B O A R D O F D I R E C T O R S J U L Y

Transcription

1 BOARD OF DIRECTORS J U L Y 1 0,

2 SOUTHERN CALIFORNIA REGIONAL RAIL AUTHORITY BOARD ROSTER SOUTHERN CALIFORNIA REGIONAL RAIL AUTHORITY County Member Alternate Orange: Shawn Nelson (Chair) Jeffrey Lalloway* Supervisor, 4 th District Mayor Pro Tem, City of Irvine 2 votes County of Orange, Chairman OCTA Board, Chair OCTA Board Gregory T. Winterbottom Public Member OCTA Board Todd Spitzer* Supervisor, 3 rd District County of Orange OCTA Board Riverside: Daryl Busch (Vice-Chair) Andrew Kotyuk* Mayor Council Member 2 votes City of Perris City of San Jacinto RCTC Board, Chair RCTC Board Karen Spiegel Council Member City of Corona RCTC Board Debbie Franklin* Mayor City of Banning RCTC Board Ventura: Keith Millhouse (2 nd Vice-Chair) Brian Humphrey Mayor Pro Tem Citizen Representative 1 vote City of Moorpark VCTC Board VCTC Board Los Angeles: Michael Antonovich Robert T. Bartlett Supervisor, 5 th District Metro Appointee 4 votes County of Los Angeles, Mayor Metro Board Don Knabe Supervisor, 4 th District County of Los Angeles Metro Board Paul Krekorian Councilmember, 2 nd District Metro Board Ara Najarian Council Member City of Glendale Metro Board Richard Katz Metro Appointee Borja Leon Metro Appointee [currently awaiting appointment] One Gateway Plaza, 12 th Floor, Los Angeles, CA 90012

3 SCRRA Board of Directors Roster Page 2 San Bernardino: Larry McCallon James Ramos* Mayor Supervisor, 3 rd District 2 votes City of Highland County of San Bernardino, Chair SANBAG Board SANBAG Board Paul Eaton Mayor City of Montclair SANBAG Board Alan D. Wapner* Mayor Pro Tem City of Ontario SANBAG Board EX-OFFICIO MEMBERS San Diego Association of Governments: [CURRENTLY AWAITING APPOINTMENT] Contact: Linda Culp Principal Planner Rail Southern California Association of Governments: State of California: Art Brown Mayor, City of Buena Park Ryan Chamberlain Director, Caltrans District 12 Alternate: [CURRENTLY AWAITING APPOINTMENT] *Alternates represent either member Revised 02/27/15

4 SOUTHERN CALIFORNIA REGIONAL RAIL AUTHORITY BOARD OF DIRECTORS MEETING FRIDAY, JULY 10, :00a.m. SOUTHERN CALIFORNIA REGIONAL RAIL AUTHORITY (SCRRA) DISPATCH AND OPERATIONS CENTER 2704 N. GAREY AVENUE POMONA, CA Training Room A AGENDA DESCRIPTIONS The agenda descriptions are intended to give notice to members of the public of a brief general description of items of business to be transacted or discussed. The posting of the recommended actions does not indicate what action will be taken. The Authority may take any action that it deems to be appropriate on the agenda item and is not limited in any way by the notice of the recommended action. The Chair reserves the right to discuss the items listed on the agenda in any order. A person with a disability may contact the Board Secretary s office at (213) or via holmank@scrra.net at least 72-hours before the scheduled meeting to request receipt of an agenda in an alternative format or to request disability-related accommodations, including auxiliary aids or services, in order to participate in the public meeting. Later requests will be accommodated to the extent feasible. SUPPORTING DOCUMENTATION The agenda, staff reports and supporting documentation are available from the Board Secretary, located at One Gateway Plaza, 12 th Floor, Los Angeles, CA 90012, and on the Metrolink website at under the Meetings & Agendas link. PUBLIC COMMENTS ON AGENDA ITEMS AND ITEMS NOT ON THE AGENDA Members of the public wishing to address the Board of Directors regarding any item appearing on the agenda or any item not on the agenda, but within the subject matter jurisdiction of the Board, may do so by completing a Speaker s Form and submitting it to the Board Secretary. All speakers will be recognized by the Chairman and will be considered under Item 4 (Public Comment). When addressing the Board, please state your name for the record. Please address the Board as a whole through the Chair. Please note comments to individual Board members or staff are not permitted when addressing the Board. A speaker s comments shall be limited to three (3) minutes. 1. Call to Order 2. Roll Call 3. Pledge of Allegiance 4. Public Comment One Gateway Plaza, 12 th Floor, Los Angeles, CA 90012

5 Board of Directors Meeting Agenda Transmittal Date: July 2, 2015 Meeting Date: July 10, 2015 Page 2 REGULAR CALENDAR 5. Approval of Meeting Minutes June 26, 2015 Board of Directors Meeting It is recommended that the Board approve the minutes of the June 26, 2015 Board of Directors Meeting. Page 1 6. Reorganization of the Operations Department and Reassignment of Audit Positions In an effort to build a world class organization, we must build a world class Operations Department. The purpose of this report is to share with the Board of Directors the reorganization of the Operations Department and the reassignment of audit positions and other necessary actions required by the Board to achieve this objective and implement the reorganization. To support and achieve the seamless transition of the reorganization of the Operations Department, it is recommended that the Board: 1) Adjust the salary grade of the Deputy Chief Operating Officer from Grade R ($128,850-$201,450) to Grade S ($148,377-$231,706); 2) Transfer and reassign the current vacant positions of Chief Auditor and Executive Assistant positions from the Officer of the Chief Auditor to the Operations Department; 3) Reassign the Chief Auditor position (Salary Grade T) to a Deputy Chief Operating Officer position (Salary Grade S) to provide a succession plan in the Office of the Chief Operating Officer; and 4) Reassign the Executive Assistant position (Salary Grade F) to a Fare Collections Administrator position (Salary Grade G) to provide administrative and technical support in the Fare Collections Department. There is no budget impact as the position of Chief Auditor classification is in a higher salary grade than the proposed position. The salary grades for the Executive Assistant, Grade F and the proposed position, Fare Collections Administrator, Grade G overlap and as a result, staff does not anticipate a negative budget impact. However, any additional labor costs incurred will be absorbed in the current FY budget. Page Amend Board Adopted Position Senate Bill 9 Greenhouse Gas Reduction Fund: Transit and Intercity Rail Capital Program The purpose of this report is to request the Board of Directors amend it s current Work With Author position on SB 9 authored by Senator Jim Beall (D-San Jose), to a Support position. This bill allows for multi-year funding from the Transit and Intercity Rail Capital Program (TIRCP). Staff successfully advocated the elimination of a provision in the bill that would limit the Authority s access to the cap and trade funds.

6 Board of Directors Meeting Agenda Transmittal Date: July 2, 2015 Meeting Date: July 10, 2015 Page 3 It is recommended that the Board amend its position on SB 9 to a SUPPORT position. This bill does not have direct budget impact as currently proposed. Page State and Federal Legislative Update Staff will provide an update on current legislative issues in State and Federal Government Affairs. The Board may receive and file this report. There is no immediate budget impact as a result of this update. Page Level 3 Incident Communication to Board of Directors Following the February 24, 2015 derailment of Metrolink Ventura County Line Train 102, there was a lapse in communication to the Board members. Subsequently, staff was directed to provide an updated procedure for notification to the Board Members, member agency chief executive officers (CEOs) and designated staff in the event of a Level 3 incident. The following report is intended to provide an update to the Board on the Level 3 incident notification plan and procedures. The Board may receive and file this report. There is no budget impact associated with this item. Page Chief Executive Officer s Report Authority Update 11. Chair s Comments 12. Board Members' Comments 13. Tour of the Dispatch and Operations Center The Board of Directors will participate in a tour of the Authority s Dispatch and Operations Center (DOC), which houses approximately 100 Authority and contract employees. The tour will include the Dispatch Center, a 24 hour / 7 day operation, with 165 Metrolink, 44 Amtrak, and up to 50 freight trains dispatched daily over seven subdivisions consisting of route miles, and partner railroads covering route miles. The facility was designed to accommodate fully redundant systems, a new computer aided dispatching (CAD) Train Control System; and a video system that adds to the security of the facility and nearby Authority interests. The DOC also houses the Positive Train Control (PTC) Lab, where new PTC equipment is tested prior to deploying in a live environment. Outside, in the parking lot shared with the

7 Board of Directors Meeting Agenda Transmittal Date: July 2, 2015 Meeting Date: July 10, 2015 Page 4 Authority s Melbourne facility (MSF), hy-rail vehicles will be on display with staff on hand to discuss their various features. 14. ADJOURNMENT

8 SOUTHERN CALIFORNIA REGIONAL RAIL AUTHORITY MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING June 26, 2015 ITEM 5 BOARD MEMBERS/ALTERNATES IN ATTENDANCE: Votes OCTA: GREGORY WINTERBOTTOM 2 (2 votes) RCTC: DARYL BUSCH (Vice-Chair) 1 (2 votes) KAREN SPIEGEL 1 VCTC: Brian Humphrey 1 (1 vote) METRO: MICHAEL ANTONOVICH (4 votes) PAUL KREKORIAN Richard Katz 1 Borja Leon 3 SANBAG: LARRY McCALLON 4 1 (2 votes) PAUL EATON 1 EX-OFFICIO MEMBERS State of California SCAG Ryan Chamberlain Art Brown STAFF/PRESENTERS: ART LEAHY, Chief Executive Officer PATRICIA BRUNO, Chief Administrative Officer DON O. DEL RIO, General Counsel RODERICK DIAZ, Director, Planning and Development HENNING EICHLER, Planning Manager (Planning and System Performance Analysis) GEOFFREY FORGIONE, Associate General Counsel FRED JACKSON, Director, System Safety and Security SAM JOUMBLAT, Chief Financial Officer R.T. McCARTHY, Director, Operations LIA McNEIL-KAKARIS, Assistant Director, Contracts and Procurement 1 Director Antonovich joined the meeting during the discussion of Item Director Krekorian joined the meeting during the discussion of Item 9. 3 Director Leon joined the meeting during the discussion of Item No. 4 4 Director McCallon left the meeting during the discussion of Item No. 12. One Gateway Plaza, 12 th Floor, Los Angeles, CA

9 SCRRA Board of Directors Meeting Minutes June 26, 2015 Transmittal Date: July 2, 2015 Page 2 RICK TRIPOLI, Director, Maintenance of Equipment LAURA LAMARQUE, Executive Assistant KARI HOLMAN, Assistant to the CEO/Board Secretary Meeting minutes are prepared in a format that corresponds with the Board Meeting Agenda, which is incorporated by reference with these minutes. Board Agendas are available online at under the Meetings and Agendas link or from the Board Secretary at (213) Call to Order The June 26, 2015 Board of Directors Meeting was called to order by Vice-Chair Busch who presided over the meeting at 10:01 a.m. at the Metro Board Room, One Gateway Plaza, 3 rd Floor, Los Angeles, CA Roll Call The Board Secretary called roll to confirm a quorum of the Board was present. 3. Pledge of Allegiance Art Leahy, Chief Executive Officer, led the group in the Pledge of Allegiance. 4. Public Comment At this time, Vice-Chair Busch inquired if any members of the public wished to address the Board. There were no requests to speak; therefore the Public Comment period was formally closed. PUBLIC HEARING 5. Public Hearing SCRRA Proposed Fiscal Year Budget Adoption Vice-Chair Busch called the Public Hearing to order at 10:05 a.m. to receive public comment on this item. Paul Dyson, City of Burbank resident and President of Rail Passengers Association of California (RailPAC), commented on acquisition of new locomotives and expressed his support for electrification of the Metrolink system, and expressed concern over the $6 million the Board approved for locomotives. He stated that he felt some features were redundant and others would not best serve the Authority s interests. Following the public comments received, the public hearing was closed at 10:08 a.m. Sam Joumblat, Chief Financial Officer provided a brief background on this item as detailed in the staff report and requested approval of staff s recommendations. 2

10 SCRRA Board of Directors Meeting Minutes June 26, 2015 Transmittal Date: July 2, 2015 Page 3 Director Humphrey stated that he would welcome a report from staff on the issues raised by the public commenter. Art Leahy, Chief Executive Officer, noted that the locomotive item would be presented to the Board in July and would ensure information on electrification included in the report. Upon a motion by Director Humphrey and seconded by Director Spiegel, the Board approved staff s recommendation. There was no opposition and the motion passed unanimously. ACTION: The Board: 1) Conducted a public hearing on SCRRA s proposed FY16 Budget; 2) Upon the conclusion of the public hearing, adopted the FY16 Budget; 3) Approved the salary resolution, and 4) Approved additional positions in the proposed FY16 Budget. REGULAR CALENDAR 6. Approval of Meeting Minutes June 12, 2015 Board of Directors Meeting Upon a motion by Director Eaton and seconded by Director Humphrey, the Board approved staff s recommendation. There was no opposition and the motion passed unanimously. ACTION: The Board approved the minutes of the June 12, 2015 Board of Directors Meeting. 7. Approval of Evaluation Criteria Request for Proposal No. E Engineering and Technical Support for Rolling Stock Acquisition, Maintenance and Overhaul Lia McNeil-Kakaris, Assistant Director, Contracts and Procurement provided a brief background on this item as detailed in the staff report and requested approval of staff s recommendations. Upon a motion by Director McCallon and seconded by Director Humphrey, the Board approved staff s recommendation. There was no opposition and the motion passed unanimously. ACTION: The Board approved the proposed evaluation criteria, detailed in Attachment 1 of the staff report, specifying a weighting of one hundred percent (100%) to prequalify and retain a bench of up to three highest-ranked and qualified firms to provide on-call Engineering and Technical Support for Rolling Stock Procurement, Maintenance and Overhaul activities. The proposed criteria are consistent with the Board-approved procurement policy and statutory requirements which mandate the 3

11 SCRRA Board of Directors Meeting Minutes June 26, 2015 Transmittal Date: July 2, 2015 Page 4 sole use of a qualifications-based selection process to award Architectural and Engineering (A&E) professional service contracts. 8. Approval of Evaluation Criteria Request for Proposal No. SP IT Technical Support Services Lia McNeil-Kakaris, Assistant Director, Contracts and Procurement provided a brief background on this item as detailed in the staff report and requested approval of staff s recommendations. Director Spiegel inquired what the 30% cost in relation to other proposers referred to. Lia McNeil-Kakaris clarified that this meant at the time of evaluations, the proposer with the lowest price would receive the highest points in that category. Vice-Chair Busch stated that in the past staff had experienced significant issues with technology and business systems, and requested to receive a status report on the Oracle Financial Information System (FIS). Upon a motion by Director Winterbottom and seconded by Director McCallon, the Board approved staff s recommendation. There was no opposition and the motion passed unanimously. ACTION: The Board approved the proposed evaluation criteria, detailed in Attachment 1 of the staff report, specifying a weighting of 70% technical qualifications and 30% for cost to retain a qualified bench of up to three firms to provide IT Technical Support services. The proposed evaluation criteria summarized below and detailed in Attachment 1 are consistent with the format and guidelines in the Board-adopted Contract Administration and Procurement Policies and Procedure, CON-7, Technical and Cost Criteria and Weights. 9. Contract No. MS Wheel True Machine Rehabilitation Project Recommendation to Award Simmons Machine Tool Corporation Lia McNeil-Kakaris, Assistant Director, Contracts and Procurement provided a brief background on this item as detailed in the staff report and requested approval of staff s recommendations. Director Humphrey remarked that due to the large purchases made by the Authority if staff looked at life cycle costs. Art Leahy, Chief Executive Officer, stated that staff would provide information on equipment at the July 24, 2015 meeting. Director Spiegel inquired if there was a budgeting strategy for all equipment and useful life schedules. Rick Tripoli, Director, Maintenance of Equipment, responded that there is an equipment list that continuously is updated, noting that staff was currently in the process of making updates to include all Authority owned equipment. 4

12 SCRRA Board of Directors Meeting Minutes June 26, 2015 Transmittal Date: July 2, 2015 Page 5 Art Leahy stated that discussions were also being held with the Project Management Office (PMO) regarding funding as it related to uninitiated projects, and that staff would be engaging the Board on updates to these projects in the near future. Upon a motion by Director Eaton and seconded by Director McCallon, the Board approved staff s recommendation. There was no opposition and the motion passed unanimously. ACTION: The Board authorized the Chief Executive Officer to award Contract No. MS for the Wheel True Machine Rehabilitation Project to the single responsive and responsible bidder, Simmons Machine Tool Corporation in the amount of $694,564 plus a 10% contingency of $69,456.40, for a total amount not-to-exceed $764, This award is not subject to resolution of protest as no other bids were submitted. 10. Contract No. MS Generator Maintenance Services Recommendation for Award Global Power Group, Inc. Lia McNeil-Kakaris, Assistant Director, Contracts and Procurement provided a brief background on this item as detailed in the staff report and requested approval of staff s recommendations. Director Winterbottom commented on the dollar range from the four bidders and expressed concern that the work could be completed for the awarded amount. Director Spiegel asked about the specifics on the Authority s termination clause and asked what happened when a contract was terminated. Lia McNeil-Kakaris responded that all contracts include a termination clause, and if a contract was terminated, a new procurement would need to be issued. Upon a motion by Director Winterbottom and seconded by Director Spiegel, the Board approved staff s recommendation. There was no opposition and the motion passed unanimously. ACTION: The Board authorized the Chief Executive Officer to award Contract No. MS for Generator Maintenance Services, to Global Power Group, Inc. in the amount of $130,000 plus 10% contingency of $13,000, for a total not-to-exceed amount of $143,000 for a three-year base period with a single two-year option. Award is subject to resolution of any protest timely filed. 11. Approval of Triennial (Overall) Disadvantaged Business Enterprise Goal for Federal Fiscal Years Lia McNeil-Kakaris, Assistant Director, Contracts and Procurement provided a brief background on this item as detailed in the staff report and requested approval of staff s recommendations. Director Katz remarked that the 10% goal seemed low. Lia McNeil-Kakaris replied that the goal was factored by evaluating capital and rehabilitation work for the following 5

13 SCRRA Board of Directors Meeting Minutes June 26, 2015 Transmittal Date: July 2, 2015 Page 6 three years and noted that the only way to apply Disadvantaged Business Enterprise (DBE) goal was with construction projects which was based on a median of subcontractors. She stated that staff had experienced significant difficulties meeting the current 9% race-neutral goal due to the nature of the railroad industry. Director Katz commented that he believed the Los Angeles County Metropolitan Transportation Authority s (Metro) goal approximately30%. Director Chamberlain stated that the State of California Department of Transportation s (Caltrans) goal was 13.5%. Lia McNeil- Kakaris responded that based on the budget this was the most aggressive raceconscious goal staff was able to set, however it could be increased with the Federal Transit Administration (FTA) if more work presented itself. Director Katz requested to amend the recommendation to ensure that the next cycle have the DBE goal be set at 15%. Director Leon stated that other agencies also have a Small Business Enterprise (SBE) goal and inquired whether it was included within the DBE program or was a separate program. Lia McNeil-Kakaris responded that the SBE was included in the DBE program. Director Leon requested the Authority investigate the possibility of having a separate SBE program to provide greater opportunities for small businesses. Director Krekorian echoed the sentiments of Director Katz and stated that the Authority should be setting aggressive goals while ensuring that the goals are met. He expected staff to meet and exceed the goal of 10%, and commented that he did not want to have a future discussion where staff returns to the Board to state that the goal was not met. Upon a motion by Director McCallon and seconded by Director Krekorian, the Board amended staff s recommendation as noted below in italics. There was no opposition and the motion passed unanimously. ACTION: The Board approved as amended the Authority s proposed triennial (overall) DBE goal of 10%. The Board directed the goal for the next cycle be 15%. The Board also directed staff to look into having a Small Business Enterprise (SBE) as a set-aside program separate from the DBE program similar to other public agencies. 12. Connectivity to and from Stations Roderick Diaz, Director, Planning and Development provided a brief background on this item as detailed in the staff report. Vice-Chair Busch called on members of the public who wished to speak on this item. Paul Dyson, Chairman of the Burbank Transportation Commission, discussed connectivity issues that concerned the City of Burbank. He mentioned challenges associated with an ambitious plan to connect all incoming trains with direct bus service to many of the film studios in the Burbank area and acknowledged improved relationships between the transit operators. He also stated that due to construction on the Interstate 5 freeway, ridership on the Antelope Valley Line should have increased ridership but he did not believe that to be the case and felt it was due to train 6

14 SCRRA Board of Directors Meeting Minutes June 26, 2015 Transmittal Date: July 2, 2015 Page 7 unreliability. In his opinion, he suggested that all regional transit operators should synchronize their timetable changes to assist in improved connectivity. Bart Reed, Executive Director, Transit Coalition, discussed issues with connectivity and related concerns. He cited a San Fernando Valley study he had conducted which showed how certain timeslots were underserved and expressed the need for stronger inter-agency relationships and buses to feed passengers to trains. Roderick Diaz, Director, Planning and Development provided a brief background on this item as detailed in the staff report. Director Humphrey stated that it was clear there were strong feelings associated with the issue of connectivity and stated the key was successful relationships and communication. He advised staff to remain mindful of applicable systems and trends and to obtain feedback from the Member Agencies. Roderick Diaz responded that staff was launching an initiative to pay greater attention to station connectivity and increase discussions and cooperation with the Member Agencies. Director Antonovich inquired when the Board would be receiving the next report on scheduling changes. Roderick Diaz stated that the next Metrolink schedule change would occur in October 2015 which would afford a timely opportunity to provide pertinent information from the various operators, and would return to the Board with an update in November. Director Antonovich asked about the communications and coordination associated with service disruptions. Roderick Diaz responded that bus bridge agreements were in place with local transit operators and that communication improvements with those entities are continually being sought. Art Leahy commented that there were several factors to consider regarding both scheduled and unscheduled interfaces when trying to plan for overall equation of coordinated service. He suggested staff to engage in a discussion with Bart Reed on the subject of connectivity, and stated that open dialogue with each of the carriers that travel to Metrolink stations was needed along with a case-by-case approach to develop the best interfacing options. He recommended presenting an update to the Board on priorities, obstacles, and staff s progress on these discussions in 90 days. Art Leahy also noted that continual improvements were being made to ensure that communication was made to customers during service disruptions. Director Krekorian thanked staff for their efforts to improve ridership and expressed concern about non-regulated ridesharing companies that might bring disrepute and potential liability to the Authority. Roderick Diaz acknowledged the comments made and noted that staff would continue to analyze various transit formats, and industry reviews as a way to help broaden potential partnerships with the Authority. Director Winterbottom reminded staff that Stationlink, bus routes in Orange County provide connections between train stations and major employment or activity centers 7

15 SCRRA Board of Directors Meeting Minutes June 26, 2015 Transmittal Date: July 2, 2015 Page 8 and were designed to meet certain trains. This program has worked well and suggested that staff also explore doing a cost-sharing agreement or rebate program. Art Leahy stated that oftentimes incidents happen during peak hours when bus operators are reluctant to pull units off their designated routes, but agreed that relationships did need to be strengthened with the carriers, and noted that a customized plan would need to be developed for each station need. ACTION: The Board received and filed this report. 13. Fare Policy Study Update Henning Eichler, Planning Manager (Planning & System Performance Analysis), provided a brief background on this item as detailed in the staff report. Art Leahy recounted traveling around Orange County and finding that for short trips, the price of a Metrolink ticket was expensive, and agreed that discounting tickets for short rides afforded the Authority an opportunity to increase ridership. He noted that for longer distance trips it would important to consider what the customer needs were, stating perhaps the price might be agreeable, but the reliability or increased service would be desired. Director Spiegel commented that she took the survey referenced in this item and that it had been very general and vague, however, it did touch on the points addressed. She inquired about whether the Authority tracked when riders transfer onto other transportation systems. Henning Eichler responded that whether this data was available largely depended on the agency, for example, riders who transfer to the Metro system must tap their ticket to transfer and that data is recorded. Director Spiegel remarked that she believed infrequent riders are not made aware of the transfer capability that is built into Metrolink passes. Regarding the transportation network companies (TNCs) discussed in the Connectivity to and from Stations item (Item No. 12), Director Spiegel stated that she felt a broader conversation was needed to have consensus of the Board and felt that the Board should not be too hasty in discounting this emerging market as many of the cab companies, for example, are reviewing Uber s model. Art Leahy stated that staff would return to the Board at a subsequent meeting to discuss this matter. Vice-Chair Busch noted that further analysis was needed on the Fare Policy Study and recommended staff return to the Board with another update in July Art Leahy commented that monthly meetings were held with the Member Agency Chief Executive Officers (CEOs) and that he had requested Henning Eichler to include the Fare Policy Study in each of those meetings for the next six months or so, to ensure that the CEOs were involved and informed on this matter. He noted that a workshop would also be held including the Technical Advisory Committee (TAC) members and Chief Financial Officers (CFOs). 8

16 SCRRA Board of Directors Meeting Minutes June 26, 2015 Transmittal Date: July 2, 2015 Page 9 ACTION: The Board received and filed this report. 14. System-wide Crime and Arrest Update Fred Jackson, Director, System Safety and Security delivered a presentation on the system-wide security statistics through May He broke down Part I and II crimes in his discussion and provided an update on significant crimes and arrests noting that moving forward he would also regularly report on case clearance, or the crimes solved rate. A copy of the presentation is available upon request from the Board Secretary. ACTION: The Board received and filed this report. 15. The Pulse of Metrolink R.T. McCarthy, Director, Operations delivered a presentation that included year-overyear metrics used to gauge railroad performance. His report included statistics on system-wide on-time performance with and without third party delays, annulled and terminated trains, and trains delayed due to mechanical failures. He noted that the Maintenance of Equipment Department was doing an outstanding job in driving the mechanical figures downward. A copy of the presentation is available upon request from the Board Secretary. ACTION: The Board received and filed this report. 16. Chief Executive Officer s Report Art Leahy, Chief Executive Officer provided the following updates on the activities of the Authority: Positive Train Control (PTC) Update As of June 14, Positive Train Control (PTC) was in Revenue Service Demonstration (RSD) on all Metrolink-hosted lines. While this is a huge accomplishment, much work was still ahead. The Authority s was scheduled to submit its Safety Plan to the Federal Railroad Administration (FRA) by June 30. This step was required so that the FRA had time to review and grant PTC certification by the December 31, 2015 deadline. The Authority was continuing to work in concert with it s rail partners: Burlington Northern Santa Fe (BNSF), Union Pacific Railroad (UP), Amtrak, and North County Transit District (NCTD) to ensure that PTC is operational on all trains and all lines on which it operates. He expressed his appreciation for the focus and priority the Board placed on PTC, and of the PTC Team for their hard work on this project. APTA Rail Conference in Salt Lake City 9

17 SCRRA Board of Directors Meeting Minutes June 26, 2015 Transmittal Date: July 2, 2015 Page 10 Participated in some key discussions on PTC and other important topics. It was clear that many other commuter railroads would not make December 31, 2015 PTC deadline. The Authority will continue to advocate for rewarding early adopters of PTC and for incentivizing adherence to the law rather than granting a blanket extension. Monthly financial reporting will begin July The internal audit department has been requested to review financial reports to ensure validity of the data. Metrolink ridership data passenger miles 44,000 daily riders. However, when passenger miles are included in the equation along with fare box recovery and subsidies per passenger mile, Metrolink is lower than any system in Southern California. He noted that although the Authority has much to improve upon, there is a strong foundation. 17. Chair s Comments Vice-Chair Busch inquired whether staff had any information on the recent hearing held on PTC. Patricia Torres-Bruno, Chief Administrative Officer, responded that she had been at the House Transportation and Infrastructure Subcommittee on Railroads, Pipelines, and Hazardous Materials. The Authority s PTC staff spoke about their progress on PTC. The Authority received a great deal of praise, particularly from Congresswoman Hahn, with regard to its PTC program. There were many questions for staff on how they were able to accomplish compliance as well as a discussion by other railroads who would not meet the federally mandated deadline. Overall, she reported that the Authority was seen by the Federal Railroad Administration (FRA), National Transportation Safety Board (NTSB), and members of Congress as a leader on PTC and an example of how PTC can be implemented. Vice-Chair Busch announced that the next Board meeting would be held on July 10, 2015 at the Dispatch and Operations Center in Pomona, California and additional information would be forthcoming. 18. Board Members' Comments Director Humphrey commented on recent incidents of extreme violence that had occurred around the world which prompted Homeland Security Secretary Jeh Johnson to request a reaffirmation of the See Something Say Something campaign. Director Humphrey urged Board Members to reaffirm the campaign at their own agencies and reminded Authority staff to remain vigilant in their observations and report any unusual events to the appropriate authorities. 19. ADJOURNMENT There being no further business for consideration by the Board, the meeting was adjourned at 11:21 p.m. 10

18 SCRRA Board of Directors Meeting Minutes June 26, 2015 Transmittal Date: July 2, 2015 Page 11 Respectfully Submitted, Kari Holman Assistant to the CEO/Board Secretary 11

19 SOUTHERN CALIFORNIA REGIONAL RAIL AUTHORITY TRANSMITTAL DATE: July 2, 2015 MEETING DATE: July 10, 2015 ITEM 6 TO: FROM: Board of Directors Arthur T. Leahy SUBJECT: Reorganization of the Operations Department and Reassignment of Audit Positions Issue In an effort to build a world class organization, we must build a world class Operations Department. The purpose of this report is to share with the Board of Directors the reorganization of the Operations Department and the reassignment of audit positions and other necessary actions required by the Board to achieve this objective and implement the reorganization. Recommendation To support and achieve the seamless transition of the reorganization of the Operations Department, it is recommended that the Board: 1) Adjust the salary grade of the Deputy Chief Operating Officer from Grade R ($128,850- $201,450) to Grade S ($148,377-$231,706), 2) Transfer and reassign the current vacant positions of Chief Auditor and Executive Assistant positions from the Officer of the Chief Auditor to the Operations Department; 3) Reassign the Chief Auditor position (Salary Grade T) to a Deputy Chief Operating Officer position (Salary Grade S) to provide a succession plan in the Office of the Chief Operating Officer; and 4) Reassign the Executive Assistant position (Salary Grade F) to a Fare Collections Administrator position (Salary Grade G) to provide administrative and technical support in the Fare Collections Department. Alternatives The Board may direct staff to retain the salary level of the Deputy Chief Operating Officer at Grade R and to retain the two positions in the Audit Department. Background Operations Department Reorganization One Gateway Plaza, 12 th Floor, Los Angeles, CA

20 Reorganization of the Operations Department and Reassignment of Audit Positions Transmittal Date: July 2, 2015 Meeting Date: July 10, 2015 Page 2 On June 12, 2015, the Board of Directors took a critical step toward providing stability and continuity for the Operations Department and the Authority by retaining the Chief Operating Officer (COO) Gary Lettengarver. Upon his retention, the COO would like to reorganize the operations department to begin to bring significant changes that will improve accountability, collaboration and cross department training and functionality. The reorganization will break down silos and build the necessary skills in the operations department for the next generation of leaders and managers. An organizational restructure supporting the division of the Operations Department into three functional areas is shown in Attachment A. More specifically, these functional areas include (1) PTC and Engineering, (2) Operations and Compliance, and (3) Planning and Project Delivery. This will allow for a high potential successor to gain the experience necessary to succeed the Chief Operating Officer. The proposed salary grade for the Deputy Chief Operating position is in Grade S and the current salary range is $148,377-$231,706, subject to the authorized 3% increase in the FY16 budget effective September 1, Previously, the Deputy Chief Operating Officer was placed at Salary Grade R. In many cases the Authority is not able to compete with other railroads in the industry to attract operations talent. In addition, the highly technical skills required must be taught over the course of several years to really understand the industry and daily operations. Staff strongly believes that the next generation of leaders have to be groomed within the organization. The intent is to build and train a pool of world class leaders in the organization that will succeed the COO and other leadership positions in the Authority. A job description for the Deputy Chief Operating Officer is attached. The position is intended to rotate among the three main functional areas with direct reporting relationship to the Chief Operating Officer. PTC and Engineering Darrell Maxey, Senior Director, PTC will assume the higher level and additional duties for Engineering and Construction. His title will be changed from Senior Director, PTC to Deputy Chief Operating Officer - PTC and Engineering. An additional ten (10%) pay increase (from $192,166 to $211,382, annually) is being recommended for Darrell Maxey to recognize his additional duties and responsibilities. Operations and Compliance Robert T. (R.T.) McCarthy, Director, Operations will assume the higher level and additional duties with for Operations and Compliance including responsibility for Dispatch Operations, Field Operations Management and Service Design and Compliance. An additional fifteen (15%) pay increase (from $135,544 to $155,887, annually) is being recommended for R.T. McCarthy to recognize his additional duties and responsibilities. Planning and Project Delivery The vacant position of Deputy Chief Operating functioning as Operations Executive Officer will lead the functions of Planning and 13

21 Reorganization of the Operations Department and Reassignment of Audit Positions Transmittal Date: July 2, 2015 Meeting Date: July 10, 2015 Page 3 Development including Grants Management and Acquisition, Program Management, Maintenance of Equipment, Fare Collection Services, and Materials Management and Warehousing. This position will be opened and recruited competitively immediately following Board approval. Having this position in the Operations Department will promote greater collaboration on planning efforts which directly impact rail operations. As specified in the Board report of June 12, 2015 more than fifty percent (50%) of the Chief Operating Officer s management team have five (5) years of service or less. Therefore, more succession planning efforts are required to maintain the level of service and safety provided on the railroad today and to plan for future improvements. Reassignment of Positions in the Audit Department Since December 2014, the Internal Audit team has carried on internal audit functions seamlessly in the absence of the Chief Auditor. At present, Mr. James Kenan is providing guidance, support and oversight to the team and providing support to the Chief Executive Officer. In addition to his extensive experience with the Finance and Administrative functions at the Orange County Transportation Authority, Mr. Kenan has prior experience in Internal Audit for the County of Orange and is well qualified to provide guidance and oversight to Internal Audit. Senior Auditors Elizabeth Lazuardi and David Rogers will continue to comanage the department under the leadership and guidance from Mr. Kenan. Furthermore, the Internal Audit Department will continue to use outside audit services to provide support for their audit team on an as needed basis. Administrative support for the Internal Audit Department will be provided by the Executive Secretary in the Office of the CEO. Additionally, given the scope, budget and staffing levels of the SCRRA, an assigned team of four (4) full-time positions in Internal Audit provides more than adequate coverage to maintain and carry-out a full workload. Moreover, based on a comparative review of the Internal Audit Departments of member agencies regarding overall budget, size of the workforce and staffing levels of the department, the proposed change in staffing is reasonable and appropriate. Below is a list of the Member Agencies audit department staffing levels for information: Los Angeles County Metropolitan Transportation Authority (Metro) 21 Orange County Transportation Authority (OCTA) 6 San Bernardino Associated Governments (SANBAG) 0 Riverside County Transportation Commission (RCTC) 0 Ventura County Transportation Commission (VCTC) 0 14

22 Reorganization of the Operations Department and Reassignment of Audit Positions Transmittal Date: July 2, 2015 Meeting Date: July 10, 2015 Page 4 Therefore, at this time, it is recommended that the Board approve the reassignment and transfer of two (2) current vacant positions of Chief Auditor and Executive Assistant as listed below: From Position Salary Grade and Range Chief Auditor Grade T $170,634-$266,461 Executive Assistant Grade F $45,466-$71,045 Position Deputy Chief Operating Officer Fare Collections Administrator To Salary Grade and Range Grade S $148,377-$231,706 Grade G $50,276-$78,562 Please note that consistent with the FY16 budget, the salary ranges listed above will be adjusted by 3% effective September 1, All of the actions listed above are in compliance and consistent with HR Policy 2.1 Wage and Salary Administration Salary Program Administration. Attachment A and A-1 are organizational structure charts of the Operations Department before and after the reorganization. Attachment B is the Job Description for the Deputy Chief Operating Officer. Building a world class Operations Department is critical to the success of the Authority. Staff recommends the Board to reassign the Audit positions to support the reorganization of the Operations Department that will greatly improve the organization and daily operations. Budget Impact There is no budget impact as the position of Chief Auditor classification is in a higher salary grade than the proposed position. The salary grades for the Executive Assistant, Grade F and the proposed position, Fare Collections Administrator, Grade G overlap and as a result, staff does not anticipate a negative budget impact. However, any additional labor costs incurred will be absorbed in the current FY budget. Prepared by: Gary Lettengarver, Chief Operating Officer Patricia Francisco, Director, Human Resources Irene Shapiro, Manager, Human Resources Chief Operating Officer Chief Administrative Officer 15

23 Southern California Regional Rail Authority Office of the Chief Operating Officer Current Chief Executive Officer Arthur T. Leahy ATTACHMENT A Chief Operating Officer (015047) Gary Lettengarver Director, System Safety and Security Fred Jackson Director, Maintenance of Equipment Richard Tripoli Director, Dispatching Operations Marolyn (Gail) Davis Senior Director, PTC Darrell Maxey Director, Special Projects Gary Thompson Director, Operations Robert T. McCarthy Director, Fare Collections Services Russell Case CC: P CC: P 16

24 Southern California Regional Rail Authority Office of the Chief Operating Officer Proposed Chief Executive Officer Arthur T. Leahy ATTACHMENT A-1 Chief Operating Officer (015047) Gary Lettengarver System Safety and Security Deputy Chief Operating Officer (Operations and Compliance)(015105) Deputy Chief Operating Officer (PTC and Engineering) (015227) Deputy Chief Operating Officer (Planning and Project Delivery) (015043) OPERATIONS ENGINEERING AND CONSTRUCTION PTC SYSTEMS MANAGEMENT PLANNING AND DEVELOPMENT PROGRAM MANAGEMENT FIELD OPERATIONS MANAGEMENT DISPATCHING SERVICES SERVICE DESIGN AND COMPLIANCE TRACK REHABILITATION AND MAINTENANCE PTC C&S TRAIN CONTROL MAINTENANCE PTC TECHNICAL SUPPORT SERVICES PTC COMMUNICATIONS SYSTEMS MAINTENANCE OF EQUIPMENT STRATEGIC PLANNING& RESEARCH MATERIALS MANAGEMENT AND WAREHOUSING GRANTS DEVELOPMENT AND ACQUISITION PTC NETWORK CONTROL OPERATIONS FARE COLLECTIONS SERVICES 17

25 Attachment B Job Title: Deputy Chief Operating Officer (DCOO) PCN: Cost Center: Office of the Chief Operating Officer 2175 Reports To: Chief Operating Officer FLSA Status: E Prepared By: Shapiro 06/18/2015 Updated by: Dub 7/1/2015 Salary Grade: S SUMMARY Southern California Regional Rail Authority Job Description Under the leadership of the Chief Operating Officer, this position will provide direction to line operations for staff and contractors who are responsible for the delivery of services in the business units reporting to the Office of the Chief Operating Officer. The individual selected for this position may rotate within Deputy COO positions as part of the succession planning; for example, DCOO for Operations and Compliance (Operations, Field Operations Management, Dispatching Services, Service Design and Compliance), DCOO for PTC and Engineering (Engineering and Construction, Track Rehabilitation and Maintenance, PTC Systems Management, PTC Communications Systems, PTC Technical Support Services, PTC C&S Train Control Maintenance, PTC Network Control Operations), and DCOO for Planning and Project Delivery (Planning and Development, Program Management, Maintenance of Equipment, Strategic Planning & Research, Materials Management and Warehousing, Grants Development and Acquisition, Fare Collections Services). This position is located at the Dispatching and Operations Center (DOC), 2704 N. Garey Avenue, Pomona, CA JOB DUTIES AND RESPONSIBILITIES Under the leadership of the Chief Operating Officer, this position is responsible for the following: Ensure the delivery of safe, efficient and convenient commuter rail service every day; Ensure the railroad delivers the highest level of customer service possible each and every day; Ensure coordination and cooperation of services among assigned departments; Build a cohesive team of management staff dedicated to ongoing improvement of business operations; Provide functional direction and supervision to various cost centers under the leadership of the Chief Operating Officer; Establish best practices within the Office of the Chief Operating Officer; Work closely and as the COO s liaison with Safety and Security and be accountable for maximum safety performance in the assigned departments; Become involved as necessary and as required in security issues; Manage and negotiate contracts with assigned contractors to ensure on time performance and cost efficiency; Coordinate special studies, investigations and analyses to determine root cause of issues surfaced at various meetings; prepare results in report format and recommend solutions; Participate as necessary with the development of the budget for various business units within the Office of the Chief Operating Officer; Take action to address and resolve issues as agreed upon by the parties; 1 18

26 Ensure implementation of programs, policies and procedures and standard operating procedures to improve service quality; Provide direction and recommendations to solve complex operational issues and problems; Direct and coordinate with other key management team staff on operational system planning documents; Review and make recommendations to the COO on the impact of various changes to the commuter rail service; Work closely with direct reports and provide performance feedback and development for each individual and for the team as a whole; Act as the COO s backup for work related to the Board of Directors including preparation and review of all Board Committee and Board Agenda items related to the reporting departments; Represent SCRRA to external audiences and stakeholders; In collaboration with the other staff participate in the development of the Capital and Rehabilitation Plans; Interpret and provide guidance on a variety of laws, rules, regulations, policies, procedures and contracts; Ensure subordinates are properly informed about programs, proposals, changes in operational direction and staffing issues; Participate in various cross functional teams in order to deploy resources properly based on SCRRA organizational strategy and goals; Work closely with the Federal Railroad Administration (FRA), Federal Transit Administration (FTA); California Public Utilities Commission (CPUC), National Transportation Safety Board (NTSB) and other governmental and regulatory bodies; Perform other related duties as assigned. MINIMUM REQUIREMENTS To perform this job successfully, an individual must be able to perform each essential duty satisfactorily. The requirements listed below are representative of the knowledge, skill, and/or ability required. Bachelor s degree in Transportation, Business Administration, Public Administration or a related field preferred; Minimum five (5) years work experience in railroad operations in a senior management position; Minimum seven (7) years work experience supervising, managing and directing management level staff; Strong understanding of the railroad industry and demonstrated knowledge/capabilities in the areas of planning and development, field operations, contract management, financial analysis; Must have the ability to maintain composure in dealing with authorities, executive, customers, contractors and the public in high pressure situations and during railroad disruptions or incidents; Must have the ability to analyze situations, identify problems, develop solutions and evaluate outcomes; Ability to understand the interdependencies between various departments providing services in a public environment; Conversant and knowledgeable of Federal Railroad Administration regulations and the ability to review and monitor the delivery of services under those regulations; Experience in strategic planning and possess the ability to contribute effectively to the planning efforts undertaken at SCRRA; Ability to develop relationships with appropriate railroad or functional industry partners and is current on issues, practices and procedures; 2 19