is on fremont street and that is the inbound traffic, we can actually start to demo in the early afternoon instead of waiting until it o'clock. the impact of the mowidemoing wd beat and the late afternoon hours. there are very strict restrictions on what can happen after 10:00. it has been a learning process. we have had some adjustments over time, relative to maintenance work that can happen after all production work. the buttress work is the main project that goes into the evening. the main restrictions is production drilling and excavation stops at 1:00. quiet maintenance can occur between 1:00 and 6:00 in the morning. we tried to stop any tampering and heavy maintenance, grinding

and that sort of stuff, because it takes a lot of effort to replace the casing, and that is major maintenance of a curse. we restrict that before 10:00 p.m. and after 7:00 a.m.. we put restrictions in place. it is a learning process. we have learned additional restrictions that need to go in place. we had a successful meeting monday morning with millennium leaders, and we were prepared for some feedback, and it was all very pleasant, actually. it was very well-received. we continue to have to adjust the process. webcore has stepped up on the enforcement of night noise permits and the activities that occur off hours. if something occurs that is not supposed to, there is definitely disciplinary action that occurs.

>> that is helpful. i appreciate the additional work that you do to work with the neighbors in the area. it is something to be expected with the size of the scale that is before us, but i do think the communication matters. i appreciate the energy and effort that you are taking to maintain the dialogue. >> will be a long project still. we have to keep building the neighbor relations. i think the entire team more recently has realized the impact and has come together to work on that. as i mentioned before, the final utility package continues. there is shots of the work going on at howard street near the first three intersection. i changed of the construction budget a little bit to be more specific to the bus ramp and construction budgets. i know the numbers are small, but that did to the current construction budget today. this is through the april

billing for the month and actuals to date. as far as kraft hours, almost up to 300,000 in the transit center and utilities work. still running between 60%-65% local. the local breakdown continues to run along the same lines. good number for san francisco residents in east bay. hopefully there were all able to show up to work today from the east bay. >> took me two hours. >> i can certainly appreciate that. here is the breakdown by trade we as seen through the end of may. 750 individual workers on the transit center work. does not include the terminal, the bulk of utilities or demolition work. this is how we're tracking the trades.

bob already covered the apprentice reporting in his report, but that is the same information about fact. getting a much better understanding about how the different trade unions in rules govern this. webb corp. has taken a much greater detail view with ted and rich and really working on the compliance. these numbers look at projects to date. they will be varied slightly from the three-month look report. there are definitely things that need a lot of improvement. there are some that have improved and have come to the jobless apprentices to start with. happy to answer any questions. >> any questions? thank you. that concludes my report. >> next item. public comment. we have a speaker card from roland labrond.

this is the opportunity to address directors on things that are not on today's agenda. if there is more public comment, please line up. >> thank you. good morning, and thank you for the opportunity. i would like to think the city of san francisco at andtpja in pand tpja in particular for maintaining the web sites to

keep up with construction. i do not if -- i do not know if you encourage public participation for meetings, but it would help if the board agenda, including the attachments, could be posted no later than friday it before the board meeting. thus month you saw a presentation on the package and the director had many questions about tie downs for the base lap, and it is based on prior experience. today i would like to present you with the different solution to prevent uplift. this slide is a high-speed station that will be serving the olympics this summer. the station is in a trench, and the base slab would have been subject to uplift, but the water table has been artificially lowered to 30 feet below the slab to a permanent watering

system, which discharges water on the river and on the left. and it is right there on the left. and should they use such a system, there will be no tie downs, and the dewatering system may even be capable of generating water to support the entire terminal great water needs. thank you. >> thank you. that does include members of the public that wanted to address you under this item. we can move to the regular calendar. chair kim: we do have item 7 before us. >> approving the fiscal year 2012-2013 capital budget in an amo 223,671,000

and fiscal year 2012-2013 operating budget in an amount not to seed -- not to exceed 4,427,000. take of this budget has no changes from the draft budget presented last month, but i am happy to answer any remaining questions that you might have. chair kim: i know we had a presentation last month, but to you think you could do a summary again? >> absolutely. the capital budget is not quite $224 million that is largely construction and professional services, such as continuation of design, but the majority of that is for continued construction. the operating budget is $0.4 million for the terminal, largely transit operating support and facility management contract. as well as trying to fund

operating reserve, which can be used when the transit center goes into operation. continuation of the professional and specialized services, along with design. it does include 8 million in the budget this year for continued preliminary engineering on the downtown extension. that would move forward if funding is identified for that as part of the discussions with mtc and the new start process. design will continue. construction documents should be finalized later this year. but storage, engineering and design continue. -- bus storage, engineering, and design continue. right of way acquisition, there is little over $5 million for

conclusion of the eminent domain process, although according to the state budget situation, that may not conclude this fiscal year, but this would include it and it would carry forward to fiscal year. this would be for claims that would come in. most of the deadlines do occur this fiscal year, so boats should be wrapping up this year. on the revenue side, we divide the budget into the committed revenue, so those of the allocations we already have, and then there are the planned revenues allocated throughout the year. there are two later on in the agenda. as they become committed, we move them to a committed section for the portion that is planned to be spent during the fiscal year. for instance, capital allocation is on the agenda today and over $73 million, but

just abortion is included in the fiscal year budget for next year. >> is that portion 7.5 million is that -- >> i believe it is 16. 10.9. the same with landfill proceeds. while they are significantly more than the $12 million included in the budget, it is the $12.3 million we would anticipate spending this fiscal year. >> are these the planned revenues included in the budget as revenue stream? the land sale of block 6, and then at 16 million. >> that is correct, as well as the grant used for environmental ones that is

awarded and more capital contributions. chair kim: can you remind me again. i know we went over this last month, but with the fta grant, when will we have final confirmation? >> we do have notice of a war, it just has not been executed. we're working on the timing and process for all of that. director ortiz: dtx preliminary. at the last sentence you say in addition to the budget excludes costs associated with advanced preliminary engineering should new revenues be found. should that 400 for this project, would it cover that? >> no, the 400 million is funding the train box, but not actually funding in the

engineering or continuation for the downtown extension. >> ok. director ortiz: ok. >> any other questions from directors? chair kim: i do appreciate the detailed budget narrative that accompanied the budget itself and very helpful to get an explanation of the planned revenues that have not yet been committed. it seems to be a good balance of what we've been able to put forward in knowing much of the revenue that is coming in is very helpful. a motion to approve? a motion in the second. -- and a second. >> we will go ahead and do a roll call vote on this.

[calling roll] five ayes. item seven is approved. next item. item eight, authorizing the executive director to execute with conditions of of random of understanding with the california high-speed rail authority, the metropolitan transportation commission, and six other local and regional entities to establish a funding framework for a high speed rail early investment strategy for a blended system in the peninsula corridor. >> good morning. thank you for the opportunity to present this morning. i am here to present good news related to phase ii, dtx. as you are aware, the high-speed real recently revised their business plan, and that vision relates to funding for theseii an phase ii and the memorandum

you will be considering today. this is the full build up scenario to what is referred to as a blended system approach. with the full bbuild up a scenario, dedicated tracks up and down the state all the way from l.a. to san francisco and the accompanying the expansion of right away. with this approach does instead is the northern and southern book ends with utilize existing infrastructure and right away. that means caltrans infrastructure and caltrans right of way. that shift was really essential for addressing the very strong concerns that have been raised by communities up and down the peninsula. those concerns were focused on the prospect of building a separate dedicated tracks and accompanying expansion of the right away and the impact on the communities. the shift to the system created

an opportunity for regional consensus, and what the high speed rail authority did to capitalize on the opportunity is a date initiated negotiations on a memorandum of understanding with the city of san francisco, city of san jose, caltrans and a number of other regional entities, and what that specifies is it lays out the list of needed infrastructure upgrades that must occur along the caltrans corridor in order to make ready to accommodate high-speed rail and then to a can -- continue accommodating freight service and high-speed rail. you see on the list of projects included, most importantly, it includes dtx and the number of long-standing regional priorities you are all familiar with. and new stations, and so on this slide we have a list of the parties to the mou.

you can see going down the list listed in yellow all look the other parties, with one exception, have already gone through the process to approve it, starting with mtc on march 28 and including the city and county of san francisco and transportation authority. the only entity that still remains to approve is the city of san jose. there city council will take that up for consideration on june 19, tuesday. what the high-speed rail authority brought to the table as part of the negotiations was an additional 600 million in early prop1a funding related to their projects specified in the mou. what is laid out is taking the 600 million and combining it with the 600 million already designated to the region, and that combined 706 million and

would go towards two projects, electric of vacation and positive train control. the total cost is just under 1.5 billion, just over 1.2 billion for electric fication. this is being combined with the 600 million arbillion already committed. the combined total will totally fund those projects. some of the benefits, 90% reduction in greenhouse gas emissions, trendsetter faster, quieter, cleaner, more efficient, and therefore reduces travel times and is able to increase the frequency of trips, and therefore allows for increase readership, and therefore increased revenues. of course over the lifetime of the project will create thousands of jobs. the bay area council just recently came out with a report,

and their report estimated approximately 9600 jobs will be created by this. most importantly again from their perspective is those projects will lay the groundwork for proceeding with completion of those other needed infrastructure upgrades that are identified in the mou, specifically the dtx. this resolution 2424, the resolution were it was first identified as a priority for transit expansion. it reiterates the new transit center will be the authority for high-speed rails. it commits all of the parties to work together towards fully funding the complete list of upgrades that are identified in the mou. the key point we wanted to emphasize for you today before you consider this is as part of

the negotiations, we agreed to move forward with designating dtx as a regional priority for the federal restarts. these are articulated and the regional transportation plan, or rtp. the rtp has typically carried t wo regional priorities, based on past experience on what an estimate they can reasonably expect to receive during the life of this. and for many years the region's two priorities have been the central subway, in the first part of the san jose project. both of those projects are at the tail end of the new starts progress, which is a full funding grant agreement. it is a guarantee from the federal government's for a certain specified amount of

federal funds and significant federal funds for construction of the transit expansion project. they receive sfga and april, and the central subway is on the cusp. it is expected to occur later this summer. in this we have a little bit of background about this program, but the key point is that it is up by far the largest discretionary funding stream that exist for funding base ig ii of the project. this is the most significant opportunity that has been out there and something we've been targeting for many years. getting this designation is a major step forward for phase ii. getting this from the region metropolitan planning organization, getting this designation is essential to move forward in the new starts

process. it is a prerequisite. with this, we are now on the path towards a guaranteed amount of federal funds for construction, and we also have a fully-formed a plan with the regional commitment for funding phase ii. what you have on this slide is the current funding plan, and on the lower left-hand corner are the amount of funds that remain to be committed for phase two, 1.94 $7 billion. what they laid out is at least 650 million. 300 million will come from future bridge tolls, and the combination of funds from future high-speed rail funding, new or augmented local sales taxes. as i mentioned earlier, this is a party to the mou. 350 million in that area. 100 million from joint development and other local

sources. that represents a very conservative estimate of the amount of funds that will come to the dtx through developer impact fees. this was approved by the planning commission on may 24. director ortiz: new bridge tolls. what does that mean? an increase in the current price? >> it is to be determined. it is a commitment from future bridge toll funding available, they will commit 300 million to phase ii. director ortiz: this means the current price goes up based on the current price, correct? >> that is my understanding. >> it could be an increase from what we understand. >> dooming taking into consideration the current price.

to go it is my understanding it could potentially be an increase in the bridge tolls in the future. >> and very quickly, the next ups in tsteps in the rtp proces, they finalize the draft and is still technically in draft form, because it now goes through an environmental review process, and this is not an environmental review of individual projects, but the review of the plan overall of the cumulative impact. what it will assess is the ability of the plan to meet the region goal in terms of emission reductions and increased access to transportation. our project is a plus on both of those accounts. there is no danger or prospect of the new starts designation

being removed during the environmental review process. the real hurdle was getting included in the draft ftp. it is anticipated that the draft eir will be released for review. they are anticipating there will finalize in april of next year. then it goes to department of transportation for review next summer. with that, i do have with us here today, nancy wheeling, who has been working on the financial plan for many, many years. also, brian to answer any technical questions about the blended system approach and how this impacts high-speed drill. chair kim: i do have a question for you, scott. i notice in the recommendation that you suggest our approval is contingent upon mcc's approval at dtx for not less than 6

million. i want you to explain that a little bit more. i know we also passed something very similar, contingent upon funding, but we did not list a dollar amount. >> this was a contingency also included in another resolution, and it is essential for us that that amount be a commitment going forward, that it be at least that amount. what typically happens on negotiations is many years past. i think central subway has been in the new storage pipeline 49- 10 years or something like that. part of the reason it takes so long as all of the other funding sources have to be finalized. we want to specify a ththat the amount would be of the 650

million. we want to make sure that commitment was maintained going forward. >director reiskin: first, i want to commend the director and staff for their work to work with the region to get to the point where we are with the mou before us. this is a great thing for san francisco, the region, and california. i think this is part of what will help advance high-speed drill statewide, so i think it is a great thing. i am glad we're here to support it. there is no question that having the dtx in the regional transportation plan is essential, and at least 650 is also essential. i did not look at the cta approval of the mou. it did seem a little strange to condition the support of the mou

on that. i think is certainly needs to be recognized and is essential to us. i do not know what the practical impact is. we are in the draft tp, as you rtp, as you mentioned, and at some point that 650 would slip, it would obviously be a big problem for us at the tpja in san francisco, but i do not know what practical support it has for regional cooperation and support. >> to answer your question on the practicality, when we were all at the table negotiating this, the city and county of san francisco's stepped up to the plate. the city and county agreed to put in approximately or even more than $60 million towards this. it is a huge commitment by san francisco moving up to the plate for the upgrades to the caltrans corridor that end of

fourth and townsend. it was very important for the party's that if we were going to support this and not give any money from prop1a, because remember we are not getting any money, that there would be a strong commitment that we would be in the new starts pipeline, and a commitment of no less than 650 million in new starts, because i remind you, while it is an agreement that we all agree to orally in verbally, it is not stated specifically in the mou, other than to say we will all work together to fund the dtx. so because of that, because anything could happen while we are in a draft form, and up until april of 2013 when this is approved, we thought it was important that if there were giving up not getting prop1a