MINUTES/PROCEED IN

LOS ANGELES COUNTYl\.IETROPOLITAN TRANSPORTATION AUTHORITY

REGULAR BOARD MEETINGBOARD OF DIRECTORS

July 26, 1995

Kenneth Hahn Hall of Administration500 West Temple Street, 3rd Floor

Board of Supervisors ' Hearing RoomLos Angeles

Called to Order at :

Directors/ Alternates Present:

Larry Zarian/J an HeidtRichard Riordan/H. BernsoniR. James

Yvonne Brathwaite Burke/B. Roche/M. BohlkeRichard Alatorre/Nate HoldenMichael Antonovich/Nick PatsaourasJ ames CraginDeane Dana/Robert ArthurJohn Fasana/Phyllis PapenGloria Molina/V. BonzoRaul Perez/Thomas J. ClarkCarol Schatz

Mel Wilson/Jackie Goldberg

Zev Y aroslavsky /Robert Abernethy

CLOSED SESSION ITEMS - Recessed to Closed Session at 12: 20m. returning at 1:20

Conference with Legal Counsel - Anticipated Litigation -54956. (b) and (c)

3 cases - No report was made.

Personnel Matters - G. C. 54957

Public Employment - Executive Officer, ConstructionReport was made.

Conference with Labor Negotiator G. C. 54957.

Agency Negotiator - Sharon AbernathaEmployee Organization TransitAssociation

Police Officer~

No report was made.

APPROVED minutes of June 15, 1995 Special Board Meeting andJune 28, 1995 Board Meeting.

CONSENT CALENDAR

Items 15 through 29 and 31 through 38 were unanimously APPROVED inone motion. Items 14 and 30 were removed from the Consent Calendarfor discussion.

15. APPROVED AS AMENDED:

Amendment No. 7 to Contract Work Order No. 3 to ContractNo. EO070 with Engineering Management Consultant (EMC),covering incorporation of Consultant Change Requests(CCRs) for design and engineering changes on the MetroRed Line, Segment 2 , in the amount of $1 905 034 whichincreases the total contract value to $77 774 560;

DELETED CCR NOS. 76. 01 for $74 567; 242. 00 for $31, 761;271. 00 for $36, 808; 317. 00 for $23, 617 and 343. 00 for$17, 204 , and

15. Con t ' d.

an increase to the Authorization for Expenditure (AFE) inthe amount of $1 905 034 which includes $200, 000 toincrease the contingency limit to $600 000 foranticipated time-critical changes, for a revised AFEamount of $79, 230, 283.

Indicated a Conflict of Interest:Holden , Burke, Dana , Riordan

Directors Antonovich,

16. APPROVED design-build procurement for the Imperial/Wilmingtonmaintenance- of -way facility for the Metro Rail proj ects.

17. APPROVED:

Change Order No. 23 to Contract No. B215 withTutor/Saliba Corporation, covering emergency generatorpad and enclosure and associated duct banks on the MetroRed Line - Wilshire Corridor , in the amount of $380 686increasing the total contract value to $27 971, 462; and

an increase to the Authorization for Expenditure (AFE) inthe amount of $1, 406, 503, for a revised AFE amount of$30, 196, 033.

Indicated aDana/Arthur

Conflict Interest: Directors Alatorre,

18. APPROVED Credit Change Order No. 68 to Contract No. B201 withTutor/Saliba- Perini, covering final quantity adjustment on theMetro Red Line - Westlake/MacArthur Park Station in the creditamount of $295, 645, decreasing the total contract value to$50 262 035.

Indicated a ConflictAlatorre, Dana/Arthur

Interest: Directors Antonovich,

21.

22.

23.

19. APPROVED Credit Change Order No. 131 to Contract No. B231 withTutor/Saliba-Perini , Joint Venture, covering final quantityadjustment on the Metro Red Line - Wilshire/Western Station,in the credit amount of $332, 215, decreasing the totalcontract value to $59, 322, 314.

Indicated a Conflict of Interest: Directors Dana/Arthur

20. APPROVED Work Authorization Change Notice No. 62 to ContractNo. C0331 with Obayashi Corporation , covering contingency planfor chemical grouting, if needed , at the face or from thesurface of the tunnel for the North Hollywood to UniversalCi ty tunnel contract, in the not - to-exceed amount of

000, 000, which increases the total contract value to$64, 010 518.

IndicatedAlatorre

Conflict DirectorsInterest: Antonovich

APPROVED a position of "monitor " on SB877 (Alquist).

APPROVED contracts with Capitol Representation Group, Inc.,Charles H. Olsen Associates and Neilsen Merksamer,Parrinello, Mueller and Naylor covering state legislativeadvocacy for a one-month period in the amount of $5, 000 eachfor a total of $15 000.

APPROVED Alameda Corridor Transportation Authority request to:expend up to $2 million on the existing consultantcontract with Daniel Mann Mendenhall and Johnson; and,Indicated a Conflict of Interest: Director Holden

competitively bid the remaining $6 million 93- 94 Call Forproj ect Grant for engineering.

24.

25.

26.

27.

TOOK ACTIONS REGARDING the FY 1995-Programming recommendations as noted:

SectionFTA

APPROVED the FTA Section 16 proposed scores;AUTHORIZED inclusion of the proj ects and applicantsrecommended for funding into the 1995- 96 TIP; and

AUTHORIZED transmittal of the recommendations to Caltransfor statewide review subject to results of public hearingscheduled July 20, 1995.

APPROVED solicitation of proposals and award of a contractcovering actuarial services to evaluate MTA pension optionswhich will assist negotiations with the Internal RevenueService and Social Security Administration for an amount no~-to- exceed $300, 000.

APPROVED renewal of excess bus and rail publicliability/property damage (PL/PD) insurance (excludingMetrolink) with Insurance Company of Pennsylvania (AIG) and

L. Insurance Companies, for an annual premium of $1 757, 658,effective August 1, 1995 , under Brokerage Contract No. 6167for a one year period.

APPROVED requisitionsInternational BusinessAngeles, covering:

and contractMachines (IBM)

amendments withCorporation Los

Requisition No. 5- 5730- 138 , Contract 5350maintenance in the amount of $981, 343;

hardware

Requisition No. 5- 5730- 142 , Contract No. 4800 - softwarelicense fees/maintenance in the amount of $1 292 291; and

Requisition No. 5- 5730- 144 , Contract No. 6204 - systemsengineering support services in the amount of $166, 250.

31.

32.

33.

28. APPROVED authorization of the Chief Executive Officer toappoint members to the Pension Plan Administrative Committeeand Pension Plan Investment Board.

29. APPROVED contract amendment with Classic Club Servicescovering the Metro Freeway Service Patrol services for anincrease of $198 979 to a total of $846 720.

APPROVED Requisition no. 5-3560-12 and award of a time andmaterial contract to Montgomery Elevator Company, Gardenacovering refurbishment of three busway elevators for a totalcost not to exceed $191 931.

APPROVED Requisition No. 5- 3579- 87 and contract amendment withGeneral Railway Signal (GRS) covering the relocation ofTransit Radio System (TRS) Equipment from the 425 Main StreetBuilding to the new Gateway building for a total estimatedcost of $845, 453.

APPROVED Requisition Nos. 4- 3399-177 and 4- 3399- 152 andcontracts with the lowest responsive and responsible biddersunder Bid No. 03-9522 covering the procurement of bus andautomotive batteries for a one year period with two additionalone year options at the election of the MTA for a totalestimated cost of $353, 717 , as follows:

Exide Corporation , Upland, covering the procurement of 31 and 8-D bus batteries for a total cost of $331 559;and

Enterprise Battery Warehouse , Santa Fe Springs , coveringthe procurement of miscellaneous automotive batteries fora total cost of $22 158.

34. APPROVED Requisition 4-3597-224 and a contract with CETEnvironmental Services, Inc., Tustin , the lowest responsibleresponsive bidder for underground tank replacement at Division, West Hollywood, for a fixed price of $2 929 000.

35. APPROVED a contract with Penn Machine, Carnegie , Pennsylvaniathe lowest responsive, responsible bidder , under Bid No. 09-

. 9428 , covering the annual usage of Red Line Railcar wheelsfor a total bid price of $137, 261.

36. APPROVED:

Requisition 5- 3569- 01 and installation of equipmentnecessary for the Metro Blue Line in order to participatein Southern California Edison Interruptible Rate Programat a cost of $109 968; and

Requisition 5- 3569- 02 and the addition of five transitionpower substations for the Metro Blue Line for theInterruptible Rate Program, when they become eligible, ata cost of $91, 840.

Indicated a Conflict of Interest: Director Fasana

37. APPROVED Requisition 4- 3579- 134 and a contract with TelcomCommunications, Inc. , Oxnard the lowest responsive,responsible bidder , under Bid No. CA- 90- X534- , covering thedelivery and installation of microwave equipment , includingoptional equipment and spare parts, for a total bid price of$527, 767.

38. RECEIVED AND FILED status report on Board Requests.

CHAIR' S REMARKS

Presented plaque to Director Antonovich in recognition ofhis service as Board Chairman for the period December1994 through June, 1995.

APPROVED policy governing procedures for presenting newmotions having a financial or policy implication. The 48hour notice relates to Board and staff recommendations.Emergency situations are excluded from this policy.

Presented plaque to Executive Officer Judy Wilson who isleaving the MTA to work for the Orange County SanitaryDistrict.

Received award for Comprehensive Planning- LargeJurisdiction from the American Planning Association , LosAngeles Section.

CONCURRED on the restructuring of the Board Committees,including the establishment of the Cost Containment,Contracts and Efficiency Committee.

CHIEF EXECUTIVE OFFICER' S REPORT

Hollywood Blvd. and Metro Rail construction issues

Report on termination of Metro Red Line Contract B251wi th Shea , Kiewit, Kenney

Received joint oral report on the Hollywood Blvd.sinkhole and termination of the Shea, Kiewit, Kenneycontract.On motion duly made, seconded and unanimously approved,the following action was taken.

RATIFIED action taken by the Chief Executive Officer inthe termination of Shea-Kiewit-Kenney Contract B251.Director Riordan then made a motion , which was secondedand unanimously approved, to take the following action.

Cont' d.

APPROVED empowering the Construction Committee to workcooperatively with the CEO and Executive Officer-Construction Division to coordinate the constructionstudies currently underway; to review reports/studies byWiss, Janney; Arthur Andersen Task Force and InspectorGeneral in order to provide comprehens i verecommendation for Board consideration; andcommunicate directly with consultants, contractors , staffand others pertinent to these issues;AND FURTHER APPROVED that from time to time, as requestedby the Board , and upon completion of the recommendationsfrom the Construction Committee, that Special Meeting(s)of the Board be conducted to provide information learnedas it relates to the big picture, and to come to anynecessary decisions.

Recei ved oral report Washington, legislativeefforts.Received oral report Owner Controlled InsuranceProgram.

41. APPROVED motion regarding Cost Containment and ConstructionManagement actions on funding issues, changes in the scope ofwork elimination of Lake and Chinatown Stations fromconsideration, and line by line budget modifications for thePasadena Metro Blue Line as contained in the amended motiondated July 20, 1995 and the report dated July 24, 1995, copiesfiled with the Secretary, with the following AMENDMENTS:

Line items 18, 22 , 23 and 24 are removed; Line items 9 and 30 are referred to the Operations Peer ReviewCommittee and Line items 6, 8 and 26 are referred back tostaff for justification.

ALSO APPROVED additional funding for EMC and MTC coveringsupport services, as directed by the proj ect Manager , tocomplete staff analysis of the motion , for an amount not- to-exceed $200 000

APPROVED budget amendments noted below:

Heidt:

APPROVED establishment of two contingency funds,Operating and Capital. Any surplus revenue or savingsafter the payment of operating and construction expensesshall be credited to these funds. Criteria shall bedeveloped for the reprogramming or use of the contingencyfunds. Staff shall report to the Board quarterly withregard to the status of these funds. A simple majorityvote of the Board is required.

Fasana:

APPROVED no disbursement or encumbrance of Proposition A& C interest noted on page 21 of the budget until theBoard acts on the Municipal Operators and CommittE;erecommendations.

Fasana:

APPROVED FY 1996 MTA Budget proposal to commit $53million for the Pasadena Extension of the Metro BlueLine. The proposed commitment would leave $61 million ofpreviously and specifically identified funds (as well asBoard allocated funds) in the prior fiscal year for theproj ect unspent in the 1996 Fiscal Year Budget. Thesefunds shall continue to be reserved for the Pasadenaproj ect .

Dana:

APPROVED:

designation of the LAX/El Segundo del Norte MetroGreen Line Station as an MTA Turnkey Demonstrationproj ect .

amendment of the MTA budget for Fiscal Year 1995-96to include a reallocation of an additional $5.million within the Green Line budget for thecompletion of the station.develop in cooperation with other participatingenti ties and interested parties, and report to theConstruction Committee within 50 days, a detailedschedule and turnkey procurement strategy to ensurethe completion of the station at the earliestpossible date.

identify maximum joint development opportunitiesassociated with the station cooperating with otherparticipating entities and interested parties.

this action not to preclude or limit thepossibilities of future public or private sectorcontributions , if needed, toward completion of theproj ect .

Alatorre

Reinstate Transit Police functions removed from theproposed Budget and begin recruitment/replacementimmediately.

CARRIED OVER to the next meeting.

Fasana:

REFERRED to the Executive Management Committee for reviewand recommendation.

$1. million is removed from the Planning andProgramming budget. Staff should look to the AreaTeams for some or all of the reduction. Staff willreport to the Board in September 1995 on theidentified savings.

$1. 3 million is allocated at $100, 000 for each ofthe 13 MTA Directors to be used for staff and/orclerical support. By August 1 , staff shall reportto the Executive Management Committee withprocedures that enable MTA Board members todirectly hire MTA employees or contact withindividuals or other agencies to meet these needs.

An amendment was proposed to provide for six (6) positions;one each for the League of Cities representatives and one eachfor the representatives appointed by the City of Los Angelesthat are not on the City Council.

There was considerable concern expressed that these employeesbecome staff and would be subj ect to Ethics and all the rulescurrently governing MTA employees. This could cause problemsin areas of conflict of interest.Director Patsaouras stated there was no need for theseposi tions. As a member of the RTD Board over 10 years, hesaid it was never necessary to have individual staffpersonnel. MTA should not pay $600 000 for staff for Boardmembers when MTA has reduced staff in most departments.

Director Yaroslavsky expressed a need for staff but said thedollar amount is too high. He suggested checking with thecities within each Directors area to determine if they wouldcontribute to their representative a per capita amount similarto that arrangement in Director Zarian' s area.Director Wilson said he has used MTA staff in past but foundit a problem when his position was in conflict with the staff;staff is competent but not independent.

ADOPTED the FY 96 MTA Budget.

DIRECTORS SPECIAL ITEMS

Fasana

APPROVED redefinition of Pasadena Line to include thefollowing additions:

Single-track extension to Monrovia/Duarte

Metrolink/DMU service to Claremont/Montclair

CONSIDERED modifications to HOV program including:

Construction of a continuous HOV Lane on the 1-from the El Monte Busway to the San BernardinoCounty line.

Construction of a continuous HOV Lane on Route from Route 101 to the San Bernardino County line.

Roll Call vote to refer Item 5b toProgramming Committee failed as noted:

the Planning

Ayes:Noes:

Burke , Cragin , MolinaAntonovich , Alatorre,Abernethy, ZarianNoneRiordan

Perez , WilsonDana , Fasana Schatz,

Abstain:Absent:

Roll Call vote to approve modificationsfailed as noted:

indicated

Ayes:Noes:Abstain:Absent:

Antonovich, Alatorre , Dana , Fasana , ZarianRoche, Cragin , Bonzo , Perez , Wilson AbernethyNoneRiordan, Schatz

12.

10.

43.

RECEIVED AND FILED report on Preliminary Results from theSubsurface Study - Red Line Western Extension recommendingcontinuation with the current Mid- City Alternatives throughcompletion of the Draft SEIS/SEIR.

The original agenda i tern was removed from the agendasubstituted with the following item.

and

Considered motion by Molina/Bonzoactions.

and took the following

APPROVED an additional $1 million to EngineeringManagement Consultant (EMC)., Contract No. EOO70, tomaintain continuity and progress on the Eastern ExtensionRail proj ect through September, 1995; AUTHORIZED the Chief Executive Officer consultant to conduct an evaluation of EMC;

hire

AUTHORIZED staff to explore innovative constructionapproaches, management structures and other potentiallybeneficial alternatives for this proj ect; and

AUTHORIZED the Chief Executive Officer to immediatelyfill all existing staff vacancies in the ConstructionDepartment and to hire a task force of temporary,qualified personnel to carry out the day- to- day functionof the Construction Department in the interim.APPROVAL IS REQUIRED BY of the Cost Containment,Contracts & Efficiency Committee and the Board ofDirectors prior to allocation of bonus payments forperformance in professional services contracts; and

REAFFIRMED continuing support for the Eastern Extensionproj ect .

APPROVED the scope of work tasking a consultant to evaluate:

EMC' s performance relative to its contractual obligationswith the MTA; and

the cost- effectiveness of the EMC contract to the MTA.

42a.

13.

11. APPROVED Metro Red Line Segment 1 Al and A2 Benefit AssessmentDistricts ' assessment rate of $0. 17 per assessable square footfor FY 1995- 96 for the purpose of repaying bonded indebtednessand paying Benefit Assessment Districts ' administrative costs.

APPROVED AS AMENDED a limited competitive procurement processamong currently mobilized contractors, AMENDED TO DELETEKIEWIT- SHEA FROM CONSIDERATION, to accomplish expeditious andcompetitive solicitations which will provide the necessaryconstruction services left uncompleted due to the MTA' s July

, 1995 termination of Contract No. B251 with Shea-Kiewit-Kenney; and

APPROVED delegation to the Construction Committee the$5, 000, 000 authority permitted under the enabling legislationto allow the Construction Committee to expeditiously authorizethe majority of the specific contract actions resulting fromthe implementation of the procurement process described abovewhich relates to the completion of necessary constructionservices left uncompleted by the termination of Shea-Kiewit-Kenney; and

APPROVED Contract Work Order No. R2- 2 to the High-Point-RendalContract No. E0630 for an amount not-to-exceed $400 000 for adetailed survey and inventory to document the exact physicalstatus of the B251 tunnels and job site as of the terminationdate.

APPROVED the list of firms which have met the technicalqualifications under Request for Interest and Qualifications(RFIQ) No. 95- 07 for as needed professional/ technicalservices for a two-year period for an estimated cost not- to-exceed $240, 000.

PUBLIC HEARING

HELD a Public Hearing and APPROVED RESOLUTION OF NECESSITY forthe acquisition of a permanent subsurface easement beneaththat certain real property located at the southwest corner ofLankershim Boulevard and Ventura Boulevard in the City of LosAngeles , County of Los Angeles, State of California; Metro RedLine, Segment 3; Owners Kenneth K. & Sarah C. Yee; MTA ParcelNumber R82- C3- 406.

30.

OTHER

39.

40.

CARRIED OVER status report on Alternative Rail Technologyvehicle.

14. APPROVED, SUBJECT TO REVIEW BY THE INSPECTOR GENERAL:

Amendment No. 4 to Contract Work Order (CWO) No. 21 Contract No. EO070 with Engineering Management Consultant(EMC) covering incorporation of Consultant ChangeRequests (CCR' s) for design and engineering changes onthe Pasadena Blue Line, in the amount of $3, 762 377,which increases the total of CWO 21 to $52, 581, 199; and

an increase to the Authorization for Expenditure (AFE) inthe amount of $3, 762, 377 , which increases the total AFEto $69, 956, 837.

APPROVED the proposed Gateway Transit Plaza Operating Plan asa guide to the implementation of MTA bus and other providersroutes serving the new Gateway Transit Plaza.

Items not on the posted agenda - NONE

Public Comment.

Appearance of J. Walsh , P. Moser , H. Watts, C. Shabell and D' Amato on transit related matters.

The meeting adjourned at 6:40 p.

;z/ 'm ,,Helen M. BolenMTA Secretary