Construction Management June 2016 8/12/2016 151,789.74 20160729W002 DMS - Facility Services, Inc

MEETINGS OF THE Management Committees

Transit Management TMC/RMC Rail Management Committee (TMC) Joint Meeting Committee (RMC)

MEETING DATE MEETING DATE MEETING DATE Wednesday, Wednesday, Wednesday, September 7, 2016 September 7, 2016 September 7, 2016

TIME TIME TIME 11:00 a.m. 11:15 a.m. 11:30 a.m.

LOCATION Valley Metro RPTA Lake Powell Conference Room

101 N. 1st Avenue, 10th Floor Phoenix

If you require assistance accessing the meeting on the 10th Floor, please go to the 13th floor for assistance or call 602-262-7433.

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

August 30, 2016

Transit Management Committee Wednesday, September 7, 2016 Lake Powell Conference Room 101 N. 1st Avenue, 10th Floor 11:00 a.m.

Action Recommended

1. Items from Citizens Present (yellow card) 1. For information

An opportunity will be provided to members of the public at the beginning of the meeting to address the Board on non-agenda items. Up to three minutes will be provided per speaker or a total of 15 minutes for all speakers.

2. Minutes 2. For action

Minutes from the August 3, 2016 TMC meeting are presented for approval.

3. Public Comment on Agenda Action Items (blue card) 3. For information

The public will be provided with an opportunity at this time to address the Board on all action agenda items. Up to three minutes will be provided per speaker to address all agenda items unless the Chair allows more at his/her discretion. A total of 15 minutes for all speakers will be provided.

4. Proposed April 2017 Transit Service Changes 4. For information

Scott Smith, Interim CEO, will introduce Jorge Luna, Service Planning Manager, who will provide an update on the proposed April 2017 transit service changes and community outreach plan.

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

5. Safe Place Expansion to Regional Bus System 5. For information

Scott Smith, Interim CEO, will introduce Hillary Foose, Director, Communication & Marketing, who will provide an informational update to the Board of Directors on the expansion of the Safe Place program to the regional bus system.

6. Future Agenda Items Request and Report on Current 6. For information Events and discussion

Chair Zuercher will request future agenda items from members, and members may provide a report on current events.

7. Next Meeting 7. For information

The next meeting of the TMC is scheduled for Wednesday, October 5, 2016 at 11:00 a.m.

Qualified sign language interpreters are available with 72 hours notice. Materials in alternative formats (large print, audiocassette, or computer diskette) are available upon request. For further information, please call Valley Metro at 602-262-7433 or TTY at 602-251-2039. To attend this meeting via teleconference, contact the receptionist at 602-262-7433 for the dial-in-information. The supporting information for this agenda can be found on our web site at www.valleymetro.org.

DATE AGENDA ITEM 1 August 31, 2016

SUBJECT Items from Citizens Present

PURPOSE An opportunity will be provided to members of the public at the beginning of the meeting to address the TMC on non-agenda items. Up to three minutes will be provided per speaker or a total of 15 minutes for all speakers.

BACKGROUND/DISCUSSION/CONSIDERATION None

COST AND BUDGET None

COMMITTEE PROCESS None

RECOMMENDATION This item is presented for information only.

CONTACT Scott Smith Interim Chief Executive Officer 602-262-7433 [email protected]

ATTACHMENT None

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

DATE AGENDA ITEM 2 August 31, 2016

Summary Minutes Valley Metro RPTA Transit Management Committee Wednesday, August 3, 2016 Lake Powell Conference Room 101 N. 1st Avenue, 10th Floor Phoenix, AZ 11:00 a.m.

Members Present Ed Zuercher, City of Phoenix, Chair Madeline Clemann, Vice Chair (phone) David Fitzhugh, City of Avondale Roger Klingler, City of Buckeye Marsha Reed, City of Chandler James Shano for Dr. Spencer Isom, City of El Mirage Marc Skocypec, Town of Gilbert Kevin Link for Kevin Phelps, City of Glendale Rob Bohr for Brian Dalke, City of Goodyear Reed Kempton, Maricopa County Scott Butler for Chris Brady, City of Mesa Jeff Tyne, City of Peoria Nicole Lance, City of Surprise Steven Methvin, City of Tempe

Members Not Present Sara Allred, ADOT City of Tolleson

Chair Zuercher called the meeting to order at 11:03 a.m.

1. Items for Citizen Present

None.

2. Minutes

Minutes from the June 1, 2016 TMC meeting were presented for approval.

IT WAS MOVED BY SCOTT BUTLER, SECONDED BY KEVIN LINK AND UNANIMOUSLY CARRIED TO APPROVE THE JUNE 1, 2016 TMC MEETING MINUTES.

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

3. Public Comment on Agenda Action Items

None.

4. Consent Agenda

The following items were presented on the consent agenda:

A. Contract Option Year for Investment Management Services (IMS) B. Fare Inspection and Security Services (FISS) Contract Award

Chair Zuercher said I do have one issue or question on 4B. And then it will also go through to the next one. It would be very helpful to me and to my Board representative when we have contracts where, and looking on page 2 of the agenda Item 4B, we talk about the selection committee, the qualifications, experience, the points negotiated, and then it was reviewed, and a specific company was identified as the highest and best. If you could list the points for the company and the order in which they come in. Mr. Smith said it's interesting you bring that up, Mr. Zuercher, because this has been an item of the discussion in our staff meetings over the last week. And as a matter of fact, we apologize, we are amending -- working on amending the memos that will be prepared and presented to the Board members with that exact information. We didn't have time to get it finished for this meeting, but we appreciate that comment, because it's something that has come up. It came up -- I know it came up in RTAG also.

So for each contract going forward, and starting with the board meeting for each contract that is awarded, there will be a three section -- a section in the memo that will include three items: The criteria used to evaluate the contract; the list of proposers; and the scoring that was used in determining the award winner.

So that will be included. And then, of course, if there's any more detailed information that's needed, we're always open to additional for your questions and comments, but those will be included to your Board members in their memos that they get.

Chair Zuercher said as it relates to this one, what is it that commends Allied Barton as the number one?

Ms. Ruiz said since December of 2015 and through June of 2016, Allied Barton initiated a change in leadership and middle management that we have seen through that progression, Brian Nann came under the contract and Dave Taylor who is a high level in his position came down to account manager, maintaining his salary. We have seen significant improvement.

And in fact, in July 2015, we were at our lowest in fare inspection 9.9 percent. And by July of this year, we accomplished 20.6 percent. And that's not everything. Fare inspection is not everything. Security is obviously critical.

What we have seen for that progression has been an awareness and accountability and responsibility. And we'll speak to more maybe at the Board meeting about the panel decision. I did not sit on the panel. But it was revealed to me what the panel decided. And I had seen that reflected in their performance in the last several months, and I've gotten comments from PD, our PD partners, that they've seen a responsiveness.

I'm meeting again today with AlliedBarton to specifically identify areas of concerns, specifically the northern corridor, Northwest corridor, in how we're implementing that Park-and-Ride platform rover. And that scope of work changed significantly in some areas. And they were able to present modifications up to the RFP that I had requested where I had contract authority to do so. So I've been very pleased with the performance. We have a lot still to do. The momentum is there. So I have seen an improvement.

Chair Zuercher said and in terms of pricing?

Ms. Ruiz said in terms of pricing comparative to what we're billed now --

Chair Zuercher said compared to the other bidders.

Ms. Ruiz said compared to the others? They were about third or fourth in the total seven proposers that were qualified. And the one to two that were selected by the panel to present with the overall scoring, they were at least five million under.

Chair Zuercher said this was not a -- this was not a low bid; this was an RFP.

Ms. Ruiz said yes this was a RFP.

Chair Zuercher said so value is determined by things in addition to price.

Ms. Ruiz said technical scoring, criteria.

Chair Zuercher said I was just curious whether there price was in line.

Mr. Smith said and maybe we should have put this a little into context. This is part of a much larger contract, which is a Valley Metro Rail contract. That's why you see 25 million dollars is the total contract value.

The vast majority of that relates to rail security, fare inspection, others. There is a carve out in both entities, RPTA and Valley Metro, will be contracting with Allied Barton. There is a specific carve out for services provided on security to the physical facility in Mesa, the Greenfield Bus Facility.

So that's one reason why it's here before this board is the $1.3 million bid that to provide that facility's security in Mesa. But Allied Barton, the whole request for proposal was to

provide a combined security service to both Valley Metro Rail and to RPTA.

Chair Zuercher said are there any other questions from board members? Okay. I'll entertain a motion on the consent agenda.

IT WAS MOVED BY NICOLE LANCE, SECONDED BY REED KEMPTON AND UNANIMOUSLY CARRIED TO APPROVE THE CONSENT AGENDA.

5. October 2016 Valley Metro Transit Service Changes

Mr. Smith said This October we'll bring some of the most significant changes to bus service in many, many years, and this is driven by two things. The primary driver is the implementation of T2050, the Prop 104 in Phoenix, which will significantly expand the Phoenix bus services. We also have at that time both to coordinate more closely with the Phoenix bus changes and to make adjustments ourselves for other routes that are not specifically related to the City of Phoenix service. We'll be putting in some fairly significant changes. I'd like to introduce Carol Ketcherside, which will go over what those changes are and how they will impact Valley Metro, both in the service level and in the budget.

Ms. Ketcherside provided a presentation which included the following:

 Overview  Valley Metro Improvements (4 slides)  Public Input  Public Input Results  Recommendation

IT WAS MOVED BY STEVEN METHVIN, SECONDED BY SCOTT BUTLER AND UNANIMOUSLY CARRIED TO FORWARD TO THE BOARD OF DIRECTORS APPROVAL OF THE OCTOBER 2016 VALLEY METRO TRANSIT SERVICE CHANGES.

6. Extension of Hours for the Customer Service Department

Mr. Smith said for a long time we have been discussing how we can better align the customer service that we provide to our riders in the call center with the actual hours of operations.

Right now there is a big gap on both ends of our service. Our call center, I think, I believe is open from 6:00 a.m. till 8:00 p.m. and our buses run beyond that. And with the expansion, as we just went over, where we're now expanding from -- to 4 in the morning to sometimes midnight or thereafter, there's a disconnect.

So we've long talked about the desire to increase the hours that our call center is open. The Phoenix expansion and the October expansion certainly gives us that good reason

to push for more service. Diana Kebbekus, who's the manager of our call center, is now going to discuss a proposal to do just that.

Ms. Kebbekus provided a presentation which included the following:

 Customer Service  Call Volume  Service Expansion  Recommendation

Chair Zuercher said and the cost will be paid for how? How will the additional cost be paid for?

Mr. Smith said regional funds. We have money within the budget to pay out of the regional funds. But there will be a -- we'll formalize it in a line item with our mid-year budget adjustment. But right now there are adequate funds to cover it within what we have budgeted already, just not in that specific line item.

Chair Zuercher said and you're confident you can get the staffing you need in time to expand that out?

Ms. Kebbekus said yes. And if we don't, we're going to look to do some overtime.

Ms. Lance said two questions. One is the annual cost of $330,000, that's in addition to what we're already spending on this; correct?

Mr. Smith said that's correct.

Ms. Lance said and then the second question, if the hours are being extended two hours on both sides of the day, so one hour additional in the morning, two hours at night?

Ms. Kebbekus said for that two hours in the evening, if the calls are still coming in just within that first hour, is there any demonstrable difference in the cost between two hours and one hour? We still need the staff to be able to cover those hours, so there is a slight change probably if we only were open one hour versus the two hours. But we saw quite a few calls coming in during those time periods already.

Mr. Smith said and the idea is we're trying to find the sweet spot. We're really trying to provide a service which is essential to our riders. Most of these calls that come in are people who are, you know, they're wondering where their bus is, they don't know which route to take, they're looking for direction. So we take this very seriously.

On the other hand, it just, we have to do it in a way that's economical so that we have a volume of calls that justifies having -- paying the cost there.

We propose that we do this to see how this -- how we can handle that. We really don't know. And we won't know until the expansion, because, remember, this call center handles both -- all bus service, both City of Phoenix and Valley Metro.

And we really don't know what the impact of this very major service expansion in October will have. My guess is we'll be coming back to the Board next year as we go through the first few months after October 24, and we'll tweak this.

We'll either expand it, we'll say, here's how our call volume has settled down as people call in, and we recognize it with the new routes, there may be an uptick of calls but with more frequency, there may be a reduction of calls, as people don't have to wait as long, don't get as impatient, because a lot of what Phoenix is doing is expanding frequency on their routes.

So we recognize that we're going to probably have to come back and tweak this. This is what we believe got to the meat of it based on the analysis that we had done, and which is why -- and it's within the budget realm that we have, the money we have available, so you will hear from us again as we get into next spring and have some time to analyze how it's worked.

Chair Zuercher said is there anything further, Nicole? Just to follow up on that, I think it's important as you look at this chart so you've got as many calls in the currently in the 8 o'clock hour -- you got more calls in the 8 o'clock hour that we're not answering than we're currently answering when we're staffing in the 6 a.m. hour.

So that tells you there's a need to have that staff. What we don't know is whether that's going to move now to have that many calls in the 10 o'clock hour.

But I think we've got to find that. So I guess my request would be that we say we're going to formally in six months -- we're going to take six months of data and come back and have the conversation again, because I know in Phoenix, our citizens transit commission is pushing us to expand this to more hours. I think it's reasonable for us to sort of take some steps into it before we, you know, shoot the cannon ball, let's maybe shoot a BB here.

But I think we've got to be responsive to the fact that if we continue to just see those calls get pushed later because that's when it's closed, we ought to be open to talking about expanding it incrementally more. And we probably need six months of data to cover some seasonal stuff.

Mr. Smith said exactly. And what we'll do is, we'll put it on the tickler to do exactly that. We'll, next April, for example, or May, we'll come back after we get that six months. But if we see things, if we see trends that pop up and show significant changes, even before that, we are -- we're going to be looking at this monthly to monitor and see it.

We're also, just so you know, having ongoing discussions about staffing, different

staffing options. You know, right now we have all full-time employees. And you're getting into that realm where the hours you're open makes it a little bit tougher to schedule with two shifts and overlap.

And so we're looking at different options that we might do to be more flexible with our staffing. And we just began those conversations internally. We're looking at all the different ramifications of that, but I do believe at some point in time we'll come back with some different staffing models so we can be more flexible in how we staff maybe some of those surge hours and without having to hire full-time employees to do that.

Chair Zuercher said are there any other further questions or follow-up?

Mr. Link said when will the extended hours take effect?

Mr. Smith said Concurrent with the service changes at the end of October. We're looking at hiring over the next sixty days additional call center employees and then training them. And that will put them ready right around the end of October.

Chair Zuercher said okay. Any further on this? Okay. Further good news for our customers and our passengers. Thank you for your work on this. We will want to look again in six months.

IT WAS MOVED BY STEVEN METHVIN, SECONDED BY KEVIN LINK AND UNANIMOUSLY CARRIED TO FORWARD TO THE BOARD OF DIRECTORS APPROVAL OF THE EXTENSION OF HOURS FOR THE CUSTOMER SERVICE DEPARTMENT AT AN ANNUAL COST OF $300,000.

7. Future Agenda Items Request and Report on Current Events

None.

Chair Zuercher said our next meeting is Wednesday, September 7, 2016, at 11:00 a.m.

With no further discussion the meeting adjourned at 11:27 a.m.

DATE AGENDA ITEM 3 August 31, 2016

SUBJECT Public Comment on Agenda Action Items

PURPOSE The public will be provided with an opportunity at this time to address the TMC on all action agenda items. Up to three minutes will be provided per speaker to address all agenda items unless the Chair allows more at his/her discretion. A total of 15 minutes for all speakers will be provided.

BACKGROUND/DISCUSSION/CONSIDERATION None

COST AND BUDGET None

COMMITTEE PROCESS None

RECOMMENDATION This item is presented for information only.

CONTACT Scott Smith Interim Chief Executive Officer 602-262-7433 [email protected]

ATTACHMENT None

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

DATE AGENDA ITEM 4 August 31, 2016

SUBJECT Proposed April 2017 Transit Service Changes

PURPOSE To provide an update on the proposed April 2017 transit service changes and community outreach plan.

BACKGROUND/DISCUSSION/CONSIDERATION Transit service changes are scheduled twice each year in April and October. In preparation for these service change dates, Valley Metro staff works closely with the Service Planning Working Group (SPWG), comprising representatives from Valley Metro member agencies, to determine what changes are needed and to coordinate across jurisdictions; the SPWG meets monthly. The changes work in coordination with the five-year Short Range Transit Program (SRTP) as well as the Board-adopted Transit Standards and Performance Measures (TSPM) performance quartiles.

Several changes have been proposed and continue to be discussed with the SPWG. Valley Metro staff is analyzing the proposed route changes in terms of the Board- adopted Transit Standards and Performance Measures, Title VI impacts, defining possible fleet needs and all costs involved. The following is a preliminary list of all changes currently being analyzed for possible modification. More detailed information about each potential route change will be provided on the Valley Metro website throughout the public outreach process. Overall the proposed changes include service enhancements and route modifications.

Proposed Route and Schedule Changes:

 Route 40 Main – In Mesa, modify turnaround of the weekday short trips at Centennial Way and Main St.

 Route 50 Camelback – In Scottsdale, enhance weekday service to operate from about 4AM to midnight; Saturday and Sunday from about 5AM to 11PM; match City of Phoenix frequency and modify end of line turnaround.

 Route 104 Alma School – In Chandler, modify route to serve the area currently served by the Route 112 (Morelos St. and Hamilton St.) end-of-line deviation.

 Route 112 Country Club/Arizona Ave. – In Chandler, eliminate the Morelos St. and Hamilton St. end-of-line deviation. All trips will serve the Chandler Park-and-Ride.

 Phoenix Transportation 2050 Improvements – Step 2 Bus Service Improvements: Expand service hours to match Light Rail Hours of Operation

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 602-262-7433

o Increase hours of service to operate from about 4AM to 2AM on Friday; 5AM to 2AM Saturday; and 5AM to 11PM Sunday within the City of Phoenix. The following table denotes the proposed changes by route:

Phoenix Operated Local Bus Routes Route Name Increase Span of Service 0 Central Ave √ 1 Washington/Jefferson √ 3 Van Buren √ 7 7th St √ 8 7th Ave √ 10 Roosevelt √ 12 12th St √ 13 Buckeye √ 15 15th St √ 16 16th St √ 17 McDowell √ 19 19th Ave √ 27 27th Ave √ 28 Lower Buckeye √ 29 Thomas √ 32 32nd St √ 35 35th Ave √ 39 40th St √ 41 Indian School √ 43 43rd Ave √ 44 44th St/Tatum √ 50 Camelback √ 51 51st Ave √ 52 Roeser Rd √ 59 59th Ave √ 60 Bethany Home √ 67 67th Ave √ 70 Glendale Ave/24th St √ 75 75th Ave √ 80 Northern √ 83 83rd Ave √ 90 Dunlap √ 106 Peoria √ 122 Cactus √ 138 Thunderbird Rd √ 154 Greenway √ 170 Bell Rd √ 186 Union Hills √

Valley Metro Operated Local Bus Routes (in Phoenix) 45 Broadway √ 61 Southern √ 77 Baseline √

Public Outreach Valley Metro is conducting community outreach beginning in October to notify the public and solicit input on the proposed service changes. Comments will be accepted through November 4, 2016. Customers can provide feedback through the following channels:  On-site region-wide information sessions (based on service change impacts)  Webinar (October 26, 2016)  Social media  Via email at [email protected]  Public hearing (November 1, 2016)

Valley Metro communicates these input opportunities through newspaper advertising (30 days in advance – English and Spanish publications), news release(s), website, email, social media, city publications and targeted outreach at key locations.

COST AND BUDGET The estimated costs of the proposed service changes and adjustments are still under evaluation. Once the list of service changes is finalized, staff will define the impact on bus service operating contracts and member agency Intergovernmental Agreements.

STRATEGIC PLAN ALIGNMENT This item addresses three goals in the Board-adopted FY16-20 Strategic Plan:  Goal 1: Increase customer focus o Tactic A: Improve customer satisfaction  Goal 2: Advance performance based operations o Tactic A: Operate an effective, reliable, high-performing transit system  Goal 3: Grow transit ridership o Tactic A: Expand and improve transit services to reach new markets o Tactic B: Improve connectivity of transit services for greater effectiveness

COMMITTEE PROCESS RTAG: August 16, 2016 for information TMC: September 7, 2016 for information Board of Directors: September 22, 2016 for information

RECOMMENDATION This item is for information only. Following the public review process and final review by the Service Planning Working Group, proposed service changes operated and/or funded by Valley Metro will be brought before the Board for action. This will include any actions necessary to adjust affected transit service operating contracts and Intergovernmental Agreements with member agencies.

CONTACT Wulf Grote, P.E. Director, Planning and Development 602-322-4420 [email protected]

ATTACHMENT Appendix A – Proposed Regional Services Regardless of Funding Source

Appendix A – Proposed Regional Services Regardless of Funding Source

8/31/2016

Proposed April 2017 Transit Service Changes

September 2016

Overview • Coordinated through: – Service Planning Working Group – Individual member agencies – Short Range Transit Program – Transit Standards and Performance Measures • Board action anticipated in January 2017 – Service contract changes and IGA amendments

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Proposed Changes

Phoenix T2050 Improvements • T2050 Step 2 bus service improvements – Expand service hours to match light rail: 41 routes

STEP 1 STEP 2 CURRENT Implemented Proposed April October 24, 2016 2017 MON‐THURS 5:00am – 10:00pm 4:00am – Midnight 4:00am – Midnight FRIDAY 5:00am – 10:00pm 4:00am – Midnight 4:00am – 2:00am SATURDAY 6:00am – 8:00pm 5:00am – 10:00pm 5:00am – 2:00am SUNDAY 6:00am – 8:00pm 5:00am – 10:00pm 5:00am – 11:00pm

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Route and Frequency Modifications

• Enhance Service Hours and Frequency – Route 50 – Camelback in Scottsdale • End-of-line adjustments – Route 40 – Main in Mesa – Route 50 – Camelback in Scottsdale – Route 104 – Alma School in Chandler – Route 112 – Country Club/Arizona Ave. in Chandler

Next Steps • Continued analysis & agency coordination • Public comment period – October through November 4, 2016 – Webinar (October 26, 2016) – Public hearing (November 1, 2016) – Open houses & targeted outreach – Online: website, email & social media • Board action – January 2017 6

DATE AGENDA ITEM 5 August 31, 2016

SUBJECT Safe Place Expansion to Regional Bus System

PURPOSE To provide an informational update on the expansion of the Safe Place program to the regional bus system.

BACKGROUND/DISCUSSION/CONSIDERATION As the city of Phoenix and region expands bus service hours and increases bus frequency in October 2016, Valley Metro seeks to broaden its partnership with Tumbleweed Center for Youth Development (Tumbleweed) to extend the Safe Place program to the regional bus system later this fall.

Safe Place is a national youth outreach program that supports young people in need of immediate health and safety resources in more than 1,500 communities across the country. Tumbleweed has managed the program in Maricopa County since 2005. Safe Place locations include Valley Metro Rail stations, QuikTrip convenience stores, city libraries and banks.

Since 2013, all Valley Metro Rail stations have served as safe places for youth ages 12 – 17 who are homeless, have left their homes because of abuse or neglect and/or have been forced to leave by their parents. Teens seeking shelter and safety can get help at any light rail station 24-hours a day using the emergency call box and security personnel in the Valley Metro Rail Operations Control Center.

Thus far, six vulnerable teenagers have received life-changing assistance from Valley Metro’s trained staff at light rail stations in Phoenix. In one case, a 14-year-old pregnant female used the emergency call box at the 19th Ave/Camelback station to call for Safe Place help. Tumbleweed, committed to responding within the hour, was able to place the teen in a safe and stable environment. In another case, a frightened 16-year-old Nevada runaway received much needed help from a Valley Metro fare inspector. The teen said he had been on the run for weeks, hitchhiking, eating from dumpsters and panhandling for cash. Tired and frightened, he spotted a Safe Place sign at the Thomas/Central Ave station and asked for help from the fare inspector, who followed Safe Place training protocol to connect the teen with Tumbleweed.

On buses, different than connecting via the emergency call box, the young person would board a bus and ask the operator for assistance. The bus operator would then contact dispatch/control center staff and this team would dispatch a supervisor and Tumbleweed to support the teen in need.

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

Staff is consulting with the operations teams and service providers of both Valley Metro RPTA and city of Phoenix. There has been general agreement that this program adds value, integrating additional training is manageable and that the program does not distract from the core mission of operating a bus safely and reliably. Additional meetings are being scheduled to develop and refine a standard operating procedure, based on peer research and the metro Phoenix transit environment, and to create buy-in with the Amalgamated Transit Union.

Similar to Valley Metro Rail front-line staff, training of bus operators, supervisors and dispatch would occur regularly during new hire orientation and annual re-training. An initial set of trainings and operator communications, to introduce the program, are being organized for September.

Through a strong collaboration with Tumbleweed, city of Phoenix and service providers, Valley Metro can build upon the current success of Safe Place by expanding a commitment to the communities served by all transit. By including the regional bus system, there will be 900 additional locations (buses) where teens in need can go to connect with lifeline resources.

Additionally, while Valley Metro was the second transit agency in the country to institute Safe Place on light rail, the region will be joining nearly 60 other transit agencies nationwide that have successfully implemented Safe Place on their buses, including in Seattle, Indianapolis, Fort Worth and Jacksonville. Calls for service are manageable, with peer agencies receiving an average of eight Safe Place calls per year.

COST AND BUDGET Currently, Valley Metro pays an annual fee ($100) per rail station to support the labor and resources of Tumbleweed. To expand to buses, Valley Metro and Tumbleweed have agreed to a $250 annual fee per bus operations facility, of which the region has seven, for a total of $1,750 per year.

There are a few other minor costs, including production of Safe Place decals and any marketing/outreach material, that will be necessary.

Costs (for the current and future program) have been allocated in the Valley Metro RPTA and Valley Metro Rail Adopted FY17 Operating and Capital Budgets.

COMMITTEE PROCESS RTAG: August 16, 2016 for information TMC: September 7, 2016 for information Board of Directors: September 22, 2016 information

STRATEGIC PLAN ALIGNMENT This item relates to the following goals and strategies in the Five-Year Strategic Plan, FY 2016 – 2020:

Goal 1: Increase customer focus.  Tactic B: Evaluate and enhance passenger safety and security. o Sub tactic 2: Expand Safe Place program to bus operations in partnership with the City of Phoenix.  Tactic C: Enhance customer service to member cities. Goal 3: Grow transit ridership.  Tactic C: Communicate availability, attractiveness and safety of transit service.

RECOMMENDATION This item is presented for information only.

CONTACT Hillary Foose Director, Communication & Marketing 602-322-4468 [email protected]

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Safe Place Bus Expansion

September 2016

Objectives • Expand Safe Place to regional bus system – To 900+ buses – Without impact to service reliability • Expand community commitment • Enhance passenger safety, customer service – Especially relevant with expansion of service hours

1 8/31/2016

Safe Place Background • Provides immediate help & resources to youth ages 12 – 17 • National program – 60+ participating transit agencies – Managed locally by Tumbleweed Center for Youth Development • In metro Phoenix: – All 35 Valley Metro Rail stations – QuikTrips – Libraries, fire departments 3

How It Will Work • Young person boards bus & asks operator for assistance • Bus operator contacts Dispatch • Dispatch: – Sends Supervisor for support – Contacts Tumbleweed to intercept youth • Tumbleweed has 13 locations across Valley – Supplemented by Discount Cab

2 8/31/2016

Process Underway • Coordinating with operations teams – Valley Metro & City of Phoenix – Service providers – Union • Drafting operating procedure – Based on peer research • Developing training plans • General agreement that program adds value

Call Volume Expectation

• Low to manageable call volume expected • Limited to teens needing immediate help • Annual call volumes: – Valley Metro Rail: 6 – Tucson: 0 – National average: 8 • Palm Springs, CA; Riverside, CA; Duluth, MN; Louisville, KY; Charlotte, NC; Everett, WA 6

3 8/31/2016

Next Steps • Refine operating procedure • Train dispatch/supervisory staff – Educate all operators – Incorporate into ongoing/annual training • Develop/install program materials – Decals on all buses – Basic marketing materials (car cards, etc.) • Launch in late fall

Positive Impact

“Safe Place opened a door for me when I was homeless. I had seen the yellow Safe Place sign on a light rail station where I remember sitting late at night with my head down, wondering if I could ever turn my life around. All it took was for me to push the red emergency button and ask for help.” -- Jessica Rollins, Tumbleweed client

DATE AGENDA ITEM 6 August 31, 2016

SUBJECT Future Agenda Items Request and Report on Current Events

PURPOSE Chair Zuercher will request future agenda items from members, and members may provide a report on current events.

BACKGROUND/DISCUSSION/CONSIDERATION None

COST AND BUDGET None

COMMITTEE PROCESS None

RECOMMENDATION This item is presented for information only.

CONTACT Scott Smith Interim Chief Executive Officer 602-262-7433 [email protected]

ATTACHMENT Pending Items Request

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

Pending Items Request

Item Requested Date Requested Planned Follow-up Date

August 31, 2016 Joint Meeting Agenda

Transit Management Committee and Rail Management Committee Wednesday, September 7, 2016 Lake Powell Conference Room 101 N. 1st Avenue, 10th Floor 11:15 a.m.

Action Recommended

1. Chief Executive Officer’s (CEO) Report 1. For information

Scott Smith, Interim CEO, will brief the TMC and RMC on current issues.

2. Minutes 2. For action

Minutes from the August 3, 2016 Joint TMC and RMC meeting are presented for approval.

3. Public Comment on Agenda Action Items (blue card) 3. For information

4. Website Redesign and Development Contract Award 4. For action

Scott Smith, Interim CEO, will introduce Hillary Foose, Director, Communication and Marketing, who will request that the TMC/RMC forward to the Boards of Directors authorization for the Interim CEO to execute a two-year joint Valley Metro RPTA-Valley Metro Rail contract with a one-year option with Steer Davies Gleave for Website Redesign and Development in an amount not to exceed $396,770 beginning October 1, 2016. A contract change contingency of $39,677 (10%) is also requested. The Valley Metro RPTA portion will not exceed $264,513. The Valley Metro Rail portion will not exceed $132,257.

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

5. Chief Executive Officer Recruitment Update 5. For information

Scott, Smith, Interim CEO, will provide an update on the CEO recruitment process.

6. Travel, Expenditures and Task Order Changes 6. For information

The monthly travel, expenditures and task order changes for Valley Metro RPTA and Valley Metro Rail are presented for information.

7. Future Agenda Items Request and Report on Current 7. For information Events

Chairs Zuercher and Methvin will request future agenda items from members, and members may provide a report on current events.

DATE AGENDA ITEM 1 August 31, 2016

SUBJECT Interim Chief Executive Officer’s Report

PURPOSE Scott Smith, Interim Chief Executive Officer, will brief the TMC and RMC on current issues.

BACKGROUND/DISCUSSION/CONSIDERATION None

COST AND BUDGET None

COMMITTEE PROCESS None

RECOMMENDATION This item is presented for information only.

CONTACT Scott Smith Interim Chief Executive Officer 602-262-7433 [email protected]

ATTACHMENT None

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

DATE AGENDA ITEM 2 August 31, 2016 Minutes of a Joint Meeting of Transit Management Committee and Rail Management Committee Wednesday, August 3, 2016 11:15 a.m.

Transit Management Committee Meeting Participants Ed Zuercher, City of Phoenix, Chair Madeline Clemann, Vice Chair (phone) David Fitzhugh, City of Avondale Roger Klingler, City of Buckeye Marsha Reed, City of Chandler James Shano for Dr. Spencer Isom, City of El Mirage Marc Skocypec, Town of Gilbert Kevin Link for Kevin Phelps, City of Glendale Rob Bohr for Brian Dalke, City of Goodyear Reed Kempton, Maricopa County Scott Butler for Chris Brady, City of Mesa Jeff Tyne, City of Peoria Nicole Lance, City of Surprise Steven Methvin, City of Tempe

Members Not Present Sara Allred, ADOT City of Tolleson

Rail Management Committee Meeting Participants Steven Methvin, City of Tempe, Chair Scott Butler for Chris Brady, City of Mesa, Vice Chair Marsha Reed, City of Chandler Kevin Link for Kevin Phelps, City of Glendale Ed Zuercher, City of Phoenix

Chairs Zuercher and Methvin called the joint meeting to order at 11:27 a.m.

1. Chief Executive Officer’s Report

Mr. Smith provided an update on the following items:

 Rail rodeo (video)  Regional Dial-a-Ride  Finalist for Arizona Forward Environmental Excellence Award  Cartwright School District donation

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

 Initial VMAGG meeting  FY16 Valley Metro Year in Review

2. Minutes

Minutes from the June 1, 2016 joint TMC/RMC meeting were presented for approval.

(RMC Motion) IT WAS MOVED BY SCOTT BUTLER, SECONDED BY MARSHA REED AND UNANIMOUSLY CARRIED TO APPROVE THE JUNE 1, 2016 JOINT TMC/RMC MEETING MINUTES.

(TMC Motion) IT WAS MOVED BY ROGER KLINGLER, SECONDED BY NICOLE LANCE AND UNANIMOUSLY CARRIED TO APPROVE THE JUNE 1, 2016 JOINT TMC/RMC MEETING MINUTES.

3. Public Comment on Agenda Action Items

None

4. Memorandum of Understanding (MOU) Between Valley Metro RPTA and Valley Metro Rail for use of the Planning and Community Relations Support Services and General Consulting Support Services Contracts

(RMC Motion) IT WAS MOVED BY KEVIN LINK, SECONDED BY SCOTT BUTLER AND UNANIMOUSLY CARRIED TO FORWARD TO THE BOARD OF DIRECTORS APPROVAL OF THE MEMORANDUM OF UNDERSTANDING (MOU) BETWEEN VALLEY METRO RPTA AND VALLEY METRO RAIL FOR USE OF THE PLANNING AND COMMUNITY RELATIONS SUPPORT SERVICES AND GENERAL CONSULTING SUPPORT SERVICES CONTRACTS.

(TMC Motion) IT WAS MOVED BY NICOLE LANCE, SECONDED BY JEFF TYNE AND UNANIMOUSLY CARRIED TO FORWARD TO THE BOARD OF DIRECTORS APPROVAL OF THE MEMORANDUM OF UNDERSTANDING (MOU) BETWEEN VALLEY METRO RPTA AND VALLEY METRO RAIL FOR USE OF THE PLANNING AND COMMUNITY RELATIONS SUPPORT SERVICES AND GENERAL CONSULTING SUPPORT SERVICES CONTRACTS.

5. Results of the Rider Satisfaction and Transportation Demand Management Surveys

Mr. Smith said Chairs, we're going to introduce Hillary Foose, who will introduce our guest, who will give a very quick summary of the report that you have in your -- or you have the slide report in your packet. And we'll go over just a few of the highlights of this

report. Hillary.

Ms. Foose said good morning, Chair Zuercher, Chair Methvin, good to be with you and the rest of the committee. I wanted to just give a quick overview of our couple recent surveys. These will be more abbreviated than what you have in your packet. The packet has the full detail, and so between myself and Kathy DeBoer, who I'll introduce in a moment, we're happy to answer any of your questions, but we do hope to go over this quickly for the sake of your time.

We regularly do surveys to make sure that we can gauge our effectiveness and also look for ways to improve. WestGroup in particular has been our supporter of our research needs for the last several years.

Kathy DeBoer, specifically here, has been with us in one way or another since 1990, so she really truly is the expert on research and certainly now at Valley Metro. So I'll have Kathy go through the PowerPoints quickly. And we're happy to answer any of your questions.

Ms. DeBeor provided a presentation which included the following:

Rider Satisfaction Results  Background and Methodology (2 slides)  Survey Demographics (2 slides)  Vehicle Available  Mode of Travel to Transit by Rider Type  Satisfaction with Bus Elements  Satisfaction with Light Rail Elements  Overall Satisfaction with Transit  Top Reasons for Satisfaction by Rider Type  Top Reasons for Dissatisfaction by Rider Type  Conclusions

TDM Survey Results  Background and Methodology  Alternative Mode Usage: Percent of People  Conclusions

This item was presented for information.

6. Chief Executive Officer Recruitment

Mr. Smith said the application window closed at the end of last Friday, as a matter of fact, and Maricopa County and the outside search firm are currently now going through those and doing an initial review of those.

They will forward on to the ad hoc recruiting committee, which the Board has tasked with taking charge and running the recruitment process, for a meeting next Monday

where they will go over the initial list of applicants that have been culled down by Maricopa County and the firm.

They will then report to the Board on August 18 and look for further action. So we're now -- we have a pool of applicants, and now the Board of Directors is in the process of reviewing those and looking at those pool of applicants to see if there's any one or two or five that interest them in moving forward with further interviews and that will be taking place over the next couple of months.

This item was presented for information.

7. Fiscal Year 2016 (FY16) Fourth Quarter Reports

Mr. Smith said Mr. Chair, you have several slides in your packet. We're not going to go into that in detail. If you have questions of any of the slides, any of the information relayed in there, we would be more than happy to address those.

There is one slide, though, that I would like to point up here, and that's the regional ridership. It's very interesting as we've been tracking our ridership on our system as a whole to see certain trends for which we are not alone.

As you can see, during the quarter our light rail ridership increased significantly and continues to increase. And while we would like to say that's simply because of the two extensions that opened, there's much more to that. We are seeing a much greater acceptance and use of our light rail.

While our bus ridership is decreasing, as I talk to transit executives around the country, once again, there are very, very few bus systems that are not seeing a decrease in their ridership. And while we try to look for reasons, there's no doubt that the improved economy and gas at hovering around $2 a gallon no matter where you are, it's two to two fifty around the country, certainly has an impact, especially here in metro Phoenix where we -- we've actually done a pretty good job of building freeways. And the commutes here are among the least threatening in the entire country. And there's no doubt that we are susceptible to those.

We're just going to continue to monitor that and look at that and not just accept the basic answers. But that is a trend that is continuing. And both of those have shown no signs of reversing: Light rail ridership up, bus ridership down. And we'll keep you up to date as that moves forward.

Mr. Butler said Mr. Chair, Mr. Smith, on the safety and security slides fare inspection is up dramatically between the fourth quarter of FY15 and FY16. It almost doubled overall. Is that a reflection of some of the discussion about the changes of the Allied Barton that Valley Metro's experienced over the past several months?

Mr. Smith said over the past several months and actually over -- since light rail opened, fare compliance has always been a topic of -- a hot topic of discussion. And always the

question as to whether we have sufficient fare inspection or not sufficient.

We have an open platform, and therefore, you can get on the train without buying a ticket, if you want to. We enhanced considerably the fare inspection for a couple of reasons. Number one, because people didn't trust the compliance, we wanted to see if enhanced compliance or actions, what kind of change that would make in our overall fare compliance.

As you can see, actually, even though we've almost doubled the amount of fare compliance, our fare compliance ratio didn't change a whole lot. That doesn't mean it's a failure. What it means is that overall we have a pretty good fare compliance.

As a matter of fact, I asked Adrian and we've asked others if 94 percent fare compliance if we're satisfied with that, and I would say that for the most part we are. In an open platform scenario that ranks among the best in the country for fare compliance. And what we found that even as we've increased the fare compliance activity, our fare compliance still remained high and we didn't find that we were -- if we weren't getting fare compliance and you have more context, you'd expect it to go down initially and then maybe rise up.

That doesn't mean that those extra actions were not beneficial. We found that one of the greatest challenges we have ongoing is not only fare compliance. We want to -- we never want to get lackadaisical with that because it is important for the-- not so much for the revenue but for the integrity of the system.

When people believe in the system and they trust the system they'll pay their fares. And we found that out, you know, whether you want to go back to the broken windows theory or whatever it is, when people pay fares you have less of a problem and your system thrives.

But the second thing, and you'll be hearing much more of this in the coming year, is our long-term view on system security and safety. There's no doubt, as you saw in some of the satisfaction levels, that there is a concern among our riders, not so much probably, you know, bus and rail are almost the same with the view of their safety. When you put somebody on a bus, when you put them on a train, they're a captive audience, and you need to be very, very much aware that perception it becomes reality, and we don't want that perception to become reality.

So while we have increased our fare compliance this new contract with Allied Barton, we are going to continue that because we found that one of the greatest deterrents to unwelcome activities is having a presence, presence of someone in uniform.

And we recognize that AlliedBarton are not uniformed police officers. We are working with our local police departments and really have some exciting things coming up as far as additional activities, but also having Allied Barton there collecting fares or being there, having some kind of presence, we found makes our system safer and more secure. I don't know if that answered your question.

Mr. Butler said well, it did, but I mean, I think it's important and Mr. Zuercher raised this earlier, as we're approving what could be a five-year contract with some concerns about maybe past performance and seeing positive changes as of late, I mean, I think that number in and of itself really reflects, I mean, when you double the total number of inspections from fourth quarter of last year to fourth quarter of this year, just really trying to understand whether that -- whether staff believes that's a reflection of those changes internally that Allied Barton made and the relationship with our local PDs and with Valley Metro staff to make that happen.

Mr. Smith said absolutely. There's no doubt that our fare inspections of fourth quarter last year were well under our stated goal. We were running nine percent. And we would like to be at 20 percent or above. And we're now up -- pushing that 20 percent on that. That's the level we would like to maintain.

First of all -- and that is a direct reflection of our security, Adrian and security, working closely with Allied Barton and pushing them to perform. We anticipate that that performance will not do anything but improve. As we now have, sort of, got our system, we're now incorporating more of the police department with our functions on an ongoing basis, and we look for that under the new contract for it to get even better.

Mr. Methvin said Mr. Chair, Mr. Smith, why did you say you have to push them to perform? What is Allied Barton there to do if not perform? So when you say you're pushing them to perform, stuck out for me.

Mr. Smith said well, with any contract that you have -- what we do, a lot of what Valley Metro does, most of what we do is we manage contracts. And unless you bird-dog contracts, there's no doubt that human nature kicks in. And unless you're on top of contracts, performance slips. And frankly, we were allowing Allied Barton to not perform up to the level that we anticipated and that we demand in our contract.

And so starting a while ago, with renewed efforts with actually figuring out how best to work with local PD and others, we have developed a much better working relationship. We now understand and talk to each other.

And that's not uncommon for any contract. If you don't really work at it, we found that on our operator contracts on everything, if you don't work it every day and truly get on top of things, things can slip very quickly.

And we've, Adrian and her staff, have really gone overboard to enhance -- this isn't always an iron hammer. A lot of it is just being a partner and really being inside their organization as they're inside our organization.

And we've looked back and said we're not getting what we want -- neither one of us were happy. And so we renewed our efforts and tried some new things and allocated resources differently. And that's, I think, what you see in the enhanced performance by Allied Barton. It's just working together better.

Mr. Methvin said when do you expect this to come back for an update to the Board? In six months? I know you're not asking for approval, but what I'm wondering is how do we know that we're not a year out and we're still seeing the same thing; we're pushing them to perform?

Mr. Smith said well, what you'll get coming up, and what you'll see more and more is that one of our main areas of emphasis in the next year is safety and security. So you'll be hearing from us monthly, whether it be an initiative with a local police department or a joint initiative with both Allied Barton and the police department, you'll be hearing, if not monthly at least bimonthly on new initiatives we're having.

And as part of that, we will be reporting to you as to how AlliedBarton, for example, as our primary contractor, is responding is performing. We have made this a top priority. We do not want to have -- we do not want to -- not that we have a problem with a huge, overriding problem with security, but we see areas that we could improve.

We want to be ahead of the game. We want, you know, our mantra for this year is own the platform and the Park-and-Rides. We want to make sure on the train side that we don't allow the kind of situations to develop that might develop. We don't want to be responsive.

We want to be proactive. That's going to demand working with Allied Barton and our police departments upfront. So you'll see that. We're also not going to accept any dips in our fare compliance amount. And that is a number that we measure every month.

You know, there's a fine line, you know, you look at that satisfaction and one of the things people were dissatisfied with, I asked the question, it said: 76 percent are dissatisfied with the fare compliance. Well, I don't know what side of the question that was on. Are they dissatisfied because there's not enough fare compliance or because there's too much, because we hear both?

And so we're trying to find that sweet spot with Allied Barton as to how much presence is enough to make people feel like the fare compliance is realistic. Because a lot of the complaints I hear is that why should I pay when I know that half the train doesn't pay. And we found that that's a common perception, an incorrect one, because the facts don't support that, but we have to find that sweet spot where you have just enough presence where people believe that everyone else is complying and also that there is a presence for a security standpoint, but not too much where you're spending money where you could allocate it elsewhere and get better results.

So we'll be monitoring that literally every month. There will be a formal report to the Board as frequently as the Board would like it, as frequently as you would like it as far as fare compliance and other things, because we do track those consistently.

And formal reports as we have some big initiative, you'll know about it. And we're working on several with the different police departments. One reason why we've changed this is with the expansion of bus service, we hope that more people ride, and

we recognize we need to now not let that -- we need to get a handle on that.

With the expansion of light rail, we now have 26 miles of light rail. That's a lot of miles in every one of those cities.

So, you know, especially like in Mesa, you go from just going to Sycamore to going through downtown, it's a whole different world. And we've been working with both Allied Barton and with Mesa PD, for example, in really now creating a transit presence. Phoenix we've been there.

With the expansion of the Northwest created new challenges and new problems. We've been working diligently with them. So those are the kinds of activities you'll be hearing about, and we will report on the data as far as how Allied Barton is doing.

Ms. Lance said Scott, this is a little picky, but it may help in advance of the Board meeting. The ridership is decreasing, but in every category, even though it's minor in light rail, the number of complaints is increasing, and it's small. And I know the percentage looks worse than the number, that sort of thing, but it just may be something to speak to in consideration of the messaging. And I don't know, maybe there's a correlation with the fare sweeps and some of that kind of stuff, so it's just something to think about.

Mr. Smith said and I appreciate that. And I can tell you that one of the things that we're working on is a better way to report to both you and the Board. And complaints are one of the measures. For example, with our new contract with First Transit, we changed the criteria for how we report complaints so that it's a raw data, more incompliant and more conformed with what Phoenix does, so we can have a better feel for all those things.

Before we used to try and figure out which ones were -- and I hate to use this term "legitimate, and which one was just not, and we realize, no. No. We should be looking at every complaint and taking it as seriously as the other, because that is our ultimate measure is two things: whether people ride our system and whether people are satisfied, and the way that they express their satisfaction is through complaints.

And so we will -- we look at those very closely, and we'll make sure that we enhance the reporting for you to let you know that we're just not pushing those off into a drawer on the side and ignoring them. Because, you're right, as a percentage, we're proud of our performance. As you saw, we have overall very good satisfaction.

But we're not perfect and that makes us not satisfied. Because when people have problems in our system, usually they're big problems. And we recognize that because, when you look at the data, because we have such a high percentage of our riders who are dependent upon transit that when there's a mess up, it has a big impact, maybe a disproportionate impact: Somebody doesn't get to work on time or at all; someone is left in an unsafe situation. We're very, very cognizant of that and we're going to take that very seriously.

Ms. Lance said I think in respect to the work of your team, just to make sure that if the message is a good one, and it's hey, this went up because we changed the criteria, that that story doesn't get lost in the numbers.

Mr. Smith said okay. We'll make sure we do it. Thanks for the input.

Mr. Zuercher said may I just piggyback on that. We talked last time about this East Valley complaints per hundred thousand and it's one-quarter, but we got to keep our eye on it, because it's going up and it's well above target. And it's well above West Valley, although the sample size is way smaller, West Valley to East Valley, but again, complaints per hundred thousand and mechanical failures seem to be abnormal compared to the West Valley high in a way that I wouldn't think is really acceptable to any of us.

Mr. Smith said and we recognize that. And we began a new contract with First Transit on July 1. As a matter of fact, Scott, do you want to introduce your guest there? Roger, do you want to stand up.

Mr. Wisner said this is Roger Chapman. He's our new general manager at First Transit.

Mr. Smith said First Transit went through a management change and brought Roger in there. Roger brings many, many years of experience in the industry and his job as stated to me is to reverse that trend.

So we'll be looking at the next quarterly report. Hopefully those numbers will show improvement. Not hopefully. They will show improvement.

8. Travel and Expenditures

This item was presented for information.

9. Future Agenda Items Request and Report on Current Events

None.

With no further discussion the meeting adjourned at 12:15 p.m.

DATE AGENDA ITEM 3 August 31, 2016

SUBJECT Public Comment on Agenda Action Items

PURPOSE The public will be provided with an opportunity at this time to address the Boards on all action agenda items. Up to three minutes will be provided per speaker to address all agenda items unless the Chair allows more at his/her discretion. A total of 15 minutes for all speakers will be provided.

BACKGROUND/DISCUSSION/CONSIDERATION None

COST AND BUDGET None

COMMITTEE PROCESS None

RECOMMENDATION This item is presented for information only.

CONTACT Scott Smith Interim Chief Executive Officer 602-262-7433 [email protected]

ATTACHMENT None

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

DATE AGENDA ITEM 4 August 31, 2016

SUBJECT Website Redesign and Development Contract Award

PURPOSE To request authorization for the Interim Chief Executive Officer (CEO) to execute a two- year joint Valley Metro RPTA-Valley Metro Rail contract with a one-year option with Steer Davies Gleave for Website Redesign and Development in an amount not to exceed $396,770 beginning October 1, 2016. The Valley Metro RPTA portion will not exceed $264,513. The Valley Metro Rail portion will not exceed $132,257. A contract change contingency of $39,677 (10%) is also requested.

BACKGROUND/DISCUSSION/CONSIDERATION Valley Metro’s last website redesign occurred in 2008. Staff has continued to augment and improve the site to attempt to stay current with website trends and customer expectations. Today, valleymetro.org supports a high volume of traffic, including 63 million annual page views and more than 2.2 million annual users.

To continue to support the significant and growing interest in transit and an increasingly web and mobile-savvy audience, Valley Metro’s website requires significant renovation. In addition, the current website’s back-end is insufficient to allow for future functionality including mobile responsiveness (a website that adjusts based on the user’s mobile or tablet platform), account-based services (for future fare and rider alert programs) and greater interactivity. Staff sought a firm that has the experience and creativity to design and develop a contemporary, customer-driven new site as well as provide a level of post-launch support and maintenance.

Procurement Results Valley Metro is requesting to contract with Steer Davies Gleave (SDG) to create an improved and more accessible online experience for current and future transit customers. A few of the more critical project objectives include:  Improve the visitor experience and ease of navigation  Build an effective mobile site and main website that is mobile-responsive  Improve the accessibility for people with disabilities who use adaptive technologies on a variety of devices and platforms  Develop a rider profile function for customizable rider alerts and to serve as an online fare media account

SDG has extensive experience with transit agencies, helping them to design and develop next-generation user experiences for transit information. SDG has recently delivered new, mobile-responsive websites for San Diego MTS and Embark (Oklahoma City) and the mobile website for Sound Transit (Seattle). They maximize modern

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

smartphone technologies, building on the growing trend that more than two-thirds of Valley Metro riders have a smart phone. The assigned SDG project manager specializes in digital information solutions for transportation websites and intelligent transportation systems, having worked for numerous like-minded clients across North America and the United Kingdom. SDG has also teamed with experts in content management systems, user experience research and design and cloud hosting.

In May 2016, Valley Metro issued a Request for Proposals and received five proposals. The evaluation panel, consisting of representation from Valley Metro IT, Marketing, Accessible Transit and the City of Phoenix, identified three firms to interview (the top three listed below).

Following the interviews and based on the below evaluation criteria, SDG was determined as the best value based on their team, experience in the industry, user- focused approach and cost (verified by an independent cost estimate). See below for published evaluation criteria and names and ranks of proposing firms.

Evaluation Criteria Introductory Letter 0 Points Experience of firm and assigned personnel 125 Points Effective integration of transit subsystems 100 Points User experience of the website design 125 Points Technology platform recommendation 125 Points Creativity and innovation of the proposal 125 Points ADA WCAG 2.0 compliance 125 Points Knowledge of Valley Metro’s market 75 Points Cost proposal 200 Points TOTAL POINTS AVAILABLE 1,000 Points

Proposers in Ranked Order Steer Davies Gleave 883 Points American Eagle 773 Points Integrated Web Strategy 641 Points World Wide Technologies 570 Points Velocity Labs 503 Points

The SDG proposal indicated a timeline of approximately 12 months for website design and development, including time for user research, prototyping and usability/accessibility testing. The contract will also include an initial period of hosting and maintenance support.

COST AND BUDGET The Website Redesign and Development contract with Steer Davies Gleave has a total term of three years (two-year base with a one-year option). For the total term of the contract, the award cost is $396,770, with the RPTA portion being $264,513 and the VMR portion totaling $132,257. A contract change contingency of $39,677 (10%) is also established.

For FY17, the RPTA contract obligation is $200,000, which is fully funded within the Valley Metro Adopted FY17 Operating and Capital Budget. The VMR contract obligation is $100,000, which also is fully funded within the VMR Adopted FY17 Operating and Capital Budget. Contract obligations beyond FY17 are incorporated into the Valley Metro RPTA and Valley Metro Rail Five-Year Operating Forecast and Capital Programs (FY17 thru FY21).

The sources of funding are Proposition 400 and rail member city contributions.

COMMITTEE PROCESS RTAG: August 16, 2016 for information TMC/RMC: September 7, 2016 for action Boards of Directors: September 22, 2016 for action

STRATEGIC PLAN ALIGNMENT This item relates to the following goals and strategies in the Five-Year Strategic Plan, FY 2016 – 2020: o Goal 1: Increase customer focus.  Tactic A: Improve customer satisfaction.  Tactic B: Improve passenger information systems.  Tactic C: Enhance services and facilities for seniors & people with disabilities. o Goal 3: Grow transit ridership.  Tactic A: Expand and improve transit services to reach new markets.  Tactic C: Communicate availability, attractiveness and safety of transit service.

RECOMMENDATION Staff recommends that the TMC/RMC forward to the Boards of Directors authorization for the Interim CEO to execute a three-year joint Valley Metro RPTA-Valley Metro Rail contract with Steer Davies Gleave for Website Redesign and Development in an amount not to exceed $396,770 beginning October 1, 2016 and to establish a contract change contingency of $39,677 (10%). The Valley Metro RPTA portion will not exceed $264,513. The Valley Metro Rail portion will not exceed $132,257.

CONTACT Hillary Foose Director, Communication and Marketing 602-322-4468 [email protected]

ATTACHMENT None

A copy of the Website Redesign and Development Scope of Work is available upon request.

8/31/2016

Website Redesign and Development Contract Award

September 2016

Background • valleymetro.org receives 5+ million monthly page views • Current back-end limits functionality • Mobile device usage has grown to 80% • Usability study showed that users want a simpler, easier to navigate site

1 8/31/2016

Primary Objectives • Improve visitor experience and navigation • Mobile-responsiveness – Screen & contents dynamically adjust to a variety of mobile platforms • Increased accessibility • Rider profile function – Customizable, real-time rider alerts – Online fare media account

Procurement Process

• Issued RFP in May • Received five proposals • Top ranked was Steer Davies Gleave – And their team: • The Glue (User experience research & testing) • Gaslamp (Development & admin interface) • Acquia (Hosting & support)

2 8/31/2016

Steere Davies Gleave

• Transit information design experts – Real-time information and trip-planning • Recent, similar projects: – San Diego MTS website – Sound Transit (Seattle) mobile site – Embark (Oklahoma City) website – Rugby World Cup spectator trip planner – City of New Castle (UK) multi-modal trip planner • Superior and innovative concept designs • Lower price schedule and expedited timeline 5

Timeline

• Discovery – October – Winter 2016 •Design – Winter 2016 – Early 2017 • Development – Winter 2016 – Spring 2017 • Delivery/training – Spring – Late Summer 2017 6

3 8/31/2016

Recommendation Staff recommends that the TMC/RMC forward to the Boards of Directors authorization for the Interim CEO to execute a three-year joint Valley Metro RPTA-Valley Metro Rail contract with Steer Davies Gleave for Website Redesign and Development in an amount not to exceed $396,770 and to establish a contract change contingency of $39,677 (10%). – Valley Metro RPTA portion will not exceed $264,513. – Valley Metro Rail portion will not exceed $132,257. 7

DATE AGENDA ITEM 5 August 31, 2016

SUBJECT Chief Executive Officer Recruitment Update

PURPOSE To provide an informational update regarding the Chief Executive Officer recruitment process.

BACKGROUND/DISCUSSION/CONSIDERATION Scott Smith, Interim CEO will provide an update on the recruitment process.

COST AND BUDGET None

COMMITTEE PROCESS TMC/RMC: September 7, 2016 for information Boards of Directors: September 22, 2016 for information

RECOMMENDATION This item is presented for information.

CONTACT Scott Smith Interim Chief Executive Officer 602-262-7433 [email protected]

ATTACHMENT None

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

DATE AGENDA ITEM 6 August 31, 2016

SUBJECT Travel, Expenditures and Task Order Changes

PURPOSE The monthly travel and expenditures are presented for information.

BACKGROUND/DISCUSSION/CONSIDERATION None

COST AND BUDGET None

COMMITTEE PROCESS None

RECOMMENDATION This item is presented for information only.

CONTACT Paul Hodgins Interim Chief Financial Officer 602-262-7433 [email protected]

ATTACHMENT Valley Metro Travel Reimbursement Report Valley Metro RPTA and Valley Metro Rail Monthly Accounts Payable over $25,000

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433 Valley Metro Travel Reimbursement Report For Travel Completion Dates July 26, 2016 through August 25, 2016

Total Travel Other Job Title Purpose of Travel Location Dates Traveled Airfare Lodging Meals Misc. Cost Transport DBE Outreach COMTO Conference Dallas, TX 7/8/16-7/13/16 1811.44 522.96 24.00 917.48 293.00 54.00 * Coordinator Community Rail-Volution Chicago, IL 7/12/16-7/16/16 $1,870.56 $357.20 $13.00 $1,122.36 $333.00 $45.00 * Relations Mgr Steering Committee

Project Manager APTA Sustainability Austin, TX 7/22/16-7/26/16 $947.94 $382.20 $32.10 $427.14 $106.50 $0.00 Conference Design Manager CIG Workshop Washington DC 7/25/16-7/29/16 $1,691.89 $808.70 $0.00 $597.69 $241.50 $44.00 * Vanpool Coord. ACT Conference Portland, OR 7/31/16-8/7/16 $1,242.06 $397.96 $5.00 $688.35 $150.75 $0.00 IT Director APTA Working Group Denver, CO 8/9/16-8/10/16 $541.30 164.20 54.23 197.37 103.50 22.00 * Report reflects Out of State (AZ) Travel * Airport Parking Valley Metro Regional Public Transportation Authority Monthly AP Payments over $25,000 July 21, 2016 - August 20, 2016

Effective Document Number Name Transaction Description Date Transaction Amount 20160812W004 FirstGroup America, Inc. June 2016 Fixed Route Bus Service - Unification 8/12/2016 4,456,524.20 20160812W City of Phoenix PTF Expenditure Reimbursement #12 8/12/2016 4,318,457.73 20160812W City of Phoenix Aug 2016 Fixed Route Bus Service, Operations Supp, DAR 8/12/2016 2,197,669.80 20160729W002 City of Phoenix July 2016 FR Bus Service, ADA DAR Services, Monthly Regional Services 7/29/2016 2,195,543.32 20160729W002 City of Phoenix PTF Expenditure Reimbursement Request #11 7/29/2016 1,491,114.29 20160805W002 Total Transit Enterprises, LLC June 2016 East Valley Para Transit Services 8/5/2016 732,283.52 35577 City of Glendale PTF Expenditure Reimbursement Request #1 FY15-16 7/28/2016 710,785.00 20160722W001 ADP PPE 7/17/16 Payroll ADP Wages Payable 7/22/2016 478,332.93 20160805PW001 ADP PPE 7-31-16 ADP Wages Payable 8/5/2016 453,220.61 20160819WP001 ADP PPE 8/14/16 ADP Wages Payable 8/19/2016 415,606.23 20160729W United Healthcare August 2016 Health Insurance Premiums 7/29/2016 309,311.55 20160812W005 Total Transit Enterprises, LLC June 2016 NW Valley ParaTransit/Mobility Center Services 8/12/2016 260,491.27 20160722W001 ADP PPE 7/17/16 Payroll Taxes and Garnishments 7/22/2016 202,217.68 20160805PW001 ADP PPE 7-31-16 ADP Payroll Taxes, Garnishments 8/5/2016 200,158.13 20160819WP001 ADP PPE 8/14/16 ADP Payroll Taxes, Garnishments 8/19/2016 180,327.09 20160722W004 ASRS PPE 7/17/16 ASRS 7/22/2016 173,494.65 20160812W005 Total Transit Enterprises, LLC June 2016 West Valley Fixed Route Transit Services 8/12/2016 155,142.88 20160805PW002 ASRS PPE 7-31-16 ASRS 8/5/2016 153,489.47 20160819WP002 ASRS PPE 8/14/16 ASRS 8/19/2016 153,076.69 35576 City of Avondale PTF Expenditure Reimbursement Request 7/28/2016 145,216.00 20160812W005 Total Transit Enterprises, LLC June 2016 West Valley Fixed Route Transit Services 8/12/2016 129,310.66 35646 Zonar Systems Inc. 7/1/16-6/30/17 Fleet Management Webb Application 8/11/2016 124,946.84 35615 EAR Professional Audio/Video Sales & Service Video Surveillance System for MBOM 8/3/2016 99,774.88 35559 American Public Transportation Association Membership 7/1/16 - 6/30/17 7/21/2016 69,950.00 35580 City of Peoria PTF Expenditure Reimbursement Request #3 7/28/2016 63,388.16 35580 City of Peoria PTF Expenditure Reimbursement Request #2 7/28/2016 61,542.34 35580 City of Peoria PTF Expenditure Reimbursement Request #1 7/28/2016 57,400.50 20160722W003 Second Generation, Inc. dba Ajo Transportation Rural Connector Route June 2016 7/22/2016 53,904.12 35619 C.A.R.E Evaluators, Inc. June 2016 Mobility Center ADA Evaluators 8/3/2016 49,101.50 20160729W007 CopperPoint Mutual Insurance Company Call Center and Mobiltiy Center Rent August 2016 7/29/2016 46,829.28 35557 vRide, Inc. Vanpool Services - May 2016 7/21/2016 44,693.16 35630 CHK America, Inc June 2016 Map Design & Production Services 8/3/2016 41,250.00 8152016 Wells Fargo Bank July 2016 Wells Fargo Credit Card Purchases 8/15/2016 39,877.81 35580 City of Peoria PTF Expenditure Reimbursement Request #4 7/28/2016 39,769.00 35626 Moses, Inc. June 2016 Marketing and Advertising 8/3/2016 38,032.13 20160729W006 Enterprise Technology Services IT Services Consulting - June 2016 7/29/2016 34,866.91 20160731W004 SRP July 2016 Utilities 7/31/2016 27,035.23 20160805W Senergy Petroleum LLC Mesa Diesel Fuel 8/5/2016 26,037.39 20160812W004 FirstGroup America, Inc. 6680-Engine Inframe Rebuild 8/12/2016 25,827.13 20,456,000.08 Valley Metro Rail, Inc. Monthly AP Payments over $25,000 July 21, 2016 - August 20, 2016

Effective Document Number Name Transaction Description Date Transaction Amount 20160722W002 Alternate Concepts Inc. May 2016 Transportation Services 7/22/2016 746,915.67 20160812W002 HDR/SR Beard & Associates June 2016 HDR Planning and Support Services 8/12/2016 745,131.49 20160722W002 Alternate Concepts Inc. June 2016 Transportation Services 7/22/2016 728,893.57 20160805W002 Jacobs Engineering Gilbert Road Extension Design Services June 2016 8/5/2016 647,832.21 20160729W001 HDR/SR Beard & Associates March 2016 HDR Planning and Support Services 7/29/2016 479,280.25 20160729W001 HDR/SR Beard & Associates April 2016 HDR Planning and Support Services 7/29/2016 423,030.55 20160812W002 HDR/SR Beard & Associates May 2016 HDR Planning and Support Services 8/12/2016 413,936.66 20160812W007 Allied Barton Security Services Fare Inspection and Security Services June 2016 8/12/2016 383,164.30 20160812W City of Phoenix Northwest Extension Project Support Costs May 2016 8/12/2016 296,945.00 20160805W007 City of Mesa-Central Mesa Billings Gilbert Road Extension Pymt #8 11/30/15 - 4/17/16 8/5/2016 260,479.71 20160812W005 PB-Wong Joint Venture NWE TO 4 & TO 20 Project Management Construction Management June 2016 8/12/2016 151,789.74 20160729W002 DMS - Facility Services, Inc. Facilities and LRV Cleaning Services - Pymt #6 June 2016 7/29/2016 151,163.74 20160812W004 Sundt/Stacy & Witbeck Joint Venture NWX May-June 2016 NWX Phase 1 Rail Construction 8/12/2016 146,885.95 26947 Trans Tech, Inc. Pantograph Overhaul Kit 7/21/2016 131,255.94 27043 Parsons Transportation Group Inc. Engineering Design and Consulting Services for SCADA Upgrade Project 4027, Pymt #3 8/3/2016 122,346.00 20160805W HDR/SR Beard & Associates Public Involvement Consulting Services June 2016 8/5/2016 121,610.35 20160812W008 USBC Real Estate LLC September 2016 Rent - 101 Bldg 8/12/2016 117,458.29 20160722W006 USBC Real Estate LLC August 2016 Rent - 101 Bldg 7/22/2016 117,458.29 027118 Aconex (North America) Inc. Project Controls Systems Services 3/30/16 - 9/29/20 8/18/2016 116,946.67 20160805W003 ARCADIS Consulting Support Services TO23 GRE 4/25-6/14/16 8/5/2016 77,068.09 20160812W003 URS Corp Glendale 4022 - CO #8 and #14- Planning, Conceptual Engineering June 2016 8/12/2016 75,154.17 20160729W006 Stacy and Witbeck-Sundt JV GRE Gilbert Road Light Rail Extension 4/29-5/27/16 7/29/2016 73,944.44 20160729W006 Stacy and Witbeck-Sundt JV GRE Gilbert Road Light Rail Extension 5/27-6/24/16 7/29/2016 69,444.44 20160812W006 City of Mesa-Central Mesa Billings CME Pymt #16 1/11/16 - 6/26/16 8/12/2016 68,018.12 26967 Faiveley Transport North America Compressor and Solenoid 7/21/2016 60,754.84 20160812W003 URS Corp 4022 Capitol/I-10 Planning, Conceptual Engineering for June 2016 8/12/2016 57,805.53 027047 City of Phoenix Bridge Inspec-Tempe Town Lake Bridge 8/11/2016 55,246.94 20160805W007 City of Mesa-Central Mesa Billings Gilbert Road Extension Pymt #9 4/18-6/1/16 8/5/2016 54,215.52 20160819W DMS - Facility Services, Inc. July 2016 Facilities Maintenance Services 8/19/2016 53,327.25 027065 Parsons Transportation Group Inc. Engineering Design & Consulting Services for SCADA Upgrade June 2016 8/11/2016 48,938.00 20160819W DMS - Facility Services, Inc. Facilities Maintenance Services - June 2016 8/19/2016 45,420.39 20160812W005 PB-Wong Joint Venture June 2016 Task 22 Project Management, Construction Management 8/12/2016 44,251.43 26967 Faiveley Transport North America Evaporator Coil Assembly 7/21/2016 43,101.65 27021 NASG Holdings Inc. Cab Windshields 8/3/2016 41,663.48 26991 Don Sanderson Ford, Inc. 2016 F250 Ford Truck VIN 1FD7X2A6XGEC86361 7/28/2016 39,899.29 26991 Don Sanderson Ford, Inc. 2016 Ford F250 VIN 1FDBF2A61GEC86360 7/28/2016 37,595.84 26997 Entertainment Solutions of AZ Inc. June 2016 Event Planning Services 7/28/2016 36,654.43 26979 United Right-of-Way June 2016 Facilities Landskeeping Services 7/28/2016 35,084.67 027111 Thomas & Betts Contactors 8/18/2016 34,907.56 20160805W006 PB-Wong Joint Venture Gilbert Road Extension TO 19 Project Management Construction Management June 2016 8/5/2016 34,693.76 26970 City of Phoenix Regional Fare Media Dist. Fee for July 2016 7/28/2016 33,400.00 26925 Snap-on Industrial Tools for 8 Toolboxes 7/21/2016 32,676.77 20160819W003 Enterprise Technology Services July 2016 IT Services Consultant 8/19/2016 31,999.57 20160805W006 PB-Wong Joint Venture CME (4027) TO 2 & TO 20 Project Managemnt Construction Management June 2016 8/5/2016 31,150.41 027125 RPTA 2016 White Ford Explorer Purchased from Don Sanderson Ford - Pd by RPTA 8/18/2016 29,938.58 027059 Suns Legacy Partners, LLC Phoenix Suns Sponsorship Contract - To Bolster RailRide Ticket Partnership 8/11/2016 25,878.75 7,574,758.30

DATE AGENDA ITEM 7 August 31, 2016

SUBJECT Future Agenda Items Request and Report on Current Events

PURPOSE Chairs Zuercher and Methvin will request future agenda items from members, and members may provide a report on current events.

BACKGROUND/DISCUSSION/CONSIDERATION None

COST AND BUDGET None

COMMITTEE PROCESS None

RECOMMENDATION This item is presented for information only.

CONTACT Scott Smith Interim Chief Executive Officer 602-262-7433 [email protected]

ATTACHMENT Pending Items Request

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

Pending Items Request

Item Requested Date Requested Planned Follow-up Date

August 31, 2016

Rail Management Committee Wednesday, September 7, 2016 Lake Powell Conference Room 101 N. 1st Avenue, 10th Floor 11:30 a.m.

Action Recommended

1. Items from Citizens Present (yellow card) 1. For information

2. Minutes 2. For action

Minutes from the August 3, 2016 RMC meeting are presented for approval.

3. Public Comment on Agenda Action Items (blue card) 3. For information

CONSENT AGENDA 4A. Funding Agreement for Feasibility Study for Northeast 4A. For action Phoenix Transit Corridor Staff recommends that the RMC forward to the Board of Directors authorization for the Interim CEO to enter into a Funding Agreement with the City of Phoenix for conducting a feasibility study to assess the potential of implementing High Capacity Transit (HCT) in the Northeast Phoenix area.

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 602-262-7433

4B. Funding Agreement with Mesa for LeSueur Pedestrian 4B. For action Crossing

Staff recommends that the RMC forward to the Board of Directors authorization for the Interim CEO to enter into a funding agreement with the City of Mesa for them to provide up to $200,000 to Valley Metro to design and construct a signalized pedestrian crossing at LeSueur and Main Street.

REGULAR AGENDA 5. Program Management/Construction Management Services 5. For action Contract Award

Scott Smith, Interim CEO, will introduce Wulf Grote, Director, Capital and Service Development, who will request that the RMC forward to the Board of Directors authorization for the Interim CEO to execute a five-year contract with three, one-year extension options with Hill International, Inc., for Program Management/ Construction Management Services for an amount not-to-exceed $55 million for the initial five-year base.

6. Future Agenda Items Request and Report on Current Events 6. For information

Chair Methvin will request future RMC agenda items from members and members may provide a report on current events.

7. Next Meeting 7. For Information

The next meeting of the RMC is scheduled for Wednesday, October 5, 2016 at 11:45 a.m.

DATE AGENDA ITEM 1 August 31, 2016

SUBJECT Items from Citizens Present

PURPOSE An opportunity will be provided to members of the public at the beginning of the meeting to address the Board on non-agenda items. Up to three minutes will be provided per speaker or a total of 15 minutes for all speakers.

BACKGROUND/DISCUSSION/CONSIDERATION None

COST AND BUDGET None

COMMITTEE PROCESS None

RECOMMENDATION This item is presented for information only.

CONTACT Scott Smith Interim Chief Executive Officer 602-262-7433 [email protected]

ATTACHMENT None

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

DATE AGENDA ITEM 2 August 31, 2016

Minutes from the Rail Management Committee Wednesday, August 3, 2016 Lake Powell Conference Room 101 N. 1st Avenue, Suite 1000 Phoenix, AZ 11:45 a.m.

Members Present Steven Methvin, City of Tempe, Chair Scott Butler for Chris Brady, City of Mesa, Vice Chair Marsha Reed, City of Chandler Kevin Link for Kevin Phelps, City of Glendale Ed Zuercher, City of Phoenix

Chair Methvin called the meeting to order at 11:52 a.m.

1. Public Comment

Ms. Barker said thank you. My name is Dianne Barker. I am a transit patron. And I am here to let you know that nobody came here or stayed from the public. It's been annunciated to me that the process is difficult here. And I hope it's not true, but the people are saying that it's made difficult if you come a little bit late you can't get in either of the first two meetings.

This microphone really doesn't suit me. I would rather just speak with you without it if you can -- (microphone off) can you hear me? Well, it's echoing. My voice carries. Just like this. You can hear me, can't you? Okay.

(Microphone off.) What I'd like to just share with you is that we're after simple interaction. The man who was here as a public says, "How come you can't be at the Board of Supervisors?" We're looking at outreach, looking to outreach, not only for the time that I missed June 15, because -- and I'll hand this in. We've got a map here. I was on the 108. Then headed timely to catch the 66 northbound. We had the signal light. We were there before the departure time of 7:07. The bus driver had to have seen us. We honked our horn to tell him to wait. I got off with my bicycle. And the driver who stood there had run through the intersection and saw me with a hand and I go to the other side, pulled over, because I got off the other side of the bus. And I'm saying this because this is the very old bifurcated system we're taking, which we all want things that we as the taxpayer we own, everything. And you are the servants, and you should be happy of it. I was an hour late to meet the man that's taking me to my birthday party. I reported this then and asked for his supervisor, which had been a standard in Phoenix to get back with me, because this was a driver from behind, not the VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

captain.

I contacted Thelda Williams. She said she'd call. I didn't hear anything. Finally, I went back over a month and they didn't give me any report. Two women I got a hold of in customer service. They said, "Okay. We'll get the supervisor to call you."

The supervisor is always protecting the system. You know you have to be there five minutes. You know like it's like you were all wrong and we didn't do anything with the driver. They did, but they said that there was no problem with that. They reported that. But the thing founded is they should hear about the outreach.

Chair Methvin said Ms. Barker, your concerns are heard. Thank you very much. Your time is up. We're going to move on to the next item. Thank you.

2. Minutes

Minutes from the June 1, 2016 RMC meeting were presented for approval.

IT WAS MOVED BY SCOTT BUTLER, SECONDED BY KEVIN LINK AND UNANIMOUSLY CARRIED TO APPROVE THE RMC MINUTES FROM JUNE 1, 2016.

3. Public Comment on Agenda Action Items

(Only some of Ms. Barker’s comments were recorded as she requested not to use the microphone. Following is a summary of her comments.)

This is in regards to the 50th Street Station which you're talking to at this meeting. And since you decided that you're going to go ahead with this, it's going to be difficult, because it hasn’t been done in the system.

I'd like to have you look at projects that Vegas and up in Colorado where they're using all the mobile transfer centers off those freeways. And you'll have to get ADOT to issue long range advice on transit, because you can really make a hallmark project that we integrate for fast buses on the freeway.

I need with the rail system that you need outreach. You could start caring about the customers. It starts at the top. It starts here when my complaint, the sex and discrimination has not been handled here. I have been totally, totally ignored. And the CEO told me, oh, he says he should go look at e-mail and get back to me.

The customer service stops caring. Customers are going out finding out what the customer needs. It's selling back that value to the customer. Your job as public servants, and it's a privileged job to serve people. I walked here today. I had a flat tire on the bicycle. And I hit the town from the ground, you know, and that is litter, and quite a bit of it was at your main station. Let's get this system so that the people who cleaned 2

it up so people care.

Chair Methvin said thank you, Ms. Barker.

4. MAG Planning Services Agreement

Mr. Smith said this is a standard agreement. Staff is available if there are any questions.

IT WAS MOVED BY ED ZUERCHER, SECONDED BY KEVIN LINK AND UNANIMOUSLY CARRIED TO FORWARD TO THE BOARD OF DIRECTORS AUTHORIZATION FOR THE INTERIM CEO TO EXECUTE THE ANNUAL PLANNING SERVICES AGREEMENT WITH MAG FOR FY17.

5. Fare Inspection and Security Services Contract Award

Mr. Smith said thank you, Mr. Chair. And this is, we've talked about this. If you'd like, since this has been a topic of discussion, if you'd like to ask Adrian additional questions as to the terms or meaning of this contract, she's there ready to respond to you.

Mr. Zuercher said I just think clearly the fare inspection piece is more top of mind on the rail than the bus just because of how you can't get on the bus without paying your fare. So we've expressed, and you've done a great job of responding, Adrian, to issues that come up which is people feel like nobody is paying the fare, as Scott said. The facts don't bear it out, but that's the feeling, so maybe just a little bit about how you feel that is going with your staff and where you're headed with trying to combat that perception. With your contractor, I should say.

Ms. Ruiz said absolutely. Going back last year, we did an administrative change order with AlliedBarton on the contract and primarily was looking at the hiring requirements. I, personally, and Valley Metro looking at the former police or military requirement that was initiated prior to my getting here.

I looked at more of a customer service focus when dealing with fare inspection. Leave the policing up to police, but at the same time observe and report security. We felt that could be best handled by more of a customer service methodology. That was one of the first change orders we did when I first got here.

With that, over the term of the contract, that's where we've also seen improvements, again, with management changes and so on. When it comes to doing fare inspections, a very difficult job. It's also not a job police want to do. So we have to have a good foundation for contract services to do that work. At the same time having the eyes and ears on the train when doing fare inspection, you're also providing security, because you are the presence.

With AlliedBarton currently and going into the new contract, we determine after coming off a high of Super Bowl after that 2015 event, which AlliedBarton was very, very responsive and did a very good job, I knew it was time to now take the scope of work and really modify it and really bring it up to speed of what the projections were for extensions and all the special events we do, so that was the year that we looked at as an agency to really reestablish a new scope of work. So that is why we went into a new competition phase.

AlliedBarton was performing adequately at times, not so well in the beginning and improving as we got to this point, again, coming off the high of Super Bowl. But it was time for competition.

Ms. Ruiz provided a presentation which included the following:

 Fare Inspection Security Services Contract  Immediate Goal – New Contract with Expanded Scope of Work  One Year Goal  Long Term Goal  Recommendation

Chair Methvin said are there any additional questions?

Mr. Butler said Mr. Chair, Mr. Smith, Adrian, so this goes back to both something that Mr. Zuercher and Mr. Methvin have said about the accountability of the contractor. And, you know, I'm sure, call me cynical, but here is, you know, we've had performance issues and then an RFQ is about to go into the field. We've seen great performance strides by the incumbent contractor and then that was good to win the preference today on what the Board will take action on. But knowing that this is a three-year deal, what protections do we have if performance after the fact, do we have 30-, 60-, 90-day cancellation?

Ms. Ruiz said yes. In the former contract, and I think Joe -- is Joe Ramirez? Joe's in the back from procurement. He can also speak to this. But in the past when I first arrived, we did have issues with the contract. There was a letter of concern. So we followed the procedure for what the contract allows for putting the contractor on notice of performance. And we have to specify in areas of the contract where we see lack of performance and what documentation we have. So contract monitoring is crucial in this.

And having a security coordinator, which I have Don Schneidmiller he started last June, having him really focus on that contract as 99 percent of his job. That's really crucial, because I need his feet on the ground doing that work.

So collectively we started to see those issues. We put the contractor on notice. And they responded. So we were very specific in our meetings, in our letters, in our drafts, and documentation of what our expectations were. And over the course of time of that 4

letter of concern, there was response in the positive.

And Joe can speak more to what the next phases would be, but putting the contractor on notice again after a letter of concern, we never got to that point with that contract, because we started to see results in the positive.

I've been very pleased as has Don as had the agency in their responsiveness to this. And again, with the middle management change that I've seen with AlliedBarton, we actually met during negotiations for this.

Because I was not involved in the panel, but I participated in the negotiation, is that we wanted confidence from the agency that they would maintain the middle management that we have seen being very reactive and responsive to our needs. And they assured us in a letter back that they would keep the individuals they've assigned to middle and upper management as they are for us. We do not want that to change. So we asked for it in a letter. And we did receive that last week.

So I do not want to see the momentum change. Again, we have a lot of work still ahead of us, but it's been very positive, and it's going up and increasing. And we asked for written proof and written confidence from the agency that they will -- from the contractor that they will keep those people in place for us.

Mr. Smith said and Mr. Minnaugh, our general counsel, there are cancellation clauses in the contract. There are 30-, 60- and 90-day performance notices, and we can cancel through non-performance.

Mr. Butler said Mr. Chair, I know Mesa transit staff has had a lot of opportunity to talk to Adrian about this. And we're very appreciative of the direction this is going. We will feel comfortable with moving this forward today, but, as Mr. Methvin has indicated, we'd really like to see reports back in a timely basis to ensure that this good momentum does carry forward.

Mr. Smith said I can tell you, when I came on, it's been six months now, I know it seems like forever, but it's been six months, I will have to say one of my impressions was that this contract was -- I wouldn't say in disarray, but there was certainly -- it wasn't hitting on all cylinders. And Adrian was very clear about that. And we talked a lot about that. And I can tell you that just in what I've seen over the last six months, there's been a marked improvement. And I think a lot of it has to do with staffing changes we made and the staffing changes AlliedBarton made.

So I've sensed and seen a real improvement as we've ramped up our fare inspections, AlliedBarton's performance. And also, you know, frankly, you bring up a good point that, yeah, did somebody, sort of like, you know, the pro player who all of a sudden has the stellar year in the contract year. Are you worried about that? Then once they get the new contract they fall back. I looked at it a different way. 5

We were very clear and AlliedBarton was on notice that unless there's marked improvement and there's real change for those termed things, there's real significant change, you're not going to be here. I mean, it was very clear. And I sense that that was the reason for the improvement. It's not a, you know, a contract year type of thing, as much as they really just tightening the screws, and having a better communication because I don't want you to think that contracts are managed, like I said, with a heavy hand. You have a heavy hand when you need to, but good contract performance is based on daily communication, honest communication, and brutally honest communication. It really is a partnership. And that's what I think we've developed.

So I feel much more comfortable now than if Adrian would have come to me six months ago and said we're going to renew this, I would not have supported that.

Mr. Zuercher said I was just going to say, so even with all that background, they scored the highest?

Ms. Ruiz said yes, combined score.

Mr. Smith said that information will be included. And we have the 50th Street coming up. And we lack that scoring for that, too. Those sections will be included in the memos that go forward. How did they score the highest?

Ms. Ruiz said Mr. Chair, and members of the committee, we will definitely have that. I've been talking to Joe this morning, and his team is working on getting the technical and combined scores compiled, how they ranked of the eight proposers. Seven were qualified. And then how the pound determined the technical and evaluation criteria and brought the two top finishers for presentations.

Mr. Zuercher said I guess, from what I'm hearing, this puts the pressure on staff, because you're vouching that even with everything you know and all your experience, this is the best, and you guys dug into it; I didn't. But, you know, staff's owning this now and based on the work you've done in the last six months, it demonstrates that when you lock into the contract you get performance, so that just has to continue is all.

Ms. Ruiz said absolutely.

Mr. Smith said we own every contract. This is our decision. Now granted, your staffs are involved in this evaluation. They're on the panels. And so this is, you know, we very much look at this as a joint, because we work together to make these things work. But at the end of the day, it's our call. And we look at it as being our call, and we're more than willing to take full responsibility when we make a call. Mr. Zuercher said the other thing I would just say is I will support this, but my support of the contract does not mean that I support, necessarily, the long-term move to a separate transit police force. 6

So I appreciate the feedback and the thinking and that's what we asked and you gave it to us and there's-- but there's a lot of discussion in the future about that that is separate from approving AlliedBarton.

Mr. Smith said and just so you know, the conversations we're having and the plans we're having in no way move toward that way. It's moving toward more coordination and with the three respective police departments specific initiatives as it relates to their ability to handle transit - related issues on a response level and to be police. As Adrian said, we want the police departments to be police. We want our security to be the type of security they are. They're not police officers. We're not trying or are we setting up a system that would change that dynamic.

Mr. Link said just a quick question, with the increased scope of the new contract is that going to require any major budget adjustment, or are you set there?

Ms. Ruiz said Mr. Chair, members of the committee, no, it will not. I will tell you that I averaged out the last three years of the contract -- actually the last four, since we didn't go to option year five.

On average we have spent $4.2 million. We're budgeted for $4.7 currently. And right now once we get the -- compile the data and present to you what this price schedule is, you'll see it's significantly lower. And it's to the point that it adjusts as we get these new project extensions open.

So I'm very confident in how AlliedBarton has identified what they will pay their folks incentivize for good performance, because that's not my decision what they pay their people. It's a concern of mine, but it's not my decision. So I want to retain good, qualified employees. And as part of their contract, they have to incentivize them with some kind of career advancement, enhancements of some sort to retain those qualified employees. I don't want to see a lot of turnover. Contract business as a typical form of business does have turnover.

But I need to maintain good, qualified people in those places, and they need to be paid a competitive wage. So that was part of also our discussion with AlliedBarton last week.

Mr. Smith said speaking of that, long term, although looking and seeing how the elections come out and everything, the minimum wage issue could become a big issue for us as the majority of our employees -- the employees of the contractors are paid at or below minimum wage now. So there would definitely -- just to keep on your horizon as this discussion is -- we will not be immune to that to the impact of those kind of actions. IT WAS MOVED BY SCOTT BUTLER, SECONDED BY ED ZUERCHER AND UNANIMOUSLY CARRIED TO FORWARD TO THE BOARD OF DIRECTORS AUTHORIZATION FOR THE INTERIM CEO TO EXECUTE A CONTRACT WITH 7

ALLIEDBARTON SECURITY SERVICES FOR AN AMOUNT NOT TO EXCEED $24,174,000.

6. 50th Street Station – CM@Risk Contract Award

Mr. Smith said anticipating your question, I'm going to have Wulf get up here, because we'd like to talk about give the reason why the award was made to Stacy Witbeck over the others, because we actually had multiple proposers on this.

Mr. Grote said Mr. Chair, members of the committee, I'm going to forego the slides on this one. And I know you have them in your packet, and I'll just try to keep this brief.

Just a little bit of background, in June we went to the Board with two of the three contracts that are needed for this project and that was the design contract and the artist. And today we're focusing on the construction manager at risk contract. And actually what we're looking at here is the construction manager at risk is awarded in two phases. And all we're looking for right now is the award of the pre-construction phase, which allows the contractor to work side by side with the designer so that constructability is part of the discussion during the design.

We'll return to the Board next spring with the second phase of this to award the construction part of this effort. So that will be forthcoming.

The other thing that I also wanted to make note of here is I recognize an important question here is that -- is how construction of this new station is going to affect the operation between the East Valley and the central Phoenix area.

Once this contractor is onboard with us and has a chance to familiarize themselves with the project to a greater level, we will work with that contractor and with our operation staff to make sure that we have a plan that minimizes the effect on the existing operation.

And we will come back to the Board sometime later this fall, probably in November, to review his plan and our plan with you all and with the Board. So just so that you're aware of that.

So relative to this procurement specifically, we received qualification statements from four teams and that included Stacy Witbeck, F&F, Kiewit, and Hensel Phelps. And we had a panel that was made up of six people: four people from Valley Metro, two representatives from the City of Phoenix.

And as a result of the evaluation process and utilizing the criteria that were provided, the team recommends that Stacy Witbeck be selected, because they were the highest qualified and most responsive firm. 8

One side note that I will mention is, coming back to my point just a moment ago about operations, the project manager for this team has had very recent experience in Salt Lake City on an operational segment in implementing new facilities as part of an operational segment.

And so, you know, that was a real plus for this particular proposal was that we, you know, we had that kind of experience. This is our first attempt -- not attempt. This is our first experience at having an operational segment where we're doing construction in that operational segment and putting a new station in. So we felt that that was a real important plus for this particular team.

So bottom line is we've negotiated a price of approximately $550,000 with Stacy Witbeck for this initial pre-construction phase.

As was mentioned earlier for the Board packet, we didn't have it in the memo here, but for the Board packet we're going to have information on the firms that proposed, information on how the proposals were rated, as well as a summary of the scoring for each of the proposals. That will be part of the packet.

So what we're looking for today is for your support to award a contract to Stacy Witbeck for an amount not to exceed just under $550,000 for the pre-construction phase and to authorize staff to hold a 10 percent contingency for unforeseen circumstances.

Chair Methvin said thank you, Mr. Grote. Any questions from the committee members?

Mr. Butler said Mr. Chairman, I'll make a motion to approve this, but I also, Mr. Smith and Mr. Grote, thank you for being proactive in addressing that issue about the operations concern. That's a huge concern to my Board member, and I know other Board members expressed their desire to hear kind of the operations perspective of this. And we appreciate what you did, and what Phoenix transit did to communicate with all of us. That's the important first step to getting to that answer is getting this contractor onboard for this phase.

IT WAS MOVED BY SCOTT BUTLER, SECONDED BY ED ZUERCHER AND UNANIMOUSLY CARRIED TO FORWARD TO THE BOARD OF DIRECTORS AUTHORIZATION FOR THE INTERIM CEO TO EXECUTE A CONTRACT FOR THE 50TH STREET STATION CM@RISK CONTRACTOR FOR PRE-CONSTRUCTION SERVICES, WITH STACY AND WITBECK, INC. FOR A NOT TO EXCEED AMOUNT OF $549,710 AND TO AUTHORIZE STAFF TO HOLD $54,971 (10%) FOR USE AS A CONTINGENCY FOR UNFORESEEN CIRCUMSTANCES.

7. Future Agenda Items Request and Report on Current Events

None 9

With no further discussion the meeting adjourned at 12:47 p.m.

DATE AGENDA ITEM 3 August 31, 2016

SUBJECT Public Comment on Agenda Action Items

PURPOSE The public will be provided with an opportunity at this time to address the Board on all action agenda items. Up to three minutes will be provided per speaker to address all agenda items unless the Chair allows more at his/her discretion. A total of 15 minutes for all speakers will be provided.

BACKGROUND/DISCUSSION/CONSIDERATION None

COST AND BUDGET None

COMMITTEE PROCESS None

RECOMMENDATION This item is presented for information only.

CONTACT Scott Smith Interim Chief Executive Officer 602-262-7433 [email protected]

ATTACHMENT None

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

DATE AGENDA ITEM 4A August 31, 2016

SUBJECT Funding Agreement for Feasibility Study for Northeast Phoenix Transit Corridor

PURPOSE To request authorization for the Interim Chief Executive Officer (CEO) to enter into a funding agreement with the City of Phoenix for conducting a feasibility study to assess the potential of implementing High Capacity Transit (HCT) in the Northeast Phoenix area.

BACKGROUND/DISCUSSION/CONSIDERATION The Northeast transit corridor is a 12-mile HCT corridor identified in the regional transportation plan to be opened in 2034 to serve the Paradise Valley mall area. In addition, in August 2015, voters of Phoenix approved a 0.7 cent sales tax that included a separate 8-mile HCT corridor connecting Metrocenter Mall to the Paradise Valley mall area.

The City of Phoenix has requested that Valley Metro conduct a feasibility study to assess two corridor options to connect to the Paradise Valley Mall area. The 12-mile corridor option is generally centered on State Route (SR) 51 (Piestewa Freeway) between the existing LRT line and Paradise Valley Mall. The route would turn north in the freeway corridor, proceed through the Dreamy Draw mountain pass and then turn east to terminate at Paradise Valley Mall, which is located on the west side of Tatum Boulevard between Cactus Road and Paradise Village Parkway North.

The 8-mile corridor option would connect the proposed Northwest light rail extension Phase II near Metrocenter Mall with Paradise Valley Mall. The predominantly east-west option would serve Sunnyslope area, a historic Phoenix neighborhood, generally along Cave Creek Road eventually connecting to Paradise Valley Mall.

The feasibility study will include assessment of engineering constraints, capital and operating cost estimates, development of ridership forecasts and assess future federal funding feasibility assessment. Limited stakeholder engagement will also be included as part of this effort. The goal of the study is to develop a corridor recommendation for further detailed study in the future.

COST AND BUDGET The City of Phoenix will fund all costs associated with the Northeast Transit Corridor Feasibility Study. Valley Metro will reimburse Phoenix for the cost of the study with PTF funds programmed for Fiscal Year 2022. The total project cost will not exceed $400,000. This study will be included in the Fiscal Year 2017 and 2018 budgets.

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

COMMITTEE PROCESS RTAG: August 17, 2016 for information RMC: September 7, 2016 for action Board of Directors: September 22, 2016 for action

RELEVANCE TO STRATEGIC PLAN This item addresses the following goal in the Board-adopted FY16-20 Strategic Plan:  Goal 3: Grow transit ridership o Tactic A: Expand and improve transit services to reach new markets

RECOMMENDATION Staff recommends that the RMC forward to the Board of Directors, authorization for the Interim CEO to enter into a Funding Agreement with the City of Phoenix to pay up to $400,000 for Valley Metro to conduct the Northeast Transit Corridor Feasibility Study.

CONTACT Wulf Grote, P.E. Director, Capital and Service Development 602-322-4420 [email protected]

ATTACHMENT None

A copy of the funding agreement is available upon request.

DATE AGENDA ITEM 4B August 31, 2016

SUBJECT Funding Agreement with Mesa for LeSueur Pedestrian Crossing

PURPOSE To request authorization for the Interim Chief Executive Officer (CEO) to enter into a funding agreement with the City of Mesa to provide up to $250,000 to Valley Metro to design and construct a signalized pedestrian crossing at LeSueur and Main Street.

BACKGROUND/DISCUSSION/CONSIDERATION Mesa would like to install a new signalized pedestrian crossing of Main Street at LeSueur to provide improved access between the Mesa Arizona Temple and Pioneer Park. The goal is to complete the pedestrian crossing before the end of November 2016, when the Christmas light display, attracting thousands of visitors, will be in operation. Mesa will fund the design and construction of the crossing.

Mesa and Valley Metro staff have agreed that it would be best for Valley Metro, utilizing its Consulting Support Services contractor (Arcadis), to implement the pedestrian signal because this work will involve access to the existing active light rail guideway on Main Street. The Arcadis contract, approved by the Board of Directors in June, includes the scope and budget to perform the proposed work tasks.

COST AND BUDGET Mesa will fund the design and construction of the new pedestrian signal, which is estimated to cost up to $250,000. There are no Valley Metro costs associated with this project.

STRATEGIC PLAN ALIGNMENT This item relates to the following goals and strategies in the Five-Year Strategic Plan, FY 2016 – 2020:

Goal 3: Grow transit ridership  Tactic A: Expand and improve transit services to reach new markets.  Tactic B: Improve connectivity of transit services for greater effectiveness.

COMMITTEE PROCESS RMC: September 7, 2016 for action Board of Directors: September 22, 2016 for action

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 602-262-7433

RECOMMENDATION Staff recommends that the RMC forward to the Board of Directors authorization for the Interim CEO to enter into a funding agreement with the City of Mesa for them to provide up to $250,000 to Valley Metro to design and construct a signalized pedestrian crossing at LeSueur and Main Street.

CONTACT Wulf Grote, P.E. Director of Capital and Service Development 602-322-4420 [email protected]

ATTACHMENT None

A copy of the draft funding agreement is available upon request.

DATE AGENDA ITEM 5 August 31, 2016

SUBJECT Program Management/Construction Management Services Contract Award

PURPOSE To request authorization for the Interim Chief Executive Officer (CEO) to execute a five- year contract, with three, one-year extension options, with Hill International, Inc. for Program Management/Construction Management Services.

BACKGROUND/DISCUSSION/CONSIDERATION Valley Metro is actively moving forward with project development on several major high capacity transit corridors identified in the MAG Regional Transportation Plan. In addition, Valley Metro intends to utilize alternative project delivery methods, such as design-build and construction manager at risk, for the design and construction of these projects. Valley Metro recognizes that current staffing levels are limited and additional resources and expertise is needed to manage these major complex projects, particularly with the use of alternative delivery methods.

Currently, Valley Metro has a Program Management/Construction Management (PMCM) contract with PB/Wong, a joint venture, which was awarded in October 2011 and expires in October 2016. This contract has been utilized to help Valley Metro manage major rail corridor projects, including the Central Mesa Extension, the Northwest Extension – Phase I and the Gilbert Road Extension.

Given that the current PMCM contract will end soon and that additional staff and expertise continues to be needed, Valley Metro solicited qualification statements from qualified firms for PMCM services to support Valley Metro staff during design and construction of Valley Metro's High Capacity Transit corridor projects. The selected consultant will become an extension of Valley Metro staff and will oversee and coordinate design, construction, and operations start-up efforts for contracts awarded for the expansion of High Capacity Transit Projects. Potential projects may include the 50th Street Station, Tempe Streetcar, OMC Expansion, South Central Light Rail Transit Corridor, Capitol/I-10 West Light Rail Transit Corridor, West Phoenix/Central Glendale High Capacity Transit Corridor, Northwest Phase II Light Rail Transit Extension, and other potential Bus or Rail Capital Projects.

The contract shall be in effect for a five-year base, with three, one-year extension options, for up to eight years. To exercise the options, Board discussion and approval will be required. The contract will provide consultant staff who will serve as an extension of Valley Metro staff and will bring in specialized expertise, as needed. Work orders for this contract will be issued on an annual task order basis.

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 85003 • 602-262-7433

This type of multi-year support services contract is beneficial for the following reasons:

 Staffing continuity is critically important across multi-year, corridor projects to ensure effective coordination and expeditious project development.  Creates familiarity of the Valley Metro organization and priorities across a consistent consultant team. Key members of the consultant team co-locate with Valley Metro, which also maximizes coordination and communication.  Assures consistent and timely coordination with the Federal Transit Administration and its Program Management Oversight Contractor.  Provides quick access, when needed, to specialized experts who are familiar with Valley Metro’s work practices and priorities.

A Request for Qualifications (RFQ) in accordance with A.R.S Title 34-603 for this contract was issued on February 16, 2016. A pre-submittal conference was held on March 18, 2016. The RFQ’s published evaluation criteria and corresponding point values were as follows:

Introductory Letter 0 Points Understanding of Project 100 Points Proposed Work Plan 50 Points Project Controls 50 Points Organization and Management 100 Points Description of Firm 100 Points Firm’s Project Experience 150 Points Individual Project Experience 150 Points Sub consultants 100 Points Key Personnel 200 Points Total Maximum Allocable Points 1000 Points

Statements of Qualifications (SOQ’s) were received on May 12, 2016. A total of three submittals were received and deemed responsive. SOQ’s were received from:

 Gannett Fleming  Hill International, Inc.  PB/Wong Joint Venture

The selection committee comprised of five Valley Metro employees, one City of Phoenix employee, and one City of Tempe employee, evaluated the three responsive SOQs. Based on the selection committee’s initial scoring and ranking it was determined to conduct interviews with all three firms. Interviews were conducted on July 7, 2016.

Upon completion of interviews, the selection committee completed their final scoring ranking results as reflected below.

Contractor Ranking Hill International, Inc. 1st PB/PGH Wong Joint Venture 2nd Gannett Fleming 3rd

The selection committee determined that Hill International, Inc. was the most qualified and highest ranked firm to perform the PM/CM services and has entered into contract negotiations for a final contract. The City of Phoenix concurred with Valley Metro’s finding Hill International, Inc. responsive to the required DBE Small Business Outreach (49 CFR 26.39).

COST AND BUDGET The initial contract term will be in effect for five years and the cost is not expected to exceed $55 million. The contract amount for the three extension options will be determined when the extensions are awarded, but will likely involve similar annual amounts as during the initial contract term.

Fiscal management will be controlled at the project funding level; prior to issuing a task order for the commencement of work, each project's funding sources will have been identified and regional, local or federal grant dollars will be confirmed. Annual funding amounts and revenue sources will be identified in the fiscal year budgets. New task orders will be provided to the Board as an information item.

Funds for PMCM activities are included in the adopted VMR FY17 Operating and Capital Budget. Contract obligations beyond FY17 are incorporated into the Five-Year Operating Forecast and Capital Program (FY17 thru FY21). The projects supported by this consultant are funded by a mix of federal, regional and local dollars.

STRATEGIC PLAN ALIGNMENT This item relates to the following goals and strategies in the Five-Year Strategic Plan, FY 2016 – 2020:

 Goal 2: Advance performance based operation o Tactic C: Deliver projects and services on-time/on-budget.

 Goal 3: Grow transit ridership o Tactic A: Expand and improve transit services to reach new markets. o Tactic B: Improve connectivity of transit services for greater effectiveness.

COMMITTEE PROCESS RTAG: August 16, 2016 for information RMC: September 7, 2016 for action Board of Directors: September 22, 2016 for action

RECOMMENDATION Staff recommends that the RMC forward to the Board of Directors authorization for the Interim CEO to execute a five-year contract with three, one-year extension options with Hill International, Inc., for Program Management/Construction Management Services for an amount not-to-exceed $55 million for the initial five-year base.

CONTACT Wulf Grote, PE Director, Capital and Service Development [email protected] 602.322.4420

ATTACHMENT None

8/31/2016

Program Management/ Construction Management (PM/CM) Services Contract Award

September 2016

Background

• Current VMR PM/CM Contract – Consultant: PB/Wong Joint Venture – Awarded: October 2011 – Expires: October 2016 – Not to exceed $25 million • Work included – Central Mesa Extension – Northwest Extension Phase I – Gilbert Road Extension

1 8/31/2016

Contract Objectives

• Extension of Valley Metro staff • Oversee and coordinate design, construction, and operations start-up efforts • Maintain staffing continuity for major multi-year projects • Co-location of staff at Valley Metro • Expertise with FTA rules, guidance and processes • Quick access to specialized expertise, as needed

Anticipated Projects

• 50th Street LRT Station • Tempe Streetcar • Capitol/I-10 West Phase I • Northwest Phase II • South Central • West Phoenix/Central Glendale • Operations & Maintenance Center Expansion • Support for projects in preliminary engineering

2 8/31/2016

Contract Duration and Budget

• Five-year initial period – Not to exceed $55 million – Annual task orders – roughly $11 million • Extensions – Three one-year options – amount TBD – Future Board action

Reasons for Increased Contract Value

• Increased rail miles in development – Existing contract: 8 miles – New contract: 20 miles • Increased capital development budget – Existing contract: $678 million – New contract: $2,350 million

3 8/31/2016

Potential RPTA Use of Contract

• Contract with Valley Metro Rail • RPTA use of services, as needed – Will request agreement between VMR and RPTA for each task order, as projects are defined – No work is anticipated in FY17

Consultant Procurement Process • Advertisements: print, online, e-mail to 189 vendors • Meetings: DBE/SBE Expo, Pre-submittal conf. • Proposal received: 3 Consultant Consortiums – all deemed responsive and qualified – all were interviewed • Panel: Valley Metro (5), Phoenix, Tempe 8

4 8/31/2016

Selection Panel Recommends: Hill International, Inc. Consortium • 12 firms – Primary sub: CH2M – Specialized support – Ability to add firms, as needed • Includes: – 8 Disadvantaged Business Enterprises – 9 Small Business Enterprises

Recommendation

Staff recommends that the RMC forward to the Board of Directors authorization for the Interim CEO to execute a five-year contract with three, one-year extension options with Hill International, Inc., for Program Management/ Construction Management Services for an amount not-to- exceed $55 million for the initial five-year base.

DATE AGENDA ITEM 6 August 31, 2016

SUBJECT Future Agenda Items Request and Report on Current Events

PURPOSE Chair Methvin will request future agenda items from members, and members may provide a report on current events.

BACKGROUND/DISCUSSION/CONSIDERATION None

COST AND BUDGET None

COMMITTEE PROCESS None

RECOMMENDATION This item is presented for information only.

CONTACT Scott Smith Interim Chief Executive Officer 602-262-7433 [email protected]

ATTACHMENT Pending Items Request

VALLEY METRO • 101 N 1ST AVE • STE 1300 • PHOENIX AZ • 602-262-7433

Pending Items Request

Item Requested Date Requested Planned Follow-up Date