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HomeMy Public PortalAbout04 April 27, 2015 Budget & implementationRIVERSIDE COUNTY TRANSPORTATION COMMISSION BUDGET AND IMPLEMENTATION COMMITTEE MEETING AGENDA TIME: 9:30 a.m. DATE: Monday, April 27, 2015 LOCATION: BOARD ROOM County of Riverside Administrative Center 4080 Lemon Street, First Floor, Riverside  COMMITTEE MEMBERS  Bob Magee, Chair / Natasha Johnson, City of Lake Elsinore Jan Harnik, Vice Chair / Susan Marie Weber, City of Palm Desert Brenda Knight / Jeff Fox, City of Beaumont Ella Zanowic / Jim Hyatt, City of Calimesa Dawn Haggerty / Jordan Ehrenkranz, City of Canyon Lake Greg Pettis / Shelley Kaplan, City of Cathedral City Steven Hernandez / To Be Appointed, City of Coachella Scott Matas / Russell Betts, City of Desert Hot Springs Linda Krupa / Paul Raver, City of Hemet Dana Reed / Douglas Hanson, City of Indian Wells Rick Gibbs / Jonathan Ingram, City of Murrieta Steve Adams / Andy Melendrez, City of Riverside Michael Naggar / To Be Appointed, City of Temecula John F. Tavaglione, County of Riverside, District II Chuck Washington, County of Riverside, District III  STAFF  Anne Mayer, Executive Director Theresia Trevino, Chief Financial Officer  AREAS OF RESPONSIBILITY  Annual Budget Development and Oversight Competitive Federal and State Grant Programs Countywide Communications and Outreach Programs Countywide Strategic Plan Legislation Public Communications and Outreach Programs Short Range Transit Plans Comments are welcomed by the Committee. If you wish to provide comments to the Committee, please complete and submit a Speaker Card to the Clerk of the Board. COMM-BI-00025 Tara Byerly From: Tara Byerly Sent: To: Wednesday, April 22, 2015 2:44 PM Tara Byerly Cc: Jennifer Harmon Subject: RCTC: Budget and Implementation Committee Agenda -04.27.2015 Importance: High Good afternoon Budget and Implementation Committee Members: Attached below is the link to the Budget and Implementation Committee agenda for the meeting scheduled @ 9:30 a.m. on Monday, April 27. http://www.rctc.org/uploads/media items/budget-and-implementation-committe-april-27-2015.original.pdf Also attached for your review and information is the conflict of interest memo and form. Please let me know if you have any questions. Thank you. Conflict of Conflict of Interest Form.pdf Interest Memo.pdf Respectfully, Tara S. Byerly Senior Administrative Assistant RCTC 4080 Lemon Street, 3rd Floor Riverside, CA 92501 (951) 787-7141 1 Riverside County Transportation Commission TO: FROM: DATE: SUBJECT: Riverside County Transportation Commission Jennifer Harmon, Office and Board Services Manager April 22, 2015 Possible Conflicts of Interest Issues -Budget and Implementation Committee Agenda of April 27, 2015 The April 27, 2015 agenda of the Budget and Implementation Committee includes items which may raise possible conflicts of interest. A RCTC member may not participate in any discussion or action concerning a contract or amendment if a campaign contribution of more than $250 is received in the past 12 months or 3 months following the conclusion from any entity or individual listed. Agenda Item No. 9 -Agreement with HDR Engineering, Inc. for Strategic Assessment Consultant(s): HDR Engineering, Inc. 2280 Market Street, Suite 100 Riverside, CA 92501 Kip Field, Vice President Moore Methods, Inc. 112711th Street, Suite 1050 Sacramento, CA 95814 James N. Moore, Owner AMMA Transit Planning 393 Two Trees Road Riverside, CA 92507 Heather Menninger, Principal Fehr& Peers 3600 Lime Street, Building 2 Unit 226 Riverside, CA 92501 Jason Pack, Principal Creative Infrastructure Solutions 120 N. Madison Avenue Pasadena, CA 91101 Mit Jha, Principal Parsons Brinkerhoff, Inc. One Penn Plaza New York, New York 10119 Yvonne Quinones, Vice President Katherine Padilla & Associates 440 Tamarac Drive Pasadena, CA 91105 Katherine Padilla Otanez, Owner System Metrics Group, Inc. 244 California Street, Suite 710 San Francisco, CA 94111 William S. McCullough Vice President RIVERSIDE COUNTY TRANSPORTATION COMMISSION BUDGET AND IMPLEMENTATION COMMITTEE www.rctc.org AGENDA* *Actions may be taken on any item listed on the agenda 9:30 a.m. Monday, April 27, 2015 BOARD ROOM County Administrative Center 4080 Lemon Street, First Floor Riverside, California In compliance with the Brown Act and Government Code Section 54957.5, agenda materials distributed 72 hours prior to the meeting, which are public records relating to open session agenda items, will be available for inspection by members of the public prior to the meeting at the Commission office, 4080 Lemon Street, Third Floor, Riverside, CA, and on the Commission’s website, www.rctc.org. In compliance with the Americans with Disabilities Act, Government Code Section 54954.2, and the Federal Transit Administration Title VI, please contact the Clerk of the Board at (951) 787-7141 if special assistance is needed to participate in a Commission meeting, including accessibility and translation services. Assistance is provided free of charge. Notification of at least 48 hours prior to the meeting time will assist staff in assuring reasonable arrangements can be made to provide assistance at the meeting. 1. CALL TO ORDER 2. PLEDGE OF ALLEGIANCE 3. ATTENDANCE / ROLL CALL 4. PUBLIC COMMENTS – Each individual speaker is limited to speak three (3) continuous minutes or less. The Committee may, either at the direction of the Chair or by majority vote of the Committee, waive this three minute time limitation. Depending on the number of items on the Agenda and the number of speakers, the Chair may, at his/her discretion, reduce the time of each speaker to two (2) continuous minutes. Also, the Committee may terminate public comments if such comments become repetitious. In addition, the maximum time for public comment for any individual item or topic is thirty (30) minutes. Speakers may not yield their time to others without the consent of the Chair. Any written documents to be distributed or presented to the Committee shall be submitted to the Clerk of the Board. This policy applies to Public Comments and comments on Agenda Items. Under the Brown Act, the Board should not take action on or discuss matters raised during public comment portion of the agenda which are not listed on the agenda. Board members may refer such matters to staff for factual information or to be placed on the subsequent agenda for consideration. Budget and Implementation Committee April 27, 2015 Page 2 5. APPROVAL OF MINUTES – MARCH 23, 2015 6. ADDITIONS/REVISIONS (The Committee may add an item to the Agenda after making a finding that there is a need to take immediate action on the item and that the item came to the attention of the Committee subsequent to the posting of the agenda. An action adding an item to the agenda requires 2/3 vote of the Committee. If there are less than 2/3 of the Committee members present, adding an item to the agenda requires a unanimous vote. Added items will be placed for discussion at the end of the agenda.) 7. CONSENT CALENDAR - All matters on the Consent Calendar will be approved in a single motion unless a Commissioner(s) requests separate action on specific item(s). Items pulled from the Consent Calendar will be placed for discussion at the end of the agenda. 7A. SINGLE SIGNATURE AUTHORITY REPORT Page 1 Overview This item is for the Committee to: 1) Receive and file the Single Signature Authority report for the third quarter ended March 31, 2015; and 2) Forward to the Commission for final action. 8. PROPOSED BUDGET FOR FISCAL YEAR 2015/16 Page 3 Overview This item is for the Committee to: 1) Discuss, review, and provide guidance on the proposed FY 2015/16 Budget; 2) Open the public hearing in order to receive input and comments on the proposed FY 2015/16 Budget on May 13 and on June 10, 2015, and thereafter close the public hearing; and 3) Forward to the Commission for final action. Budget and Implementation Committee April 27, 2015 Page 3 9. AGREEMENT WITH HDR ENGINEERING, INC. FOR STRATEGIC ASSESSMENT Page 22 Overview This item is for the Committee to: 1) Award Agreement No. 15-65-051-00 to HDR Engineering, Inc. (HDR) for the development of a strategic assessment for a nine-month period for an amount not to exceed that is under negotiation and will be presented at the Commission meeting; 2) Authorize the Chair or Executive Director, pursuant to legal counsel review, to execute the agreement on behalf of the Commission; and 3) Forward to the Commission for final action. 10. STATE LEGISLATION Page 49 Overview This item is for the Committee to: 1) Adopt the following positions on state legislation: a) SB 608 (Liu) – Oppose; b) SB 516 (Fuller) – Support In Concept; and 2) Forward to the Commission for final action. 13. COMMISSIONERS / STAFF REPORT Overview This item provides the opportunity for the Commissioners and staff to report on attended and upcoming meeting/conferences and issues related to Commission activities. 14. ADJOURNMENT AND THE NEXT MEETING The next Budget and Implementation Committee meeting is scheduled to be held at 9:30 a.m., Monday, June 22, 2015, Board Chambers, First Floor, County Administrative Center, 4080 Lemon Street, Riverside. RIVERSIDE COUNTY TRANSPORTATION COMMISSION BUDGET AND IMPLEMENTATION COMMITTEE ROLL CALL APRIL 27, 2015 County of Riverside, District II County of Riverside, District Ill City of Beaumont City of Calimesa City of Canyon Lake City of Cathedral City City of Coachella City of Desert Hot Springs City of Hemet City of Indian Wells City of Lake Elsinore City of Murrieta City of Palm Desert City of Riverside City of Temecula Present )2f D %' ~ D ~ ~ pr D ~ y RIVERSIDE COUNTY TRANSPORTATION COMMISSION BUDGET AND IMPLEMENTATION COMMITTEE SIGN-IN SHEET APRIL 27, 2015 ,, NAME AGENCY E MAILADDRESS v ) ::.,, /I I I /-. a---~~ /hA AGENDA ITEM 5 MINUTES RIVERSIDE COUNTY TRANSPORTATION COMMISSION BUDGET AND IMPLEMENTATION COMMITTEE Monday, March 23, 2015 MINUTES 1. CALL TO ORDER The meeting of the Budget and Implementation Committee was called to order by Chair Bob Magee at 9:30 a.m., in the Board Room at the County of Riverside Administrative Center, 4080 Lemon Street, First Floor, Riverside, California, 92501. 2. PLEDGE OF ALLEGIANCE At this time, Commissioner Steve Adams led the Budget and Implementation Committee in a flag salute. 3. ROLL CALL Members/Alternates Present Members Absent Steve Adams Greg Pettis Rick Gibbs Chuck Washington Dawn Haggerty Jan Harnik Steven Hernandez Brenda Knight Linda Krupa Bob Magee Scott Matas Michael Naggar Dana Reed John Tavaglione Ella Zanowic 4. PUBLIC COMMENTS There were no requests to speak from the public. 5. APPROVAL OF MINUTES – FEBRUARY 23, 2015 M/S/C (Gibbs/Zanowic) to approve the minutes of February 23, 2015 meeting as submitted. RCTC Budget and Implementation Committee Minutes March 23, 2015 Page 2 6. ADDITIONS / REVISIONS There were no additions or revisions to the agenda. 7. CONSENT CALENDAR - All matters on the Consent Calendar will be approved in a single motion unless a Commissioner(s) requests separate action on specific item(s). Items pulled from the Consent Calendar will be placed for discussion at the end of the agenda. M/S/C (Adams/Gibbs) to approve the following Consent Calendar item(s): 7A. QUARTERLY FINANCIAL STATEMENTS 1) Receive and file the Quarterly Financial Statements for the period ended December 31, 2014; and 2) Forward to the Commission for final action. 8. AGREEMENT WITH MACIAS GINI & O’CONNELL LLP FOR AUDIT SERVICES Michele Cisneros, Finance Manager/Controller, presented the scope of services for the agreement with Macias Gini & O’Connell LLP (MGO) for audit services. Commissioner Dawn Haggerty asked for the amount paid for auditing services last year. Michele Cisneros replied for the Commission’s audit agreement with McGladry was $150,000. M/S/C (Adams/Gibbs) to: 1) Award Agreement No. 15-19-043-00 to Macias Gini & O'Connell LLP (MGO) for audit services for a three-year term, with two one-year options to extend the agreement, for $841,000, plus a contingency in the amount of $59,000, for a total amount not to exceed $900,000; 2) Authorize the Chair or Executive Director, pursuant to legal counsel review, to execute the agreements, including option years, on behalf of the Commission; 3) Authorize the Executive Director or designee to approve contingency work up to the total not to exceed amount as required for these audit services; and 4) Forward to the Commission for final action. RCTC Budget and Implementation Committee Minutes March 23, 2015 Page 3 9. AGREEMENT WITH BARTEL ASSOCIATES, LLC FOR ACTUARIAL VALUATION SERVICES FOR OTHER POST EMPLOYMENT BENEFITS Michele Cisneros presented the scope of services for the agreement with Bartel Associates LLC (Bartel) for actuarial valuation services for other post employment benefits. M/S/C (Adams/Gibbs) to: 1) Award Agreement No. 15-19-044-00 to Bartel Associates, LLC (Bartel) for actuarial valuation services for Other Post Employment Benefits (OPEB) for a three-year term, and two one-year options to extend the agreement, in an amount not to exceed $45,000; 2) Authorize the Chair or Executive Director, pursuant to legal counsel review, to execute the agreement on behalf of the Commission; and 3) Forward to the Commission for final action. 10. TRUSTEE SERVICES FOR TOLL REVENUE BONDS Theresia Trevino, Chief Financial Officer, presented the scope of services for the agreements for trustee services for toll revenue bonds and the notice to terminate The Bank of New York Mellon Trust Company, N.A. (BNY) agreement. In response to Commissioner Gibbs’ request for clarification regarding removal costs, Theresia Trevino stated cost does not have to be a factor in the removal. In response to Commissioner Gibbs’ question regarding the ability for contractors to protest, Theresia Trevino replied the Commission can terminate the contract with BNY for any reason and the indenture specifies the procedures to do so. M/S/C (Gibbs/Adams) to: 1) Award Agreement No. 15-19-083-00 to U.S. Bank National Association (US Bank) for trustee services related to the 2013 Toll Revenue Bonds (Toll Bonds) for the State Route 91 Corridor Improvement Project (91 Project) for a five-year period, with additional option periods in five- year increments, in an amount of $60,000, plus a contingency amount of $5,000, for a total amount not to exceed $65,000 for the initial five- year term; 2) Authorize the Chair or Executive Director, pursuant to legal counsel review, to execute agreement on behalf of the Commission; 3) Authorize the Executive Director or designee to approve contingency work up to the total not to exceed amount as required for the trustee services; RCTC Budget and Implementation Committee Minutes March 23, 2015 Page 4 4) Ratify Agreement No. 15-19-085-00, a three-party agreement among the Commission, US Bank as successor trustee, and The Bank of New York Mellon Trust Company, N.A. (BNY Mellon) as prior trustee regarding the transfer of the rights, powers, and trusts related to the Toll Bonds; and 5) Forward to the Commission for final action. 11. APPOINTMENT OF UNDERWRITERS FOR COMMISSION FINANCINGS Theresia Trevino presented the appointment of underwriters for the Commission financings. She explained there are no agreements to be awarded in connection with this action since the bond purchase is the document executed in connection with the financing. In response to Commissioner Gibbs’ clarification regarding the Transportation Infrastructure Finance and Innovation Act (TIFIA) loan, Anne Mayer replied it required the technical expertise of several different consultants. The underwriters were a critical part of the work completed for the TIFIA Office and also on Wall Street. She expressed the 91 Project experience made this selection all the more important in terms of having experienced underwriters that can model and know the market, and know the Commission since these bonds need to be sold. Anne Mayer stated the Commission is well positioned for the Interstate 15 project financing both from a TIFIA and Wall Street perspective. Theresia Trevino added the Commission was 10 times oversubscribed in less than an hour and half, which was for $600 million in bonds. M/S/C (Adams/Gibbs) to: 1) Approve the selection of the following firms to provide underwriting services to the Commission in connection with long-term debt financings for a four-year period, with an option to extend for an additional two one-year periods: a) Academy Securities, Inc. (Academy); b) Bank of America Merrill Lynch (BAML); c) Barclays Capital, Inc. (Barclays); d) Fidelity Capital Markets (Fidelity); and e) Goldman Sachs & Co. (Goldman); 2) Approve the appointments of BAML and Goldman to perform the services of joint bookrunning senior managing underwriters, Barclays as co-senior managing underwriter, and Academy and Fidelity as co- managing underwriters in connection with the proposed Interstate 15 Express Lanes Project financing; and 3) Forward to the Commission for final action. RCTC Budget and Implementation Committee Minutes March 23, 2015 Page 5 12. COMMISSIONERS / EXECUTIVE DIRECTOR REPORT Commissioner Jan Harnik announced there was a groundbreaking ceremony for the I-10 Jefferson interchange on March 20. 12A. Anne Mayer announced: • Commencing on March 23, there will be a 35-day closure of the 14th Street eastbound on ramp and the University Avenue off ramp on SR-91; • Also commencing on March 23 is a one-week closure in the city of Perris for the I-215 Central project on Perris Boulevard between San Jacinto Avenue and Jarvis Street; • On March 20, an update on the summary of results for the first round of cap and trade funding was emailed to all of the Commissioners and an update will be provided at its April Commission meeting; and • At its April Commission meeting, the Commission will be approving the certification of the Mid County Parkway project environmental impact report. Commissioner Adams expressed Southern California is the target of cap and trade Northern California is the beneficiary of cap and trade, and it’s the inequity is overwhelming. The Commission needs to be ahead in order to minimize the damage cap and trade will have on Southern California and this region. 13. ADJOURNMENT AND NEXT MEETING There being no further business for consideration by the Budget and Implementation Committee, the meeting was adjourned at 9:56 a.m. The next meeting of the Budget and Implementation Committee is scheduled for April 27, 2015, at 9:30 a.m. Respectfully submitted, Tara S. Byerly Deputy Clerk of the Board AGENDA ITEM 7A RIVERSIDE COUNTY TRANSPORTATION COMMISSION DATE: April 27, 2015 TO: Budget and Implementation Committee FROM: Marla Dye, Procurement Analyst Matt Wallace, Procurement Manager THROUGH: Theresia Trevino, Chief Financial Officer SUBJECT: Single Signature Authority Report STAFF RECOMMENDATION: This item is for the Committee to: 1)Receive and file the Single Signature Authority report for the third quarter ended March 31, 2015; and 2)Forward to the Commission for final action. BACKGROUND INFORMATION: Certain contracts are executed under single signature authority as permitted in the Commission’s Procurement Policy Manual adopted in December 2012. The Executive Director is authorized to sign services contracts that are less than $100,000 individually and in an aggregate amount not to exceed $1 million in any given fiscal year. Additionally, in accordance with Public Utilities Code Section 130323(c), the Executive Director is authorized to sign contracts for supplies, equipment, materials, and construction of all facilities and works under $50,000 individually. The attached report details all contracts that have been executed for the third quarter ended March 31, 2015, under the single signature authority granted to the Executive Director. The unused capacity of single signature authority for services at March 31, 2015 is $430,705. Attachment: Single Signature Authority Report as of March 31, 2015 Agenda item 7A 1 CONSULTANT DESCRIPTION OF SERVICES ORIGINAL CONTRACT AMOUNT PAID AMOUNT REMAINING CONTRACT AMOUNT AMOUNT AVAILABLE July 1, 2014 $1,000,000.00 All Security Services Security Guard Services for Commission Owned Property on the SR- 91 CIP 60,000.00 59,340.00 660.00 The Bank of New York Mellon Trust Amendment for investment transactions related to trustee services for SR- 91 CIP bond proceeds 20,000.00 6,495.00 13,505.00 HDR, Inc.Railroad Coordination Services on SR-91 HOV Project 35,000.00 681.58 34,318.42 All Security Services Security Guard Services for Commission Owned Property on the SR- 91 CIP 20,000.00 19,380.00 620.00 Mathis Consulting Group Management Consulting Services 100,000.00 47,395.50 52,604.50 California Highway Patrol SAFE Call Box Coordinator 7,800.00 0.00 7,800.00 Koff & Associates Compensation, Classification & Benefits Study 65,000.00 2,797.09 62,202.91 All Security Services Security Guard Services for Commission Owned Property on the SR- 91 CIP 70,000.00 69,375.00 625.00 Katherine Padilla & Associates Facilitating an Interactive Session for the Commission Workshop 10,000.00 10,000.00 0.00 Engineering Resources Downtown Riverside Station TMV Relocation Plans and Specifications Update 77,325.00 0.00 77,325.00 US Bank Custodian Services for the Commission Funds 35,000.00 0.00 35,000.00 Beacon Economics, LLC Benefit Analysis for the I-15 Express Lanes Project 54,000.00 0.00 54,000.00 Allied Barton Security Services Security Guard Services for Commission Owned Property on the SR- 91 CIP 20,000.00 0.00 20,000.00 A&E Sheep Co., Inc Release and Settlement Agreement for the PVL 10,170.00 0.00 10,170.00 Inland Empire Resource Conservation District Deposit Agreement for the SR-91 CIP 5,000.00 0.00 5,000.00 AMOUNT USED 569,295.00 569,295.00 $430,705.00 None N/A -$ -$ -$ Marla Dye Theresia Trevino Prepared by Reviewed by AMOUNT USED SINGLE SIGNATURE AUTHORITY AS OF MARCH 31, 2015 Note: Shaded area represents new contracts listed in the third quarter. AMOUNT REMAINING through March 31, 2015 Agreements that fall under Public Utilities Code 130323 (C) 2 AGENDA ITEM 8 RIVERSIDE COUNTY TRANSPORTATION COMMISSION DATE: April 27, 2015 TO: Budget and Implementation Committee FROM: Michele Cisneros, Finance Manager/Controller THROUGH: Theresia Trevino, Chief Financial Officer SUBJECT: Proposed Budget for Fiscal Year 2015/16 STAFF RECOMMENDATION: This item is for the Committee to: 1)Discuss, review, and provide guidance on the proposed FY 2015/16 Budget; 2)Open the public hearing in order to receive input and comments on the proposed FY 2015/16 Budget on May 13 and on June 10, 2015, and thereafter close the public hearing; and 3)Forward to the Commission for final action. BACKGROUND INFORMATION: Staff completed the initial budget preparation process, and attached is an executive summary for the proposed FY 2015/16 Budget. The policy goals and objectives approved by the Commission on March 11 were the basis of this budget. The guiding principles and policy goals and objectives considered during the preparation of the budget relate to mobility initiatives, goods movement, improved system efficiencies, environmental stewardship, economic development, intermodalism and accessibility, and public and agency communications, as well as financial and administration policies. Staff will present highlights of significant items included in the budget and is seeking review of and input on the proposed FY 2015/16 Budget. Based on input received from Commissioners, staff will update the document, as necessary, and present the proposed budget for the opening of the public hearing and for the Commission’s review on May 13. As a result of input received from the public and the Commission, staff will make any necessary changes to the budget document for final review, close of the public hearing, and adoption at its June 10 Commission meeting. The executive summary document contains a summary of all departmental budgets and summarizes the information for the Commission. The department budgets present the goals and objectives, the resources needed to accomplish the goals, and the appropriations required to accomplish the tasks. Staff also included the budgets by governmental fund type, as this table provides a summary of the budgeted revenues and expenditures from a fund perspective. Agenda Item 8 3 Preliminary funding estimates for transit operating and capital expenditures have been included in the budget, although the draft Short Range Transit Plans are still under review. An adjustment for a revised estimate of these transit expenditures may be included in the final budget document presented in June 2015. At its June 10 Commission meeting, staff will present the entire budget document with detailed narratives. A summary of the proposed FY 2015/16 Budget is as follows: FY 2015/16 Budget Revenues and other financing sources: Sales taxes-Measure A and Local Transportation Funds $ 253,000,000 Reimbursements (federal, state, and other) 100,846,000 Transportation Uniform Mitigation Funds, including reimbursements 12,053,800 State Transit Assistance 13,372,400 Other revenues 235,000 Interest on investments 2,490,300 Debt proceeds 261,277,900 Transfers in 140,976,800 Total revenues and other financing sources 784,252,200 Expenditures and other financing uses: Personnel salaries and fringe benefits 9,499,800 Professional services 16,301,000 Support services 7,005,200 Projects and operations 795,109,800 Capital outlay 3,793,500 Debt service (principal and interest) 53,919,900 Transfers out 140,976,800 Total expenditures and other financing uses 1,026,606,000 Excess (deficiency) of revenues and other financing sources over (under) expenditures and other financing uses (242,353,800) Beginning fund balance (projected) 828,225,600 Ending fund balance (projected) $ 585,871,800 Attachment: Executive Summary for the Proposed FY 2015/16 Budget Agenda Item 8 4 Executive Summary Introduction The budget for Fiscal Year (FY) 2015/16 is presented to the Board of Commissioners (Board) and the citizens of Riverside County. The budget outlines the projects the Commission plans to undertake during the year and appropriates expenditures to accomplish these tasks. The budget also shows the funding sources and fund balances that will be used for these projects. This document will serve as the Commission’s monetary guideline. To provide the reader a better understanding of the projects, staff has included descriptive information regarding each department and major projects. The discussion in each department includes a review of accomplishments, major initiatives, and key assumptions. Staff used the goals and objectives approved at the Commission meeting on March 11, 2015, to prepare this budget. In addition to the Commission’s guiding principles, long-term goals, and strategic plan, the short-term factors listed below were used to guide the development of the budget. Operational  Aggressively pursue completion of the environmental, design, right of way, and construction processes on the State Route (SR) 91 project (91 Project), Interstate (I) 215 corridor improvement project; I-15 Express Lanes project; and Perris Valley Line Metrolink extension (Perris Valley Line) included in the Western Riverside County Delivery Plan.  Enhance corridor mobility and traveler choice by continuing property acquisition and construction on the SR-91 Project and continuing to develop tolled express lanes on I-15.  Provide leadership in the planning and development of the Coachella Valley/San Gorgonio Pass corridor rail service.  Work closely with local jurisdictions to administer the Transportation Uniform Mitigation Fee (TUMF) Regional Arterial Program and facilitate the delivery of eligible arterial improvements in western Riverside County (Western County).  Work closely with partners in the Coachella Valley to ensure the implementation of Measure A funding priorities.  Complete projects and programs included in the 1989 Measure A ordinance and determine uses for any unexpended revenues.  Continue the preliminary engineering and environmental mitigation for the Mid County Parkway and SR- 79 realignment projects.  Work with local and regional agencies in developing resources for preservation and maintenance of the highways and regional arterials.  Continue active engagement in state and federal efforts to streamline and reform the California Environmental Quality Act (CEQA) and the National Environmental Policy Act (NEPA).  Consider future rail expansion opportunities including the potential for extension of the Perris Valley Line to the Hemet/San Jacinto and Temecula areas.  Support innovative programs that provide transit assistance in hard to serve rural areas or for riders with special transit needs.  Support cost controls and promote operating efficiency for transit operators.  Maintain effective partnerships among commuters, employers, and government to increase the efficiency of our transportation system by encouraging and promoting motorized and non-motorized transportation alternatives.  Continue to provide a motorist aid system that ensures safety and convenience to freeway motorists.  Maintain an active involvement in state and federal legislative matters to ensure that the Commission receives proper consideration for transportation projects and funding.  Explore local options for sustainable funding in addressing long-term transportation and quality-of-life needs for Riverside County.  Maintain close communication with Commissioners and educate policy makers on all issues of importance to the Commission. 5 Financial  Fund administrative costs with allocations from Measure A, LTF, FSP, SAFE, and TUMF funds.  Maintain administrative program delivery costs below the policy threshold of 4% of Measure A revenues; the FY 2015/16 Management Services budget is 3% of Measure A revenues.  Maintain administrative salaries and benefits at less than 1% of Measure A revenues; the FY 2015/16 administrative salaries and benefits is .99% of Measure A revenues.  Continue to maintain prudent cash reserves to provide some level of insulation for unplanned expenditures.  Maintain current strong bond ratings with rating agencies.  Move forward on Measure A projects for highways and regional arterials using sales tax revenues, TUMF revenues, and state and federal funding as well as financing alternatives such as commercial paper, sales tax revenue bonds, toll revenue bonds, and federal loans.  Establish and maintain reserves for toll operations, capital improvements, and debt service in accordance with toll supported debt agreements.  Conduct enhanced outreach to businesses and contractors located in Riverside County regarding opportunities to provide competitive and qualified goods and/or services to the Commission.  Leverage and protect past Measure A investments in rail with state and federal funding for additional rail improvements, including the Perris Valley Line.  Maintain the enterprise resource planning (ERP) system to integrate project accounting needs and improve accounting efficiency. Budget Overview Total sources (Table 1) are budgeted at $784,252,200 which is an increase of less than 1% over FY 2014/15 projected sources and a 33% decrease over the FY 2014/15 revised budget. Total sources are comprised of revenues of $381,997,500, transfers in of $140,976,800, and debt proceeds of $261,277,900. The projected fund balance at June 30, 2015 available for expenditures (excluding reserves for debt service of $112,811,300 and advances receivable of $32,014,100) is $683,400,200. Accordingly, total funding available for the FY 2015/16 budget totals $1,467,652,400. Table 1 – Sources FY 2014-2016 FY 13/14 FY 14/15 FY 14/15 FY 15/16 Dollar Percent Actual Revised Budget Projected Budget Change Change Measure A Sales Tax 156,355,800$ 167,000,000$ 167,000,000$ 170,000,000$ 3,000,000$ 2% LTF Sales Tax 77,544,200 81,500,000 81,500,000 83,000,000 1,500,000 2% STA Sales Tax 14,409,400 12,944,700 12,944,700 13,372,400 427,700 3% Intergovernmental 122,486,700 182,176,300 133,063,800 100,846,000 (81,330,300) -45% TUMF Revenue 11,284,400 12,154,600 12,042,700 12,053,800 (100,800) -1% Other Revenue 1,282,500 714,100 221,200 235,000 (479,100) -67% Investment Income 9,979,900 2,450,900 4,138,000 2,490,300 39,400 2% Transfers In 481,987,700 526,661,100 254,035,100 140,976,800 (385,684,300) -73% Debt Proceeds 636,421,300 191,600,000 116,059,000 261,277,900 69,677,900 36% TOTAL Sources 1,511,751,900$ 1,177,201,700$ 781,004,500$ 784,252,200$ (392,949,500)$ -33% Riverside County has specific competitive advantages over nearby coastal counties (Los Angeles, Orange and San Diego) including housing that was (and remains) more available and affordable and plentiful commercial real estate and land available for development at lower costs. Prior to the national recession, Riverside County’s economy thrived, reflecting the area’s competitive advantages over its neighboring counties, largely as a result of the County’s continuing ability to draw jobs, residents, and affordable housing away from the Los Angeles, Orange, and San Diego county areas. As a result, the County’s employment and commercial base diversified and the County’s share of the regional economy increased. During the nationwide recession, the County experienced high unemployment; reduced personal income, taxable sales, and residential building permits; a decrease in the rate of home sales and the median price of single-family residences; and high rates of notices of default on mortgage loans secured by single-family residences. The impact of the recession was amplified in the Inland Empire (i.e., Riverside and San Bernardino counties) due to its relatively greater growth and the relatively lower average income levels when compared to coastal areas. These 6 factors resulted in fluctuating Measure A and LTF sales tax revenues and TUMF fees; however, as noted on Chart 1 the sales tax revenues have stabilized following the recession. Chart 1 – Commission Sources Trend $0 $100,000,000 $200,000,000 $300,000,000 $400,000,000 $500,000,000 $600,000,000 $700,000,000 FY 11/12 FY 12/13 FY 13/14 FY 14/15 FY 15/16 Measure A Sales Tax LTF Sales Tax STA Sales Tax TUMF Federal, State, Local Revenues Transfers In Debt Proceeds While recovery from the nationwide recession in the local Inland Empire economy has lagged the nation and other areas of California, the local economy is experiencing significant improvement. Sales tax revenues have rebounded from the recent economic downturn’s low point in 2010. The Commission’s Measure A and LTF sales tax revenues for FY 2014/15 are projected to exceed their highest annual level that was reached in FY 2005/06. The Commission’s economic outlook for FY 2015/16 continues to be cautiously optimistic; however, the state and federal budget issues continue to affect funding of th e Commission’s capital projects and programs. Ongoing problems with funding of the Federal Highway Trust Fund could cause delays in receipt of federal funding. Should Measure A and LTF sales tax revenues fluctuate and the availability of federal and state revenues continue to be uncertain, the timing and scope of the Commission’s projects and programs may be impacted. While the Commission’s primary revenues are the Measure A and LTF sales taxes, other revenues and financing sources are required to fund the Commission’s programs and projects as illustrated in Chart 2. Chart 2 – Sources: Major Categories Measure A Sales Tax 21% LTF Sales Tax 11% STA Sales Tax 2% Intergovernmental 13% TUMF Revenue 2% Other Revenue 0% Investment Income 0% Transfers In 18% Debt Proceeds 33% The State Board of Equalization (SBOE) recently provided to cities and other agencies its projections that statewide taxable sales over the next fiscal year will increase 5.7%. However, given the tenuous local economy, the 7 Commission is not basing its estimate of revenues solely on the SBOE’s projection and will continue its conservative projection practices. After taking the state of the local economy and recent revenue trends into consideration, staff projects Measure A sales tax revenues of $170,000,000 for FY 2015/16. This is a 2% increase from the FY 2014/15 revised projection of $167,000,000. At midyear the Commission will reassess sales tax revenue projections based on the economy and revenue trends. On behalf of the County, the Commission administers the LTF for public transportation needs, local streets and roads, and bicycle and pedestrian facilities. The majority of LTF funding received by the County and available for allocation is distributed to all public transit operators in the County, and the Commission receives allocations for administration, planning, and programming in addition to funding for Western County rail operations included in the commuter rail Short Range Transit Plan (SRTP). The LTF sales tax revenue received from the State is budgeted at $83,000,000; an increase of 2% from the FY 2014/15 revised projection of $81,500,000. STA funds generated from the statewide sales tax on motor vehicle fuel are allocated by formula by the State Controller to the Commission for allocations to the County’s public transit operators. The STA transit allocation , which is based on recent State estimates, for FY 2015/16 is $13,372,400. Intergovernmental revenues include reimbursement revenues from federal sources of $46,890,300, state sources of $49,500,500, and local agencies of $4,455,200 for highway and rail capital projects, rail operations and station maintenance, commuter assistance, and motorist assistance programs as well as planning and programming activities. The significant decrease of 45% in FY 2015/16 compared to the FY 2014/15 revised budget is due to near completion of several projects including the Perris Valley Line and I-215 corridor improvement projects. Reimbursement revenues vary from year to year depending on project activities and funding levels. As a result of an amended Memorandum of Understanding (MOU) with the Western Riverside Council of Governments (WRCOG), the Commission will receive 48.7% of TUMF revenues (as updated by the most recent Nexus study). TUMF represents fees assessed on new residential and commercial development in Western County. FY 2015/16 TUMF fees are projected at $12,000,000 and are comparable to the FY 2014/15 revised projection of $12,000,000 and reflect the slow but encouraging signs in the housing market in the Inland Empire. Additional TUMF zone reimbursements of $53,800 are expected for the 74/215 interchange project. Other revenue of $235,000 is projected to decrease 67% from the prior year’s budget of $714,100 and is related to property management revenues from properties acquired in connection with the SR-91 Project. Investment income in FY2015/16 is anticipated to remain flat compared to the FY 2014/15 budget. Staff continues to actively manage its resources and make appropriate investments to maximize the return to the Commission without sacrificing security and affecting short-term cash requirements. Transfers in of $140,976,800 relate primarily to the transfer of available debt proceeds for highway projects; LTF funding for general administration, planning and programming, rail operations and station maintenance, and grade separation project allocations; approved interfund allocations for specific projects; and debt service requirements from highway, regional arterial, and local streets and roads projects. Debt proceeds consist of draw downs of $261,277,900 from the federal Transportation Infrastructure Finance and Innovation Act (TIFIA) loan related to the 91 Project. Total uses (Table 2), including transfers out of $140,976,800, are budgeted at $1,026,606,000, a decrease of 34% from the prior year budget amount of $1,560,710,300. Program expenditures and transfers out totaling $954,664,600 represent 93% of total budgeted uses in FY 2015/16. Program costs have decreased by 36% from $1,491,631,200 in FY 2014/15 due to significant completion of several projects identified below. 8 Table 2 – Uses FY 2014-2016 FY 13/14 FY 14/15 FY 14/15 FY 15/16 Dollar Percent Actual Revised Budget Projected Budget Change Change Capital Highway, Rail, and Regional Arterials 849,155,400$ 1,271,944,900$ 741,766,700$ 730,115,000$ (541,829,900)$ -43% Capital Local Streets and Roads 46,677,100 49,882,000 49,882,000 50,679,000 797,000 2% Commuter Assistance 3,236,900 3,455,400 3,665,400 3,846,800 391,400 11% Debt Service 120,007,300 54,696,200 54,696,200 53,919,900 (776,300) -1% Management Services 11,998,500 14,382,900 13,415,300 18,021,500 3,638,600 25% Motorist Assistance 4,753,300 5,583,800 5,338,100 6,476,900 893,100 16% Planning and Programming 2,548,100 6,380,800 4,275,200 6,614,400 233,600 4% Public and Specialized Transit 92,910,200 136,381,700 96,351,600 130,614,500 (5,767,200) -4% Rail Maintenance and Operations 11,937,500 18,002,600 14,864,800 26,318,000 8,315,400 46% TOTAL Uses 1,143,224,300$ 1,560,710,300$ 984,255,300$ 1,026,606,000$ (534,104,300)$ -34% Note: Management Services includes Executive Management, Administration, Legislative Affairs and Communications, and Finance. Capital highway, rail, and regional arterials budgeted uses of $730,115,000 are 43% lower compared to the FY 2014/15 budget due to decreased operating transfers out of debt proceeds from capital projects funds to special revenue funds to finance 2009 Measure A Western County highway projects costs and significant completion of the 60/215 East Junction high occupancy vehicle (HOV) lane connectors, SR-74 curve widening project, I-215 corridor improvement project, and Perris Valley Line project. Local streets and roads expenditures of $50,679,000 reflect an increase of 2% over the FY 2014/15 budget and represent the disbursements to local jurisdictions for the construction, repair, and maintenance of local streets and roads. Debt Service of $53,919,900 has decreased 1% and is comparable to the FY 2014/15 revised budget. Commuter Assistance budgeted expenditures of $3,846,800 are 11% higher than FY 2014/15 budget due to increased expenditures related to new program administration and management structure, rideshare enhancements, and special incentive projects. Management Services expenditures have increased 25% or $3,638,600 from the FY 2014/15 budget due to information technology equipment upgrades, preparation for toll operations, and administration support. Motorist Assistance expenditures have increased 16% or $893,100 from the FY 2014/15 budget as a result of call box hardware upgrades and increased FSP construction service. Planning and Programming budgeted expenditures of $6,614,400 reflect a 4% increase from the FY 2014/15 budget due to increased projects and operations activities in connection with LTF disbursements for planning and programming and grade separation projects. Public and Specialized Transit budgeted expenditures of $130,614,500 are 4% lower than FY 2014/15 budget due to decreased transit capital expenditures for public transit. The 46% increase in Rail Maintenance and Operation’s budgeted expenditures of $26,318,000 is primarily due to commencement of Perris Valley Line operations and additional consultant work needed to perform planning and modeling for rail projects including the Coachella Valley/San Gorgonio Pass corridor rail service. Total uses included in the FY 2015/16 budget by major categories are illustrated in Chart 3. 9 Chart 3 – Uses: Major Categories Capital Highway, Rail, and Regional Arterials 71% Capital Local Streets and Roads 5% Commuter Assistance 0% Debt Service 5% Management Services 2% Motorist Assistance 1% Planning and Programming 1% Public and Specialized Transit 13% Rail Maintenance and Operations 2% Commission Personnel The Commission’s salary and benefits total $9,499,800 for FY 2015/16. This represents an increase of $1,169,500 or 14% over the FY 2014/15 revised budget of $8,330,300 (Chart 4). The increase relates to a 2% cost of living adjustment to offset the employees’ contribution for their share of normal pension costs; a 4% pool for merit- based salary increases; an increase in the California Public Employees’ Retirement System (CalPERS) employer contribution rate and dental, vision, and workers’ compensation premiums; and an increase of three full-time equivalents (FTE) to include a new Toll Senior Staff Analyst, Toll Technology Manager, and Toll Operations Manager in preparation for toll operations that will commence in 2017. The Commission’s salary schedule for FY 2015/16 is included in Appendix B and complies with Government Code §20636 “Compensation Earnable” and California Code of Register §570.5, “Requirements for a Publicly Available Pay Schedule”. Beginning with FY 2013/14, the Commission implemented a phased approach over a three-year period requiring employees to pay their share of normal pension costs. The previous employer-paid member contribution by the Commission has been eliminated in FY 2015/16. Chart 4 – Salary and Benefits Costs: Five-Year Comparison $- $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,000 $8,000,000 $9,000,000 $10,000,000 FY 11/12 FY 12/13 FY 13/14 FY 14/15 FY 15/16 The FY 2015/16 FTE of 49 positions is higher compared to the FY 2014/15 level of 46 FTE (Table 3) as the Commission prepares for significant organization changes that include large transportation capital projects resulting in toll operations and the investment of billions of dollars requiring substantial attention at many staff levels. Management continues to be firmly committed to the intent of the Commission’s enabling legislation that 10 called for a small staff. Staff will continue to be provided the tools needed to ensure an efficient and productive work environment. However, it must be recognized that small is not viewed in an absolute context; it is relative to the required tasks to be performed and the demands to be met. Table 3 – Full-Time Equivalents by Department FY 2014—2016 FY 13/14 FY 14/15 FY 15/16 Executive Management 0.4 0.4 0.4 Administration 5.2 5.2 5.0 Legislative Affairs and Communications 2.2 2.2 2.3 Finance 7.1 7.0 7.4 Planning and Programming 5.9 5.1 5.6 Rail Maintenance and Operations 3.1 3.9 4.0 Public and Specialized Transit 2.4 2.4 2.2 Commuter Assistance 1.7 1.6 1.9 Motorist Assistance 0.9 1.2 1.0 Capital Project Development and Delivery 15.1 17.0 19.2 TOTAL 44.0 46.0 49.0 The Commission provides a comprehensive package of benefits to all permanent, salaried employees. The package includes: health, dental, vision, and life insurance, short and long-term disability, workers’ compensation, tuition assistance, sick and vacation leave, retirement benefits in the form of participation in CalPERS, postretirement health care, deferred compensation, and employee assistance program. The compensation components are shown in Chart 5. Chart 5 – Personnel Salary and Benefits Salary 64% Retirement 17% Health 12% Other Fringes 7% Department Initiatives The preparation of each department’s budget was based on key assumptions, accomplishments in FY 20 14/15, major initiatives for FY 2015/16, and department goals and related objectives. Following are the key initiatives and summary of expenditures for each department (Tables 4 through 13). Executive Management Continue project development and delivery as the key Measure A priority. Continue construction on Riverside County’s largest transportation project, the 91 Project. Complete preliminary engineering on the I-15 Express Lanes project. Advance public transit with the completion of the Perris Valley Line. 11 �� Continue planning efforts to advance passenger rail service in the Coachella Valley/San Gorgonio Pass corridor. �� Advocate for state investments in transportation and approval of a federal transportation bill to fund needed transportation priorities in the County and stimulate the local economy. �� Initiate a Riverside County Transportation Plan for use in establishing integrated transportation visions and priorities. �� Maintain regional cooperation and collaboration as a significant effort consistent with the philosophy and mission of the Commission. �� Enhance external communications with media, business and civic groups, and the community. �� Maintain an effective mid-sized transportation agency with a small and dedicated staff. Table 4  Executive Management FY 13/14 FY 14/15 FY 14/15 FY 15/16 Dollar Percent Actual Revised Budget Projected Budget Change Change Personnel 145,600$ 139,600$ 139,100$ 95,400$ (44,200)$ -32% Professional 117,100 262,500 311,300 360,000 97,500 37% Support 42,600 72,500 73,000 87,100 14,600 20% TOTAL 305,300$ 474,600$ 523,400$ 542,500$ 67,900$ 14% Administration �� Provide high quality support services to the Commission and to internal and external customers. �� Continue to enhance the electronic records management system. �� Continue to provide timely communications to Commissioners with continued emphasis on the utilization of electronic mail. �� Continue to update technology to streamline processes and provide easier access to Commission records. �� Support and develop a motivated workforce with a framework of activities and practices that comply with employment laws and regulations. Table 5  Administration FY 13/14 FY 14/15 FY 14/15 FY 15/16 Dollar Percent Actual Revised Budget Projected Budget Change Change Personnel 573,400$ 606,600$ 528,900$ 617,600$ 11,000$ 2% Professional 148,900 363,000 286,000 448,500 85,500 24% Support 599,100 749,900 741,900 746,700 (3,200) 0% Capital Outlay 19,200 585,000 435,000 175,000 (410,000) -70% Debt Service 22,900 - - - - N/A TOTAL 1,363,500$ 2,304,500$ 1,991,800$ 1,987,800$ (316,700)$ -14% Legislative Affairs and Communications �� Continue efforts to protect and seek greater state and federal investment in transportation infrastructure and goods movement. �� Develop effective partnerships with transportation providers to communicate a unified message to Congress regarding mobility needs. �� Advocate positions in the State Legislature and in Congress that advance the County s transportation interests. �� Continue a leadership role in formulating a countywide direction on federal transportation policies. �� Take a leadership role on the modernization of CEQA. �� Engage in essential legislative negotiations to stabilize and increase transportation funding. �� Seek an active role in ensuring the development of a road charge pilot program addressing the needs and concerns of Riverside County residents and businesses. �� Coordinate with Self-Help Counties Coalition on legislation that would streamline statewide tolling policy. �� Continue to develop a broad public information program regarding the Commission s responsibilities and accomplishments through a variety of media formats and presentation opportunities including expanding the use of social media and other emerging technologies. �� Continue to place an emphasis on providing proactive public communications support related to major project development efforts. �� Conduct a concerted outreach effort to new federal and state representatives on local transportation issues. 12 �� Provide new Commissioner-orientation meetings and other continuing education opportunities for Commissioners. Table 6  Legislative Affairs and Communications FY 13/14 FY 14/15 FY 14/15 FY 15/16 Dollar Percent Actual Revised Budget Projected Budget Change Change Personnel 418,800$ 510,700$ 388,300$ 600,500$ 89,800$ 18% Professional 351,900 523,200 507,000 728,200 205,000 39% Support 146,500 155,500 79,500 187,700 32,200 21% TOTAL 917,200$ 1,189,400$ 974,800$ 1,516,400$ 327,000$ 27% Finance �� Continue appropriate uses of long- and short-term financing to advance 2009 Measure A projects of the Commission and the Coachella Valley Association of Governments (CVAG). �� Apply the sales tax revenue forecast update to update a financing plan to support the Western Riverside County Delivery Plan and CVAG highway and regional arterial projects. �� Continue to keep abreast of Governmental Accounting Standards Board (GASB) technical activities affecting the Commission s accounting and financial reporting activities and implement new pronouncements. �� Continue to strengthen the ERP system to benefit all staff in the management of accounting and project information and automation of a paperless workflow system. �� Manage a centralized procurements process in order to strengthen controls and ensure consistency in the application of procurement policies and procedures and adherence to applicable laws and regulations. �� Conduct outreach activities to encourage disadvantaged business enterprise (DBE) and small business enterprise (SBE) participation in various contracts. Table 7  Finance FY 13/14 FY 14/15 FY 14/15 FY 15/16 Dollar Percent Actual Revised Budget Projected Budget Change Change Personnel 887,300$ 921,400$ 926,300$ 1,077,900$ 156,500$ 17% Professional 2,950,100 3,343,500 3,019,000 2,648,300 (695,200) -21% Support 598,000 1,076,800 955,000 1,190,700 113,900 11% Capital Outlay - 25,000 25,000 50,000 25,000 100% Transfers Out 5,000,000 5,047,700 5,000,000 9,007,900 3,960,200 78% TOTAL 9,435,400$ 10,414,400$ 9,925,300$ 13,974,800$ 3,560,400$ 34% Planning and Programming �� Monitor funding authority and responsibility related to the State Transportation Improvement Program (STIP) and impacts on the STIP caused by the state budget issues. �� Ensure STIP and Proposition 1B funded projects are administered and implemented consistent with Californi a Transportation Commission (CTC) and California Department of Transportation (Caltrans) policies. �� Continue to strategically program projects and obligate funds in an expeditious manner for the maximum use of all available funding, including monitoring the use of such funding to prevent funds from lapsing. �� Focus on interregional concerns and maintain effective working relationships involving various multi-county transportation issues, including goods movement. �� Coordinate planning efforts with regional and local agencies relating to the development of regional transportation plans (RTP) and green house gas reduction implementation guidelines. �� Secure funding through the federal transportation bill for goods movement-related needs. �� Monitor and track the TUMF regional arterial projects. �� Work cooperatively with member agencies to continue the work efforts on the new Community Environmental Transportation Acceptability Process (CETAP) corridors. �� Continue the Congestion Management Program (CMP) update and traffic monitoring along urban and rural highway systems. �� Participate in the development of the Active Transportation Program (ATP) guidelines to represent the County s best interest in program funding. �� Administer the SB821 Bicycle and Pedestrian Facilities Program (SB821). 13 �� Monitor the Port of Los Angeles and Port of Long Beach s (Ports) projects for impacts on Riverside County. Table 8  Planning and Programming FY 13/14 FY 14/15 FY 14/15 FY 15/16 Dollar Percent Actual Revised Budget Projected Budget Change Change Personnel 864,400$ 983,700$ 922,400$ 1,114,100$ 130,400$ 13% Professional 258,700 354,000 275,000 168,000 (186,000) -53% Support 16,600 20,600 17,100 23,300 2,700 13% Projects and Operations 1,408,400 4,522,500 2,860,700 5,259,000 736,500 16% Transfers Out - 500,000 200,000 50,000 (450,000) -90% TOTAL 2,548,100$ 6,380,800$ 4,275,200$ 6,614,400$ 233,600$ 4% Rail Maintenance and Operations �� As a member of the Southern California Regional Rail Authority (SCRRA), continue active participation in the governance and operations of the Metrolink commuter rail system. �� Continue the planning and implementation of capital improvements at the commuter rail stations in Riverside County, including the Perris Valley Line, security and rehabilitation projects, and parking requirements. �� Continue to support activities related to the Perris Valley Line project and evaluate its operational impact. �� Establish best approach to build, maintain, and operate cost effective and environmentally sustainable facilities that meet the public s transportation needs. �� Lead the service development process and actively coordinate with all stakeholders along the Coachella Valley/San Gorgonio Pass corridor for intercity passenger rail service. Table 9  Rail Maintenance and Operations FY 13/14 FY 14/15 FY 14/15 FY 15/16 Dollar Percent Actual Revised Budget Projected Budget Change Change Personnel 500,900$ 662,500$ 783,800$ 760,600$ 98,100$ 15% Professional 243,000 1,230,400 1,061,800 1,770,000 539,600 44% Support 1,080,700 1,910,000 1,202,600 3,012,600 1,102,600 58% Projects and Operations 10,099,800 14,064,700 11,809,800 20,706,300 6,641,600 47% Capital Outlay 13,100 135,000 6,800 68,500 (66,500) -49% TOTAL 11,937,500$ 18,002,600$ 14,864,800$ 26,318,000$ 8,315,400$ 46% Public and Specialized Transit �� Support innovative programs that provide transit assistance in hard to serve rural areas or for riders having very special transit needs and monitor funding of these programs. �� Complete the first year of specialized transit funding allocations related to the 2015 universal call for projects and continue to monitor performance. �� Continue long-range planning activities to ensure that anticipated revenues are in line with projected levels of service by transit operators. �� Continue public transit operator oversight and fiduciary responsibilities to ensure that annual fiscal audits and state triennial performance audits are conducted in accordance with TDA regulations. �� Provide availability for local matching funds to Western County applicants seeking Federal Transit Administration (FTA) Section 5310 federal capital grants. �� Coordinate with operators on major capital purchases and investments into new rolling stock and other system improvements in order to maintain a viable on-hand reserve. �� Coordinate with transit operators to provide connecting bus service to the Perris Valley Line stations. 14 Table 10 – Public and Specialized Transit FY 13/14 FY 14/15 FY 14/15 FY 15/16 Dollar Percent Actual Revised Budget Projected Budget Change Change Personnel 349,900$ 381,400$ 310,400$ 353,600$ (27,800)$ -7% Professional 196,000 192,000 176,000 259,000 67,000 35% Support 12,000 22,500 14,700 30,100 7,600 34% Projects and Operations 79,899,400 118,712,800 79,064,000 99,892,400 (18,820,400) -16% Transfers Out 12,452,900 17,073,000 16,786,500 30,079,400 13,006,400 76% TOTAL 92,910,200$ 136,381,700$ 96,351,600$ 130,614,500$ (5,767,200)$ -4% Commuter Assistance  Improve the suite of services and outreach to rideshare participants and employer partners, including personalized information and electronic access and distribution.  Maintain and grow employer partnerships through value-added services and tools for ridesharing programs.   Maintain long-term partnership with San Bernardino Associated Governments (SANBAG) to manage and implement a “sister” Commuter Assistance program for residents and employers in San Bernardino County.  Optimize park and ride facilities to support car/vanpool/buspool arrangements and facilitate transit connections.  Restructure program administration and management while maintaining existing rideshare coverage and service. Table 11 – Commuter Assistance FY 13/14 FY 14/15 FY 14/15 FY 15/16 Dollar Percent Actual Revised Budget Projected Budget Change Change Personnel 286,200$ 270,900$ 319,300$ 341,000$ 70,100$ 26% Professional 601,400 343,000 403,800 419,000 76,000 22% Support 220,400 344,300 385,900 209,300 (135,000) -39% Projects and Operations 2,028,100 2,332,700 2,391,900 2,718,000 385,300 17% Capital Outlay - 5,000 5,000 - (5,000) -100% Transfers Out 100,800 159,500 159,500 159,500 - 0% TOTAL 3,236,900$ 3,455,400$ 3,665,400$ 3,846,800$ 391,400$ 11% Motorist Assistance  Assess opportunities for efficiency related to the call box program operations.  Maintain a high benefit-to-cost ratio related to the performance of the FSP program.  Operate and maintain the IE511 system in accordance with national 511 implementation standards in partnership with SANBAG.  Implement a seamless service transition to call box hardware upgrades in anticipation of cellular technology migrations.  Utilize the opportunity to enhance coordination between California Highway Patrol (CHP) and Caltrans on traveler information. 15 Table 12 – Motorist Assistance FY 13/14 FY 14/15 FY 14/15 FY 15/16 Dollar Percent Actual Revised Budget Projected Budget Change Change Personnel 114,600$ 201,200$ 170,500$ 168,700$ (32,500)$ -16% Professional 525,600 721,400 727,400 739,900 18,500 3% Support 299,200 462,900 435,100 930,100 467,200 101% Projects and Operations 2,559,000 3,296,600 3,103,400 3,652,500 355,900 11% Transfers Out 1,254,900 901,700 901,700 985,700 84,000 9% TOTAL 4,753,300$ 5,583,800$ 5,338,100$ 6,476,900$ 893,100$ 16% Capital Project Development and Delivery  Continue construction activities on remaining 1989 Measure A projects including the SR-91 HOV lanes/Adams Street to 60/91/215 interchange.  Continue project activities on the I-215 bi-county highway and Perris Valley Line rail projects, which were included in both the 1989 Measure A and 2009 Measure A programs.  Continue project work on the Western Riverside County Delivery Plan projects, including the 91/71 connectors; the 91 Project I-215 corridor improvement project; I-15 Express Lanes project; SR-60 truck climbing lanes; SR-79 realignment; and Mid County Parkway.  Complete construction biological mitigation monitoring and weed abatement on the 60/215 East Junction HOV lane connectors and right of way support for the SR-74 curve widening projects.  Provide Western County Measure A regional arterial TUMF funding and support to local jurisdictions for regional arterial project engineering, right of way acquisition, and construction.  Provide 2009 Measure A funding to the incorporated cities, CVAG, and the County for local streets and roads maintenance, repair, and construction.  Provide funding and support of 2009 Measure A highway and regional arterial projects.  Develop strategies to implement alternative financing structures including public toll roads.  Maintain a right of way acquisition and management program in support of capital projects.  Manage right of way acquisition in the most cost effective manner and within project schedules, while adhering to federal and state regulations.  Maintain and manage the access, use, safety, and security of Commission-owned properties including commuter rail stations, properties in acquisition process, and income-generating properties. Table 13 – Capital Project Development and Delivery FY 13/14 FY 14/15 FY 14/15 FY 15/16 Dollar Percent Actual Revised Budget Projected Budget Change Change Personnel 2,736,300$ 3,652,300$ 3,782,200$ 4,370,400$ 718,100$ 20% Professional 7,470,700 8,478,100 5,739,300 8,760,100 282,000 3% Support 290,400 1,052,400 366,800 587,600 (464,800) -44% Projects and Operations 422,123,000 802,564,900 550,073,000 662,881,600 (139,683,300) -17% Capital Outlay 33,000 3,100,000 700,000 3,500,000 400,000 13% Debt Service 119,984,400 54,696,200 54,696,200 53,919,900 (776,300) -1% Transfers Out 463,179,100 502,979,200 230,987,400 100,694,300 (402,284,900) -80% TOTAL 1,015,816,900$ 1,376,523,100$ 846,344,900$ 834,713,900$ (541,809,200)$ -39% Fund Balances The total fund balance as of June 30, 2015 is projected at $828,225,600. The Commission’s budgeted activities for FY 2015/16 are expected to result in a $242,353,800 decrease of total fund balance at June 30, 2016 to $585,871,800. The primary cause of the decrease is related to the project activities in FY 2015/16 related to the 91 Project, I-215 corridor improvement project, Mid County Parkway, and the Perris Valley Line project. Table 14 presents the components of fund balance by governmental fund type and program at June 30, 2016. 16 Table 14 – Projected Fund Balances by Governmental Fund Type and Program at June 30, 2016 Debt Service Fund $89,778,500 Management Services $1,765,300 Measure A Western County:Highways 118,153,800$ Planning and Programming 1,920,100 Bond Financing $8,684,700 Rail Maintenance and Operations 5,684,000 Commuter Assistance 14,493,400 Economic Development 3,429,700 Highways 14,704,200 Local Streets and Roads 600 New Corridors 56,701,300 Public and Specialized Transit 7,796,000 Rail 47,364,200 Regional Arterials 9,853,400 Measure A Coachella Valley: Highways and Regional Arterial 18,471,500 Local Streets and Roads 1,200 Specialized Transit 1,949,300 Measure A Palo Verde Valley Local Streets and Roads 600 Agency Fund 40,100 Coachella Valley/San Gorgonio Pass 1,822,900 Motorist Assistance 6,828,200 State Transit Assistance 55,930,000 Local Transportation Fund 104,544,000 TUMF: CETAP 6,051,900 Regional Arterials 9,902,900 General Fund $9,369,400 Special Revenue Funds $368,570,100 Riverside County Transportation Commission $585,871,800 Capital Projects Funds $118,153,800 Budget Summary The overall budget for FY 2015/16 is presented in Table 15 by summarized line items, Table 16 by operating and capital classifications, and Table 17 by governmental fund type. Highway, rail, and regional arterial program expenditures by project are summarized in Table 18. 17 Table 15 – Budget Comparative by Summarized Line Item FY 2014—2016 FY 13/14 FY 14/15 FY 14/15 FY 15/16 Dollar Percent Actual Revised Budget Projected Budget Change Change Revenues Measure A Sales Tax 156,355,800$ 167,000,000$ 167,000,000$ 170,000,000$ 3,000,000$ 2% LTF Sales Tax 77,544,200 81,500,000 81,500,000 83,000,000 1,500,000 2% STA Sales Tax 14,409,400 12,944,700 12,944,700 13,372,400 427,700 3% Federal Reimbursements 38,313,400 83,351,400 67,665,500 46,890,300 (36,461,100) -44% State Reimbursements 82,797,200 92,503,000 60,063,500 49,500,500 (43,002,500) -46% Local Reimbursements 1,376,100 6,321,900 5,334,800 4,455,200 (1,866,700) -30% TUMF Revenue 11,284,400 12,154,600 12,042,700 12,053,800 (100,800) -1% Other Revenue 1,282,500 714,100 221,200 235,000 (479,100) -67% Investment Income 9,979,900 2,450,900 4,138,000 2,490,300 39,400 2% TOTAL Revenues 393,342,900 458,940,600 410,910,400 381,997,500 (76,943,100) -17% Expenditures Personnel Salaries and Benefits 6,877,400 8,330,300 8,271,200 9,499,800 1,169,500 14% Professional and Support Professional Services 12,863,400 15,811,100 12,506,600 16,301,000 489,900 3% Support Costs 3,305,500 5,867,400 4,271,600 7,005,200 1,137,800 19% TOTAL Professional and Support Costs 16,168,900 21,678,500 16,778,200 23,306,200 1,627,700 8% Projects and Operations Program Operations - General 15,441,600 21,754,300 17,268,300 20,548,300 (1,206,000) -6% Engineering 12,804,000 17,909,000 10,203,700 18,094,900 185,900 1% Construction 90,668,700 242,335,200 159,061,000 151,012,600 (91,322,600) -38% Design Build 157,564,700 255,303,500 227,943,000 284,681,200 29,377,700 12% Right of Way/Land 91,297,400 186,945,900 65,715,300 105,212,400 (81,733,500) -44% Operating and Capital Disbursements 89,644,300 139,744,300 96,124,700 132,437,400 (7,306,900) -5% Special Studies 117,200 1,220,000 707,000 1,844,000 624,000 51% Local Streets and Roads 46,677,100 49,882,000 49,882,000 50,679,000 797,000 2% Regional Arterials 13,902,700 30,400,000 22,397,800 30,600,000 200,000 1% TOTAL Projects and Operations 518,117,700 945,494,200 649,302,800 795,109,800 (150,384,400) -16% Debt Service Principal Payments 67,112,900 7,400,000 7,400,000 7,800,000 400,000 5% Interest Payments 43,410,200 47,296,200 47,296,200 46,119,900 (1,176,300) -2% Cost of Issuance 7,050,900 - - - - N/A TOTAL Debt Service 117,574,000 54,696,200 54,696,200 53,919,900 (776,300) -1% Capital Outlay 65,300 3,850,000 1,171,800 3,793,500 (56,500) -1% TOTAL Expenditures 658,803,300 1,034,049,200 730,220,200 885,629,200 (148,420,000) -14% Excess (deficiency) of Revenues over (under) Expenditures (265,460,400) (575,108,600) (319,309,800) (503,631,700) 71,476,900 -12% Other Financing Sources (Uses) Transfers In 481,987,700 526,661,100 254,035,100 140,976,800 (385,684,300) -73% Transfers Out (481,987,700) (526,661,100) (254,035,100) (140,976,800) 385,684,300 -73% Debt Proceeds 638,854,600 - - - - N/A TIFIA Loan Proceeds - 191,600,000 116,059,000 261,277,900 69,677,900 36% Bond Premium 38,328,800 - - - - N/A Bond Discount (2,433,300) - - - - N/A Net Financing Sources (Uses)674,750,100 191,600,000 116,059,000 261,277,900 69,677,900 36% Excess (deficiency) of Revenues over (under) Expenditures and Other Financing Sources (Uses)409,289,700 (383,508,600) (203,250,800) (242,353,800) 141,154,800 -37% Beginning Fund Balance 622,186,700 1,031,476,400 1,031,476,400 828,225,600 (203,250,800) -20% ENDING FUND BALANCE 1,031,476,400$ 647,967,800$ 828,225,600$ 585,871,800$ (62,096,000)$ -10% 18 Table 16 – Operating and Capital Budget FY 2015/16 FY 15/16 FY 15/16 FY 15/16 Operating Budget Capital Budget TOTAL Budget Revenues Measure A Sales Tax 15,901,000$ 154,099,000$ 170,000,000$ LTF Sales Tax 83,000,000 - 83,000,000 STA Sales Tax 13,372,400 - 13,372,400 Federal Reimbursements 4,382,500 42,507,800 46,890,300 State Reimbursements 4,583,200 44,917,300 49,500,500 Local Reimbursements 3,595,800 859,400 4,455,200 TUMF Revenue - 12,053,800 12,053,800 Other Revenue - 235,000 235,000 Investment Income 505,500 1,984,800 2,490,300 TOTAL Revenues 125,340,400 256,657,100 381,997,500 Expenditures Personnel Salaries and Benefits 5,119,700 4,380,100 9,499,800 Professional and Support Professional Services 8,611,100 7,689,900 16,301,000 Support Costs 3,834,900 3,170,300 7,005,200 TOTAL Professional and Support Costs 12,446,000 10,860,200 23,306,200 Projects and Operations Program Operations - General 9,076,800 11,471,500 20,548,300 Engineering 250,000 17,844,900 18,094,900 Construction 1,700,000 149,312,600 151,012,600 Design Build - 284,681,200 284,681,200 Right of Way and Land - 105,212,400 105,212,400 Operating and Capital Disbursements 119,437,400 13,000,000 132,437,400 Special Studies 1,764,000 80,000 1,844,000 Local Streets and Roads - 50,679,000 50,679,000 Regional Arterials - 30,600,000 30,600,000 TOTAL Projects and Operations 132,228,200 662,881,600 795,109,800 Debt Service Principal Payments - 7,800,000 7,800,000 Interest Payments - 46,119,900 46,119,900 Cost of Issuance - - - TOTAL Debt Service - 53,919,900 53,919,900 Capital Outlay 293,500 3,500,000 3,793,500 TOTAL Expenditures 150,087,400 735,541,800 885,629,200 Excess (deficiency) of Revenues over (under) Expenditures (24,747,000) (478,884,700) (503,631,700) Other Financing Sources (Uses) Transfers In 32,004,900 108,971,900 140,976,800 Transfers Out (31,282,500) (109,694,300) (140,976,800) TIFIA Loan Proceeds - 261,277,900 261,277,900 Net Financing Sources (Uses)722,400 260,555,500 261,277,900 Excess (deficiency) of Revenues over (under) Expenditures and Other Financing Sources (Uses)(24,024,600) (218,329,200) (242,353,800) Beginning Fund Balance 226,717,700 601,507,900 828,225,600 ENDING FUND BALANCE 202,693,100$ 383,178,700$ 585,871,800$ 19 Table 17 – Budget by Governmental Fund Type FY 2015/16 FY 15/16 General Fund Special Revenue Capital Projects Debt Service TOTAL Budget Revenues Measure A Sales Tax 3,000,000$ 167,000,000$ -$ -$ 170,000,000$ LTF Sales Tax - 83,000,000 - - 83,000,000 STA Sales Tax - 13,372,400 - - 13,372,400 Federal Reimbursements 4,000,000 40,123,300 - 2,767,000 46,890,300 State Reimbursements 841,200 48,659,300 - - 49,500,500 Local Reimbursements 875,000 3,580,200 - - 4,455,200 TUMF Revenue - 12,053,800 - - 12,053,800 Other Revenue - 235,000 - - 235,000 Investment Income 23,400 919,100 879,500 668,300 2,490,300 TOTAL Revenues 8,739,600 368,943,100 879,500 3,435,300 381,997,500 Expenditures Personnel Salaries and Benefits 4,433,200 5,066,600 - - 9,499,800 Professional and Support Professional Services 3,569,000 12,732,000 - - 16,301,000 Support Costs 5,248,100 1,757,100 - - 7,005,200 TOTAL Professional and Support Costs 8,817,100 14,489,100 - - 23,306,200 Projects and Operations Program Operations - General 2,696,300 17,852,000 - - 20,548,300 Engineering - 18,094,900 - - 18,094,900 Construction 500,000 150,512,600 - - 151,012,600 Design Build - 284,681,200 - - 284,681,200 Right of Way/Land - 105,212,400 - - 105,212,400 Operating and Capital Disbursements 19,545,000 112,892,400 - - 132,437,400 Special Studies 1,764,000 80,000 - - 1,844,000 Local Streets and Roads - 50,679,000 - - 50,679,000 Regional Arterials - 30,600,000 - - 30,600,000 TOTAL Projects and Operations 24,505,300 770,604,500 - - 795,109,800 Debt Service Principal Payments - - - 7,800,000 7,800,000 Interest Payments - - - 46,119,900 46,119,900 TOTAL Debt Service - - - 53,919,900 53,919,900 Capital Outlay 293,500 3,500,000 - - 3,793,500 TOTAL Expenditures 38,049,100 793,660,200 - 53,919,900 885,629,200 Excess (deficiency) of Revenues over (under) Expenditures (29,309,500) (424,717,100) 879,500 (50,484,600) (503,631,700) Other Financing Sources (Uses) Transfers In 31,244,300 54,504,100 27,776,600 27,451,800 140,976,800 Transfers Out (57,900) (94,441,900) (46,477,000) - (140,976,800) TIFIA Loan Proceeds - 261,277,900 - - 261,277,900 Net Financing Sources (Uses)31,186,400 221,340,100 (18,700,400) 27,451,800 261,277,900 Excess (deficiency) of Revenues over (under) Expenditures and Other Financing Sources (Uses)1,876,900 (203,377,000) (17,820,900) (23,032,800) (242,353,800) Beginning Fund Balance 7,492,500 571,947,100 135,974,700 112,811,300 828,225,600 ENDING FUND BALANCE 9,369,400$ 368,570,100$ 118,153,800$ 89,778,500$ 585,871,800$ 20 Table 18 – Highway, Regional Arterial, and Rail Programs FY 2015/16 Description Projects and operations Bechtel program management 8,706,600$ SCRRA program management 3,350,000 Other 8,491,700 TOTAL PROJECTS-GENERAL 20,548,300$ Highway engineering 91/71 interchange improvement 125,000$ I-15 Express Lanes 2,900,000 Mid County Parkway 12,000,000 SR-91 HOV lanes/Adams Street to 60/91/215 interchange 35,000 Riverside County - Santa Ana River Trail 90,000 SUBTOTAL HIGHWAY ENGINEERING 15,150,000 Regional arterial engineering Various Western County TUMF regional arterial projects, including SR-79 widening/Thompson to Domenigoni 2,407,400 Rail engineering Riverside and Pedley station improvements 27,500 La Sierra station improvements 105,000 Perris Valley Line and other rail projects 155,000 Other - Coachella Valley/San Gorgonio Pass corridor (details presented in Section 6.2 Rail)250,000 SUBTOTAL RAIL ENGINEERING 537,500 TOTAL HIGHWAY, REGIONAL ARTERIAL, AND RAIL ENGINEERING 18,094,900$ Highway construction 60/215 East Junction HOV lane connectors 15,000$ 74/215 interchange 70,000 I-215 corridor improvements (central segment)/Scott Road to Nuevo Road 12,100,000 91 Project 12,775,800 SR-91 HOV lanes/Adams Street to 60/91/215 interchange 832,900 Riverside quiet zones 5,773,200 Riverside County - Santa Ana River Trail 250,000 General (details presented in Section 6.3 Planning and Programming)500,000 SUBTOTAL HIGHWAY CONSTRUCTION 32,316,900 Regional arterial construction Various Western County TUMF regional arterial projects, including SR-79 widening/Thompson to Domenigoni 10,683,300 Various Western County Measure A regional arterial projects 46,582,000 SUBTOTAL REGIONAL ARTERIAL CONSTRUCTION 57,265,300 Rail construction Riverside and Pedley station improvements 1,503,000 La Sierra station improvements 2,690,000 Station rehabilitation 3,250,000 Station Security 300,000 Perris Valley Line and other rail projects 52,487,400 Other - Coachella Valley/San Gorgonio Pass corridor (details presented in Section 6.2 Rail)1,200,000 SUBTOTAL RAIL CONSTRUCTION 61,430,400 TOTAL HIGHWAY, REGIONAL ARTERIAL, AND RAIL CONSTRUCTION 151,012,600$ Highway design build 91 Project 274,681,200$ I-15 Express Lanes 10,000,000 TOTAL HIGHWAY DESIGN BUILD 284,681,200$ Highway right of way and land SR-60 truck climbing lanes 1,044,000$ 60/215 East Junction HOV lane connectors 10,000 I-215 corridor improvements (central segment)/Scott Road to Nuevo Road 225,000 Mid County Parkway 18,200,000 SR-74 curve widening 392,000 I-15 Express Lanes 10,000 SR-74/I-15 to 7th Street 550,000 91/71 interchange improvement 2,795,000 91 Project 70,985,600 SR-91 HOV lanes/Adams Street to 60/91/215 interchange 2,369,000 MSHCP land acquisition in Western County 3,000,000 Grade separation projects 1,657,000 Riverside County - Santa Ana River Trail 100,000 General 45,200 SUBTOTAL HIGHWAY RIGHT OF WAY AND LAND 101,382,800 Regional arterial right of way and land Various Western County TUMF regional arterial projects, including SR-79 widening/Thompson to Domenigoni 2,286,600 Rail right of way and land Perris Valley Line and other rail projects 1,333,000 La Sierra station improvements 10,000 General 200,000 SUBTOTAL RAIL RIGHT OF WAY AND LAND 1,543,000 TOTAL HIGHWAY, REGIONAL ARTERIAL, AND RAIL RIGHT OF WAY AND LAND 105,212,400$ GRAND TOTAL HIGHWAY, REGIONAL ARTERIAL, AND RAIL PROGRAMS 579,549,400$ 21 AGENDA ITEM 9 RIVERSIDE COUNTY TRANSPORTATION COMMISSION DATE: April 27, 2015 TO: Budget and Implementation Committee FROM: Aaron Hake, Government Relations Manager THROUGH: John Standiford, Deputy Executive Director SUBJECT: Agreement with HDR Engineering, Inc. for Strategic Assessment STAFF RECOMMENDATION: This item is for the Committee to: 1)Award Agreement No. 15-65-051-00 to HDR Engineering, Inc. (HDR) for the development of a strategic assessment for a nine-month period for an amount not to exceed that is under negotiation and will be presented at the Commission meeting; 2)Authorize the Chair or Executive Director, pursuant to legal counsel review, to execute the agreement on behalf of the Commission; and 3)Forward to the Commission for final action. BACKGROUND INFORMATION: Purpose of Strategic Assessment The Commission is at a defining moment: it has been successfully accomplishing its mission of delivering transportation projects that are measurably improving the quality of life of the people of Riverside County (County). As several Commissioners noted at the January 2015 Commission Workshop, the Commission’s mantra has been “Promises Made, Promises Kept” with the voters of the County. Several members of the public are aware of the progress being made on the County’s infrastructure by way of the many highways under construction. Much of this concentrated construction activity is due to the forward-thinking of the Commission when it adopted the Measure A 10-Year Western Riverside County Highway Delivery Plan in 2006, which prioritized several major projects such as State Route 91, Interstates 15 and 215 to “front-load” the renewed Measure A sales tax. As these projects come to fruition, it is clear that much work still remains to be done to bring the County’s infrastructure up to par to facilitate the economic and quality of life vision the public expects. Yet, Measure A’s ability to maintain the current level of progress is restricted over the long-term while state and federal funding streams are uncertain at best. The County is continuing to grow in terms of population and employment as it recovers from an economic recession that hit the Inland Empire region harder than the rest of the state. New state and federal environmental policies are in place. The Commission will be operating tolled express Agenda Item 9 22 lanes in less than two years, becoming a business enterprise with customers. Generational shifts within the workforce (Baby Boomers retiring and Millennials hiring) raise legitimate questions as to whether there will be changes in travel behavior and housing preferences. Technology continues to disrupt the transportation sector with mobile applications being used to get from point A to point B and the prospect of autonomous vehicles on the horizon. In short, now is an important time to take stock of the infrastructure policies, plans, and funding streams and analyze where the County is headed demographically, economically, and environmentally. Such an analysis allows the Commission to assess whether the status quo is appropriate to address the County’s current and future transportation infrastructure needs, as measured by the Commission’s guiding principles developed at the 2015 Workshop: • Together, the Commission is imagining and implementing an efficient transportation system for the good of all in the County. • The Commission is the people the Commission serves. Economic prosperity and quality of life is enhanced with proper transportation. The public trust is vital to the Commission’s mission. • The Commission operates in a dynamic environment. The Commission will remain flexible in order to respond to change and opportunity. The Commission will focus on projects and allocate funds that support the quality of life in the County. The Commission collaborates in partnerships to maximize the Commission’s ability to get people where they want to go and when they want to get there. • The Commission’s priority is to serve the public need. The Commission will invest in a transportation system that moves community members, visitors, and goods. This system will support the Commission’s economy and the Commission’s future prosperity and is vital to attract and retain quality jobs to the Commission’s region. • The Commission is dedicated to environmental stewardship. The Commission will use existing regional and countywide plans, such as the Riverside County Integrated Plan, as a framework for our decisions. The Commission knows that goods moving to, within, and through the County are vital to the Commission’s economy; however the Commission desires and will work toward a future where there is a balance between goods movement and the Commission’s quality of life. Thus, staff proposes to conduct a high-level strategic assessment to prepare the Commission for several significant upcoming decision-making processes, including but not limited to: • 2016 and 2020 Southern California Association of Governments (SCAG) Regional Transportation Plan (RTP)/Sustainable Communities Strategy (SCS); • 2019 Measure A Expenditure Plan review, as required by the 2002 Measure A ordinance; • Implementation of tolling programs on SR-91 and I-15; and • Development of a long-range Countywide Transportation Plan. Agenda Item 9 23 These processes are additional to critical decisions with which the Commission will need to grapple regarding important projects mentioned at the 2015 Commission Workshop that are still in development yet lack sufficient funding, including but not limited to: • SR-79 • Mid County Parkway • Rail to Coachella Valley • Rail to San Jacinto Valley • Alternate East-West Corridors Several other counties in California have recently undertaken similar analyses. Transportation agencies throughout the state, particularly in self-help counties with a voter-approved half-cent sales tax for transportation projects, are undertaking serious introspection at to what is realistic in light of declining revenue, increasing public expectations, demographic and policy shifts, and deteriorating infrastructure. Staff researched extensively other counties’ approaches to assessing needs and public priorities and then crafted the scope of work in its request for proposals (RFP) for the strategic assessment based on those experiences yet tailored to the County’s unique needs. Overview of Strategic Assessment Process The strategic assessment will analyze planning and financial data to best match public priorities with economic and demographic realities. The assessment will begin with a data-driven inventory of existing funding streams, government policies at all levels, and recent planning studies in the County. The assessment will then look at forecasts for County growth and identify potential funding and policy gaps that could emerge as a result. A strategic outreach process will gather public input on long-term transportation priorities throughout the County. This process will involve a variety of tactics and methodologies including in-person public meetings, online tools, and traditional phone surveys. The assessment will also take into consideration transportation plans and priorities of stakeholders within the County, including local governments, private sector groups, and social service providers. All of this external input will be measured against what the data-driven analysis says about the County’s future, providing a clearer picture to the Commission of where there may be gaps going forward. It is staff’s strong desire to see this effort culminate in a set of findings and strategic recommendations that become a useful tool for Commissioners to address regional transportation and quality of life issues. The proposed agreement establishes a timeline that would result in a final strategic assessment being delivered to the Commission at its 2016 Commission Workshop. At the 2016 Workshop, the Commission will have an opportunity to have an in-depth dialogue about the realities conveyed by the strategic assessment and actionable steps to move forward. This will be a natural building block from the visioning discussion that took place at it 2015 Commission Workshop. Agenda Item 9 24 Throughout the next eight months, staff recommends the Quality of Life and Sustainability Ad Hoc Committee serve as the venue for Commissioners to monitor and provide input to staff and consultants regarding the progress of the strategic assessment. Commissioner input will be critical to ensuring that the most effective approaches are utilized in this multi-faceted analysis and outreach. A visual representation of the overall structure of the strategic assessment process and future applications is as follows: Agenda Item 9 25 Procurement Process This procurement was conducted in accordance with established Commission procurement policies and procedures. Staff determined the weighted factor method of source selection to be the most appropriate for this procurement, as it allows the Commission to identify the most advantageous proposal with price and other factors considered. Non-price factors include elements such as qualifications of firm and personnel and project approach and understanding for the development of a strategic assessment as set forth under the terms of RFP No. 15-65-051-00. RFP No. 15-65-051-00 for the development of a strategic assessment was released on January 30, 2015. A public notice was advertised in the Press Enterprise, and the RFP was posted on the Commission’s PlanetBids website, which is accessible through the Commission’s website. Utilizing PlanetBids, emails were sent to 336 firms, 52 of which are located in Riverside County. Through the PlanetBids site, 111 firms downloaded the RFP, and 24 of these firms are located in Riverside County. A pre-bid conference was held on February 17, 2015, and attended by 7 firms, of which two firms are local to Riverside County. Staff responded to all questions submitted by potential proposers prior to the February 19 clarification deadline date. Three firms – Cambridge Systematics, Inc. (Los Angeles); HDR (Riverside); and VRPA Technologies, Inc. (Fresno) – submitted responsive proposals prior to the 2:00 p.m. submittal deadline on March 12. Utilizing the evaluation criteria set forth in the RFP, all firms were evaluated and scored by an evaluation committee comprised of four Commission staff members and one member from the San Bernardino Associated Governments. Based on the evaluation committee’s assessment of the written proposals and pursuant to the terms of the RFP, the evaluation committee short listed and invited two firms to the interview phase of the evaluation and selection process. Interviews of the short listed firms – HDR and VRPA Technologies, Inc. – were conducted on April 3, 2015. As a result of the completion of the evaluation process, the evaluation committee recommends contract award to HDR to perform a strategic assessment for a nine-month term, as this firm earned the highest total evaluation score. Staff commenced negotiations with HDR regarding a cost that is consistent with similar projects in other California counties, within the Commission’s budget, and is competitive with the other two proposals received. Negotiations will conclude shortly and details will be disclosed on the agenda for the Commission meeting on May 13, presuming the Committee moves this item forward. The Commission’s standard form professional services agreement will be entered into with HDR, subject to any changes approved by the Executive Director and pursuant to legal counsel review. HDR’s Southern California office locations include the cities of Claremont, Irvine, Long Beach, Los Angeles, Pasadena, Riverside, and San Diego, and it teamed with other firms including Creative Infrastructure Solutions, Moore Methods, Parsons Brinckerhoff, AMMA Transit Agenda Item 9 26 Planning, Katherine Padilla & Associates, Fehr & Peers, and System Metrics Group. HDR understands the transportation issues throughout the County and has significant Southern California experience in transportation planning, travel demand forecasting, transit planning, traffic engineering, goods movement and combining aspects of alternatives analysis and long- range planning with practical considerations of project funding and implementation of context- sensitive design. It is important to note that several of the firms on the HDR team have previously provided professional services for the Commission, Western Riverside Council of Governments, Western Riverside County Regional Conservation Agency , and Coachella Valley Association of Governments, among other local agencies, providing a great deal of familiarity with the County's transportation dynamics. This familiarity allows for HDR to meet an aggressive schedule and minimizes costs of conducting new research. Finally, HDR's proposed approach demonstrates a strategic thinking process at each stage of the project that recognizes the need for this effort to be understandable and useful for the general public, Commissioners, as well as transportation professionals. Conclusion Staff is confident HDR will provide the Commission with quality service at a fair price. The strategic assessment will result in a data-driven foundation for critical decision-making in the near future. Staff recommends the award of Agreement No. 15-65-051-00 to HDR to conduct a strategic assessment of the Commission and the overall transportation landscape of the County through the year 2039 for a total not to exceed amount over a nine-month period that will be presented at its May Commission meeting. Financial Information In Fiscal Year Budget: Yes Yes Year: FY 2014/15 FY 2015/16 Amount: To be determined Source of Funds: Local Transportation Funds (planning) Budget Adjustment: No No GL/Project Accounting No.: 002315 81501 106 65 81501 Fiscal Procedures Approved: Date: 04/16/2015 Attachment: HDR Agreement No. 15-65-051-00 Agenda Item 9 27 Agreement No. 15-65-051-00 RIVERSIDE COUNTY TRANSPORTATION COMMISSION AGREEMENT FOR STRATEGIC ASSESSMENT WITH HDR ENGINEERING INC 1. PARTIES AND DATE. This Agreement is made and entered into this _ day of , 2015, by and between the RIVERSIDE COUNTY TRANSPORTATION COMMISSION ("the Commission") and HDR ENGINEERING, INC. ("Consultant"), a Nebraska corporation. 2. RECITALS. 2.1 Consultant desires to perform and assume responsibility for the provision of certain professional consulting services required by Commission on the terms and conditions set forth in this Agreement. Consultant represents that it is a professional consultant, experienced in providing Strategic Assessment to public clients, is licensed in the State of California, and is familiar with the plans of Commission. 2.2 Commission desires to engage Consultant to render certain consulting services for the Strategic Assessment ("Project") as set forth herein. 3. TERMS. 3.1 General Scope of Services. Consultant promises and agrees to furnish to Commission all labor materials, tools, equipment, services, and incidental and customary work necessary to fully and adequately provide professional consulting services and advice on various issues affecting the decisions of Commission regarding the Project and on other programs and matters affecting Commission, hereinafter referred to as "Services". The Services are more particularly described in Exhibit "A" attached hereto and incorporated herein by reference. All Services shall be subject to, and performed in accordance with, this Agreement, the exhibits attached hereto and incorporated herein by reference, and all applicable local, state, and federal laws, rules and regulations. 3.2 Term. The term of this Agreement shall be nine months unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Agreement and shall meet any other established schedules and deadlines. 3.3 Schedule of Services. Consultant shall perform the Services expeditiously, within the term of this Agreement, and in accordance with the Schedule of Services set forth in Exhibit "B" attached hereto and incorporated herein by reference. APPENDIX B 28 Consultant represents that it has the professional and technical personnel required to perform the Services in conformance with such conditions. In order to facilitate Consultant's conformance with the Schedule, the Commission shall respond to Consultant's submittals in a timely manner. Upon request of the Commission, Consultant shall provide a more detailed schedule of anticipated performance to meet the Schedule of Services. 3.4 Independent Contractor; Control and Payment of Subordinates. The Services shall be performed by Consultant under its supervision. Consultant will determine the means, method and details of performing the Services subject to the requirements of this Agreement. Commission retains Consultant on an independent contractor basis and Consultant is not an employee of Commission. Consultant retains the right to perform similar or different services for others during the term of this Agreement. Any additional personnel performing the Services under this Agreement on behalf of Consultant shall not be employees of Commission and shall at all times be under Consultant's exclusive direction and control. Consultant shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, and workers' compensation insurance. 3.5 Conformance to Applicable Requirements. All work prepared by Consultant shall be subject to the approval of Commission. 3.6 Substitution of Key Personnel. Consultant has represented to Commission that certain key personnel will perform and coordinate the Services under this Agreement. Should one or more of such personnel become unavailable, Consultant may substitute other personnel of at least equal competence and experience upon written approval of Commission. In the event that Commission and Consultant cannot agree as to the substitution of key personnel, Commission shall be entitled to terminate this Agreement for cause, pursuant to provisions of Section 3.16 of this Agreement. The key personnel for performance of this Agreement are as follows: __________________________________. 3.7 Commission’s Representative. Commission hereby designates Executive Director, or his or her designee, to act as its representative for the performance of this Agreement ("Commission’s Representative"). Commission's representative shall have the power to act on behalf of Commission for all purposes under this Agreement. Consultant shall not accept direction from any person other than Commission's Representative or his or her designee. 3.8 Consultant’s Representative. Consultant hereby designates [___INSERT NAME OR TITLE___], or his or her designee, to act as its representative for the performance of this Agreement ("Consultant’s Representative"). Consultant’s Representative shall have full authority to represent and act on behalf of the Consultant 29 for all purposes under this Agreement. The Consultant’s Representative shall supervise and direct the Services, using his or her best skill and attention, and shall be responsible for all means, methods, techniques, sequences and procedures and for the satisfactory coordination of all portions of the Services under this Agreement. 3.9 Coordination of Services. Consultant agrees to work closely with Commission staff in the performance of Services and shall be available to Commission's staff, consultants and other staff at all reasonable times. 3.10 Standard of Care; Licenses. Consultant shall perform the Services under this Agreement in a skillful and competent manner, consistent with the standard generally recognized as being employed by professionals in the same discipline in the State of California. Consultant represents and maintains that it is skilled in the professional calling necessary to perform the Services. Consultant warrants that all employees and subcontractors shall have sufficient skill and experience to perform the Services assigned to them. Finally, Consultant represents that it, its employees and subcontractors have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services and that such licenses and approvals shall be maintained throughout the term of this Agreement. Consultant shall perform, at its own cost and expense and without reimbursement from Commission, any Services necessary to correct errors or omissions which are caused by the Consultant’s failure to comply with the standard of care provided for herein, and shall be fully responsible to the Commission for all damages and other liabilities provided for in the indemnification provisions of this Agreement arising from the Consultant’s errors and omissions. 3.11 Laws and Regulations. Consultant shall keep itself fully informed of and in compliance with all local, state and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services, including all Cal/OSHA requirements, and shall give all notices required by law. Consultant shall be liable for all violations of such laws and regulations in connection with Services. If the Consultant performs any work knowing it to be contrary to such laws, rules and regulations and without giving written notice to Commission, Consultant shall be solely responsible for all costs arising therefrom. Consultant shall defend, indemnify and hold Commission, its officials, directors, officers, employees and agents free and harmless, pursuant to the indemnification provisions of this Agreement, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations. 30 3.12 Insurance. 3.12.1 Time for Compliance. Consultant shall not commence work under this Agreement until it has provided evidence satisfactory to the Commission that it has secured all insurance required under this section, in a form and with insurance companies acceptable to the Commission. In addition, Consultant shall not allow any subcontractor to commence work on any subcontract until it has secured all insurance required under this section. 3.12.2 Minimum Requirements. Consultant shall, at its expense, procure and maintain for the duration of the Agreement insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the Agreement by the Consultant, its agents, representatives, employees or subcontractors. Consultant shall also require all of its subcontractors to procure and maintain the same insurance for the duration of the Agreement. Such insurance shall meet at least the following minimum levels of coverage: (A) Minimum Scope of Insurance. Coverage shall be at least as broad as the latest version of the following: (1) General Liability: Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001 or exact equivalent); (2) Automobile Liability: Insurance Services Office Business Auto Coverage (form CA 0001, code 1 (any auto) or exact equivalent); and (3) Workers’ Compensation and Employer’s Liability: Workers’ Compensation insurance as required by the State of California and Employer’s Liability Insurance. (B) Minimum Limits of Insurance. Consultant shall maintain limits no less than: (1) General Liability: $2,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability Insurance or other form with general aggregate limit is used, either the general aggregate limit shall apply separately to this Agreement/location or the general aggregate limit shall be twice the required occurrence limit; (2) Automobile Liability: $1,000,000 per accident for bodily injury and property damage; and (3) if Consultant has an employees, Workers’ Compensation and Employer’s Liability: Workers’ Compensation limits as required by the Labor Code of the State of California. Employer’s Practices Liability limits of $1,000,000 per accident. 3.12.3 Professional Liability. Consultant shall procure and maintain, and require its sub-consultants to procure and maintain, for a period of five (5) years following completion of the Project, errors and omissions liability insurance appropriate to their profession. Such insurance shall be in an amount not less than $1,000,000 per claim. This insurance shall be endorsed to include contractual liability applicable to this Agreement and shall be written on a policy form coverage specifically designed to protect against acts, errors or omissions of the Consultant. “Covered Professional Services” as designated in the policy must specifically include work performed under this Agreement. The policy must “pay on behalf of” the insured and must include a provision establishing the insurer's duty to defend. 31 3.12.4 Insurance Endorsements. The insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms approved by the Commission to add the following provisions to the insurance policies: (A) General Liability. (i) Commercial General Liability Insurance must include coverage for (1) Bodily Injury and Property Damage; (2) Personal Injury/Advertising Injury; (3) Premises/Operations Liability; (4) Products/Completed Operations Liability; (5) Aggregate Limits that Apply per Project; (6) Explosion, Collapse and Underground (UCX) exclusion deleted; (7) Contractual Liability with respect to this Agreement; (8) Broad Form Property Damage; and (9) Independent Consultants Coverage. (ii) The policy shall contain no endorsements or provisions limiting coverage for (1) contractual liability; (2) cross liability exclusion for claims or suits by one insured against another; or (3) contain any other exclusion contrary to the Agreement. (iii) The policy shall give the Commission, its directors, officials, officers, employees, and agents insured status using ISO endorsement forms 20 10 10 01 and 20 37 10 01, or endorsements providing the exact same coverage. (iv) The additional insured coverage under the policy shall be “primary and non-contributory” and will not seek contribution from the Commission’s insurance or self-insurance and shall be at least as broad as CG 20 01 04 13, or endorsements providing the exact same coverage. (B) Automobile Liability. (i) The automobile liability policy shall be endorsed to state that: (1) the Commission, its directors, officials, officers, employees and agents shall be covered as additional insureds with respect to the ownership, operation, maintenance, use, loading or unloading of any auto owned, leased, hired or borrowed by the Consultant or for which the Consultant is responsible; and (2) the insurance coverage shall be primary insurance as respects the Commission, its directors, officials, officers, employees and agents, or if excess, shall stand in an unbroken chain of coverage excess of the Consultant’s scheduled underlying coverage. Any insurance or self-insurance maintained by the Commission, its directors, officials, officers, employees and agents shall be excess of the Consultant’s insurance and shall not be called upon to contribute with it in any way. 32 (C) Workers’ Compensation and Employers Liability Coverage. (i) Consultant certifies that he/she is aware of the provisions of Section 3700 of the California Labor Code which requires every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and he/she will comply with such provisions before commencing work under this Agreement. (ii) The insurer shall agree to waive all rights of subrogation against the Commission, its directors, officials, officers, employees and agents for losses paid under the terms of the insurance policy which arise from work performed by the Consultant. (D) All Coverages. (i) Defense costs shall be payable in addition to the limits set forth hereunder. (ii) Requirements of specific coverage or limits contained in this section are not intended as a limitation on coverage, limits, or other requirement, or a waiver of any coverage normally provided by any insurance. It shall be a requirement under this Agreement that any available insurance proceeds broader than or in excess of the specified minimum insurance coverage requirements and/or limits set forth herein shall be available to the Commission, its directors, officials, officers, employees and agents as additional insureds under said policies. Furthermore, the requirements for coverage and limits shall be (1) the minimum coverage and limits specified in this Agreement; or (2) the broader coverage and maximum limits of coverage of any Insurance policy or proceeds available to the named insured; whichever is greater. (iii) The limits of insurance required in this Agreement may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of the Commission (if agreed to in a written contract or agreement) before the Commission’s own insurance or self-insurance shall be called upon to protect it as a named insured. The umbrella/excess policy shall be provided on a “following form” basis with coverage at least as broad as provided on the underlying policy(ies). (iv) Consultant shall provide the Commission at least thirty (30) days prior written notice of cancellation of any policy required by this Agreement, except that the Consultant shall provide at least ten (10) days prior written notice of cancellation of any such policy due to non-payment of premium. If any of the required coverage is cancelled or expires during the term of this Agreement, the Consultant shall deliver renewal certificate(s) including the General Liability Additional 33 Insured Endorsement to the Commission at least ten (10) days prior to the effective date of cancellation or expiration. (v) The retroactive date (if any) of each policy is to be no later than the effective date of this Agreement. Consultant shall maintain such coverage continuously for a period of at least three years after the completion of the work under this Agreement. Consultant shall purchase a one (1) year extended reporting period A) if the retroactive date is advanced past the effective date of this Agreement; B) if the policy is cancelled or not renewed; or C) if the policy is replaced by another claims-made policy with a retroactive date subsequent to the effective date of this Agreement. (vi) The foregoing requirements as to the types and limits of insurance coverage to be maintained by Consultant, and any approval of said insurance by the Commission, is not intended to and shall not in any manner limit or qualify the liabilities and obligations otherwise assumed by the Consultant pursuant to this Agreement, including but not limited to, the provisions concerning indemnification. (vii) If at any time during the life of the Agreement, any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced, Commission has the right but not the duty to obtain the insurance it deems necessary and any premium paid by Commission will be promptly reimbursed by Consultant or Commission will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, Commission may cancel this Agreement. The Commission may require the Consultant to provide complete copies of all insurance policies in effect for the duration of the Project. (viii) Neither the Commission nor any of its directors, officials, officers, employees or agents shall be personally responsible for any liability arising under or by virtue of this Agreement. 3.12.5 Deductibles and Self-Insurance Retentions. Any deductibles or self-insured retentions must be declared to and approved by the Commission. If the Commission does not approve the deductibles or self-insured retentions as presented, Consultant shall guarantee that, at the option of the Commission, either: (1) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the Commission, its directors, officials, officers, employees and agents; or, (2) the Consultant shall procure a bond guaranteeing payment of losses and related investigation costs, claims and administrative and defense expenses. 3.12.6 Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best’s rating no less than A:VIII, licensed to do business in California, and satisfactory to the Commission. 34 3.12.7 Verification of Coverage. Consultant shall furnish Commission with original certificates of insurance and endorsements effecting coverage required by this Agreement on forms satisfactory to the Commission. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf. All certificates and endorsements must be received and approved by the Commission before work commences. The Commission reserves the right to require complete, certified copies of all required insurance policies, at any time. 3.12.8 Subconsultant Insurance Requirements. Consultant shall not allow any subcontractors or subconsultants to commence work on any subcontract until they have provided evidence satisfactory to the Commission that they have secured all insurance required under this section. Policies of commercial general liability insurance provided by such subcontractors or subconsultants shall be endorsed to name the Commission as an additional insured using ISO form CG 20 38 04 13 or an endorsement providing the exact same coverage. If requested by Consultant, the Commission may approve different scopes or minimum limits of insurance for particular subcontractors or subconsultants. 3.13 Safety. Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Consultant shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions as applicable shall include, but shall not be limited to: (A) adequate life protection and life saving equipment and procedures; (B) instructions in accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures. 3.14 Fees and Payment. 3.14.1 Compensation. Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "C" attached hereto. The total compensation shall not exceed [___INSERT WRITTEN DOLLAR AMOUNT___] ($[___INSERT NUMERICAL DOLLAR AMOUNT___]) without written approval of Commission's Executive Director (“Total Compensation”). Extra Work may be authorized, as described below, and if authorized, will be compensated at the rates and manner set forth in this Agreement. 3.14.2 Payment of Compensation. Consultant shall submit to Commission a monthly statement which indicates work completed and hours of Services rendered by Consultant. The statement shall describe the amount of Services 35 and supplies provided since the initial commencement date, or since the start of the subsequent billing periods, as appropriate, through the date of the statement. Commission shall, within 45 days of receiving such statement, review the statement and pay all approved charges thereon. 3.14.3 Reimbursement for Expenses. Consultant shall not be reimbursed for any expenses unless authorized in writing by Commission. 3.14.4 Extra Work. At any time during the term of this Agreement, Commission may request that Consultant perform Extra Work. As used herein, "Extra Work" means any work which is determined by Commission to be necessary for the proper completion of the Project, but which the parties did not reasonably anticipate would be necessary at the execution of this Agreement. Consultant shall not perform, nor be compensated for, Extra Work without written authorization from Commission's Executive Director. 3.15 Accounting Records. Consultant shall maintain complete and accurate records with respect to all costs and expenses incurred and fees charged under this Agreement. All such records shall be clearly identifiable. Consultant shall allow a representative of Commission during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant to this Agreement. Consultant shall allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement. 3.16 Termination of Agreement. 3.16.1 Grounds for Termination. Commission may, by written notice to Consultant, terminate the whole or any part of this Agreement at any time and without cause by giving written notice to Consultant of such termination, and specifying the effective date thereof. Upon termination, Consultant shall be compensated only for those services which have been fully and adequately rendered to Commission through the effective date of the termination, and Consultant shall be entitled to no further compensation. Consultant may not terminate this Agreement except for cause. 3.16.2 Effect of Termination. If this Agreement is terminated as provided herein, Commission may require Consultant to provide all finished or unfinished Documents and Data, as defined below, and other information of any kind prepared by Consultant in connection with the performance of Services under this Agreement. Consultant shall be required to provide such document and other information within fifteen (15) days of the request. 3.16.3 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, Commission may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated. 36 3.17 Delivery of Notices. All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose: CONSULTANT: COMMISSION: HDR Engineering, Inc. Riverside County 2280 Market Street, Suite 100 Transportation Commission Riverside, CA 92501 4080 Lemon Street, 3rd Floor Riverside, CA 92501 Attn: JD Douglas Attn: Executive Director Such notice shall be deemed made when personally delivered or when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service. 3.18 Ownership of Materials/Confidentiality. 3.18.1 Documents & Data. This Agreement creates an exclusive and perpetual license for Commission to copy, use, modify, reuse, or sub-license any and all copyrights and designs embodied in plans, specifications, studies, drawings, estimates, materials, data and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Consultant under this Agreement (“Documents & Data”). Consultant shall require all subcontractors to agree in writing that Commission is granted an exclusive and perpetual license for any Documents & Data the subcontractor prepares under this Agreement. Consultant represents and warrants that Consultant has the legal right to grant the exclusive and perpetual license for all such Documents & Data. Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by design professionals other than Consultant or provided to Consultant by the Commission. Commission shall not be limited in any way in its use of the Documents & Data at any time, provided that any such use not within the purposes intended by this Agreement shall be at Commission’s sole risk. 3.18.2 Intellectual Property. In addition, Commission shall have and retain all right, title and interest (including copyright, patent, trade secret and other proprietary rights) in all plans, specifications, studies, drawings, estimates, materials, data, computer programs or software and source code, enhancements, documents, and 37 any and all works of authorship fixed in any tangible medium or expression, including but not limited to, physical drawings or other data magnetically or otherwise recorded on computer media (“Intellectual Property”) prepared or developed by or on behalf of Consultant under this Agreement as well as any other such Intellectual Property prepared or developed by or on behalf of Consultant under this Agreement. The Commission shall have and retain all right, title and interest in Intellectual Property developed or modified under this Agreement whether or not paid for wholly or in part by Commission, whether or not developed in conjunction with Consultant, and whether or not developed by Consultant. Consultant will execute separate written assignments of any and all rights to the above referenced Intellectual Property upon request of Commission. Consultant shall also be responsible to obtain in writing separate written assignments from any subcontractors or agents of Consultant of any and all right to the above referenced Intellectual Property. Should Consultant, either during or following termination of this Agreement, desire to use any of the above-referenced Intellectual Property, it shall first obtain the written approval of the Commission. All materials and documents which were developed or prepared by the Consultant for general use prior to the execution of this Agreement and which are not the copyright of any other party or publicly available and any other computer applications, shall continue to be the property of the Consultant. However, unless otherwise identified and stated prior to execution of this Agreement, Consultant represents and warrants that it has the right to grant the exclusive and perpetual license for all such Intellectual Property as provided herein. Commission further is granted by Consultant a non-exclusive and perpetual license to copy, use, modify or sub-license any and all Intellectual Property otherwise owned by Consultant which is the basis or foundation for any derivative, collective, insurrectional, or supplemental work created under this Agreement. 3.18.3 Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents and Data either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant. Such materials shall not, without the prior written consent of Commission, be used by Consultant for any purposes other than the performance of the Services. Nor shall such materials be disclosed to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use Commission's name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of Commission. 38 Should Consultant receive a subpoena or court order related to this Agreement, the Services or the Project, Consultant shall immediately provide written notice of the subpoena or court order to the Commission in order to allow the Commission to pursue legal remedies designed to limit any confidential information required to be disclosed or to assure the confidential treatment of the information following disclosure. Consultant shall not respond to any such subpoena or court order until notice to the Commission is provided as required herein, and shall cooperate with the Commission in responding to the subpoena or court order. 3.18.4 Infringement Indemnification. Consultant shall defend, indemnify and hold the Commission, its directors, officials, officers, employees, volunteers and agents free and harmless, pursuant to the indemnification provisions of this Agreement, for any alleged infringement of any patent, copyright, trade secret, trade name, trademark, or any other proprietary right of any person or entity in consequence of the use on the Project by Commission of the Documents & Data, including any method, process, product, or concept specified or depicted. 3.19 Cooperation; Further Acts. The Parties shall fully cooperate with one another, and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Agreement. 3.20 Attorney's Fees. If either party commences an action against the other party, either legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to have and recover from the losing party reasonable attorney's fees and costs of such actions. 3.21 Indemnification. Consultant shall defend, indemnify and hold the Commission, its directors, officials, officers, agents, consultants, employees and volunteers free and harmless from any and all claims, demands, causes of action, costs, expenses, liabilities, losses, damages or injuries, in law or in equity, to property or persons, including wrongful death, in any manner arising out of or incident to any alleged negligent acts, omissions or willful misconduct of the Consultant, its officials, officers, employees, agents, consultants, and contractors arising out of or in connection with the performance of the Services, the Project or this Agreement, including without limitation, the payment of all consequential damages, attorneys fees and other related costs and expenses. Consultant shall defend, at Consultant’s own cost, expense and risk, any and all such aforesaid suits, actions or other legal proceedings of every kind that may be brought or instituted against the Commission, its directors, officials, officers, agents, consultants, employees and volunteers. Consultant shall pay and satisfy any judgment, award or decree that may be rendered against the Commission or its directors, officials, officers, agents, consultants, employees and volunteers, in any such suit, action or other legal proceeding. Consultant shall reimburse the Commission and its directors, officials, officers, agents, consultants, employees and volunteers, for any and all legal expenses and costs, including reasonable attorney’s fees, incurred by each of them in connection therewith or in enforcing the indemnity herein provided. Consultant’s obligation to indemnity shall not be restricted to insurance proceeds, if any, 39 received by the Commission or its directors, officials, officers, agents, consultants, employees and volunteers. Notwithstanding the foregoing, to the extent Consultant's Services are subject to Civil Code Section 2782.8, the above indemnity shall be limited, to the extent required by Civil Code Section 2782.8, to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant. This Section 3.21 shall survive any expiration or termination of this Agreement. 3.22 Entire Agreement. This Agreement contains the entire Agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements. This Agreement may only be supplemented, amended, or modified by a writing signed by both parties. 3.23 Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in Riverside County. 3.24 Time of Essence. Time is of the essence for each and every provision of this Agreement. 3.25 Commission's Right to Employ Other Consultants. The Commission reserves the right to employ other consultants in connection with this Project. 3.26 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the parties, and shall not be assigned by Consultant without the prior written consent of Commission. 3.27 Prohibited Interests and Conflicts. 3.27.1 Solicitation. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, Commission shall have the right to rescind this Agreement without liability. 3.27.2 Conflict of Interest. For the term of this Agreement, no member, officer or employee of Commission, during the term of his or her service with Commission, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom. 3.27.3 Conflict of Employment. Employment by the Consultant of personnel currently on the payroll of the Commission shall not be permitted in the performance of this Agreement, even though such employment may occur outside of 40 the employee’s regular working hours or on weekends, holidays or vacation time. Further, the employment by the Consultant of personnel who have been on the Commission payroll within one year prior to the date of execution of this Agreement, where this employment is caused by and or dependent upon the Consultant securing this or related Agreements with the Commission, is prohibited. 3.27.4 Employment Adverse to the Commission. Consultant shall notify the Commission, and shall obtain the Commission’s written consent, prior to accepting work to assist with or participate in a third-party lawsuit or other legal or administrative proceeding against the Commission during the term of this Agreement. 3.28 Equal Opportunity Employment. Consultant represents that it is an equal opportunity employer and it shall not discriminate against any employee or applicant for employment because of race, religion, color, national origin, ancestry, sex or age. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. Consultant shall also comply with all relevant provi- sions of Commission's Disadvantaged Business Enterprise program, Affirmative Action Plan or other related Commission programs or guidelines currently in effect or hereinafter enacted. 3.29 Subcontracting. Consultant shall not subcontract any portion of the work or Services required by this Agreement, except as expressly stated herein, without prior written approval of the Commission. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement. 3.30 Prevailing Wages. By its execution of this Agreement, Consultant certified that it is aware of the requirements of California Labor Code Sections 1720 et seq. and 1770 et seq., as well as California Code of Regulations, Title 8, Section 16000 et seq. (“Prevailing Wage Laws”), which require the payment of prevailing wage rates and the performance of other requirements on certain “public works” and “maintenance” projects. If the Services are being performed as part of an applicable “public works” or “maintenance” project, as defined by the Prevailing Wage Laws, and if the total compensation is $1,000 or more, Consultant agrees to fully comply with such Prevailing Wage Laws. The Commission shall provide Consultant with a copy of the prevailing rate of per diem wages in effect at the commencement of this Agreement. Consultant shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the Services available to interested parties upon request, and shall post copies at the Consultant's principal place of business and at the project site. Consultant shall defend, indemnify and hold the Commission, its elected officials, officers, employees and agents free and harmless from any claims, liabilities, costs, penalties or interest arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. 3.31 Employment of Apprentices. This Agreement shall not prevent the employment of properly indentured apprentices in accordance with the California Labor 41 Code, and no employer or labor union shall refuse to accept otherwise qualified employees as indentured apprentices on the work performed hereunder solely on the ground of race, creed, national origin, ancestry, color or sex. Every qualified apprentice shall be paid the standard wage paid to apprentices under the regulations of the craft or trade in which he or she is employed and shall be employed only in the craft or trade to which he or she is registered. If California Labor Code Section 1777.5 applies to the Services, Consultant and any subcontractor hereunder who employs workers in any apprenticeable craft or trade shall apply to the joint apprenticeship council administering applicable standards for a certificate approving Consultant or any sub-consultant for the employment and training of apprentices. Upon issuance of this certificate, Consultant and any sub-consultant shall employ the number of apprentices provided for therein, as well as contribute to the fund to administer the apprenticeship program in each craft or trade in the area of the work hereunder. The parties expressly understand that the responsibility for compliance with provisions of this Section and with Sections 1777.5, 1777.6 and 1777.7 of the California Labor Code in regard to all apprenticeable occupations lies with Consultant. 3.32 No Waiver. Failure of Commission to insist on any one occasion upon strict compliance with any of the terms, covenants or conditions hereof shall not be deemed a waiver of such term, covenant or condition, nor shall any waiver or relinquishment of any rights or powers hereunder at any one time or more times be deemed a waiver or relinquishment of such other right or power at any other time or times. 3.33 Eight-Hour Law. Pursuant to the provisions of the California Labor Code, eight hours of labor shall constitute a legal day's work, and the time of service of any worker employed on the work shall be limited and restricted to eight hours during any one calendar day, and forty hours in any one calendar week, except when payment for overtime is made at not less than one and one-half the basic rate for all hours worked in excess of eight hours per day ("Eight-Hour Law"), unless Consultant or the Services are not subject to the Eight-Hour Law. Consultant shall forfeit to Commission as a penalty, $50.00 for each worker employed in the execution of this Agreement by him, or by any sub-consultant under him, for each calendar day during which such workman is required or permitted to work more than eight hours in any calendar day and forty hours in any one calendar week without such compensation for overtime violation of the provisions of the California Labor Code, unless Consultant or the Services are not subject to the Eight-Hour Law. 3.34 Subpoenas or Court Orders. Should Consultant receive a subpoena or court order related to this Agreement, the Services or the Project, Consultant shall immediately provide written notice of the subpoena or court order to the Commission. Consultant shall not respond to any such subpoena or court order until notice to the Commission is provided as required herein, and shall cooperate with the Commission in responding to the subpoena or court order. 42 3.35 Survival. All rights and obligations hereunder that by their nature are to continue after any expiration or termination of this Agreement, including, but not limited to, the indemnification and confidentiality obligations, and the obligations related to receipt of subpoenas or court orders, shall survive any such expiration or termination. 3.36 No Third Party Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties. 3.37 Labor Certification. By its signature hereunder, Consultant certifies that it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Workers’ Compensation or to undertake self-insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services. 3.38 Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original. 3.39 Incorporation of Recitals. The recitals set forth above are true and correct and are incorporated into this Agreement as though fully set forth herein. 3.40 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect. 3.41 Conflicting Provisions. In the event that provisions of any attached exhibits conflict in any way with the provisions set forth in this Agreement, the language, terms and conditions contained in this Agreement shall control the actions and obligations of the Parties and the interpretation of the Parties’ understanding concerning the performance of the Services. 3.42 Headings. Article and Section Headings, paragraph captions or marginal headings contained in this Agreement are for convenience only and shall have no effect in the construction or interpretation of any provision herein. 3.43 Assignment or Transfer. Consultant shall not assign, hypothecate, or transfer, either directly or by operation of law, this Agreement or any interest herein, without the prior written consent of the Commission. Any attempt to do so shall be null and void, and any assignees, hypothecates or transferees shall acquire no right or interest by reason of such attempted assignment, hypothecation or transfer. 3.44 Authority to Enter Agreement. Consultant has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party. 43 [SIGNATURES ON FOLLOWING PAGE] 44 SIGNATURE PAGE TO RIVERSIDE COUNTY TRANSPORTATION COMMISSION AGREEMENT FOR STRATEGIC ASSESSMENT WITH HDR ENGINEERING, INC. IN WITNESS WHEREOF, this Agreement was executed on the date first written above. RIVERSIDE COUNTY HDR ENGINEERING, INC. TRANSPORTATION COMMISSION By: __________________________ By: ____________________________ Daryl R. Busch Signature Chair ___________________________ Name ____________________________ Title Approved as to Form: Attest: By: ____________________________ By: ________________________ Best Best & Krieger LLP General Counsel Its: Secretary 45 EXHIBIT "A" SCOPE OF SERVICES [___INSERT___] 46 EXHIBIT "B" SCHEDULE OF SERVICES [___INSERT___] 47 EXHIBIT "C" COMPENSATION [___INSERT___] 48 AGENDA ITEM 10 RIVERSIDE COUNTY TRANSPORTATION COMMISSION DATE: April 27, 2015 TO: Budget and Implementation Committee FROM: Aaron Hake, Government Relations Manager THROUGH: John Standiford, Deputy Executive Director SUBJECT: State Legislation STAFF RECOMMENDATION: This item is for the Committee to: 1) Adopt the following positions on state legislation: a) SB 608 (Liu) – Oppose; b) SB 516 (Fuller) – Support In Concept; and 2) Forward to the Commission for final action. BACKGROUND INFORMATION: SB 608 (Liu) – Staff Recommendation: Oppose This bill is known as the “Right to Rest Act” and is similar to AB 5 (Ammiano), the “Homeless Bill of Rights,” which the Commission opposed in 2013. While the Commission respects the difficulty of remedying issues related to homelessness, SB 608 imposes a number of constraints on the Commission related to ensuring public health and safety at its Metrolink stations. The intent of SB 608 is to “afford persons experiencing homelessness the right to use public space without discrimination based on their housing status.” In doing so, the bill provides for the following rights to persons and provides for a $1,000 fine for any law enforcement action that infringes on these rights: • Use and to move freely in public spaces; • Rest in public spaces and to protect oneself from the elements; • Eat in any public space in which having food is not prohibited; • Perform religious observances in public spaces; and • Occupy a motor vehicle or a recreational vehicle legally parked or parked with the permission of the property owner. While on face value these proposed rights may seem logical, the expansive terminology within the bill defines a “homeless person” as: Agenda Item 10 49  Individuals and members of families who have a primary nighttime residence that is a public or private place not designed for or ordinarily used as a regular sleeping accommodation for human beings, including a car, park, abandoned building, bus or train station, airport, or camping ground. According to this definition, SB 608 affords homeless persons the right to assume residency on public property, specifically including train stations. The bill would expose the Commission to litigation and fines for enforcing its adopted Code of Conduct, therefore allowing persons to sleep and reside on station property. The Code of Conduct reads as follows, in excerpt:  PARKING: Station parking is for Train Passengers Only, unless otherwise specified. Park at your own risk: RCTC, Metrolink, and Amtrak are not responsible for theft of or damage to property. Utilize designated parking areas only. Violators are subject to tow at the vehicle owner s expense. Erratic or careless driving in station parking areas is prohibited. LOITERING: Use of this facility is limited to station patrons only. Loitering is strictly prohibited. SOLICITATION: Solicitation of any kind without prior written permission of station management is strictly prohibited. Any other unacceptable behavior that constitutes or causes a nuisance, a disturbance, or harm or a threat of harm is prohibited. Failure to obey these guidelines or to comply with lawful and reasonable requests by the station management, police or security will result in your being asked to leave the station. If you refuse to leave, you may be arrested and prosecuted for criminal trespass. Particularly at the Riverside Downtown Station, the Commission s private security service reported significant problems created by homeless persons, including but not limited to: " Harassment of passengers via panhandling and aggressive, obscene behavior; " Fires being lit in the railroad right-of-way; " Vandalism of portable restrooms, elevators and other property; and " Public urination and defecation. Closed circuit television (CCTV) cameras at the station regularly capture the above types of incidents, and more. In many cases, these incidents degrade the level of service and safety provided to the public when facilities are placed out of order or areas made inaccessible. Also, in many cases Riverside Police and Fire Departments are dispatched to respond, adding increased burdens to municipal services. SB 608 would further hamper the Commission s ability to maintain its stations for their intended purpose  to provide safe and reliable commuter transportation to the residents of Riverside County. Staff is open to working with the city of Riverside s Homeless Task Force and other initiatives; however, staff strongly believes that public safety, public services, and public property should not be further compromised. Agenda Item 10 50 The bill is opposed by the California League of Cities, the California State Sheriff’s Association, the California Chamber of Commerce and several other agencies. The bill’s supporters include several dozen social justice and legal advocacy nonprofits throughout the state. SB 608 is being brought to the Commission for an oppose position because the Commission’s adopted legislative platform does not speak to this particular issue. SB 516 (Fuller) – Staff Recommendation: Support If Amended This bill is sponsored by the Kern Council of Governments (Kern COG) and is intended to provide additional flexibility for transportation agencies such as the Commission to implement motorist aid and safety services with the one dollar per vehicle registration fee the Commission receives from vehicles registered within the county. As technology is rapidly changing the methods by which motorists receive information and assistance on the roadway, Commission staff and many other transportation professionals across the state see the need to modernize the state’s approach. Under current law, the priority for motorist aid is focused on call boxes; however other motorist services are permitted after call box needs are met. This bill would explicitly expand the list of eligible expenditure of the one dollar registration fee and thematically direct the program towards a more comprehensive motorist aid and roadway safety system. Specifically, the bill adds to the list of eligible projects: • Traveler information systems; • Intelligent Transportation System architecture and infrastructure and other transportation demand management services; and • Litter and debris removal. In 1986, the Commission established itself as the Riverside County Service Authority for Freeway Emergencies (RC SAFE) after the enactment of SB 1199 in 1985. Funding for SAFE is derived from a one dollar per vehicle registration fee on vehicles registered in the county. The Commission, acting in its capacity as the RC SAFE, operated a system of call boxes along the freeways and highways in Riverside County since 1990. At its peak, the call box program had 1,149 call boxes in operation throughout Riverside County. With the advancement of technology and the proliferation of cellular phone owners over the past several years, the Commission took steps to reduce the number of call boxes in the Riverside County system. The reduction of call boxes over time to nearly half of its peak number led to significant cost savings, in addition to a more efficient operation of the call box program. The Commission currently operates and maintains 597 call boxes. Over the past two decades, the RC SAFE program expanded to include Freeway Service Patrol and Inland Empire 511 traveler information services as part of a comprehensive motorist aid system in Riverside County. In an effort to clarify and expand upon the initial legislation, minor revisions to SB 516 are being proposed. Notable revisions include: clarification of language to ensure local control over SAFE revenues; clarification of language on the rolls of the California Department of Transportation Agenda Item 10 51 and the California Highway Patrol with regard to reviewing and approving call box plans; and expansion of language that identifies potential uses of SAFE revenues. The proposed amendments to SB 516 will allow for greater flexibility in the way RC SAFE uses SAFE revenues. As call box call volumes continue to decrease with each passing year, this amended legislation will allow RC SAFE to implement more relevant programs and services throughout the county. While the bill’s intent is consistent with the Commission’s adopted legislative platform (quoted below), staff felt compelled to bring the bill to the Commission to ensure the Commission’s position is conditioned on satisfactory amendments. Commission platform excerpt: • Support programs and policies that support investments in new technologies that promote ridesharing, traffic information, and commuter assistance. Review of Legislation Consistent With Commission Platform At the Assembly Transportation Committee hearing on April 13, the Commission testified in support of AB 1265 (Perea), which would extend the sunset date of California’s public-private partnership law. The bill is consistent with the Commission’s platform which states: • Support the availability of project delivery tools such as design-build, construction manager/general contractor, and public-private partnerships by the Commission, the state, federal agencies, and other infrastructure agencies. Oppose efforts to add barriers to effective implementation of such tools. Agenda Item 10 52