Sure. Director kim. Here. Ed reiskin, present. Director harper. Here. Director. Here. Mr. Chair you do have a quorum. Good timing. Okay. Communications please. Theres none that i am aware of. Okay. So next item. Item 4 is board of directors new and old business. In the agenda planning what is coming up next time were going to have a presentation from caltrain on its status on electrification is coming in. I am also going to call for a closed session on review of board officers. Its about time that we get back into that so the way i want to do it is at least the way we do it at ac transit we do all four because it tends to go in and out and the interim executive director and general counsel and c fo and with that next item. Item 5 is executive directors report. Okay. Good morning directors. The Board Meeting last month i reported that the responses for the rfp is due may 26 and reported the results of this meeting. We received input since then that more time is needed for the proposals together and extended to june 17, next friday and with they will report also to you next month. For f block four on may 17 the San Francisco board of supervisors took action to approve the parameters for the agreement. This was the latest action required before we proceed with the closing of that basically so i want to take that opportunity to thank the commissioners at the office of Community Investment and infrastructure and Tiffany Bohee the executive director and instrumental in securing the approval the commission and helped us with the board of supervisors. This action along with the action by the San FranciscoControllers Office with financing is allowing us to move forward with the project and fully fund phase one so that is great news. In your report in the budget you say that june 10 is the anticipated closing for f. Thats tomorrow. Yes. Is that still in effect . Its the week two weeks from now. Okay. The developer asked for a seven day extension and i think the date is june 20 if i remember correctly. Under the purchase and sale director harper they have that right and they exercised the right and just a matter of getting the paperwork in order. Thats standard. Okay. Following up on last months discussion at the Board Meeting we met with the City Attorney last week and discussed collaborations with the Attorneys Office. The meeting was very informative. Were going to schedule follow up meetings and scope of work and provided to the Attorneys Office and know the capacity and what they can help with short and longterm. They might not have enough capacity right now. We will do a transition plan for that and i want to thank the board for that suggestion. We continue our discussions with the Insurance Office of providing security for the Transit Center. We had good meetings. We traded staffing plans and i am hoping by next month i can provide results of the discussion and recommendations to move forward for the security on the Transit Center. As a note ryan and i visiting the l. A. Union station next week, look at the security, how its managed there and ask about operational issues that will help us with our building. We had the mayor and welcome the delegation from china on june 7 and the staff provided an overview of the project and gave the mayor and them a look at our system and impressed and the development and intermeadol Transit Development and that was successful and pleased to report that the downtown rail extension has been identified as a high performing project in the plan b area and under development with the regional Strategic Plan b area is a planning document for transportation investment in northern california. Being designated as a high performing project is critical for the funding of the program and helps with the position to get the start and fully fund the project. This concludes my verbal report. You do have two reports before you for information Quarterly Financial report as well as the monthly transaction reports. Any questions so far . Okay. Move into the next item . Yes please. Item 6 is construction update. Good morning directors, staff and the public. I am pleased to come back again to report progress on the phase one project and before i kind of get into or hand off to dennis as i do with getting into the in field in place progress i just wanted to underscore in the last month i am pleased with some of the procedural advancements that weve had. Weve had some partnering sessions with core groups as well as trade partners. Weve had i think Productive Group huddles on problem resolution and most importantly we just concluded yesterday a very significant strong dra session dealing with some of the issues i think you were briefed on last month, so a good energy towards identifying issues, tackling issues and resolving issues in a timely matter so i just wanted underscore that. In addition to presentation of the project as mark mentioned were progressing reaching on bringing the master [inaudible] and my concern is have operational readiness and building ready to hand over and as mark mentioned were going to go look at Union Station and arctic to round out our knowledge and align the operational thinking and in the coming months we will be on boarding some of the transit operators to kind of round out our understanding of the operational needs and make sure theyre aligned with what were building. So were got those two objectives aligned in the next 18 months. With they will ask dennis to speak to the recent and upcoming activity and safety and labor and i will come back and give a touch on budget and concerns and contingencies. Dra sessions. What is it again . Im sorry of the dispute resolution i wanted to make sure. A strong collaboration between them and us working through some issues with some of the steel and mechanical contractors. Better positioning us you know as i have been saying the sooner we off load or off board some subcontractors the sooner we off board risk and exposure, so this is a good step towards that endeavor to position ourselves to when they wrap up that we can sooner rather than later off board. Thats because its a mutual release of claims at this point and everybody signs off . Non binding but also admissible. Good. And we will hear the outcome of that in the next few weeks i believe. Okay. Dennis could good morning directors. Good morning dennis. So im going to go through the recent activity first over the last month has been very productive. I will point out this graphic we have been using for most of this year that depicts the structural concrete progress. The dark gray has been completed and the green is what was accomplished in the last month which get us us to the edges. A lot of very Good Progress were almost to being out of the structural concrete business shortly and i will show pictures to that effect. In the western zone over the last month the focus has been getting concrete, structural concrete to allow for the follow up trades. That is almost done in the western zone and working on concrete columns, the below grade on the lower level theres a lot of partition walls for the electrical rooms and a major milestone to achieve by the end of the year and work progressed well on that area. Also the map has been being continues and also the concrete masonry walls progress in the western. In the central zone now that all the structural concrete is done we have the follow up trades continuing with the upper right picture showing waterproofing that goes on the first street bridge. Thats progressing to eventually remove the temporary first street bridge and one of the steps there and waterproofed there and the lower right shows the awning continues to be installed in the central zone. In the eastern zone the structural steel and welding was completed, all the punch list items so theyre off the job at this point essentially and fireproofing is following up on work progressing such as eyebrows that we talk about and the constreet on the middle deck continues as about on the eastern zone. Moving on to the activity of the bus ramp and the main focus is up on harrison street and the clem min tina area and where the bus donut section happens and the cable stay framework progresses as were getting closer to the deck pores on that. Some of the pictures here. The two pictures show the pour that happened in the last month and that is behind us and the bottom right shows they call it the lost deck, all of the forms go in place to pour the deck and frame four bridge structure so going to upcoming activities central zone will continue with the awning, metal panels, curtain wall installations and the painting and bus deck level waterproofing and this is building out and the anticipate of this bridge is midjuly and have a traffic switch and just a shift and traffic probably wont notice it so we can remove half of it and build up that section and do a traffic swap a few months later and get the first street bridge out of there in the next months. In the eastern zone continue this and the all of this continues and continue the structural concrete here and at western end we complete this completely. We have other concrete that will happen throughout the year and partition walls and barriers and all of those will continue until october november but the construct url concrete will be done and the partial lid for f will be done in a few weeks and the bus ramp will have the cable stay deck pored and continue to do underground utilities and bridge work throughout the structure. On the safety slide i will happy to report in may there were no incidents, no lost time or recordables in the month of may and to put us over 2. 3 million hours so far on the project so with they will turn it back to ron for the budget slide. I have one question on your ac transit is getting probably more and more toward the electrical recharging stuff, the hydrogen that may or may not be working for us or anybody, so is there any infrastructure that is going into the bus deck at all to support charging on the deck or is that something we will just have to cut in later when it happens . I am not aware of charging on the bus way back in the tony pisony days and running cables there but i guess its not happening. Not at the bus deck. It was anticipated at the bus storage. We studied it and not worth the effort at the time. Yeah. And in bus storage if its required. I dont know if its the wrong decision. At this point were getting to the point of looking at the different technologies that we might be interested in. Okay. Okay. Moving on to our budget slide. In the last month weve increased the expenditures by 21. 9 million bringing us up to about 1. 3 9 billion in terms of expenditures, and our commitments have gone up to 1. 5 1. 3 and with a change of delta of 5. 7 million in additional commitments so as you can see commitments are slowing down and the buy out is pretty much there except for the net worth that i will talk about shortly. In terms of budget and contract time were inching along at 1 a month. In terms of the amount placed in this month its a little light for pacing ourselves for timing finish so i anticipate that number to be starting to increase as we move forward. Looking at our contingency costs overall contingency usage was at 2. 7 million and its about 600,000 less than we had forecasted in the last report, and the may break down of 2. 6 and construction contingency and. 1 million in the other tirchl use as you see in the third fourth row, sorry. Most of it was driven by miscellaneous super structure changes, elevator refinements, minor change orders for the most part. I think the largest one was a Million Dollars of additional plate frs protection above the train box just to deal with some site issues where our cover wasnt as thick as we wanted and compensated by putting additional steel there so no great surprises on that front. Looking at our schedule at one time we were talking about doing a big enforcement for the train box and that is not happen. Those with 2foot cover it is happening and less than that we do it and in case someone comes in and with a jackhammer and punch through that and with the site refinement we discovered areas theyre actually less than 2 feet so we removed the concrete protection slab and replaced with steel plates a bit of a safety net so we dont have inadvertent brooch of the water approaching. Okay. Looking at the schedule the overall forecast each of the major strengths and Holding Tight but from an overall perspective looks like we slipped a bit. The Transit Center this shows about a five day slippage on the Transit Center. 12 days on the bus ramp which is a little perplexing for me because as i sit in the meetings i sense were going to come in by december so i think some fair factor hasnt been teased out yet and i am betting that coming in by december but right now the forecast is slowing a 12 day slippage and as expected the bus Storage Facility slide another month although i hear some advancement in discussion about leases terms and relative to Market Conditions as advanced a bit but i havent seen anything in a written agreement yet that will allow us to move forward in the advertise and bid phase for the bus storage. I talked to bijan about that and in june. It wont make the june. Thats right and then. Its august. There is a meeting in august. Just the opposite. How does that work and its later than you would like to see it. Yeah, and having an operational fix of dead heading. With the issue of transit staff i asked them to come up with a short and longterm plan and short term being able to operate the Transit Center without the bus storage for six, seven month period so that if were not able to build the bus Storage Facility in due time whether we open the Transit Center theyre able to operate. Longterm if somehow the lease doesnt go through so theyre working on that. I think we will be able to mitigate whatever delays were having right now through the short term plan that ac transit is developing. Yeah, this is tied into ac transit and mtc and get four more buses and with the transbay terminal and if they can come in and we have to understand the more we store the fewer that are available for service on a regular basis so we have to be a little bit careful there because we want to come out with as much service as possible. Absolutely. I think the bus deck has 37 bays, the majority but not all storage and some could come back and i dont know if theyre storing on Treasure Island and that is an option so were working with them and come up with a short term Operational Plan and were able to open the Transit Center and operate while the facility is being built if were not able to finish construction at the time. Yeah, definitely needs some attention. I will be at the overall work flow shows some slippage as we look at the more granule view of activities strains and the exterior to waterproofing and interior finishes are showing gains on the schedule. Those are the areas that are most active right now. Theyre the ones that put the most acceleration to and theyre the ones that weve got our sea legs on if you will since we have been ramping up on those for a while. Were seeing slippage in the mechanical electrical plumping systems and commissioning activity and some of it is to be expected. Were in the learning curve and bringing the tradeosline so i hope to see betterment of suggest as we progress and round out those elements as well, but it does kind of amplify or punk wait a general concern for being in a position to put together the Building Systems and the commissioning. Its going to be a big push towards the end another area i have been emphasizing a long time and we will continue to emphasis on and in terms of the challenges of the schedule strategic over time i think has beared some fruit. I think we refined the forecasting among the group and i am seeking to see better improvement on the monthly updates and moving closer to a complete mitigation. As you see were still hanging out there in terms of grading the full mitigationthe next challenge is by america. It settled down a bit but remains a potential significant schedule risk and likely to continue to be a subject of dispute. The schedule risk lies with the timely procurement and installation of Building Systems much to do with a lot of activity with the electrical subcontractor. Last month i noted that i was pushing our team to complete and stressing the emphasis of their certification by america. I was targeting may 13 and we got the evaluation concluded and issues, some letters to the cmgc and fiiveg to one to underscore by way of certification and federal regulation that theyre obligated to deliver what was bid at bid price and by america compliant. We also in that endeavor recognize there was some irregularities or some curiosity bs the bid package listed subcontractors. We saw some submittals from other subcontractors which begged compliance about the fair act and both were pointed out and questioned to the subs and i am awaiting a response for so we can correct that one if there is an issue as we perceive it so more to come on that front. Is this collusion that youre looking at . No. Some of the Building Systems, the fire alarm, the Fire Management system was listed under one particular suband i am seeing submittals from a different subthat was listed for communications, so that raises some eyebrows. We will be continuing to address that as well as insuring that certification by america is maintained. The next topic of challenge is highlighted in the past is change management and unfortunately its pretty much all about ac transit bus deck reconfiguration. Since last month i did receive some proposals from the design team to create the modified construction documents and to implement some of the options that we studied with ac transit. I asked pmpc to put