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Finance Committee Meeting February 2020

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Finance Committee Meeting February 2020 Finance Committee Meeting February 2020 Committee Members L. Schwartz, Chair S. Feinberg, Vice Chair A. Albert N. Brown R. Herman D. Jones L. Lacewell K. Law H. Mihaltses R. Mujica J. Samuelsen V. Tessitore N. Zuckerman Finance Committee Meeting 2 Broadway, 20th Floor Board Room New York, NY 10004 Monday, 2/24/2020 1:30 - 2:30 PM ET 1. SUMMARY OF ACTIONS Summary of Actions - Page 4 2. PUBLIC COMMENTS PERIOD 3. APPROVAL OF MINUTES – JANUARY 21, 2020 Finance Committee Minutes - Page 6 4. 2020 COMMITTEE WORK PLAN 2020 Work Plan - Page 16 5. BUDGETS/CAPITAL CYCLE BudgetWatch (Handout available in the Exhibit Book and MTA.Info) Finance Watch Finance Watch - Page 24 6. MTA HEADQUARTERS & ALL-AGENCY ITEMS Action Items Ratification of Sales Tax Bond - Page 34 Approval to Issue New Money Bond Anticipation Notes (BANs) and Bonds - Page 37 TBTA Reimbursement Resolution for Federal Tax Purposes - Page 40 Board Authorization to File for and Accept Federal Grants - Page 42 2019 TBTA Operating Surplus - Page 50 Mortgage Recording Tax - Escalation Payments to Dutchess, Orange and Rockland Counties - Page 63 Major Construction Review Unit - Page 65 NYC Outer Borough Rail Discount Pilot - Page 70 Report and Information Items MNR Fare Evasion Report - Page 76 LIRR Fare Evasion Report - Page 78 NYCT Fare Evasion Report - Page 80 Procurements MTAHQ Procurement Report - Page 82 MTAHQ Competitive Procurement - Page 85 7. METRO-NORTH RAILROAD & LONG ISLAND RAIL ROAD LIRR Procurement - Page 88 8. NEW YORK CITY TRANSIT, and MTA BUS OPERATIONS NYCT Procurements - Page 90 9. BRIDGES AND TUNNELS (No Items) 10. FIRST MUTUAL TRANSPORTATION ASSURANCE COMPANY (No Items) 11. MTA CONSOLIDATED REPORTS Statement of Operations - Page 100 Overtime - Page 107 Subsidy, Interagency Loans and Stabilization Fund Transactions - Page 110 Debt Service - Page 121 Positions - Page 122 Farebox Ratios - Page 125 MTA Ridership - Page 126 Fuel Hedge Program - Page 150 12. REAL ESTATE AGENDA Action Items Real Estate Action Items - Page 154 Report and Information Items Real Estate Info Items - Page 170 FINANCE Committee February 2020 Action Amount Short Description TBTA Sales Tax Obligation Resolution. The MTA Finance Department is seeking Board approval to formally ratify the annexed Special Obligation Resolution Authorizing Sales Tax Revenue Obligations (bonds secured by Statewide and Citywide Sales Tax), Ratification of Sales Tax Bond Standard Resolution Provisions, and Supplemental Standard Resolution Provisions Resolution (collectively, the “Sales Tax Obligation Resolution”). The Sales Tax Obligation Resolution was approved by the Capital Program Review Board on January 28, 2020. The MTA Finance Department is seeking Board approval of the necessary Approval to Issue New Money Bond documentation to issue new money bond anticipation notes (BANs) and bonds to Anticipation Notes (BANs) and Bonds finance up to $1 billion of capital projects set forth in the 2020‐2024 transit and commuter capital programs. To obtain TBTA adoption of the annexed reimbursement resolution, which is required TBTA Reimbursement Resolution for by Federal tax law to preserve the ability to financ certain capital projects on a tex‐ Federal Tax Purposes exempt basis. To secure MTA Board approval to file for and accept Federal grants for Federal Fiscal Board Authorization to File and Accept Year (FFY) 2020. Federal Grants TBTA annual request to transfer TBTA Operating surplus and investment income, TBTA Operating Surplus advance TBTA 2019 operating surplus and deduct from 2019 TBTA operating revenue, which will be paid into the Necessary Reconstruction Reserve Mortgage Recording Tax ‐ Escalation By State statute, each of these counties is entitled to a share of MTA's MRT‐S tax Payments to Dutchess, Orange and receipts. Rockland Counties To obtain the Board's adoption and approval of the attached resolution establishing the Establish the Major Construction MTA Major Construction Review Unit ("MCRU") within MTA C&D with the initial Review Unit under MTA C & D recommended MCRU panel of internal and external experts. To obtain Board approval to conduct the NYC Outer Borough Rail Discount pilot. During NYC Outer Borough Rail Discount Pilot the pilot the MTA will lower the cost of travel within New York City for customers of both LIRR and MNR on certain eligible ticket types. Presentations Short Description Information Items Short Description Agency Reports on Fare Evasion Fare Evasion statistics to be reported by Agency Representatives. Responsible Department Vendor Name Total Amount Summary of Action Modification to extend the contract by 2 years for hosting, maintenance and MTAHQ Cambridge Systematics, Inc. $2,381,294 improvements to the central server subsystem of the Bus Customer Information System. Non‐competitive award to supply spare parts for 2 years for M7, M8 and M9 electric LIRR Mitsubishi Electric Power Products, Inc. $85,000,000 rail cars for MNR and LIRR. Design‐Build award for accessibility upgrades at the Livonia Avenue Station on the NYCT / MTACD Citnalta/TAP, Joint Venture $53,900,000 Canarsie Line. Modification to extend the contract by 1 year to provide consultant services for the NYCT CH2M Hill New York, Inc. $5,961,327 development of specifications and pre‐award support for the R211 and R262 subway car procurement. Ratification of a modification to the contract to perform repair work to replace a NYCT LK Comstock & Co, Inc. $2,200,000 3000KVA rectifier and transformer at the 78th Street substation on the Queens Boulevard Line. Radification of a contract for internal station hardening at six stations to perform flood NYCT Masterpiece US, Inc. $1,229,000 mitigation work on Communication Room MR‐436 at the 148th Street Station on the "3" Line in Manhattan. Request for an authorizing resolution to use a competitive Request For Proposal process to purchase 504 "A" Division Rapid Transit Open Gangway Cars with an option NYCT TBD TBD to purchase 445 additional cars and a second option to purchase up to 415 additional cars. MTA Real Estate Vendor Name Money Due MTA Short Description $14,400 in year one with 1% Real Estate Part of the Solution Authorization to enter into a license agreement annual increases Amendment to Penn Station Concourse Approval of a modification to Long Island Rail Road Contract GEC 6168A‐02‐01 with Real Estate Improvements AECOM USA, Inc.in the amount of $11.1M Approval to enter into an exclusive license to design, build, operate, maintain and Real Estate Transit Wireless sublicense a wireless communication connection system for the benefit of NYCT customers, and a dark fiber network, within the Canarsie Line Tunnel (the “Project”) ________________________________________________________________________________ 1 of 1 Master Page # 4 of 181 - Finance Committee Meeting 2/24/2020 ________________________________________________________________________________ Master Page # 5 of 181 - Finance Committee Meeting 2/24/2020 Minutes of the MTA Finance Committee Meeting January 21, 2020 2 Broadway, 20th Floor Board Room New York, NY 10004 Scheduled 1:30 PM The following Finance Committee Members attended: Hon. Lawrence Schwartz, Chair Hon. Sarah E. Feinberg, Vice Chair Hon. Andrew Albert Hon. Rhonda Herman Hon. Kevin Law Hon. Haeda B. Mihaltses Hon. Neal Zuckerman The following Finance Committee Members did not attend: Hon. Norman E. Brown Hon. David R. Jones Hon. Linda A. Lacewell Hon. Robert F. Mujica, Jr. Hon. John Samuelsen Hon. Vincent Tessitore, Jr. The following Board Members were also present: Hon. Robert W. Linn Hon. Susan G. Metzger The following MTA staff attended: Robert Foran Mario Péloquin Anthony McCord David Florio David Keller Patrick McCoy David Ross Chairman Schwartz called the meeting of the Finance Committee to order at 1:34 PM. I. Public Comments There were six public speakers. Mr. Omar Vera discussed several items including OMNY and the end of MetroCard, his hopes that OMNY machines will be able to be used for 7 and 30-day unlimited rides, and that in his opinion the fares are too high and should be returned to a $2.00 fare, without biennial increases. Mr. Charlton D’souza, representing Passengers United, discussed several items including asking whether a passenger using OMNY, who needs to leave the system due to a system disruption, will receive a credit (similar to GO Transit in Canada), his opinion that there should be a pilot for OMNY in southeast Queens (where the Atlantic Ticket is being piloted), ________________________________________________________________________________ Master Page # 6 of 181 - Finance Committee Meeting 2/24/2020 his opinion that CityTicket (weekend travel via LIRR or Metro-North) should be expanded for week nights as well, while Freedom Ticket is being considered, and issues such as fare evasion, broken vending machines, and scammers need to be addressed at Jamaica Center and Sutphin Boulevard stations. Mr. Murray Bodin opined regarding several items, including safety items that he believes may be costly and outdated, such as blowing train horns at railroad stations, flashing red lights at railroad crossings (such as on the Willis Avenue Bridge and in Danbury), the red box at Metro-North’s Roaring Brook crossing, Metro-North’s purchasing of married pair railcars (he indicated they should have trailer cars between the cars at a minimum), as well as commenting that pedestrians should wear reflective arm bands for safety, and his disagreement with the sign and policy regarding public speaking time allotments. Mr. Jason Anthony Pineiro discussed several items, including his concerns regarding the action item about terminating retail subleases in the food corridor to accommodate capital improvements at Penn Station and the impact on customers’ ability to get something to eat there, his belief that fares should be returned to $2.00 per ride and there should not be biennial increases, and that the City should contribute earlier in the budget/plan cycle. Mr. Matt Kamper discussed his concerns over the changes to the food corridor at Penn Station and its impact on customers, and asked MTA to consider approaching the work at Penn Station similar to work on station projects, without closing the entire food corridor area.
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