funded agreement central base tight system improvement project, to provide engineering service and authorize the general manager of the utility system to -- and subject to the board of supervisors' approval pursuant to the charter section. >> i'm the assistant general manager for infrastructure. we are before you today to ask for your approval to award the central bayside central improvement program to the high ranking firm joint venture. this is an important project. it is something that was identified at the workshops as part of this proposal. we have had five posers which we short listed three and the top

ranking firm -- i'm happy to answer any questions about the process. >> thank you. commissioners come any questions? >> who were the other bidders? >> the other bidders -- there was a joint venture and ann w. h. you are s -- >> and this was from southern california? do they have offices here? >> they have offices here. in the bay area. >> any other questions?

is there public comment on this item? do i have a motion? so moved. >> do i have a second? >> second. all those in favor? >> with the commission's permission, it probably would not prevent them from voting, but to give them comfort, you can release them from voting. >> the rules of order say that is by permission of the commission. will it be in order for there to be a motion that we do that? >> that would make the record most clean. >> so moved. >> moved and seconded.

>> on the item itself, we have a motion and a second. item number 12. >> a discussion to authorize the san francisco public utilities commission and an understanding with the california medical center to perform sewer improvements related to the cesar chavez improvement project, authorize the general manager to except and expand it funds, increasing the contingency and authorize staff to provide support subject to supplemental appropriations, the cesar chavez improvement

project. decreasing the contract and a time extension 4 total contract duration of 598 consecutive calendar days subject to board approval of a supplemental appropriation and adopt environmental findings under the california environmental quality act. >> i think you may be aware we are doing a lot of work on cesar chavez. st. luke's hospital wants to rearrange its campus and this would allow us to get money from them and move our sewer lines and out of the way so we could do our work. >> thank you. any questions for the general manager? any public comment? >> i need to abstain? -- >> all those in favor?

the motion carries. >> all those in favor? of the motion carries. >> the next item will be a closed session. if you would call for any public comment on any closed session items? >> and do we have any public comment on items of the closed session? could i have a motion to assert attorney-client privilege? all those in favor? >> if you agree to let me read the items, we will with a closed

session. the existing litigation is defended it -- the city and county of san francisco, 17 conference of legal counsel, city and county, the civil prosecutor, the state of california and the existing litigation and 18 public employee hiring administrative secretary public utilities commission. if the room would be cleared and the last person to go the >> >> we are not always -- we are now back in the session, on item 16 and resettlement of an item of 16. on item 18, the commission voted

unanimously to appoint donna hood as assistant secretary. [applause] could i have a motion whether to disclose what was discussed in closed session. >> motion not to disclose. >> moved and seconded. all those in favor? opposed? the motion carries. other new business? none from the commission? thank you. this meeting is adjourned.

commissioner campos: good morning, everyone. welcome to the march 6, 2012 special meeting of the transportation authority. before we begin, want to thank the members of the sfgtv staff. please call item one. >> [roll call] we have a quorum. commissioner campos: please call item to. >> item 2.

revise the authority's funding commitment to the presidio parkway project to fully fund the project and make related changes including amending the authority's 2012 regional improvement program (rip) priorities; accepting an advance of $34 million in surface transportation program/congestion mitigation and air quality improvement funds from the metropolitan transportation commission; amending the prop k strategic plan to program an additional $9,680,000 in prop k funds to the project; and revising the authority's rip commitments. this is an action item. commissioner campos: colleagues, we tried to minimize the number of special meetings, but the timing of this matter was such that a special meeting was required. i will turn it over to our executive director jose moscovich to explain what we're doing and why this action needs to be taken. >> thank you, mr. chairman. good morning. i will ever know the chair's comments. i appreciate your appreciate -- patients in accommodating another meeting. let me review the item quickly and open it up for questions.

the development of this, in may 2010, the california transportation authority approved phase two of the presidio parkway project. that is a public-private partnership, a contractual agreement between the department of transportation and private sector concessionaire to design, build, maintain, operate the entire presidio parkway facility. that is a 30-year agreement. on january 3, 2011, caltrans awarded the agreement to the selected bidder. their name is the golden link concession air. setting the terms for golden link to design and build phase two of the project and to operate and maintain with a total cost of over 30 years net

present value $488 million. as you know, the first phase of the project is being delivered by caltrans in the traditional design and build and is ready to open. subsequent to executing the p3 agreement, caltrans, and today, and ourselves determined some of the planned funding would not be available as originally expected. that is what is in attachment #one, a short -- three items. $20 million in redirected federal earmarks that were identified by mtc at the time the funding plan was agreed upon, but subsequently did not materialize.

then there is $13.2 million in urban partnership funds were expended prior to approval of the p3. essentially, our phase one finding -- funding item. and then a $12.5 million decrease in prop k revenues for the deterioration of the economy, after the funding plan was proposed. in order to achieve have financial closure by april to 2012, when all the funding needs to be committed to the project, so that the concession there can proceed with the mechanics of the closing, we need commitment from the authority, caltrans, and from the mtc, to close the $53 billion gap. due to the economic recession

and financial crisis the state is in, the state is not able to fully cover the shortfall to support the financial close. the failure to reach a financial close will put the state in an even bigger financial bind because they would have to indemnify the current contractors, read advertise the project, likely with delays in construction between a year and a year and half, and significant cost of installation. of course, further delays for the traveling public. it ordered to avoid these cost increases, project delays, if the p3 does not meet a close, the three parties have agreed to a funding plan which is also in the attachment 1, which includes commitments of $9.60 million from the state highway

protection program, $9.60 million from prop k, and then a $34 million amount of federal funds would be advanced by mtc, to be paid in the future, from san francisco shares of the regional improvement program fund. a number of programming-related actions are required to support this proposed funding plan. the first would be to revise the authority's funding commitments to the presidio parkway project, to fully fund the project and make changes to the rip priorities. then we would have to extend the advance and surface transportation funds from the mtc, to be repaid in future rip's. we would have future commitments, page five of your package. the most noteworthy thing that

the $34 million advance but making central subway the top priority for future programming until that commitment is fulfilled, given that we have a funding grant agreement from the federal government. that is almost a billion dollars. and then this retain it would be the next priority on our commitment list. mtc has agreed to this arrangement, by the way. finally, we would have to amend the prop k strategic plan to adjust for the prop k funds in the project. let me clarify. $9.6 million would have to come from a combination of things. a portion of that would be made up as the economy improves over the period of the project. secondly, a onetime exception to the financing charges we have in the strategic plan which would allow the authority to commit

the full amount it originally committed to the project. this is an important point. if we are not able to commit at $9.6 million, we would essentially be unable to capture almost $20 million in state program called state local partnerships which requires a dollar for dollar match from local sales tax funds. we cannot use our share of state funds or any thing else to match that. if we forgo the $9.6 million, we would be creating a much bigger role by becoming an eligible for the state fund. these are the complexities of a project that has 2000 funding sources helping it. that is the reality of these big budgets. they need many different funding sources in order to materialize. sometimes, we need to deal with the complexities that that creates in getting to the final

stretch of these things. the time line is very short on this. as the chair mentioned, mtc is poised to act on this tomorrow had their programming and allocations committee. as well, the transportation commission will release its own recommendations. both the mtc and california transportation commission will be voting in april of this month -- this year. we need to do this today so that they can act later on. that explains the reason for the special meeting today. that is the summary of the item. it is an action item. i would be happy to answer any questions. i have my staff here to get into the details, if you would like. commissioner campos: thank you for the work you have done on this. i noted there has been a lot of coordination with the mayor's

office, mta, as well as other regional partners, like the mtc. commissioner kim? commissioner kim: thank you. when i was curious, if we are recommending to make central subway the second priority for future rip funds, what is currently our first priority? it says the staff recommendation is to make the central subway a second party after the presidio parkway commitment. what is the current order of priority? >> thank you for the question. the order of priorities is shown on page five of your package. presidio parkway, central subway, and then caltrans downtown extension.

but the proposed remaining commitment table is the second one on that page. proposed, revised, remaining commitments. commissioner kim: what is currently the top priority for rip funds? i assume there was a different place before in the recommendation to change it. >> commissioner, presidio parkway is the first priority, as shown on the table. this is simply clarification that the repayment of funds, $34 million in advance that the mtc is providing, would only happen after the central subway. it is not happening after the local projects. it is just making sure that it is clear the repayment of the

$34 million would happen only after the central subway commitments are filled. that project is already under way -- commissioner kim: prioritize after the presidio parkway repayment? >> yes, it does not change the priority of the commitments that the board said originally. we just have this event from the mtc and need to clarify for them, where in our priorities, that payment would come. commissioner kim: it is confirmed this will not affect any of the construction or but will take place for the central subway? >> that is correct. commissioner kim: public transit is a priority for me, or anything else that we're building for automobiles. i just want to make sure we are not delaying that funding. >> that is absolutely the case. commissioner kimcommissioner cak

that is more a question of wording. it is about our commitment to the central subway. that is my understanding. >> that is right. in order for that to be true, the mtc action has to reflect that, too. our commitment to repay them will happen after the central subway is fully taken care of. commissioner campos: great. is there anyone from the public that would like to comment on this item? seeing none, public comment is closed. colleagues, any other questions on this item? madam clerk, could we have a recall -- roll-call. >> [roll call] the item passes. commissioner campos: thank you

again for everyone who made this happen. please call item 3. >> introduction of new items. this is it an information item. commissioner campos: any new information, colleagues? is there anyone from the public that would like to comment on this item? seeing none, public comment is closed. >> may i interject? uto wanted to recognize your help in getting this item sorted through with mtc, as well as commissioner wiener. thank you. commissioner campos: thank you. madam clerk, item four. >> public comment. commissioner campos: is there anybody that would like to speak publicly on any item on the agenda? seeing none, public comment is closed. item five.

>> adjournment. commissioner campos: we are adjourned, thank you. >> good morning, everyone. i am the executive director of the bay area. we do not get a turnaround you get. and is our honor and privilege to host you, mr. mayor, city college of san francisco, a leading companies in san francisco, and fellow community organizations. we open your bay area three years ago this past tuesday and will come to our class of 80 students. we are trying to solve two problems of the same time.

the first is that companies are struggling to find talent, particularly in the field of technology. at the same time, there are thousands of talented young adults in the city and more than 5 million across the country looking for the opportunity to build a meaningful career. our students go through five months of intensive training and hard i.t. skills and the increasingly important soft skills of communication and professionalism. this is on by an internship of one of 21 companies, who are represented today. we expect the number of companies to grow because of the leadership we have been city hall. there is a buzz in the city because we have an administration that understands the importance of economic development, and one that understands economic development is still by workforce development. it have to attend both at the same time. it is my honor to introduce a man who knows how to create and the the economic engine, the

honorable mayor ed lee. [applause] >> thank you very much. i have had a chance to reflect the last couple of hours on what i wanted to say today. the first thing that came to my mind was the years that i spent in every community of the city picking up trash with kids, all over the neighborhoods, just realizing what can we do to reach everybody in each neighborhood? we tried to do that through the neighborhood cleanup. more importantly, when it came to jobs and future, when i ascended to this position, i wanted to signal strongly that not only would we bring business back in the most enlightening way and get those new economy's going, but we would do it in a way to create open our kids. the worst thing is to have kids in neighborhood say, downtown

and city hall, they get the jobs and create businesses and they make those tax decisions, but it does not touch me. it is not about me. how do we do that in the city, where it is so exciting these days to invite our technology companies to come together and work with us? that has been on my mind for a long time. it was there years ago when we struggled with this concept called digital divide. remember that? technology is moving ahead, apple and everybody is in silicon valley and they are creating these wonderful machines, but not for us. we have to catch up in some way, and if we're lucky, we can get one of these jobs. i do not want to depend on luck any more. it should be part of the way we think in this city. when we create opportunities for businesses to thrive here, when recreate jobs, when i invite

twitter to stay in the city and have that decision resonate, working with supervisors like mark farrell, and jane kim, we all work together. we have to think several steps ahead. the most exciting thing is to have a san francisco resident land these jobs and get the foundation by which they will be successful. that is what we mean when we use the world sustainable. those words are not part of us either. they were for the environmental movement. what does that mean for us? it is really about making sure our local government works to create the conditions which our kids are successful and the very businesses that we give breaks to, and then we help establish success for, and then we invite to come into our city. today is going to be another great announcement. i want to thank