this moa amendment is about cost over runs and the moa requires ocii to pay for all the costs there are five categories in the amount of $595,000 -- $641 -- and that requires an amendment to the moa. the first category is for the design phase. as director bohee mentioned during the disillusion of redevelopment this authority was designed to a 90% level of completion. about a year later when the project was restarted this commission authorized in april of 2013 for two more submissions to caltrans so that we can get a permit to start construction. what transpired it was actually four submissions, two additional more than budgeted and that cost was $66,841. the second category is for preconstruction costs with the transportation authority and their consultants to coordinate the specifications to new caltrans standards and coordinate the requirements from the city departments that are affected. that cost is $77,787. the next category is just the amount of the contract. the transportation authority did a public procurement and received five bids. the award to the lowest responsible bidder wa

>> that's our obligation under the moa. >> yeah but it sounds like we're just a blank checkbook and that's not good enough, and i don't think that's precedent for us to say yeah let's go ahead and have these cost over runs go on and on. >> commissioner. i fully understand your concern. just to add a little information and clarity. some of the cost over returns were due to as we enter into the projects we work with the ta to come up with a budget and sometimes you just don't know. for instance the $180,000 relating to the bid an estimate was provided in the original moa what we thought the construction contract would come in at. it was surprising that all bids came in higher so there were surprises but i would say that the costs were reviewed and they're appropriate and unforeseen that caltrans would like four submissions instead of two and we were involved with the ta with it. it's typical practice that you maintain some project reserves during the project should you encounter unforeseen conditions you can deal with it at the moment. the moa currently provides for discussion with us betwee

other considerations, the cost subject to this moa amendment to 16a. funds will be used on the scope of work and any unused funds will remain with ocii. overall completion is at 60 percent goal. it's utilizing the city's local hiring policy local by trade. the general contractor and 35 percent for labor classification and 15 percent for operating engineers. there to operating engineer trade is short of 50 percent goal. ocii acting through the office of economic and workforce development continue to work with the contractor to meet this goal at the end of january and operating apprentice to improve local hiring performance. as stated in the resolution, the executive director would be authorized to enter into any and all ancillary documents to complete the necessary contract. that concludes the staff's presentation and we have people here from transportation authority to answer any questions you may have. >> thank you, do we have any speaker cards on this item. >> we have mr. ace washington. >> i just wanted to know what is the reason. it quite a bit of