SAN JOAQUIN REGIONAL RAIL COMMISSION
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1 SAN JOAQUIN REGIONAL RAIL COMMISSION Commissioner, Bob Johnson, Chair, City of Lodi Commissioner, Kathy Miller, Vice-Chair, San Joaquin County Commissioner, Christina Fugazi, San Joaquin County Commissioner, Steve Dresser, City of Lathrop Executive Director, Stacey Mortensen Commissioner, Vince Hernandez, City of Manteca Commissioner, Mike Maciel, City of Tracy Commissioner, Scott Haggerty, Alameda County Commissioner, Tom Blalock, Bay Area Rapid Transit (BART) SAN JOAQUIN REGIONAL RAIL COMMISSION This Agenda shall be made available upon request in alternative formats to persons with a disability, as required by the Americans with Disabilities Act of 1990 (42 U.S.C ) and the Ralph M. Brown Act (California Government Code ). Persons requesting a disability related modification or accommodation in order to participate in the meeting should contact San Joaquin Regional Rail Commission staff, at (209) , during regular business hours, at least twenty-four hours prior to the time of the meeting. All proceedings before the Commission are conducted in English. The San Joaquin Regional Rail Commission does not furnish interpreters and, if one is needed, it shall be the responsibility of the person needing one. Any writings or documents provided to a majority of the Commission regarding any item on this agenda will be made available for public inspection at the Office of the Executive Director located at 949 E. Channel Street, Stockton, California, during normal business hours or by calling (209) The Agenda is available on the San Joaquin Regional Rail Commission Website: Robert J. Cabral Station South Hall Meeting Room 949 East Channel Street Stockton, CA AGENDA November 6, :00 a.m. SJC Administration Building (Conference Call) 44 N. San Joaquin Street, Ste. 627 Stockton, CA Heritage House (Conference Call) County of Alameda 4501 Pleasanton Avenue Pleasanton, CA Call to Order, Pledge of Allegiance, Roll Call Chair Johnson Roll Call: Blalock, Haggerty, Fugazi, Dresser, Hernandez, Maciel, Vice-Chair Miller, Chair Johnson Ex-Officios: Agar, Chesley, DeMartino Oath of Office for incoming Commissioner: Christina Fugazi 2 Public Comments Persons wishing to address the Commission on any item of interest to the public regarding rail shall state their names and addresses and make their presentation. Please limit presentations to five minutes. The Commission cannot take action on matters not on the agenda unless the action is authorized by Section of the Government Code. Materials related to an item on the Agenda submitted to the Board of Directors after distribution of the agenda packet are available for the public inspection in the Commission Office at 949 E. Channel Street during normal business hours. These documents are also available on the San Joaquin Regional Rail Commission website at subject to staff s ability to post the documents before the meeting. 949 East Channel Street Stockton, CA {800) 411-RAI L {7245)
2 3 Presentations and Recognitions 4 Consent Calendar 4.1 Minutes of August 7, 2015 ACTION Rail Commission/ACE Monthly Expenditure Report INFORMATION ACE Monthly Fare Revenue INFORMATION ACE Ridership INFORMATION ACE On-Time Performance INFORMATION Washington Update Letter from Supervisor Scott Haggerty/Wayside Horn 2016 ACE Service Holidays INFORMATION INFORMATION ACTION Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission (SJRRC) Authorizing and Directing the Chair to Appoint a Member of the SJRRC Board of Directors to the Tri-Valley Regional Rail Advisory Group to Represent the SJRRC (Stacey Mortensen) ACTION Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Authorizing an Increase to the Construction Budget in the amount of $1,369,233 for the Stockton Track Extension/Gap Closure Project, Included in the Third Amendment to the Trackage Rights Agreement with the Union Pacific Railroad Company, Authorizing and Directing the Executive Director to Execute all Documents Related to the Agreement. (Brian Schmidt) ACTION 26 7 Presentation on ACEforward Tri-Valley BART Connection Alternatives and Update on ACEforward (Dan Leavitt) INFORMATION 30 8 Update on Amtrak Agreement Negotiations for the San Joaquins (Stacey Mortensen) INFORMATION 31 9 Briefing on August 21 Hearing for the California Assembly Select Committee on Rail (Dan Leavitt) INFORMATION 32 2 of 32
3 10 Commissioner Comments 11 Ex-Officio Comments 12 Executive Director Report 13 Adjournment The next regular meeting is scheduled for December 4, :00 AM Robert J. Cabral Station 949 East Channel Street, Stockton, CA 3 of 32
4 Item 4.1 SAN JOAQUIN REGIONAL RAIL COMMISSION November 6, 2015 ACTION Minutes of August 7, 2015 The regular meeting of the San Joaquin Regional Rail Commission was held at 8:00 a.m., August 7, 2015 at the Robert J. Cabral Station, 949 East Channel Street Stockton, CA Call to Order/Pledge of Allegiance/Roll Call Vice-Chair Miller called the meeting to order at 8:00 a.m. and led the audience in the Pledge of Allegiance. Commissioners Present: Blalock, Haggerty, Bestolarides, Dresser, Maciel, Hernandez, Vice-Chair Miller Commissioners Absent: Chair Johnson Ex-Officio Members Present: Nate Knodt (SJRTD) 2 Public Comments None 3 Presentations and Recognitions None 4 Consent Calendar 4.1 Minutes of June 5, 2015 ACTION 4.2 Rail Commission/ACE Monthly Expenditure Report INFORMATION 4.3 ACE Monthly Fare Revenue INFORMATION 4.4 ACE Ridership INFORMATION 4.5 ACE On-Time Performance INFORMATION 4.6 Washington Update M/S/C (Maciel/Dresser) Approve the Consent Calendar. Passed and Adopted by the San Joaquin Regional Rail Commission on the 7 th day of August, 2015 by the following vote to wit: AYES: 7 Blalock, Haggerty, Dresser, Bestolarides, Maciel, Hernandez, Vice-Chair Miller, NOES: 0 ABSTAIN: 0 ABSENT: 1 Chair Johnson 4 of 32
5 5 Approve a Resolution of the Board of Commissioners of the San Joaquin ACTION Regional Rail Commission Authorizing and Directing the Chair to Execute the FY 15/16 Measure K Project Cooperative Agreements Brian Schmidt noted the Rail Commission annually renews several Administrative and Operations Agreements relating to legal services, crew layover facilities, security services, diesel fuel, project management services, and insurance brokerage and placement services. Mr. Schmidt presented the agreements for renewal. Commissioner Haggerty noted the cost of crew layover facilities continues to increase requested staff to continue looking for alternative layover facilities in San Jose to reduce costs. M/S/C (Blalock/Bestolarides) Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Authorizing and Directing the Chair to Execute the FY 15/16 Measure K Project Cooperative Agreements. Passed and Adopted by the San Joaquin Regional Rail Commission on the 7 th day of August, 2015 by the following vote to wit: AYES: 7 Blalock, Haggerty, Dresser, Bestolarides, Maciel, Hernandez, Vice-Chair Miller NOES: 0 ABSTAIN: 0 ABSENT: 1 Chair Johnson 6 Approve a Resolution of the Board of Commissioners of the San Joaquin Regional ACTION Rail Commission Approving the Fifth Amendment of the Altamont Pass Trackage Rights Agreement with Union Pacific Railroad for Capital Improvements Associated with Positive Train Control over the Trackage which ACE Operates in the amount of $3,948,000 and Authorize and Direct the Executive Director to Execute all Documents. Brian Schmidt presented the Fifth Amendment to the ACE Trackage Rights Agreement. Mr. Schmidt noted the amendment is for ACE s proportionate capital share of Positive Train Control (PTC). The cost was calculated by percentage use of the corridor between Stockton and San Jose, with the ACE share being approximately 4% or just under $4 million dollars of the approximately $100 million construction cost of implementing PTC on the UPRR corridor ACE operates over. This cost is not to exceed amount and will not be increased. M/S/C (Haggerty/Maciel) Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Approving the Fifth Amendment of the Altamont Pass Tranckage Rights Agreement with Union Pacific Railroad for Capital Improvements Associated with Positive Train Control over the Trackage which ACE Operates in the amount of $3,948,000 and Authorize and Direct the Executive Director to Execute all Documents. Passed and Adopted by the San Joaquin Regional Rail Commission on the 7 th day of August 2015 by the following vote to wit: AYES: 7 Blalock, Haggerty, Dresser, Bestolarides, Maciel, Vice-Chair Miller NOES: 0 ABSTAIN: 0 ABSENT: 1 Chair Johnson 5 of 32
6 7 Update on Executed Interagency Transfer Agreement for the San Joaquins. INFORMATION Stacey Mortensen informed the Board Intercity Transfer Agreement is between with the State of California and the SJJPA as executed on June 30 th Additionally Ms. Mortensen provided an overview of the agreement. 8 Update on Grant Applications INFORMATION Brian Schmidt updated the Board on the status of current grant applications and grants that have been approved: Approved Grants: Low Carbon Transit Operations Program - $54,082 ACE Shuttles in Alameda and Santa Clara Counties Transit and Intercity Rail Capital Program - $200,000 Wayside Power in the ACE Rail Maintenance Facility Pending Grant Applications: Tiger Grant Stockton Track Extension $15M 9 Announcement for Upcoming Hearing for the California Assembly Select INFORMATION Committee on Rail Dan Leavitt informed the Board Assembly member Gray is holding a Public Hearing for the California Assembly Committee on Rail in Modesto on August 21 st, 2015 from 10 am to 12 pm at th Street, and invited the Board to attend. The purpose of the Hearing is to promote ACE and the San Joaquin Services. 10 Commissioner Comments Commissioner Haggerty thanked the Board members for allowing Commissioner Blalock and himself to call into the meetings. 11 Ex-Officio Comments Nate Knote (SJRTD) noted SJRTD had an increase in ridership in FY 2014/2015 over the prior fiscal year and will begin 2 additional Bus Rapid Transit routes in FY 2105/ Executive Director Comments Stacey Mortensen introduced Ms. Anna Olidie to provide an update on the World s Greatest TV Show. Ms. Olidie announced ACE had been selected for the Show and will be the features agency and will air in December Adjournment 6 of 32
7 The meeting was adjourned at 8:53 am. The next regular meeting is scheduled for: October 2, :00 am Robert J. Cabral Station 949 E. Channel Street, Stockton CA 7 of 32
8 Item 4.2 San Joaquin Regional Rail Commission Altamont Corridor Express Operating and Capital Expense Report September % of Budget Year Elapsed SJRRC EXPENSE % ACE EXPENSE % FY TO SPENT FY TO SPENT OPERATING EXPENSES ALLOCATION DATE TO DATE ALLOCATION DATE TO DATE Project Management, Services & Supplies Project Management, Services & Supplies Subtotal Contracted Services Subtotal Shuttle Services TOTAL OPERATING EXPENSES 644, ,926 17% 4,217, ,489 18% 399,739 46,634 12% 15,186,149 2,052,612 14% 1,203, ,954 12% 1,044, ,560 15% 20,606,709 2,973,055 14% CAPITAL PROJECTS ALLOCATION DATE % TO DATE 1 Cabral Track Extension 1,946,720 8,444 0% 2 A1 & A2 Bond Repayment 3,038,013-0% 3 Altamont Corridor Rail Project HSR/Regional Rail EIR/EIS 10,200,000-0% 4 UPRR Capital Access Fee 3,242,516-0% 5 Positive Train Control 5,000,000-0% 6 Mid Life Overhaul of 1 Locomotive 1,400,000-0% 7 Capital Spares/Upgrades for Passenger Cars and Locomotives 850,000-0% 8 San Joaquin Intercity Minor Capital Project ( Funded by State of California) 500,000 0% 9 eticketing 1,000, % 10 ACE Maintenance & Layover Facility 1,200,000 3,155 0% 11 Security Project (On Board Cameras) 1,000,000-0% 12 Sunol Wayside Horn Project 800,000-0% TOTAL CAPITAL PROJECTS 30,177,249 12,088 0% 8 of 32
9 1 2 3 Status on Capital Projects Cabral Track Extension Phases Cabral Track Extension is currently ongoing and is scheduled to be completed in a future fiscal year. Bond Repayment - The bond bi-annual payments are scheduled for October 15, 2015 and April 15, Altamont Corridor Rail Project HSR/Regional Rail EIR/EIS - Project is currently ongoing and SJRRC is receiving invoices from CHSRA. 4 UPRR Capital Access Fee - Payment due January Positive Train Control - Expected completion is 15-16, invoice pending Mid Life Overhaul of 1 Locomotive - No activity to date. Capital Spares/Upgrades for Passenger Cars and Locomotives - No activity to date. San Joaquin Intercity Minor Capital Project ( Funded by State of California) - No activity eticketing Project - is currently ongoing. 10 ACE Maintenance & Layover Facility - Final processing of change orders, final payments applications and other paperwork are underway, this will allow the project to be formally closed-out. 11 Security Project (On Board Cameras) - In final phase of testing. 12 Sunol Wayside Horn Project - In development stage. 9 of 32
10 800,000 Fare Revenue Item , , , , , , , , , ,000 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 FY Fare Revenue 690, , , ,187,437 FY Fare Revenue 622, , , , , , , , , , , ,884 7,986,657 FY TOTAL % of Budget Year Elapsed: 25% FY % of Budgeted Fare Revenue Received to Date: 27.3% Projected Annual Fare Revenue: $8,000, of 32
11 ACE DAILY AVERAGE RIDERSHIP , ,877 89,332 83,910 95,503 93, , , , , , , , Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 DAILY AVERAGE MONTHLY RIDERSHIP 108, ,877 89,332 83,910 95,503 93, , , , , , , ,890 % CHANGE 23% 15% 8% 15% 1% 6% 11% 4% -2% 7% 5% 7% 6% 11 of 32
12 ACE ON TIME PERFORMANCE OTP % Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 YTD OTP % Monthly OTP % of 32
13 San Joaquin Regional Rail Commission Monthly Report October 2015 SJRRC and MHGS Items MHGS will stay in contact with DOT, Senators Boxer and Feinstein and the Appropriations Committee regarding the official list of awards of TIGER grants. MHGS provided a memo covering the House T&I Surface Transportation mark up. MHGS provided real-time updates to SJRRC regarding the surface transportation bill negotiations as relates to an inclusion of a PTC extension. MHGS participated in calls with SJRRC on and MHGS continues to gather intelligence and do outreach regarding the outlook for PRRIA and other transportation bills in the 114 th Congress. FY16 Congressional Appropriations and Budget Process Update: On September 30 th, Congress enacted a CR that runs through December 11, 2015, therefore buying itself a little more time to pass appropriations bills for FY16. Today ( ) House Republican Leadership released a draft 2-year budget framework that was negotiated with the support of the White House. The legislation would raise the debt ceiling through March 2017 and establish defense and non-defense spending caps for FY16 and FY17 which would increase spending by $80 billion over those two fiscal years. The increase in spending is offset by tapping the Strategic Petroleum Reserve, auctioning spectrum and other revenues and cuts. The plan has been met with mixed reviews. Some lawmakers are pleased to see progress made on the budget caps and debt ceiling, especially bipartisan progress. Others are underwhelmed with the deal because it doesn t cut domestic spending as much as they would like to see. It looks like the House will consider the measure first, possibly as early as this week. Senate: The Senate THUD Appropriations Subcommittee held a mark up of their bill on June 23 rd. It was passed out of subcommittee by unanimous consent. The Senate Appropriations Committee held a full-committee mark up of the FY16 THUD Appropriations bill on June 25 th. The bill was reported out of committee by a vote of MHGS provided a separate memo on the Senate mark up. The Senate bill includes $17.78 billion in discretionary funding for DOT. This is $17 million below the FY15 enacted level and $3.9 billion below the President s FY16 request. o TIGER Grants are funded at $500 million, equal to the FY15 enacted level. 13 of 32
14 o The FRA is funded at $1.68 billion, an increase of $53 million above the FY15 enacted level. This includes $289 million for Amtrak and $1.1 billion for capital grants. The bill also provides an additional $17 million for the NE Corridor and promotes reforms to Amtrak. o Rail Safety and Research Programs are funded at $288 million, which is $12 million above the FY15 enacted level. The bill also allows for $50 million for rail safety grants to support implementation of PTC, enhance passenger rail safety and reduce highway-rail grade crossing incidents. o The FTA is funded at $10.5 billion, which is $424 million below the FY15 enacted level. Transit formula grants total $8.6 billion (contingent on enactment of new transportation authorization legislation). The bill also includes $1.6 billion for Capital Investment Grants (new starts), $75 million for core capacity projects and $30 million for Small Starts projects. House: The House THUD Subcommittee held a mark up of their bill on April 29 th, and the House Appropriations Committee held a full committee mark up on May 13 th. The House bill includes $17.2 billion in discretionary appropriations for the Department of Transportation for FY16. This is $1 billion below the fiscal year 2015 enacted level and $6.8 billion below the President s request. o The Federal Railroad Administration is funded at $1.4 billion, a reduction of $262 million below the fiscal year 2015 enacted level. This includes $289 million for Amtrak operations continuing service for all current routes and $850 million for capital grants. o The bill also continues reforms, such as requiring overtime limits for Amtrak employees to reduce costs, and prohibiting federal funding for routes where Amtrak offers a discount of 50% or more off normal, peak fares. No funding is provided for High-Speed Rail. o In addition, rail safety and research programs are funded at $226 million, equal to the fiscal year 2015 enacted level. This will fund inspectors and training. The bill also allows $6.5 million in funding for a highway rail-grade crossing safety initiative. Budget: The House and Senate passed a joint budget resolution, in late April and early May (respectively). The budget presents a very broad picture for federal spending, and therefore doesn t include many specific details regarding transportation and infrastructure spending/grants that will be available, etc. The joint budget agreement provides $72.1 billion in budget authority for FY16 and $87.2 billion in outlays. These amounts include $30.1 billion in discretionary budget authority and $86.1 billion in discretionary outlays, with direct spending of $42.0 billion in budget authority and $1.1 billion in outlays. Spending over the next 10 years totals $665.6 billion in budget authority and $748.7 billion in outlays. In the Senate, an amendment was offered by Sen. Sanders (I-VT) that would have adjusted the budget resolution by increasing federal revenues by over $400B over ten years by eliminating various corporate tax breaks. The purpose was to dedicate 14 of 32
15 the money to transportation. However, the amendment failed on a party line vote. In February, the President submitted his FY16 budget proposal to Congress. The budget provides a total of $94.7 billion in discretionary and mandatory budgetary resources for the Department of Transportation in It includes $478 billion for a six-year surface transportation reauthorization proposal to improve safety, support critical infrastructure projects and create jobs while improving America s roads, bridges, transit systems, and railways. MAP-21/Surface Transportation Surface transportation programs were set to expire on July 31, However, Congress passed a 3-month extension (through the end of October 2015). The Senate did pass a 6-year reauthorization, the DRIVE Act, on July 30 th, (but had to couple it with passing the House s 3-month extension since they left town for the August recess). The Senate s 6-year bill didn t including funding for the last 3 years. This was a main point of contention with the House. MHGS provided a separate memo on the Senate mark up of the DRIVE Act. On October 22, 2015, the House marked up their version of a surface transportation reauthorization bill. The bill was reported out of committee unanimously. This week, the House is set to take up a short term extension (until November 20 th ) of surface transportation programs. This bill includes a PTC extension. Passenger Rail Bill On June 18 th, the Senators Wicker and Booker introduced the Railroad Reform, Enhancement and Efficiency Act, S The bill would authorize Amtrak for the next four years at an average of $1.65 billion a year. Additionally, $570 million in grant funding would be made available annually (competitive grants for capital assistance, service enhancement and restoration, alleviation of rail congestions and the NE Corridor). The Senate Commerce Committee marked up S (their version of the PRRIA bill) on June 25 th. The bill was passed out of committee, with amendments, by voice vote. MHGS provided a separate memo on the Senate mark up. On March 4, 2015, the House passed a PRRIA bill. This legislation is nearly identical to the legislation passed by the committee last Congress. On February 12, 2015, the House T&I Committee held a markup of H.R. 749, the Passenger Rail Reform and Investment Act of 2015 (PRRIA). The bill passed unanimously by a voice vote. Two amendments were offered at the mark up: one from Rep. Mica that would have opened up the Northeast corridor to private high speed rail service, and another from Rep. Esty relating to intelligent grade crossings. However, both amendments were withdrawn with the promise from the Chairman to work with the sponsors on these issues. MHGS provided a memo on the mark up in a separate document. 15 of 32
16 This legislation is identical to the version of the bill introduced in September That bill was then marked up and passed out of committee on September 17, 2014 but did not receive further consideration. MHGS expects a passenger rail bill to move during the 114 th Congress, but after an FAA and surface transportation bill. It s also possible that a passenger rail bill gets lumped into a bigger package that also includes the surface reauthorization. Rail Safety and Improvement Act In February 2015, Senators Blumenthal and Schumer introduced S. 532, a bill to improve highway-rail grade crossing safety, and for other purposes. Senators Feinstein and Nelson are co-sponsors. The bill was referred to the Senate Commerce, Science and Transportation Committee. The bill would provide an additional $50 million for the Section 130 Railway- Highway Crossings Program for each of FY16 through FY19. This funding is on top of the formula funds dedicated to the program through the highway bill. The bill would also revive the FRA s Rail Line Relocation and Improvement Capital Grant Program, by providing $25 million for each of FY16-FY19. Lastly, the bill would provide $100 million for each of FY16-FY19 for the FRA s Highway-Rail Grade Crossing Safety Program which was designed (but never implemented) to provide grants to states for engineering and technology solutions, public education outreach and law enforcement activities to minimize grade crossing collisions. Surface Transportation Board Reauthorization Bill On June 18 th, the Surface Transportation Board Reauthorization bill passed the Senate by Unanimous Consent. The bill was then sent to the House. The bill (S. 808) was introduced on March 19, 2015 by Senators Thune and Nelson. Specifically, the bill: 1) Sets timelines for rate reviews and expands voluntary arbitration procedures, 2) Grants STB new authority to proactively investigate rail delay issues and enhances transparency, and 3) Enacts structural reforms on the board (increases to 5 members) to allow for direct discussion to improve efficiency The bill was passed out of the Commerce Committee on March 25 th. MHGS covered the mark up and provided a separate memo. Railroad Safety and Positive Train Control Extension Act On March 4, 2015, Senators Blunt, Thune, and McCaskill introduced S There are ten additional co-sponsors: Johnson, Fischer, Inhofe, Sullivan, Murkowski, Moran, Heller, Rubio, Ayotte, and Portman. The bill was referred to the Senate Commerce Committee. The purpose of the bill is to extend from December 31, 2015, to December 31, 2020, the deadline for Class 1 Railroads to implement PTC. The bill authorizes the 16 of 32
17 Secretary of DOT to extend the implementation deadline, upon application, in oneyear increments. The Secretary is directed to revise federal regulations requiring a Class II or Class III railroad to equip its locomotives with an onboard PTC system to operate in PTC territory. The bill was passed out of the Commerce Committee in March. MHGS covered the mark up and provided a memo. Prior to the recent Amtrak derailment, MHGS heard that Sen. Blunt s strategy was to seek inclusion of this legislation in the THUD appropriations package that will pass later this year. However, the derailment changed the political landscape for a PTC delay, and how this will play out remains to be seen. A PTC extension was included in the House s version of the Surface Transportation Reauthorization bill, as well as the recently announced short term extension. It is likely that a PTC extension will be granted via inclusion in this bill rather than as a stand-alone piece of legislation. Short Line Tax Credit Senators Crapo, Wyden, Moran, Schumer, Isakson, Casey, Boozman and Blumenthal introduced S. 637 on March 3, The bill has been referred to the Finance Committee. There are currently 42 co-sponsors. This legislation would extend the Short Line Railroad tax credit until January 1, A similar bill has been introduced in the House (H.R. 721) by Representative Jenkins. The bill was referred to the Ways and Means Committee and currently has 247 co-sponsors. Tax extenders/tax Reform While significant tax reform legislation was not passed in the 113 th Congress, action might be more feasible in the 114 th. As some of the must pass items are dealt with including appropriations bills, debt ceiling, surface transportation, etc Congress may be able to turn their attention to tax reform. Although with Chairman Ryan exiting the helm of W&M in favor of becoming Speaker, there will be new leadership on the W&M Committee, and the implications of that are unclear at this point. The Senate passed last year s extenders package by a vote of 76-16, just before adjourning on December 16, The House passed it on December 3, 2014, by a vote of The package included about 50 tax breaks large and small, including the research and development credit for business, deductions for state sales taxes, and preferential depreciation schedules for racehorses and car race tracks. It also included a temporary extension of the Production Tax Credit, a major provision helping the wind power industry. Specific to rail, the bill included credit for railroad track maintenance. It extended for two years, through 2014, the railroad maintenance credit that provides Class II and Class III railroads (generally, short-line and regional railroads) with a tax credit 17 of 32
18 equal to 50 percent of gross expenditures for maintaining railroad tracks that they own or lease. With regard to transit, bill included parity for employer-provided mass transit and parking benefits. The provision would extend through 2014 the maximum monthly exclusion amount for transit passes and van pool benefits so that these transportation benefits match the exclusion for qualified parking benefits. These fringe benefits are excluded from an employee s wages for payroll tax purposes, and from gross income for income tax purposes. Altamont Corridor Rail Improvement Act of 2014 (H.R. 4477) On April 10, 2014, Congressman McNerney introduced the Altamont Corridor Rail Improvement Act of The bill was referred to the House T&I Committee. There were no co-sponsors of this bill in the 113 th Congress. The legislation authorized the Secretary of Transportation to make allocations for capital investment grants for FY2015-FY2024 for any remaining preliminary engineering and final design and construction of the Altamont Corridor Rail Project. It also allowed for the use of any alternative analysis or environmental impact report relating the project to satisfy Federal Railroad Administration capital assistance requirements for new fixed guideway capital projects. As written, this legislation would have seemed to violate the Congressional earmark ban. Therefore, it didn t move through Congress last year. The bill has not yet been reintroduced this Congress, but if introduced it will likely face similar obstacles. However, this bill introduction further solidifies Congressman McNerney as a champion of the project. And if Congress were to change the rules surrounding the earmark ban, having this bill filed and ready for congressional action is positive for the project. MHGS recommends that SJRRC continue to support Congressman McNerney s efforts on this legislation in the 114 th. 18 of 32
19 B O A R D O F S U P E R V I S O R S SCOTT HAGGERTY PRESIDENT SUPERVISOR, FIRST DISTRICT October 26, 2015 Mr. Dan Levitt Manager of Regional Initiatives Altamont Corridor Express 949 East Channel Street Stockton, CA Dear Dan, Sincere thanks to you and to the entire ACE team - Roxanne Lindsay, Bryan Pennino, and Dick Wenzel for presenting an update on the wayside horn project to the Sunol Citizens Advisory Committee on the evening of October 21. I deeply appreciate your efforts, working with my office and with Sunol residents since 2013, developing this project with completion expected mid It will be a huge improvement to have this new rail crossing warning system installed, reducing the noise impacts to the Sunol community from ACE passenger trains and from Union Pacific freight trains traveling through this small town. Hopefully, the new system will also help address the impacts due to planned increases in passenger and freight rail activity through this corridor. As I look towards the groundbreaking for this project next spring with full activation in summer 2016, I also look forward to a continued and productive partnership with the ACE team in the Tri-Valley corridor. Sincerely, Scott Haggerty First District Supervisor SH:dpa C: Stacey Mortenson, San Joaquin Regional Rail Authority/ACE Roxanne Lindsay Bryan Pennino Dick Wenzel 1221 OAK STREET * SUITE 536 * OAKLAND, CALIFORNIA * * FAX PLEASANTON AVENUE * PLEASANTON, CALIFORNIA * * FAX PRINTED BY UNION LABOR * LOCALS 444 & of 32
20 Item 4.8 SAN JOAQUIN REGIONAL RAIL COMMISSION November 6, 2015 STAFF REPORT ACTION Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Adopting the 2016 ACE Service Holidays The proposed 2016 ACE Service Holidays: Memorial Day Monday, May 30, 2016 Independence Day Monday, July 4, 2016 Labor Day Monday, September 5, 2016 Thanksgiving Thursday, November 24, 2016 Day after Thanksgiving Friday, November 25, 2016 Christmas Day Monday, December 26, 2016 New Year s Day Monday, January, 2, 2017 ACE service will not operate on the Days listed above. In addition, due to the low historical ridership on the following days, modified service will be evaluated; Martin Luther King Day Monday, January 18, 2016 Presidents Day, Monday Monday, February 15, 2016 Good Friday Friday, March 25, 2016 Veteran s Day Friday, November 11, 2016 Day before Thanksgiving Wednesday, November 25, 2016 Friday before Christmas Day Friday, December 23, 2016 Friday before New Year s Day Friday December 30, 2016 Recommendation: Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Adopting the 2016 ACE Service Holidays. 20 of 32
21 RESOLUTION SJRRC-R-15/16- RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SAN JOAQUIN REGIONAL RAIL COMMISSION ADOPTING THE ACE SERVICE HOLIDAYS FOR 2016 WHEREAS, the San Joaquin Regional Rail Commission, as the policy-making body of the ACE Service, has the responsibility for adopting the ACE Service Holidays; NOW, THEREFORE, BE IT RESOLVED that the Board of Commissioners of the San Joaquin Regional Rail Commission adopts the following ACE Service Holidays for 2016 and potential service modification dates: Memorial Day Monday, May 30, 2016 Independence Day Monday, July 4, 2016 Labor Day Monday, September 5, 2016 Thanksgiving Thursday, November 24, 2016 Day after Thanksgiving Friday, November 25, 2016 Christmas Day Monday, December 26, 2016 New Year s Day Monday, January, 2, 2017 ACE service will not operate on the public holidays listed above. In addition, due to the low historical ridership on the following days, modified service will be evaluated; Martin Luther King Day Monday, January 18, 2016 Presidents Day, Monday Monday, February 15, 2016 Good Friday Friday, March 25, 2016 Veteran s Day Friday, November 11, 2016 Day before Thanksgiving Wednesday, November 25, 2016 Friday before Christmas Day Friday, December 23, 2016 Friday before New Year s Day Friday December 30, 2016 PASSED AND ADOPTED, by the Board of Commissioners this 6 th day of November, 2015 by the following vote: AYES: NOES: ABSTAIN: ABSENT: ATTEST: THE SAN JOAQUIN REGIONAL RAIL COMMISSION STACEY MORTENSEN, Secretary BOB JOHNSON, Chair 21 of 32
22 Item 5 SAN JOAQUIN REGIONAL RAIL COMMISSION November 6, 2015 STAFF REPORT ACTION Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission (SJRRC) Authorizing and Directing the Chair to Appoint a Member of the SJRRC Board of Directors to the Tri-Valley Regional Rail Advisory Group to Represent the SJRRC Background: In September of 2015 a presentation of the ACEforward planning efforts was provided to the Livermore Amador Valley Transit Authority (LAVTA) Board by Dan Leavitt, Manager of Regional Initiatives for SJRRC. Mr. Leavitt focused the presentation on the planning work being done by SJRRC in the Tri-Valley area, including studying alternatives to improve connectivity between ACE and BART in the Tri-Valley. Mr. Leavitt explained that a Draft EIR/EIS was expected to be completed in less than a year. At the conclusion of the presentation, LAVTA Board Member Scott Haggerty asked for the creation of a new Tri-Valley Regional Rail Advisory Group. Areas of focus of the Tri-Valley Regional Rail Advisory Group would include the review of plans for the interregional connection to ACE, the Phase 1 BART to Isabel Avenue/I-580 project, and improved rail connectivity throughout the Bay Area and Northern California Mega Region. Mr. Leavitt noted that an Advisory Group would be very helpful for getting public and agency input for the ACEforward EIR/EIS process. The Project & Services Committee of LAVTA recommended the establishment of the Tri-Valley Regional Rail Advisory Group at their September 2015 meeting with membership consisting of a representative from the cities of Livermore, Pleasanton, Dublin, and Tracy, the counties of Alameda and San Joaquin, and the transportation agencies LAVTA, ACE, and BART. The October 5, 2015 LAVTA staff report regarding the establishment of the Tri-Valley Regional Rail Advisory Group is attached. The next step is to have the agencies identified select their representatives to the Tri-Valley Regional Rail Advisory Group and then LAVTA staff will schedule the first meeting of this new advisory group. Fiscal Impact: No funding, debt, or financial obligation is created against SJRRC solely as a consequence of participating in the Tri-Valley Regional Rail Advisory Group and no funding, debt, or financial obligation recommended or approved by the Tri-Valley Regional Rail Advisory Group and/or incurred by the Tri-Valley Regional Rail Advisory Group shall be binding against SJRRC unless and until specifically ratified by SJRRC s Board. Recommendation: Approve a Resolution of the Board of Commissioners of the SJRRC Authorizing and Directing the Chair to Appoint a Member of the SJRRC Board of Commissioners to the Tri-Valley Regional Rail Advisory Group to Represent the SJRRC 22 of 32
23 RESOLUTION RRC-R-15/16- APPROVE A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SAN JOAQUIN REGIONAL RAIL COMMISSION AUTHORIZING AND DIRECTING THE CHAIR TO APPOINT A MEMBER OF THE SJRRC BOARD OF COMMISSIONERS TO THE TRI-VALLEY REGIONAL RAIL ADVISORY GROUP TO REPRESENT THE SJRRC WHEREAS, the Project & Services Committee of the Livermore Amador Valley Transit Authority (LAVTA), recommended the establishment of the Tri-Valley Regional Rail Advisory Group at their September 2015 meeting with membership consisting of a representative from the cities of Livermore, Pleasanton, Dublin, and Tracy, the counties of Alameda and San Joaquin, and the transportation agencies LAVTA, ACE, and BART; and WHEREAS, the ACE rail service provides regional rail service to and from the Tri-Valley Area; and WHEREAS, improved ACE service and better connectivity with BART and other transit services in the Tri-Valley area will result in increased rail ridership, reduced traffic congestion, reduced automobile vehicle miles traveled, and improved air quality; and WHEREAS, SJRRC has environmental, engineering, and planning work underway to expand ACE service and to improve connectivity with BART and other transit services in the Tri-Valley area which requires local, and regional coordination and public outreach; and WHEREAS, no funding, debt, or financial obligation is created against SJRRC solely as a consequence of participating in the Tri-Valley Regional Rail Advisory Group; and WHEREAS, SJRRC has the authority to appoint a Board Member to the Tri- Valley Regional Rail Advisory Group. PASSED AND ADOPTED, by the Board of Commissioners this 6 th day of November, 2015 by the following vote: AYES: NOES: ABSTAIN: ABSENT: ATTEST: THE SAN JOAQUIN REGIONAL RAIL COMMISSION STACEY MORTENSEN, Secretary BOB JOHNSON, Chair 23 of 32
24 SUBJECT: FROM: Tri-Valley Regional Rail Advisory Group Michael Tree, Executive Director DATE: October 5, 2015 Subject: Establishment of the Tri-Valley Regional Rail Advisory Group Action Requested: The recommendation of the Projects & Services Committee is that the LAVTA Board establish the Tri-Valley Regional Rail Advisory Group. Background: In the summer of 2006, the City of Livermore formed the Tri-Valley Regional Rail Working Group (TRWG). Made up of both technical and policy advisory committees, this group met periodically to identify regional rail issues, develop a consensus vision statement for rail priorities, and to ensure cooperative interaction with the efforts of both BART to Livermore and the California High Speed Rail project. The TRWG policy advisory committee was made up of elected officials or directors of all of the Tri-Valley cities, Alameda County, BART, LAVTA, the Altamont Commuter Express (ACE), the Metropolitan Transportation Commission, and others. The TRWG was successful in focusing the California High Speed Rail Authority s attention on planning improvements to ACE train service through the Altamont Corridor to provide faster, more frequent trips, as well as a platform connection to a future BART extension to Livermore. The group ended their meetings in 2009 subsequent to certification of the BART to Livermore Program EIR by the BART Board of Directors. In September of 2015, a presentation on the ACEforward planning efforts was provided to the LAVTA Board by Dan Leavitt, Manager of Regional Initiatives at ACE. The presentation outlined many of the opportunities and challenges relating to passenger rail improvements in the near future for the Tri-Valley, including the future intermodal connection of ACE and BART. At the conclusion, Board Member Scott Haggerty ask for a future agenda item that would create a new Tri-Valley Regional Rail Advisory Group (Advisory Group). 24 of 32
25 Discussion: As currently envisioned, the goal of the Advisory Group will be to ensure that regional rail planning in the Tri-Valley leads to project implementation that is fast, cost-effective and responsive to community goals and objectives. Areas of focus will include the review of plans for the interregional rail connection to ACE, the Phase 1 BART to Isabel Avenue/I-580 project, and improved rail connectivity throughout the Bay Area and Northern California Mega Region. Next Steps and Recommendation: At their September 2015 meeting, the Project & Services Committee recommended the establishment of the Advisory Group with membership consisting of a representative from the cities of Livermore, Pleasanton, Dublin, and Tracy, the counties of Alameda and San Joaquin, and transportation agencies LAVTA, ACE and BART. Next steps would include the membership selecting their representative and the Advisory Group holding its first meeting where an update on the BART to ACE project can be provided, goals and action items discussed, and a meeting schedule established. Submitted by: 25 of 32
26 SAN JOAQUIN REGIONAL RAIL COMMISSION Meeting of November 6, 2015 STAFF REPORT Item 6 ACTION Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Authorizing an Increase to the Construction Budget in the amount of $1,369,233 for the Stockton Track Extension/Gap Closure Project, Included in the Third Amendment to the Trackage Rights Agreement with the Union Pacific Railroad Company, Authorizing and Directing the Executive Director to Execute all Documents Related to the Agreement. Background: In August of 1997, SJRRC and the Union Pacific Railroad (UPRR) entered into a Trackage Rights Agreement (Agreement) which granted SJRRC trackage rights on UPRR s line of railroad between Stockton and San Jose, California. A First Amendment to the Agreement was entered into in October of The First Amendment allowed SJRRC to provide additional operations between Pleasanton and San Jose, California. In February of 2011, both parties entered into a Memorandum of Understanding regarding SJRRC operating a third and fourth train. A Second Amendment was executed in December of 2003 which extended the term of the agreement through 2013 and established a capital access usage fee. In March of 2012, both parties executed the Third Amendment to the Agreement which codified the contractual relationships between SJRRC and UPRR as they related to the construction of the ACE Equipment Storage and Maintenance Facility track connection and the Track Extension/Gap Closure Project. Section 6 of the Third Amendment established UPRR s Preliminary Construction Estimate at $6,464,742. However, both Section 3 and Section 6 of the Amendment state that no construction cost is to be borne by UPRR. SJRRC is responsible for all costs associated with the Track Extension Project, particularly because SJRRC will own and maintain all of the track improvements above grade. As a multi-phase project, construction has been underway over the past two years and is likely to continue for the next two years. As part of regular true-up efforts for project milestones and expenditures, last April, SJRRC and UPRR determined a revised project budget was required. The project has experienced both labor and material shortages which lead to more mobilizations of construction crews and equipment than originally planned. Additionally, signal infrastructure required to support the next phase of the project was incorporated into this phase, thereby reducing the costs of future phases. On October 23rd, 2015, UPRR provided the final construction amount of $7,630,485, which represents a $1,369,233 (18%) increase from the original construction estimate, which is typical for signal related work. 26 of 32
27 Fiscal Impact: Funding for the increased cost of construction is included in the FY Budget under the Cabral Station Track Extension line item. Recommendation: Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Authorizing an Increase to the Construction Budget in the amount of $1,369,233 for the Stockton Track Extension/Gap Closure Project, Included in the Third Amendment to the Trackage Rights Agreement with the Union Pacific Railroad Company, Authorizing and Directing the Executive Director to Execute all Documents Related to the Agreement. 27 of 32
28 RESOLUTION RRC-R-15/16- Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Authorizing an Increase to the Construction Budget in the amount of $1,369,233 for the Stockton Track Extension/Gap Closure Project, Included in the Third Amendment to the Trackage Rights Agreement with the Union Pacific Railroad Company, Authorizing and Directing the Executive Director to Execute all Documents Related to the Agreement WHEREAS, this Commission finds that San Joaquin Regional Rail Commission (SJRRC) has completed two capital projects that required modification of existing Union Pacific Railroad infrastructure; and WHEREAS, the Parties entered into the Altamont Pass Trackage Rights Agreement dated August 25, 1997, whereby UP granted trackage rights over UP's line of railroad between Stockton and San Jose, California, in order for SJRRC to operate passenger commuter rail service over such UP lines of railroad; and WHEREAS, the Parties entered into the First Amendment to Agreement dated October 18, 1999, to provide for the operation of an additional train pair between Pleasanton and San Jose, California; and WHEREAS, the Parties entered into a Memorandum of Understanding dated February 12, 2001, to provide for the possible operations of a 3rd and 4th additional train; and WHEREAS, the Parties entered into a Second Amendment to Agreement dated December 5, 2003, to amend the Agreement by (i) extending the term of the Agreement to December 31, 2013, and (ii) establishing a capital access usage charge; and WHEREAS, the Parties entered into a Third Amendment to the Agreement dated February 28 th, 2014, to establish roles and responsibilities for both parties before, during and after construction, including the adoption of a construction cost estimate; WHEREAS, Section 3 and Section 6 of the Third Amendment identify that no cost for the construction is to be borne by UP; WHEREAS, Section 6.A of the Third Amendment established the total cost for construction at $6,464,742; WHEREAS, the actual total cost for construction as $7,833,975. NOW, THEREFORE, the Commission hereby resolves as follows: 1. Section 6.A of the Third Amendment shall revised to reflect the total construction cost of $7,833, of 32
29 2. The Executive Director is authorized and directed to execute a letter agreement, upon approval of Legal Counsel, increasing the total construction estimate identified in the Third Amendment and any and all related documents. PASSED AND ADOPTED, by the Board of Commissioners this 6 th day of November, 2015 by the following vote: AYES: NOES: ABSENT: ABSTAIN: ATTEST: SAN JOAQUIN REGIONAL RAIL COMMISSION STACEY MORTENSEN, Secretary BOB JOHNSON, Chair 29 of 32
30 Item 7 SAN JOAQUIN REGIONAL RAIL COMMISSION November 6, 2015 STAFF REPORT INFORMATION Presentation on ACEforward Tri-Valley BART Connection Alternatives and Update on ACEforward Background: As directed by the SJRRC Board, the ACEforward program is moving forward: The key goals include improving service reliability and passenger convenience of the Altamont Corridor Express (ACE), increasing to six daily round trip trains between Stockton and San Jose and extending service to Modesto by 2018/2019 with additional service expansion to ten daily round trip trains and extension of service to Merced by SJRRC and the Federal Railroad Administration (FRA) are jointly preparing an Environmental Impact Report (EIR) and Environmental Impact Statement (EIS) for ACEforward in compliance with the California Environmental Quality Act (CEQA) and the National Environmental Policy Act (NEPA). SJRRC is serving as the lead agency for the preparation of the EIR and the FRA is serving as the lead agency for the preparation of the EIS. Status Update: Staff will present the Alternatives for the Tri-Valley BART Connection to be investigated as part of the EIR/EIS. Staff will also present a schedule and major milestones for the development of the Draft EIR/EIS. Staff will also provide a schedule for the implementation of Wayside Horns in Sunol and a summary of the October 21 Town Hall meeting in Sunol. 30 of 32
31 SAN JOAQUIN REGIONAL RAIL COMMISSION Meeting of November 6, 2015 STAFF REPORT Item 8 Update on Amtrak Agreement Negotiations for the San Joaquins INFORMATION A staff presentation will be made at the meeting regarding the current status of the Amtrak negotiations for the FY 15/16 San Joaquin Intercity Rail Service Agreement. 31 of 32
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