SAN JOAQUIN REGIONAL RAIL COMMISSION

Vice Chair, Christina Fugazi, City of Stockton Commissioner, Bob Johnson, City of Lodi Commissioner, Debby Moorhead, City of Manteca Commissioner, Bob Elliott, San Joaquin County Commissioner, Leo Zuber, City of Ripon Commissioner, Scott Haggerty, Alameda County Commissioner, John Marchand, City of Livermore Executive Director, Stacey Mortensen 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. 12132) and the Ralph M. Brown Act (California Government Code 54954.2). 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) 944-6220, 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 upon request in Spanish for public inspection at the Office of the Executive Director located at 949 East Channel Street, Stockton, California, 95202 during normal business hours or by calling (209) 944-6220. The Agenda is available on the San Joaquin Regional Rail Commission website: www.acerail.com. Robert J. Cabral Station South Hall Meeting Room 949 East Channel Street Stockton, CA 95202 January 4, 2019 8:00 am Conference Call Locations 1311 Midvale Avenue Lodi, CA 95240 1. Call to Order, Pledge of Allegiance, Roll Call Vice-Chair Fugazi Heritage House County of Alameda 4501 Pleasanton Avenue Pleasanton, CA 94566 Roll Call: Ex- Officios: Haggerty, Marchand, Elliott, Johnson, Moorhead, Zuber, Vice Chair Fugazi Chesley, DeMartino, Zoslocki 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 54954.2 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 www.acerail.com/about-ace/sjrrc-board.html subject to staff s ability to post the documents prior to the meeting. 949 East Channel Street Stockton, CA 95202 (800) 411-RAIL (7245) www.acerail.com

3. Presentations and Recognitions 4. Consent Calendar 4.1 Minutes of November 2, 2018 ACTION 4.2.1 Rail Commission/ACE Monthly Expenditure INFORMATION 4.2.2 SJJPA Monthly Expenditure INFORMATION 4.3 ACE Monthly Fare Revenue INFORMATION 4.4 ACE Ridership INFORMATION 4.5 ACE On-Time Performance INFORMATION 4.6 Update on Positive Train Control INFORMATION 4.7 Washington Update INFORMATION 5. Election of Officers (Regular Voting Members) 6. 2018 State Rail Plan Presentation (Chad Edison) ACTION INFORMATION 7. Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Adopting a Transit Asset Management Policy (Brian Schmidt/Jordan Peterson) (Regular and Special Voting Members) 8. Update on the Shared Use Agreement with SJJPA for Shared Use of Valley Stations and Facilities (Stacey Mortensen) 9. Update on ACE Alameda County Projects (Dan Leavitt and Kevin Sheridan) 10. Update on Lathrop/Manteca Station Parking (Chris Kay) ACTION INFORMATION INFORMATION INFORMATION 11. Commissioner s Comments 12. Ex-Officio Comments 13. Executive Director s Report 14. Adjournment The next regular meeting is scheduled for: February 1, 2019 8:00 am Robert J. Cabral Station 949 East Channel Street, Stockton

Item 4.1 Minutes of November 2, 2018 SAN JOAQUIN REGIONAL RAIL COMMISSION Meeting of January 4, 2019 ACTION The regular meeting of the San Joaquin Regional Rail Commission was held at 8:00 am, November 2, 2018 at the Robert J. Cabral Station, 949 East Channel Street Stockton, CA 95202. 1 Call to Order/Pledge of Allegiance/Roll Call Vice Chair Fugazi called the meeting to order at 8:00 am and led the audience in the pledge of Allegiance. Commissioners Present: Fugazi Haggerty, Marchand, Elliott, Johnson, Moorhead, Zuber, Vice Chair Commissioners Absent: Chair Dresser Ex-Officio Members Present: 2 Public Comments Mr. Dumas, Mr. Chesley, Mr. Knodt, Mr. Zoslocki No public comments were made. 3 Consent Calendar 3.1 Minutes of October 5, 2018 ACTION 3.2.1 Rail Commission/ACE Monthly Expenditure INFORMATION 3.2.2 SJJPA Monthly Expenditure INFORMATION 3.3 ACE Monthly Fare Revenue INFORMATION 3.4 ACE Ridership INFORMATION 3.5 ACE On-Time Performance INFORMATION 3.6 Update on Positive Train Control INFORMATION 3.7 Washington Update INFORMATION 3.8 Approve a Resolution of the Board of Commissioners of the ACTION San Joaquin Regional Rail Commission Adopting the 2019 ACE Service Holidays 3.9 Minor Revisions to the SJRRC Procurement Manual INFORMATION 3.10 Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission to Authorize the Executive Director to Enter Into and Negotiate a Contract with RailPros, Inc. to Analyze Altamont Speed Increases, Amount Not-To-Exceed $75,000. Contract term limit November 5, 2018 to November 5, 2019 ACTION Vice Chair Fugazi pulled Item 3.8. Vice Chair Fugazi inquired as to how the holiday schedule will affect the future of Saturday Service. Mr. Schmidt stated that ACE does not run on holidays.

M/S/C (Marchand/Zuber) Approve the Consent Calendar. Passed and Adopted by the San Joaquin Regional Rail Commission on the 2nd day of November 2018 by the following vote to wit: AYES: 6 Marchand, Elliott, Johnson, Moorhead, Zuber, Vice Chair Fugazi NOES: 0 ABSTAIN: 0 ABSENT: 2 Haggerty, Chair Dresser 4 Update on ACE Shuttles INFORMATION Mr. Chapa gave a presentation on the ACE Shuttles in regards to ridership and capacity. Commissioner Zuber asked if there was a cost for riders to use the shuttles. Mr. Chapa responded that the cost to ride the shuttle is built into the fares for ACE tickets and explained funding also comes from VTA, as well as grant money applied for by SJRRC. Ms. Mortensen explained that shuttles are reaching capacity and additional shuttles may be needed in the near future. 5 Approve Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Adopting Fiscal Year 2018/2019 Budget Amendment #1: a) Reducing the San Joaquin Joint Powers Authority (SJJPA) Administrative Professional Services by $300,000 b) Increasing the SJJPA Marketing line in the amount of $494,250 for a net increase of $194,250 from $53,253,882 to $53,448,132 c) Adding Six Capital Projects, Increasing the Capital Budget in the Amount of $14,284,682, from $241,328,476 to $255,613,158 ACTION Mr. Sheridan presented on Budget Amendment #1. There was no Board discussion on this item. M/S/C (Zuber/Marchand) Approve Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Adopting Fiscal Year 2018/2019 Budget Amendment #1: a) Reducing the San Joaquin Joint Powers Authority (SJJPA) Administrative Professional Services by $300,000 b) Increasing the SJJPA Marketing line in the amount of $494,250 for a net increase of $194,250 from $53,253,882 to $53,448,132 c) Adding Six Capital Projects, Increasing the Capital Budget in the Amount of $14,284,682, from $241,328,476 to $255,613,158

Passed and Adopted by the San Joaquin Regional Rail Commission on the 2nd day of November 2018 by the following vote to wit: AYES: 6 Marchand, Elliott, Johnson, Moorhead, Zuber, Vice Chair Fugazi, NOES: 0 ABSTAIN: 0 ABSENT: 2 Chair Dresser, Haggerty 6 Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Authorizing a Contract with Siegfried Engineering, Inc. for the East Channel Street Environmental Clearance and Design Engineering Services an Amount Not-to-Exceed $308,365 and Authorizing and Directing the Executive Director to Execute the Agreement ACTION Mr. Herman and Mr. Caluya presented on the East Channel Street Environmental Clearance and Design Engineering Services. Vice Chair Fugazi commented stating she was pleased with the progress made. Commissioner Elliott asked for clarification of the area where the improvements would take place. Mr. Herman identified the area. Commissioner Zuber asked for clarification on the funding source. Mr. Herman confirmed that the funds were coming from SJCOG, via the Measure K Smart Growth Incentive Program. M/S/C (Zuber/Elliott) Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Authorizing a Contract with Siegfried Engineering, Inc. for the East Channel Street Environmental Clearance and Design Engineering Services an Amount Not-to-Exceed $308,365 and Authorizing and Directing the Executive Director to Execute the Agreement. Passed and Adopted by the San Joaquin Regional Rail Commission on the 2nd day of November 2018 by the following vote to wit: AYES: 5 Elliott, Johnson, Moorhead, Zuber, Vice Chair Fugazi NOES: 0 ABSTAIN: 0 ABSENT: 1 Chair Dresser

7 Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Authorizing a Two-Year and Seven- Month Contract with Two One-Year Options for On-Call Network Integration Services to AECOM Technical Services for an Amount Notto-Exceed $1,000,000 and Authorizing and Directing the Executive Director to Execute the Agreement ACTION Mr. Leavitt and Mr. Caluya presented on the On-Call Network Integration Services. Commissioner Elliott asked for clarification on the term of non-motorized first and last mile networks. Mr. Leavitt explained that it means shuttles or shared use vehicles. Commissioner Zuber asked for clarification on the contract term and funding amount. Mr. Leavitt explained that the funding amount and terms are set and any additional services beyond the contract terms would need to be negotiated and additional funding would be needed. M/S/C (Zuber/Elliott) Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Authorizing a Two-Year and Seven-Month Contract with Two One-Year Options for On-Call Network Integration Services to AECOM Technical Services for an Amount Not-to-Exceed $1,000,000 and Authorizing and Directing the Executive Director to Execute the Agreement. Passed and Adopted by the San Joaquin Regional Rail Commission on the 2nd day of November 2018 by the following vote to wit: AYES: 7 Haggerty, Marchand, Elliott, Johnson, Moorhead, Zuber, Vice Chair Fugazi NOES: 0 ABSTAIN: 0 ABSENT: 1 Chair Dresser 8 Update on ACE Mobile Ticketing INFORMATION Ms. Rasheed presented on the progress of ACE Mobile Ticketing. Vice Chair Fugazi asked if the WiFi connectivity on the trains affect the use of the mobile ticketing app. Ms. Rasheed clarified that when offline, the app can still be used and tickets can be validated. Commissioner Elliott asked for clarification on what issues the users were having in regards to the app. Ms. Rasheed explained that the majority of issues were from riders utilizing the app for the first time. 9 RMF Tour with Congressman Jeff Denham and Department of Transportation Undersecretary Derek Kan INFORMATION

Ms. Mortensen explained that SJRRC hosted an RMF Tour with Congressman Jeff Denham and Department of Transportation Undersecretary Derek Kan. A short video was shared to showcase the tour. Vice Chair Fugazi shared her experience and complimented the facility and staff. Commissioner Zuber stated how he was impressed with the demonstration of the PTC equipment. 10 Commissioner s Comments Commissioner Moorhead stated that she met with two riders in regards to parking issues in Manteca and requested that staff keep working to find ways to add additional parking. Commissioner Moorhead also mentioned some incidents where service can be improved. Commissioner Moorhead requested that staff do a presentation in Manteca. Mr. Sheridan explained the progress being made in regards to parking solutions for the Lathrop/Manteca Station. Ms. Mortensen explained how staff have been strategizing different solutions for parking. Commissioner Elliott urged staff to look at other ways to solve the parking issue other than restriping parking spaces to compact. Commissioner Johnson asked Commissioner Moorhead and Mr. Sheridan if staff efforts have been communicated to the public about the parking issues. Mr. Sheridan explained that the marketing team has been reaching out to the public. 11 Ex-Officio Comments Mr. Chesley spoke about the CTC meeting that was held at SJCOG in October. Mr. Chesley also explained the issue surrounding online sales tax and how discussions are being had in regards to changing it. Mr. Chesley gave an update on the next SJCOG board meeting and introduced new SJCOG staff. Mr. Knodt announced that SJRTD route 150 BART commuter service will begin on Saturday with five round trips to the Bay Area. Mr. Knodt also announced that veterans will be eligible for discounted tickets permanently and disability and senior discounts have been lowered. Commissioner Johnson asked what identification is needed for veterans. Mr. Knodt explained that it would be the standard identification of showing a veterans card. 12 Executive Director s Report Ms. Mortensen is recommending two workshops in regards to LTF and the Valley Rail Program.

Ms. Mortensen also mentioned a press release that was distributed highlighting the SJRRC projects that are benefited by SB 1. 13 Adjournment The meeting was adjourned at 9:00 am. The next regular meeting is scheduled for: January 4, 2019 8:00 am Robert J. Cabral Station 949 E. Channel Street Stockton, CA 95202

Item 4.2.1 San Joaquin Regional Rail Commission Altamont Corridor Express Operating and Capital Expense Report November 2018 42% of Budget Year Elapsed SJRRC EXPENSE % ACE EXPENSE % FY 18-19 TO SPENT FY 18-19 TO SPENT OPERATING EXPENSES ALLOCATION DATE TO DATE ALLOCATION DATE TO DATE Project Management, Services & Supplies Subtotal 784,339 189,410 24% 5,276,185 1,522,392 29% Contracted Services Subtotal 425,375 97,353 23% 18,913,136 4,454,752 24% Shuttle Services 1,269,855 529,106 42% TOTAL OPERATING EXPENSES 1,209,714 286,763 24% 25,459,176 6,506,250 26% CAPITAL EXPENSE FY 18-19 TO SPENT CAPITAL PROJECTS ALLOCATION DATE TO DATE 1 SJ COG Loan Repayment 1,118,012 1,118,012 100% 2 A1 & A2 Bond Repayment 3,035,912 643,306 21% 3 UPRR Capital Access Fee 3,242,516 1,621,258 50% 4 UPRR Capitalized Maintenance Projects 4,000,000 730,339 18% 5 ACE Extension Natomas to Stockton 100,000,000 421,048 1% 6 ACE Extension Lathrop to Ceres/Merced 65,865,000 170,759 1% 7 Locomotives (4) 23,396,668 11,758,627 1% 8 Platform Extension Projects 8,959,000 132,665 1% 9 Cabral Track Extension 7,331,989 161,310 1% 10 Fremont Platform Extension 3,400,000-0% 11 Lyoth Derail 500,000-0% 12 Positive Train Control 3,944,067 631,645 16% 13 Rolling Stock 3,500,000-0% 14 East Channel Street Improvements 2,042,287 115 1% 15 Robert J. Cabral Parking Lot Expansion 2,229,413-0% 16 Facility Upgrades and Capital Improvements 28,522-0% 17 Capital Spares 1,125,000 133,820 12% 18 Safety and Security/Video Cameras 1,544,087 198,848 13% 19 E-Ticketing 354,613 26,956 8% 20 Public Information Display System (PIDS) 225,000-0% 21 Network Integration 1,000,000-0% 22 Coordinated Planning Services 300,000-0% 23 SJRRC Maintenance Vehicles 120,000-0% 24 Sunol Quiet Zone 400,000 24,403 6% 25 SJJPA - Corridor Safety and Security Projects 4,062,219-0% 26 SJJPA - Station and Transportation Projects 11,138,953 4,979 0% 27 SJJPA - Mid-Corridor Layover Facility 1,750,000 637,647 36% 28 San Joaquin Intercity Minor Capital Project 1,000,000-0% TOTAL CAPITAL PROJECTS 255,613,258 18,415,736 7%

Status of Capital Projects - As of November 2018 1 SJ COG Loan Repayment - Annual payment made July 1, 2018 per SJCOG amended loan agreement. 2 Bond Repayments - Bond repayments are made bi-annually, payments FY 18-19 are due in October 2018 and April 2019. 3 4 5 6 7 8 UPRR Capital Access Fee - Payment for calendar year 2018 paid in two installments. First payment processed in January and second payment in May 2019 UPRR Capitalized Maintenance Projects - Multi-year project is budgeted at $4,000,000 for the year. Invoices are received monthly throughout the year. ACE Extension Natomas to Stockton - The project is underway, with the initial environmental work anticipated to be completed in November 2018. ACE Extension Lathrop to Ceres/Merced - The Environmental Impact Report (EIR) was certified in August 2018. Final design is anticipated to begin in January 2019. Locomotives (4) - Multi-year project to procure up to five Tier 4 locomotives for ACE service. A contract for the procurement was approved in April 2018. Currently ongoing through Fiscal Year 2019/2020. Platform Extension Projects - Multi-year project to extend the existing Lathrop/Manteca, Tracy, Vasco, Livermore, and Pleasanton platforms. A contract for final design was approved in May 2018 and is currently underway. 9 Cabral Track Extension - Staff is working on completing an environmental determination to move forward with final design. 10 Fremont Platform Extension - Construction of a 400-foot extension platform at the Fremont ACE Station. 11 Lyoth Derail - Installation of electric-powered derails near the Tracy ACE Station. 12 13 14 15 Positive Train Control - Multi-year project is currently ongoing. On-board equipment installation is in process, the Hosted Back Officer Server is in place. Awaiting invoices from vendors to be complete in December 2018. Rolling Stock - Multi-year project to use a competitive negotiation process to procure five passenger rail cab cars, with an option to purchase up to 29 additional passenger rail cars. An RFP was released in December 2018 with a joint procurement. East Channel Street Improvements - The project will be constructed by the City of Stockton in conjunction with the development company Ten Space. SJRRC provided funds to Ten Space as an Economic Development Subsidy for their portion of the East Channel Street Improvement Project. Final design and engineering work will be conducted during FY 18-19. A grant for $2,000,000 from the Measure K Smart Growth Incentive Program was approved by SJCOG in early 2018 to fund the eventual construction of the project. Project is ongoing Robert J. Cabral Parking Lot Expansion - Project will construct a new parking lot at the site of the old Western Pacific depot building in Stockton, as well as renovate a portion of the building. Staff is working on completing an environmental determination to move forward with final design. 16 Facility Upgrades and Capital Improvements - Currently ongoing 17 Capital Spares - Preventative Maintenance is ongoing. 18 Safety and Security/Video Cameras - The camera security project was awarded in June 2018 and is in construction. 19 E-Ticketing - Multi-year pilot project is currently ongoing. A contract for the implementation of the Altamont Corridor Express Mobile Ticketing System was approved in May 2018. Project is currently in development and estimated rollout will be in mid-october. 20 21 Public Information Display System (PIDS) - Currently ongoing project, PIDS system gives the ability to send train status and general information's to our stations in real time. Network Integration - Planning consulting services of integrating the ACE and SJJPA services with high-speed rail and other rail transit services. 22 Coordinated Planning Services - Anticipated planning services to start spring 2019. 23 SJRRC Maintenance Vehicles - The purchase of two maintenance trucks. 24 25 26 27 28 Sunol Quiet Zone - A reimbursement agreement with Alameda County was approved by the board in February 2018. Construction and planning management for project are being implemented by Alameda County. SJJPA - Corridor Safety and Security Projects - Implementation of physical improvements that will improve the safety and security of the Corridor including improved lighting, fencing, improved signage and landscaping SJJPA - Station and Transportation Projects - SJJPA is currently implementing its Short-Term Capital Improvement Program, which has a five-year horizon. Key stations, including Stockton ACE (Cabral), Modesto, Turlock Denair, Merced, and Fresno Stations SJJPA - Mid-Corridor Layover Facility - Project will allow the San Joaquin's to initiate an early morning train in Fresno to serve Sacramento bound commuters. It is currently in the environmental testing phase and moving into the final design and construction phase. Amtrak has awarded contract to vendor should break ground by July 30th. Temp Layover project was completed in late Aug 2018, train 718 and 701 will be using the layover location in FNO. San Joaquin Intercity Minor Capital Project - Currently there are a total of 40 individual projects. 38 of these projects are being implemented by Amtrak. The other two are parking lot projects at the Turlock-Denair and Modesto Amtrak Stations, with SJJPA serving as only a funding partner, with the projects being procured and constructed by Stanislaus County. Modesto Temp. parking lot has been completed and the Turlock project will start in Mid-November

4.2.2 San Joaquin Joint Powers Authority Operating Expense Report November 2018 42% of Budget Year Elapsed SJJPA EXPENSE YTD FY 18-19 TO PERCENT OPERATING EXPENSES ALLOCATION DATE EXPENDED Project Management, Services & Supplies Project Management, Services & Supplies Subtotal Contracted Services Subtotal TOTAL OPERATING EXPENSES 2,212,176 717,162 32% 51,041,707 13,009,907 25% 53,253,883 13,727,069 26%

1,100,000 Fare Revenue Item 4.3 1,000,000 900,000 800,000 700,000 600,000 500,000 FY Jul 18 Aug 18 Sep 18 Oct 18 Nov 18 Dec 18 Jan 19 Feb 19 Mar 19 Apr 19 May 19 Jun 19 TOTAL FY 18 19 Fare Revenue 934,823 1,017,601 901,396 1,049,117 858,177 4,761,114 FY 17 18 Fare Revenue 761,437 855,600 787,527 914,200 776,861 682,650 912,481 774,475 823,332 876,113 910,443 752,943 9,828,062 % of Budget Year Elapsed: 42% FY 18 19 % of Budgeted Fare Revenue Received to Date 47.6% Projected Annual Fare Revenue: $10,000,000

Ridership Item 4.4 170,000 160,000 150,000 140,000 130,000 120,000 110,000 100,000 90,000 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 Jul 18 Aug 18 Sep 18 Oct 18 Nov 18 Dec 18 Jan 19 Feb 19 Mar 19 Apr 19 May 19 Jun 19 FY TOTAL FY 18/19 Ridership 120,779 137,442 122,227 151,604 122,880 654,932 FY 17/18 Ridership 99,462 128,439 116,712 127,787 111,379 89,910 118,269 112,344 118,506 117,336 136,346 122,464 1,398,954

ACE ON TIME PERFORMANCE 100 90 80 70 OTP % 60 50 40 30 20 10 0 Nov-17 Dec-17 Jan-18 Feb-18 Mar-18 Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Monthly OTP % 91.3 93.42 87.79 73.55 85.14 82.47 91.48 89.88 86.31 86.81 93.42 88.59 95.51 YTD OTP % 89.29 89.61 87.79 81.38 82.47 82.93 84.4 85.31 85.45 85.63 86.41 86.65 87.39

SAN JOAQUIN REGIONAL RAIL COMMISSION Meeting of January 4, 2019 STAFF REPORT Item 4.6 Update on Positive Train Control INFORMATION PTC Implementation: Revenue Service Operations started on December 18 th, 2018. With the start of PTC Revenue Service, ACE is in full compliance with the requirements of 49 U.S.C. 20157. End-to-end runs (on UPRR s territory) were successfully completed on December 9 th, 2018. Revenue Service Check runs (on UPRR s territory) were successfully completed on December 11 th, 2018. The Radio Spectrum required to operate PTC has been secured by the Host Railroads. The Infrastructure/Wayside installation has been completed by the Host Railroads. Required Services: The Hosted Crew Interaction Back Office Server (CI-BOS), and communications systems are fully operational. The required training of all Train Crews and Mechanical Personnel, including Supervisors, has been completed. Installation of On-Board-Equipment: 100% Completion of equipment installations (6 locomotives and 8 Cab Cars). Coordination with UPRR, Caltrain and the Federal Railroad Administration (FRA): Staff continues regular conference calls with UPRR, Caltrain and FRA on PTC. The calls are on-going as PTC continues to evolve. Staff met with FRA representatives on December 6 th, 2018 and were informed there will be additional PTC seminars in 2019 and 2020 to ensure full PTC interoperability is met by the December 31 st, 2020 deadline.

TO: SJRRC Board FROM: Buchanan and TG&A Team RE: Monthly Legislative Report for December 2018 ISSUE December Update ACTIONS Congress: Ongoing: - We are working to secure letters of support for SJRRC s bid acquire and develop land at Sharpe Army Depot. - We have also been in communication with Department of Transportation (DOT) staff to set up BUILD and INFRA Grant program debriefs for the SJRRC San Joaquin Valley Rail Enhancement Project. 12/20/18: The U.S. House passed a Continuing Resolution (CR) extending Fiscal Year (FY) 2018 funding levels to February 8, 2019 for nine departments, including the Department of Transportation (DOT), which have not yet been funded through FY19. The CR contains $7.8 billion for disaster relief and $5.7 billion for border wall security, a provision that Sen. Schumer (D-NY) has said Democrats in the U.S. Senate will not support. Funding for these Departments expired on Dec. 21st at 11:59 PM EST. Federal employees, deemed non-essential, at these departments will be furloughed until a spending deal is agreed upon. 12/6/18: Sen. Schumer (D-NY), in a letter to President Trump, outlined environmental priorities that any infrastructure deal would need to address in order to succeed in the 116th Congress. Rep. Pelosi (D-CA) echoed the sentiment in her statement a day later acknowledging the Democrat's, who will soon control the Chamber, commitment to green infrastructure. Executive Branch: 12/20/18: DOT issued a NOFO for its Nationally Significant Freight and Highway Projects (INFRA) program. The program provides $950 million in available discretionary funding for freight, highway, or bridge projects of national or regional significance. Applications are due no later than 8:00 PM EST on March 6, 2019. 12/4/18: The Transportation Security Administration (TSA) released its Cybersecurity Roadmap. The plan extends the Department of Homeland Security s (DHS) cybersecurity strategy to include critical physical transportation infrastructure and emphasizes the use of cyber tools within TSA. Regulatory Update: 12/7/18: The Federal Railroad Administration (FRA) issued a final rule extending a stay on system safety program (SSP) plan requirements for commuter and intercity passenger railroads until September 4, 2019.

115 th Congress Legislative Report Log FY2019 Appropriations/FY2018 Appropriations/Budget Federal appropriations expire December 7, 2018. Executive Branch 9/28/18: President Trump signed H.R. 6157, the Department of Defense (DOD) and Labor, Health and Human Services, and Education Appropriations Act, 2019 and Continuing Appropriations Act, 2019. This bill contains an extension of funding, until December 7, 2018, for all FY19 appropriations bills that have not been passed in Congress, including the Transportation-HUD (THUD) language which is in conference committee with three other bills. 10/16/18: The U.S. President signed H.R. 4921, the Surface Transportation Board (STB) Information Security Improvement Act, into law. This bill, introduced by Rep. Paul Mitchell (R-MI), would require the STB to develop a plan to ensure that the STB has an effective information security program able to withstand attacks to its information systems. A DOT IG report from October 2017 found that the agency did not meet or lacked the level necessary level of security in these areas 10/1/18: Ben Kochman, former Legislative Director for Rep. Granger (R-TX), moved to DOT as Senior Congressional Affairs Officer. Rail Safety / Positive Train Control (PTC) 8/10/18: Mike Long, former senior safety and operations manager for the Short Line Safety Institute, took his new position as regional director of operations at FRA. 11/21/18: The Federal Railroad Administration (FRA) released Positive Train Control (PTC) data for the 2018 3rd Quarter. The data listed five railroads at risk of not meeting PTC requirements or qualifying for alternative schedules, a list later updated to four after Amtrak reached the 95 percent hardware installation requirement that FRA used to classify at-risk railroads. 10/3/18: The Senate Commerce Committee held a hearing on the current status of PTC. With the 2018 deadline approaching, U.S. Senators sought answers from FRA regarding the next steps and possible scenarios for those rails that may not qualify for an extension. 9/17/18: House Transportation and Infrastructure Committee (T&I) Ranking Member, Rep. DeFazio (D-OR), and House Railroads Subcommittee Ranking Member, Rep. Capuano (D-MA) wrote their opposition to allowing rail workers from Mexico to operate trains in the U.S. in a letter to Transportation Secretary Chao, which was joined by 25 other Members. The letter comes after Kansas City Southern Railway (KCSR) requested a waiver excluding them from certain federal safety requirements. 9/13/18: GAO released a report on the status of PTC implementation. It found that as of June 30, 2019 many of the 40 railroads were still installing PTC equipment. It also found that outside of the large freight railroads, many were lacking progress in the later stages of their implementation plans, especially with regard to revenue service demonstration (RSD), which only eight railroads had reportedly initiated. The report found that 32 railroads, or the operator of their track, intended to apply for an extension, which would have a max deadline of December 31,2020. GAO reported that FRA had taken some steps that were recommended by the GAO in March and had begun to inform on the requirements necessary to receive an extension past December 31, 2018.

Rulemaking, Adjudication, Policymaking, Decision, Event or Key Report 11/21/18: FRA published a final rule titled, "Passenger Equipment Safety Standards; Standards for Alternative Compliance and High-Speed Trainsets." This new rule amends the Passenger Equipment Safety Standards by adding a new tier (tier III), allowed to reach a max speed of 220 miles per hour (mph) and share a right-of-way with freight and other passenger equipment when traveling under 125 mph, to its speed-and-safety rating system. The rule also updates crashworthiness and occupant protection performance requirements and mph limits for the previous two tiers and sets specific tier III minimum safety standards. The rule will go into effect on January 22, 2019. 11/20/18: FRA issued a Safety Advisory recommending, on top of regulatory requirements, industry best practices to allow for safe operation during temporary signal suspensions. Recommendations can be found here. 8/29/18: FRA issued a final rule on hours of service laws. The rule aims to ease the burden on railroads with fewer than 400,000 employee-hours annually by providing a method, lower than current electronic record keeping requirements, that utilizes electronic signature-based tracking on automatically created records.

SAN JOAQUIN REGIONAL RAIL COMMISSION Meeting of January 4, 2019 STAFF REPORT Item 5 Election of Officers ACTION Background: The Rail Commission Bylaws outline the annual process for electing the Chair and Vice Chair for the Governing Board. There are currently no limitations on how long any Commissioner can serve as Chair or Vice Chair and no prescribed rotational process. Commissioners have typically served in these roles as their time permits for representing the agency throughout the state, and/or because their particular expertise was relevant to the major work program initiatives at the time. Recommendation: Elect a Chair and Vice Chair for the Rail Commission Governing Board.

SAN JOAQUIN REGIONAL RAIL COMMISSION Meeting of January 4, 2019 STAFF REPORT Item 6 2018 State Rail Plan Presentation INFORMATION Background: In September 2018, Caltrans released the new 2018 California State Rail Plan which provides an exciting new framework for planning and implementing California s rail network for the next 20 years and beyond. The Rail Plan is a strategic plan with operating and capital investment strategies that will lead to a coordinated, statewide travel system. By 2040, Californians are expected to have access to an integrated, state-of-the-art rail system that will revolutionize personal mobility and enhance quality of life. Chad Edison, Deputy Secretary with the California State Transportation Agency (CalSTA) will make a presentation to the SJRRC on the highlights of the 2018 California State Rail Plan including the vision for the Northern California Megaregion (see Exhibit 4.8: Northern California Service 2040 Vision attached) and the Altamont Corridor. The state worked closely with SJRRC staff and the other rail providers throughout California on the development of the 2018 California State Rail Plan. The 2018 State Rail Plan can be reviewed at: http://www.dot.ca.gov/californiarail/ Fiscal Impact: There is no fiscal impact. Recommendation: This is an information item.

Item 7 SAN JOAQUIN REGIONAL RAIL COMMISSION Meeting of January 4, 2019 STAFF REPORT ACTION Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Adopting a Transit Asset Management Policy Background: In July 2016, the Federal Transit Administration (FTA) published the Transit Asset Management Final Rule (TAM Rule). The TAM Rule requires SJRRC to develop a TAM Plan, ensuring that the agency s assets are maintained and operated in a consistent, measurable State of Good Repair (SGR). As part of the creation of a TAM Plan, SJRRC has developed a TAM Policy to communicate to the Board of Commissioners, management, staff, and external stakeholders the Commission s commitment to maintaining the ACE system in a SGR; and foster a culture of continuous improvement in asset management planning and performance. This policy is specific to the management of the Commission s Transit Assets, as defined by the FTA, which have a value of $50,000 or more. Definitions: Transit Asset Management Plan (TAM Plan) means the Plan through which the Commission will document its asset base, asset conditions, backlog and State of Good Repair, asset management policy, TAM goals and objectives, governance structure for asset management, strategy for capital asset funding and prioritization, and key priorities for asset management. Transit Asset as defined by the FTA, means both fixed long-life infrastructure assets (including, for example, facilities, parking lots, and platforms) and equipment (rail cars and locomotives). State of Good Repair (SGR) means a condition in which assets are fit for the purpose for which they were intended. TAM Final Ruling means a set of federal regulations that sets out minimum asset management practices for transit providers to bring all of the nation s transit assets into a state of good repair. TAM Policy: The San Joaquin Regional Rail Commission is committed to maintaining assets in a State of Good Repair through financial stewardship and reinvestment, transparency, and collaboration with its funding partners; promoting a culture that supports asset management across the organization; and by focusing on high quality data-driven asset condition and performance information to provide with safe, reliable, sustainable service for the communities served by the Altamont Corridor Express service.

Next Steps: With a TAM Policy in place, staff will continue to work across numerous departments, including Planning, Operations, Maintenance, and Fiscal, to develop and implement a TAM Plan. The TAM Plan will utilize the TAM Policy as a guide and will incorporate all elements outlined in the TAM Final Ruling. Once complete, the TAM Plan will be brought back to the Board at the March 2019 meeting for final approval. Fiscal Impact: There is no fiscal impact that results from the adoption of the TAM Policy. However, future implementation of TAM Plan requirements will require additional resources, such as consultant and/or software support for updating an asset inventory that corresponds to asset condition ratings, or identifying SGR needs. Recommendation: Approve a Resolution of the Board of Commissioners of the San Joaquin Regional Rail Commission Adopting a Transit Asset Management Policy.

RESOLUTION SJRRC-R-18/19- RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SAN JOAQUIN REGIONAL RAIL COMMISSION ADOPTING A TRANSIT ASSET MANAGEMENT POLICY WHEREAS, the San Joaquin Regional Rail Commission (SJRRC) desires to establish a policy that requires the agency to implement a strategic and systematic process for maintenance and improvement of Commission assets; and WHEREAS, Transit Asset Management (TAM) is a business model that prioritizes funding based on the condition of transit assets to achieve and maintain a State of Good Repair (SGR) for public transportation assets; and WHEREAS, the Federal Transit Administration (FTA) requires the Commission to develop a TAM Plan, including a TAM Policy, per Title 49 Code of Federal Regulations Part 625; NOW THEREFORE BE IT RESOLVED, that the Board of Commissioners of the San Joaquin Regional Rail Commission hereby adopts the following policy, to be effective immediately upon its passage: The San Joaquin Regional Rail Commission is committed to maintaining assets in a State of Good Repair through financial stewardship and reinvestment, transparency, and collaboration with its funding partners; promoting a culture that supports asset management across the organization; and by focusing on high quality data-driven asset condition and performance information to provide with safe, reliable, sustainable service for the communities served by the Altamont Corridor Express service. PASSED AND ADOPTED, by the Board of Commissioners this 4 th day of January 2019, by the following vote to wit: AYES: NOES: ABSENT: ABSTAIN: ATTEST: SAN JOAQUIN REGIONAL RAIL COMMISSION STACEY MORTENSEN, Secretary CHRISTINA FUGAZI, Vice Chair

Item 8 SAN JOAQUIN REGIONAL RAIL COMMISSION Meeting of January 4, 2019 STAFF REPORT INFORMATION Update on the Shared Use Agreement with SJJPA for Shared Use of Valley Rail Stations and Facilities Background: At the July 6 th meeting, the Rail Commission adopted a resolution to act on behalf of the San Joaquin Joint Powers Authority in the implementation of the Valley Rail Program stations and layover facilities. This process is intended to streamline the project delivery and protect the usage rights for each service. Staff and Counsel have developed the following draft deal points for a Shared Use Agreement: 1. Negotiating SJRRC s and SJJPA s trackage rights with UPRR 2. Purchasing by SJRRC of property for the new Stations that will be used by both ACE and the San Joaquins. 3. Drafting a Joint Use Agreement allowing the San Joaquins to use stations owned by SJRRC. a. Establishing a formula for a cost share of the stations operations and maintenance costs for SJJPA and SJRRC. b. Identifying all fees and expenses that will be shared by SJJPA and SJRRC. c. Establishing insurance obligations for the SJJPA and SJRRC. d. Establishing a method for SJJPA and SJRRC to indemnify the other for third party liability (aka passenger injuries and property damage). e. Establishing a process to schedule the use of the stations. f. Establishing a procedure for allowing future capital improvements to stations or adding new stations or facilities. g. Establishing a procedure to allow future, new services to use the stations and facilities. h. Establishing an alternative dispute process for resolving any disputes that arise from the performance of the Joint Station Use Agreement. i. Establishing a formula for a cost share for any emergencies arising at the stations. Staff and Counsel will present these draft deal points at the next SJJPA meeting on January 25 th and bring back a draft agreement to each agency by March. This item is for information only.

SAN JOAQUIN REGIONAL RAIL COMMISSION Meeting of January 4, 2019 STAFF REPORT Item 9 Update on ACE Alameda County Projects INFORMATION Background: Staff will provide an update on the efforts of the City of Pleasanton being done in coordination with SJRRC to provide additional parking at the Pleasanton ACE Station. Staff will also provide an update on the Sunol Quiet Zone Project. Fiscal Impact: There is no fiscal impact. Recommendation: This is an information item.

SAN JOAQUIN REGIONAL RAIL COMMISSION Meeting of January 4, 2019 STAFF REPORT Item 10 Update on Lathrop/Manteca Station Parking INFORMATION Background: SJRRC staff is working with the City of Manteca and Manteca Transit on options to alleviate parking congestion at the Lathrop/Manteca parking lot. Manteca Transit currently runs a shuttle offering free parking at the Manteca Transit Center for ACE riders. The current schedule has the shuttle meeting ACE 05 and 07 in the morning, and ACE 04, 06, and 08 in the evening. The current cost to ride the shuttle is $1 per rider each way, and SJRRC staff is currently exploring funding options to make the shuttle free for ACE riders. The shuttle service started in July of 2018 and has grown from 31 riders to nearly 50 in November. RRC staff are currently promoting the shuttle service via the website, social media channels, email, and is working with Manteca Transit on a joint flier to hand out to riders that use the Lathrop/Manteca lot. SJRRC staff have also requested Manteca Transit to explore the costs of having the shuttle service extended to meet ACE 10 (last train) in the evening. The City of Manteca is also working with SJRRC staff on additional park and ride lots serviced by shuttles. Several locations are currently being considered, and SJRRC is exploring funding to provide the service free to ACE riders. SJRRC staff is evaluating several longer-term options around the Lathrop/Manteca parking lot, including building temporary parking or leasing parking from the surrounding business community. However, these options would require walkway or traffic light installations or shuttle service due to safety issues getting riders from the lot to the station platform. The design and construction time for such projects may end up taking as long as the new Lathrop Transfer Station, so other mid-term options may need to be developed.