it makes it possible to receive federal funding -- mca, it makes it possible to receive federal funding. maybe they do not all come from the mta. that will help us on our end, those dollars, and if the transportation authority can be part of that, i am also hoping they will look at the data as well. it would be very, very helpful. commissioner campos: colleagues, can meet have a motion to continue to the call of the chair and have a hearing, follow-up hearing in july? motion by commissioner avalos. if we can take that without objection. madam clerk, if we can do the

reading. >> market street project -- the regulation for fire safety. >> good morning. >> my name is chad rathman and i will be making a brief presentation on the improvements to the northeast corner of market street. this is agenda item this projece second stage of implementation of this project. the first stage was in 2006 on a one way four-lane street on market.

the project would be part of the prioritization program ended is also consistent with the area plan in the upper market division. the most significant improvements are for bicyclists and pedestrians. improving the existing curbs line on the northeast corner of the intersection -- you should have paper copies as well as the slide. we are moving of the pedestrian signal and constructing an ada compliance kirk raab. -- curb ramp. it will increase the crossing distance, and it will visually narrow market street to motorists.

the project has been environmentally cleared and is ready to proceed. it is approximately $61,000. the department of public works staff will move forward and the public will finalize the design. the design is scheduled for completion in fall 2011. the project is scheduled for completion in summer 2012. finally, i can take questions, and i also have a staff. >> commissioner wiener? commissioner wiener: thank you. i just want to complement staff on more -- moving forward with this. it is an improvement to the area.

it is a dead area that can be used -- it is a dead area that no one can be used. -- can reuse. this stretch of market around the safeway, it needs more activity. the whole foods project will add increased foot traffic. commissioner campos: great. thank you, commissioner. colleagues, any other questions? is there any member of the public would like to speak on this item? please come forward.

>> hello, commissioners. mark caswell again. we think this is a great use of public space. the whole foods going in. it is definitely improving public safety. yet another great project coming forward from the mta. we are happy to see this moving forward. thank you. commissioner campos: thank you. if there is -- is there any other member of the public like to speak? seeing and 9, public comment is closed -- seeing none, public comment is closed. can we take this without objection? thank you. madam clerk, call item seven. >> affirm the commitment to the project. this is an action item.

>> good morning, commissioners. maria lombardo. you got a preview of this back in november. this is a three-part action the primary part is the primary plan for the subway project. for context, december 2011 is when the sfmta will get funding for the project. this is a pretty big deal. it is all 1.7 $5 million project -- $1.75 million. it represents the federal commitment to fully funding the project. it is a really big deal for the

project. that is the plan -- let's back up a second. there are many things the mta has to do, to provide in order to have the full funding -- full funding granted. one of those is to show the dollars committed to the project within the guidelines that is scheduled for later this month. they have asked us to take a similar action, which includes three affirmation of the project as well. i will go over a few parts of the funding plan that we had in november. this focuses on the funding plan. we had $100 million of funding. i am sorry. this chart is page 53 and in

your memorandum if you want to look. really what happened is the in g-8 would be ready to -- really would happen is the m.t.a. would be able to provide additional bond fund. our committee provides $103 million in additional funds. both these categories are funds that are given to the mta by formula from the state. the capitol refunding programming is of belts $38 million. the majority involves taking existing projects and returning to the authority to give other elms -- eligible property projects, backed to the social summit. -- subway.

the last part of the action today is improving those reprogramming actions. so on page 60 in your packet -- oh. page 60 of your packet is a summary of the full funding planning notice. two. have a couple of things in here. it does not mean all the funds are in hand. i wanted to flag the ones on this page. the prop 1-a funds. these are all state funds. it is almost certain they will not be available. this us to do with the outgoing state budget.

the state has to be able to issue bonds. the funds will be there, but the project may not be there in time. looking at a number of aspects, we're continuing to look at potential savings on bids, trying to manage the overall climate pretty well. reducing the overall projects, returning to the project. and inevitably, there is the restructuring of the financing plan. there is a potential swap that would replace some of our on programs state writ funds. commissioner campos: may i ask a follow-up? on page four of your report, you notice the mta has of financial mismanagement plan. when is that going to be executed by the ncaa?

>> the program ends -- i believe it is in april. commissioner campos: ok. thank you. >> i might as well talk briefly about the authority's commitment to the project. $132 million is the current commitment. that is comprised of prop k funds, state traffic congestion relief funds. the prop k money is there. all that remains is the state funds that have not gone to the program. briefly, we have $19.7 million

in local programs. there are some eligibility issues. there is a $30 million writ commitment. these programs are all available in 2012 and 2013. we will probably bring that action to you, hopefully next time. the very last part of this action is on page 55 and 56 of your memo. it has to do with reprogramming actions. this basically refers to deobligating funds. the first category that is affected is the muni funds. $18.7 million are being

deallocated. this is possible through the common nation of $9 million in savings -- to the combination of $9 million in savings and also in she was lucky to get a $35 million grant from the federal government. that gives the flexibility to fund portions of phase one. those freed up funds are being returned to the prop k plan. in g-8 is proposing to return them to the interim operations control -- mca is proposing to return to the interim operations control center. similarly, we have the obligation of $69 million on the fund replacement project.

it straddles both the facilities and guidance categories. another obligation is the significant financing costs for both categories. just for reference, it takes the facilities category from 32% financing cost down to 25%, making $6 million more available for projects. we will get about $8 million made available for projects. with that, and will be happy to answer questions. >> thank you, ms. lombardo. commissioner avalos? commissioner avalos: thank you, maria. you have this line item for the geneva project. can you comment on that? this is a source where funding is being reallocated?

is that correct? >> the geneva kennedy project -- canopy project was projectprop k funded at all. what mta is proposing is to redirect that funding to the subway. commissioner avalos: thank you. commissioner campos: thank you. colleagues, any of the questions? no questions. let's open it up to public comment. is there any member of the public that would like to speak on this item? seeing none -- oh, actually we do. >> can you hear me? commissioner campos: yes.

>> good morning. i am serving on the cag advisory did -- advisory group since 1978. i am getting older. also, -- i do not claim to be an expert on transportation. i have to say that for the new project, -- muni project, all the cag members have full confidence we can get the funding.

they will come along with the mpaa championship. we have come a long, long way. it is great. even in chinatown. it is the right thing to do. i am not so happy it has taken a long time, but i realize it is a long, long distance. [bell rings] it takes time. thank you. commissioner campos: thank you, sir. is there any other member of the public who would like to speak? seeing 9, public comment is -- seeing at non-, public comment

is closed. commissioner chiu? >> we have been figuring out the specifics on how we are going to close the gap in funding i think we have been rewarded with more clarity. at this time i would like to recommend the amendment for the central subway project that we have all supported, unanimous for the past, what the authorities proposed as far as the funding commitments. i say we should move this forward. i look forward to working with the mta staff to make sure we are all on the same page and as clear as possible. commissioner campos: thank you. colleagues, can we take that without objection? without objection, thank you, to the mta staff and the t.a.

staff. madam clerk, call item 8 please. >> [unintelligible] commissioner campos: we have the executive director. >> this is really an item on the agenda to introduce new items, but i have something i would like to share with you. this is news that is about three hours old. this morning, the vice president may be a major announcement in philadelphia for a $63 billion initiative to essentially make good on the president's promises for high- speed rail in this country. as you can imagine, the details of funding are not quite available yet. it is a huge program.

i believe, but i am not clear. the initial installment was the stimulus money and the other $8 billion we were promised. in any case, it is a major step forward for the president and his administration to clarify the structural policies referring to a high-speed rail. we have confidence that california will do well. because it is really the only state in the union that has committed a significant amount of money to kickstart the initial segment. as i thought it would be important to share the news as soon as it happened. i want to point out this also bodes well for amtrak.

i have the honor of the sharing deking engagement with the share one month ago -- sharing a speaking engagement with the chair one month ago. he was speaking about the location of the federal trust fund for one year. i want to point out -- i think i have said to -- said this to you before -- spain spent $5 billion a year on high-speed rail for the past 27 years. that is a commitment which has made it today the most important network in europe, the most interconnected, the most genuinely high speed. this country has the potential to do that and more. i am very happy to convey that

news to you. also, just a domestic flight in this country, the number of passengers it carries is 800 million. high-speed rail carries 28 million people per year. we are a long way away from chipping away at flights. i think you have to start somewhere. we have not seen an announcement of this magnitude in awhile. commissioner campos: thank you. is there any member of the public to would like to speak to this item? seeing none -- oh, yes? please come forwardpublic comme.

madam clerk, can you call item 9? >> is there any member ofthe public -- of the public wishing to speak on this? public comment is closed. item 10, adjournment. thank you. have a good day.

>> good morning. welcome to the regular meeting of the transportation finance commmittee. i am eric mar, joined by sean elsbernd, malia cohen, and mark farrell. erika cheng is the clerk. i would like to thank charles anfor providing televised access

to the meeting. >> for the 2011 meeting -- this is an action item. >> on the minutes, is there a motion? without objection? is there anyone from the public wishing to speak? public comment is closed. >> this is an action item. >> can you call item four? >> this is an information item. >> hearing items three and four. >> good morning. i am the executive director. this is the time of the year, we bring you the state and federal legislative program. this is the set of principles we

like to use to follow the legislative advocacy. this has a focus in sacramento and washington, reflecting on how we interract with the regional agencies of which several of you are members, also. i will only make a couple of comments about the state legislative program, then the staff with a more detailed presentation. we are here to talk about the update of state legislation specific to bills. and an update on the state of the state budget. initiatives are being considered, currently. at the state level, you all

know the challenges. a time of constrained funding. we have some big news i want to announce in a second. so the picture changes a bit, based on that. i want to reflect on the challenge the state has, contrasted with the federal challenge. at the state level, a new governor, where revenue is down and there is upwards of 25 billion dollars in deficits. the prospect of cuts and reducing taxes. one key issue i have discussed with people in sacramento, is the fact the state needs to grow to come out of the current situation.

we need a clear investment in infrastructure, with the power grid and water supply. as the 7th economy, we need a coherent policy with some continuity to signal to the rest o the w -- of the world, to the investors who want to put money into california, that they are serious about an infrastructure program. that word is still to come. that is part of the difficulty of hthe legislative agenda.

we want to advocate for some form of predictability in the way we issue bonds. the 1-a and 1-b bonds. the infrastructure has been capacity. they haven't wanted to issue this because of the difficulty of rating them. paying more interest for borrowing when the credit rating is not good. a number of projects at the local level were moved forward with great advocacy. on the expectation a good chunk of the funding plan would be on the bonds. on the bonds. for us, we are no longer