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call. director kim is absent. with that dr. armistead? >> director armistead: here. >> harper? >> director harper: present. >> reiskin >> director reiskin: here. >> sesay? >>is present. >> vice chair gee? >> vice chair gee: present. >> director davis just walked in and joined us. with that mr. chairman you have a quorum. the next item is item 3, board of communications. i'm not aware of any. >> chair nuru: i would just like to say over the weekend i saw a light security at some of the job fairs and they were out trying to hire guards for the transbay so it was really great to see them and really trying to reach out to the local

communities to get people to come and help with the transbay. i thought that was a good thing. >> that's great. next item, item 4, board of director's new and old business. i'm also not aware of any. item five. >> good morning, directors. at the last board meeting we reported an executive site meeting scheduled with ac transit to assess the construction progress and determine the next steps needed to start bus training. the meeting went very well. we'll provide you with a more detailed update in the construction update later in the agenda. in regards to the status of the documents the federal transit administration is still performing their final review. once the review is completed and if they have any comments we would address them and we'll bring the document to the board

for consideration. on april 27th the state released the approved projects list for the transit and inner city rail capsule program. as you may recall, the tircp is a 5-year program that's updated every two years. it currently provides $2.4 billion in grants over the next five years. our application that was submitted in january included a request for $275 million for the downtown extension. unfortunately the dtx did not make the project list. we will not receive any funding during this program cycle. we will resubmit our application when the application period opens up again in two years. by then we should have our environmental document completed and the project design will be much more matured and we would be in a better position. however over all the area did well. cal tran received $164 million to extend the cars and platform.

we consider that a win for the tgp as well. i would like to take credit for that one too. the vta received $730 million for the bart extension to the silican valley. that was a very god win for them as well. on march 9th the california high speed rail authority released the draft 2018 business plan. last month the rail authority staff presented a draft plan to the boards. we provided all comments to the high speed rail authority earlier this week which you were copied on. in our comments we encourage the high speed rail authority to consider making the first transit center instead of 4th and king station for the initialling operating segment from the central valley to the silican valley since that is expected to be completed in 2029. we would be hopefully done by then with the gtx.

we'll find out if it was well received or not. maybe director armistead could tell us that. at this time i would like to ask erika elliot to provide an update on the leasing efforts. >> good morning, directors. erika elliot, those who i have not met it's nice to meet you as well. on our slide today -- there we go. i wanted to show you that our interest is still very strong having been several months into the process. the inquiries list is very strong and we see brand new, you know, five inquiries by brokers or individual tenants a week. so that's very encouraging to see this interest still going. moving along, we have 24 letters of intent and remind you we have 35 to 37 spaces depending on how tenants want to combine them.

to date we have three leases in progress so we are very excited about that. in terms of progress by the report in each stage, you can see by the fact that in q1 we over -- we met and went over our letters of intent requirement. now we have three new ones for quarter -- for the second quarter and we are well into our leasing stage. so we are meeting all of our goals, we are ahead of them in fact. so we are very excited about that. >> excuse me. could i ask -- >> yeah. >> so the third quarter goal is to have 13 leases signed. would you say that you're on track for that? >> so for this upcoming week, business week, five day business week, we expect to have a bunch of leases submitted for draft. so i'd say we will be able to make that. >> great.

>> any other questions? >> thank you. >> i also would like to ask christine feldi to give us an update on the grand opening operation. as i mentioned at the last board meeting, we are talking to sponsors about funding some of the events and if we are able to fund enough events we'll have a robust grand opening. i know christine has been heading their efforts. >> good morning, directors. thank you for having me back to update you on the grand opening. our goal is to have a regional inclusive celebration of the sales force transit center for the greater bay area community. we are doing that with a goal of letting the community know this is not the end of something, it's the beginning of something very exciting. we are looking towards the future. so our events are really about educating people about what the center is all about all year around and then really looking and pivoting people towards phase 2, what is next and

exciting for the city and the region as far as transportation goes. the first thing we are going to do is transition existing write -- riders at the temporary terminal center. we will have a phased opening. so we have an app ambassador program, literature, earned and social media in order to accomplish that. have it seemless for customers, that's our goal. wither going to have about a series of two weeks of events then leading up to the grand opening and that's going to be everything from tours, we have partnerships already secured with the arts commission, pelly clark pely, sf environment to really educate people about all of the features at the center, sustainability, the transportation features, the retail, the public art i think is going to be a big draw for people to visit the center all year around. so we have tours designed for each of those and other aspects of it as welch that's going to lead up to a formal ribbon cutting for the dignitaries, local, state and federal and

concluding with a grand opening, neighborhood block party where we invite the whole combhupty to come. we leveraged partnerships with existing partners like brv and pelly, clark, pelly to have a really big celebration that activates the entire center. as you all know it's a 1 kwar foot center. it will be free and open to the public and we are going to use media and social media to promote the availability of this free family friendly day for people to celebrate the center. i'm happy to take any questions. >> it's been probably a year ago that we got some information -- they were at some event that i was at. there's a historical bus organization that's has a bunch of old bay area buses, ac transit and stuff, in some warehouse somewhere cheap.

they very much wanted to be able to bring some of them in and display them on the bus deck or other wise. i don't know if you still have that information but i think they are ready googleable. you can find them and talk to them. they are definitely interested in being part of that and showing off their -- the buses that they completely rehabbed in their museum. >> yeah, our goal is to do that and then also to show the vehicles oh of -- of the future, the sustainable vehicles as well. i'll make sure that we are in contact with the one that you are talking about. >> okay. >> just to i guess reiterate a point i made earlier, it seems like a great ramp up and a great way to start. to me from a transportation perspective, the real game changer of having a new transit center open is the transbay buses not having to get off and travel on city streets. i think the commute for folks on

ac transit and the other bus lines that will be serving the bus deck, it will be a much better experience for the riders. to me the best target audience for that are the people driving over the bay bridge in the morning to san francisco. so i don't know if we've thought about how to target some of the promotion to that group, whether it's drive time radio, maybe we can do some variable message signs on the bridge or on the ramps to the bridge but i think that that's the audience that we want to capture or that's one of the main audiences we want to capture, folks who might now find ac transit or other transbay transit a better choice than getting in their car to drive across the bridge to san francisco. >> easy and accessible transportation and a big message about reducing congestion will be part of the earned and social media plan but i'll take those ideas back for sure. >> thank you. >> other questions? >> maybe i missed that, when

are we targeting the time frame? >> we are not ready to announce it to the public yet. we are going to wait for that significant construction milestone, which is getting the tco, the temporary certificate of occupancy and then we'll promote to the public. this summer is what we are planning towards. >> this concludes my report. >> next item? >> yes, please. >> item 6, the construction update. >> good morning, director, dennis here, ron and steve will be joining me in their respective slides for this month's construction update and jessie peterson with webcore is also here for any questions at the end. so it has been a very good month for us. things have been progressing well. our picture that we have at the

beginning here looks like a really nice park, that over view that we've been showing and there's many other parts that i'll show in my slides in progress over the past month. our graphic here, as you look at the top on the park has been progressing well from the great water basin on the right, there's plants in it. there's probably 2,000 plants alone in that far eastern section. a lot of the site work has been done, a lot of stone work has been completed and also as you move your way to the last one, even the grand lawn that is commonly known as the amphitheater is probably going to be the last piece because that's what our contractor is using for the staging area but that will come together in the month here shortly because there's only 11 trees left to plant and then they are -- but they are -- but the one element on the park which ron will get into more is our e2 pylons. those definitely are our major risk on the park. but everything else regarding

hester scope is well on its way. bus deck, you see a lot of yellow and blue. that's the ceiling for the bus deck and it has progressed very well now that almost all of the ceilings now have been signed off for their, you know, map so they can close them up. as you work down to the ground level, similar as well. second level a lot of sign off that i have a slide to and then at the ground level, the bus plaza, some great pictures of that. site work, that yellow area, at the western or the left part of the ground level, has been progressing very well. the last part about two or three weeks from now. working below ground, the main item of note is lower concourse in that upper left. that's in punch out and turn over stage, the entire area now is in that stage of turn over and sign off. that's very good. then this of course my usual one

slide of words of what i've just said is for any edification after this particular meeting. here's the actual pictures. bamboo grove has been installed since the last time. that's about -- on the easterly part of it. it's a beautiful area, very mature. 20 plus foot bamboo trees that are in place. all the understory plants, all 16,000-plus are essentially in place at this point. perimeter walkway, benches are in place. the pathway in about three weeks the pathway will get a poxy granite that will go on top of it that's 4 inches thick. you're just on the concrete sub base. that will be in place. there's a peak of an e2 pylon in the middle of those benches. we talked about those which has beacons on it, speakers, cameras, there's a lot of

fire-like safety elements all part of those e2 pylons that have been lagging in their delivery. the terrace on the restaurant is coming together very nicely. the restaurant is almost built out for its core and shell. ready for that tenant that erika and collier are working on diligently. moving down to the bus deck, this is the ac transit superintendent booth. it is done. it's ready for ac transit to move in. they will be moving in furniture shortly. the sub who has been doing this is essentially done with the ac superintendent booth. so that's been great progress and turn over. also the big thing of note, if anyone has been out there in the last few months you notice all that open ceiling. it's all closed up for the most part. whatever is left at the far eastern end will be closed up soon. a tremendous amount of progress on the bus deck level. in anticipation, we have been

anticipating training in june and it will be well ready for that. also too all the ceiling fans and the pet islands are in and ceiling over the pet islands are also going in place as well. one note of excitement, we get excited about various milestones, when doors showed up to the grand hall. that was a very exciting thing. we do have doors now in the grand hall and wrapping up all those final touches in the grand hall. i don't have a picture of it. i'll have a beautiful one next month. the polishing of the floor has started. that's the last step. the grand hall ceiling is also just about complete so they can do all that underwork as well. other items too, the systems, which is really where a lot of the focus has been from fire-like safety the items such as generators, fuel oil systems, are coming online now. permanent power throughout.

the main distributions rooms have it but the intermediates are still getting it and progress is being made and we'll talk to that in the next few slides. the bus plaza is looking great. it's being ready to be activated within the month and from the ocs to the various site works are on track to meet the needs for the bus plaza. some final items that we are working on for traction power, working through. work arounds are needed -- are in place if needed. improvements is one other item that we've been tracking. web core has turned over greyhound, am track, service rooms now turned over. at this point lincoln properties is working on their drawings being reviewed by the city. the permit is imminent for that. work to build out greyhound and amtrak. fire alarm design is submitted.

waiting on the fire department to give that approval. the mail room design is complete. the mail room is in a bidding process so that's making progress. the room turn over has been on schedule to the needs of meeting that summer activation. a quick update on the bus onramp merge, an item of ac transit and the operations to treasure island. cal trans did approve the plans that were submitted from the ac transit design. the contract change order has been negotiated and is in place for $255,000 to be funded by program reserve. already we've got our flash and beacon loops installed. it took 6 months to get through the design. we got a lot done in two weeks. concrete barrier is not being installed as we speak for the next couple of days. we are waiting for the delivery of the controller cabinet.

there was a very quick switch yesterday. cal trans was going to have a state furnished material for that. we were noticed yesterday and the incredible diligence and hard work of our re found our own controller cabinet yesterday within about three hours out in livermore. i don't know how our re found it but that's going to -- that's supposed to be delivered next week and then we will look to cal trans or an outside entity to program it to ensure we meet our june 1st date to get all that work done. then the last activity really is striping. the striping will be done here the weekend of may 20th. so that is -- that scope is completely on track to meet the needs. speaking of bus storage, that's one of the flashing beacons right there on the left hand that we've been talking about. it's pretty basic but it doesn't have its sign on yet. that's what we've been talking about. it has loops that will activate it. on the right shows the concrete pavement. over 90% of the concrete

pavement is in now. we will be moving in, testing buses on may 30th. so at the end of the month here. we are still on track for the june 26th completion of the admin building and turning over the keys is anticipated around july 1st to ac transit. so moving onto safety and labor. we did have one incident. we had a recordable the early part of april. a shoulder strain. the one real item of note is we surpassed $5 million draft dollars on the project with 173,000 just this last month. we still have well over 700 workers out there. it's obviously going to drop off really fast here with over 400 electricians. it's an extremely active site. we crossed 5 million which is an amazing feat. with that over to ron for budget and risks. thank you. >> thanks, dennis. so good to see the progress

photos and good progress out there. good morning, directors. for the benefit of the new directors my name is ron alameda with public works. i just want to report on progresses that relates to budget risks and schedule. the first slide indicates that we are kind of closing in on where we've been forecasting this budget to be going. we have an eac that has been adjusted to 2.159 right about where we had targeted our maximum. you'll notice that we've added following the cost for t.i. work and legal expenses so we are really outside the construction but have been object -- absorbed by some of the contingencies but also keeping the eac below the

budget. that's all good news. expenditures over the last month was about $15.7 million. so no big news on that front. contingencie contingencies, like wise, the draw downs are as expected. most of them have been just catch up on long debated or discussed change orders finally coming to rest and drawing down in the last month. about $9 million just to close out some of those issues. not all of them are complete done deals. there's some street lighting with mta as well as traction power that we are trying to refine and hopefully the right size to scope and draw down is as much as we've been

showing. moving onto schedule, this shows no real change from last month. it's a firm commitment by our contractor to reach tco but june 15th and substantial complete no later than july 5th. we showed slipture on the roof part but not critical path in terms of the over all facility. some of that is being dragged down by the infamous e2 pylons which i will elaborate on shortly. then the bus storage facility has always been our star performer, always staying on track. as we move on with the more granular look of the schedule, we've been looking at or tracking the critical milestones and they have been more or less tracking within a couple of days

or so. nothing pushing out the end point. still leaning into makiing sure that we meet the criteria, in particular the fire alarm systems, conduits and wiring is in place and eager to start ringing bells and making sure those systems are working properly. progression through the building in respect to electrical power, distribution is beginning to get its stride as well. that brings us to the schedule related to operations and really no change from last month's report. it's progressing as planned. so with that i'll move onto the risk. first i wanted to underscore, elaborate on what mark mentioned on the 23rd, a very successful

meeting and walk through with the ac transit folks. very collaborative discussion and walk through of the bus deck. we touched on the bus storage as well as the merge. it was an engaging conversation, positive, sorting out how best to work through progressing the construction on parallel with planning for training. good discussion with the job superintendent from work core who lent very good clarity on what was done, what still needs to be done and how it was going to progress so we could coordinate with ac transit. so that was all good. i think everybody was satisfied with the state of completion at that point and could visualize the progress that needed to be done and that it was pacing

generally well. having said that, there are definitely risks out there. this is the same slide from last month. really it's all about addressing issues as they arise. you know, i'm an advocate of realtime issue resolution as i've mentioned many times. on wednesdays in particular we have our project leadership team and our owner, architect, contractor, risk coordination meeting. as issues arise we beat them down as soon as they arise. yesterday was no different. again, the electrical-related scope of work continues to drive the schedule with over 400 electricians, particularly with rosedon on board. we are seeing much better progress. there are a couple of key points with this that still remain and

web core will probably elaborate as they come up at the end of this presentation on how they are managing those risks in terms of on boarding or heating up their ups system to ensure that we can do our low voltage systems stand up and checks. again, generally the milestones are being met and addressed. and that leaves me to underscore some notable remaining risks. you know, we have just over a month left. there's really no time for recovery. we have to be diligent at dealing with risks as they arise. the remaining risks obviously are building stand up, start up and commissioning as well as fire and life safety. i mentioned we are going to be ringing bells soon to ensure that those systems are working.

of course security and other software systems are going to be starting to heat up and get teased out and knock on wood we don't have too many gremlins that pop out of those systems which have a propensity to do at times. and then underscoring the e2 pylons which are the systems up on the roof, the lighting and the fire alarm and the speakers and all that. those have been a little vexing in getting from l.a. in a reliable stream. i know we had a handful arrive last week and they were immediately put in place on the roof over the weekend. so that's a significant risk in terms of ensuring the systems are completely activated up on the roof. i haven't quite matured but i want to develop some mitigation

strategies in case they don't come. those strategies haven't quite matured enough to speak to just yet. with that i'll invite steve humphreys as or jess peterson to come up and elaborate on their efforts out there as we sprint to the finish in the next month or so. >> good morning. yes, it is a sprint. it has been for the last two months. we've been successful in that sprint really because of the collaboration that's taking place with the team. i'm talking the entire design team, ourselves, our subs. maybe not all of our subs. as we come upon issues and we do daily we have to figure out how to fix them and move on. many of those issues rest in our court. we've continued to find ways to

do that. if it isn't working one way we look for solutions to solve them or work around and i think that's why, you know, for the last couple of months, reports you've just heard, we've been successful in turning over areas as they have been needed, getting ready for the early june union movement on the plaza as well as the bus deck and the bus training that's taking place here in early june as well in preparation for a june 15th tco. what ron eludes to is true. we have a very custom, unique network system that the entire fire life safety and paging and other systems run over. things also happen but we know that they do. we a we are looking ahead in advance of the kinds of things we need to do to be prepared to keep making them happen. as long as the team stays on the high alert and the responsiveness across the entire

spr spectrum we are anticipating that tco in mid june. >> director reiskin has a question. >> director reiskin: i want to thank you you and your team and your subs or most of your subs as well as the rest of the team from stopping the schedule slip. it's great the see june 15th still holding. so that's great. my question maybe is more for ron and maybe this is what you meant by mitigation strategies but it sounds like by the time we next meet we'll be maybe a day before we are supposed to have our tco and it sounds like -- meaning that it's not far away and there's a number of risk elements that you've i' identified that stand between us and that milestone. so what extent are there potential work arounds or contingency planning that would allow the ac transit, training -- the steps they need to take to get to the august 12th date

happen even if there's some issues with the june 15th date? so in other words, are there contingency plans that will allow us to hold august even if we are not 100% there in june? >> we've worked through at ac transit safety issues to implement in case let's say the fire alarm is not mature enough on june 15th and we need to buy some time or activity in lieu of that. we do have those agreed upon interim life safety measures, temporary signs, fire watch, et cetera. so those are mapped out and agreed upon. i think the last year and a half or two lots of meetings regarding start up and commissioning. i think we'll see the fruit of that labor. at least a knowledge-base to

react to things that might pop up. e2 pylons are a zone for the fire alarm system. they're focused on the roof park. the fire alarm system up on the roof park is intha somewhat of an elevator -- is what of an elective system. it's out doors. i wanted to explore up there. if we can't quite in fact implement that system completely i still need to tease out those notions with the appropriate agencies and what have you. >> director reiskin: so would i be right to summarize that between the current projected schedules of tco, substantial and start up and some potential mitigation strategies -- >> there's a little bit -- >> >> director reiskin: are you pretty confident on the august start date? >> yes. >> director reiskin: great. great to hear. thank you. >> a little bit of maneuvering space between june 15th.

>> director reiskin: great. >> very low. >> director reiskin: thanks. >> director harper? >> director harper: i'm ignorant about the e2 pylons. is the only thing they are is fire safety? >> they have speakers, mass notification, lighting, other sensors and what have you. they are quite an elaborate system. they are not one of a kind, they are close to it. the word trade center has kind of a similar strategy of kind of putting all those systems -- >> director harper: everything in one post? >> yeah. you know, and also, you know, repeaters for wifi and what have you. so everything is kind of concentrated in these 140-some odd polls. you know, the old was to pepper the park with countless numbers of antennas and all kinds of offensive looking things. it

was a good plan. unfortunately the fabricator down in l.a. is invexed by them a bit. >> director harper: i was just -- we kept talking about them and i had no idea. so you talked about having mitigation measures that you might have to resort to if they're not all ready. does that just apply to fire safety or does that apply to other aspects of the e2 pylons as well? >> primarily fire and light safety. lighting as well. again, my notions of how we might navigate through those issues haven't been matured enough or discussed. >> director harper: that's like you going up there with a bull horn and a flashlight? >> exactly. >> director harper: okay. >> thank you. >> thank you. >> thank you. >> we'll go ahead and call item

7, the facility readiness update. >> chair nuru: this will be presented by our facility manager. >> good morning, directors. martha vales. i will start with the facilities update and sydney will follow with the security update and as i go through each slide i will only highlight one or two points. the primary highlight on this slide is the third bullet point. i wanted to briefly discuss the process now in place with the perspective tenant with regard to ti's. the letter of intent or the loi is -- i'm going to use the term front loaded in that the time spent understanding the financials before an loi is finalized. the first step is for the perspective tenant to come prepared with the understanding

of what is needed in the space which they are linked. lincoln meets with them, reviews their requirements and sustaining sufficient information to produce a rough order of magnitude. that number is then dused to discuss the tenant's contribution and a determination is made to determine whether or not the tenant has the financial strengths to go towards the next step of finalizing the letter of intent. to in addition to understanding a clear understanding of the costs up front this should minu minimize construction later. on the last slide the store front treatment. i'm going to then move on to the next slide because i have a visual. this is a visual of what the store fronts may look like as

they are vacant. the top left is not a store front but it's the inspiration that took us down this path. some of you might recognize this. it's balmy alley in the mission. the other pictures are painted store fronts. the general program will be to work with an art vender who will obtain and organize the artists and support generation of a theme to provide a spark of inspiration of what the artists will paint. lincoln is fine tuning the budget with the contract to be underway soon. i mentioned last month that this organization was refer today the tjpa by the art commission. the primary update on this slide is that township. lincoln's cleaning and engine engineering and maintenance vender have commenced the hiring process for the cleaning staff and started the process for the remainder of the engineers and maintenance team to support the chief engineer who was hired

last fall. approximate initial staffing will be 30 between both groups and covering all shifts. tjpa and lincoln are also both working on addressing ac transit's requests for proposal for maintenance and security for the bus storage facility of which ac transit will be reem biers -- reimbursed 100%. this is ac transit this month. today the focus is the -- what we are calling the non-public event fee structure. so i'm going to be discussing that later this morning. for pearl, two key points with regard to pearl. they dme commerced their work te ready and then the rest will follow. the other action that we worked on this month is the advertising policy which comes up later in

the consent calendar. debra kravitz with pri is here to give a presentation later this morning so i'm not going to go into any detail on this slide either. the main update for transit is the agreement. that's going to be presented later this morning. sydney. >> good morning, directors. sydney sampson. so we are really going down two tracks with security now. the preparing for operations and those tasks will become less as we move forward and then the transition from the construction security which is web core to allied universal and maintaining the facility going forward.

so our sops are under development. they will be complete before we start revenue service. the on site security training will begin on june 18th. ecs and mms project will be complete by the end of june provided that we have axis to the -- access to the facility and that's becoming more sure as we moved forward. allied universal, our security contractor will take on security at the bus plaza for start of revenue service and then we will be providing security for ac transit during driver training on the bus ramp, bus deck starting june 1st. this month we redid the schedule slides for clarity of process on key tasks. there are three schedule slides, t two. this first is lincoln's direct work. currently the noted work is on target with no significant issues to report.

if anything slips that will appear in a different color next month. this slide is specific to lincoln's partners as with the previous slide the noted work is on target with no significant issues to report. as i stated with the two tracks that we are going down, developing the sops, preopening security and pcs, mms, those projects will be ending and then the facility security will be commencing and we'll be showing more of those slides as we move forward towards opening. >> any questions? >> i have a security question. since this will be about on going developing building how does the security level -- how will the security level vary

between mid-august and august when people first start using the building and your start needing to figure out where they are and where they are not supposed to be and that sort of thing as compared to when the building is fully operational two years from now? how to the security levels compare? >> we'll really be looking at how people use the building, the physical structures wrshgs , where the lines are and where we expect people to go in terms of the numbers. it will be a transition as we add more people we may need to add more security but we are really looking at using a combination of the security technologies and the physical security, the officers. so our ambassadors, our security guards and sfpd to manage security as it changes through that life span. >> that's good the hear. that's really important to be able to be sensitive to the changes that you'll need to make or money that you can save. thanks.

>> on the digital signage, can you speak to how the content for that is being developed and how you're working with the operators to make sure that it's oriented towards the users, the riders of this systems and trying to navigate through the what is a very large facility? >> we have morgan here with pearl for some of the technical information but there are weekly meetings with the transit operators on building that content. pearl's job is really to pull the content. the content itself is primarily developed by the transit operators. it's hard to articulate how much work it's been and the transit operators, your teams have spent an inordinate amount of time trying to understand something, for example, something as vague

as bus stops, the bus stop identifications. lots of conversations about that, what the configuration is going to be, how it's going to pull through the 911 system, what is the information behind the url that gets pulled through. weekly meetings, there's an -- next week -- pearl morgan is here. pearl's east coast team will be here for one of the first demonstrations to see how it's all going to look. i hope that answers your question. >> okay. if you haven't already, it seems like it may be a good thing to engage the cac onto get kind of the perspective of users of the facility in terms of how the signage will work for them and get their feedback. >> yes, absolutely. >> chair nuru: thank you. >> go ahead and call your next item. >> yes, please. >> item 8 is the citizen's advisory committee update. i think bruce is here. bruce.

>> good morning, chair nuru, executives, executive directors. comments are focused on the following areas today, first follow up on the preparation to address potential quality of life issues in the vicinity and neighborhoods surrounding the sales force transit center once it's open to the public. we had our second meeting on april 20th and i was pleased to see that a representative from one of our other neighborhood associations was able to join us. we, again, had a robust discussion regarding metrics, review of data provided by the east cut cbd over the past 12 months. we discussed various options of how to ensure a valid baseline, independent greating --

integrating 311 data and cbd data to measure any changes and conditions. we agreed on next steps, tar targeted at data to establish a baseline in addition to looking at similar data from areas outside the east cut cbd. in addition we are jointly putting together a matrix of services, provided by the transit center, the cbd and city agencies. this will ensure additional transparency of protocol, expectatio expectations, roles and responsibilities. our next meeting is scheduled for a week from friday, may 18th. moving on to the staff report, several members of our cac were able to tour this center prior to our last meeting on last tuesday. the remaining members will take a tour next month. all were extremely excited to see the progress being made. at this point can now visualize the bustling of passengers,

visitors, neighbors within the center and the buses and some day soon the trains arriving and departing from the center. so everybody was really pleased and very excited to be there. regarding the ti rcp. also though we are pleased the bay area did well on receiving the ti rcp we were disappointed to hear that the $275 million for phase ii did not make the cut. with that said, we are hoping with phase ii being in better position to move forward at the next opportunity for funding in 2 years it will be a better candidate to be awarded funding. with this said, we are pleased to see that the next rab community working group meeting is scheduled for may 21st with the public meeting scheduled for the following week.

we would urge based on the information provided by the project team and feedback received from the public in key stake holders agencies that a timeline and next steps be established to reach a decision on the optimal alignment in a timely manner. with that decision finalized, additional environmental analysis as needed could be initiated. in addition, we urge that the tjpa project team, the sfcta, planning and other associated agencies to recommend a path forward allowing engineering and design work to continue on appropriate sections of the dtx while the alignment decision is finalized and environmental work is being conducted. moving onto the grand opening update, the cac was pleased to hear the robust plans focused on assisting and educating

passengers on the start up of many operations in june and ac transit operations in august. we look forward to a robust set of activities and toured plans and coordinated with the opening of the center. of course the hiel -- highlights being a ribbon cutting and neighborhood party. we heard about that and are looking forward to that. we look forward to more as we get closer to the two start-updates. we were, again, impressed with the presentation on pop up retail. it appears to be a very robust and thoughtful plan with lots of flexibility. changes can be made quick oi ly on what is working and -- quickly on what is working and what is not. it will be good to see the activation during the national start up with muni on june 16th versus the full operations in august. kind of what does that whole transition look like.

one item we thought should be monitored closely was the wednesday farmers pop up mashth that will be operating from -- market that will be operating from 3:00 to 7:00 p.m. not so much the market that we were exited to see as an element of the plan but the set up and break down that could be a challenge. specifically to the traffic congestion in the area. you know, where would venders park, how long would they be allowed to park for? we already know that's congested down there to start with. debra from pri appreciated the concerns and will keep that in mind for planning and monitoring purposes. moving on to the construction update. we were very pleased as i know many of us were to see the progress that has been made, the milestones met and the dates holding for the temporary certificate of occupancy and substantial completion. we were very glad to hear that the april 23rd executive walkthrough went well.

of course we are cautiously optimistic both with the june 16th and more so with the august 12th dates targeted for start up of bus operations as we are all aware of the risks associated with the final steps and milestones associated with the testing of a comprehensive network of systems and the impacts of any significant failures. last the facilities and retal -- retail update we just heard. we were proud to see the letters of intent for retail at the center. we look forward to seeing the progress for the negotiate and sign off phases in the 2nd and 3rd quarters of this year. that wraps up our update and thank you for the opportunity. happy to answer any questions. >> thank you. >> we have a question. >> a brief comment. i just want to acceleraknowledg dates that you mentioned and the add -- advocacy.

we will continue to support directors on the future applications. regarding the rab, i just wanted to note that the transportation authority board will most likely have the rab item at the rail yard alignment benefits study at our transportation authority board meeting on may 22nd. so that would be the day after the citizen's working group meeting. an additional note for the public. i just wanted to apologize to fellow directors and the public for being late. i got a little enthusiastic. it was my first meeting and it was back to workday so i biked to the office at mission and biel. again, i'm sorry to be late. >> okay. thank you. >> thank you. next item, please. >> so the next item is public comment and opportunity for members of the public to address the authority on what is not on the ie gener-- agenda. we have jim patrick.

>> good morning, board of directors. jim patrick, patrick and company in san francisco. i want to reflect back on my navy days, which was a long, long time ago. when we had a big operation we came off with the lessons learned meeting. we are coming off a $2 billion project and we are about to enter another $3 billion project. it seems to me you as a board of directors generate a committee to look at a lessons learned. what have we learned from this $2 princip $2 billion project? did we organize the staff right? the board right? >> [duck quacking] >> that's a comment i guess. >> sorry about that. did we organize the board right. did we select the architect right? was it a good way we pursued the problem? was there a bidding process right? i see we have a big electrical contractor problem. clearly seems to me that there's

a red flag up there. we missed that bidding process. is there public relations right? how about our construction management approach? was that a good approach? could we have done something different? are there design flaws that came up that we missed that we should ha haveism proved on, what abo -- improved on? what about the union management strate strategy? what about our use of consultants? was it really good. remember we are coming off one big operation, going to go to another operation. are we going to keep going the way we've gone or try to learn from our lessons? our marketing plan, was that a good marketing plan? how about the way we managed our legal process? how about the use of the citizen advisory committee, was that the best we could have done? i challenge you to take this -- well, we have all the players on board proving out. suddenly all this organization will fall apart as this dco comes together and it will be

gone. now you have one chance to bring the players together, evaluate the job could've done and more important how could you do it better and move it onto the next big project which is coming right down the road. thank you. >> chair nuru: thank you. >> all right. that concludes members of the public that wanted to comment under that item. you can go ahead and move into your consistent calendar. all matters are routine and will be asked by a single vote. no separate discussion any items unless it's to be done separately. no member of the public wants them severed. your items are? >> move. >> second. >> a first and a second. >> director a armistead? >> director armistead: aye.

> >> that is seven. >> regular calendar? >> chair nuru: yes, please. >> a public hearing for fiscal year 2018 slrn 19 in an amount not to exceed and fiscal year 2019 budget in an amount not to exceed $40 million. >> good morning, director. sara debord. the draft budget before you is $165 million for capital and $40 million for operating. the capital budgeting is divided into phase i and phase ii costs. so it's about $148 million to complete phase i and $17 million budgeted for on going phase ii costs. the operating budget, there's a $40 million budget that inclu s including putting the remainder oh of the naming rights of the next fiscal year into operating

and maintenance reserve and then a second option that does not put those funds into reserve and instead it is used to offset a little bit of the operator contribution. on the capital side as well as the operating side, some costs are allocated between the two budgets. the staff report explains which. it's due to professional services and debt service and it's always divided. i'm sure that there are a lot of comments and/or questions so i'm happy to respond. >> chair nuru: director reiskin? >> director reiskin: so just a few questions. one small one is if i recall

right you had the lobbyist expenses split between phase i and phase ii. >> between phase ii and operating. i don't think -- >> director reiskin: or phase ii and operating. why would we need lobbyists related to our operating budget? i would think that we would want 100% of them focused on getting that next ti rcp grant. why do we need them in operations? >> we can do it all in the operations budget. there are additional opportunities for operational receive -- revenue. they were instur mental in the rm3 including operations for funding if that passes. >> director reiskin: okay. so then the two main questions, one i appreciate you putting the operating budget projections doing back iim