
i. Authorize sole source procurement and award of Contract No. 2019-F-043 to
Pacific Power Group of Kent, WA, in the amount of $1,150,000, inclusive of tax
for two engines; and,
ii. Authorize a contract contingency of $150,000, to cover unforeseen materials or
service in support of the required preservation and storage.
Action by the Board at its meeting of August 23, 2019 - Resolution
AYES (10): Directors Cochran, Fredericks, Garbarino, Grosboll, Hill, Rabbitt, Sears,
and Sobel; First Vice President Pahre; President Hernández.
NOES (0): None.
ABSENT (9): Directors Arnold, Belforte, Brown, Fewer, Mastin, Moylan, Walton, and
Yee; Second Vice President Theriault.
(6) Approve Actions Relative to the Award of Sole Source Contract No. 2019-F-041,
Marine Gearboxes for Spaulding Class Vessels, to ZF Marine
(a) Staff Report
In a memorandum to the Committee, Director of Engineering and Maintenance/Ferry
Division Damon Brewer, Deputy General Manager/Ferry Division James Swindler, and
General Manager Denis Mulligan reported on staff’s recommendation to award Sole
Source Contract No. 2019-F-041, Marine Gearboxes for Spaulding Class Vessels to ZF
Marine of Mukilteo, WA. A copy of the staff report is available on the District’s web site
or upon request from the Office of the District Secretary.
(b) Presentation of Staff Report
At the meeting, Mr. Swindler summarized the staff report.
(c) Discussion by the Committee
Director Pahre inquired if there will be a time when it will not be cost efficient to maintain
the Spaulding-class ferries. In response, Mr. Swindler stated that refurbishment of the M.S.
Sonoma is currently underway and the interior is being completely gutted. In the course of
inspection of the M.S. Sonoma, the inspectors noted that it is apparent that the construction,
materials and fabrication of the vessel is superior and made to last, potentially another 30
years.
Director Pahre commended Mr. Swindler and his staff for being proactive in the
maintenance of the District’s ferries.
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BUILDING AND OPERATING COMMITTEE/COMMITTEE OF THE WHOLE
AUGUST 22, 2019/PAGE 6
Director Hill inquired as to whether a battery-operated system can be installed on the
Spaulding-class vessels. Mr. Swindler responded in the affirmative and noted that the
Spaulding-class vessels are well suited for the technology as they have plenty of capacity.
He added that when the technology is available the Spaulding vessels would be the first to
get the equipment.
(d) Action by the Committee
Staff recommended and the Committee concurred by motion made and seconded by
Directors GARBARINO/FREDERICKS to forward the following recommendation to
the Board of Directors for its consideration:
RECOMMENDATION
The Building and Operating Committee/Committee of the Whole recommends that the
Board of Directors approve actions relative to the award of Sole Source Contract No. 2019-
F-041, Marine Gearboxes for Spaulding Class Vessels, to ZF Marine, as follows:
i. Authorize sole source procurement and award of Contract No. 2019-F-041 to ZF
Marine of Mukilteo, WA, in the amount of $400,000 inclusive of tax for two
gearboxes; and,
ii. Authorize a contract contingency of $70,000 to cover unforeseen materials or
service in support of the required preservation and storage.
Action by the Board at its meeting of August 23, 2019 - Resolution
AYES (10): Directors Cochran, Fredericks, Garbarino, Grosboll, Hill, Rabbitt, Sears,
and Sobel; First Vice President Pahre; President Hernández.
NOES (0): None.
ABSENT (9): Directors Arnold, Belforte, Brown, Fewer, Mastin, Moylan, Walton, and
Yee; Second Vice President Theriault.
(7) Approve Actions Relative to the M.V. Del Norte, M.V. Napa and M.V. Golden Gate
Main Engine Overhaul, Scheduled Dry Dockings and Capital Improvements Project
(a) Staff Report
In a memorandum to the Committee, Director of Engineering and Maintenance/Ferry
Division Damon Brewer, Deputy General Manager/Ferry Division James Swindler, and
General Manager Denis Mulligan reported on staff’s recommendation to ratify the General
Manager’s authorization of Contract Change Order (CCO) No. 2 to Contract No. 2018-F-
088. A copy of the staff report is available on the District’s web site or upon request from
the Office of the District Secretary.
(b) Presentation of Staff Report
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BUILDING AND OPERATING COMMITTEE/COMMITTEE OF THE WHOLE
AUGUST 22, 2019/PAGE 7
At the meeting, Mr. Swindler summarized the staff report. He noted that the CCO carries
with it some interesting information about a variety of problems including the coating
systems and the associated costs, and the piping. He stated that staff worked through those
problems, but they caused major delays to getting the ferries back into service. He also
noted that the M.V. Golden Gate is currently in dry-dock and staff anticipates requesting a
CCO to cover costs of additional work.
(c) Action by the Committee
Staff recommended and the Committee concurred by motion made and seconded by
Directors PAHRE/COCHRAN to forward the following recommendation to the Board
of Directors for its consideration:
RECOMMENDATION
The Building and Operating Committee/Committee of the Whole recommends that the
Board of Directors approve actions relative to the M.V. Del Norte, M.V. Napa and M.V.
Golden Gate Main Engine Overhaul, Scheduled Dry Dockings and Capital Improvements
Project, as follows:
i. Ratify the General Manager’s authorization of Change Order No. 2 to Contract No.
2018-F-088, M.V. Napa, M.V. Del Norte and M.V. Golden Gate Scheduled Dry
Dockings and Capital Improvements and payment of same in the amount of
$892,095;
ii. Authorize an increase to the contract contingency for Contract No. 2018-F-088, in
the amount of $1,350,000, from $1,000,000 to $2,350,000; and,
iii. Authorize an increase in the FY 19/20 Ferry Division Capital Budget for Project
#1941, M.V. Del Norte, M.V. Napa and M.V. Golden Gate Main Engine Overhaul,
Scheduled Dry Dockings and Capital Improvements Project, in the amount of
$738,241, which, along with a reduction in the contract contingency for Contract
2018-FT-079 discussed in this report, will fund completion of the project, including
the increased contingency in Contract No. 2018-F-088;
subject to the concurrence of the Finance-Auditing Committee at its meeting of August 22,
2019.
Action by the Board at its meeting of August 23, 2019 - Resolution
AYES (10): Directors Cochran, Fredericks, Garbarino, Grosboll, Hill, Rabbitt, Sears,
and Sobel; First Vice President Pahre; President Hernández.
NOES (0): None.
ABSENT (9): Directors Arnold, Belforte, Brown, Fewer, Mastin, Moylan, Walton, and
Yee; Second Vice President Theriault.
(8) Status Report from Board Appointee(s) on Sonoma-Marin Area Rail Transit Board
The Committee received a verbal update on matters relating to Sonoma-Marin Area Rail
Transit (SMART).
DRAFT
BUILDING AND OPERATING COMMITTEE/COMMITTEE OF THE WHOLE
AUGUST 22, 2019/PAGE 8
The verbal update is provided for informational purposes only and no action is required. A
copy of the written report is available on the District’s web site or upon request from the
Office of the District Secretary.
Director Pahre reported that the SMART Board of Directors deliberated on its Strategic
Plan at its August 21, 2019 meeting and discussed a possible sales tax in March 2020. She
stated that SMART staff presented a report at the meeting regarding the SMART train
extension to Cloverdale and Healdsburg. She noted that the report clarified SMART’s
capital and operating funding, and how the revenues are utilized. She said that when a sales
tax is proposed, those types of funding sources tend to not be readily apparent the public.
She pointed out the sources of funding for capital is grants and operating is reserves. She
also stated that SMART is celebrating its second anniversary.
Director Rabbitt provided details about the cost of the SMART train going north and
provided the distances. He talked about the expense of construction contracts and noted
that some costs are lower than the original forecast. He also talked about the challenges of
getting capital grants as a result of the ridership, distance and cost. He highlighted aspects
of the SMART’s Strategic Plan Update that was presented at its August 21st meeting.
(9) Status Report on Engineering Projects
In a memorandum to the Committee, Deputy District Engineer John Eberle, District
Engineer Ewa Bauer-Furbush, and General Manager Denis Mulligan reported on current
engineering projects. The report is provided for informational purposes only and no action
is required. A copy of the report is available on the District’s web site or upon request from
the Office of the District Secretary.
(10) Public Comment
There were no Public Comments.
(11) Adjournment
All business having been concluded the meeting was adjourned at 10:06 a.m.
Respectfully submitted,
Sabrina Hernández, President and Acting Chair
Building and Operating Committee
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BOX 9000, PRESIDIO STATION ♦ SAN FRANCISCO, CA 94129-0601 ♦ USA
August 22, 2019
MINUTES OF THE FINANCE-AUDITING COMMITTEE
Honorable Board of Directors
Golden Gate Bridge, Highway
and Transportation District
Honorable Members:
A meeting of the Finance-Auditing Committee (Committee) of the Golden Gate Bridge, Highway
and Transportation District (District) was held in the Board Room, Administration Building,
Golden Gate Bridge Toll Plaza, San Francisco, CA, on Thursday, August 22, 2019, at 10:09 a.m.,
Chair Pahre presiding.
(1) Call to Order: 10:09 a.m.
(2) Roll Call: Secretary of the District Amorette M. Ko-Wong.
Committee Members Present (6): Chair Pahre; Vice Chair Fredericks; Directors Cochran,
Grosboll and Sobel; President Hernández.
Committee Members Absent (2): Directors Moylan and Yee.
Other Directors Present (3): Directors Hill and Rabbitt.
Staff Present: General Manager Denis Mulligan; Auditor-Controller Joseph Wire;
District Engineer Ewa Bauer-Furbush; Secretary of the District Amorette Ko-Wong;
Attorney Kimon Manolius; Deputy General Manager/Administration and Development
Kellee Hopper; Deputy General Manager/Bridge Steve Miller; Division Deputy General
Manager/Bus Transit Division Mona Babauta; Deputy General Manager/Ferry Division
James Swindler; Director of Risk Management and Safety Kelli Vitale; Public Information
and Marketing Programs Manager Priya Clemens; Executive Assistant to the General
Manager Justine Bock; Assistant Clerk of the Board Patsy Whala.
Visitors Present: Lesley Murphy, PFM Asset Management, LLC.
(3) Ratification of Previous Actions by the Auditor-Controller
(a) Staff Report
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FINANCE-AUDITING COMMITTEE
AUGUST 22, 2019/PAGE 2
In a memorandum to the Committee, Auditor-Controller Joseph Wire and General
Manager Denis Mulligan reported on the commitments, disbursements and investments
made on behalf of the District. The report included a copy of the District’s “Investment
Report” for July 2019 from PFM Asset Management, LLC (PFM).
A copy of the staff report is available on the District’s web site or upon request from the
Office of the District Secretary.
At the meeting, PFM Senior Managing Consultant Lesley Murphy reviewed the Investment
Report. Ms. Murphy made remarks about the variation of U.S. Treasury yields, the rate cut
by the Federal Reserve, and the China-U.S. trade war effects on the U.S. market. She
provided an update on market conditions in short-term credit, and stated that in a declining
interest rate environment there is some value in locking in the short-term credit yields when
available. She confirmed the District’s portfolio is in compliance with Board policy and
the law, and is well-diversified. She added that looking ahead there may be value in
corporate notes and triple A–rated asset-backed securities to boost the relative earnings in
the District portfolio. She reiterated PFM’s priority to maintain the safety of the District’s
portfolio.
(b) Action by the Committee
Staff recommended and the Committee concurred by motion made and seconded by
Directors COCHRAN/GROSBOLL to forward the following recommendation to the
Board of Directors for its consideration:
RECOMMENDATION
The Finance-Auditing Committee recommends that the Board of Directors approve the
following actions, as detailed in the staff report:
(i) The Board of Directors has no commitments and/or expenditures to ratify for the
period July 1, 2019, through July 30, 2019.
(ii) Ratify investments made during the period July 16, 2019, through August 15, 2019.
(iii) Authorize the reinvestment, within the established policy of the Board, of any
investments maturing between August 16, 2019, and September 16, 2019, as well
as the investment of all other funds not required to cover expenditures, which may
become available.
(iv) Accept the Investment Report for July 2019.
Action by the Board at its meeting of August 23, 2019 – Resolution
CONSENT CALENDAR
AYES (6): Chair Pahre; Vice Chair Fredericks; Directors Cochran, Grosboll, and Sobel;
President Hernández.
NOES (0): None.
ABSENT (2): Directors Moylan and Yee.
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FINANCE-AUDITING COMMITTEE
AUGUST 22, 2019/PAGE 3
(4) Authorize Budget Adjustment(s) and/or Transfer(s)
(a) Budget Increase in the FY 19/20 Ferry Division Capital Budget Relative to
Project #1941, M.V. Del Norte, M.V. Napa and M.V. Golden Gate Main Engine
Overhaul, Scheduled Dry Dockings and Capital Improvements Project
(i) Staff Report
In a memorandum to the Committee, Director of Engineering and Maintenance/Ferry
Division Damon Brewer, Deputy General Manager/Ferry Division James Swindler and
General Manager Denis Mulligan reported on staff’s recommendation, in concurrence with
the Building and Operating Committee at its meeting on August 22, 2019, to authorize an
increase in the FY 19/20 Ferry Division Capital Budget for Project #1941.
A copy of the staff report is available on the District’s web site or upon request from the
Office of the District Secretary.
(ii) Action by the Committee
Staff recommended and the Committee concurred by motion made and seconded by
Directors COCHRAN/FREDERICKS to forward the following recommendation to the
Board of Directors for its consideration:
RECOMMENDATION
The Finance-Auditing Committee recommends, in concurrence with the Building and
Operating Committee at its meeting on August 22, 2019, that the Board of Directors
authorize an increase in the amount of $738,241 in the FY 19/20 Ferry Division Capital
Budget for Project #1941, M.V. Del Norte, M.V. Napa and M.V. Golden Gate Main Engine
Overhaul, Scheduled Dry Dockings and Capital Improvements Project, which, along with
a reduction in the contract contingency for Contract 2018-FT-079, as discussed in the
report, will fund completion of the project, including the increased contingency in Contract
No. 2018-F-088.
Carried
AYES (6): Chair Pahre; Vice Chair Fredericks; Directors Cochran, Grosboll, and Sobel;
President Hernández.
NOES (0): None.
ABSENT (2): Directors Moylan and Yee.
(5) Authorize Actions Related to Grant Programs
No actions required authorization.
(6) Monthly Review of Golden Gate Bridge Traffic/Tolls and Bus and Ferry Transit
Patronage/Fares (for One Month Ending July 2019)
(a) Staff Report
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FINANCE-AUDITING COMMITTEE
AUGUST 22, 2019/PAGE 4
In a memorandum to Committee, Auditor-Controller Joseph Wire, and General Manager
Denis Mulligan provided schedules and charts for informational purposes only and no
action is recommended.
A copy of the staff report is available on the District’s web site or upon request from the
Office of the District Secretary.
(b) Presentation by Staff
At the meeting, Mr. Wire briefly summarized the staff report.
(7) Monthly Review of Financial Statements (for One Month Ending July 2019)
(a) Statement of Revenue and Expenses
In a memorandum to Committee, Auditor-Controller Joseph Wire, and General Manager
Denis Mulligan provided financial statements for informational purposes only and no
action is recommended. Mr. Wire stated he would do a verbal report next month.
(b) Statement of Capital Programs and Expenditures
In a memorandum to Committee, Analyst of Capital and Grant Programs Jacob Brown,
Director of Capital and Grant Programs Amy Frye, Auditor-Controller Joseph Wire and
General Manager Denis Mulligan provided financial statements for informational purposes
only and no action is recommended.
Copies of the reports for Item Nos. 7.a and 7.b are available on the District’s web site or
upon request from the Office of the District Secretary.
(8) Closed Session
Attorney Manolius, at the request of Chair Pahre, stated that the Committee would convene
in Closed Session, as permitted by the Brown Act to discuss the following matters, listed
on the Agenda as Item No. 8:
(a) Conference with Legal Counsel – Existing Litigation
Pursuant to Government Code Section 54956.9(a)
Report of Athens Administrators, Inc.
(i) Larry Burkhardt v. Golden Gate Bridge, Highway and Transportation
District.
(ii) Michael Frost v. Golden Gate Bridge, Highway and Transportation District.
(iii) Richard Looper v. Golden Gate Bridge, Highway and Transportation
District.
After Closed Session, Chair Pahre called the meeting to order in Open Session with a
quorum present. Attorney Manolius stated that the Committee had met in Closed Session,
as permitted by the Brown Act, to receive a report from the attorneys, and discuss the
matter listed under Closed Session, outlined above. Attorney Manolius reported that the
Committee gave the District’s negotiators appropriate guidance.
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FINANCE-AUDITING COMMITTEE
AUGUST 22, 2019/PAGE 5
(9) Public Comment
There was no public comment.
(10) Adjournment
All business having been concluded, the meeting was adjourned at 10:34 a.m.
Respectfully submitted,
Barbara L. Pahre, Chair
Finance-Auditing Committee
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BOX 9000, PRESIDIO STATION ♦ SAN FRANCISCO, CA 94129-0601 ♦ USA
2019-08
GOLDEN GATE BRIDGE, HIGHWAY AND TRANSPORTATION DISTRICT
MEMORANDUM OF MINUTES
BOARD OF DIRECTORS MEETING
AUGUST 23, 2019
The Board of Directors (Board) of the Golden Gate Bridge, Highway and Transportation District
(District) met in regular session in the Board Room, Administration Building, Golden Gate Bridge
Toll Plaza, San Francisco, CA, on Friday, August 23, 2019, at 10:11 a.m., President Hernández
presiding.
(1) CALL TO ORDER: 10:11 a.m.
(2) ROLL CALL: Secretary of the District Amorette M. Ko-Wong
Directors Present (11): Directors Arnold, Brown, Cochran, Fewer, Fredericks, Garbarino,
Hill, Sears, and Sobel; First Vice President Pahre; President Hernández.
Directors Absent (8): Directors Belforte, Grosboll, Mastin, Moylan, Rabbitt, Walton, and
Yee; Second Vice President Theriault.
Staff Present: General Manager Denis Mulligan; Auditor-Controller Joseph Wire;
District Engineer Ewa Bauer-Furbush; Secretary of the District Amorette Ko-Wong;
Attorney Kimon Manolius; Attorney Alexandra Atencio, Attorney Mollie Kaban, Deputy
General Manager/Administration and Development Kellee Hopper; Deputy General
Manager/Bridge Division Steve Miller; Deputy General Manager/Bus Transit Division
Mona Babauta; Deputy General Manager/Ferry Division James Swindler; Assistant Clerk
of the Board Patsy Whala.
Visitors Present: Kymberlyrenée Gamboa, Sacramento County Resident; John Holden,
Marin County Resident; Dave Rhody, San Francisco County Resident; Helena Birecki, San
Francisco County Resident; Michael Thomas, Marin County Resident; Michelle Meyers,
Marin County Resident; Juan Monsanto, San Francisco County Resident; Kim Stryker, San
Francisco County Resident; Kathy Henning, San Francisco County Resident; Lianne
McNeal, San Francisco County Resident; Kristin Tieche, Climate Reality.
(3) PLEDGE OF ALLEGIANCE: Director Vallie Brown
DRAFT
BOARD OF DIRECTORS MEETING
AUGUST 23, 2019/PAGE 2
(4) PUBLIC COMMENT:
(A) Public Comment
Kimberlyrenée Gamboa, Sacramento County Resident, spoke in support of the
construction of the Suicide Deterrent System (SDS), and appreciation of the Bridge Patrol
and their efforts to prevent suicides.
John Holden, Marin County Resident and Bus Operator, spoke in support of Julie Botelho,
the August Employee of the Month and his Trainer two years ago. He encouraged the
District to consider employees like Ms. Botelho as candidates for mentoring and internal
promotion. Mr. Holden also mentioned his hope that there would be resolution in the ATU
negotiation soon.
[Director Sears Arrived.]
Dave Rhody, San Francisco County Resident: See attached script copy of the speaker’s
statement.
Helena Birecki, San Francisco County Resident: See attached script copy of the speaker’s
statement.
Michael Thomas, Marin County Resident: See attached script copy of the speaker’s
statement.
Michelle Meyers, Marin County Resident: See attached script copy of the speaker’s
statement.
Juan Monsanto, San Francisco County Resident: See attached script copy of the speaker’s
statement.
Kim Stryker, San Francisco County Resident: See attached script copy of the speaker’s
statement.
Kathy Henning, San Francisco County Resident: See attached script copy of the speaker’s
statement.
Lianne McNeal, San Francisco County Resident: See attached script copy of the speaker’s
statement.
Kristin Tieche: See attached script copy of the speaker’s statement.
(B) Discussion by Board
President Hernández recognized the Climate Reality Project speakers and requested staff
review the petition submitted, and discuss and submit an appropriate recommendation.
DRAFT
BOARD OF DIRECTORS MEETING
AUGUST 23, 2019/PAGE 3
Director Sears commented on her previous positive experience with the Climate Reality
Project, and the content of the Petition. She supported accelerating the transition of the
District’s Ferries and Buses into electric propulsion.
Director Fewer confirmed the City and County of San Francisco did adopt a climate
emergency resolution. She noted San Francisco is reviewing many of the items included in
the Petition presented today such as increasing bicycle accessibility, migrating to all
electric vehicles, and requiring new buildings have electric vehicle charging stations. San
Francisco is also considering a resolution or ordinance to ban natural gas in new
construction.
President Hernández stated that she has asked the General Manager to summarize the
District’s efforts to date and the plans to address climate issues.
(5) CONSENT CALENDAR:
Directors PAHRE/COCHRAN moved and seconded to approve the Consent Calendar.
All items were approved by the following vote of the Board of Directors:
AYES (11): Directors Arnold, Brown, Cochran, Fewer, Fredericks, Garbarino, Hill,
Sears, and Sobel; First Vice President Pahre; President Hernández.
NOES (0): None.
ABSENT (8): Directors, Belforte, Grosboll, Mastin, Moylan, Rabbitt, Walton, and Yee;
Second Vice President Theriault.
(A) Approve the Minutes of the following Meetings
(1) Transportation Committee of July 25, 2019;
(2) Building and Operating Committee of July 25, 2019;
(3) Finance-Auditing Committee of July 25, 2019;
(4) Rules, Policy and Industrial Relations Committee of July 26, 2019; and
(5) Board of Directors of July 26, 2019. Carried
(B) Ratification of Previous Actions by the Auditor-Controller
Resolution No. 2019-059 (as detailed in the August 22, 2019 Finance-Auditing
Committee meeting)
(1) Ratify Commitments and/or Expenditures
(2) Ratify Previous Investments
(3) Authorize Investments
(4) Accept Investment Report July 2019 Adopted
(6) REPORTS OF OFFICERS:
(A) General Manager
(1) Presentation of Awards
Presentation of Employee of the Month Award for August 2019, to Julie
Botelho, Bus Operator, Bus Division
DRAFT
BOARD OF DIRECTORS MEETING
AUGUST 23, 2019/PAGE 4
President Hernández presented the Employee of the Month Award for August 2019,
to Julie Botelho, Bus Operator, Bus Division, and expressed her congratulations on
behalf of the Board of Directors.
(2) Report of the General Manager
Mr. Mulligan stated that all items contained in the written General Manager’s
Report are informational only and that there was no “What We Do” video for
presentation. A copy of the General Manager’s Report is available on the District’s
web site or upon request from the Office of the District Secretary.
At President Hernández’s suggestion, Mr. Mulligan commented on the District and
climate issues. He stated that he believes everyone in the room shares the values
espoused by the speakers and has strong interest that the Board would adopt a
Resolution to support the values expressed by the speakers today and the petition
submitted. He said that staff will return to future Committee and Board meetings
with a resolution.
Mr. Mulligan highlighted that the District is on the path to bus electrification and
agreed that renewable diesel has a wide range of effectiveness. He reported that the
District intends to hire a consultant to help with full electrification of its buses. He
stated that District customers have choices between three modes of transportation
including buses, ferries, and driving, and they are sensitive to travel time. He added
that using today’s electric ferry technology would slow down the District’s fleet
considerably, and until the broader community embraces a slower travel time, the
District believes electric ferries would have a negative impact on the Bridge
roadway because driving would be faster than an electric ferry. He stated that the
District is interested in electrifying its fleet as quickly as possible and the Spaulding
class vessels will be the first probabilities for electrification because they do shorter
trips and have the capacity for installation of the additional equipment that will be
necessary to electrify the ferries.
Mr. Mulligan further added that staff will be presenting an item dealing with bikes
on the Bridge, expressly dealing with electric bikes to allow the District to go
through the proper public outreach process to solicit public comments.
Correspondingly, he stated that on a busy day over 8,000 bikes cross the Bridge
and some bicyclists are frustrated due to some obstructions on a portion of the west
sidewalk due to the SDS Project construction. He noted that the contractor requires
access to the west sidewalk and therefore cannot be exclusively used for bicycles.
He concluded with a statement that at a future meeting staff will present the Board
with a resolution that embodies the Board’s intent and looks forward to the Board’s
discussion on the matter.
(3) Discussion by the Board
DRAFT
BOARD OF DIRECTORS MEETING
AUGUST 23, 2019/PAGE 5
Director Sears added that Marin Transit is testing two electric buses and that Golden
Gate Transit is closely watching the results of those tests to help make informed
decisions about the future of the fleet. Mr. Mulligan agreed that the data garnered
is important to the future of Golden Gate Transit and staff is adapting to the changes
in electronics of bus technology.
Director Hill commented on the traffic on the Bridge and the District’s congestion
management efforts. Mr. Mulligan added that on weekdays from 5:00 a.m. to 9:00
a.m., over 20% of all trips into San Francisco are on District buses and ferries.
President Hernández thanked the community for speaking to the Board and
reminded fellow Directors to submit discussion topics for a future Board workshop.
(B) Attorney
(1) Report of the Attorney
Attorney Kimon Manolius stated that all items contained in the written Attorney’s
Report are informational. A copy of the Attorney’s Report is available on the
District’s web site or upon request from the Office of the District Secretary.
(2) Closed Session
Attorney Manolius reported that, that a Closed Session will take place just prior to
the conclusion of this meeting, to discuss the following matter, listed on the Board
Agenda as Item No. 6.B.1:
(a) Conference with Legal Counsel – Existing Litigation
Pursuant to Government Code Section 54956.9(a)
Report of Hanson Bridgett, LLP
(i) Michael Saliani v. Golden Gate Bridge, Highway and
Transportation District, San Francisco Superior Court; Case
Number CGC-14-540384.
(ii) Pamela Moore v. Golden Gate Bridge, Highway and
Transportation District, San Francisco Superior Court; Case
No. CGC-15-549048.
(iii) Kristin Freeland and Michael Jefferson v. Golden Gate
Bridge, Highway and Transportation District, San Francisco
Superior Court; Case No. CGC-16-550947.
(b) Conference with Labor Negotiator
Pursuant to Government Code Section 54957.6
Report of Hanson Bridgett, LLP
(i) Negotiations with the Amalgamated Transit Union, Local
No. 1575
(C) District Engineer
DRAFT
BOARD OF DIRECTORS MEETING
AUGUST 23, 2019/PAGE 6
(1) Report of the District Engineer
Ms. Bauer-Furbush stated that all items contained in the Engineer’s Report are
informational only. A copy of the Engineer’s Report is available on the District’s
web site or upon request from the Office of the District Secretary.
She provided a brief report on the progress of the SDS Project stating that the
contractor is continuing with installation of net supports on the Bridge’s main
suspension span with 63 fully installed. She added that 500 feet of new bridge
railing has been installed, the contractor is working on the installation of work
access platforms on the north approach viaduct and is preparing for the installation
of the fifth large platform on the suspension bridge. She stated that fabrication of
the structural steel is reaching 80%. She said that staff is having extensive meetings
with the contractor to resolve issues and disputes on a very complex project.
President Hernández encouraged fellow members to tour the bridge to view the
complexities of maintenance on the bridge and understand the magnitude of details
involved in the SDS project.
(7) OTHER REPORTS:
There were no “Other Reports” to discuss.
(8) REPORT OF COMMITTEES:
(A) Meeting of the Building and Operating Committee/Committee of the Whole
August 22, 2019
Chair Michael Theriault
(1) Authorize Execution of Contract Change Order No. 62 to Contract No.
2016-B-1, Golden Gate Bridge Physical Suicide Deterrent System and
Wind Retrofit Project
Directors GARBARINO/COCHRAN
Resolution No. 2019-060 authorizes execution of Contract Change Order (CCO)
No. 62 to Contract No. 2016-B-1, Golden Gate Bridge Suicide Deterrent System
and Wind Retrofit Project, in the amount of $420,685 for modifications to the
suicide deterrent system wire mesh splice details; with the understanding that
sufficient funds are available in the Contract No. 2016-B-1 construction
contingency to finance this CCO.
Adopted
AYES (11): Directors Arnold, Brown, Cochran, Fewer, Fredericks, Garbarino,
Hill, Sears, and Sobel; First Vice President Pahre; President
Hernández.
NOES (0): None.
ABSENT (8): Directors, Belforte, Grosboll, Mastin, Moylan, Rabbitt, Walton, and
Yee; Second Vice President Theriault.
DRAFT
BOARD OF DIRECTORS MEETING
AUGUST 23, 2019/PAGE 7
(2) Approve Award of Sole Source Contract No. 2019-F-023, Procurement
and Installation of MRAD System for Golden Gate Ferry Fleet, to Vector
Controls Inc.
Directors GARBARINO/HILL
Resolution No. 2019-061 approves award of Sole Source Contract No. 2019-F-
023, Procurement and Installation of MRAD System for Golden Gate Ferry Fleet,
to Vector Controls Inc., Newton, MA, in the not to exceed amount of $312,036.
Adopted
AYES (11): Directors Arnold, Brown, Cochran, Fewer, Fredericks, Garbarino,
Hill, Sears, and Sobel; First Vice President Pahre; President
Hernández.
NOES (0): None.
ABSENT (8): Directors, Belforte, Grosboll, Mastin, Moylan, Rabbitt, Walton, and
Yee; Second Vice President Theriault.
(3) Approve Actions Relative to the Award of Sole Source Contract No.
2019-F-043, Diesel Engines and Control Systems for Spaulding Class
Vessels, to Pacific Power Group
Directors GARBARINO/FREDERICKS
Resolution No. 2019-062 approves actions relative to the award of Sole Source
Contract No. 2019-F-043, Diesel Engines and Control Systems for Spaulding Class
Vessels, to Pacific Power Group, as follows:
(a) Authorizes sole source procurement and award of Contract No. 2019-F-043
to Pacific Power Group of Kent, WA, in the amount of $1,150,000,
inclusive of tax for two engines; and,
(b) Authorizes a contract contingency of $150,000, to cover unforeseen
materials or service in support of the required preservation and storage.
Adopted
AYES (11): Directors Arnold, Brown, Cochran, Fewer, Fredericks, Garbarino,
Hill, Sears, and Sobel; First Vice President Pahre; President
Hernández.
NOES (0): None.
ABSENT (8): Directors, Belforte, Grosboll, Mastin, Moylan, Rabbitt, Walton, and
Yee; Second Vice President Theriault.
(4) Approve Actions Relative to the Award of Sole Source Contract No.
2019-F-041, Marine Gearboxes for Spaulding Class Vessels, to ZF
Marine
DRAFT
BOARD OF DIRECTORS MEETING
AUGUST 23, 2019/PAGE 8
Directors GARBARINO/COCHRAN
Resolution No. 2019-063 approves actions relative to the award of Sole Source
Contract No. 2019-F-041, Marine Gearboxes for Spaulding Class Vessels, to ZF
Marine, as follows:
(a) Authorizes sole source procurement and award of Contract No. 2019-F-041
to ZF Marine of Mukilteo, WA, in the amount of $400,000 inclusive of tax
for two gearboxes; and,
(b) Authorizes a contract contingency of $70,000 to cover unforeseen materials
or service in support of the required preservation and storage.
Adopted
AYES (11): Directors Arnold, Brown, Cochran, Fewer, Fredericks, Garbarino,
Hill, Sears, and Sobel; First Vice President Pahre; President
Hernández.
NOES (0): None.
ABSENT (8): Directors, Belforte, Grosboll, Mastin, Moylan, Rabbitt, Walton, and
Yee; Second Vice President Theriault.
(5) Approve Actions Relative to the M.V. Del Norte, M.V. Napa and M.V.
Golden Gate Main Engine Overhaul, Scheduled Dry Dockings and
Capital Improvements Project
Directors GARBARINO/SOBEL
Resolution No. 2019-064 approves actions relative to the M.V. Del Norte, M.V.
Napa and M.V. Golden Gate Main Engine Overhaul, Scheduled Dry Dockings and
Capital Improvements Project, as follows:
(a) Ratifies the General Manager’s authorization of Change Order #2 to
Contract No. 2018-F-088, M.V. Napa, M.V. Del Norte and M.V. Golden
Gate Scheduled Dry Dockings and Capital Improvements and payment of
same in the amount of $892,095;
(b) Authorizes an increase to the contract contingency for Contract No. 2018-
F-088, in the amount of $1,350,000, from $1,000,000 to $2,350,000; and,
(c) Authorizes an increase in the FY 19/20 Ferry Division Capital Budget for
Project #1941, M.V. Del Norte, M.V. Napa and M.V. Golden Gate Main
Engine Overhaul, Scheduled Dry Dockings and Capital Improvements
Project, in the amount of $738,241, which, along with a reduction in the
contract contingency for Contract 2018-FT-079 discussed in this report, will
fund completion of the project, including the increased contingency in
Contract No. 2018-F-088; as concurred with by the Finance-Auditing
Committee at its meeting of August 22, 2019.
Adopted
DRAFT
BOARD OF DIRECTORS MEETING
AUGUST 23, 2019/PAGE 9
AYES (11): Directors Arnold, Brown, Cochran, Fewer, Fredericks, Garbarino,
Hill, Sears, and Sobel; First Vice President Pahre; President
Hernández.
NOES (0): None.
ABSENT (8): Directors, Belforte, Grosboll, Mastin, Moylan, Rabbitt, Walton, and
Yee; Second Vice President Theriault.
President Hernández asked Mr. Swindler to restate his comments regarding the superior
workmanship in the Spaulding-class vessels that he expressed at the August 22, 2019 Building and
Operating Committee meeting. He repeated his acknowledgements about the vessels and
reiterated that due to the capacity of those vessels they would be the first to get the equipment for
electronic propulsion when the technology becomes available.
(9) ADDRESSES TO BOARD:
There were no “Addresses to Board” to discuss.
(10) SPECIAL ORDER OF BUSINESS:
There was no “Special Order of Business” to discuss.
(11) UNFINISHED BUSINESS:
(A) Closed Session
Attorney Kim Manolius, at the request of President Hernández, stated that the Board would
convene in Closed Session, as permitted by the Brown Act, to discuss the matters listed on
the Board Agenda as Closed Session, Items No. 6.B.1.a. and 6.B.1.b.
(B) Open Session
After Closed Session, President Hernández called the meeting to order in Open Session
with a quorum present. Attorney Manolius reported that the Board had met in Closed
Session, as permitted by the Brown Act, regarding the items listed as Closed Session
outlined above. He reported that there was nothing to report regarding Closed Session Item
No. 6.B.1.b. He also reported that the Board was briefed and gave counsel direction on
how to proceed with Closed Session Item No. 6.B.1.a.
(12) NEW BUSINESS:
There was no “New Business” to discuss.
(13) COMMUNICATIONS:
A copy of Board Agenda Item No. 13, “Communications”, is available on the District’s
web site or upon request from the Office of the District Secretary.
DRAFT
BOARD OF DIRECTORS MEETING
AUGUST 23, 2019/PAGE 10
(14) ADJOURNMENT:
All business having been concluded, Directors PAHRE/HILL moved and seconded that
the meeting be adjourned at 11:55 a.m. in honor of Howard Deguara, Terri Horn, Declan
Weller Brogan, the Victims of the: Gilroy Garlic Festival Shooting on July 28; El Paso,
Texas Shooting on August 3; and the Dayton, Ohio Shooting on August 4.
Carried
AYES (11): Directors Arnold, Brown, Cochran, Fewer, Fredericks, Garbarino, Hill,
Sears, and Sobel; First Vice President Pahre; President Hernández.
NOES (0): None.
ABSENT (8): Directors, Belforte, Grosboll, Mastin, Moylan, Rabbitt, Walton, and Yee;
Second Vice President Theriault.
Respectfully submitted,
Amorette M. Ko-Wong
Secretary of the District
AMK:EIE:PLW:mjl
AGENDA ITEM NO. 5.B. RATIFICATION OF PREVIOUS ACTIONS BY THE AUDITOR-CONTROLLER FINANCE-AUDITING COMMITTEE OF SEPTEMBER 27, 2019 (B) Ratification of Previous Actions by the Auditor-Controller:
(1) Staff Report
The previous actions by the Auditor-Controller were presented to the Finance-Auditing Committee for approval at the meeting of September 27, 2019. Both are posted to the web site, as follows: http://goldengate.org/board/2019/agendas/documents/2019-0927-FinanceComm-No3-RatofAction.pdf