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>> good morning, everyone. We welcome

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you to the regular meeting of the

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board of

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trustees for the utah

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transit authority. Today is

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wednesday, september the 24th

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of 2025. Just a couple matters of business

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to share with you. This meeting is

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being held

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in person

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but being broadcast live through our uta

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board

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meeting webpage, and for the public

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who may be viewing it and

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would like to make comment, there

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is a feature in zoom known

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as raise the hand, and when we

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get to public comments, if you'll

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raise that hand, then that will

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allow our staff to know you'd like

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to make comment. If

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you're here in person, we'd ask that

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you

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fill out a card when we get to that

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section in both

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cases, we'll ask you to limit

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your comments to three minutes. With

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that, we want you to stand and join

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us in the pledge of allegiance. I

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pledge allegiance to the flag of the united states of america, and to

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the republic for which it stands, one nation under

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god, indivisible, with

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liberty and justice for all.

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>> with that we'll turn to

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our safety first minute,

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and we'll welcome our

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chief people officer, ann green barton. Ann.

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>>

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good morning. All right. As we

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move into the fall and winter months, the

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sun is setting earlier, and

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that means reduced visibility during

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later commutes and evening

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work. Whether you're behind the wheel, walking

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through a

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building or moving between parking

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areas, stay

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alert and take extra time to look

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around, wear reflective gear when

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appropriate, and avoid distractions

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like your

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phone. The shorter days don't have

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to mean greater risks. By staying

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aware, we can keep ourselves

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and each

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other safe. Thank you.

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>> thanks,

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ann. With

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that, we'll turn to public comment. Curtis,

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do we have any

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cards? Is there anybody here that

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came in person

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to make comment that we

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missed? Okay. How about online? And

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then online. If there are others that

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would like

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to make comment

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after the fact, we certainly welcome

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those. With that we'll go to our consent

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agenda

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which is minutes from

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a prior meeting.

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>> motion to apleuv

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the

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cob sent agenda.

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>> second. >> I have

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a motion seconded

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by jeff to approve the consent. All

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in

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favor say aye.

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>>

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aye.

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>> any opposed? That motion passes. With

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that we'll

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go to our executive director jay fox

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for his report. Good morning, jay.

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>>

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good

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morning, trustees. Well, if you haven't

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heard the good news yet, and I'm

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sure you have

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since you were with me, the utah transit

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authority was named the outstanding

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public transportation --

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>> we probably

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should

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have you hold that just a tad closer.

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>>

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closer?

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>> there we go. Thank you. >>

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we have been

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named --we announced this previously,

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but we

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received the award

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this week for the 2025 outstanding

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public transportation

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system for agencies of our size

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in north america. So I just

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note is a remarkable honor, one made

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possible by

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our dedicated employees,

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support from our

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customers, our partners, contractors,

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porters, taxpayer investors, really

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it reflects

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a unified recognition. That's a picture

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of us from -- at

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boston where we received the award

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last week where

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96% of us were dressed

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in red. [

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laughter ]

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>> I just think --if I

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sum

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this up in one sense, just a reflection

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of how far

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this agency has

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come since

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2020, we really have rebounded

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very well, and far I think exceeding

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the hopes of this area in

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terms of how we're providing service now. So

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I want to thank you, trustiest, for

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your trust in me and

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giving me the opportunity to lead

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this agency. I want

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to thank my executive team for their

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leadership

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and making this possible. And most

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of all,

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thank you to what I call the we, all

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3,000

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of the amazing uta employees who move

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our

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customers and drive economic growth

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everyday for our region

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and the state of utah. So just

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one last note on this, this award

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will

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make its rounds around the

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agency. We have our comps team is preparing

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a

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lot of really cool stuff to celebrate

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this

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--you know, this really prestigious award

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for this agency.

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>> jay,

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as a board, we want to express our

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thanks

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to you as the executive

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director for your leadership.

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>>

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thanks.

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>> and working and making

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it inclusive we, and I think

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that's deserving of a round of applause. [

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applause ]

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>> appreciate

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it.

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>> thank you so much. All right. I

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actually

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don't have anything else on my

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report for this week. I think that

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was good,

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as a single item. But if you're okay,

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I'll move right into

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the strategic plan minute

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>> that

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would be great. Thanks.

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>> let me

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just

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bring up my notes on that. So

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this strategic plan

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minute focuses on our priority of generating

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economic

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return, and it is --

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it highlights the campaign that

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we've kicked off on the value

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that we create to our

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community. So this initiative is led

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by

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our communications marketing department. We

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had a

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really great kickoff on july 16th. Tom

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cruise was there, although we never

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got to see his face, but I know he

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was there. And

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it's focused on deploying --

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>> I

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thought that was brad pitt.

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>> oh. Was

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it brad

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pitt? I'm sorry.

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>> it's okay. You

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were star

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struck. I get it.

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>> I'm pretty sure. [

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laughter ]

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>> and

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it's focused on, you know, forming

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stakeholders

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of all of our value, including

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a $5.11 return

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for every $1 invested. The media engagement

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metics, they're

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really well ahead of

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our goals. We had 336

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articles published versus

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a 240 target, and our coverage

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would appoint an evaluation that's

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pretty high, versus 648 target, if

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you really want to

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know what that means, I can bring

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coms up. We're doing well,

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we're recovering well. We've done

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social storytelling, social

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media, podcast appearances, so we

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are getting this

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out. All that work is

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supported by metro

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analytics who study influence the

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campaign messaging. And

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so thanks again

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to our coms team, our creativity, leadership,

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and I would say one of

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the things they've done really well

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is continue to

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cycle the message. We're not just

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putting in a message and then

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leaving it there for somebody to potentially

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read, that, you know, we're

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regularly reminding --you know, our customers,

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our

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constituents, our stakeholders of

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what we're doing and how

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we're doing it and how we're doing

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it well. Really

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thank you for that

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work. Looking forward to expanding this

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discussion and reinforcing this maybe

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even

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during our legislative session and

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every opportunity

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we have.

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>> well, thanks, jay. And

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obviously

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we need to have you

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watch f1 with us.

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>> yeah. Yeah. I wanted

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to see that one

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instead of "how to train

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your dragon."

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>> that's

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great. Thank you, though. With that,

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why don't we move to item c

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on our agenda which is our pension

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committee report. We'll turn

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to our colleague jeff acerson. Jeff.

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>>

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thank you, chair christensen. We've

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got

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a couple slides we want to show

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you. One of the things that we've made

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a

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commitment to over the long term is

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to

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move some of our allocation of global

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equities into what we

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call the private equity arena. And

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just

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an update on that. That's a

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year-over-year time frame. It's not

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a short-term transition,

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but we've got about 1.3% of

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the 10% that we've allocated to go

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into that. And so

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probably in the next

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two, maybe three years we'll

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start to see how that responds and

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how that

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returns on the investment. But we

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have

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high hopes and good expectations that

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that will

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be

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a very positive move for

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00:09:05,412 --> 00:09:06,413
the pension allocations. So --and

298
00:09:06,413 --> 00:09:08,413
one more

299
00:09:09,416 --> 00:09:11,418
update. In the next slide maybe

300
00:09:11,418 --> 00:09:15,389
it'll show it. Yes. We're about a

301
00:09:15,389 --> 00:09:16,390
10% return year to date on

302
00:09:16,390 --> 00:09:18,392
the pension, so that's --we're doing

303
00:09:18,392 --> 00:09:19,393
all right. You know, we

304
00:09:19,393 --> 00:09:21,395
had quite a discussion the previous

305
00:09:21,395 --> 00:09:23,395
time we met

306
00:09:24,398 --> 00:09:25,399
about tariffs

307
00:09:25,399 --> 00:09:27,401
and how that might react or respond

308
00:09:27,401 --> 00:09:28,402
to

309
00:09:28,402 --> 00:09:30,404
how it does in the marketplace. But

310
00:09:30,404 --> 00:09:32,404
at least up

311
00:09:33,407 --> 00:09:34,408
to this point, we haven't really

312
00:09:34,408 --> 00:09:36,410
seen a negative impact on that. Hold

313
00:09:36,410 --> 00:09:39,410
our breath. You know, knock

314
00:09:39,413 --> 00:09:40,414
on wood, whatever we need to do

315
00:09:40,414 --> 00:09:42,416
to make sure that doesn't happen. But

316
00:09:42,416 --> 00:09:44,416
--so this

317
00:09:45,385 --> 00:09:48,385
year to date is up

318
00:09:48,388 --> 00:09:50,390
to july 31st, 2025. And quite

319
00:09:50,390 --> 00:09:51,391
honestly, the market has responded

320
00:09:51,391 --> 00:09:53,391
quite

321
00:09:54,394 --> 00:09:55,395
well, even after july. So

322
00:09:55,395 --> 00:09:57,397
we have a pretty positive expectation

323
00:09:57,397 --> 00:09:59,397
that that

324
00:10:00,400 --> 00:10:02,402
return will even increase a little bit. So

325
00:10:02,402 --> 00:10:03,403
--

326
00:10:03,403 --> 00:10:04,404
>> any questions for jeff? Thanks,

327
00:10:04,404 --> 00:10:05,405
jeff.

328
00:10:05,405 --> 00:10:06,406
>> it's kind

329
00:10:06,406 --> 00:10:07,407
of nice to have a good report

330
00:10:07,407 --> 00:10:08,408
>>

331
00:10:08,408 --> 00:10:09,409
yeah.

332
00:10:09,409 --> 00:10:10,410
>> it's doing well. There isn't

333
00:10:10,410 --> 00:10:11,411
much to say. Just keep going.

334
00:10:11,411 --> 00:10:12,412
>>

335
00:10:12,412 --> 00:10:13,413
that's great, though. Nice to see

336
00:10:13,413 --> 00:10:14,414
that

337
00:10:14,414 --> 00:10:15,415
progress. With that, we'll move to resolutions. And

338
00:10:15,415 --> 00:10:17,415
the

339
00:10:18,418 --> 00:10:21,388
first item before us is a

340
00:10:21,388 --> 00:10:23,388
resolution approving the

341
00:10:24,391 --> 00:10:25,392
first amendment to the

342
00:10:25,392 --> 00:10:27,392
authority's 2025 to 2029 five-year

343
00:10:27,394 --> 00:10:29,394
capital plan. And

344
00:10:30,397 --> 00:10:33,400
with that we welcome vi miller,

345
00:10:33,400 --> 00:10:34,401
as well as dan hofer. Vi.

346
00:10:34,401 --> 00:10:36,401
>>

347
00:10:39,406 --> 00:10:41,408
>> good morning, trustees. Good

348
00:10:41,408 --> 00:10:42,409
morning, jay. So we have brought this

349
00:10:42,409 --> 00:10:44,409
forward for

350
00:10:44,411 --> 00:10:45,412
discussion, and then we took it to

351
00:10:45,412 --> 00:10:48,412
l.a.c. For discussion,

352
00:10:48,415 --> 00:10:51,415
and we are back to

353
00:10:51,418 --> 00:10:53,387
request approval of this

354
00:10:53,387 --> 00:10:55,787
amendment to the 2025 through 2029

355
00:10:56,390 --> 00:10:59,390
five-year capital plan. You'll see

356
00:11:00,394 --> 00:11:01,395
there's also a request for a

357
00:11:01,395 --> 00:11:03,397
2025 budget amendment. This increases

358
00:11:03,397 --> 00:11:06,397
the five-year plan amounts for

359
00:11:06,400 --> 00:11:08,402
two projects. It's the light

360
00:11:08,402 --> 00:11:09,403
rail vehicle replacements and the

361
00:11:09,403 --> 00:11:11,405
mount ogden folding expansion. One

362
00:11:11,405 --> 00:11:12,406
of the discussions we'll have today

363
00:11:12,406 --> 00:11:14,406
is to talk

364
00:11:15,409 --> 00:11:16,410
to you about what happened with our bonding

365
00:11:16,410 --> 00:11:17,411
and

366
00:11:17,411 --> 00:11:18,412
our bonding program that we did back

367
00:11:18,412 --> 00:11:20,812
in august was to

368
00:11:21,415 --> 00:11:23,417
support these two projects. And so

369
00:11:23,417 --> 00:11:27,170
this adds $39.9 million to the five-year

370
00:11:27,387 --> 00:11:29,387
plan,

371
00:11:30,390 --> 00:11:32,390
and these are

372
00:11:32,392 --> 00:11:33,393
all bond funds. So, again, we had

373
00:11:33,393 --> 00:11:36,393
a discussion with the board

374
00:11:36,396 --> 00:11:39,399
on july 23rd, and then we had a

375
00:11:39,399 --> 00:11:40,400
consultation with the

376
00:11:40,400 --> 00:11:42,402
local advisory council on august 27th. Academy

377
00:11:42,402 --> 00:11:44,402
I'll have

378
00:11:45,405 --> 00:11:46,406
dan walk you through.

379
00:11:46,406 --> 00:11:48,408
>> thanks, vi. We'll walk through

380
00:11:48,408 --> 00:11:49,409
the individual projects so you can see

381
00:11:49,409 --> 00:11:50,410
the

382
00:11:50,410 --> 00:11:51,411
differences between the current planning

383
00:11:51,411 --> 00:11:53,411
and

384
00:11:54,414 --> 00:11:56,416
the proposed plan. These are the same

385
00:11:56,416 --> 00:11:57,417
as what was already discussed. But

386
00:11:57,417 --> 00:11:59,817
for the light rail

387
00:12:00,387 --> 00:12:02,389
project, overall it adds the two

388
00:12:02,389 --> 00:12:03,390
critical points, adds $67 million

389
00:12:03,390 --> 00:12:06,390
to this year's budget. This

390
00:12:06,393 --> 00:12:09,396
will be for the exercising of

391
00:12:09,396 --> 00:12:12,396
the options so we can

392
00:12:12,399 --> 00:12:14,401
get the additional 20 vehicles

393
00:12:14,401 --> 00:12:15,402
started. And then --

394
00:12:15,402 --> 00:12:16,403
>> 40 all together,

395
00:12:16,403 --> 00:12:17,404
right, which is all

396
00:12:17,404 --> 00:12:20,407
the rolling stock that we initially

397
00:12:20,407 --> 00:12:21,408
wanted to replace?

398
00:12:21,408 --> 00:12:22,409
>> that's correct. It

399
00:12:22,409 --> 00:12:24,409
will replace

400
00:12:24,411 --> 00:12:26,413
both of those two --all those

401
00:12:26,413 --> 00:12:27,414
fleets. So --and then as mentioned,

402
00:12:27,414 --> 00:12:29,414
the $67 million

403
00:12:30,417 --> 00:12:33,387
this year, there's some shifting

404
00:12:33,387 --> 00:12:35,787
in the middle years,

405
00:12:36,390 --> 00:12:37,391
and then some

406
00:12:37,391 --> 00:12:39,393
additional added almost $27 million

407
00:12:39,393 --> 00:12:41,393
in 2029. The overall

408
00:12:42,396 --> 00:12:44,396
net addition

409
00:12:45,399 --> 00:12:46,400
to this project alone is $23.4 million.

410
00:12:46,400 --> 00:12:47,401
>>

411
00:12:47,401 --> 00:12:48,402
and can

412
00:12:48,402 --> 00:12:49,403
I ask a question on that slide?

413
00:12:49,403 --> 00:12:50,404
>>

414
00:12:50,404 --> 00:12:51,405
sure.

415
00:12:51,405 --> 00:12:52,406
>>

416
00:12:52,406 --> 00:12:53,407
and maybe this is to you, vi. When

417
00:12:53,407 --> 00:12:54,408
we bonded, we knew

418
00:12:54,408 --> 00:12:56,410
we would go back

419
00:12:56,410 --> 00:12:57,411
and, you know, tentatively in '28

420
00:12:57,411 --> 00:12:59,413
further the additional funding. Does

421
00:12:59,413 --> 00:13:00,414
the exercise under this option change the

422
00:13:00,414 --> 00:13:01,415
horizon of that

423
00:13:01,415 --> 00:13:02,416
need for additional bonding?

424
00:13:02,416 --> 00:13:03,417
>> we

425
00:13:03,417 --> 00:13:05,817
are still planning to

426
00:13:06,386 --> 00:13:07,387
go back out in '28.

427
00:13:07,387 --> 00:13:08,388
>> okay. >> the

428
00:13:08,388 --> 00:13:09,389
dollar amount

429
00:13:09,389 --> 00:13:10,390
is an estimate right now that we

430
00:13:10,390 --> 00:13:12,392
have built into this plan amendment change,

431
00:13:12,392 --> 00:13:15,395
as well as into the tentative

432
00:13:15,395 --> 00:13:17,395
budget

433
00:13:18,398 --> 00:13:19,399
that we'll be discussing later.

434
00:13:19,399 --> 00:13:20,400
>> okay. Thanks. >>

435
00:13:20,400 --> 00:13:21,401
I

436
00:13:21,401 --> 00:13:23,801
just wanted to --

437
00:13:24,404 --> 00:13:25,405
sorry, dan. My brain just totally

438
00:13:25,405 --> 00:13:26,406
clicked into this. I

439
00:13:26,406 --> 00:13:27,407
think --and as we have these discussions,

440
00:13:27,407 --> 00:13:29,407
and as we

441
00:13:29,409 --> 00:13:30,410
continue to look at these improvements and

442
00:13:30,410 --> 00:13:33,413
these investments, I think one of

443
00:13:33,413 --> 00:13:35,813
the things I wanted

444
00:13:36,416 --> 00:13:38,418
to kind of just re-rearticulate

445
00:13:38,418 --> 00:13:39,386
is that these strategic investments are

446
00:13:39,386 --> 00:13:40,387
actually going to be long-term transformational for our

447
00:13:40,387 --> 00:13:42,389
community. And I know

448
00:13:42,389 --> 00:13:43,390
that it is --I know people always

449
00:13:43,390 --> 00:13:45,390
question

450
00:13:46,393 --> 00:13:48,393
how

451
00:13:48,395 --> 00:13:49,396
do you navigate the whole bonding strategy. And

452
00:13:49,396 --> 00:13:51,396
as

453
00:13:51,398 --> 00:13:52,399
we all know, grants are subjective

454
00:13:52,399 --> 00:13:54,399
and competitive. And

455
00:13:54,401 --> 00:13:56,403
so I think as we continue to have

456
00:13:56,403 --> 00:13:58,405
these discussions, and we strategize

457
00:13:58,405 --> 00:14:00,405
for our

458
00:14:00,407 --> 00:14:01,408
finances, I think it's always good

459
00:14:01,408 --> 00:14:02,409
to

460
00:14:02,409 --> 00:14:04,411
have that as that reference point because

461
00:14:04,411 --> 00:14:06,413
we're not always going to be

462
00:14:06,413 --> 00:14:07,414
in a situation where we would --we'll

463
00:14:07,414 --> 00:14:08,415
simply just get money

464
00:14:08,415 --> 00:14:10,417
just because we asked for it. And

465
00:14:10,417 --> 00:14:11,418
so as we

466
00:14:11,418 --> 00:14:13,387
continue to do this, I think that

467
00:14:13,387 --> 00:14:15,787
it's --you guys have

468
00:14:16,390 --> 00:14:17,391
done an excellent job in really

469
00:14:17,391 --> 00:14:18,392
trying to navigate this and work out

470
00:14:18,392 --> 00:14:21,992
strategies so that we can continue

471
00:14:22,396 --> 00:14:23,397
to be effective as we go out to

472
00:14:23,397 --> 00:14:24,398
that market. We just don't know how everything

473
00:14:24,398 --> 00:14:27,401
is going to go. But infrastructure,

474
00:14:27,401 --> 00:14:28,402
again, I think is one of the most critical

475
00:14:28,402 --> 00:14:30,402
things. And as

476
00:14:30,404 --> 00:14:31,405
we look at that, and we look at our

477
00:14:31,405 --> 00:14:33,405
growth,

478
00:14:33,407 --> 00:14:34,408
I think this is such a worthy investment

479
00:14:34,408 --> 00:14:35,409
in not

480
00:14:35,409 --> 00:14:37,411
just our system but our communities. So

481
00:14:37,411 --> 00:14:39,811
I just wanted to

482
00:14:40,414 --> 00:14:42,416
say that because I know

483
00:14:42,416 --> 00:14:45,419
you have a very challenging task ahead

484
00:14:45,419 --> 00:14:46,386
of you.

485
00:14:46,386 --> 00:14:47,387
>> thank you, beth. And I

486
00:14:47,387 --> 00:14:49,387
also would

487
00:14:49,389 --> 00:14:52,392
like to reiterate for the public

488
00:14:52,392 --> 00:14:55,392
that we did receive $60 million

489
00:14:56,396 --> 00:14:57,397
towards this project from the federal government.

490
00:14:57,397 --> 00:14:59,397
>>

491
00:15:01,401 --> 00:15:03,401
okay. The

492
00:15:04,404 --> 00:15:06,406
mount ogden project, the changes

493
00:15:06,406 --> 00:15:07,407
are highlighted here. Overall we were

494
00:15:07,407 --> 00:15:08,408
adding

495
00:15:08,408 --> 00:15:11,408
$16.5 million to this project, bringing

496
00:15:13,413 --> 00:15:15,415
it to a total

497
00:15:15,415 --> 00:15:16,416
of $26.2 million. This amount does

498
00:15:16,416 --> 00:15:18,416
include

499
00:15:19,386 --> 00:15:21,388
about $3.7 million in formula

500
00:15:21,388 --> 00:15:22,389
grant funds that we receive annually. And

501
00:15:22,389 --> 00:15:24,389
what

502
00:15:24,391 --> 00:15:25,392
this will do --you'll notice that

503
00:15:25,392 --> 00:15:27,394
there's no change in 2025,

504
00:15:27,394 --> 00:15:29,396
but the changes occur in the out years

505
00:15:29,396 --> 00:15:31,398
by doing this amendment now it allows

506
00:15:31,398 --> 00:15:34,398
us to proceed with the

507
00:15:34,401 --> 00:15:35,402
procurement of a contractor to get

508
00:15:35,402 --> 00:15:37,404
started earlier on this project. The

509
00:15:37,404 --> 00:15:38,405
overall differences between the

510
00:15:38,405 --> 00:15:40,407
plans are highlighted here. The top

511
00:15:40,407 --> 00:15:42,407
row has

512
00:15:42,409 --> 00:15:43,410
the existing plan where it's about

513
00:15:43,410 --> 00:15:45,410
$1.2 billion

514
00:15:45,412 --> 00:15:48,415
overall, and then the individual yearly

515
00:15:48,415 --> 00:15:50,417
totals are highlighted in the middle. The

516
00:15:50,417 --> 00:15:52,386
project lines show the net difference

517
00:15:52,386 --> 00:15:54,386
that was the

518
00:15:55,389 --> 00:15:57,389
bottom line

519
00:15:57,391 --> 00:15:58,392
in the previous tables that we discussed. You

520
00:15:58,392 --> 00:16:00,392
can

521
00:16:01,395 --> 00:16:02,396
see the totals

522
00:16:02,396 --> 00:16:04,398
there. The new proposed plan captures the $67

523
00:16:04,398 --> 00:16:06,398
million addition

524
00:16:07,401 --> 00:16:08,402
in 2025, as well as the

525
00:16:08,402 --> 00:16:10,404
changes in the remaining outyears

526
00:16:10,404 --> 00:16:13,404
as well with the overall

527
00:16:13,407 --> 00:16:14,408
new total

528
00:16:14,408 --> 00:16:16,410
for the proposed plan being $1.24 billion. And

529
00:16:16,410 --> 00:16:18,410
as you can

530
00:16:19,413 --> 00:16:20,414
see at the bottom, it

531
00:16:20,414 --> 00:16:22,416
gives a net change year over year, and

532
00:16:22,416 --> 00:16:24,416
in the bottom

533
00:16:25,419 --> 00:16:28,419
right, you can see the $39.9

534
00:16:30,390 --> 00:16:34,394
million that vi alluded to earlier. Any

535
00:16:34,394 --> 00:16:35,395
questions?

536
00:16:35,395 --> 00:16:36,396
>>

537
00:16:36,396 --> 00:16:37,397
any questions from the board?

538
00:16:37,397 --> 00:16:38,398
>> chair,

539
00:16:38,398 --> 00:16:40,398
I'm prepared

540
00:16:40,400 --> 00:16:42,400
to make

541
00:16:43,403 --> 00:16:44,404
a motion

542
00:16:44,404 --> 00:16:46,406
to approve the resolution r-25-09-05,

543
00:16:46,406 --> 00:16:48,406
resolution

544
00:16:49,409 --> 00:16:51,409
approving the first

545
00:16:51,411 --> 00:16:52,412
amendment to the authority's 2025-2029

546
00:16:52,412 --> 00:16:53,413
five-year capital

547
00:16:53,413 --> 00:16:54,414
plan as presented.

548
00:16:54,414 --> 00:16:55,415
>> second. >> I

549
00:16:55,415 --> 00:16:57,417
have a motion from

550
00:16:57,417 --> 00:16:58,418
jeff, seconded by beth to approve

551
00:16:58,418 --> 00:17:00,418
the resolution. With

552
00:17:01,388 --> 00:17:03,388
that,

553
00:17:04,391 --> 00:17:06,391
I'll ask for

554
00:17:07,394 --> 00:17:08,395
roll call.

555
00:17:08,395 --> 00:17:09,396
>> trusteeaceeerson aye. >>

556
00:17:09,396 --> 00:17:10,397
trustee.

557
00:17:10,397 --> 00:17:11,398
>> aye. >> chair christensen. >>

558
00:17:11,398 --> 00:17:12,399
aye.

559
00:17:12,399 --> 00:17:13,400
>> it's a resolution

560
00:17:13,400 --> 00:17:15,400
approving the first

561
00:17:16,403 --> 00:17:17,404
amendment to the authority's

562
00:17:17,404 --> 00:17:18,405
2025 capital budget. And, vi and dan.

563
00:17:18,405 --> 00:17:19,406
>>

564
00:17:19,406 --> 00:17:20,407
so we can get

565
00:17:20,407 --> 00:17:22,409
through this one pretty quickly as

566
00:17:22,409 --> 00:17:24,409
the capital budget

567
00:17:25,412 --> 00:17:28,415
is the first year of the

568
00:17:28,415 --> 00:17:30,417
capital plan. And so, of course,

569
00:17:30,417 --> 00:17:31,418
we are previously discussing of amending

570
00:17:31,418 --> 00:17:33,418
the

571
00:17:34,388 --> 00:17:36,388
plan, this

572
00:17:38,392 --> 00:17:40,394
is amending specifically the 2025 budget

573
00:17:40,394 --> 00:17:43,397
year. We, again, had this discussion with

574
00:17:43,397 --> 00:17:45,397
the board and

575
00:17:45,399 --> 00:17:46,400
with the consultation with the local advisory

576
00:17:46,400 --> 00:17:48,400
council. This

577
00:17:49,403 --> 00:17:51,405
is going to increase

578
00:17:51,405 --> 00:17:52,406
the 2025 budget authority by $67 million. And,

579
00:17:52,406 --> 00:17:54,406
again,

580
00:17:55,409 --> 00:17:57,409
dan just took

581
00:17:58,412 --> 00:18:00,414
you through some of

582
00:18:00,414 --> 00:18:01,415
those details.

583
00:18:01,415 --> 00:18:02,416
>> here's a snapshot

584
00:18:02,416 --> 00:18:04,418
of the overall budget overview

585
00:18:04,418 --> 00:18:07,387
for the change. As you can see,

586
00:18:07,387 --> 00:18:09,387
the current budget

587
00:18:10,390 --> 00:18:11,391
is on top

588
00:18:11,391 --> 00:18:13,393
with our $332.million budget, the

589
00:18:13,393 --> 00:18:16,393
67 we're seeking to add is

590
00:18:16,396 --> 00:18:19,399
all with the sd light rail vehicle replacement

591
00:18:19,399 --> 00:18:21,399
project, and

592
00:18:22,402 --> 00:18:23,403
the new total will be

593
00:18:23,403 --> 00:18:24,404
$397.2 million. Any questions?

594
00:18:24,404 --> 00:18:25,405
>>

595
00:18:25,405 --> 00:18:27,405
only

596
00:18:28,408 --> 00:18:30,410
question I had was on mount ogden. So

597
00:18:30,410 --> 00:18:31,411
the change and then the change in

598
00:18:31,411 --> 00:18:34,411
the capital plan allow us

599
00:18:34,414 --> 00:18:36,414
to go out

600
00:18:36,416 --> 00:18:37,417
for procurement of the actual contractor. I

601
00:18:37,417 --> 00:18:40,387
assume you have a design

602
00:18:40,387 --> 00:18:41,388
firm on board and they're working.

603
00:18:41,388 --> 00:18:42,389
>>

604
00:18:42,389 --> 00:18:43,390
yeah. Design

605
00:18:43,390 --> 00:18:44,391
--final design should be done --if

606
00:18:44,391 --> 00:18:46,391
it's

607
00:18:46,393 --> 00:18:48,793
not done already, done

608
00:18:49,396 --> 00:18:50,397
very shortly.

609
00:18:50,397 --> 00:18:51,398
>> okay. All right. Questions

610
00:18:51,398 --> 00:18:52,399
for anybody? Seeing

611
00:18:52,399 --> 00:18:55,402
none, I'd entertain a motion on

612
00:18:55,402 --> 00:18:57,402
the

613
00:18:57,404 --> 00:18:58,405
resolution.

614
00:18:58,405 --> 00:18:59,406
>> motion to approve resolution r2025-09-06,

615
00:18:59,406 --> 00:19:00,407
the

616
00:19:00,407 --> 00:19:01,408
resolution approving the first amendment

617
00:19:01,408 --> 00:19:03,408
to the

618
00:19:03,410 --> 00:19:04,411
authority's 2025 capital budget as

619
00:19:04,411 --> 00:19:05,412
presented.

620
00:19:05,412 --> 00:19:07,414
>> second. >> I have a

621
00:19:07,414 --> 00:19:10,417
motion from beth, seconded by jeff

622
00:19:10,417 --> 00:19:11,418
to approve the resolution. With that,

623
00:19:11,418 --> 00:19:13,387
I'll

624
00:19:13,387 --> 00:19:14,388
ask for roll call.

625
00:19:14,388 --> 00:19:15,389
>>

626
00:19:15,389 --> 00:19:16,390
trustee holbrook.

627
00:19:16,390 --> 00:19:18,390
>> aye. >> trustee

628
00:19:18,392 --> 00:19:19,393
acerson.

629
00:19:19,393 --> 00:19:20,394
>> aye. >> c >> aye. Thanks

630
00:19:20,394 --> 00:19:21,395
for

631
00:19:21,395 --> 00:19:22,396
your work on it. Exciting to see those

632
00:19:22,396 --> 00:19:23,397
projects move forward.

633
00:19:23,397 --> 00:19:24,398
>> thank

634
00:19:24,398 --> 00:19:25,399
you very much.

635
00:19:25,399 --> 00:19:26,400
>> yes, thank you. Item

636
00:19:26,400 --> 00:19:27,401
c

637
00:19:27,401 --> 00:19:28,402
before us is a resolution accepting

638
00:19:28,402 --> 00:19:30,402
the

639
00:19:31,405 --> 00:19:34,408
conveyance of a real property interests associated

640
00:19:34,408 --> 00:19:35,409
with the frontrunner 2x and frontrunner

641
00:19:35,409 --> 00:19:37,411
point improvement projects. And with

642
00:19:37,411 --> 00:19:39,411
that we

643
00:19:39,413 --> 00:19:40,414
welcome jared scarbrough , paul drake,

644
00:19:40,414 --> 00:19:42,414
and we don't

645
00:19:42,416 --> 00:19:43,417
see janelle, so I'm guessing jared is

646
00:19:43,417 --> 00:19:45,417
covering for

647
00:19:46,386 --> 00:19:47,387
the team.

648
00:19:47,387 --> 00:19:49,387
>> I will

649
00:19:49,389 --> 00:19:51,789
do my best. Jared

650
00:19:52,392 --> 00:19:53,393
scarbrough chief acts capital services

651
00:19:53,393 --> 00:19:55,393
officer. Janelle

652
00:19:55,395 --> 00:19:57,397
is at a mandatory meeting with udot

653
00:19:57,397 --> 00:19:58,398
for an upcoming procurement and could not

654
00:19:58,398 --> 00:20:00,398
make it

655
00:20:00,400 --> 00:20:01,401
with us this morning.

656
00:20:01,401 --> 00:20:02,402
>> understandable. >>

657
00:20:02,402 --> 00:20:04,402
yeah. We

658
00:20:04,404 --> 00:20:07,407
are here seeking approval of resolution

659
00:20:07,407 --> 00:20:08,408
of for the conveyance of property

660
00:20:08,408 --> 00:20:10,408
from

661
00:20:10,410 --> 00:20:11,411
frontrunner 2x and frontrunner point improvement

662
00:20:11,411 --> 00:20:13,411
project, also

663
00:20:13,413 --> 00:20:16,416
known as fpi. We did come to the board

664
00:20:16,416 --> 00:20:18,416
in october of 2023

665
00:20:18,418 --> 00:20:19,386
with a frontrunner cooperative agreement

666
00:20:19,386 --> 00:20:21,386
between udot

667
00:20:22,389 --> 00:20:24,389
and

668
00:20:24,391 --> 00:20:26,393
uta which discusses the purchasing of

669
00:20:26,393 --> 00:20:28,393
property. And udot

670
00:20:28,395 --> 00:20:30,397
will purchase land. Basically this

671
00:20:30,397 --> 00:20:32,399
is land within the alignment. It's not

672
00:20:32,399 --> 00:20:33,400
in large chunks of,

673
00:20:33,400 --> 00:20:35,402
you know, parking lots or anything. That's

674
00:20:35,402 --> 00:20:37,402
smaller

675
00:20:37,404 --> 00:20:41,408
slivers of land along the corridor. And

676
00:20:41,408 --> 00:20:42,409
then uta will still manage the

677
00:20:42,409 --> 00:20:43,410
purchase of property through union

678
00:20:43,410 --> 00:20:44,411
pacific. So this will cover the private property

679
00:20:44,411 --> 00:20:46,411
piece. But

680
00:20:47,414 --> 00:20:50,417
I'll turn it over to paul

681
00:20:50,417 --> 00:20:52,417
to walk through

682
00:20:52,419 --> 00:20:53,387
the resolution.

683
00:20:53,387 --> 00:20:54,388
>> great. Thanks,

684
00:20:54,388 --> 00:20:55,389
jared. And thanks, trustees. So

685
00:20:55,389 --> 00:20:56,390
anyway, excuse me, like jared said,

686
00:20:56,390 --> 00:20:58,390
we've

687
00:20:58,392 --> 00:20:59,393
worked buying all these properties

688
00:20:59,393 --> 00:21:00,394
for the improvements

689
00:21:00,394 --> 00:21:02,396
for frontrunner. There are 11 key

690
00:21:02,396 --> 00:21:04,396
locations where we're

691
00:21:05,399 --> 00:21:07,399
looking to buy

692
00:21:07,401 --> 00:21:08,402
right of way, plus a new station. All

693
00:21:08,402 --> 00:21:09,403
of

694
00:21:09,403 --> 00:21:11,405
that requires new right of way. Like

695
00:21:11,405 --> 00:21:13,405
jared said, there's

696
00:21:14,408 --> 00:21:17,411
a lot of slivers that we're picking up. Here's

697
00:21:17,411 --> 00:21:18,412
the

698
00:21:18,412 --> 00:21:20,414
data. The number of parcels is 190

699
00:21:20,414 --> 00:21:22,814
for a total of

700
00:21:23,417 --> 00:21:24,418
about 40 acres. The budget for udot

701
00:21:24,418 --> 00:21:26,386
is $70 million. This is going to be

702
00:21:26,386 --> 00:21:28,786
used or is anticipated

703
00:21:29,389 --> 00:21:31,389
to be used

704
00:21:32,392 --> 00:21:33,393
as local match for

705
00:21:33,393 --> 00:21:36,396
a future federal grant. And the resolution

706
00:21:36,396 --> 00:21:38,398
that we're talking about today actually allows

707
00:21:38,398 --> 00:21:39,399
us --or it allows

708
00:21:39,399 --> 00:21:41,401
udot to purchase the property in uta's

709
00:21:41,401 --> 00:21:42,402
name. And

710
00:21:42,402 --> 00:21:44,404
this was something that was contemplated

711
00:21:44,404 --> 00:21:46,404
over

712
00:21:47,407 --> 00:21:50,410
a lot of conversations between us

713
00:21:50,410 --> 00:21:52,810
and our partner that

714
00:21:53,413 --> 00:21:55,413
was actually formalized

715
00:21:55,415 --> 00:21:56,416
in a 2023 agreement, frontrunner cooperative agreement. Going

716
00:21:56,416 --> 00:21:57,417
to

717
00:21:57,417 --> 00:21:58,418
--sorry. Was there a question?

718
00:21:58,418 --> 00:21:59,386
>>

719
00:21:59,386 --> 00:22:01,386
sorry. I didn't

720
00:22:02,389 --> 00:22:03,390
want to interrupt

721
00:22:03,390 --> 00:22:04,391
your flow. Sorry. Go ahead.

722
00:22:04,391 --> 00:22:05,392
>> no,

723
00:22:05,392 --> 00:22:07,792
no. That's fine. We

724
00:22:08,395 --> 00:22:10,795
can go into the

725
00:22:11,398 --> 00:22:13,400
various segments. We've got a

726
00:22:13,400 --> 00:22:16,400
3.8-mile segment north of clearfield

727
00:22:17,404 --> 00:22:19,404
station. We've got 2.1

728
00:22:20,407 --> 00:22:22,407
miles

729
00:22:22,409 --> 00:22:23,410
north of woods cross. We've got 1.8

730
00:22:23,410 --> 00:22:25,410
miles in

731
00:22:26,413 --> 00:22:29,413
beck yard, two miles south

732
00:22:29,416 --> 00:22:31,416
of salt lake

733
00:22:31,418 --> 00:22:32,419
central between 17th south and 3300

734
00:22:32,419 --> 00:22:34,419
south,

735
00:22:35,389 --> 00:22:37,391
1.6 miles south of murray central,

736
00:22:37,391 --> 00:22:38,392
3.1 miles south of draper station. So

737
00:22:38,392 --> 00:22:40,392
these

738
00:22:40,394 --> 00:22:41,395
are all segments where we're going

739
00:22:41,395 --> 00:22:43,395
to buy

740
00:22:44,398 --> 00:22:45,399
slivers on either side. We're not

741
00:22:45,399 --> 00:22:46,400
calling

742
00:22:46,400 --> 00:22:47,401
out any specific at this point. That

743
00:22:47,401 --> 00:22:49,401
station in

744
00:22:49,403 --> 00:22:53,407
bluffdale that will serve the new development and

745
00:22:53,407 --> 00:22:55,807
the growth going on

746
00:22:56,410 --> 00:22:58,410
at the point,

747
00:22:58,412 --> 00:23:01,412
2.1 miles north of leohio station,

748
00:23:02,416 --> 00:23:04,816
4.4 just north of american

749
00:23:05,419 --> 00:23:07,819
fork, 3.8 between american fork

750
00:23:08,388 --> 00:23:10,388
and vineyard station, 1.7

751
00:23:11,391 --> 00:23:14,394
miles north of orem. And then

752
00:23:14,394 --> 00:23:16,396
a segment just north

753
00:23:16,396 --> 00:23:17,397
of provo. So those are the areas. Any

754
00:23:17,397 --> 00:23:19,397
questions on

755
00:23:20,400 --> 00:23:22,400
that? We can

756
00:23:22,402 --> 00:23:23,403
review it. Go ahead.

757
00:23:23,403 --> 00:23:24,404
>> so obviously

758
00:23:24,404 --> 00:23:25,405
you hope to

759
00:23:25,405 --> 00:23:26,406
only buy a sliver. Sometimes a property

760
00:23:26,406 --> 00:23:28,408
owner will say you gotta

761
00:23:28,408 --> 00:23:31,411
buy it all because it's not worth

762
00:23:31,411 --> 00:23:32,412
anything to me at that point. Does

763
00:23:32,412 --> 00:23:34,412
udot

764
00:23:35,415 --> 00:23:38,418
just dispose of the remaining portion through

765
00:23:38,418 --> 00:23:41,388
their own program or does any of

766
00:23:41,388 --> 00:23:42,389
it enter into like a potential t.o.d.

767
00:23:42,389 --> 00:23:43,390
kind of

768
00:23:43,390 --> 00:23:44,391
thing?

769
00:23:44,391 --> 00:23:45,392
>> right now all the properties are

770
00:23:45,392 --> 00:23:47,392
just contemplated

771
00:23:47,394 --> 00:23:48,395
to be part of this

772
00:23:48,395 --> 00:23:50,397
project. So we're not contemplating

773
00:23:50,397 --> 00:23:52,399
any future t.o.d.

774
00:23:52,399 --> 00:23:53,400
at this point.

775
00:23:53,400 --> 00:23:54,401
>> okay. >> yup. >>

776
00:23:54,401 --> 00:23:56,403
and I guess at

777
00:23:56,403 --> 00:23:58,405
this point they may or

778
00:23:58,405 --> 00:24:02,500
may not have agreements to purchase

779
00:24:02,409 --> 00:24:03,410
it, just go through the normal procurement

780
00:24:03,410 --> 00:24:05,410
process,

781
00:24:05,412 --> 00:24:06,413
I assume?

782
00:24:06,413 --> 00:24:07,414
>> they are working on them right

783
00:24:07,414 --> 00:24:08,415
now. They

784
00:24:08,415 --> 00:24:09,416
have a contractor that's out there

785
00:24:09,416 --> 00:24:11,418
talking to these property owners right

786
00:24:11,418 --> 00:24:13,387
now. There's some

787
00:24:13,387 --> 00:24:14,388
that are actually ready to go which

788
00:24:14,388 --> 00:24:16,388
is

789
00:24:16,390 --> 00:24:17,391
why we're hoping to have this resolution passed

790
00:24:17,391 --> 00:24:19,391
because it

791
00:24:19,393 --> 00:24:20,394
does help us to close those transactions. I'm

792
00:24:20,394 --> 00:24:22,394
sorry. Does

793
00:24:23,397 --> 00:24:24,398
that answer

794
00:24:24,398 --> 00:24:25,399
your question?

795
00:24:25,399 --> 00:24:26,400
>> yeah. No. It does. That's

796
00:24:26,400 --> 00:24:27,401
helpful. Thanks. Were there other

797
00:24:27,401 --> 00:24:28,402
question?

798
00:24:28,402 --> 00:24:29,403
>> so I

799
00:24:29,403 --> 00:24:31,405
just wanted to kind

800
00:24:31,405 --> 00:24:32,406
of, like, reiterate because I think that

801
00:24:32,406 --> 00:24:34,406
it is --people

802
00:24:35,409 --> 00:24:37,411
and land always get a little

803
00:24:37,411 --> 00:24:38,412
heightened in their excitement over

804
00:24:38,412 --> 00:24:40,412
these issues. But,

805
00:24:41,415 --> 00:24:42,416
really, this is -- according to the

806
00:24:42,416 --> 00:24:44,418
discussion strategy, really, this

807
00:24:44,418 --> 00:24:46,386
is just active corridor, and the desire, of

808
00:24:46,386 --> 00:24:47,387
course, is to just be getting that

809
00:24:47,387 --> 00:24:49,387
corridor in

810
00:24:50,390 --> 00:24:53,390
and of itself for the

811
00:24:53,393 --> 00:24:55,393
actual operational pieces

812
00:24:56,396 --> 00:24:57,397
only. And I just wanted to talk about what

813
00:24:57,397 --> 00:24:59,397
--

814
00:24:59,399 --> 00:25:01,401
how long do you

815
00:25:01,401 --> 00:25:02,402
think that this process will take overall? You

816
00:25:02,402 --> 00:25:03,403
mentioned that you have several

817
00:25:03,403 --> 00:25:05,405
that are ready to close. But I was

818
00:25:05,405 --> 00:25:07,405
just curious how

819
00:25:08,408 --> 00:25:10,808
long you think this

820
00:25:11,411 --> 00:25:12,412
would take?

821
00:25:12,412 --> 00:25:14,412
>> well, good

822
00:25:14,414 --> 00:25:16,416
question. The resolution does

823
00:25:16,416 --> 00:25:17,417
have a end to 2027. It's anticipated

824
00:25:17,417 --> 00:25:19,417
that

825
00:25:20,387 --> 00:25:21,388
it might go longer than that. There's

826
00:25:21,388 --> 00:25:23,390
always some lingering property transactions,

827
00:25:23,390 --> 00:25:26,390
but hopefully we're getting the

828
00:25:26,393 --> 00:25:27,394
bulk of those within that time frame.

829
00:25:27,394 --> 00:25:29,394
>>

830
00:25:29,396 --> 00:25:30,397
I know that it is always hard to actually

831
00:25:30,397 --> 00:25:31,398
pin

832
00:25:31,398 --> 00:25:32,399
some of that down. But I appreciate

833
00:25:32,399 --> 00:25:35,402
that because I did notice that

834
00:25:35,402 --> 00:25:37,402
there's

835
00:25:38,405 --> 00:25:39,406
a timeline on that. So thank you.

836
00:25:39,406 --> 00:25:40,407
>>

837
00:25:40,407 --> 00:25:41,408
there

838
00:25:41,408 --> 00:25:42,409
is also some parameters within the

839
00:25:42,409 --> 00:25:44,409
resolution that

840
00:25:44,411 --> 00:25:45,412
I would cover if I could. The properties

841
00:25:45,412 --> 00:25:46,413
that are

842
00:25:46,413 --> 00:25:47,414
over a million dollars, this would

843
00:25:47,414 --> 00:25:49,414
not cover

844
00:25:50,417 --> 00:25:51,418
those. Those would come to

845
00:25:51,418 --> 00:25:53,387
the board individually. We're also

846
00:25:53,387 --> 00:25:54,388
--we're also making sure

847
00:25:54,388 --> 00:25:56,390
that uta staff are working with udot

848
00:25:56,390 --> 00:25:58,390
to make

849
00:25:59,393 --> 00:26:01,395
sure that the properties are environmentally cleared. We're

850
00:26:01,395 --> 00:26:03,397
also consistent with utah code in

851
00:26:03,397 --> 00:26:05,397
requiring an

852
00:26:06,400 --> 00:26:08,402
affidavit with each of these

853
00:26:08,402 --> 00:26:09,403
properties. And then we'll come back

854
00:26:09,403 --> 00:26:11,403
to the board

855
00:26:11,405 --> 00:26:12,406
quarterly to report on the status

856
00:26:12,406 --> 00:26:14,406
of

857
00:26:15,409 --> 00:26:18,409
these acquisitions. And like I

858
00:26:18,412 --> 00:26:20,812
was mentioning, the deadline

859
00:26:21,415 --> 00:26:23,415
in 2027. Any

860
00:26:23,417 --> 00:26:24,418
further questions for us?

861
00:26:24,418 --> 00:26:25,419
>> seems

862
00:26:25,419 --> 00:26:26,386
like

863
00:26:26,386 --> 00:26:27,387
an efficient process to do these important transactions.

864
00:26:27,387 --> 00:26:28,388
>>

865
00:26:28,388 --> 00:26:30,388
chair,

866
00:26:30,390 --> 00:26:33,393
if I could make a comment. You

867
00:26:33,393 --> 00:26:35,393
know,

868
00:26:36,396 --> 00:26:37,397
I was impressed with how udot

869
00:26:37,397 --> 00:26:39,399
approaches this purchase of property

870
00:26:39,399 --> 00:26:41,399
to

871
00:26:41,401 --> 00:26:42,402
preserve that right of way to move forward

872
00:26:42,402 --> 00:26:44,402
frontrunner. Just in

873
00:26:44,404 --> 00:26:47,407
the discussions I listened to, as

874
00:26:47,407 --> 00:26:50,410
they addressed the public and the

875
00:26:50,410 --> 00:26:53,410
community, the council, they've got

876
00:26:53,413 --> 00:26:57,130
this down. They know what they're

877
00:26:57,417 --> 00:26:59,419
doing. They really plan

878
00:26:59,419 --> 00:27:00,387
for every possible outcome and challenge that's

879
00:27:00,387 --> 00:27:03,387
there, and it's -- anyway,

880
00:27:03,390 --> 00:27:04,391
it was --I think as I listened to

881
00:27:04,391 --> 00:27:06,393
that meeting with brian allen, it

882
00:27:06,393 --> 00:27:08,793
was very impressive to

883
00:27:09,396 --> 00:27:11,396
see they

884
00:27:11,398 --> 00:27:12,399
really cover all the bases and make sure

885
00:27:12,399 --> 00:27:14,399
as

886
00:27:15,402 --> 00:27:17,402
we have

887
00:27:18,405 --> 00:27:19,406
impact on the community we're

888
00:27:19,406 --> 00:27:21,408
fair, we're understanding because

889
00:27:21,408 --> 00:27:24,411
the dollar amount isn't the only

890
00:27:24,411 --> 00:27:27,414
thing. It's the impact that it has on individuals,

891
00:27:27,414 --> 00:27:30,417
and I just want to applaud udot's

892
00:27:30,417 --> 00:27:33,387
process and the partnership that

893
00:27:33,387 --> 00:27:34,388
we have with them. So thank you.

894
00:27:34,388 --> 00:27:35,389
>>

895
00:27:35,389 --> 00:27:36,390
okay. Unless there's other questions, I'd

896
00:27:36,390 --> 00:27:37,391
entertain a motion.

897
00:27:37,391 --> 00:27:38,392
>> okay. I'll

898
00:27:38,392 --> 00:27:40,392
make

899
00:27:42,396 --> 00:27:43,397
the motion to approve the

900
00:27:43,397 --> 00:27:45,399
resolution r2025-09-07, resolution

901
00:27:45,399 --> 00:27:46,400
accepting the conveyance of

902
00:27:46,400 --> 00:27:48,402
real property interests associated

903
00:27:48,402 --> 00:27:50,404
with the frontrunner 2x

904
00:27:50,404 --> 00:27:51,405
and frontrunner point improvements

905
00:27:51,405 --> 00:27:52,406
projects as presented.

906
00:27:52,406 --> 00:27:53,407
>> second. >>

907
00:27:53,407 --> 00:27:56,410
I have a motion from jeff, seconded

908
00:27:56,410 --> 00:28:00,414
by beth to approve the resolution. With

909
00:28:00,414 --> 00:28:02,414
that, I'll ask

910
00:28:03,417 --> 00:28:04,418
for roll call.

911
00:28:04,418 --> 00:28:05,419
>> trustee

912
00:28:05,419 --> 00:28:06,386
acerson.

913
00:28:06,386 --> 00:28:07,387
>> aye. >> trustee holbrook. >>

914
00:28:07,387 --> 00:28:08,388
aye.

915
00:28:08,388 --> 00:28:09,389
>> chair christensen. >>

916
00:28:09,389 --> 00:28:10,390
aye. Thanks for your work on it. Let's

917
00:28:10,390 --> 00:28:12,390
see. Making

918
00:28:15,395 --> 00:28:17,795
sure I'm in the

919
00:28:18,398 --> 00:28:20,400
right place. Okay. That is the

920
00:28:20,400 --> 00:28:21,401
right place. We're down to contracts, disbursements

921
00:28:21,401 --> 00:28:24,404
and grants. The first item before

922
00:28:24,404 --> 00:28:26,406
us is a change order for

923
00:28:26,406 --> 00:28:27,407
outside legal services modification

924
00:28:27,407 --> 00:28:28,408
to increase

925
00:28:28,408 --> 00:28:30,410
the not-to-exceed amount for outside

926
00:28:30,410 --> 00:28:32,410
legal services

927
00:28:33,413 --> 00:28:35,413
pool

928
00:28:36,416 --> 00:28:38,416
with

929
00:28:39,419 --> 00:28:41,419
chapman and cutter,

930
00:28:42,389 --> 00:28:44,389
fabian

931
00:28:45,392 --> 00:28:47,394
vancott, gilmore bell, jackson,

932
00:28:47,394 --> 00:28:49,396
lewis. Anyway, nossman, parsons, bailey and

933
00:28:49,396 --> 00:28:51,398
latimer and spencer fane and venable

934
00:28:51,398 --> 00:28:52,399
llp.

935
00:28:52,399 --> 00:28:54,399
>>

936
00:28:54,401 --> 00:28:56,401
a lot of

937
00:28:56,403 --> 00:28:57,404
law firms. Yes. Good morning. I'm

938
00:28:57,404 --> 00:28:58,405
david

939
00:28:58,405 --> 00:29:00,407
wilkins an assistant attorney general

940
00:29:00,407 --> 00:29:03,407
with the utah office of

941
00:29:03,410 --> 00:29:05,410
attorney

942
00:29:05,412 --> 00:29:06,413
general. Just for a brief background. What

943
00:29:06,413 --> 00:29:08,413
we've done

944
00:29:08,415 --> 00:29:09,416
with outside legal services is we've

945
00:29:09,416 --> 00:29:11,416
created a pool

946
00:29:11,418 --> 00:29:12,419
contract of expertise, and that allows

947
00:29:12,419 --> 00:29:13,387
when uta does have

948
00:29:13,387 --> 00:29:15,389
a need for outside legal services,

949
00:29:15,389 --> 00:29:18,392
it's as simple as picking up

950
00:29:18,392 --> 00:29:20,394
the phone and initiating the call. If

951
00:29:20,394 --> 00:29:21,395
the agency didn't do that, and we

952
00:29:21,395 --> 00:29:22,396
needed to

953
00:29:22,396 --> 00:29:23,397
figure out outside legal services

954
00:29:23,397 --> 00:29:24,398
through my office, we would actually have

955
00:29:24,398 --> 00:29:26,398
to

956
00:29:26,400 --> 00:29:27,401
do a procurement every time. And often

957
00:29:27,401 --> 00:29:29,401
when we need

958
00:29:29,403 --> 00:29:30,404
outside legal services, it's a very important

959
00:29:30,404 --> 00:29:32,404
issue, and that

960
00:29:32,406 --> 00:29:33,407
saves us a lot of time. Back last

961
00:29:33,407 --> 00:29:35,407
year when

962
00:29:36,410 --> 00:29:38,412
mike bell and I worked

963
00:29:38,412 --> 00:29:39,413
on renewing this pool contract, we

964
00:29:39,413 --> 00:29:41,413
got the advocates

965
00:29:42,416 --> 00:29:44,418
out and worked really hard to

966
00:29:44,418 --> 00:29:45,419
determine what the not-to-exceed value

967
00:29:45,419 --> 00:29:47,387
would be based

968
00:29:47,387 --> 00:29:51,391
on based on previous usage and needs. Of

969
00:29:51,391 --> 00:29:54,394
course what happened is after we

970
00:29:54,394 --> 00:29:56,396
did that, the agency

971
00:29:56,396 --> 00:29:57,397
we started using outside legal services

972
00:29:57,397 --> 00:30:00,397
and non-conventional needs, and a

973
00:30:00,400 --> 00:30:02,402
good example of that is the

974
00:30:02,402 --> 00:30:03,403
policy project. We have fabian van

975
00:30:03,403 --> 00:30:05,403
cott working with

976
00:30:05,405 --> 00:30:09,500
the agency on revamping its policies

977
00:30:09,409 --> 00:30:10,410
and doing a very good job at it. Even

978
00:30:10,410 --> 00:30:11,411
though

979
00:30:11,411 --> 00:30:12,412
that money doesn't come out of the

980
00:30:12,412 --> 00:30:13,413
legal services budget, it still

981
00:30:13,413 --> 00:30:15,415
goes against the contract. And so

982
00:30:15,415 --> 00:30:17,415
we found

983
00:30:17,417 --> 00:30:18,418
ourselves running up against the original $500,000

984
00:30:18,418 --> 00:30:20,387
not to exceed,

985
00:30:20,387 --> 00:30:21,388
and so we're just coming to you today to

986
00:30:21,388 --> 00:30:23,788
bump that up for

987
00:30:24,391 --> 00:30:25,392
the rest of the remaining

988
00:30:25,392 --> 00:30:27,394
four years of the contract. Hopefully

989
00:30:27,394 --> 00:30:29,794
we won't get close

990
00:30:30,397 --> 00:30:32,797
to it. But it's

991
00:30:33,400 --> 00:30:34,401
just issues like that.

992
00:30:34,401 --> 00:30:35,402
>> makes

993
00:30:35,402 --> 00:30:36,403
sense. And it's nice to have access

994
00:30:36,403 --> 00:30:38,403
to some

995
00:30:38,405 --> 00:30:39,406
of that expertise as well. Any other

996
00:30:39,406 --> 00:30:40,407
questions?

997
00:30:40,407 --> 00:30:42,407
>>

998
00:30:44,411 --> 00:30:45,412
not a question, just a comment. It's

999
00:30:45,412 --> 00:30:47,412
unfortunate

1000
00:30:48,415 --> 00:30:50,417
that we've already spent almost a half

1001
00:30:50,417 --> 00:30:51,418
a million just on some of these issues. And

1002
00:30:51,418 --> 00:30:53,418
some of these

1003
00:30:54,388 --> 00:30:56,390
issues that are being

1004
00:30:56,390 --> 00:30:57,391
addressed by these law firms is our

1005
00:30:57,391 --> 00:30:59,391
--obviously critical to

1006
00:31:00,394 --> 00:31:02,394
how

1007
00:31:03,397 --> 00:31:04,398
we operate. You've got railroad law, officer-involved

1008
00:31:04,398 --> 00:31:06,398
incidents, labor

1009
00:31:06,400 --> 00:31:08,400
and employment, construction,

1010
00:31:09,403 --> 00:31:11,405
et cetera, and pension, and I think, unfortunately, we are

1011
00:31:11,405 --> 00:31:12,406
also expanding, and there's all these other

1012
00:31:12,406 --> 00:31:14,806
things. And so I

1013
00:31:15,409 --> 00:31:17,809
do think that as

1014
00:31:18,412 --> 00:31:20,414
we continue to look forward,

1015
00:31:20,414 --> 00:31:21,415
this is a good strategy to scalpellize

1016
00:31:21,415 --> 00:31:23,417
and fine tune whatever

1017
00:31:23,417 --> 00:31:24,418
the issue is with these particular

1018
00:31:24,418 --> 00:31:26,418
law firms

1019
00:31:26,420 --> 00:31:27,387
and then be able to navigate from

1020
00:31:27,387 --> 00:31:29,387
there. So I

1021
00:31:30,390 --> 00:31:33,393
just wanted to make that comment

1022
00:31:33,393 --> 00:31:34,394
because it's never inexpensive to

1023
00:31:34,394 --> 00:31:35,395
expand.

1024
00:31:35,395 --> 00:31:36,396
>>

1025
00:31:36,396 --> 00:31:37,397
no. And that's a good comment, trustee

1026
00:31:37,397 --> 00:31:38,398
holbrook. You

1027
00:31:38,398 --> 00:31:39,399
know, outside attorneys can get very

1028
00:31:39,399 --> 00:31:42,399
expensive very quickly. And we

1029
00:31:42,402 --> 00:31:43,403
do try to minimize our use of outside

1030
00:31:43,403 --> 00:31:45,403
counsel for

1031
00:31:45,405 --> 00:31:46,406
that because I like to be a good steward

1032
00:31:46,406 --> 00:31:47,407
of

1033
00:31:47,407 --> 00:31:48,408
the taxpayers' money and the money

1034
00:31:48,408 --> 00:31:49,409
that you all put in

1035
00:31:49,409 --> 00:31:51,411
your legal budget every year. It's

1036
00:31:51,411 --> 00:31:53,413
just that we've had

1037
00:31:53,413 --> 00:31:54,414
some weird issues this year or unusual

1038
00:31:54,414 --> 00:31:55,415
issues. And we will

1039
00:31:55,415 --> 00:31:57,417
continue to always scrutinize our

1040
00:31:57,417 --> 00:31:58,418
use of outside counsel in order to

1041
00:31:58,418 --> 00:31:59,419
make

1042
00:31:59,419 --> 00:32:00,387
sure that we're getting the most bang for

1043
00:32:00,387 --> 00:32:02,787
the buck for the

1044
00:32:04,391 --> 00:32:05,392
agency.

1045
00:32:05,392 --> 00:32:06,393
>> I agree. And I

1046
00:32:06,393 --> 00:32:07,394
don't know if scalpellize is a word,

1047
00:32:07,394 --> 00:32:08,395
but I'm going

1048
00:32:08,395 --> 00:32:10,397
to call it one. With that, I'm happy

1049
00:32:10,397 --> 00:32:11,398
to

1050
00:32:11,398 --> 00:32:12,399
make a motion.

1051
00:32:12,399 --> 00:32:13,400
>> sure. >> motion

1052
00:32:13,400 --> 00:32:14,401
to

1053
00:32:14,401 --> 00:32:16,403
approve the increase to the not-to-exceed amount

1054
00:32:16,403 --> 00:32:18,403
for the

1055
00:32:18,405 --> 00:32:19,406
outside legal services pool with the above-listed

1056
00:32:19,406 --> 00:32:20,407
firms as presented.

1057
00:32:20,407 --> 00:32:22,407
>> second. >>

1058
00:32:22,409 --> 00:32:23,410
I have a motion from

1059
00:32:23,410 --> 00:32:25,412
beth, seconded by jeff to approve

1060
00:32:25,412 --> 00:32:27,812
the change order. All

1061
00:32:28,415 --> 00:32:29,416
in favor say aye.

1062
00:32:29,416 --> 00:32:30,417
>>

1063
00:32:30,417 --> 00:32:31,418
aye.

1064
00:32:31,418 --> 00:32:34,388
>> any opposed? That motion passes. Thanks,

1065
00:32:34,388 --> 00:32:37,391
david. Item b before us is

1066
00:32:37,391 --> 00:32:38,392
a change order for the

1067
00:32:38,392 --> 00:32:40,394
on-call infrastructure maintenance contract

1068
00:32:40,394 --> 00:32:43,394
task order number 25-043. This

1069
00:32:43,397 --> 00:32:45,797
for the maintenance of

1070
00:32:46,400 --> 00:32:48,400
way training yard

1071
00:32:49,403 --> 00:32:50,404
construction with stacey

1072
00:32:50,404 --> 00:32:51,405
and witbeck. Dave osborn. Dave.

1073
00:32:51,405 --> 00:32:53,405
>>

1074
00:32:54,408 --> 00:32:58,412
did the microphone turn on? Okay. Yes. We're

1075
00:32:58,412 --> 00:33:01,412
here today seeking approval of

1076
00:33:01,415 --> 00:33:04,415
a contract task order, number

1077
00:33:04,418 --> 00:33:06,418
25-043, the maintenance

1078
00:33:07,387 --> 00:33:09,387
training

1079
00:33:09,389 --> 00:33:13,393
yard for stacey and witbeck, incorporated. And

1080
00:33:13,393 --> 00:33:15,395
this is for the

1081
00:33:15,395 --> 00:33:18,398
civil grading, drainage, track work for

1082
00:33:18,398 --> 00:33:19,399
the maintenance away training yard. It's

1083
00:33:19,399 --> 00:33:21,399
behind the t-tech

1084
00:33:21,401 --> 00:33:22,402
building over there on eighth west. And

1085
00:33:22,402 --> 00:33:23,403
so

1086
00:33:23,403 --> 00:33:25,405
this is maintenance yard for employees. It

1087
00:33:25,405 --> 00:33:26,406
enables them to train

1088
00:33:26,406 --> 00:33:28,408
on various systems and other things that

1089
00:33:28,408 --> 00:33:30,808
they do outside of

1090
00:33:31,411 --> 00:33:34,411
the system which is safer

1091
00:33:34,414 --> 00:33:36,814
for them, as well

1092
00:33:37,417 --> 00:33:39,417
as being

1093
00:33:40,387 --> 00:33:43,387
safer for our trains and

1094
00:33:43,390 --> 00:33:45,390
passengers. The amount

1095
00:33:49,396 --> 00:33:51,396
of the task

1096
00:33:52,399 --> 00:33:54,399
order is $3,160,902. Is

1097
00:33:54,401 --> 00:33:55,402
there any questions?

1098
00:33:55,402 --> 00:33:56,403
>> maybe just

1099
00:33:56,403 --> 00:33:57,404
approach --

1100
00:33:57,404 --> 00:33:58,405
stacey and witbeck do a good job. A

1101
00:33:58,405 --> 00:33:59,406
lot of people could

1102
00:33:59,406 --> 00:34:01,408
do grading. Is there a reason you

1103
00:34:01,408 --> 00:34:02,409
go with them for the other aspect

1104
00:34:02,409 --> 00:34:03,410
of that?

1105
00:34:03,410 --> 00:34:04,411
>> on this one, I think one

1106
00:34:04,411 --> 00:34:05,412
of the key things on

1107
00:34:05,412 --> 00:34:07,414
this is there is track work which

1108
00:34:07,414 --> 00:34:08,415
we're putting in

1109
00:34:08,415 --> 00:34:10,417
which is kind of specialized. So for

1110
00:34:10,417 --> 00:34:12,417
that it makes

1111
00:34:13,387 --> 00:34:16,387
sense to use them for

1112
00:34:16,390 --> 00:34:17,391
this.

1113
00:34:17,391 --> 00:34:18,392
>> any other

1114
00:34:18,392 --> 00:34:19,393
questions?

1115
00:34:19,393 --> 00:34:20,394
>> okay. I'd entertain

1116
00:34:20,394 --> 00:34:21,395
a motion.

1117
00:34:21,395 --> 00:34:22,396
>>

1118
00:34:22,396 --> 00:34:24,398
I'm make the motion

1119
00:34:24,398 --> 00:34:28,402
to approve the task order 25-043 with

1120
00:34:28,402 --> 00:34:30,404
stacey and witbeck inc. For the maintenance

1121
00:34:30,404 --> 00:34:31,405
training yard construction as presented.

1122
00:34:31,405 --> 00:34:32,406
>>

1123
00:34:32,406 --> 00:34:33,407
second.

1124
00:34:33,407 --> 00:34:34,408
>> I have

1125
00:34:34,408 --> 00:34:35,409
a motion from jeff, seconded by beth. One

1126
00:34:35,409 --> 00:34:37,409
question

1127
00:34:37,411 --> 00:34:39,413
I have before I ask for

1128
00:34:39,413 --> 00:34:40,414
a vote. Dave, this was always contemplated,

1129
00:34:40,414 --> 00:34:42,414
I assume, as

1130
00:34:43,417 --> 00:34:44,418
part of the project in the budget, correct?

1131
00:34:44,418 --> 00:34:46,418
>> yes. >>

1132
00:34:46,420 --> 00:34:47,387
this is we're just at that phase,

1133
00:34:47,387 --> 00:34:48,388
I assume.

1134
00:34:48,388 --> 00:34:49,389
>> yes. >> that's great. With

1135
00:34:49,389 --> 00:34:51,389
that, all

1136
00:34:52,392 --> 00:34:53,393
in favor say aye.

1137
00:34:53,393 --> 00:34:55,393
>> aye. >> any

1138
00:34:55,395 --> 00:34:56,396
opposed? That motion

1139
00:34:56,396 --> 00:34:57,397
passes. Thank you.

1140
00:34:57,397 --> 00:34:58,398
>> thank you. >>

1141
00:34:58,398 --> 00:35:01,398
with item c, change order

1142
00:35:01,401 --> 00:35:03,801
for the state and

1143
00:35:04,404 --> 00:35:06,404
local external relations

1144
00:35:07,407 --> 00:35:09,407
services with

1145
00:35:10,410 --> 00:35:11,411
asg consulting. And with that, welcome

1146
00:35:11,411 --> 00:35:12,412
annette royle.

1147
00:35:12,412 --> 00:35:13,413
>> good morning. I'm

1148
00:35:13,413 --> 00:35:14,414
annette royle, chief of board

1149
00:35:14,414 --> 00:35:16,416
strategy and governorrance, and government relations

1150
00:35:16,416 --> 00:35:18,416
is one of

1151
00:35:19,419 --> 00:35:21,388
the functions that reports

1152
00:35:21,388 --> 00:35:22,389
through our office. We utilize lobbyists

1153
00:35:22,389 --> 00:35:23,390
and government relations consultants for

1154
00:35:23,390 --> 00:35:25,390
the work

1155
00:35:25,392 --> 00:35:26,393
that we do to help us

1156
00:35:26,393 --> 00:35:28,395
advocate with both our state and federal

1157
00:35:28,395 --> 00:35:30,395
partners. And

1158
00:35:30,397 --> 00:35:31,398
we have one partner, asg consulting,

1159
00:35:31,398 --> 00:35:33,398
who was

1160
00:35:34,401 --> 00:35:36,403
procured in 2022 through a competitive process

1161
00:35:36,403 --> 00:35:37,404
for three years. And we would like

1162
00:35:37,404 --> 00:35:39,404
to execute

1163
00:35:40,407 --> 00:35:41,408
a change order that

1164
00:35:41,408 --> 00:35:43,410
would extend another year under that agreement. We

1165
00:35:43,410 --> 00:35:45,412
will still have one more year remaining

1166
00:35:45,412 --> 00:35:46,413
that we could execute under our policies. We

1167
00:35:46,413 --> 00:35:48,413
can go up

1168
00:35:49,416 --> 00:35:50,417
to five years. So right now we're

1169
00:35:50,417 --> 00:35:52,417
just executing

1170
00:35:52,419 --> 00:35:54,388
one additional year. The cost of

1171
00:35:54,388 --> 00:35:57,988
that year is $60,000, and the cumulative

1172
00:35:58,392 --> 00:36:00,392
for the

1173
00:36:01,395 --> 00:36:02,396
term of the agreement

1174
00:36:02,396 --> 00:36:03,397
is $257,500.

1175
00:36:03,397 --> 00:36:04,398
>> any questions for

1176
00:36:04,398 --> 00:36:06,398
annette? Seeing none,

1177
00:36:06,400 --> 00:36:07,401
I'd entertain a motion.

1178
00:36:07,401 --> 00:36:08,402
>> motion

1179
00:36:08,402 --> 00:36:09,403
to approve

1180
00:36:09,403 --> 00:36:13,300
change order number 2 with asg consulting

1181
00:36:13,407 --> 00:36:14,408
llc for state and local external relations services as

1182
00:36:14,408 --> 00:36:15,409
presented.

1183
00:36:15,409 --> 00:36:16,410
>>

1184
00:36:16,410 --> 00:36:17,411
second.

1185
00:36:17,411 --> 00:36:18,412
>> I have a motion from

1186
00:36:18,412 --> 00:36:19,413
beth, seconded by jeff to approve

1187
00:36:19,413 --> 00:36:21,813
the change order. All

1188
00:36:22,416 --> 00:36:23,417
in favor say aye

1189
00:36:23,417 --> 00:36:25,417
>>

1190
00:36:25,419 --> 00:36:26,420
aye.

1191
00:36:26,420 --> 00:36:27,387
>> any opposed? That motion passes. Thanks,

1192
00:36:27,387 --> 00:36:28,388
annette.

1193
00:36:28,388 --> 00:36:29,389
>> that

1194
00:36:29,389 --> 00:36:31,391
brings us to item 9

1195
00:36:31,391 --> 00:36:32,392
on our agenda, for

1196
00:36:32,392 --> 00:36:35,992
budget and other approvals. The first

1197
00:36:37,397 --> 00:36:39,397
item before

1198
00:36:39,399 --> 00:36:40,400
us is a technical budget adjustment 2025-09-03,

1199
00:36:40,400 --> 00:36:42,400
a

1200
00:36:43,403 --> 00:36:44,404
technical

1201
00:36:44,404 --> 00:36:46,406
budget adjustment for the 2025 operating

1202
00:36:46,406 --> 00:36:48,406
budget. Vi miller

1203
00:36:49,409 --> 00:36:50,410
and then joined by brad armstrong.

1204
00:36:50,410 --> 00:36:51,411
>>

1205
00:36:51,411 --> 00:36:52,412
hello again. This technical budget

1206
00:36:52,412 --> 00:36:54,412
adjustment is

1207
00:36:55,415 --> 00:36:57,417
for the additional of 11fte positions

1208
00:36:57,417 --> 00:36:58,418
for mvx service activation. So we

1209
00:36:58,418 --> 00:37:01,388
have a plan for service, and

1210
00:37:01,388 --> 00:37:03,788
this is just to

1211
00:37:04,391 --> 00:37:06,791
add the people to

1212
00:37:07,394 --> 00:37:08,395
the plan. This 11fte increases for maintenance

1213
00:37:08,395 --> 00:37:10,395
staffing for

1214
00:37:10,397 --> 00:37:12,399
mvx that is slated to start

1215
00:37:12,399 --> 00:37:15,402
next year. It's staffed to be based

1216
00:37:15,402 --> 00:37:16,403
at depot district garage and this will

1217
00:37:16,403 --> 00:37:18,403
be nine

1218
00:37:18,405 --> 00:37:19,406
for vehicle maintenance and two for facilities. It's

1219
00:37:19,406 --> 00:37:21,806
net neutral to the

1220
00:37:22,409 --> 00:37:25,412
budget, as we said. It's going to

1221
00:37:25,412 --> 00:37:27,412
be funded out

1222
00:37:28,415 --> 00:37:29,416
of chief operating officer contingency,

1223
00:37:29,416 --> 00:37:31,416
and

1224
00:37:31,418 --> 00:37:33,418
it's $242,000 of

1225
00:37:33,420 --> 00:37:34,388
the existing $500,000 to be used. This

1226
00:37:34,388 --> 00:37:36,388
is

1227
00:37:37,391 --> 00:37:38,392
--we generally don't do ongoing cost out

1228
00:37:38,392 --> 00:37:40,392
of

1229
00:37:40,394 --> 00:37:43,397
contingency, but this is, in fact,

1230
00:37:43,397 --> 00:37:45,399
already a part of the 2026

1231
00:37:45,399 --> 00:37:48,999
tentative budget plan. And so the

1232
00:37:49,403 --> 00:37:50,404
ongoing cost is planned for next

1233
00:37:50,404 --> 00:37:51,405
year.

1234
00:37:51,405 --> 00:37:52,406
>> and I just -- I wanted to add to that

1235
00:37:52,406 --> 00:37:53,407
because I do think it

1236
00:37:53,407 --> 00:37:55,409
is important for people to understand

1237
00:37:55,409 --> 00:37:58,412
that we have to ramp up

1238
00:37:58,412 --> 00:38:00,414
to get to that space, and that's

1239
00:38:00,414 --> 00:38:01,415
that difference in contingency versus

1240
00:38:01,415 --> 00:38:03,415
just

1241
00:38:03,417 --> 00:38:04,418
your standard budgeting. And I just

1242
00:38:04,418 --> 00:38:07,387
think that as we shifted this

1243
00:38:07,387 --> 00:38:09,389
around, that was part of the

1244
00:38:09,389 --> 00:38:10,390
discussion. So I just wanted to put

1245
00:38:10,390 --> 00:38:11,391
that out there.

1246
00:38:11,391 --> 00:38:12,392
>> absolutely. >>

1247
00:38:12,392 --> 00:38:13,393
and

1248
00:38:13,393 --> 00:38:15,395
as to timing, even

1249
00:38:15,395 --> 00:38:16,396
though it's anticipated for service next

1250
00:38:16,396 --> 00:38:18,398
year, I assume or presume that

1251
00:38:18,398 --> 00:38:19,399
the timing of this is just that it

1252
00:38:19,399 --> 00:38:21,399
takes

1253
00:38:22,402 --> 00:38:23,403
a while to hire these kinds of individuals,

1254
00:38:23,403 --> 00:38:25,403
and it'll take

1255
00:38:25,405 --> 00:38:26,406
--

1256
00:38:26,406 --> 00:38:27,407
>> absolutely. And we also have

1257
00:38:27,407 --> 00:38:28,408
to be

1258
00:38:28,408 --> 00:38:30,408
cognizant of some

1259
00:38:31,411 --> 00:38:34,411
things going on internally with

1260
00:38:34,414 --> 00:38:37,417
our systems with planning for recruitment. We

1261
00:38:37,417 --> 00:38:40,387
are going to have a blackout period

1262
00:38:40,387 --> 00:38:42,389
coming up as far

1263
00:38:42,389 --> 00:38:43,390
as our changeover to our new hris system.

1264
00:38:43,390 --> 00:38:44,391
>>

1265
00:38:44,391 --> 00:38:47,394
and then the other question I had

1266
00:38:47,394 --> 00:38:48,395
for you is

1267
00:38:48,395 --> 00:38:50,397
what about the operators anticipated

1268
00:38:50,397 --> 00:38:51,398
for mvx? Is that

1269
00:38:51,398 --> 00:38:53,400
in this year's budget? Is that anticipated

1270
00:38:53,400 --> 00:38:56,400
next year or how are

1271
00:38:56,403 --> 00:38:57,404
we

1272
00:38:57,404 --> 00:38:58,405
planning to hire for those?

1273
00:38:58,405 --> 00:38:59,406
>> do we

1274
00:38:59,406 --> 00:39:00,407
want to bring up --

1275
00:39:00,407 --> 00:39:02,407
>>

1276
00:39:02,409 --> 00:39:03,410
because I realize this doesn't

1277
00:39:03,410 --> 00:39:04,411
include the operators, right?

1278
00:39:04,411 --> 00:39:05,412
>> yeah. But we're

1279
00:39:05,412 --> 00:39:06,413
ramping up at the same time to make

1280
00:39:06,413 --> 00:39:07,414
sure

1281
00:39:07,414 --> 00:39:08,415
we have our operators as well, so

1282
00:39:08,415 --> 00:39:09,416
--

1283
00:39:09,416 --> 00:39:10,417
>> but

1284
00:39:10,417 --> 00:39:11,418
are they in our current year budget?

1285
00:39:11,418 --> 00:39:12,419
>>

1286
00:39:12,419 --> 00:39:13,420
yeah. The

1287
00:39:13,420 --> 00:39:16,390
ramp-up is all in our current year,

1288
00:39:16,390 --> 00:39:17,391
same thing for the operators.

1289
00:39:17,391 --> 00:39:18,392
>> yes. So

1290
00:39:18,392 --> 00:39:20,392
we

1291
00:39:20,394 --> 00:39:22,396
had ramp, of course,

1292
00:39:22,396 --> 00:39:24,398
when we switched, we always had operators

1293
00:39:24,398 --> 00:39:25,399
in for planned new service.

1294
00:39:25,399 --> 00:39:26,400
>> okay. >>

1295
00:39:26,400 --> 00:39:29,400
we just now know that

1296
00:39:29,403 --> 00:39:31,803
that planned new service

1297
00:39:32,406 --> 00:39:33,407
is for mvx.

1298
00:39:33,407 --> 00:39:34,408
>>

1299
00:39:34,408 --> 00:39:35,409
gotcha. That's helpful. Thank you. Any

1300
00:39:35,409 --> 00:39:36,410
other questions?

1301
00:39:36,410 --> 00:39:37,411
>> no. I'll make

1302
00:39:37,411 --> 00:39:39,411
the

1303
00:39:41,415 --> 00:39:42,416
motion.

1304
00:39:42,416 --> 00:39:43,417
>> sure. >>

1305
00:39:43,417 --> 00:39:44,418
to approve the tba2025-09-03 technical

1306
00:39:44,418 --> 00:39:46,418
budget

1307
00:39:46,420 --> 00:39:47,387
adjustment 2025 operating budget as

1308
00:39:47,387 --> 00:39:48,388
presented.

1309
00:39:48,388 --> 00:39:49,389
>> second. >> I

1310
00:39:49,389 --> 00:39:50,390
have a motion from jeff, seconded

1311
00:39:50,390 --> 00:39:51,391
by

1312
00:39:51,391 --> 00:39:53,393
beth to approve the technical budget

1313
00:39:53,393 --> 00:39:55,393
adjustment. All

1314
00:39:56,396 --> 00:39:57,397
in favor say aye.

1315
00:39:57,397 --> 00:39:58,398
>>

1316
00:39:58,398 --> 00:39:59,399
aye.

1317
00:39:59,399 --> 00:40:00,400
>> any opposed? That motion passes. >>

1318
00:40:00,400 --> 00:40:02,400
I'll

1319
00:40:02,402 --> 00:40:05,405
also note we have an operator

1320
00:40:05,405 --> 00:40:06,406
and maintenance graduation

1321
00:40:06,406 --> 00:40:07,407
today.

1322
00:40:07,407 --> 00:40:08,408
>> that's great. That's awesome. Now

1323
00:40:08,408 --> 00:40:10,408
our

1324
00:40:10,410 --> 00:40:12,412
monitor went away. Is that intentional? Okay. I

1325
00:40:12,412 --> 00:40:14,414
didn't know if I kicked it -- did

1326
00:40:14,414 --> 00:40:16,414
we kick

1327
00:40:17,417 --> 00:40:18,418
a

1328
00:40:18,418 --> 00:40:19,419
plug down there?

1329
00:40:19,419 --> 00:40:20,387
>> yeah. Powered

1330
00:40:20,387 --> 00:40:22,387
off. Is that

1331
00:40:23,390 --> 00:40:24,391
it?

1332
00:40:24,391 --> 00:40:26,391
>>

1333
00:40:28,395 --> 00:40:29,396
yeah. I think it's that switch. There

1334
00:40:29,396 --> 00:40:31,396
we

1335
00:40:31,398 --> 00:40:32,399
go.

1336
00:40:32,399 --> 00:40:33,400
>> it's on. >> jeff has a lot

1337
00:40:33,400 --> 00:40:35,400
more

1338
00:40:35,402 --> 00:40:36,403
dexterity in his foot than I do. We're

1339
00:40:36,403 --> 00:40:40,300
waiting until eric comes back. With

1340
00:40:40,407 --> 00:40:41,408
that, we'll move to our discussion

1341
00:40:41,408 --> 00:40:43,408
items. The next

1342
00:40:44,411 --> 00:40:46,413
one is the next generation fare collection system

1343
00:40:46,413 --> 00:40:47,414
update. And we were teased yesterday

1344
00:40:47,414 --> 00:40:49,414
in a

1345
00:40:50,417 --> 00:40:51,418
meeting, but we're excited

1346
00:40:51,418 --> 00:40:53,420
to find out the real information today. So

1347
00:40:53,420 --> 00:40:54,388
we'll look forward to this.

1348
00:40:54,388 --> 00:40:56,388
>>

1349
00:40:56,390 --> 00:40:58,390
thank you and

1350
00:40:59,393 --> 00:41:01,793
good morning, trustees and

1351
00:41:02,396 --> 00:41:04,398
jay. Brian reeves here,

1352
00:41:04,398 --> 00:41:05,399
associate chief financial officer.

1353
00:41:05,399 --> 00:41:06,400
>>

1354
00:41:06,400 --> 00:41:07,401
monica howe, fares director.

1355
00:41:07,401 --> 00:41:08,402
>>

1356
00:41:08,402 --> 00:41:11,405
so today we are here to talk to you

1357
00:41:11,405 --> 00:41:13,405
about --to share

1358
00:41:14,408 --> 00:41:15,409
an update with our next

1359
00:41:15,409 --> 00:41:17,411
generation fare collections system

1360
00:41:17,411 --> 00:41:19,413
update. Just as kind of a

1361
00:41:19,413 --> 00:41:20,414
staging point to think about this,

1362
00:41:20,414 --> 00:41:22,416
we've actually just over

1363
00:41:22,416 --> 00:41:26,420
two years into this project. As you

1364
00:41:26,420 --> 00:41:27,387
know, this is a fairly large

1365
00:41:27,387 --> 00:41:29,389
massive project transitioning from

1366
00:41:29,389 --> 00:41:30,390
a fare collection system that's been

1367
00:41:30,390 --> 00:41:32,390
in place

1368
00:41:32,392 --> 00:41:33,393
for some time and

1369
00:41:33,393 --> 00:41:34,394
moving to something that's modernized with,

1370
00:41:34,394 --> 00:41:38,398
you know, the changes that we see

1371
00:41:38,398 --> 00:41:41,401
in the world and how people interact

1372
00:41:41,401 --> 00:41:44,404
between, you know, just technology with your phones,

1373
00:41:44,404 --> 00:41:46,406
how you, you know, board our different transit,

1374
00:41:46,406 --> 00:41:47,407
and so we've been working through that. As

1375
00:41:47,407 --> 00:41:49,407
you

1376
00:41:50,410 --> 00:41:53,413
can see here, this is kind of

1377
00:41:53,413 --> 00:41:55,413
--we had

1378
00:41:56,416 --> 00:41:58,416
a multi-phased approach,

1379
00:41:59,419 --> 00:42:02,389
right, across multiple years. And just point the phase one, that

1380
00:42:02,389 --> 00:42:04,389
was largely the

1381
00:42:05,392 --> 00:42:07,392
ticket vending machine

1382
00:42:07,394 --> 00:42:08,395
transition and installation which

1383
00:42:08,395 --> 00:42:10,395
is

1384
00:42:11,398 --> 00:42:13,398
100% complete. Moving

1385
00:42:13,400 --> 00:42:14,401
forward we're mostly through phase two, probably pin it right now

1386
00:42:14,401 --> 00:42:16,401
at 88%. That

1387
00:42:17,404 --> 00:42:18,405
was largely our bus station validator

1388
00:42:18,405 --> 00:42:20,405
replacements. And

1389
00:42:20,407 --> 00:42:21,408
then, of course, we've got the remaining

1390
00:42:21,408 --> 00:42:23,408
pieces

1391
00:42:23,410 --> 00:42:24,411
of phase three and phase four which

1392
00:42:24,411 --> 00:42:26,411
we'll talk

1393
00:42:26,413 --> 00:42:27,414
about a bit more in depth.

1394
00:42:27,414 --> 00:42:28,415
>> brian,

1395
00:42:28,415 --> 00:42:29,416
can I ask a question? We noticed on

1396
00:42:29,416 --> 00:42:30,417
a

1397
00:42:30,417 --> 00:42:32,419
couple occasion, and I just didn't

1398
00:42:32,419 --> 00:42:34,419
know if it's

1399
00:42:35,389 --> 00:42:38,392
a timing or a blackout or they were

1400
00:42:38,392 --> 00:42:40,394
all validators but some of the

1401
00:42:40,394 --> 00:42:43,394
validators weren't working like on

1402
00:42:43,397 --> 00:42:44,398
platforms. And obviously when you're switching

1403
00:42:44,398 --> 00:42:46,798
things over, there's sometimes

1404
00:42:47,401 --> 00:42:48,402
a time period where you maybe go

1405
00:42:48,402 --> 00:42:49,403
dark.

1406
00:42:49,403 --> 00:42:50,404
>> sure. No. And I think we'll

1407
00:42:50,404 --> 00:42:53,404
kind of illustrate some of

1408
00:42:53,407 --> 00:42:54,408
that in talking about in phase two, right? Some

1409
00:42:54,408 --> 00:42:56,408
of

1410
00:42:56,410 --> 00:42:57,411
the priorities --and maybe I'll move

1411
00:42:57,411 --> 00:42:58,412
on

1412
00:42:58,412 --> 00:42:59,413
to part of -- you know, what I wanted

1413
00:42:59,413 --> 00:43:00,414
to explore in the next slide.

1414
00:43:00,414 --> 00:43:01,415
>>

1415
00:43:01,415 --> 00:43:02,416
you keep coming to it.

1416
00:43:02,416 --> 00:43:03,417
>> no. It's

1417
00:43:03,417 --> 00:43:04,418
a fair point. And I think

1418
00:43:04,418 --> 00:43:05,419
when we look at even our project,

1419
00:43:05,419 --> 00:43:07,419
right,

1420
00:43:08,388 --> 00:43:09,389
this is a multi-year project. And

1421
00:43:09,389 --> 00:43:11,391
so setting the priorities I would

1422
00:43:11,391 --> 00:43:12,392
say is

1423
00:43:12,392 --> 00:43:14,394
looking at the customer impact and

1424
00:43:14,394 --> 00:43:15,395
how that -- you know, how we

1425
00:43:15,395 --> 00:43:17,397
deliver our service. And then, of

1426
00:43:17,397 --> 00:43:18,398
course, how we are delivering our

1427
00:43:18,398 --> 00:43:20,398
service. So we

1428
00:43:20,400 --> 00:43:22,400
want to make

1429
00:43:23,403 --> 00:43:24,404
sure that we are dropping in to and

1430
00:43:24,404 --> 00:43:26,404
making those

1431
00:43:26,406 --> 00:43:27,407
changes in a pinpointed way but also appear

1432
00:43:27,407 --> 00:43:28,408
seamless. And

1433
00:43:28,408 --> 00:43:29,409
so if there are potential hiccups

1434
00:43:29,409 --> 00:43:31,809
or bugs that do

1435
00:43:32,412 --> 00:43:35,415
show up, the team is able to

1436
00:43:35,415 --> 00:43:37,415
respond

1437
00:43:38,418 --> 00:43:40,420
and pull back, work with our vendors,

1438
00:43:40,420 --> 00:43:41,388
sheinboardwalkman and address that. I have

1439
00:43:41,388 --> 00:43:43,788
to say the team

1440
00:43:44,391 --> 00:43:46,393
--I'll share a quote from

1441
00:43:46,393 --> 00:43:49,396
bachman, but the team internally here

1442
00:43:49,396 --> 00:43:53,400
at uta because you're reaching across operations,

1443
00:43:53,400 --> 00:43:56,403
I.t. And interacting with the customer

1444
00:43:56,403 --> 00:43:58,803
that that definitely pinpoints

1445
00:44:00,407 --> 00:44:01,408
so that we're minimally impacting the customer.

1446
00:44:01,408 --> 00:44:02,409
>> I was

1447
00:44:02,409 --> 00:44:03,410
just wondering before you proceed,

1448
00:44:03,410 --> 00:44:04,411
and, again, if this isn't

1449
00:44:04,411 --> 00:44:05,412
part of your presentation moving forward,

1450
00:44:05,412 --> 00:44:08,412
no worries. But can you

1451
00:44:08,415 --> 00:44:11,418
give us an idea of the scope of the

1452
00:44:11,418 --> 00:44:13,420
number of tvms that were

1453
00:44:13,420 --> 00:44:14,388
installed and completed on that process? I just

1454
00:44:14,388 --> 00:44:16,388
--just for context,

1455
00:44:16,390 --> 00:44:17,391
I think it's really helpful for the

1456
00:44:17,391 --> 00:44:19,391
public

1457
00:44:20,394 --> 00:44:22,396
to understand the scope of

1458
00:44:22,396 --> 00:44:23,397
that.

1459
00:44:23,397 --> 00:44:24,398
>> monica. >> there were about

1460
00:44:24,398 --> 00:44:26,398
133, between 133 --I know

1461
00:44:26,400 --> 00:44:29,403
we've added a few, but just off the

1462
00:44:29,403 --> 00:44:32,403
top of my head at

1463
00:44:32,406 --> 00:44:34,406
least 133, between

1464
00:44:35,409 --> 00:44:36,410
133 and 136.

1465
00:44:36,410 --> 00:44:38,412
>> and do you anticipate

1466
00:44:38,412 --> 00:44:41,415
that's as many as we'll add

1467
00:44:41,415 --> 00:44:42,416
for now or future expansion that you

1468
00:44:42,416 --> 00:44:44,416
can see

1469
00:44:45,419 --> 00:44:46,420
needed that --

1470
00:44:46,420 --> 00:44:47,387
>> we do have

1471
00:44:47,387 --> 00:44:48,388
extra inventory in stock. So we did

1472
00:44:48,388 --> 00:44:49,389
order --I

1473
00:44:49,389 --> 00:44:51,391
think there's probably seven more that can

1474
00:44:51,391 --> 00:44:53,391
go, so

1475
00:44:54,394 --> 00:44:56,396
we'll look at the different

1476
00:44:56,396 --> 00:44:57,397
--

1477
00:44:57,397 --> 00:44:59,399
>> where demand is? >> uh-huh,

1478
00:44:59,399 --> 00:45:00,400
correct.

1479
00:45:00,400 --> 00:45:01,401
>> certainly look at the location. If

1480
00:45:01,401 --> 00:45:02,402
you say,

1481
00:45:02,402 --> 00:45:04,404
for instance, by a school, and we

1482
00:45:04,404 --> 00:45:05,405
have institutional contracts, you know,

1483
00:45:05,405 --> 00:45:06,406
the ticket vending machine may not

1484
00:45:06,406 --> 00:45:08,406
be --even

1485
00:45:08,408 --> 00:45:09,409
though there's a lot of traffic there, it

1486
00:45:09,409 --> 00:45:10,410
would not be

1487
00:45:10,410 --> 00:45:12,412
as widely used versus somewhere else

1488
00:45:12,412 --> 00:45:14,812
that we see a

1489
00:45:15,415 --> 00:45:18,418
decent amount of activity but is

1490
00:45:18,418 --> 00:45:20,418
not going

1491
00:45:21,388 --> 00:45:22,389
to

1492
00:45:22,389 --> 00:45:23,390
be necessarily, you know, institutional

1493
00:45:23,390 --> 00:45:24,391
transit passholders.

1494
00:45:24,391 --> 00:45:25,392
>> okay. >> so

1495
00:45:25,392 --> 00:45:26,393
looking, I do want to point out that

1496
00:45:26,393 --> 00:45:27,394
you

1497
00:45:27,394 --> 00:45:29,396
can see some of the shifts that

1498
00:45:29,396 --> 00:45:30,397
we are were forecasted in the timeline. And,

1499
00:45:30,397 --> 00:45:32,397
again,

1500
00:45:32,399 --> 00:45:33,400
this was a multi-year project that obviously

1501
00:45:33,400 --> 00:45:35,400
when you

1502
00:45:36,403 --> 00:45:38,803
put the lines in

1503
00:45:39,406 --> 00:45:41,408
the sand, you're doing best efforts. So

1504
00:45:41,408 --> 00:45:42,409
we have projected ourselves to have

1505
00:45:42,409 --> 00:45:44,409
a slight moving

1506
00:45:44,411 --> 00:45:45,412
back, and, again, that's, you know, doing

1507
00:45:45,412 --> 00:45:47,412
the piloting,

1508
00:45:47,414 --> 00:45:48,415
the planning and trying to minimize

1509
00:45:48,415 --> 00:45:50,415
that impact

1510
00:45:50,417 --> 00:45:51,418
to the customer. And so that we respond to

1511
00:45:51,418 --> 00:45:53,418
that so

1512
00:45:54,388 --> 00:45:55,389
we rely upon the service. I

1513
00:45:55,389 --> 00:45:57,391
would point out that budget obviously

1514
00:45:57,391 --> 00:45:59,391
is also

1515
00:45:59,393 --> 00:46:01,395
very important to that. So these are

1516
00:46:01,395 --> 00:46:03,397
not necessarily budget delays but time

1517
00:46:03,397 --> 00:46:06,400
delays. And then, of course, you

1518
00:46:06,400 --> 00:46:08,402
know, how do we account

1519
00:46:08,402 --> 00:46:09,403
for what the future, and so we'll

1520
00:46:09,403 --> 00:46:11,403
be talking the

1521
00:46:12,406 --> 00:46:14,406
different phases specifically,

1522
00:46:14,408 --> 00:46:15,409
but we're about midway through that

1523
00:46:15,409 --> 00:46:17,409
phase

1524
00:46:18,412 --> 00:46:19,413
three in those design documents.

1525
00:46:19,413 --> 00:46:21,413
>>

1526
00:46:21,415 --> 00:46:23,417
and how does --

1527
00:46:23,417 --> 00:46:26,420
when it's back end stuff, the customers, you

1528
00:46:26,420 --> 00:46:27,387
know, paying that much attention obviously. At

1529
00:46:27,387 --> 00:46:29,387
what

1530
00:46:30,390 --> 00:46:33,393
point do changes in how it

1531
00:46:33,393 --> 00:46:34,394
operates become more of

1532
00:46:34,394 --> 00:46:36,396
a communications piece with the customer

1533
00:46:36,396 --> 00:46:39,399
in your timeline? Do you have

1534
00:46:39,399 --> 00:46:41,799
to -- is there

1535
00:46:42,402 --> 00:46:44,402
an education need

1536
00:46:44,404 --> 00:46:45,405
or is it relatively seamless and intuitive?

1537
00:46:45,405 --> 00:46:47,405
>>

1538
00:46:48,408 --> 00:46:49,409
seamless, no.

1539
00:46:49,409 --> 00:46:51,409
>> we've

1540
00:46:51,411 --> 00:46:52,412
done a

1541
00:46:52,412 --> 00:46:54,414
lot of communication with customers throughout,

1542
00:46:54,414 --> 00:46:57,417
informing them of what they will

1543
00:46:57,417 --> 00:46:59,419
see on the platforms or what

1544
00:46:59,419 --> 00:47:02,389
they might see happening. And we've

1545
00:47:02,389 --> 00:47:03,390
been working with communications on

1546
00:47:03,390 --> 00:47:05,390
an

1547
00:47:06,393 --> 00:47:08,395
overall strategy for phase

1548
00:47:08,395 --> 00:47:09,396
three specifically that we will begin communicating. So

1549
00:47:09,396 --> 00:47:10,397
it

1550
00:47:10,397 --> 00:47:12,399
is very nuanced because there's different

1551
00:47:12,399 --> 00:47:14,401
phases. Again, phase one

1552
00:47:14,401 --> 00:47:15,402
and two just replacing the equipment

1553
00:47:15,402 --> 00:47:17,404
but communicating that here's

1554
00:47:17,404 --> 00:47:18,405
what's happening. So we've kind of

1555
00:47:18,405 --> 00:47:19,406
been communicating throughout, but

1556
00:47:19,406 --> 00:47:21,406
I do

1557
00:47:21,408 --> 00:47:22,409
think our ramp-up with the communication

1558
00:47:22,409 --> 00:47:24,411
will start for phase three. You'll

1559
00:47:24,411 --> 00:47:25,412
start to see that

1560
00:47:25,412 --> 00:47:26,413
here over the next few months.

1561
00:47:26,413 --> 00:47:27,414
>>

1562
00:47:27,414 --> 00:47:29,814
I mean I think

1563
00:47:30,417 --> 00:47:32,419
--it probably goes without

1564
00:47:32,419 --> 00:47:33,420
saying, but that communication actually

1565
00:47:33,420 --> 00:47:34,388
is beneficial because when

1566
00:47:34,388 --> 00:47:36,390
you've been using something for a

1567
00:47:36,390 --> 00:47:38,392
long time, and it's maybe a

1568
00:47:38,392 --> 00:47:39,393
little tired, and you get something new,

1569
00:47:39,393 --> 00:47:40,394
you

1570
00:47:40,394 --> 00:47:44,594
think, oh, that's kind of cool. And

1571
00:47:45,399 --> 00:47:48,402
I think sort of that value-added piece

1572
00:47:48,402 --> 00:47:49,403
to their -- anyway, I think there's

1573
00:47:49,403 --> 00:47:51,403
an opportunity

1574
00:47:52,406 --> 00:47:53,407
there that would come from it.

1575
00:47:53,407 --> 00:47:54,408
>>

1576
00:47:54,408 --> 00:47:55,409
so he wants to

1577
00:47:55,409 --> 00:47:56,410
say we're hip and cool.

1578
00:47:56,410 --> 00:47:57,411
>> yes. I just

1579
00:47:57,411 --> 00:48:00,414
want to use my credit card on

1580
00:48:00,414 --> 00:48:01,415
the thing.

1581
00:48:01,415 --> 00:48:03,415
>> and

1582
00:48:03,417 --> 00:48:04,418
that definitely is on our future.

1583
00:48:04,418 --> 00:48:05,419
>>

1584
00:48:05,419 --> 00:48:06,420
that is the segueway that I thought

1585
00:48:06,420 --> 00:48:08,388
would be valuable to explain. I know

1586
00:48:08,388 --> 00:48:09,389
that we know what the open payment

1587
00:48:09,389 --> 00:48:11,391
system means, but what

1588
00:48:11,391 --> 00:48:12,392
does that mean to the user? And if

1589
00:48:12,392 --> 00:48:14,394
you could just talk

1590
00:48:14,394 --> 00:48:17,397
about that for a wee bet. That was

1591
00:48:17,397 --> 00:48:18,398
a great segueway, by the way.

1592
00:48:18,398 --> 00:48:19,399
>> certainly. We'll

1593
00:48:19,399 --> 00:48:20,400
go through the

1594
00:48:20,400 --> 00:48:21,401
phases, the different status, and

1595
00:48:21,401 --> 00:48:23,401
we'll certainly

1596
00:48:24,404 --> 00:48:25,405
talk about that.

1597
00:48:25,405 --> 00:48:27,405
>> sounds

1598
00:48:27,407 --> 00:48:28,408
good.

1599
00:48:28,408 --> 00:48:30,410
>> phase two. So phase

1600
00:48:30,410 --> 00:48:32,410
two is the

1601
00:48:32,412 --> 00:48:33,413
replacement of our validators, and

1602
00:48:33,413 --> 00:48:35,415
this includes equipment on frontrunner

1603
00:48:35,415 --> 00:48:36,416
and trax, and this is what you're

1604
00:48:36,416 --> 00:48:38,416
seeing here

1605
00:48:39,419 --> 00:48:42,389
in the lower left hand

1606
00:48:42,389 --> 00:48:45,389
corner is a new shiny

1607
00:48:45,392 --> 00:48:46,393
sleek

1608
00:48:46,393 --> 00:48:48,395
validator. They look really good. We

1609
00:48:48,395 --> 00:48:50,395
are

1610
00:48:51,398 --> 00:48:52,399
25% of the way installing these. So

1611
00:48:52,399 --> 00:48:53,400
there

1612
00:48:53,400 --> 00:48:54,401
will be about 370 of them in total,

1613
00:48:54,401 --> 00:48:56,401
so quite a

1614
00:48:56,403 --> 00:48:57,404
few that we need to go through. Also

1615
00:48:57,404 --> 00:48:59,404
pictured

1616
00:49:00,407 --> 00:49:03,410
here is one of our validators

1617
00:49:03,410 --> 00:49:06,413
being installed. This is a large

1618
00:49:06,413 --> 00:49:08,813
installation and requires strong

1619
00:49:09,416 --> 00:49:10,417
teamwork

1620
00:49:10,417 --> 00:49:13,420
across multiple departments, including I.t.,

1621
00:49:13,420 --> 00:49:15,389
network, facilities, fares, rel and

1622
00:49:15,389 --> 00:49:17,389
safety. Kenzie kunkle

1623
00:49:18,392 --> 00:49:19,393
as the project manager done an amazing

1624
00:49:19,393 --> 00:49:20,394
job coordinating

1625
00:49:20,394 --> 00:49:21,395
installations, and the teams are collaborating

1626
00:49:21,395 --> 00:49:22,396
very well together. So a big thanks

1627
00:49:22,396 --> 00:49:24,396
to

1628
00:49:24,398 --> 00:49:26,400
them for the success

1629
00:49:26,400 --> 00:49:27,401
we are seeing with these replacements. Brody

1630
00:49:27,401 --> 00:49:29,401
ricketts,

1631
00:49:29,403 --> 00:49:30,404
he is a uta field tech and has also

1632
00:49:30,404 --> 00:49:32,404
worked on the

1633
00:49:32,406 --> 00:49:33,407
stawls. He did share that customers

1634
00:49:33,407 --> 00:49:34,408
are excited about the new equipment, so

1635
00:49:34,408 --> 00:49:36,408
we

1636
00:49:36,410 --> 00:49:38,410
are seeing that

1637
00:49:38,412 --> 00:49:39,413
out on the platforms. And to follow

1638
00:49:39,413 --> 00:49:41,413
up, the

1639
00:49:42,416 --> 00:49:45,419
sound issue has been identified and shein

1640
00:49:45,419 --> 00:49:46,420
bachmann is working towards a solution

1641
00:49:46,420 --> 00:49:48,388
that we do expect

1642
00:49:48,388 --> 00:49:49,389
to roll out toward the end of the

1643
00:49:49,389 --> 00:49:50,390
month, so

1644
00:49:50,390 --> 00:49:51,391
that's great news. We also, just to

1645
00:49:51,391 --> 00:49:53,391
note,

1646
00:49:53,393 --> 00:49:54,394
have a brief pause on these installations. We're

1647
00:49:54,394 --> 00:49:56,394
resolving

1648
00:49:56,396 --> 00:49:57,397
a technical issue related to remote monitoring,

1649
00:49:57,397 --> 00:49:59,397
so our

1650
00:50:00,400 --> 00:50:03,403
ability to be able to see their performance, customers

1651
00:50:03,403 --> 00:50:05,405
are still able to tap, there is not an

1652
00:50:05,405 --> 00:50:06,406
issue with them tapping or us receiving

1653
00:50:06,406 --> 00:50:08,406
the data. If

1654
00:50:08,408 --> 00:50:09,409
there are instances of these being

1655
00:50:09,409 --> 00:50:11,409
offline or

1656
00:50:11,411 --> 00:50:12,412
the old not working, we do expect

1657
00:50:12,412 --> 00:50:14,414
a little bit of a

1658
00:50:14,414 --> 00:50:15,415
transition, but it is important that

1659
00:50:15,415 --> 00:50:17,417
we continue to know those

1660
00:50:17,417 --> 00:50:21,170
things so that we can troubleshoot

1661
00:50:21,388 --> 00:50:23,388
and

1662
00:50:24,391 --> 00:50:26,391
investigate as we

1663
00:50:27,394 --> 00:50:28,395
hear about them.

1664
00:50:28,395 --> 00:50:30,395
>> so focusing

1665
00:50:30,397 --> 00:50:31,398
on bus validators, you can see the blue,

1666
00:50:31,398 --> 00:50:32,399
again, the

1667
00:50:32,399 --> 00:50:33,400
blue shiny validator in this photo. We

1668
00:50:33,400 --> 00:50:35,400
are

1669
00:50:36,403 --> 00:50:39,406
nearing the finish line with bus validator

1670
00:50:39,406 --> 00:50:40,407
replacements, so we have depot, meadowbrook and

1671
00:50:40,407 --> 00:50:41,408
ogden garages

1672
00:50:41,408 --> 00:50:42,409
done, and we're currently waiting

1673
00:50:42,409 --> 00:50:44,409
for

1674
00:50:46,413 --> 00:50:48,415
an additional delivery of the

1675
00:50:48,415 --> 00:50:49,416
142 validators so we can finish these

1676
00:50:49,416 --> 00:50:50,417
installations,

1677
00:50:50,417 --> 00:50:54,170
and that's expected to be finished

1678
00:50:55,389 --> 00:50:56,390
next quarter. So those will

1679
00:50:56,390 --> 00:50:58,392
go pretty quickly. Couple of things

1680
00:50:58,392 --> 00:51:00,392
to note,

1681
00:51:00,394 --> 00:51:01,395
the leadership and support from I.t. Communication

1682
00:51:01,395 --> 00:51:03,395
bus

1683
00:51:03,397 --> 00:51:05,399
garage maintenance and fares operations have

1684
00:51:05,399 --> 00:51:07,401
all powered this milestone win, and

1685
00:51:07,401 --> 00:51:08,402
operators have commented

1686
00:51:08,402 --> 00:51:10,404
that the new validators are making

1687
00:51:10,404 --> 00:51:12,404
customers happy, whether

1688
00:51:12,406 --> 00:51:13,407
it's the look, the sound, the feel,

1689
00:51:13,407 --> 00:51:15,407
we're not sure,

1690
00:51:15,409 --> 00:51:16,410
but we do know happy customers make

1691
00:51:16,410 --> 00:51:18,410
happy operators. And

1692
00:51:19,413 --> 00:51:20,414
so this is a win-win. We have

1693
00:51:20,414 --> 00:51:22,416
received feedback from the operators

1694
00:51:22,416 --> 00:51:25,419
and taken that into account. I

1695
00:51:25,419 --> 00:51:26,420
just want to

1696
00:51:26,420 --> 00:51:28,388
highlight an example. When the validators

1697
00:51:28,388 --> 00:51:29,389
were first rolled out, there were

1698
00:51:29,389 --> 00:51:31,391
several concerns about the brightness and

1699
00:51:31,391 --> 00:51:33,791
the light being too

1700
00:51:34,394 --> 00:51:36,396
intense, and so kenzie and the

1701
00:51:36,396 --> 00:51:37,397
team immediately jumped on it which included

1702
00:51:37,397 --> 00:51:39,397
visiting

1703
00:51:40,400 --> 00:51:41,401
the buses at night, getting

1704
00:51:41,401 --> 00:51:43,403
photos, seeking more operator feedback

1705
00:51:43,403 --> 00:51:45,803
to understand the issue,

1706
00:51:46,406 --> 00:51:47,407
having the safety team do an

1707
00:51:47,407 --> 00:51:49,409
assessment, measure the brightness,

1708
00:51:49,409 --> 00:51:50,410
and this was immediately brought

1709
00:51:50,410 --> 00:51:52,412
to the attention of our vendor. A

1710
00:51:52,412 --> 00:51:53,413
temporary work around

1711
00:51:53,413 --> 00:51:55,415
was put in place, multiple meetings

1712
00:51:55,415 --> 00:51:57,417
were held to resolve

1713
00:51:57,417 --> 00:51:58,418
the issue and expedite a hot fix,

1714
00:51:58,418 --> 00:51:59,419
and

1715
00:51:59,419 --> 00:52:01,388
the validator brightness is now reduced,

1716
00:52:01,388 --> 00:52:02,389
and we're working

1717
00:52:02,389 --> 00:52:03,390
on aadaptive feature that will adjust

1718
00:52:03,390 --> 00:52:04,391
the brightness based on time of day,

1719
00:52:04,391 --> 00:52:05,392
so

1720
00:52:05,392 --> 00:52:07,394
that will be nice when we can actually

1721
00:52:07,394 --> 00:52:09,396
roll that out. But I

1722
00:52:09,396 --> 00:52:10,397
do want to emphasize that feedback

1723
00:52:10,397 --> 00:52:12,397
and

1724
00:52:13,400 --> 00:52:15,402
patience are two key elements

1725
00:52:15,402 --> 00:52:16,403
to successful collaboration and implementation of

1726
00:52:16,403 --> 00:52:18,403
this

1727
00:52:18,405 --> 00:52:19,406
project. When we get feedback from operators,

1728
00:52:19,406 --> 00:52:21,406
customers

1729
00:52:22,409 --> 00:52:23,410
or stumble upon issues that we didn't anticipate,

1730
00:52:23,410 --> 00:52:25,412
we are committed to resolving them,

1731
00:52:25,412 --> 00:52:27,414
and we are resolving

1732
00:52:27,414 --> 00:52:28,415
them, and it does take time. But I'm definitely

1733
00:52:28,415 --> 00:52:30,415
pleased

1734
00:52:30,417 --> 00:52:31,418
and proud of the team because everybody

1735
00:52:31,418 --> 00:52:33,418
is

1736
00:52:34,388 --> 00:52:35,389
going above and beyond with this project in

1737
00:52:35,389 --> 00:52:37,391
many instances. I just highlighted

1738
00:52:37,391 --> 00:52:39,791
a small one. And

1739
00:52:40,394 --> 00:52:42,396
so a big thanks for the team on

1740
00:52:42,396 --> 00:52:43,397
the bus validators.

1741
00:52:43,397 --> 00:52:44,398
>> if I could

1742
00:52:44,398 --> 00:52:45,399
just

1743
00:52:45,399 --> 00:52:46,400
add on this too, just to kind of pinpoint the

1744
00:52:46,400 --> 00:52:47,401
effort,

1745
00:52:47,401 --> 00:52:49,403
right, the planning stages that we

1746
00:52:49,403 --> 00:52:51,403
had,

1747
00:52:52,406 --> 00:52:55,409
we set a schedule, we communicated

1748
00:52:55,409 --> 00:52:57,411
that with, you know, our

1749
00:52:57,411 --> 00:53:00,414
team of shein bachmann and operations and

1750
00:53:00,414 --> 00:53:01,415
the different bus centers and then

1751
00:53:01,415 --> 00:53:03,415
coordinated with

1752
00:53:03,417 --> 00:53:04,418
those managers because each night

1753
00:53:04,418 --> 00:53:05,419
when the buses

1754
00:53:05,419 --> 00:53:07,421
came in, then the team would jump

1755
00:53:07,421 --> 00:53:09,389
on that, you know, it was

1756
00:53:09,389 --> 00:53:10,390
kind of like a nascar transition,

1757
00:53:10,390 --> 00:53:12,390
and everybody

1758
00:53:12,392 --> 00:53:13,393
was working around and changing it to

1759
00:53:13,393 --> 00:53:15,395
bring out this new

1760
00:53:15,395 --> 00:53:18,398
equipment so that the next day the

1761
00:53:18,398 --> 00:53:21,401
buses were out and ready to operate. And I

1762
00:53:21,401 --> 00:53:22,402
think that showed if there was any

1763
00:53:22,402 --> 00:53:23,403
pause, you

1764
00:53:23,403 --> 00:53:25,405
know, somebody could throw in a towel and

1765
00:53:25,405 --> 00:53:27,405
say

1766
00:53:27,407 --> 00:53:28,408
we need to stop, let's re-evaluate,

1767
00:53:28,408 --> 00:53:30,408
and once those,

1768
00:53:31,411 --> 00:53:32,412
you know, types of iterations

1769
00:53:32,412 --> 00:53:34,414
came through, the project moved, I would

1770
00:53:34,414 --> 00:53:36,416
say, very quickly. But it

1771
00:53:36,416 --> 00:53:37,417
had that kind of initial stage that

1772
00:53:37,417 --> 00:53:39,817
everybody needed to be

1773
00:53:40,420 --> 00:53:41,388
aware and then, you know, getting

1774
00:53:41,388 --> 00:53:43,388
that

1775
00:53:43,390 --> 00:53:45,392
feedback if we needed to

1776
00:53:45,392 --> 00:53:46,393
pivot.

1777
00:53:46,393 --> 00:53:47,394
>> I think sam poleon loved

1778
00:53:47,394 --> 00:53:48,395
the fact that

1779
00:53:48,395 --> 00:53:49,396
we learned from things and hopefully

1780
00:53:49,396 --> 00:53:50,397
makes it better, and maybe the vendor

1781
00:53:50,397 --> 00:53:51,398
learned some

1782
00:53:51,398 --> 00:53:52,399
things from it as well.

1783
00:53:52,399 --> 00:53:54,399
>> I also

1784
00:53:54,401 --> 00:53:55,402
want to acknowledge this morning the

1785
00:53:55,402 --> 00:53:57,402
excellent work that

1786
00:53:57,404 --> 00:53:58,405
has not only been clear to me and

1787
00:53:58,405 --> 00:54:00,405
many

1788
00:54:01,408 --> 00:54:03,410
of us here at uta but one that's been

1789
00:54:03,410 --> 00:54:04,411
highlighted by our vendor shein bachmann has noted

1790
00:54:04,411 --> 00:54:05,412
that uta's team

1791
00:54:05,412 --> 00:54:07,414
is one of the best they've worked

1792
00:54:07,414 --> 00:54:10,417
with here in north america. And specifically

1793
00:54:10,417 --> 00:54:11,418
here is what mark had to say, I've

1794
00:54:11,418 --> 00:54:12,419
been a part

1795
00:54:12,419 --> 00:54:13,420
of all projects in north america in

1796
00:54:13,420 --> 00:54:15,389
my current

1797
00:54:15,389 --> 00:54:16,390
role since 2017 and have not had a

1798
00:54:16,390 --> 00:54:18,390
customer site team

1799
00:54:19,393 --> 00:54:20,394
report back with the quality,

1800
00:54:20,394 --> 00:54:22,396
consistency and detailed information

1801
00:54:22,396 --> 00:54:24,398
that we have seen here at uta. We

1802
00:54:24,398 --> 00:54:25,399
appreciate it and look forward to seeing

1803
00:54:25,399 --> 00:54:27,399
the updates coming

1804
00:54:27,401 --> 00:54:28,402
in. A big thank you to those who have

1805
00:54:28,402 --> 00:54:31,405
train and given them the tools to

1806
00:54:31,405 --> 00:54:34,405
do so as well which

1807
00:54:34,408 --> 00:54:37,408
is what brian was referring

1808
00:54:37,411 --> 00:54:38,412
to earlier. Phase three, this is the

1809
00:54:38,412 --> 00:54:39,413
most transformative

1810
00:54:39,413 --> 00:54:40,414
phase, and it's just over the halfway

1811
00:54:40,414 --> 00:54:42,414
mark, as you

1812
00:54:42,416 --> 00:54:43,417
saw on the earlier slide. It is the

1813
00:54:43,417 --> 00:54:45,417
back end system

1814
00:54:45,419 --> 00:54:47,421
that will drive new functionality

1815
00:54:47,421 --> 00:54:49,389
on our ticket vending machines and our

1816
00:54:49,389 --> 00:54:50,390
validators, and these are the three

1817
00:54:50,390 --> 00:54:52,390
areas. This

1818
00:54:52,392 --> 00:54:55,395
will move us closer to our goal

1819
00:54:55,395 --> 00:54:56,396
of simplifying the customer fare experience. We

1820
00:54:56,396 --> 00:54:58,396
have

1821
00:54:58,398 --> 00:54:59,399
the fare pay that will be available

1822
00:54:59,399 --> 00:55:01,399
at

1823
00:55:01,401 --> 00:55:02,402
ticket vending machines, the ability to purchase

1824
00:55:02,402 --> 00:55:04,402
new

1825
00:55:04,404 --> 00:55:06,406
or reload old, as well

1826
00:55:06,406 --> 00:55:07,407
as check balances, in addition to

1827
00:55:07,407 --> 00:55:09,409
new screen flow, we'll

1828
00:55:09,409 --> 00:55:10,410
have a new integrated customer platform

1829
00:55:10,410 --> 00:55:12,412
that customers can log

1830
00:55:12,412 --> 00:55:13,413
in and have everything in one place,

1831
00:55:13,413 --> 00:55:15,413
and then

1832
00:55:16,416 --> 00:55:19,419
we'll also have new fare inspection devices

1833
00:55:19,419 --> 00:55:22,389
that the officers and fare inspectors

1834
00:55:22,389 --> 00:55:25,389
can use to support inspections

1835
00:55:26,393 --> 00:55:28,395
on the new back end software. I want

1836
00:55:28,395 --> 00:55:29,396
to share a few

1837
00:55:29,396 --> 00:55:31,398
more details about phase three. It's

1838
00:55:31,398 --> 00:55:32,399
a big lift.

1839
00:55:32,399 --> 00:55:33,400
>> can I ask a

1840
00:55:33,400 --> 00:55:34,401
question?

1841
00:55:34,401 --> 00:55:36,801
>> yes, absolutely. >> on the

1842
00:55:37,404 --> 00:55:39,804
fare pay and atm

1843
00:55:40,407 --> 00:55:42,407
--or the

1844
00:55:43,410 --> 00:55:44,411
tvm integration, does that reduce

1845
00:55:44,411 --> 00:55:46,411
the

1846
00:55:46,413 --> 00:55:49,413
reliance on retail operations to

1847
00:55:49,416 --> 00:55:51,418
load those? Does it

1848
00:55:51,418 --> 00:55:54,421
create better opportunities for user, including

1849
00:55:54,421 --> 00:55:55,389
bus users from the key transfer point? I

1850
00:55:55,389 --> 00:55:57,389
was just wondering

1851
00:55:58,392 --> 00:55:59,393
how do you see that evolving?

1852
00:55:59,393 --> 00:56:01,393
>> sure. This

1853
00:56:01,395 --> 00:56:03,397
is really big. I

1854
00:56:03,397 --> 00:56:04,398
mean, we've wanted, you know, these

1855
00:56:04,398 --> 00:56:06,398
tvms and vend

1856
00:56:06,400 --> 00:56:07,401
fair pay cards since we introduced

1857
00:56:07,401 --> 00:56:08,402
fair pay cards. So we are happy to

1858
00:56:08,402 --> 00:56:10,404
finally see this come to fruition. But

1859
00:56:10,404 --> 00:56:11,405
I think the experience

1860
00:56:11,405 --> 00:56:13,407
for the customers will definitely not

1861
00:56:13,407 --> 00:56:15,409
be scaling back on any of our

1862
00:56:15,409 --> 00:56:16,410
retailers. If anything, we'll probably

1863
00:56:16,410 --> 00:56:18,412
be boosting that network

1864
00:56:18,412 --> 00:56:19,413
to just make sure that all individuals can

1865
00:56:19,413 --> 00:56:21,413
get

1866
00:56:22,416 --> 00:56:24,418
good access to be able to

1867
00:56:24,418 --> 00:56:25,419
reload and purchase for pay cards. But

1868
00:56:25,419 --> 00:56:27,419
I

1869
00:56:30,390 --> 00:56:31,391
do think that it'll be easier for

1870
00:56:31,391 --> 00:56:33,393
at least our rail users when

1871
00:56:33,393 --> 00:56:34,394
they do get on the platform and realize

1872
00:56:34,394 --> 00:56:37,394
they want to either pay

1873
00:56:37,397 --> 00:56:38,398
as they go or they are reminded I

1874
00:56:38,398 --> 00:56:39,399
need

1875
00:56:39,399 --> 00:56:40,400
to add new funds and maybe didn't

1876
00:56:40,400 --> 00:56:43,400
remember to begin with. But

1877
00:56:43,403 --> 00:56:44,404
we also have a very robust online

1878
00:56:44,404 --> 00:56:46,404
you can do

1879
00:56:46,406 --> 00:56:47,407
that. So a lot of people either from their

1880
00:56:47,407 --> 00:56:48,408
phone

1881
00:56:48,408 --> 00:56:49,409
or when they're at home are able to

1882
00:56:49,409 --> 00:56:52,409
reload. So I think this

1883
00:56:52,412 --> 00:56:54,414
is just another option for us

1884
00:56:54,414 --> 00:56:55,415
to make it easier for the customer,

1885
00:56:55,415 --> 00:56:57,815
whether it's, you're right,

1886
00:56:58,418 --> 00:57:02,389
the transfer base for buses, but I

1887
00:57:02,389 --> 00:57:05,389
do see this a big

1888
00:57:05,392 --> 00:57:08,395
advantage for our rail users. So

1889
00:57:08,395 --> 00:57:10,395
phase three,

1890
00:57:11,398 --> 00:57:14,401
a big lift, but as this slide

1891
00:57:14,401 --> 00:57:17,404
--the little bus driving down the

1892
00:57:17,404 --> 00:57:18,405
road, we are moving towards

1893
00:57:18,405 --> 00:57:20,407
big wins, and we kicked off this phase

1894
00:57:20,407 --> 00:57:22,407
[ inaudible ]

1895
00:57:22,409 --> 00:57:23,410
there on the left in march of 2024. And

1896
00:57:23,410 --> 00:57:25,410
since then

1897
00:57:25,412 --> 00:57:26,413
we have completed the review and approval

1898
00:57:26,413 --> 00:57:29,416
of the design documents. And I just

1899
00:57:29,416 --> 00:57:32,419
want to give you an idea

1900
00:57:32,419 --> 00:57:35,389
of the magnitude of the design

1901
00:57:35,389 --> 00:57:36,390
documents. There were over 22

1902
00:57:36,390 --> 00:57:37,391
documents that averaged 55 pages

1903
00:57:37,391 --> 00:57:38,392
each. That's about four revisions

1904
00:57:38,392 --> 00:57:40,394
per document. If you

1905
00:57:40,394 --> 00:57:43,397
can imagine reading through it every

1906
00:57:43,397 --> 00:57:47,401
single time. And this equates to reading

1907
00:57:47,401 --> 00:57:50,401
the entire harry potter series

1908
00:57:50,404 --> 00:57:52,804
twice for each version. [

1909
00:57:53,407 --> 00:57:54,408
laughter ]

1910
00:57:54,408 --> 00:57:55,409
>> where is platform

1911
00:57:55,409 --> 00:57:56,410
dime and 3/4? Just need to know.

1912
00:57:56,410 --> 00:57:57,411
>>

1913
00:57:57,411 --> 00:57:59,411
so

1914
00:57:59,413 --> 00:58:00,414
put simply, the shear volume of documents,

1915
00:58:00,414 --> 00:58:02,416
versions and attachments highlight

1916
00:58:02,416 --> 00:58:05,419
not only just the workload but

1917
00:58:05,419 --> 00:58:06,420
the strength of the team

1918
00:58:06,420 --> 00:58:08,388
that carried through it. And, again,

1919
00:58:08,388 --> 00:58:09,389
this is an addition above

1920
00:58:09,389 --> 00:58:11,391
and beyond their current job responsibilities. So very

1921
00:58:11,391 --> 00:58:13,391
impressive. But we're

1922
00:58:13,393 --> 00:58:14,394
here, we're at the end of q3. The

1923
00:58:14,394 --> 00:58:16,394
development

1924
00:58:17,397 --> 00:58:18,398
has started, and we are on our

1925
00:58:18,398 --> 00:58:20,400
way to transition from our current

1926
00:58:20,400 --> 00:58:22,400
efc

1927
00:58:23,403 --> 00:58:24,404
back office system to our new

1928
00:58:24,404 --> 00:58:26,406
sche idt bachmann office system which will

1929
00:58:26,406 --> 00:58:28,406
happen next

1930
00:58:29,409 --> 00:58:32,409
year with those three key

1931
00:58:32,412 --> 00:58:34,412
system functionalities that

1932
00:58:34,414 --> 00:58:35,415
I mentioned. Any questions at this point?

1933
00:58:35,415 --> 00:58:36,416
>>

1934
00:58:36,416 --> 00:58:37,417
my understanding, monica,

1935
00:58:37,417 --> 00:58:38,418
is that this is really the bridge, that

1936
00:58:38,418 --> 00:58:41,388
phase three is the bridge to

1937
00:58:41,388 --> 00:58:43,388
what we're about

1938
00:58:43,390 --> 00:58:44,391
to talk about.

1939
00:58:44,391 --> 00:58:45,392
>> yes. >> yes. No. That's

1940
00:58:45,392 --> 00:58:46,393
right. Thank

1941
00:58:46,393 --> 00:58:50,397
you. And so when you ask about, you know,

1942
00:58:50,397 --> 00:58:52,399
what is the open payment or

1943
00:58:52,399 --> 00:58:53,400
mobile payment, and I'll say that

1944
00:58:53,400 --> 00:58:55,400
those are

1945
00:58:55,402 --> 00:58:56,403
kind of the same but also different,

1946
00:58:56,403 --> 00:58:58,403
right, because when

1947
00:58:58,405 --> 00:58:59,406
you think of open payment, you can

1948
00:58:59,406 --> 00:59:00,407
think of that physical

1949
00:59:00,407 --> 00:59:02,409
card, right, our credit cards we have

1950
00:59:02,409 --> 00:59:04,409
in our

1951
00:59:04,411 --> 00:59:06,413
wallet and certainly we've seen some transit

1952
00:59:06,413 --> 00:59:08,415
agencies that have adopted that and

1953
00:59:08,415 --> 00:59:10,815
utilized that. But many

1954
00:59:11,418 --> 00:59:13,418
users have

1955
00:59:14,421 --> 00:59:15,389
their cards also on their

1956
00:59:15,389 --> 00:59:17,391
phones. And so that there is that feature,

1957
00:59:17,391 --> 00:59:18,392
but then there is the feature of

1958
00:59:18,392 --> 00:59:20,394
our fair pay card going digital from

1959
00:59:20,394 --> 00:59:23,394
a physical form to a

1960
00:59:23,397 --> 00:59:26,400
digital form on the phone. And so

1961
00:59:26,400 --> 00:59:28,402
this past summer we actually

1962
00:59:28,402 --> 00:59:29,403
worked with a consultant, clever,

1963
00:59:29,403 --> 00:59:31,403
and we

1964
00:59:32,406 --> 00:59:34,406
had

1965
00:59:34,408 --> 00:59:35,409
a large roundtable, if you will, across

1966
00:59:35,409 --> 00:59:37,411
the agency. And getting

1967
00:59:37,411 --> 00:59:40,414
all that feedback of trying to understand,

1968
00:59:40,414 --> 00:59:41,415
like, okay, this is where our customers,

1969
00:59:41,415 --> 00:59:42,416
and I'll even

1970
00:59:42,416 --> 00:59:44,418
say some of our institutional customers

1971
00:59:44,418 --> 00:59:46,418
like students

1972
00:59:46,420 --> 00:59:47,421
now have their student I.d. On their phone, that

1973
00:59:47,421 --> 00:59:49,421
that

1974
00:59:50,390 --> 00:59:52,392
is the way of the future.

1975
00:59:52,392 --> 00:59:53,393
and so adapting and adopting to that

1976
00:59:53,393 --> 00:59:55,395
sounds great, we can just put

1977
00:59:55,395 --> 00:59:56,396
it on our phone and move on, but there's

1978
00:59:56,396 --> 00:59:58,396
a

1979
00:59:59,399 --> 01:00:02,402
lot to take into that. You know, there's

1980
01:00:02,402 --> 01:00:05,405
the transactional costs and the fees and

1981
01:00:05,405 --> 01:00:07,405
deploying that, working

1982
01:00:07,407 --> 01:00:08,408
with google and apple. So those design

1983
01:00:08,408 --> 01:00:10,408
conversations actually

1984
01:00:10,410 --> 01:00:11,411
are --have been happening and kind

1985
01:00:11,411 --> 01:00:13,411
of laying that

1986
01:00:14,414 --> 01:00:15,415
out, and we have actually in --in

1987
01:00:15,415 --> 01:00:17,417
the next couple weeks, we actually

1988
01:00:17,417 --> 01:00:19,417
have more

1989
01:00:20,420 --> 01:00:24,391
formal discussions on what those scopes are. But

1990
01:00:24,391 --> 01:00:26,393
essentially what we're moving towards

1991
01:00:26,393 --> 01:00:28,395
is having that multiple ways so

1992
01:00:28,395 --> 01:00:29,396
we minimize the dwell time, and when

1993
01:00:29,396 --> 01:00:30,397
people

1994
01:00:30,397 --> 01:00:32,399
have that functionality, whether it be

1995
01:00:32,399 --> 01:00:34,799
from their wallet or

1996
01:00:35,402 --> 01:00:37,402
from

1997
01:00:38,405 --> 01:00:42,409
the mobile wallet on their phone. Any

1998
01:00:42,409 --> 01:00:43,410
questions about the open payment?

1999
01:00:43,410 --> 01:00:44,411
>>

2000
01:00:44,411 --> 01:00:46,411
I think

2001
01:00:46,413 --> 01:00:47,414
--I agree with you. Figuring out how to

2002
01:00:47,414 --> 01:00:49,414
meet

2003
01:00:50,417 --> 01:00:53,420
that challenge is going to be a

2004
01:00:53,420 --> 01:00:55,420
huge thing

2005
01:00:56,390 --> 01:00:57,391
long term. So thank you.

2006
01:00:57,391 --> 01:00:58,392
>> certainly. >>

2007
01:00:58,392 --> 01:00:59,393
I

2008
01:00:59,393 --> 01:01:00,394
actually equail it with the fact that

2009
01:01:00,394 --> 01:01:01,395
we're getting

2010
01:01:01,395 --> 01:01:05,399
all of these level boarding vehicles, right? The

2011
01:01:05,399 --> 01:01:06,400
smoothness and the ease of usage,

2012
01:01:06,400 --> 01:01:07,401
that

2013
01:01:07,401 --> 01:01:08,402
just makes our system more efficient. So

2014
01:01:08,402 --> 01:01:10,402
I

2015
01:01:10,404 --> 01:01:11,405
just appreciate how that's coming

2016
01:01:11,405 --> 01:01:12,406
>>

2017
01:01:12,406 --> 01:01:13,407
no. Certainly. You know, again, you're

2018
01:01:13,407 --> 01:01:14,408
thinking of

2019
01:01:14,408 --> 01:01:15,409
the customer, and then you have to

2020
01:01:15,409 --> 01:01:16,410
think

2021
01:01:16,410 --> 01:01:17,411
about how do we deliver that service

2022
01:01:17,411 --> 01:01:19,411
as well

2023
01:01:20,414 --> 01:01:21,415
so that we're doing it effectively and

2024
01:01:21,415 --> 01:01:23,415
in

2025
01:01:23,417 --> 01:01:25,817
a -- you know,

2026
01:01:26,420 --> 01:01:28,388
a financially stewardship way,

2027
01:01:28,388 --> 01:01:29,389
if that's a word. Lastly, I just want

2028
01:01:29,389 --> 01:01:31,391
to finish here. We talked

2029
01:01:31,391 --> 01:01:32,392
about, you know, the communications

2030
01:01:32,392 --> 01:01:35,395
that we put out there. This

2031
01:01:35,395 --> 01:01:36,396
was an example of one when we were

2032
01:01:36,396 --> 01:01:38,396
on --

2033
01:01:38,398 --> 01:01:41,401
we put out on social media when

2034
01:01:41,401 --> 01:01:43,401
we were transitioning

2035
01:01:44,404 --> 01:01:45,405
to the new validators, and so taking

2036
01:01:45,405 --> 01:01:46,406
that proactive

2037
01:01:46,406 --> 01:01:47,407
messaging and trying to get out in

2038
01:01:47,407 --> 01:01:49,407
front of

2039
01:01:50,410 --> 01:01:52,412
the customers as much as we

2040
01:01:52,412 --> 01:01:53,413
could, again, that also meant, you know,

2041
01:01:53,413 --> 01:01:55,415
educating people internally, right,

2042
01:01:55,415 --> 01:01:59,419
letting them know about the transition, putting

2043
01:01:59,419 --> 01:02:01,419
the plan

2044
01:02:01,421 --> 01:02:02,389
in place that everybody could have

2045
01:02:02,389 --> 01:02:04,389
an input even

2046
01:02:04,391 --> 01:02:05,392
when we went active through those

2047
01:02:05,392 --> 01:02:07,392
transitions so that

2048
01:02:07,394 --> 01:02:08,395
we could regroup and react. So I would

2049
01:02:08,395 --> 01:02:10,395
say seeing how

2050
01:02:10,397 --> 01:02:11,398
the response has been from the public,

2051
01:02:11,398 --> 01:02:13,398
it seems

2052
01:02:14,401 --> 01:02:16,401
that

2053
01:02:18,405 --> 01:02:22,605
it's been a pretty effective transition. And

2054
01:02:23,410 --> 01:02:24,411
that concludes the presentation. If

2055
01:02:24,411 --> 01:02:25,412
there's

2056
01:02:25,412 --> 01:02:26,413
any final words.

2057
01:02:26,413 --> 01:02:27,414
>> any questions? I

2058
01:02:27,414 --> 01:02:29,416
take it you're having no buyer's remorse

2059
01:02:29,416 --> 01:02:31,416
at this

2060
01:02:32,419 --> 01:02:35,389
point with the system that you

2061
01:02:35,389 --> 01:02:36,390
chose?

2062
01:02:36,390 --> 01:02:38,390
>> definitely not,

2063
01:02:38,392 --> 01:02:39,393
no.

2064
01:02:39,393 --> 01:02:40,394
>> very excited about it. [

2065
01:02:40,394 --> 01:02:41,395
inaudible ] I'm excited about the next

2066
01:02:41,395 --> 01:02:43,395
phases coming

2067
01:02:43,397 --> 01:02:44,398
to fruition, so --

2068
01:02:44,398 --> 01:02:45,399
>> yeah. >> yeah. I just

2069
01:02:45,399 --> 01:02:46,400
want

2070
01:02:46,400 --> 01:02:47,401
to thank the entire team. This is a lot

2071
01:02:47,401 --> 01:02:50,404
of work. I mean, you can see

2072
01:02:50,404 --> 01:02:52,406
it, but it's going to have a wonderful end state

2073
01:02:52,406 --> 01:02:53,407
for us, and we're very excited. So

2074
01:02:53,407 --> 01:02:54,408
thank you.

2075
01:02:54,408 --> 01:02:56,408
>>

2076
01:02:56,410 --> 01:02:57,411
thank you, jeff.

2077
01:02:57,411 --> 01:02:59,411
>>

2078
01:02:59,413 --> 01:03:00,414
thanks for the

2079
01:03:00,414 --> 01:03:02,416
great presentation. With that we'll go

2080
01:03:02,416 --> 01:03:04,418
to item b which is

2081
01:03:04,418 --> 01:03:05,419
the uta insurance program and renewals. And

2082
01:03:05,419 --> 01:03:07,419
looks like

2083
01:03:08,388 --> 01:03:09,389
you don't get to go anywhere, brian.

2084
01:03:09,389 --> 01:03:10,390
>>

2085
01:03:10,390 --> 01:03:11,391
yes. Now

2086
01:03:11,391 --> 01:03:14,391
I'm here to talk about

2087
01:03:14,394 --> 01:03:16,394
the exciting world

2088
01:03:16,396 --> 01:03:19,996
of insurance and risk. Whoa. Thank

2089
01:03:20,400 --> 01:03:21,401
you. So brian reeves, associate chief financial

2090
01:03:21,401 --> 01:03:23,401
officer. So as

2091
01:03:23,403 --> 01:03:26,403
you may know or recall,

2092
01:03:26,406 --> 01:03:29,406
we have a board policy

2093
01:03:29,409 --> 01:03:32,412
that addresses our managing of our risk

2094
01:03:32,412 --> 01:03:33,413
and called it the risk transers, so

2095
01:03:33,413 --> 01:03:35,415
the risk management area. So, number

2096
01:03:35,415 --> 01:03:38,418
one, we're here to give you an annual

2097
01:03:38,418 --> 01:03:40,818
update on our program

2098
01:03:41,421 --> 01:03:42,389
and how we've been managing that. Also

2099
01:03:42,389 --> 01:03:44,389
we'll

2100
01:03:44,391 --> 01:03:45,392
address the public officials errors

2101
01:03:45,392 --> 01:03:46,393
and

2102
01:03:46,393 --> 01:03:47,394
owe missions insurance in that we have

2103
01:03:47,394 --> 01:03:48,395
procured that, so we can show that

2104
01:03:48,395 --> 01:03:50,395
is

2105
01:03:50,397 --> 01:03:51,398
in place. And then, of course, discuss

2106
01:03:51,398 --> 01:03:54,398
the other insurance products that

2107
01:03:54,401 --> 01:03:56,801
we have procured to

2108
01:03:57,404 --> 01:03:59,404
put

2109
01:04:00,407 --> 01:04:03,407
in place for protecting the

2110
01:04:03,410 --> 01:04:05,410
authority. So the

2111
01:04:05,412 --> 01:04:06,413
first policy is addressing our public

2112
01:04:06,413 --> 01:04:07,414
officials errors

2113
01:04:07,414 --> 01:04:08,415
and omissions insurance. This is an

2114
01:04:08,415 --> 01:04:12,150
annual renewal. We've had this policy

2115
01:04:12,419 --> 01:04:13,420
in place for a

2116
01:04:13,420 --> 01:04:16,390
number of years now. So this was a

2117
01:04:16,390 --> 01:04:18,392
pretty --I'll say pretty easy one

2118
01:04:18,392 --> 01:04:20,394
to secure as far as

2119
01:04:20,394 --> 01:04:23,397
we had no change in premium which

2120
01:04:23,397 --> 01:04:25,399
was great, as we'll see there were

2121
01:04:25,399 --> 01:04:27,401
some changes in premiums that affected some

2122
01:04:27,401 --> 01:04:29,801
of our other policies

2123
01:04:30,404 --> 01:04:32,406
that I'll talk about. But

2124
01:04:32,406 --> 01:04:33,407
this one in particular still maintained

2125
01:04:33,407 --> 01:04:34,408
the

2126
01:04:34,408 --> 01:04:36,410
same premium. Also having that first

2127
01:04:36,410 --> 01:04:37,411
policy limit at $2 million,

2128
01:04:37,411 --> 01:04:39,413
and then, of course, our blanket policy

2129
01:04:39,413 --> 01:04:41,413
to pick up

2130
01:04:44,418 --> 01:04:45,419
any excess up to $10 million.

2131
01:04:45,419 --> 01:04:46,420
>> can

2132
01:04:46,420 --> 01:04:47,421
I just ask

2133
01:04:47,421 --> 01:04:48,422
a quick question on the previous? I'm,

2134
01:04:48,422 --> 01:04:50,422
like, my

2135
01:04:51,391 --> 01:04:53,393
brain kind of just froze

2136
01:04:53,393 --> 01:04:54,394
on this one. Public entity, what's

2137
01:04:54,394 --> 01:04:55,395
d&o?

2138
01:04:55,395 --> 01:04:57,395
>>

2139
01:04:57,397 --> 01:04:59,397
directors and

2140
01:05:02,402 --> 01:05:03,403
officers.

2141
01:05:03,403 --> 01:05:04,404
>> directors. Thank you. Appreciate that. >>

2142
01:05:04,404 --> 01:05:06,406
sure. So this is our

2143
01:05:06,406 --> 01:05:07,407
--a

2144
01:05:07,407 --> 01:05:09,409
look at our blanket excess policy. We

2145
01:05:09,409 --> 01:05:11,411
did experience, as you can see,

2146
01:05:11,411 --> 01:05:12,412
a pretty significant increase of excess

2147
01:05:12,412 --> 01:05:14,412
policy premium. Part

2148
01:05:15,415 --> 01:05:17,417
of it was related to some good

2149
01:05:17,417 --> 01:05:21,170
actions that happened here, right? We

2150
01:05:21,421 --> 01:05:22,389
saw a tremendous growth in our ridership

2151
01:05:22,389 --> 01:05:24,389
which

2152
01:05:24,391 --> 01:05:25,392
is a bob. We appreciate

2153
01:05:25,392 --> 01:05:27,394
that. But, unfortunately, that also enhanced

2154
01:05:27,394 --> 01:05:29,394
our

2155
01:05:29,396 --> 01:05:33,400
risk profile so that the chance of occurrences

2156
01:05:33,400 --> 01:05:36,403
--and we did see that occur. Also

2157
01:05:36,403 --> 01:05:37,404
on top of that we had

2158
01:05:37,404 --> 01:05:39,406
some transes going on that's outside of

2159
01:05:39,406 --> 01:05:41,406
uta,

2160
01:05:42,409 --> 01:05:44,809
and that is just

2161
01:05:45,412 --> 01:05:46,413
the market appetite for taking

2162
01:05:46,413 --> 01:05:48,415
these types of excess risks. The lead

2163
01:05:48,415 --> 01:05:51,415
carrier, munich reed has been

2164
01:05:51,418 --> 01:05:52,419
a big

2165
01:05:52,419 --> 01:05:54,421
player in that, but they've experienced, I'd say,

2166
01:05:54,421 --> 01:05:57,391
a couple of incidents that have

2167
01:05:57,391 --> 01:06:00,394
been greater than what they had anticipated. And

2168
01:06:00,394 --> 01:06:02,394
so last year

2169
01:06:02,396 --> 01:06:04,398
they took a look at their business,

2170
01:06:04,398 --> 01:06:06,400
and they actually made the choice

2171
01:06:06,400 --> 01:06:08,400
to actually cut

2172
01:06:09,403 --> 01:06:10,404
the amount

2173
01:06:10,404 --> 01:06:12,406
of coverages they were applying. So

2174
01:06:12,406 --> 01:06:14,408
to pivot and for us to

2175
01:06:14,408 --> 01:06:15,409
manage through that, we actually -- we're

2176
01:06:15,409 --> 01:06:17,409
still able

2177
01:06:17,411 --> 01:06:18,412
to secure -- initially they told us

2178
01:06:18,412 --> 01:06:20,414
a much lower limit, but we were

2179
01:06:20,414 --> 01:06:21,415
able to commence them to keep their limits

2180
01:06:21,415 --> 01:06:23,415
up to about

2181
01:06:23,417 --> 01:06:24,418
$8 million, and then we placed a second

2182
01:06:24,418 --> 01:06:26,418
-- or

2183
01:06:27,421 --> 01:06:29,389
another tier above

2184
01:06:29,389 --> 01:06:30,390
that with a new carrier, I'll call

2185
01:06:30,390 --> 01:06:32,390
it metis, and

2186
01:06:33,393 --> 01:06:34,394
that is more

2187
01:06:34,394 --> 01:06:36,396
of a structured insurance product. So

2188
01:06:36,396 --> 01:06:39,399
that one, they are from a player

2189
01:06:39,399 --> 01:06:41,399
that I would

2190
01:06:41,401 --> 01:06:42,402
say is fairly new into the insurance space,

2191
01:06:42,402 --> 01:06:44,402
but they've

2192
01:06:44,404 --> 01:06:45,405
been managing risk through pools I

2193
01:06:45,405 --> 01:06:48,405
think since it was the

2194
01:06:48,408 --> 01:06:50,410
early '90s for

2195
01:06:50,410 --> 01:06:54,100
a lot of municipalities and government

2196
01:06:54,414 --> 01:06:56,414
agencies. So they

2197
01:06:57,417 --> 01:06:58,418
understand the risk profile for government entities. For

2198
01:06:58,418 --> 01:07:00,418
us

2199
01:07:00,420 --> 01:07:02,389
and what I felt

2200
01:07:02,389 --> 01:07:03,390
prudent was instead of transitioning

2201
01:07:03,390 --> 01:07:04,391
our entire blanket, we thought it would be

2202
01:07:04,391 --> 01:07:06,391
a

2203
01:07:06,393 --> 01:07:07,394
good approach to learn more about

2204
01:07:07,394 --> 01:07:08,395
them

2205
01:07:08,395 --> 01:07:09,396
and their structure. While they check

2206
01:07:09,396 --> 01:07:11,398
all the boxes as

2207
01:07:11,398 --> 01:07:12,399
far as what is substantial coverage,

2208
01:07:12,399 --> 01:07:14,399
it's

2209
01:07:15,402 --> 01:07:17,404
a new entity. And so still

2210
01:07:17,404 --> 01:07:18,405
having munich reed in between there,

2211
01:07:18,405 --> 01:07:20,407
they were willing to

2212
01:07:20,407 --> 01:07:21,408
increase their limit to what they originally

2213
01:07:21,408 --> 01:07:23,808
proposed but then putting

2214
01:07:24,411 --> 01:07:26,411
an

2215
01:07:28,415 --> 01:07:30,417
additional layer on top of that. And

2216
01:07:30,417 --> 01:07:32,417
the next

2217
01:07:32,419 --> 01:07:35,389
noted increase I would also point

2218
01:07:35,389 --> 01:07:36,390
out is in their railroad liability. Again,

2219
01:07:36,390 --> 01:07:38,390
the positive effects

2220
01:07:38,392 --> 01:07:39,393
of increased ridership was, you know,

2221
01:07:39,393 --> 01:07:41,393
something we're

2222
01:07:42,396 --> 01:07:44,398
all for, but, of course, that

2223
01:07:44,398 --> 01:07:45,399
increases your risk profile again. This

2224
01:07:45,399 --> 01:07:47,399
is an

2225
01:07:48,402 --> 01:07:50,404
area that has a couple of the

2226
01:07:50,404 --> 01:07:51,405
market for other transit agencies. There's

2227
01:07:51,405 --> 01:07:53,405
been

2228
01:07:54,408 --> 01:07:56,410
a push to increase limits

2229
01:07:56,410 --> 01:07:59,413
which has pushed up against opportunities

2230
01:07:59,413 --> 01:08:00,414
for us to procure that coverage. Now,

2231
01:08:00,414 --> 01:08:02,414
I can

2232
01:08:02,416 --> 01:08:03,417
save our $100 million limit is probably

2233
01:08:03,417 --> 01:08:05,419
--is in a solid place,

2234
01:08:05,419 --> 01:08:06,420
that we are able to still continue

2235
01:08:06,420 --> 01:08:08,420
to be able

2236
01:08:09,389 --> 01:08:11,391
to secure that coverage, but

2237
01:08:11,391 --> 01:08:12,392
now you're competing against other transit

2238
01:08:12,392 --> 01:08:14,392
agencies across

2239
01:08:15,395 --> 01:08:16,396
the nation, right, that have had increased

2240
01:08:16,396 --> 01:08:18,398
demands of putting out more coverages. So

2241
01:08:18,398 --> 01:08:20,398
we then, of

2242
01:08:21,401 --> 01:08:24,401
course, have to complete compete

2243
01:08:24,404 --> 01:08:27,407
with that premium. So we did see

2244
01:08:27,407 --> 01:08:29,407
an increase

2245
01:08:30,410 --> 01:08:31,411
across the board. Again, we've continued to educate. There

2246
01:08:31,411 --> 01:08:33,413
was a higher increase that was being

2247
01:08:33,413 --> 01:08:35,415
proposed, and so we were able to

2248
01:08:35,415 --> 01:08:36,416
work with those carriers, educate

2249
01:08:36,416 --> 01:08:39,416
them on how we manage

2250
01:08:39,419 --> 01:08:40,420
that risk and how our operation safety

2251
01:08:40,420 --> 01:08:42,389
plans are

2252
01:08:42,389 --> 01:08:45,392
in place and respond to those

2253
01:08:45,392 --> 01:08:47,392
and how we

2254
01:08:50,397 --> 01:08:51,398
transfer those risks across different

2255
01:08:51,398 --> 01:08:53,398
organization. The

2256
01:08:54,401 --> 01:08:55,402
next increase that we noted, and this

2257
01:08:55,402 --> 01:08:57,402
was

2258
01:08:58,405 --> 01:08:59,406
more of a normalization. This

2259
01:08:59,406 --> 01:09:01,408
was in our workers' compensation area. This

2260
01:09:01,408 --> 01:09:02,409
is procured

2261
01:09:02,409 --> 01:09:04,411
to the utah local government trust. And

2262
01:09:04,411 --> 01:09:06,411
so the

2263
01:09:06,413 --> 01:09:07,414
first million we manage internally,

2264
01:09:07,414 --> 01:09:09,414
right? We

2265
01:09:09,416 --> 01:09:10,417
have our self-insurance retention

2266
01:09:10,417 --> 01:09:12,417
because we own

2267
01:09:12,419 --> 01:09:14,421
that risk, we are required to purchase

2268
01:09:14,421 --> 01:09:16,390
an excess coverage, so we have $2

2269
01:09:16,390 --> 01:09:17,391
million in excess. I will

2270
01:09:17,391 --> 01:09:19,393
say last year's did not -- was not

2271
01:09:19,393 --> 01:09:21,395
increased. I would say it

2272
01:09:21,395 --> 01:09:23,397
was probably -- this is probably a

2273
01:09:23,397 --> 01:09:25,399
normalization of them kind of reunderwriting. We

2274
01:09:25,399 --> 01:09:27,401
kind of got lucky last year that

2275
01:09:27,401 --> 01:09:30,404
they did not increase our premium,

2276
01:09:30,404 --> 01:09:33,407
but we're in a catchup place. There

2277
01:09:33,407 --> 01:09:34,408
has been increase in wages across

2278
01:09:34,408 --> 01:09:35,409
the organizations,

2279
01:09:35,409 --> 01:09:37,411
so that has contributed to obviously

2280
01:09:37,411 --> 01:09:39,411
a higher dollar

2281
01:09:39,413 --> 01:09:42,416
amount that you would be exposed to, and

2282
01:09:42,416 --> 01:09:46,160
also we had some significant claims

2283
01:09:46,420 --> 01:09:48,422
this year that heightened some

2284
01:09:48,422 --> 01:09:49,389
of that.

2285
01:09:49,389 --> 01:09:50,390
>> brian, I'm just going to insert

2286
01:09:50,390 --> 01:09:52,390
one thing

2287
01:09:52,392 --> 01:09:54,394
there that's -- I

2288
01:09:54,394 --> 01:09:55,395
was approached about a month ago by

2289
01:09:55,395 --> 01:09:57,395
local

2290
01:09:58,398 --> 01:09:59,399
governments trust to

2291
01:09:59,399 --> 01:10:01,401
represent special districts on their

2292
01:10:01,401 --> 01:10:03,801
board. They've not --

2293
01:10:04,404 --> 01:10:06,406
that action doesn't take place

2294
01:10:06,406 --> 01:10:07,407
until november. I've reviewed it with

2295
01:10:07,407 --> 01:10:09,407
folks. Obviously

2296
01:10:10,410 --> 01:10:11,411
if we have procurement that

2297
01:10:11,411 --> 01:10:13,413
comes before us, I'll recuse myself. And

2298
01:10:13,413 --> 01:10:15,415
so I'm not in

2299
01:10:15,415 --> 01:10:16,416
that position now, but just more from

2300
01:10:16,416 --> 01:10:17,417
a disclosure standpoint.

2301
01:10:17,417 --> 01:10:19,417
>>

2302
01:10:19,419 --> 01:10:20,420
thank you for sharing that.

2303
01:10:20,420 --> 01:10:21,421
>>

2304
01:10:21,421 --> 01:10:22,389
there's an issue I need to separate

2305
01:10:22,389 --> 01:10:24,389
myself

2306
01:10:24,391 --> 01:10:28,395
from, I'm happy to do that. But it

2307
01:10:28,395 --> 01:10:30,395
hasn't

2308
01:10:31,398 --> 01:10:32,399
taken place yet.

2309
01:10:32,399 --> 01:10:33,400
>>

2310
01:10:33,400 --> 01:10:34,401
okay. Thank you. I'll try to move

2311
01:10:34,401 --> 01:10:36,403
through some more of the --

2312
01:10:36,403 --> 01:10:37,404
all the other coverage. This is our

2313
01:10:37,404 --> 01:10:38,405
property

2314
01:10:38,405 --> 01:10:40,407
liability which is also procured through the

2315
01:10:40,407 --> 01:10:42,407
local government

2316
01:10:43,410 --> 01:10:45,410
trust. We

2317
01:10:45,412 --> 01:10:46,413
have a billion dollars in coverage

2318
01:10:46,413 --> 01:10:48,413
there,

2319
01:10:49,416 --> 01:10:50,417
benefit from a slight decrease

2320
01:10:50,417 --> 01:10:52,419
in that premium, but probably close

2321
01:10:52,419 --> 01:10:54,419
to

2322
01:10:55,422 --> 01:10:56,390
near [ inaudible ] for

2323
01:10:56,390 --> 01:10:58,392
that. Next here is our cyber. And

2324
01:10:58,392 --> 01:11:00,394
I would say there is

2325
01:11:00,394 --> 01:11:04,398
two things that contributed to our decrease

2326
01:11:04,398 --> 01:11:06,400
in that premium, part of which is

2327
01:11:06,400 --> 01:11:07,401
the programs that we have in place

2328
01:11:07,401 --> 01:11:09,401
as

2329
01:11:10,404 --> 01:11:11,405
far as updating patches and a

2330
01:11:11,405 --> 01:11:13,407
very proactive I.t. Department, making

2331
01:11:13,407 --> 01:11:15,409
sure that our system

2332
01:11:15,409 --> 01:11:16,410
is secure. And then coupled with the

2333
01:11:16,410 --> 01:11:18,410
fact that

2334
01:11:19,413 --> 01:11:22,416
this space probably had a lot of

2335
01:11:22,416 --> 01:11:24,418
growth as far as on

2336
01:11:24,418 --> 01:11:25,419
the insurance space, and so with that

2337
01:11:25,419 --> 01:11:27,419
increase in

2338
01:11:28,422 --> 01:11:30,422
supply,

2339
01:11:31,391 --> 01:11:34,391
we benefited from that decrease

2340
01:11:34,394 --> 01:11:36,396
in pricing. Vanpool is kind of interesting. We

2341
01:11:36,396 --> 01:11:37,397
actually had a nice improvement in

2342
01:11:37,397 --> 01:11:40,397
the premium, but when I

2343
01:11:40,400 --> 01:11:42,400
--we were pivoting

2344
01:11:42,402 --> 01:11:43,403
with our excess coverage because that was

2345
01:11:43,403 --> 01:11:45,403
also,

2346
01:11:46,406 --> 01:11:48,406
we were able

2347
01:11:48,408 --> 01:11:49,409
to position the vanpool separately

2348
01:11:49,409 --> 01:11:50,410
from how we were pricing our blanket. And

2349
01:11:50,410 --> 01:11:51,411
so

2350
01:11:51,411 --> 01:11:52,412
even though we had the increase on

2351
01:11:52,412 --> 01:11:54,412
the

2352
01:11:55,415 --> 01:11:57,815
blanket, we actually were

2353
01:11:58,418 --> 01:11:59,419
able to increase our

2354
01:11:59,419 --> 01:12:01,421
limits significantly for the vanpool

2355
01:12:01,421 --> 01:12:03,390
liability. That also added that

2356
01:12:03,390 --> 01:12:04,391
new carrier on top of that. So, in

2357
01:12:04,391 --> 01:12:06,391
fact,

2358
01:12:07,394 --> 01:12:09,396
I want to say the limit here to munich

2359
01:12:09,396 --> 01:12:12,399
is $5 million, and the new carrier came

2360
01:12:12,399 --> 01:12:15,999
in with an additional $2 million. Overall

2361
01:12:16,403 --> 01:12:19,406
reduction in that premium risk there. Again,

2362
01:12:19,406 --> 01:12:22,406
another well-managed program. So we

2363
01:12:22,409 --> 01:12:24,409
were

2364
01:12:25,412 --> 01:12:27,812
able to demonstrate that

2365
01:12:28,415 --> 01:12:29,416
in reduction. This is our railroad

2366
01:12:29,416 --> 01:12:30,417
protective liability for small contractors. So

2367
01:12:30,417 --> 01:12:31,418
we have for different contractors

2368
01:12:31,418 --> 01:12:33,418
that may not

2369
01:12:33,420 --> 01:12:34,421
have the ability to precure these larger

2370
01:12:34,421 --> 01:12:36,421
policies, we can

2371
01:12:37,391 --> 01:12:39,393
offer them kind of

2372
01:12:39,393 --> 01:12:40,394
like a pass-through and so that they

2373
01:12:40,394 --> 01:12:42,396
--for a period of time,

2374
01:12:42,396 --> 01:12:43,397
they may be near a rail, within 50

2375
01:12:43,397 --> 01:12:45,797
feet, they can access

2376
01:12:46,400 --> 01:12:47,401
this insurance so that it's only for that

2377
01:12:47,401 --> 01:12:49,403
particular period of time as opposed

2378
01:12:49,403 --> 01:12:51,403
to some --if

2379
01:12:52,406 --> 01:12:53,407
they were to buy it themselves, it

2380
01:12:53,407 --> 01:12:54,408
would

2381
01:12:54,408 --> 01:12:55,409
an annual premium or exposed risk,

2382
01:12:55,409 --> 01:12:57,409
but that

2383
01:12:59,413 --> 01:13:01,415
may not be their primary business. Fiduciary

2384
01:13:01,415 --> 01:13:03,415
liability,

2385
01:13:04,418 --> 01:13:06,418
had a slight

2386
01:13:07,421 --> 01:13:09,421
increase. This is

2387
01:13:10,390 --> 01:13:13,390
for all our pension risks

2388
01:13:13,393 --> 01:13:15,393
as far

2389
01:13:18,398 --> 01:13:19,399
as the -- risk-related activities there. Crime

2390
01:13:19,399 --> 01:13:21,799
liability. This is due

2391
01:13:22,402 --> 01:13:25,405
to any financial loss like embezzlement. This

2392
01:13:25,405 --> 01:13:27,405
was kept in

2393
01:13:28,408 --> 01:13:30,410
with no change. Terrorism

2394
01:13:30,410 --> 01:13:31,411
liability, we actually had a decrease. Again,

2395
01:13:31,411 --> 01:13:33,413
this was just more

2396
01:13:33,413 --> 01:13:34,414
I would say about the market capacity,

2397
01:13:34,414 --> 01:13:35,415
was able

2398
01:13:35,415 --> 01:13:37,417
to lend to that improvement. And then

2399
01:13:37,417 --> 01:13:39,417
here it

2400
01:13:40,420 --> 01:13:43,390
gives you just the overall breakdown. So if you

2401
01:13:43,390 --> 01:13:45,392
look at it, you can see our --you

2402
01:13:45,392 --> 01:13:46,393
know, premiums this year were almost

2403
01:13:46,393 --> 01:13:48,793
$350,000 more than what they

2404
01:13:49,396 --> 01:13:52,396
were of last year that

2405
01:13:52,399 --> 01:13:53,400
we presented. And as I mentioned, the

2406
01:13:53,400 --> 01:13:55,400
railroad liability

2407
01:13:55,402 --> 01:13:57,404
was a large --about half

2408
01:13:57,404 --> 01:13:58,405
of that contribution, also with the excess

2409
01:13:58,405 --> 01:14:00,405
liability. The other

2410
01:14:00,407 --> 01:14:01,408
ones you can see the kind of small

2411
01:14:01,408 --> 01:14:03,408
minor

2412
01:14:04,411 --> 01:14:06,811
ins and outs of

2413
01:14:07,414 --> 01:14:08,415
those total dollars.

2414
01:14:08,415 --> 01:14:10,415
>> when you think

2415
01:14:10,417 --> 01:14:12,419
of the property casualty

2416
01:14:12,419 --> 01:14:13,420
demands placed on the industry over

2417
01:14:13,420 --> 01:14:15,420
the last couple

2418
01:14:16,390 --> 01:14:17,391
years, it's actually pretty amazing

2419
01:14:17,391 --> 01:14:18,392
that

2420
01:14:18,392 --> 01:14:19,393
those rates have stayed relatively

2421
01:14:19,393 --> 01:14:20,394
in a reasonable place. I

2422
01:14:20,394 --> 01:14:22,396
mean, with the exception of the liability

2423
01:14:22,396 --> 01:14:24,398
coverage which I don't know

2424
01:14:24,398 --> 01:14:25,399
how you get around.

2425
01:14:25,399 --> 01:14:26,400
>> yeah. No. I

2426
01:14:26,400 --> 01:14:27,401
mean, you

2427
01:14:27,401 --> 01:14:28,402
can see the different pinpoints of

2428
01:14:28,402 --> 01:14:30,402
risk management, right,

2429
01:14:31,405 --> 01:14:34,408
as far as all those different areas

2430
01:14:34,408 --> 01:14:37,411
so each one has its own nuance. But, yeah, you're

2431
01:14:37,411 --> 01:14:40,414
right. As far as on the

2432
01:14:40,414 --> 01:14:42,416
whole, you know, we're

2433
01:14:42,416 --> 01:14:43,417
still maintaining. I'm just amazed

2434
01:14:43,417 --> 01:14:45,417
at cyber

2435
01:14:46,420 --> 01:14:48,422
not being an increase. That is I think

2436
01:14:48,422 --> 01:14:49,389
--I would have thought that would

2437
01:14:49,389 --> 01:14:51,789
have gone the other

2438
01:14:52,392 --> 01:14:53,393
way. So that's fantastic.

2439
01:14:53,393 --> 01:14:54,394
>> we hear

2440
01:14:54,394 --> 01:14:55,395
a lot

2441
01:14:55,395 --> 01:14:56,396
of headlines, right, of different

2442
01:14:56,396 --> 01:14:57,397
large systems that

2443
01:14:57,397 --> 01:14:58,398
are being accessed with private information. I

2444
01:14:58,398 --> 01:15:00,398
think the

2445
01:15:01,401 --> 01:15:02,402
response time and the management of

2446
01:15:02,402 --> 01:15:04,402
that

2447
01:15:04,404 --> 01:15:07,407
has improved greatly so that we're probably

2448
01:15:07,407 --> 01:15:09,407
seeing

2449
01:15:10,410 --> 01:15:13,413
more headlines than actual pain, financially speaking.

2450
01:15:13,413 --> 01:15:15,413
all

2451
01:15:15,415 --> 01:15:16,416
right. Thank you.

2452
01:15:16,416 --> 01:15:18,816
>> yeah, thank you. I

2453
01:15:19,419 --> 01:15:21,421
assume no other questions

2454
01:15:21,421 --> 01:15:22,389
for brian? Okay. Thanks for that update,

2455
01:15:22,389 --> 01:15:24,789
brian. Why don't we

2456
01:15:25,392 --> 01:15:28,395
go forward with next item, and

2457
01:15:28,395 --> 01:15:32,399
then we'll maybe take a break. The

2458
01:15:32,399 --> 01:15:34,399
summary of

2459
01:15:34,401 --> 01:15:35,402
the series 2025 bond issuance and

2460
01:15:35,402 --> 01:15:37,402
welcome,

2461
01:15:38,405 --> 01:15:39,406
vi miller, as well as

2462
01:15:39,406 --> 01:15:41,408
brian baker and then, of course, brian reeves. Vi,

2463
01:15:41,408 --> 01:15:43,408
am I

2464
01:15:44,411 --> 01:15:45,412
looking to you first?

2465
01:15:45,412 --> 01:15:47,412
>>

2466
01:15:47,414 --> 01:15:49,814
no. We have a

2467
01:15:50,417 --> 01:15:51,418
plan. Brian, brian, vi.

2468
01:15:51,418 --> 01:15:52,419
>> good

2469
01:15:52,419 --> 01:15:53,420
morning, trustees. Brian reeves, chief

2470
01:15:53,420 --> 01:15:55,422
associate financial officer here to

2471
01:15:55,422 --> 01:15:57,391
talk to you about the conclusion of our

2472
01:15:57,391 --> 01:15:59,393
series 25 bond issuance that we started

2473
01:15:59,393 --> 01:16:02,396
off this year. So just to

2474
01:16:02,396 --> 01:16:04,398
give you kind of

2475
01:16:04,398 --> 01:16:07,998
the high-level summaries, we issued on

2476
01:16:08,402 --> 01:16:10,802
july 29th, the series

2477
01:16:11,405 --> 01:16:12,406
2025 sales tax refunding

2478
01:16:12,406 --> 01:16:14,408
bonds. We generated $492 million in

2479
01:16:14,408 --> 01:16:16,410
par amounts. If you look

2480
01:16:16,410 --> 01:16:17,411
at the overall yield for the transactions,

2481
01:16:17,411 --> 01:16:19,411
we

2482
01:16:19,413 --> 01:16:23,417
had an all-in yield of just under

2483
01:16:23,417 --> 01:16:25,419
4%, and that goes across

2484
01:16:25,419 --> 01:16:26,420
our different maturity schedule of 2026

2485
01:16:26,420 --> 01:16:28,420
to 44. And this

2486
01:16:29,389 --> 01:16:30,390
was the purpose of

2487
01:16:30,390 --> 01:16:32,392
this financing three-fold, right,

2488
01:16:32,392 --> 01:16:33,393
as far as funding

2489
01:16:33,393 --> 01:16:35,395
two finance projects, capital projects,

2490
01:16:35,395 --> 01:16:36,396
the light

2491
01:16:36,396 --> 01:16:38,398
rail vehicle and the administrative

2492
01:16:38,398 --> 01:16:39,399
building. This also had an

2493
01:16:39,399 --> 01:16:41,401
opportunity that came about as far

2494
01:16:41,401 --> 01:16:43,401
as a tender,

2495
01:16:44,404 --> 01:16:46,404
and then,

2496
01:16:47,407 --> 01:16:49,807
of course, the refunding

2497
01:16:50,410 --> 01:16:52,410
of

2498
01:16:53,413 --> 01:16:55,415
with tax-exempt opportunity for refunding taxable

2499
01:16:55,415 --> 01:16:56,416
bonds. So overall how did we do? Our

2500
01:16:56,416 --> 01:16:58,416
debt

2501
01:16:59,419 --> 01:17:00,420
service coverage is still in a

2502
01:17:00,420 --> 01:17:02,422
great position. The senior leaned

2503
01:17:02,422 --> 01:17:04,391
at 2.9 in our total lien coverage,

2504
01:17:04,391 --> 01:17:05,392
so this looks at our sales tax coverage that

2505
01:17:05,392 --> 01:17:07,392
we

2506
01:17:08,395 --> 01:17:11,398
collect, and then it goes out

2507
01:17:11,398 --> 01:17:13,400
across the entire debt service and

2508
01:17:13,400 --> 01:17:15,402
looks at the -- where I'd see the

2509
01:17:15,402 --> 01:17:17,404
highest point. So the 2 1/2 times

2510
01:17:17,404 --> 01:17:19,404
represents that

2511
01:17:19,406 --> 01:17:20,407
overall way out in the future. And then

2512
01:17:20,407 --> 01:17:22,407
our total

2513
01:17:22,409 --> 01:17:26,413
debt outstanding, you can see that breakdown

2514
01:17:26,413 --> 01:17:28,415
between our subordinate and

2515
01:17:28,415 --> 01:17:29,416
senior lien. We actually refunded

2516
01:17:29,416 --> 01:17:30,417
and refinanced some

2517
01:17:30,417 --> 01:17:32,419
of our subordinate liens and moved

2518
01:17:32,419 --> 01:17:33,420
them up into

2519
01:17:33,420 --> 01:17:35,422
that senior lien position. You get

2520
01:17:35,422 --> 01:17:38,392
better pricing when you are

2521
01:17:38,392 --> 01:17:39,393
able to do that.

2522
01:17:39,393 --> 01:17:40,394
>> so the figure's

2523
01:17:40,394 --> 01:17:41,395
been thrown around a few times about

2524
01:17:41,395 --> 01:17:42,396
what our debt is

2525
01:17:42,396 --> 01:17:44,398
and obviously you're paying interest

2526
01:17:44,398 --> 01:17:46,798
on it, but roughly

2527
01:17:47,401 --> 01:17:49,401
we have

2528
01:17:50,404 --> 01:17:51,405
about $2

2529
01:17:51,405 --> 01:17:52,406
billion left remaining?

2530
01:17:52,406 --> 01:17:53,407
>> principal outstanding,

2531
01:17:53,407 --> 01:17:54,408
yeah. And that as you can see is --

2532
01:17:54,408 --> 01:17:55,409
we pay off

2533
01:17:55,409 --> 01:17:56,410
portions of that each year, and that's

2534
01:17:56,410 --> 01:17:58,410
what's captured in

2535
01:17:58,412 --> 01:18:01,415
that debt service of that principal

2536
01:18:01,415 --> 01:18:02,416
and interest.

2537
01:18:02,416 --> 01:18:03,417
>> can I just clarify

2538
01:18:03,417 --> 01:18:04,418
that that's

2539
01:18:04,418 --> 01:18:05,419
$2 billion?

2540
01:18:05,419 --> 01:18:06,420
>> what's that? >> $2

2541
01:18:06,420 --> 01:18:07,421
billion.

2542
01:18:07,421 --> 01:18:08,422
>> I

2543
01:18:08,422 --> 01:18:10,390
did say billion, yeah. But it's

2544
01:18:10,390 --> 01:18:11,391
always good to clarify when I say

2545
01:18:11,391 --> 01:18:12,392
something.

2546
01:18:12,392 --> 01:18:14,392
>>

2547
01:18:14,394 --> 01:18:16,396
and then not to steal

2548
01:18:16,396 --> 01:18:17,397
vi's thunder because she'll be able to

2549
01:18:17,397 --> 01:18:20,397
share her results, but getting

2550
01:18:20,400 --> 01:18:23,403
right to it, we saved through this

2551
01:18:23,403 --> 01:18:25,403
transaction $18 million and

2552
01:18:26,406 --> 01:18:27,407
that was represented about a 4% mpv

2553
01:18:27,407 --> 01:18:29,409
savings for the transaction. And so

2554
01:18:29,409 --> 01:18:31,809
--but, yeah. As you

2555
01:18:32,412 --> 01:18:33,413
can see the debt service, that

2556
01:18:33,413 --> 01:18:35,415
small line there shows you what the

2557
01:18:35,415 --> 01:18:38,418
previous, and so we were able

2558
01:18:38,418 --> 01:18:40,420
to kind of sculpt it and

2559
01:18:40,420 --> 01:18:41,421
share that across our --so it would

2560
01:18:41,421 --> 01:18:43,390
have

2561
01:18:43,390 --> 01:18:44,391
a minimal impact on our ratios, and

2562
01:18:44,391 --> 01:18:46,391
that 2343

2563
01:18:46,393 --> 01:18:47,394
and 44 which is where we still have a

2564
01:18:47,394 --> 01:18:49,394
small amount of

2565
01:18:49,396 --> 01:18:50,397
debt outstanding is where we put bigger

2566
01:18:50,397 --> 01:18:53,397
portions of that which makes

2567
01:18:53,400 --> 01:18:56,400
sense when you consider the

2568
01:18:56,403 --> 01:18:57,404
assets that we were funding for.

2569
01:18:57,404 --> 01:18:58,405
>>

2570
01:18:58,405 --> 01:18:59,406
I'd mentioned --or you mentioned it. So

2571
01:18:59,406 --> 01:19:01,406
10 years

2572
01:19:01,408 --> 01:19:02,409
ago, you still had about $2 billion worth

2573
01:19:02,409 --> 01:19:05,409
of debt. You actually had

2574
01:19:05,412 --> 01:19:08,412
more than that, and more

2575
01:19:08,415 --> 01:19:10,417
than half of it was subordinate

2576
01:19:10,417 --> 01:19:11,418
lien which has less favorable cost

2577
01:19:11,418 --> 01:19:12,419
for investors and cost you more because

2578
01:19:12,419 --> 01:19:13,420
that

2579
01:19:13,420 --> 01:19:14,421
is what fit with the coverage ratios

2580
01:19:14,421 --> 01:19:16,390
you had in place in order to be

2581
01:19:16,390 --> 01:19:17,391
able to fund the capital projects

2582
01:19:17,391 --> 01:19:20,394
you were doing. And so it's fun

2583
01:19:20,394 --> 01:19:22,396
to look at that chart that was just

2584
01:19:22,396 --> 01:19:23,397
shown that shows that subordinate

2585
01:19:23,397 --> 01:19:26,400
lien portion becoming smaller and smaller,

2586
01:19:26,400 --> 01:19:28,402
and when we talked to the

2587
01:19:28,402 --> 01:19:29,403
rating agencies, essentially we don't

2588
01:19:29,403 --> 01:19:31,403
see

2589
01:19:31,405 --> 01:19:32,406
a time where you'd need to issue subordinate

2590
01:19:32,406 --> 01:19:34,406
lien debt in

2591
01:19:34,408 --> 01:19:35,409
the future, and so that will slowly

2592
01:19:35,409 --> 01:19:36,410
go away. And

2593
01:19:36,410 --> 01:19:38,412
as that number becomes smaller, you

2594
01:19:38,412 --> 01:19:40,812
might get an upgrade

2595
01:19:41,415 --> 01:19:42,416
to the ratings on your subordinate

2596
01:19:42,416 --> 01:19:44,418
lien because it's so overcapitalized

2597
01:19:44,418 --> 01:19:46,420
based on how little there

2598
01:19:46,420 --> 01:19:47,421
will be remaining, and it'll just

2599
01:19:47,421 --> 01:19:49,389
eventually converge with your senior

2600
01:19:49,389 --> 01:19:50,390
lien because you're in a much, much healthier

2601
01:19:50,390 --> 01:19:52,390
financial

2602
01:19:52,392 --> 01:19:53,393
position now which is great.

2603
01:19:53,393 --> 01:19:54,394
>> although,

2604
01:19:54,394 --> 01:19:56,394
brian, you

2605
01:19:56,396 --> 01:19:58,396
just depressed me

2606
01:19:59,399 --> 01:20:00,400
because it's like the accuary --or

2607
01:20:00,400 --> 01:20:01,401
the

2608
01:20:01,401 --> 01:20:02,402
payment on your home mortgage, when

2609
01:20:02,402 --> 01:20:04,402
you said 10

2610
01:20:04,404 --> 01:20:05,405
years ago we still had $2 billion,

2611
01:20:05,405 --> 01:20:07,405
and now we

2612
01:20:07,407 --> 01:20:08,408
still have $2 billion.

2613
01:20:08,408 --> 01:20:09,409
>> you had

2614
01:20:09,409 --> 01:20:10,410
a good bit

2615
01:20:10,410 --> 01:20:11,411
more than that.

2616
01:20:11,411 --> 01:20:12,412
>> okay. >> but you have

2617
01:20:12,412 --> 01:20:13,413
borrowed for other things

2618
01:20:13,413 --> 01:20:14,414
in the intermittent time.

2619
01:20:14,414 --> 01:20:15,415
>> that's

2620
01:20:15,415 --> 01:20:16,416
true. That's true.

2621
01:20:16,416 --> 01:20:17,417
>> in fact, I

2622
01:20:17,417 --> 01:20:19,419
think you peaked out at like

2623
01:20:19,419 --> 01:20:20,420
2.3 or 4.

2624
01:20:20,420 --> 01:20:21,421
>> okay. Thank you. >> so

2625
01:20:21,421 --> 01:20:23,390
just

2626
01:20:23,390 --> 01:20:24,391
to recap as well the timing, right? We

2627
01:20:24,391 --> 01:20:25,392
came

2628
01:20:25,392 --> 01:20:29,396
in april as a discussion point, and

2629
01:20:29,396 --> 01:20:31,796
then we went and

2630
01:20:32,399 --> 01:20:34,399
met with the

2631
01:20:34,401 --> 01:20:35,402
different state finance commission,

2632
01:20:35,402 --> 01:20:36,403
introducing them, the refunding and

2633
01:20:36,403 --> 01:20:37,404
the

2634
01:20:37,404 --> 01:20:38,405
barnes that we were talking on. And

2635
01:20:38,405 --> 01:20:41,408
being that there was new money

2636
01:20:41,408 --> 01:20:44,411
attached to this, we did have

2637
01:20:44,411 --> 01:20:45,412
a public comment period that took us

2638
01:20:45,412 --> 01:20:46,413
through the

2639
01:20:46,413 --> 01:20:47,414
summer, and then, of course, then

2640
01:20:47,414 --> 01:20:49,414
you had

2641
01:20:50,417 --> 01:20:51,418
a tender that was

2642
01:20:51,418 --> 01:20:53,418
being participated simultaneously

2643
01:20:53,420 --> 01:20:56,390
with that. So we had that

2644
01:20:56,390 --> 01:20:57,391
notification period. So a lot of steps

2645
01:20:57,391 --> 01:20:58,392
for, --

2646
01:20:58,392 --> 01:20:59,393
you know, obviously for transparency but

2647
01:20:59,393 --> 01:21:01,393
also

2648
01:21:01,395 --> 01:21:03,397
making sure that we're educating through the

2649
01:21:03,397 --> 01:21:05,399
--the public through this process. And

2650
01:21:05,399 --> 01:21:07,399
so we

2651
01:21:08,402 --> 01:21:10,802
reached to that culmination

2652
01:21:11,405 --> 01:21:13,405
on

2653
01:21:13,407 --> 01:21:17,700
july 25th, we completed that transaction.

2654
01:21:26,420 --> 01:21:28,420
>> as this process

2655
01:21:28,422 --> 01:21:29,423
began, and we talked to you about

2656
01:21:29,423 --> 01:21:31,391
what was going on, you probably heard

2657
01:21:31,391 --> 01:21:32,392
us say a couple of times that, really,

2658
01:21:32,392 --> 01:21:34,392
the absolute

2659
01:21:35,395 --> 01:21:37,397
rates that you were paying were

2660
01:21:37,397 --> 01:21:38,398
less important for the refinancing portion

2661
01:21:38,398 --> 01:21:40,798
than what was the

2662
01:21:41,401 --> 01:21:43,403
spread between what the treasury rate and

2663
01:21:43,403 --> 01:21:45,405
the mmd was and that the wider that

2664
01:21:45,405 --> 01:21:46,406
spread was,

2665
01:21:46,406 --> 01:21:48,408
the better it was for the transaction. And

2666
01:21:48,408 --> 01:21:49,409
so from

2667
01:21:49,409 --> 01:21:51,411
the time we started talking to you,

2668
01:21:51,411 --> 01:21:52,412
things got -- you

2669
01:21:52,412 --> 01:21:53,413
know, we first showed numbers, and

2670
01:21:53,413 --> 01:21:54,414
numbers got a little bit worse, and

2671
01:21:54,414 --> 01:21:55,415
then the numbers

2672
01:21:55,415 --> 01:21:56,416
got a little bit worse, but right

2673
01:21:56,416 --> 01:21:57,417
before the transaction happened leading

2674
01:21:57,417 --> 01:21:59,417
into

2675
01:22:00,420 --> 01:22:01,421
the transaction, we actually

2676
01:22:01,421 --> 01:22:03,390
had a lot of positive momentum in

2677
01:22:03,390 --> 01:22:06,393
our favor. And so that got

2678
01:22:06,393 --> 01:22:08,395
us back to where we had again

2679
01:22:08,395 --> 01:22:09,396
a very healthy refinancing with great opportunities

2680
01:22:09,396 --> 01:22:11,396
there. And

2681
01:22:11,398 --> 01:22:12,399
if you look at the ratios where they

2682
01:22:12,399 --> 01:22:14,399
are now,

2683
01:22:14,401 --> 01:22:15,402
they are less favorable than they

2684
01:22:15,402 --> 01:22:17,402
were

2685
01:22:17,404 --> 01:22:19,406
at the time of the transaction which

2686
01:22:19,406 --> 01:22:22,409
is good. This shows specifically the ratios

2687
01:22:22,409 --> 01:22:24,411
and kiep of how they changed, both

2688
01:22:24,411 --> 01:22:26,413
that top line, the green

2689
01:22:26,413 --> 01:22:27,414
one is over the 20-year period and

2690
01:22:27,414 --> 01:22:28,415
the

2691
01:22:28,415 --> 01:22:30,417
10-year period is the lower one. The

2692
01:22:30,417 --> 01:22:31,418
10-year period was more important

2693
01:22:31,418 --> 01:22:33,420
to your transaction, and that's the

2694
01:22:33,420 --> 01:22:35,420
one

2695
01:22:35,422 --> 01:22:36,390
that actually you can see came down

2696
01:22:36,390 --> 01:22:38,390
more. We've seen

2697
01:22:38,392 --> 01:22:42,396
that also in the last little while

2698
01:22:42,396 --> 01:22:45,396
with just interest rates in

2699
01:22:45,399 --> 01:22:47,401
general. You've seen the 10-year

2700
01:22:47,401 --> 01:22:48,402
is sticking more, generally lower, and

2701
01:22:48,402 --> 01:22:50,402
the 30-year treasury

2702
01:22:50,404 --> 01:22:51,405
has drifted up more and has moved more. And

2703
01:22:51,405 --> 01:22:53,405
so those are

2704
01:22:53,407 --> 01:22:56,407
both favorable things that contributed

2705
01:22:56,410 --> 01:22:57,411
to the positive outcome of the transaction. And

2706
01:22:57,411 --> 01:22:59,411
then these were

2707
01:23:00,414 --> 01:23:02,416
the rates. So over the

2708
01:23:02,416 --> 01:23:03,417
life of the transaction, we typically

2709
01:23:03,417 --> 01:23:04,418
have an

2710
01:23:04,418 --> 01:23:06,420
upward sloping yield curve. That's

2711
01:23:06,420 --> 01:23:08,422
not exactly what the treasury yield

2712
01:23:08,422 --> 01:23:09,423
curve looks like right now, but when

2713
01:23:09,423 --> 01:23:11,391
you're borrowing

2714
01:23:11,391 --> 01:23:12,392
in the municipal market, the tax exempt,

2715
01:23:12,392 --> 01:23:13,393
you

2716
01:23:13,393 --> 01:23:15,395
have higher rates out further, so

2717
01:23:15,395 --> 01:23:17,395
the green

2718
01:23:18,398 --> 01:23:21,401
level, the green line is what

2719
01:23:21,401 --> 01:23:23,403
aaa, mmd, meaning the bond buyer

2720
01:23:23,403 --> 01:23:24,404
index that is pure aaa general obligation,

2721
01:23:24,404 --> 01:23:26,804
so everything that is

2722
01:23:27,407 --> 01:23:28,408
different from being a pure

2723
01:23:28,408 --> 01:23:30,410
general obligation, full, faith and credit

2724
01:23:30,410 --> 01:23:31,411
aaa, you usually

2725
01:23:31,411 --> 01:23:33,413
pay a slight spread above that. Uta

2726
01:23:33,413 --> 01:23:34,414
over

2727
01:23:34,414 --> 01:23:36,416
the years has paid a not negligible,

2728
01:23:36,416 --> 01:23:38,416
but a

2729
01:23:38,418 --> 01:23:39,419
very small spread to aaa, and we feel

2730
01:23:39,419 --> 01:23:40,420
like we got

2731
01:23:40,420 --> 01:23:42,422
excellent pricing from wells fargo

2732
01:23:42,422 --> 01:23:43,390
is the underwriter on the date that

2733
01:23:43,390 --> 01:23:45,390
the

2734
01:23:45,392 --> 01:23:47,392
transaction happened, you

2735
01:23:47,394 --> 01:23:48,395
can see that those are relatively

2736
01:23:48,395 --> 01:23:49,396
consistent. Typically they're a

2737
01:23:49,396 --> 01:23:51,398
little bit closer in the early years,

2738
01:23:51,398 --> 01:23:52,399
and then they tend to

2739
01:23:52,399 --> 01:23:54,401
spread out in the later years. But

2740
01:23:54,401 --> 01:23:57,401
I think we did a

2741
01:23:57,404 --> 01:23:58,405
good job of keeping them in line.

2742
01:23:58,405 --> 01:23:59,406
>>

2743
01:23:59,406 --> 01:24:00,407
if I could just add to what I think

2744
01:24:00,407 --> 01:24:01,408
it

2745
01:24:01,408 --> 01:24:03,410
can be somewhat hard to see the difference

2746
01:24:03,410 --> 01:24:06,413
in that line, and that is

2747
01:24:06,413 --> 01:24:07,414
kind of part of

2748
01:24:07,414 --> 01:24:09,416
the point, right? The benchmark is

2749
01:24:09,416 --> 01:24:11,416
a

2750
01:24:11,418 --> 01:24:12,419
aaa rated. And so seeing how close our

2751
01:24:12,419 --> 01:24:14,419
-- along the

2752
01:24:14,421 --> 01:24:15,422
point of that curve where we ended

2753
01:24:15,422 --> 01:24:16,390
up pricing

2754
01:24:16,390 --> 01:24:18,392
really demonstrates the financial strength

2755
01:24:18,392 --> 01:24:19,393
that the market --

2756
01:24:19,393 --> 01:24:21,395
the investor market views of uta. And

2757
01:24:21,395 --> 01:24:23,395
so that we

2758
01:24:24,398 --> 01:24:25,399
were

2759
01:24:25,399 --> 01:24:27,401
very pleased with that outcome there.

2760
01:24:27,401 --> 01:24:28,402
>> you know, I know we don't

2761
01:24:28,402 --> 01:24:30,404
-- this is just a uta thing, but I

2762
01:24:30,404 --> 01:24:31,405
think when

2763
01:24:31,405 --> 01:24:33,407
you look at the broaders and some

2764
01:24:33,407 --> 01:24:36,410
other transit agencies, this is not

2765
01:24:36,410 --> 01:24:37,411
what they can say at all. And I think

2766
01:24:37,411 --> 01:24:39,413
as we continue to refine not just

2767
01:24:39,413 --> 01:24:42,416
what it is that we are doing as

2768
01:24:42,416 --> 01:24:43,417
an agency but also in

2769
01:24:43,417 --> 01:24:45,419
partnership with the communities and

2770
01:24:45,419 --> 01:24:47,421
those investments in sales tax, that is

2771
01:24:47,421 --> 01:24:50,390
going to be a continued value add as we

2772
01:24:50,390 --> 01:24:51,391
go out to this market moving forward

2773
01:24:51,391 --> 01:24:53,391
or

2774
01:24:54,394 --> 01:24:57,394
paying it off, whatever that

2775
01:24:57,397 --> 01:24:58,398
looks like.

2776
01:24:58,398 --> 01:25:00,398
>> we didn't extend

2777
01:25:00,400 --> 01:25:01,401
the debt horizon, so this debt really is

2778
01:25:01,401 --> 01:25:03,401
--

2779
01:25:03,403 --> 01:25:04,404
am I looking at that right, 19-year

2780
01:25:04,404 --> 01:25:05,405
debt?

2781
01:25:05,405 --> 01:25:06,406
>> that is correct. And I'll

2782
01:25:06,406 --> 01:25:07,407
be talking that in a bit.

2783
01:25:07,407 --> 01:25:08,408
>> which

2784
01:25:08,408 --> 01:25:09,409
is a lot better position on these

2785
01:25:09,409 --> 01:25:11,409
newer

2786
01:25:12,412 --> 01:25:14,412
vehicles than

2787
01:25:15,415 --> 01:25:18,418
the original ones purchased, yeah. So

2788
01:25:18,418 --> 01:25:19,419
--

2789
01:25:19,419 --> 01:25:20,420
>> so just to

2790
01:25:20,420 --> 01:25:21,421
summarize, right, that we our results

2791
01:25:21,421 --> 01:25:23,390
were fantastic for this bond deal. And

2792
01:25:23,390 --> 01:25:24,391
it was in three parts, right? So we

2793
01:25:24,391 --> 01:25:26,391
had

2794
01:25:27,394 --> 01:25:30,397
--we issued sales tax revenue bonds. We

2795
01:25:30,397 --> 01:25:32,797
also did a tender,

2796
01:25:33,400 --> 01:25:35,402
and then we did a refunding. And

2797
01:25:35,402 --> 01:25:36,403
with the sales tax revenue and refunding

2798
01:25:36,403 --> 01:25:38,403
bonds,

2799
01:25:39,406 --> 01:25:41,408
the new series that we did, the

2800
01:25:41,408 --> 01:25:45,412
par amount, as brian said, $4 noot.5 million,

2801
01:25:45,412 --> 01:25:47,812
we had a premium

2802
01:25:48,415 --> 01:25:50,417
of $44.3 million with 5% coupon rate. All

2803
01:25:50,417 --> 01:25:51,418
in, what's important, I think, is

2804
01:25:51,418 --> 01:25:53,418
to

2805
01:25:54,421 --> 01:25:56,390
recognize that point

2806
01:25:56,390 --> 01:25:57,391
that beth just made and that made

2807
01:25:57,391 --> 01:25:59,391
as well

2808
01:25:59,393 --> 01:26:00,394
is that call option is going to be

2809
01:26:00,394 --> 01:26:02,394
here in another

2810
01:26:03,397 --> 01:26:04,398
10 years, and

2811
01:26:04,398 --> 01:26:06,400
then we'll have another opportunity

2812
01:26:06,400 --> 01:26:09,403
to refinance. And one of the things,

2813
01:26:09,403 --> 01:26:11,405
what brian baker was speaking

2814
01:26:11,405 --> 01:26:12,406
to earlier about the fact that, yes,

2815
01:26:12,406 --> 01:26:14,406
our total debt

2816
01:26:15,409 --> 01:26:16,410
has been around the $2 billion mark for years,

2817
01:26:16,410 --> 01:26:18,410
it

2818
01:26:18,412 --> 01:26:19,413
has gone up and down in some areas, but

2819
01:26:19,413 --> 01:26:21,413
the

2820
01:26:21,415 --> 01:26:24,418
thing is that as we do this work,

2821
01:26:24,418 --> 01:26:26,420
as we continue to refinance

2822
01:26:26,420 --> 01:26:27,421
our debts, as we continue to bake

2823
01:26:27,421 --> 01:26:29,421
savings into

2824
01:26:29,423 --> 01:26:32,392
our forecast amount while still investing

2825
01:26:32,392 --> 01:26:33,393
in our infrastructure, we are doing

2826
01:26:33,393 --> 01:26:35,393
a wonderful

2827
01:26:36,396 --> 01:26:38,398
balancing act here. And I think

2828
01:26:38,398 --> 01:26:39,399
that's important to speak to is that,

2829
01:26:39,399 --> 01:26:42,402
yes, we have this large debt,

2830
01:26:42,402 --> 01:26:44,802
but look at everything

2831
01:26:45,405 --> 01:26:46,406
we're doing with it. And

2832
01:26:46,406 --> 01:26:48,408
that is something that wells fargo

2833
01:26:48,408 --> 01:26:50,408
remarked about how

2834
01:26:51,411 --> 01:26:53,811
--the strength of uta's

2835
01:26:54,414 --> 01:26:56,414
bond program and

2836
01:26:57,417 --> 01:26:58,418
also what we do, right? That's why

2837
01:26:58,418 --> 01:26:59,419
these rating

2838
01:26:59,419 --> 01:27:00,420
agencies continue to give us high

2839
01:27:00,420 --> 01:27:03,390
ratings is because we are doing

2840
01:27:03,390 --> 01:27:05,790
well with balancing our

2841
01:27:06,393 --> 01:27:07,394
debt and keeping up our asset

2842
01:27:07,394 --> 01:27:09,396
management piece, as well as our infrastructure. So,

2843
01:27:09,396 --> 01:27:11,796
of course, with the

2844
01:27:12,399 --> 01:27:14,399
tender and

2845
01:27:15,402 --> 01:27:18,405
the refunding we sent out for

2846
01:27:18,405 --> 01:27:20,405
$980.4 million, we

2847
01:27:20,407 --> 01:27:21,408
got a 27% success rate. We tender

2848
01:27:21,408 --> 01:27:23,408
$251.2

2849
01:27:24,411 --> 01:27:26,411
million at

2850
01:27:27,414 --> 01:27:29,416
par, and we refunded $203.7

2851
01:27:29,416 --> 01:27:30,417
million in debt. And right now that meant

2852
01:27:30,417 --> 01:27:32,817
that -- you heard

2853
01:27:33,420 --> 01:27:36,423
brian say earlier we had a net present

2854
01:27:36,423 --> 01:27:38,423
value savings of $18

2855
01:27:39,393 --> 01:27:40,394
million. And that savings is about

2856
01:27:40,394 --> 01:27:42,394
4%. So one

2857
01:27:42,396 --> 01:27:44,796
of the things I

2858
01:27:45,399 --> 01:27:46,400
wanted to highlight

2859
01:27:46,400 --> 01:27:48,402
was our investor makeup. And we were

2860
01:27:48,402 --> 01:27:50,402
in new york

2861
01:27:51,405 --> 01:27:52,406
-- you know, brian had a day getting there,

2862
01:27:52,406 --> 01:27:54,406
but

2863
01:27:54,408 --> 01:27:56,808
we were in new

2864
01:27:57,411 --> 01:27:58,412
york, the investor names scroll across the

2865
01:27:58,412 --> 01:28:00,412
screen

2866
01:28:00,414 --> 01:28:01,415
was really a highlight of, again,

2867
01:28:01,415 --> 01:28:03,415
the strength

2868
01:28:03,417 --> 01:28:06,420
of uta and how we have these

2869
01:28:06,420 --> 01:28:07,421
major investors

2870
01:28:07,421 --> 01:28:09,423
interested in investing in uta. You'll

2871
01:28:09,423 --> 01:28:11,423
see

2872
01:28:12,392 --> 01:28:14,394
blackrock financial, we had goldman sachs,

2873
01:28:14,394 --> 01:28:17,397
jpmorgan, vanguard group, all of these

2874
01:28:17,397 --> 01:28:19,399
are major investors in the bond markets. And

2875
01:28:19,399 --> 01:28:21,399
the fact

2876
01:28:21,401 --> 01:28:22,402
that they wanted to invest in uta

2877
01:28:22,402 --> 01:28:24,402
says

2878
01:28:25,405 --> 01:28:26,406
something about

2879
01:28:26,406 --> 01:28:28,408
what we're doing here. We were oversubscribed

2880
01:28:28,408 --> 01:28:30,408
by

2881
01:28:31,411 --> 01:28:34,411
almost four times which is

2882
01:28:34,414 --> 01:28:35,415
amazing, right? So we had 68

2883
01:28:35,415 --> 01:28:37,417
institutional investor orders, most

2884
01:28:37,417 --> 01:28:39,817
of it was in

2885
01:28:40,420 --> 01:28:42,422
our smas, our separately managed

2886
01:28:42,422 --> 01:28:43,390
accounts. These are high net worth investor

2887
01:28:43,390 --> 01:28:45,390
groups,

2888
01:28:46,393 --> 01:28:47,394
and then, of course, our

2889
01:28:47,394 --> 01:28:49,396
proprietary trading, that was another

2890
01:28:49,396 --> 01:28:51,396
19.5%. So

2891
01:28:51,398 --> 01:28:54,401
really the kinds of investors that

2892
01:28:54,401 --> 01:28:55,402
are willing --these are high money

2893
01:28:55,402 --> 01:28:57,402
investors, and so

2894
01:28:57,404 --> 01:28:58,405
the fact that they're interested in investing

2895
01:28:58,405 --> 01:29:00,405
in

2896
01:29:00,407 --> 01:29:01,408
uta and that we were so oversubscribed, we

2897
01:29:01,408 --> 01:29:02,409
put it out there,

2898
01:29:02,409 --> 01:29:04,411
we put the offer out there, and everyone

2899
01:29:04,411 --> 01:29:07,411
came in and said, yes,

2900
01:29:07,414 --> 01:29:08,415
we

2901
01:29:08,415 --> 01:29:10,417
want to do business with you. And,

2902
01:29:10,417 --> 01:29:12,417
again, as we

2903
01:29:13,420 --> 01:29:15,422
alluded to on the

2904
01:29:15,422 --> 01:29:16,423
rating agency views, we are not going

2905
01:29:16,423 --> 01:29:18,392
past

2906
01:29:18,392 --> 01:29:19,393
2044. And even though we continue

2907
01:29:19,393 --> 01:29:21,393
to rebalance,

2908
01:29:22,396 --> 01:29:24,398
we are staying to that. We

2909
01:29:24,398 --> 01:29:25,399
have not extended past 2044. We've,

2910
01:29:25,399 --> 01:29:27,399
again,

2911
01:29:28,402 --> 01:29:31,405
had some ups and downs within

2912
01:29:31,405 --> 01:29:33,805
that time horizon, but

2913
01:29:34,408 --> 01:29:36,410
we are continuing to save and

2914
01:29:36,410 --> 01:29:39,413
refinance when possible. And so that

2915
01:29:39,413 --> 01:29:41,415
mixture of debt is a balanced debt,

2916
01:29:41,415 --> 01:29:43,417
and we continue to be stable. What

2917
01:29:43,417 --> 01:29:45,417
brian baker

2918
01:29:45,419 --> 01:29:46,420
was speaking to about our subordinate

2919
01:29:46,420 --> 01:29:47,421
liens, that,

2920
01:29:47,421 --> 01:29:49,423
again, every single rating agency

2921
01:29:49,423 --> 01:29:51,423
has rated us

2922
01:29:52,392 --> 01:29:54,394
as stable in that area, and

2923
01:29:54,394 --> 01:29:58,398
we are at at least aa. So all good

2924
01:29:58,398 --> 01:29:59,399
things. We have a strong

2925
01:29:59,399 --> 01:30:01,401
tax revenue performance, supported

2926
01:30:01,401 --> 01:30:04,401
by our size, maturity and

2927
01:30:04,404 --> 01:30:05,405
diversity. I I wanted to

2928
01:30:05,405 --> 01:30:07,407
highlight that from s&p global. And,

2929
01:30:07,407 --> 01:30:09,407
really,

2930
01:30:09,409 --> 01:30:10,410
we continue to look for opportunities. Wells

2931
01:30:10,410 --> 01:30:12,410
fargo has

2932
01:30:13,413 --> 01:30:14,414
for the last

2933
01:30:14,414 --> 01:30:16,416
two years been bringing us fantastic options

2934
01:30:16,416 --> 01:30:19,416
and opportunities to go back

2935
01:30:19,419 --> 01:30:20,420
to the market and save

2936
01:30:20,420 --> 01:30:22,422
us money. So appreciate working with them. I

2937
01:30:22,422 --> 01:30:24,391
just want to

2938
01:30:24,391 --> 01:30:25,392
add that to the record. Any questions?

2939
01:30:25,392 --> 01:30:26,393
>>

2940
01:30:26,393 --> 01:30:28,393
I

2941
01:30:28,395 --> 01:30:31,398
don't know if this question is for

2942
01:30:31,398 --> 01:30:32,399
brian --brian baker or --

2943
01:30:32,399 --> 01:30:34,401
we've done a lot of tendering. Is

2944
01:30:34,401 --> 01:30:36,801
that market going to

2945
01:30:37,404 --> 01:30:38,405
be

2946
01:30:38,405 --> 01:30:40,407
there in three years or does it depend

2947
01:30:40,407 --> 01:30:41,408
--and is

2948
01:30:41,408 --> 01:30:42,409
there much left to realistically tender?

2949
01:30:42,409 --> 01:30:43,410
>>

2950
01:30:43,410 --> 01:30:45,410
the best bonds

2951
01:30:45,412 --> 01:30:46,413
to take advantage of the tender option were

2952
01:30:46,413 --> 01:30:48,413
the

2953
01:30:49,416 --> 01:30:50,417
taxable bonds that you had with

2954
01:30:50,417 --> 01:30:52,419
really, really low coupons where investors

2955
01:30:52,419 --> 01:30:54,421
were -- I think that slide

2956
01:30:54,421 --> 01:30:55,422
showed that the average investor,

2957
01:30:55,422 --> 01:30:57,391
you paid them 88

2958
01:30:57,391 --> 01:30:58,392
cents on the dollar to buy their bonds

2959
01:30:58,392 --> 01:31:00,394
back because rates had gone

2960
01:31:00,394 --> 01:31:01,395
down, and they were under water. And

2961
01:31:01,395 --> 01:31:03,395
so

2962
01:31:04,398 --> 01:31:06,398
we have refinanced

2963
01:31:06,400 --> 01:31:07,401
a lot of your outstanding taxable bonds. And so

2964
01:31:07,401 --> 01:31:09,401
we'd have

2965
01:31:09,403 --> 01:31:12,406
to look and evaluate whether --I doubt

2966
01:31:12,406 --> 01:31:13,407
we would bring you a tender opportunity

2967
01:31:13,407 --> 01:31:15,409
on those old set

2968
01:31:15,409 --> 01:31:16,410
of bonds and just say let's just try

2969
01:31:16,410 --> 01:31:18,410
it again

2970
01:31:18,412 --> 01:31:19,413
and see what happens, but when you

2971
01:31:19,413 --> 01:31:20,414
do

2972
01:31:20,414 --> 01:31:22,416
borrow again, we could re-evaluate

2973
01:31:22,416 --> 01:31:23,417
and see does it make sense to

2974
01:31:23,417 --> 01:31:25,419
ask again, do we think on some of these

2975
01:31:25,419 --> 01:31:26,420
you might have had enough bonds

2976
01:31:26,420 --> 01:31:28,422
change hands or your time has passed,

2977
01:31:28,422 --> 01:31:31,391
and you might get a different

2978
01:31:31,391 --> 01:31:33,393
reception. But that was --

2979
01:31:33,393 --> 01:31:34,394
it is interesting --the tenders were set

2980
01:31:34,394 --> 01:31:36,394
up by

2981
01:31:36,396 --> 01:31:37,397
you taking advantage of the opportunity

2982
01:31:37,397 --> 01:31:39,397
to

2983
01:31:39,399 --> 01:31:40,400
refinance debt that wasn't yet callable

2984
01:31:40,400 --> 01:31:42,402
at taxable rates when

2985
01:31:42,402 --> 01:31:43,403
taxable rates got really, really low. And

2986
01:31:43,403 --> 01:31:45,403
because you had

2987
01:31:45,405 --> 01:31:46,406
those done, wells fargo brought the opportunity

2988
01:31:46,406 --> 01:31:48,406
and said, hey,

2989
01:31:49,409 --> 01:31:50,410
by the way, because you have

2990
01:31:50,410 --> 01:31:52,412
these really, really low taxable coupon

2991
01:31:52,412 --> 01:31:53,413
bonds, you could do this, and investors

2992
01:31:53,413 --> 01:31:54,414
would

2993
01:31:54,414 --> 01:31:55,415
unlock the call feature and let you buy them

2994
01:31:55,415 --> 01:31:57,415
back

2995
01:31:57,417 --> 01:31:58,418
now, you know, at a deep discount,

2996
01:31:58,418 --> 01:32:00,818
and that would save

2997
01:32:01,421 --> 01:32:04,391
you money again. And we've used

2998
01:32:04,391 --> 01:32:05,392
a lot of that up. And as demonstrated,

2999
01:32:05,392 --> 01:32:06,393
even

3000
01:32:06,393 --> 01:32:07,394
though you got good responses at about 27%,

3001
01:32:07,394 --> 01:32:09,396
there are some of those bonds that

3002
01:32:09,396 --> 01:32:10,397
are just not going to be tendered

3003
01:32:10,397 --> 01:32:12,399
at any point because of the

3004
01:32:12,399 --> 01:32:13,400
types of investors that want to own

3005
01:32:13,400 --> 01:32:15,400
them and

3006
01:32:16,403 --> 01:32:19,403
hold them until they pay

3007
01:32:19,406 --> 01:32:20,407
off.

3008
01:32:20,407 --> 01:32:22,409
>> thank you. Any other questions? >>

3009
01:32:22,409 --> 01:32:23,410
no.

3010
01:32:23,410 --> 01:32:24,411
>> thanks, everyone, for

3011
01:32:24,411 --> 01:32:25,412
your efforts on that.

3012
01:32:25,412 --> 01:32:26,413
>> thank you. >>

3013
01:32:26,413 --> 01:32:27,414
so great outcome.

3014
01:32:27,414 --> 01:32:28,415
>> thank you. >> well,

3015
01:32:28,415 --> 01:32:29,416
why

3016
01:32:29,416 --> 01:32:30,117
don't we take a short

3017
01:32:30,117 --> 01:32:31,840
break and come

3018
01:32:31,840 --> 01:32:31,618
back roughly

3019
01:32:31,618 --> 01:32:33,120
at around 10:40 or so.

3020
01:32:33,120 --> 01:32:35,122
having just completed our bond discussion,

3021
01:32:35,122 --> 01:32:37,122
we'll

3022
01:32:38,125 --> 01:32:40,125
move to

3023
01:32:41,128 --> 01:32:43,528
a discussion about the

3024
01:32:44,131 --> 01:32:46,133
revised 2026, 2030 five-year capital plan

3025
01:32:46,133 --> 01:32:49,133
overview. Welcome both jared scarbrough

3026
01:32:49,136 --> 01:32:50,137
as well as dan hofer. Jared.

3027
01:32:50,137 --> 01:32:51,138
>> thank

3028
01:32:51,138 --> 01:32:52,139
you. Jared

3029
01:32:52,139 --> 01:32:53,140
scarbrough chief capital services

3030
01:32:53,140 --> 01:32:55,140
officer here with

3031
01:32:56,143 --> 01:32:58,143
dan hofer

3032
01:32:59,112 --> 01:33:01,112
to

3033
01:33:02,115 --> 01:33:05,118
go over the revised 2026-2030 five-year

3034
01:33:05,118 --> 01:33:06,119
capital plan. After the budget

3035
01:33:06,119 --> 01:33:08,121
workshops that were held last month,

3036
01:33:08,121 --> 01:33:10,121
trustee holbrook, I'm

3037
01:33:11,124 --> 01:33:12,125
not sure if

3038
01:33:12,125 --> 01:33:14,127
I'm using this word correctly, was it

3039
01:33:14,127 --> 01:33:15,128
scalpelling?

3040
01:33:15,128 --> 01:33:17,128
>> thank

3041
01:33:17,130 --> 01:33:19,132
you for creating a

3042
01:33:19,132 --> 01:33:20,133
new word? I appreciate that so much. Scalpelling,

3043
01:33:20,133 --> 01:33:22,133
that's

3044
01:33:22,135 --> 01:33:23,136
correct.

3045
01:33:23,136 --> 01:33:24,137
>> refinements that have

3046
01:33:24,137 --> 01:33:25,138
been made

3047
01:33:25,138 --> 01:33:26,139
since the last budget working session. So

3048
01:33:26,139 --> 01:33:28,139
dan

3049
01:33:29,142 --> 01:33:31,111
is

3050
01:33:31,111 --> 01:33:32,112
going to walk through the numbers

3051
01:33:32,112 --> 01:33:33,113
here this morning

3052
01:33:33,113 --> 01:33:35,115
in a little bit more detail, and then we'll

3053
01:33:35,115 --> 01:33:37,115
go to

3054
01:33:38,118 --> 01:33:39,119
a summary at the end here.

3055
01:33:39,119 --> 01:33:41,119
>>

3056
01:33:41,121 --> 01:33:42,122
thanks, jared. For the record, dan

3057
01:33:42,122 --> 01:33:43,123
hofer, director of capital programming and

3058
01:33:43,123 --> 01:33:44,124
support. As jared mentioned, we're

3059
01:33:44,124 --> 01:33:46,126
here to show you

3060
01:33:46,126 --> 01:33:47,127
some of the changes that have been

3061
01:33:47,127 --> 01:33:49,527
brought into the five-year

3062
01:33:50,130 --> 01:33:51,131
plan since

3063
01:33:51,131 --> 01:33:53,133
we talked last month about it. So

3064
01:33:53,133 --> 01:33:55,133
this first

3065
01:33:55,135 --> 01:33:56,136
part of the presentation we'll go

3066
01:33:56,136 --> 01:33:58,136
through and just

3067
01:33:59,139 --> 01:34:01,539
will highlight the changes

3068
01:34:02,142 --> 01:34:03,143
that

3069
01:34:03,143 --> 01:34:05,112
had occurred to the projects. So the

3070
01:34:05,112 --> 01:34:07,512
first one was a

3071
01:34:08,115 --> 01:34:10,117
request to update the project

3072
01:34:10,117 --> 01:34:11,118
named to the farmington station ped bridge. That

3073
01:34:11,118 --> 01:34:13,118
was done. There

3074
01:34:14,121 --> 01:34:16,521
was no change to

3075
01:34:17,124 --> 01:34:19,126
the budget. The rev238,

3076
01:34:19,126 --> 01:34:20,127
that's the light rail vehicle replacement project. There

3077
01:34:20,127 --> 01:34:22,127
was some

3078
01:34:23,130 --> 01:34:24,131
contract milestones that were updated, and

3079
01:34:24,131 --> 01:34:26,133
so we basically preprogrammed another

3080
01:34:26,133 --> 01:34:28,133
$700,000 that would

3081
01:34:28,135 --> 01:34:32,139
have been paid this year forward to

3082
01:34:32,139 --> 01:34:33,140
next year. Preprogramming also occurred

3083
01:34:33,140 --> 01:34:34,141
on the

3084
01:34:34,141 --> 01:34:35,142
clearfield trail project. They think

3085
01:34:35,142 --> 01:34:37,142
that has

3086
01:34:38,111 --> 01:34:39,112
potential to slip in to

3087
01:34:39,112 --> 01:34:41,114
next year. The layton station improvements, that

3088
01:34:41,114 --> 01:34:43,114
one we removed

3089
01:34:44,117 --> 01:34:46,119
the funding for right

3090
01:34:46,119 --> 01:34:47,120
now. We left the project, but if more progress

3091
01:34:47,120 --> 01:34:50,120
is made on that project,

3092
01:34:50,123 --> 01:34:52,123
we can add

3093
01:34:53,126 --> 01:34:56,129
funding to it to progress it

3094
01:34:56,129 --> 01:34:58,129
along. The ogden

3095
01:34:59,132 --> 01:35:01,532
fueling system replacement added

3096
01:35:02,135 --> 01:35:03,136
$85,000 to that

3097
01:35:03,136 --> 01:35:05,138
one. And then continuing on, the ici214

3098
01:35:05,138 --> 01:35:07,138
automatic

3099
01:35:08,141 --> 01:35:11,111
passenger counter, that one had

3100
01:35:11,111 --> 01:35:12,112
a reduction of $1 in

3101
01:35:12,112 --> 01:35:14,114
2027. The reason being they think they'll

3102
01:35:14,114 --> 01:35:15,115
finish that phase --

3103
01:35:15,115 --> 01:35:17,117
you know, they'll finish the current phases

3104
01:35:17,117 --> 01:35:19,117
they're working on

3105
01:35:20,120 --> 01:35:22,520
next year and then

3106
01:35:23,123 --> 01:35:25,123
evaluate that future

3107
01:35:25,125 --> 01:35:26,126
project moving forward. Ici226, also

3108
01:35:26,126 --> 01:35:28,126
they removed

3109
01:35:29,129 --> 01:35:31,131
-- asked to remove $2 million

3110
01:35:31,131 --> 01:35:32,132
in 2027 for that as well. So that

3111
01:35:32,132 --> 01:35:33,133
one they're

3112
01:35:33,133 --> 01:35:35,135
planning on finishing it next year,

3113
01:35:35,135 --> 01:35:37,135
so that's the

3114
01:35:38,138 --> 01:35:39,139
reason for that.

3115
01:35:39,139 --> 01:35:41,139
>>

3116
01:35:41,141 --> 01:35:43,541
so is the cost

3117
01:35:44,111 --> 01:35:46,511
less or did 2026 get

3118
01:35:47,114 --> 01:35:48,115
increased?

3119
01:35:48,115 --> 01:35:49,116
>> 2026 in this version

3120
01:35:49,116 --> 01:35:50,117
stayed the same. We are going to increase

3121
01:35:50,117 --> 01:35:52,117
it later,

3122
01:35:52,119 --> 01:35:53,120
but it'll be from a preprogramming

3123
01:35:53,120 --> 01:35:56,123
of this year moving forward. So

3124
01:35:56,123 --> 01:35:58,125
I think this is mostly

3125
01:35:58,125 --> 01:35:59,126
a contingency value that was held there,

3126
01:35:59,126 --> 01:36:00,127
so --

3127
01:36:00,127 --> 01:36:01,128
>>

3128
01:36:01,128 --> 01:36:02,129
can I ask a question?

3129
01:36:02,129 --> 01:36:03,130
>> yeah, please. >>

3130
01:36:03,130 --> 01:36:04,131
and I'm

3131
01:36:04,131 --> 01:36:05,132
sorry, I was a little slow on this. But

3132
01:36:05,132 --> 01:36:07,132
I just wanted

3133
01:36:08,135 --> 01:36:09,136
to ask you, like, what are the time

3134
01:36:09,136 --> 01:36:10,137
frames? Do

3135
01:36:10,137 --> 01:36:11,138
any of these dollar figure impacts,

3136
01:36:11,138 --> 01:36:13,138
like for the

3137
01:36:13,140 --> 01:36:17,110
farmington ped bridge or for the clearfield trail,

3138
01:36:17,110 --> 01:36:20,113
do any of those get impacted as far

3139
01:36:20,113 --> 01:36:23,113
as timing or is that

3140
01:36:23,116 --> 01:36:24,117
at this stage

3141
01:36:24,117 --> 01:36:25,118
still unchanged?

3142
01:36:25,118 --> 01:36:26,119
>> yeah. At this

3143
01:36:26,119 --> 01:36:29,122
stage they're unchanged. The clearfield project

3144
01:36:29,122 --> 01:36:31,124
is nearing completion, so this is just

3145
01:36:31,124 --> 01:36:32,125
in case it'll lead into next year. But

3146
01:36:32,125 --> 01:36:34,125
no cost increase

3147
01:36:35,128 --> 01:36:36,129
on those two

3148
01:36:36,129 --> 01:36:37,130
that you mentioned.

3149
01:36:37,130 --> 01:36:38,131
>> okay. Thank

3150
01:36:38,131 --> 01:36:39,132
you.

3151
01:36:39,132 --> 01:36:41,132
>>

3152
01:36:41,134 --> 01:36:43,136
uh-huh. Other changes that

3153
01:36:43,136 --> 01:36:45,138
had occurred also, the I.t. Managed

3154
01:36:45,138 --> 01:36:47,140
reserve project was removed. That

3155
01:36:47,140 --> 01:36:49,140
represents

3156
01:36:50,143 --> 01:36:52,112
a five-year total figure for that. The

3157
01:36:52,112 --> 01:36:53,113
fare box portion --

3158
01:36:53,113 --> 01:36:54,114
>> I presume if

3159
01:36:54,114 --> 01:36:56,116
an issue comes up, then

3160
01:36:56,116 --> 01:36:58,116
we would just

3161
01:36:59,119 --> 01:37:01,119
look

3162
01:37:01,121 --> 01:37:02,122
at our contingency --

3163
01:37:02,122 --> 01:37:03,123
>> yes. >> management. Okay. >>

3164
01:37:03,123 --> 01:37:05,125
the fare system project,

3165
01:37:05,125 --> 01:37:07,125
we removed the

3166
01:37:08,128 --> 01:37:11,131
fare box portion of that, so

3167
01:37:11,131 --> 01:37:13,133
that gave a $3.6 million

3168
01:37:13,133 --> 01:37:14,134
reduction. The 5310 projects, we lumped these

3169
01:37:14,134 --> 01:37:16,136
all together in one

3170
01:37:16,136 --> 01:37:17,137
and kind of showed it as a general lump

3171
01:37:17,137 --> 01:37:19,137
sum

3172
01:37:20,140 --> 01:37:22,142
there. But the timing of those

3173
01:37:22,142 --> 01:37:23,143
awards occurs kind of in between that sweet

3174
01:37:23,143 --> 01:37:25,112
spot of when

3175
01:37:25,112 --> 01:37:26,113
we're getting ready for the budget

3176
01:37:26,113 --> 01:37:28,513
workshops, and so now

3177
01:37:29,116 --> 01:37:32,116
they've gone in and reconciled

3178
01:37:32,119 --> 01:37:34,121
those projects with their award amounts, and

3179
01:37:34,121 --> 01:37:35,122
another thing we're doing is instead

3180
01:37:35,122 --> 01:37:37,124
of programming that out

3181
01:37:37,124 --> 01:37:38,125
into future years, we're going to

3182
01:37:38,125 --> 01:37:41,125
move that into the current

3183
01:37:41,128 --> 01:37:44,131
year so they have that funding available

3184
01:37:44,131 --> 01:37:47,131
to them, and they can

3185
01:37:47,134 --> 01:37:48,135
use it there. So that added

3186
01:37:48,135 --> 01:37:50,137
about $4.3 million. But those are

3187
01:37:50,137 --> 01:37:51,138
all pass-through funds.

3188
01:37:51,138 --> 01:37:52,139
>> I was

3189
01:37:52,139 --> 01:37:53,140
gonna ask, are those grant funds only

3190
01:37:53,140 --> 01:37:54,141
--

3191
01:37:54,141 --> 01:37:55,142
>> yes. >>

3192
01:37:55,142 --> 01:37:56,143
--or is there a local match?

3193
01:37:56,143 --> 01:37:58,143
>> there

3194
01:37:59,112 --> 01:38:02,115
could be a very small local in there,

3195
01:38:02,115 --> 01:38:04,115
but the

3196
01:38:05,118 --> 01:38:06,119
local majority of all pass-through funds.

3197
01:38:06,119 --> 01:38:07,120
>>

3198
01:38:07,120 --> 01:38:08,121
the

3199
01:38:08,121 --> 01:38:09,122
enhancement, that's mostly payback

3200
01:38:09,122 --> 01:38:10,123
grant.

3201
01:38:10,123 --> 01:38:11,124
>> so here's

3202
01:38:11,124 --> 01:38:14,127
some more exchanges that we did. I'll

3203
01:38:14,127 --> 01:38:15,128
just go through these really quickly. Added

3204
01:38:15,128 --> 01:38:16,129
$210,000, this

3205
01:38:16,129 --> 01:38:17,130
is to the wheel turning machine. That

3206
01:38:17,130 --> 01:38:19,130
was a

3207
01:38:20,133 --> 01:38:23,136
result of a tariff impact letter that

3208
01:38:23,136 --> 01:38:25,138
we got from them. The

3209
01:38:25,138 --> 01:38:26,139
optical detection project was removed. The

3210
01:38:26,139 --> 01:38:28,139
one-time innovative

3211
01:38:30,143 --> 01:38:31,111
mobility zone

3212
01:38:31,111 --> 01:38:33,113
funds project was removed. The one-time

3213
01:38:33,113 --> 01:38:35,113
mobility

3214
01:38:36,116 --> 01:38:38,516
solutions for capital expenses

3215
01:38:39,119 --> 01:38:41,121
was lowered by $338,000. The

3216
01:38:41,121 --> 01:38:43,123
big one was the rev233 commuter rail

3217
01:38:43,123 --> 01:38:45,125
vehicle procurement for used, that

3218
01:38:45,125 --> 01:38:47,125
was the

3219
01:38:47,127 --> 01:38:51,131
purchase of the san diego cars. Sounds

3220
01:38:51,131 --> 01:38:53,133
like the strategy has changed on

3221
01:38:53,133 --> 01:38:56,136
that, and so that project has been

3222
01:38:56,136 --> 01:38:57,137
removed.

3223
01:38:57,137 --> 01:38:58,138
>> and so was this anticipated revenue

3224
01:38:58,138 --> 01:38:59,139
to

3225
01:38:59,139 --> 01:39:02,142
be received or to be expended to renovate,

3226
01:39:02,142 --> 01:39:03,143
I guess?

3227
01:39:03,143 --> 01:39:04,111
>> it would be to expend

3228
01:39:04,111 --> 01:39:05,112
it. Right, yeah.

3229
01:39:05,112 --> 01:39:06,113
>>

3230
01:39:06,113 --> 01:39:07,114
I was just trying to

3231
01:39:07,114 --> 01:39:08,115
figure out what rev stands for.

3232
01:39:08,115 --> 01:39:09,116
>>

3233
01:39:09,116 --> 01:39:10,117
yeah.

3234
01:39:10,117 --> 01:39:12,117
>> looks like

3235
01:39:12,119 --> 01:39:13,120
a revenue.

3236
01:39:13,120 --> 01:39:14,121
>> general code

3237
01:39:14,121 --> 01:39:15,122
for vehicles usually.

3238
01:39:15,122 --> 01:39:17,122
>> can I ask

3239
01:39:17,124 --> 01:39:18,125
a question? Because technically the

3240
01:39:18,125 --> 01:39:19,126
vehicle procurement

3241
01:39:19,126 --> 01:39:21,128
is already completed, but I'm just

3242
01:39:21,128 --> 01:39:23,130
curious as to why it's under

3243
01:39:23,130 --> 01:39:24,131
that title. Is that just because it's connected

3244
01:39:24,131 --> 01:39:25,132
to that vehicle,

3245
01:39:25,132 --> 01:39:27,134
even though the proare current is already

3246
01:39:27,134 --> 01:39:28,135
done? I just wanted to

3247
01:39:28,135 --> 01:39:29,136
understand how that --

3248
01:39:29,136 --> 01:39:30,137
>> anticipated

3249
01:39:30,137 --> 01:39:31,138
as part of the procurement that

3250
01:39:31,138 --> 01:39:32,139
we'd be doing this work.

3251
01:39:32,139 --> 01:39:33,140
>> okay. Thank

3252
01:39:33,140 --> 01:39:35,140
you. That's

3253
01:39:36,143 --> 01:39:38,143
why it's

3254
01:39:39,112 --> 01:39:40,113
tied in that way. Thanks.

3255
01:39:40,113 --> 01:39:41,114
>>

3256
01:39:41,114 --> 01:39:42,115
yeah. On the meadowbrook electrification

3257
01:39:42,115 --> 01:39:43,116
project, we've preprogrammed $500,000

3258
01:39:43,116 --> 01:39:45,118
from this year forward to

3259
01:39:45,118 --> 01:39:46,119
next year

3260
01:39:46,119 --> 01:39:48,121
to help with the design contract there,

3261
01:39:48,121 --> 01:39:50,121
anticipating

3262
01:39:51,124 --> 01:39:53,524
completion of that contract

3263
01:39:54,127 --> 01:39:55,128
in march. Here's

3264
01:39:55,128 --> 01:39:58,728
some other changes. The lab building

3265
01:40:00,133 --> 01:40:01,134
demo and parking lot, we

3266
01:40:01,134 --> 01:40:03,136
moved to $375,000 forward from this budget to

3267
01:40:03,136 --> 01:40:05,136
next

3268
01:40:06,139 --> 01:40:07,140
year to allow for the paving,

3269
01:40:07,140 --> 01:40:09,142
they've been working through the design,

3270
01:40:09,142 --> 01:40:12,112
and that's taken longer than

3271
01:40:12,112 --> 01:40:13,113
anticipated.

3272
01:40:13,113 --> 01:40:14,114
>> so we'll

3273
01:40:14,114 --> 01:40:15,115
see gravel through the winter?

3274
01:40:15,115 --> 01:40:16,116
>>

3275
01:40:16,116 --> 01:40:17,117
probably. Yeah.

3276
01:40:17,117 --> 01:40:18,118
>> my

3277
01:40:18,118 --> 01:40:19,119
shoes are not happy about that.

3278
01:40:19,119 --> 01:40:20,120
>> very

3279
01:40:20,120 --> 01:40:21,121
easy

3280
01:40:21,121 --> 01:40:22,122
to clear snow off of gravel.

3281
01:40:22,122 --> 01:40:24,122
>>

3282
01:40:24,124 --> 01:40:25,125
yeah.

3283
01:40:25,125 --> 01:40:27,125
>> it gives

3284
01:40:27,127 --> 01:40:29,127
us the good

3285
01:40:30,130 --> 01:40:31,131
country feel.

3286
01:40:31,131 --> 01:40:32,132
>> yes. Next

3287
01:40:32,132 --> 01:40:33,133
year we have preprogrammed $760,000

3288
01:40:33,133 --> 01:40:35,533
for the salt lake

3289
01:40:36,136 --> 01:40:38,136
hq office

3290
01:40:39,139 --> 01:40:40,140
building to finish their schematic

3291
01:40:40,140 --> 01:40:42,142
design. The 5600 west project, this

3292
01:40:42,142 --> 01:40:43,143
one basically what happened is

3293
01:40:43,143 --> 01:40:45,112
the opening of that service was pushed

3294
01:40:45,112 --> 01:40:47,112
back a

3295
01:40:48,115 --> 01:40:49,116
year, so they were able

3296
01:40:49,116 --> 01:40:53,120
to reshuffle the schedule on that. And

3297
01:40:53,120 --> 01:40:54,121
so this represents that where we've

3298
01:40:54,121 --> 01:40:56,121
added --

3299
01:40:57,124 --> 01:40:59,126
where we didn't add, but we

3300
01:40:59,126 --> 01:41:00,127
put $3.9 million nor in next year's

3301
01:41:00,127 --> 01:41:01,128
to help with some construction there.

3302
01:41:01,128 --> 01:41:02,129
>>

3303
01:41:02,129 --> 01:41:03,130
can

3304
01:41:03,130 --> 01:41:05,130
I

3305
01:41:06,133 --> 01:41:08,135
ask a question on

3306
01:41:08,135 --> 01:41:09,136
this project? There was in state law

3307
01:41:09,136 --> 01:41:11,136
on

3308
01:41:11,138 --> 01:41:14,141
the enacting of the salt lake county fifth

3309
01:41:14,141 --> 01:41:15,142
fifth, a portion that went to 5600

3310
01:41:15,142 --> 01:41:17,142
west. Are

3311
01:41:18,111 --> 01:41:21,114
those numbers --is that revenue coming

3312
01:41:21,114 --> 01:41:24,117
--potentially coming to us, is it

3313
01:41:24,117 --> 01:41:27,120
coming through the ttf to fund additional pieces? I just

3314
01:41:27,120 --> 01:41:29,122
wasn't sure how --I can't

3315
01:41:29,122 --> 01:41:30,123
really remember the fraction of it,

3316
01:41:30,123 --> 01:41:32,123
but it allowed

3317
01:41:33,126 --> 01:41:34,127
--and when the thing got enacted I

3318
01:41:34,127 --> 01:41:35,128
would

3319
01:41:35,128 --> 01:41:36,129
imagine it enabled it. And I just wondered

3320
01:41:36,129 --> 01:41:38,129
how we're looking

3321
01:41:38,131 --> 01:41:39,132
at those dollars or generally even

3322
01:41:39,132 --> 01:41:42,132
look at them. To be

3323
01:41:42,135 --> 01:41:43,136
honest, I'm not sure what our options

3324
01:41:43,136 --> 01:41:44,137
are there.

3325
01:41:44,137 --> 01:41:45,138
>> I would

3326
01:41:45,138 --> 01:41:48,141
have to get back to you on that. I

3327
01:41:48,141 --> 01:41:50,143
mean, I know that they're there, they're

3328
01:41:50,143 --> 01:41:51,111
authorized, but how that money's going

3329
01:41:51,111 --> 01:41:54,111
to come to us is

3330
01:41:54,114 --> 01:41:55,115
--

3331
01:41:55,115 --> 01:41:56,116
>> yeah. Maybe we have to get

3332
01:41:56,116 --> 01:42:00,120
our legislative friends to help us figure

3333
01:42:00,120 --> 01:42:02,122
that out or our friends in the gopb office. It

3334
01:42:02,122 --> 01:42:03,123
would be good to figure that out.

3335
01:42:03,123 --> 01:42:04,124
>>

3336
01:42:04,124 --> 01:42:06,126
I'm going to check

3337
01:42:06,126 --> 01:42:08,126
as this discussion

3338
01:42:09,129 --> 01:42:10,130
is going on.

3339
01:42:10,130 --> 01:42:11,131
>> all

3340
01:42:11,131 --> 01:42:14,131
right. The rail replacement program,

3341
01:42:14,134 --> 01:42:15,135
we added $2.25 million to that project

3342
01:42:15,135 --> 01:42:18,138
to next year, and then so in

3343
01:42:18,138 --> 01:42:19,139
order to do that, we took a little

3344
01:42:19,139 --> 01:42:21,141
bit from the great crossing replacement

3345
01:42:21,141 --> 01:42:22,142
program, and we were able to

3346
01:42:22,142 --> 01:42:24,111
add some additional formula funds

3347
01:42:24,111 --> 01:42:26,111
to that to

3348
01:42:27,114 --> 01:42:28,115
make up that number. The grade crossing

3349
01:42:28,115 --> 01:42:30,115
replacement project

3350
01:42:30,117 --> 01:42:32,117
speaks

3351
01:42:32,119 --> 01:42:33,120
to the reduction I just mentioned

3352
01:42:33,120 --> 01:42:34,121
there.

3353
01:42:34,121 --> 01:42:36,121
>> so did

3354
01:42:36,123 --> 01:42:37,124
you not do the grade crossing projects?

3355
01:42:37,124 --> 01:42:38,125
>>

3356
01:42:38,125 --> 01:42:39,126
we'll

3357
01:42:39,126 --> 01:42:40,127
still do them. I think there's

3358
01:42:40,127 --> 01:42:42,129
$2 million in that budget still. We've

3359
01:42:42,129 --> 01:42:44,529
done a really good

3360
01:42:45,132 --> 01:42:48,135
job keeping up on those, and so

3361
01:42:48,135 --> 01:42:50,137
at this time rather put the

3362
01:42:50,137 --> 01:42:51,138
money towards the rail replacement effort

3363
01:42:51,138 --> 01:42:52,139
there.

3364
01:42:52,139 --> 01:42:54,139
>>

3365
01:42:54,141 --> 01:42:57,144
we'll be doing two larger ones

3366
01:42:57,144 --> 01:43:00,113
next year still, 621 south and

3367
01:43:00,113 --> 01:43:02,115
600 south. 600 is in need

3368
01:43:02,115 --> 01:43:03,116
of repair, as well as 2100. 2100 was

3369
01:43:03,116 --> 01:43:05,116
also chosen because

3370
01:43:05,118 --> 01:43:06,119
it is directly linked to other shutdowns

3371
01:43:06,119 --> 01:43:07,120
we'd

3372
01:43:07,120 --> 01:43:08,121
be doing in that area.

3373
01:43:08,121 --> 01:43:09,122
>> yeah. >>

3374
01:43:09,122 --> 01:43:11,124
so instead of having

3375
01:43:11,124 --> 01:43:12,125
three shutdowns there, we shuffled around

3376
01:43:12,125 --> 01:43:15,128
to just have one do all the

3377
01:43:15,128 --> 01:43:16,129
work.

3378
01:43:16,129 --> 01:43:17,130
>> at the same time. >> in that

3379
01:43:17,130 --> 01:43:18,131
same area,

3380
01:43:18,131 --> 01:43:19,132
yeah.

3381
01:43:19,132 --> 01:43:20,133
>> okay. That makes sense. >>

3382
01:43:20,133 --> 01:43:21,134
I think we need to

3383
01:43:21,134 --> 01:43:22,135
advertise that a lot or talk about

3384
01:43:22,135 --> 01:43:24,135
that because

3385
01:43:24,137 --> 01:43:25,138
I --from the city perspective, when

3386
01:43:25,138 --> 01:43:27,138
I was

3387
01:43:27,140 --> 01:43:28,141
with the city, that was always the biggest

3388
01:43:28,141 --> 01:43:29,142
complaint

3389
01:43:29,142 --> 01:43:30,143
people had is, like, you just barely

3390
01:43:30,143 --> 01:43:32,143
laid

3391
01:43:33,113 --> 01:43:34,114
down the asphalt, and now you're tearing

3392
01:43:34,114 --> 01:43:36,114
it up

3393
01:43:36,116 --> 01:43:38,116
again. So like

3394
01:43:39,119 --> 01:43:40,120
that we are

3395
01:43:40,120 --> 01:43:41,121
articulating that.

3396
01:43:41,121 --> 01:43:42,122
>> thank you. So

3397
01:43:42,122 --> 01:43:43,123
this should be the

3398
01:43:43,123 --> 01:43:45,125
last of the project adjustments. But

3399
01:43:45,125 --> 01:43:47,125
the top

3400
01:43:47,127 --> 01:43:50,727
one, the facilities rehab and replacement,

3401
01:43:51,131 --> 01:43:53,133
there's a pretty major

3402
01:43:53,133 --> 01:43:54,134
floor project going on at midvale

3403
01:43:54,134 --> 01:43:56,534
right now expected to

3404
01:43:57,137 --> 01:43:59,537
go into quarter one,

3405
01:44:00,140 --> 01:44:02,140
so we preprogrammed $260,000

3406
01:44:03,143 --> 01:44:05,143
forward to

3407
01:44:06,113 --> 01:44:07,114
finish that work up. Msp270 added

3408
01:44:07,114 --> 01:44:08,115
about

3409
01:44:08,115 --> 01:44:09,116
$140,000 to keep those numbers consistent, so

3410
01:44:09,116 --> 01:44:11,118
they have that to

3411
01:44:11,118 --> 01:44:12,119
work with. And then just some general

3412
01:44:12,119 --> 01:44:14,119
items that you

3413
01:44:14,121 --> 01:44:15,122
may have seen in the previous documents

3414
01:44:15,122 --> 01:44:17,522
but just wanted to

3415
01:44:18,125 --> 01:44:20,127
call them out here, we removed

3416
01:44:20,127 --> 01:44:21,128
the yellow highlights on the grant-dependent

3417
01:44:21,128 --> 01:44:23,130
projects. So the labels are still

3418
01:44:23,130 --> 01:44:24,131
there, but the highlights are gone. And

3419
01:44:24,131 --> 01:44:27,131
then we'll talk to these

3420
01:44:27,134 --> 01:44:30,134
a little bit later, but

3421
01:44:30,137 --> 01:44:31,138
we replaced the temporary np project

3422
01:44:31,138 --> 01:44:33,138
codes with the

3423
01:44:33,140 --> 01:44:35,140
actual project codes

3424
01:44:36,143 --> 01:44:37,144
that they'll have moving forward pending approval.

3425
01:44:37,144 --> 01:44:39,112
>>

3426
01:44:39,112 --> 01:44:40,113
np stands for what?

3427
01:44:40,113 --> 01:44:41,114
>> just new project. >>

3428
01:44:41,114 --> 01:44:42,115
new projects,

3429
01:44:42,115 --> 01:44:43,116
okay.

3430
01:44:43,116 --> 01:44:44,117
>> can I ask you on the

3431
01:44:44,117 --> 01:44:45,118
previous slide?

3432
01:44:45,118 --> 01:44:46,119
>> yeah. >> there

3433
01:44:46,119 --> 01:44:47,120
was

3434
01:44:47,120 --> 01:44:49,122
the transit signal priority onboard

3435
01:44:49,122 --> 01:44:51,124
units. Is that for

3436
01:44:51,124 --> 01:44:54,127
a brt project or is it for just general

3437
01:44:54,127 --> 01:44:55,128
buses, if you could just clarify that?

3438
01:44:55,128 --> 01:44:56,129
>>

3439
01:44:56,129 --> 01:44:57,130
general, general buses.

3440
01:44:57,130 --> 01:44:58,131
>> thank you. >>

3441
01:44:58,131 --> 01:45:00,131
and

3442
01:45:03,136 --> 01:45:04,137
then as part of that general items,

3443
01:45:04,137 --> 01:45:06,137
not that

3444
01:45:06,139 --> 01:45:08,141
--the descriptions of the projects themselves,

3445
01:45:08,141 --> 01:45:10,143
is that what you're referring to? There

3446
01:45:10,143 --> 01:45:11,111
was a

3447
01:45:11,111 --> 01:45:13,113
conversation about maybe aside from

3448
01:45:13,113 --> 01:45:15,113
you,

3449
01:45:15,115 --> 01:45:16,116
dan, nobody would understand what

3450
01:45:16,116 --> 01:45:18,118
the project was, that's

3451
01:45:18,118 --> 01:45:19,119
not to speak that you went, you're

3452
01:45:19,119 --> 01:45:21,119
just

3453
01:45:21,121 --> 01:45:23,123
so detailed and in depth. And just

3454
01:45:23,123 --> 01:45:24,124
from the general public perspective.

3455
01:45:24,124 --> 01:45:25,125
>>

3456
01:45:25,125 --> 01:45:28,125
yeah. I've been talking with

3457
01:45:28,128 --> 01:45:29,129
jan about that. So we won't

3458
01:45:29,129 --> 01:45:31,131
see any in today's discussion, but

3459
01:45:31,131 --> 01:45:32,132
we'll

3460
01:45:32,132 --> 01:45:34,134
visit with the project managers and

3461
01:45:34,134 --> 01:45:36,134
see if there's

3462
01:45:37,137 --> 01:45:38,138
some that we can look to modify

3463
01:45:38,138 --> 01:45:40,140
before the end of the year, so have

3464
01:45:40,140 --> 01:45:41,141
those.

3465
01:45:41,141 --> 01:45:43,141
>> that would

3466
01:45:43,143 --> 01:45:46,113
be great. You know, I just think

3467
01:45:46,113 --> 01:45:48,115
it helps everybody understand

3468
01:45:48,115 --> 01:45:49,116
what the project actually is.

3469
01:45:49,116 --> 01:45:51,116
>> yeah. >>

3470
01:45:51,118 --> 01:45:52,119
and so anyway.

3471
01:45:52,119 --> 01:45:53,120
>> no. Thank you. Yeah. So

3472
01:45:53,120 --> 01:45:54,121
these are

3473
01:45:54,121 --> 01:45:55,122
the new projects that were added. These

3474
01:45:55,122 --> 01:45:57,122
are the

3475
01:45:57,124 --> 01:45:58,125
same ones that you've seen before. So

3476
01:45:58,125 --> 01:45:59,126
I won't go through

3477
01:45:59,126 --> 01:46:01,128
them in general, but the main point

3478
01:46:01,128 --> 01:46:03,128
of this

3479
01:46:03,130 --> 01:46:04,131
slide is just to highlight the new

3480
01:46:04,131 --> 01:46:06,131
codes

3481
01:46:07,134 --> 01:46:09,136
and what the previous

3482
01:46:09,136 --> 01:46:10,137
ones were in case there was some going back and

3483
01:46:10,137 --> 01:46:12,137
wanting to

3484
01:46:12,139 --> 01:46:13,140
check and see what they were. So these

3485
01:46:13,140 --> 01:46:16,140
next few slides have just

3486
01:46:16,143 --> 01:46:17,144
like the new codes

3487
01:46:17,144 --> 01:46:19,112
in the plan moving forward. I'll go

3488
01:46:19,112 --> 01:46:21,112
through slowly. If

3489
01:46:22,115 --> 01:46:24,117
you have any questions, let me

3490
01:46:24,117 --> 01:46:25,118
know.

3491
01:46:25,118 --> 01:46:26,119
>> the escalator replacement,

3492
01:46:26,119 --> 01:46:28,119
we talked

3493
01:46:28,121 --> 01:46:31,124
about it, but we made some observations. It's

3494
01:46:31,124 --> 01:46:32,125
at the end of

3495
01:46:32,125 --> 01:46:33,126
its useful life?

3496
01:46:33,126 --> 01:46:34,127
>> yes. >> and there

3497
01:46:34,127 --> 01:46:36,129
a way to protect it better

3498
01:46:36,129 --> 01:46:37,130
in the weather? I mean, is that --

3499
01:46:37,130 --> 01:46:39,130
or is it

3500
01:46:40,133 --> 01:46:41,134
fine and that's just how fast they wear

3501
01:46:41,134 --> 01:46:42,135
out?

3502
01:46:42,135 --> 01:46:43,136
>>

3503
01:46:43,136 --> 01:46:44,137
go ahead, jared.

3504
01:46:44,137 --> 01:46:46,137
>> I know that's

3505
01:46:46,139 --> 01:46:49,139
something we're looking in to

3506
01:46:49,142 --> 01:46:51,111
right now. But I know

3507
01:46:51,111 --> 01:46:54,711
there was some previously rating issues

3508
01:46:55,115 --> 01:46:56,116
with the escalator, maybe not being rated for

3509
01:46:56,116 --> 01:46:58,116
the outdoors, something

3510
01:46:58,118 --> 01:47:01,121
that's being looked at now this

3511
01:47:01,121 --> 01:47:03,123
time around is actually getting the

3512
01:47:03,123 --> 01:47:04,124
appropriate rating to install and

3513
01:47:04,124 --> 01:47:05,125
when

3514
01:47:05,125 --> 01:47:06,126
this is addressed.

3515
01:47:06,126 --> 01:47:07,127
>> okay. >> yeah. They

3516
01:47:07,127 --> 01:47:09,127
were rated indoor

3517
01:47:09,129 --> 01:47:10,130
when they were originally put in. Am

3518
01:47:10,130 --> 01:47:11,131
I

3519
01:47:11,131 --> 01:47:12,132
correct?

3520
01:47:12,132 --> 01:47:13,133
>> yeah. That is correct. >>

3521
01:47:13,133 --> 01:47:15,135
so we need to --and that's part of

3522
01:47:15,135 --> 01:47:16,136
what we're looking at in that replacement,

3523
01:47:16,136 --> 01:47:17,137
so that

3524
01:47:17,137 --> 01:47:18,138
number we're still looking at, and we'll

3525
01:47:18,138 --> 01:47:19,139
probably be getting back to you on

3526
01:47:19,139 --> 01:47:21,139
that one because

3527
01:47:21,141 --> 01:47:22,142
we need to have it rated outdoor.

3528
01:47:22,142 --> 01:47:23,143
>>

3529
01:47:23,143 --> 01:47:25,112
yeah. That

3530
01:47:25,112 --> 01:47:27,114
makes a lot more

3531
01:47:27,114 --> 01:47:28,115
sense. Does that include the general maintenance

3532
01:47:28,115 --> 01:47:30,115
of

3533
01:47:31,118 --> 01:47:32,119
the area or just the escalator

3534
01:47:32,119 --> 01:47:34,121
replacement itself? I'm just curious

3535
01:47:34,121 --> 01:47:36,123
because there's a lot of

3536
01:47:36,123 --> 01:47:37,124
other areas that probably could be

3537
01:47:37,124 --> 01:47:38,125
improved.

3538
01:47:38,125 --> 01:47:40,125
>> just

3539
01:47:40,127 --> 01:47:41,128
the escalators

3540
01:47:41,128 --> 01:47:42,129
on this one, yeah.

3541
01:47:42,129 --> 01:47:44,129
>> thanks. >> uh-huh. Here's

3542
01:47:46,133 --> 01:47:48,133
the

3543
01:47:49,136 --> 01:47:52,736
next slide for the new projects.

3544
01:47:58,111 --> 01:47:59,112
question?

3545
01:47:59,112 --> 01:48:00,113
>> on the low or

3546
01:48:00,113 --> 01:48:01,114
no emissions battery electric buses,

3547
01:48:01,114 --> 01:48:02,115
we just got a notification

3548
01:48:02,115 --> 01:48:04,117
of an award, is that those? These

3549
01:48:04,117 --> 01:48:06,117
are ones

3550
01:48:07,120 --> 01:48:09,120
that were

3551
01:48:10,123 --> 01:48:13,126
already in the works? Remind me

3552
01:48:13,126 --> 01:48:14,127
what --and does low no mean

3553
01:48:14,127 --> 01:48:16,129
we're going after natural gas? Because

3554
01:48:16,129 --> 01:48:19,132
I knew we were sort of avoiding

3555
01:48:19,132 --> 01:48:20,133
electric, at least as far as a grant

3556
01:48:20,133 --> 01:48:21,134
proposal goes.

3557
01:48:21,134 --> 01:48:22,135
>>

3558
01:48:22,135 --> 01:48:23,136
I believe that that

3559
01:48:23,136 --> 01:48:25,138
project number --and alternative,

3560
01:48:25,138 --> 01:48:27,140
vi, for this one, for

3561
01:48:27,140 --> 01:48:28,141
the low no, you just nod your head,

3562
01:48:28,141 --> 01:48:30,141
that's at

3563
01:48:31,111 --> 01:48:33,111
teens

3564
01:48:34,114 --> 01:48:35,115
zero are the buses that we --[

3565
01:48:35,115 --> 01:48:36,116
inaudible ] is that correct?

3566
01:48:36,116 --> 01:48:37,117
>> yes. >>

3567
01:48:37,117 --> 01:48:39,517
so, yes, that is

3568
01:48:42,122 --> 01:48:43,123
correct. We'll have to make that correction.

3569
01:48:43,123 --> 01:48:44,124
>>

3570
01:48:44,124 --> 01:48:46,124
is that

3571
01:48:46,126 --> 01:48:48,126
--so 15

3572
01:48:49,129 --> 01:48:51,529
buses in to $21 million

3573
01:48:52,132 --> 01:48:53,133
is 1.4 per vehicle, is that due to

3574
01:48:53,133 --> 01:48:55,135
tariffs, et cetera, is

3575
01:48:55,135 --> 01:48:56,136
that an issue or --

3576
01:48:56,136 --> 01:48:57,137
>> or did you

3577
01:48:57,137 --> 01:48:58,138
get more

3578
01:48:58,138 --> 01:49:01,138
buses when you went to

3579
01:49:01,141 --> 01:49:02,142
natural gas?

3580
01:49:02,142 --> 01:49:03,143
>> that was

3581
01:49:03,143 --> 01:49:04,144
the electric price before.

3582
01:49:04,144 --> 01:49:05,112
>> okay. >> so

3583
01:49:05,112 --> 01:49:06,113
we'll have to look

3584
01:49:06,113 --> 01:49:07,114
at the c&g, but we'll check with the grants

3585
01:49:07,114 --> 01:49:09,114
team to see

3586
01:49:10,117 --> 01:49:13,120
if any of the award amount has

3587
01:49:13,120 --> 01:49:15,120
changed,

3588
01:49:16,123 --> 01:49:19,723
and if so, update it accordingly.

3589
01:49:22,129 --> 01:49:24,129
>> can I ask

3590
01:49:24,131 --> 01:49:25,132
on the planning grants, there was a

3591
01:49:25,132 --> 01:49:27,132
question about --half

3592
01:49:28,135 --> 01:49:30,135
of it

3593
01:49:31,138 --> 01:49:32,139
was

3594
01:49:32,139 --> 01:49:34,141
sort of obligated in their planning numbers,

3595
01:49:34,141 --> 01:49:37,144
others have --or just studies. And

3596
01:49:37,144 --> 01:49:38,111
I'm trying to remember from our discussion

3597
01:49:38,111 --> 01:49:40,111
whether there

3598
01:49:40,113 --> 01:49:41,114
was ever an explanation to what those

3599
01:49:41,114 --> 01:49:42,115
studies would actually be.

3600
01:49:42,115 --> 01:49:43,116
>>

3601
01:49:43,116 --> 01:49:45,118
if you could give

3602
01:49:45,118 --> 01:49:46,119
us a moment, I'll make sure that we

3603
01:49:46,119 --> 01:49:48,119
--you

3604
01:49:48,121 --> 01:49:49,122
want to -- do you have the answer

3605
01:49:49,122 --> 01:49:51,122
or

3606
01:49:52,125 --> 01:49:54,127
would you like to bring

3607
01:49:54,127 --> 01:49:55,128
in the call?

3608
01:49:55,128 --> 01:49:56,129
>> [ inaudible ] >> I

3609
01:49:56,129 --> 01:49:58,129
just was trying

3610
01:49:58,131 --> 01:49:59,132
to get an idea of what we were studying because at

3611
01:49:59,132 --> 01:50:01,132
one

3612
01:50:01,134 --> 01:50:02,135
time there was -- at least in the

3613
01:50:02,135 --> 01:50:03,136
preliminary stuff

3614
01:50:03,136 --> 01:50:04,137
I'd seen, there was a large number

3615
01:50:04,137 --> 01:50:07,137
for the 10-year plan. And

3616
01:50:07,140 --> 01:50:10,143
so I was, like, are we spending that

3617
01:50:10,143 --> 01:50:12,112
much money to go back and,

3618
01:50:12,112 --> 01:50:13,113
like, totally revamp our 10 year,

3619
01:50:13,113 --> 01:50:14,114
and I was just trying to understand

3620
01:50:14,114 --> 01:50:15,115
that a little bit.

3621
01:50:15,115 --> 01:50:16,116
>>

3622
01:50:16,116 --> 01:50:17,117
we'll get that answer in a moment.

3623
01:50:17,117 --> 01:50:18,118
>>

3624
01:50:18,118 --> 01:50:19,119
if

3625
01:50:19,119 --> 01:50:20,120
you have it, kim.

3626
01:50:20,120 --> 01:50:21,121
>>

3627
01:50:21,121 --> 01:50:22,122
sorry. I haven't used these microphones yet. Kim

3628
01:50:22,122 --> 01:50:24,122
shanklin, chief

3629
01:50:25,125 --> 01:50:27,127
of staff for the record. So

3630
01:50:27,127 --> 01:50:28,128
for the 2026 capital expenses for

3631
01:50:28,128 --> 01:50:30,128
planning,

3632
01:50:31,131 --> 01:50:33,531
there's a day finding

3633
01:50:34,134 --> 01:50:36,534
plan creation of $600,000. Ly

3634
01:50:37,137 --> 01:50:40,140
have to get clarification on what

3635
01:50:40,140 --> 01:50:41,141
our bsrp plan is for $100,000 and

3636
01:50:41,141 --> 01:50:42,142
just general planning studies for

3637
01:50:42,142 --> 01:50:43,143
the 300,000. And we were planning

3638
01:50:43,143 --> 01:50:45,143
to

3639
01:50:46,113 --> 01:50:48,115
send the board a list

3640
01:50:48,115 --> 01:50:49,116
of all of those. We have that being

3641
01:50:49,116 --> 01:50:51,118
compiled, but I don't

3642
01:50:51,118 --> 01:50:52,119
have it here for you right here at

3643
01:50:52,119 --> 01:50:53,120
this moment.

3644
01:50:53,120 --> 01:50:54,121
>> that's

3645
01:50:54,121 --> 01:50:56,123
okay for this moment. But if we could

3646
01:50:56,123 --> 01:50:58,123
get

3647
01:50:59,126 --> 01:51:00,127
that, that would

3648
01:51:00,127 --> 01:51:01,128
be beautiful.

3649
01:51:01,128 --> 01:51:03,128
>> absolutely. Yeah. >>

3650
01:51:04,131 --> 01:51:05,132
bsrp, right, bus speed and reliability program,

3651
01:51:05,132 --> 01:51:06,133
so that's

3652
01:51:06,133 --> 01:51:07,134
--

3653
01:51:07,134 --> 01:51:08,135
>> oh. >> --the financially efficient ways

3654
01:51:08,135 --> 01:51:10,135
to move

3655
01:51:11,138 --> 01:51:14,138
our buses along without major

3656
01:51:14,141 --> 01:51:16,143
capital investments working with

3657
01:51:16,143 --> 01:51:19,112
local partners like udot to utilize either

3658
01:51:19,112 --> 01:51:20,113
shoulders or new ways to get through

3659
01:51:20,113 --> 01:51:21,114
the

3660
01:51:21,114 --> 01:51:23,116
intersection quicker with priorities

3661
01:51:23,116 --> 01:51:25,116
on

3662
01:51:26,119 --> 01:51:27,120
our buses. So that's what that

3663
01:51:27,120 --> 01:51:28,121
project means.

3664
01:51:28,121 --> 01:51:29,122
>> okay. You get the

3665
01:51:29,122 --> 01:51:31,124
snickers bar today, jared,

3666
01:51:31,124 --> 01:51:34,127
for not only knowing the acronym but

3667
01:51:34,127 --> 01:51:35,128
being able to explain it.

3668
01:51:35,128 --> 01:51:36,129
>> I had

3669
01:51:36,129 --> 01:51:38,131
a question on the floor restoration

3670
01:51:38,131 --> 01:51:39,132
for

3671
01:51:39,132 --> 01:51:43,932
mount ogden. This is for the maintenance phase

3672
01:51:44,137 --> 01:51:46,137
or --right,

3673
01:51:47,140 --> 01:51:50,140
is that correct? I see

3674
01:51:50,143 --> 01:51:51,144
andreas nodding.

3675
01:51:51,144 --> 01:51:53,113
>> uh-huh. >> all

3676
01:51:53,113 --> 01:51:55,113
right. Sorry. Is

3677
01:51:55,115 --> 01:51:56,116
everyone done? Good to move on? Okay. All right.

3678
01:51:56,116 --> 01:51:57,117
>>

3679
01:51:57,117 --> 01:51:59,119
if we can hold

3680
01:51:59,119 --> 01:52:02,119
for just one second because

3681
01:52:02,122 --> 01:52:04,124
I want to go back to 5600

3682
01:52:04,124 --> 01:52:05,125
west.

3683
01:52:05,125 --> 01:52:07,127
>> please. >> so 5600 west funds

3684
01:52:07,127 --> 01:52:11,131
would come out of counting the first

3685
01:52:11,131 --> 01:52:14,131
class highway funds, and those

3686
01:52:14,134 --> 01:52:16,136
funds would come from the fifth

3687
01:52:16,136 --> 01:52:17,137
fifth, 10% over the first three years goes

3688
01:52:17,137 --> 01:52:19,137
to

3689
01:52:19,139 --> 01:52:20,140
construct and express bus facility

3690
01:52:20,140 --> 01:52:21,141
on

3691
01:52:21,141 --> 01:52:23,143
5600 west, 90% into the county of

3692
01:52:23,143 --> 01:52:24,144
the

3693
01:52:24,144 --> 01:52:26,113
first class infrastructure bank fund. So

3694
01:52:26,113 --> 01:52:29,116
we'll track that with the county

3695
01:52:29,116 --> 01:52:30,117
as those funds come in.

3696
01:52:30,117 --> 01:52:31,118
>>

3697
01:52:31,118 --> 01:52:32,119
they go --they are now directed through

3698
01:52:32,119 --> 01:52:34,119
the state. I

3699
01:52:35,122 --> 01:52:36,123
mean, the county imposed it, but

3700
01:52:36,123 --> 01:52:38,125
then they gracious --the state graciously

3701
01:52:38,125 --> 01:52:39,126
took it over after that.

3702
01:52:39,126 --> 01:52:41,126
>>

3703
01:52:41,128 --> 01:52:43,128
right. We'll

3704
01:52:44,131 --> 01:52:45,132
have to

3705
01:52:45,132 --> 01:52:46,133
apply for those funds.

3706
01:52:46,133 --> 01:52:47,134
>> okay. So

3707
01:52:47,134 --> 01:52:50,134
gone through the adjustments, now

3708
01:52:50,137 --> 01:52:52,137
just show the

3709
01:52:53,140 --> 01:52:54,141
impacts to the total numbers

3710
01:52:54,141 --> 01:52:56,143
overall. So here's the yearly breakdown in

3711
01:52:56,143 --> 01:52:57,144
the

3712
01:52:57,144 --> 01:52:59,112
overall plan. Overall there wasn't

3713
01:52:59,112 --> 01:53:02,112
a big change in terms

3714
01:53:02,115 --> 01:53:04,117
of a net change, but with the new

3715
01:53:04,117 --> 01:53:07,117
five-year plan total, we're looking

3716
01:53:08,121 --> 01:53:10,121
at about 100 --

3717
01:53:11,124 --> 01:53:13,124
or $1 billion,53,400,000 as

3718
01:53:14,127 --> 01:53:16,127
the total

3719
01:53:17,130 --> 01:53:20,130
plan amount. Next years budget

3720
01:53:20,133 --> 01:53:22,135
being $331,7 38,000, and then the

3721
01:53:22,135 --> 01:53:23,136
sources are listed out after that

3722
01:53:23,136 --> 01:53:25,136
total column

3723
01:53:26,139 --> 01:53:28,141
going left to right. But to

3724
01:53:28,141 --> 01:53:29,142
highlight the big ones, our grants

3725
01:53:29,142 --> 01:53:31,142
makes

3726
01:53:32,112 --> 01:53:34,114
up the largest portion of the

3727
01:53:34,114 --> 01:53:37,714
five-year plan amount at a little

3728
01:53:38,118 --> 01:53:40,118
over

3729
01:53:41,121 --> 01:53:45,321
$343. The uta portion is about $271.5 million. And

3730
01:53:46,126 --> 01:53:47,127
then bonding makes up about $169.7

3731
01:53:47,127 --> 01:53:49,127
million. So

3732
01:53:50,130 --> 01:53:53,133
this is just the more graphical

3733
01:53:53,133 --> 01:53:56,136
version of the table we just viewed. As

3734
01:53:56,136 --> 01:53:58,136
you

3735
01:53:59,139 --> 01:54:02,739
can see, again, the total is

3736
01:54:04,144 --> 01:54:05,112
$1,053,404,000 and shows a little

3737
01:54:05,112 --> 01:54:07,112
bit

3738
01:54:07,114 --> 01:54:08,115
of magnitude in terms of the sources

3739
01:54:08,115 --> 01:54:10,115
there. [ inaudible

3740
01:54:11,118 --> 01:54:12,119
] we did add the ttif

3741
01:54:12,119 --> 01:54:15,122
funds as its own separate source. That's

3742
01:54:15,122 --> 01:54:16,123
the first time we've done that.

3743
01:54:16,123 --> 01:54:17,124
>>

3744
01:54:17,124 --> 01:54:18,125
and you should show it this way, but

3745
01:54:18,125 --> 01:54:20,125
I

3746
01:54:20,127 --> 01:54:23,127
think --I was just thinking

3747
01:54:23,130 --> 01:54:25,132
when I looked at

3748
01:54:25,132 --> 01:54:26,133
the $271 million, and even though the

3749
01:54:26,133 --> 01:54:28,133
bond funds

3750
01:54:28,135 --> 01:54:29,136
are the source of funding, the reality

3751
01:54:29,136 --> 01:54:31,138
is we get to pay,

3752
01:54:31,138 --> 01:54:32,139
you know, from the last discussion,

3753
01:54:32,139 --> 01:54:33,140
we

3754
01:54:33,140 --> 01:54:34,141
pay for that too.

3755
01:54:34,141 --> 01:54:35,142
>> yeah. >> so if

3756
01:54:35,142 --> 01:54:37,144
--I mean, I only

3757
01:54:37,144 --> 01:54:40,113
think this is probably when people ask,

3758
01:54:40,113 --> 01:54:41,114
well, what's uta got into it? We probably

3759
01:54:41,114 --> 01:54:43,114
should

3760
01:54:44,117 --> 01:54:46,119
figure out a way

3761
01:54:46,119 --> 01:54:47,120
to say we actually, up, are doing,

3762
01:54:47,120 --> 01:54:49,120
what,

3763
01:54:49,122 --> 01:54:50,123
$300 or $400 over the course of that

3764
01:54:50,123 --> 01:54:52,523
time. But definitely this

3765
01:54:53,126 --> 01:54:55,526
is a great way

3766
01:54:56,129 --> 01:54:57,130
to track it. I'm not suggesting that somehow

3767
01:54:57,130 --> 01:54:58,131
--whatever

3768
01:54:58,131 --> 01:54:59,132
our real dollars coming out of our

3769
01:54:59,132 --> 01:55:00,133
--

3770
01:55:00,133 --> 01:55:01,134
>> especially when talking

3771
01:55:01,134 --> 01:55:02,135
to our state partners and comparing that.

3772
01:55:02,135 --> 01:55:03,136
>>

3773
01:55:03,136 --> 01:55:04,137
yeah.

3774
01:55:04,137 --> 01:55:05,138
>> like we do

3775
01:55:05,138 --> 01:55:06,139
still have skin in the game where

3776
01:55:06,139 --> 01:55:07,140
obviously --

3777
01:55:07,140 --> 01:55:08,141
>> yeah, significant

3778
01:55:08,141 --> 01:55:09,142
skin.

3779
01:55:09,142 --> 01:55:11,142
>> --going to

3780
01:55:11,144 --> 01:55:13,113
pay it

3781
01:55:13,113 --> 01:55:14,114
out over 19 years. Yeah.

3782
01:55:14,114 --> 01:55:15,115
>> thank

3783
01:55:15,115 --> 01:55:17,115
you. So seen

3784
01:55:17,117 --> 01:55:18,118
this slide before. Not much has

3785
01:55:18,118 --> 01:55:20,120
changed overall since we visited in

3786
01:55:20,120 --> 01:55:22,520
august about this. But

3787
01:55:23,123 --> 01:55:26,126
here's the funding amounts by project

3788
01:55:26,126 --> 01:55:29,126
categories. Just to highlight again

3789
01:55:29,129 --> 01:55:31,131
that our vehicles makes

3790
01:55:31,131 --> 01:55:32,132
up the significant majority of our five-year

3791
01:55:32,132 --> 01:55:34,132
plan,

3792
01:55:35,135 --> 01:55:38,135
just coming in at under $515

3793
01:55:38,138 --> 01:55:39,139
million over the five years.

3794
01:55:39,139 --> 01:55:41,139
>>

3795
01:55:41,141 --> 01:55:43,141
and, dan, this

3796
01:55:44,144 --> 01:55:46,113
one --

3797
01:55:46,113 --> 01:55:47,114
this doesn't include whatever vehicles

3798
01:55:47,114 --> 01:55:48,115
udot

3799
01:55:48,115 --> 01:55:50,117
procures as part of the frontrunner

3800
01:55:50,117 --> 01:55:51,118
2x?

3801
01:55:51,118 --> 01:55:52,119
>> I don't believe

3802
01:55:52,119 --> 01:55:53,120
so.

3803
01:55:53,120 --> 01:55:54,121
>> that's correct. >> okay. These

3804
01:55:54,121 --> 01:55:55,122
are just --

3805
01:55:55,122 --> 01:55:56,123
at some point we'll have nine new

3806
01:55:56,123 --> 01:55:58,123
car sets that

3807
01:55:59,126 --> 01:56:01,126
we get

3808
01:56:02,129 --> 01:56:04,129
to maintain,

3809
01:56:05,132 --> 01:56:06,133
right? Yeah. Okay.

3810
01:56:06,133 --> 01:56:07,134
>> I appreciate

3811
01:56:07,134 --> 01:56:08,135
the add-on.

3812
01:56:08,135 --> 01:56:09,136
>> so

3813
01:56:09,136 --> 01:56:10,137
seen this slide before

3814
01:56:10,137 --> 01:56:11,138
as well, but our repair efforts are a

3815
01:56:11,138 --> 01:56:12,139
major focus, they've been a major

3816
01:56:12,139 --> 01:56:14,141
focus in the past and continue to

3817
01:56:14,141 --> 01:56:16,141
be, and they

3818
01:56:17,144 --> 01:56:19,112
make up about 73%

3819
01:56:19,112 --> 01:56:20,113
of the five-year plan totals.

3820
01:56:20,113 --> 01:56:21,114
>> can

3821
01:56:21,114 --> 01:56:23,114
I just

3822
01:56:23,116 --> 01:56:24,117
ask you on that, I completely

3823
01:56:24,117 --> 01:56:26,119
agree with state of repair. I think

3824
01:56:26,119 --> 01:56:27,120
you repair your infrastructure in

3825
01:56:27,120 --> 01:56:29,122
a timely way just

3826
01:56:29,122 --> 01:56:31,124
to maintain it and keep it in

3827
01:56:31,124 --> 01:56:32,125
good working order. But when we have

3828
01:56:32,125 --> 01:56:34,125
some of

3829
01:56:34,127 --> 01:56:35,128
these larger projects that we're trying

3830
01:56:35,128 --> 01:56:37,128
to get accomplished,

3831
01:56:37,130 --> 01:56:40,133
like six south, 2100, et cetera, does that

3832
01:56:40,133 --> 01:56:41,134
then over time change that percentage

3833
01:56:41,134 --> 01:56:43,136
at all of state

3834
01:56:43,136 --> 01:56:44,137
of good repair or do other things crop up

3835
01:56:44,137 --> 01:56:46,137
that have

3836
01:56:47,140 --> 01:56:50,143
that same cost structure, if not the

3837
01:56:50,143 --> 01:56:51,144
same exact project? Does that make

3838
01:56:51,144 --> 01:56:52,112
sense?

3839
01:56:52,112 --> 01:56:53,113
>> yeah. I'll take a shot,

3840
01:56:53,113 --> 01:56:56,113
and let me know if

3841
01:56:56,116 --> 01:56:57,117
I didn't answer it correctly.

3842
01:56:57,117 --> 01:56:59,117
>> thanks. >> but

3843
01:56:59,119 --> 01:57:01,119
we kind of

3844
01:57:01,121 --> 01:57:02,122
fluctuated I think between roughly

3845
01:57:02,122 --> 01:57:05,125
65% and 75% of the budget or plan amounts

3846
01:57:05,125 --> 01:57:07,127
over the last three or four

3847
01:57:07,127 --> 01:57:08,128
years. So it'll definitely always

3848
01:57:08,128 --> 01:57:11,131
be there to some degree. It's

3849
01:57:11,131 --> 01:57:14,134
a little higher right now because

3850
01:57:14,134 --> 01:57:15,135
we have a major light rail vehicle

3851
01:57:15,135 --> 01:57:16,136
replacement project that's

3852
01:57:16,136 --> 01:57:18,138
going in or a major facilities replacement

3853
01:57:18,138 --> 01:57:20,140
project that's going in right now. So

3854
01:57:20,140 --> 01:57:22,142
those might skew it a

3855
01:57:22,142 --> 01:57:23,143
little more to show that greater percentage

3856
01:57:23,143 --> 01:57:25,143
than what

3857
01:57:26,113 --> 01:57:27,114
we might see where we're just kind

3858
01:57:27,114 --> 01:57:28,115
of

3859
01:57:28,115 --> 01:57:29,116
in a maintain and standard maintenance

3860
01:57:29,116 --> 01:57:31,116
where it'll

3861
01:57:32,119 --> 01:57:33,120
be about the 65% that we've seen,

3862
01:57:33,120 --> 01:57:35,120
so

3863
01:57:35,122 --> 01:57:36,123
--

3864
01:57:36,123 --> 01:57:37,124
>> dan alluded to it, and correct

3865
01:57:37,124 --> 01:57:38,125
me if I'm

3866
01:57:38,125 --> 01:57:39,126
wrong here, dan, but this is not just infrastructure

3867
01:57:39,126 --> 01:57:41,126
gr. So you'll

3868
01:57:42,129 --> 01:57:45,132
see a lot of these numbers

3869
01:57:45,132 --> 01:57:46,133
are related to

3870
01:57:46,133 --> 01:57:47,134
vehicles as well.

3871
01:57:47,134 --> 01:57:48,135
>> okay. Yeah. And

3872
01:57:48,135 --> 01:57:50,135
that's helpful because,

3873
01:57:50,137 --> 01:57:52,139
I mean, it completely makes sense to

3874
01:57:52,139 --> 01:57:53,140
do that investment strategy, in state

3875
01:57:53,140 --> 01:57:56,143
of good repair, but I would imagine

3876
01:57:56,143 --> 01:57:58,145
when you address those big ticket

3877
01:57:58,145 --> 01:58:00,113
items that it would then fluctuate. But

3878
01:58:00,113 --> 01:58:02,113
I

3879
01:58:02,115 --> 01:58:03,116
didn't think 65%, I thought we'd are

3880
01:58:03,116 --> 01:58:04,117
more on

3881
01:58:04,117 --> 01:58:06,119
the 50-50. But thank you for that. I

3882
01:58:06,119 --> 01:58:07,120
appreciate it.

3883
01:58:07,120 --> 01:58:08,121
>>

3884
01:58:08,121 --> 01:58:09,122
this is, though, the five-year total

3885
01:58:09,122 --> 01:58:10,123
because we have projects that will

3886
01:58:10,123 --> 01:58:12,125
come online that are not sgr that

3887
01:58:12,125 --> 01:58:14,127
will balance that out. So

3888
01:58:14,127 --> 01:58:15,128
if you look at just the '26 number,

3889
01:58:15,128 --> 01:58:16,129
I

3890
01:58:16,129 --> 01:58:17,130
think we're closer to the 50-50 number.

3891
01:58:17,130 --> 01:58:18,131
>>

3892
01:58:18,131 --> 01:58:20,131
we'll see

3893
01:58:21,134 --> 01:58:23,134
that here in

3894
01:58:23,136 --> 01:58:24,137
a little bit. Couple more slides. And

3895
01:58:24,137 --> 01:58:25,138
so

3896
01:58:25,138 --> 01:58:27,140
here's the sgr project categories. You

3897
01:58:27,140 --> 01:58:29,140
can

3898
01:58:33,113 --> 01:58:35,113
see that in

3899
01:58:36,116 --> 01:58:37,117
the plan. So $770

3900
01:58:37,117 --> 01:58:38,118
million total, our revenue vehicles,

3901
01:58:38,118 --> 01:58:39,119
our vehicles make up a significant

3902
01:58:39,119 --> 01:58:40,120
portion of that, and

3903
01:58:40,120 --> 01:58:42,122
you can see the other categories that

3904
01:58:42,122 --> 01:58:44,124
things are spread out throughout as

3905
01:58:44,124 --> 01:58:45,125
well. And we are excited to see the facilities

3906
01:58:45,125 --> 01:58:47,125
number has

3907
01:58:48,128 --> 01:58:50,528
been ticking up, getting

3908
01:58:51,131 --> 01:58:54,131
closer now to that $90 million

3909
01:58:54,134 --> 01:58:57,137
mark. So here's some of the main

3910
01:58:57,137 --> 01:58:58,138
-- sorry.

3911
01:58:58,138 --> 01:58:59,139
>> and as you know,

3912
01:58:59,139 --> 01:59:01,141
we did a facilities-wide assessment. We're

3913
01:59:01,141 --> 01:59:03,143
working on an emplementation plan,

3914
01:59:03,143 --> 01:59:05,112
so ultimately that number will be

3915
01:59:05,112 --> 01:59:08,712
--where we're going with that will

3916
01:59:09,116 --> 01:59:10,117
inform as we look

3917
01:59:10,117 --> 01:59:11,118
at '27 to '31.

3918
01:59:11,118 --> 01:59:12,119
>> all right. So here

3919
01:59:12,119 --> 01:59:14,119
are the top

3920
01:59:15,122 --> 01:59:17,124
10 projects that we have

3921
01:59:17,124 --> 01:59:21,128
in terms of overall plan amounts. So

3922
01:59:21,128 --> 01:59:23,528
they make up over

3923
01:59:24,131 --> 01:59:27,134
half of the plan at 55%. We've

3924
01:59:27,134 --> 01:59:29,534
talked about these, but

3925
01:59:30,137 --> 01:59:32,137
if there's any

3926
01:59:33,140 --> 01:59:36,140
questions, please feel free to

3927
01:59:36,143 --> 01:59:37,144
ask. Okay. And so just a

3928
01:59:37,144 --> 01:59:39,112
quick focus on 2026. We'll talk about this

3929
01:59:39,112 --> 01:59:41,512
a lot more in

3930
01:59:42,115 --> 01:59:45,118
detail here in the next presentation. But

3931
01:59:45,118 --> 01:59:47,118
here's the funding

3932
01:59:48,121 --> 01:59:49,122
sources for the 2026 plan

3933
01:59:49,122 --> 01:59:51,124
amount. Again, $331.7 million with

3934
01:59:51,124 --> 01:59:53,124
the grants

3935
01:59:57,130 --> 02:00:00,133
making up the bulk of that.

3936
02:00:00,133 --> 02:00:03,136
here's the project categories. Again, no

3937
02:00:03,136 --> 02:00:05,536
surprise the vehicles making

3938
02:00:06,139 --> 02:00:07,140
up the

3939
02:00:07,140 --> 02:00:09,142
largest portion of that. And then

3940
02:00:09,142 --> 02:00:11,542
the sgr focus as

3941
02:00:12,112 --> 02:00:13,113
it relates to 2026 is

3942
02:00:13,113 --> 02:00:15,115
just under $200 million. So to your

3943
02:00:15,115 --> 02:00:17,117
point, we'll get to the

3944
02:00:17,117 --> 02:00:18,118
percentage in just a second on the

3945
02:00:18,118 --> 02:00:21,118
next slide. Oh, sorry. I

3946
02:00:21,121 --> 02:00:23,121
guess we took

3947
02:00:23,123 --> 02:00:24,124
that out. But it's less than the 73

3948
02:00:24,124 --> 02:00:26,124
that we've

3949
02:00:27,127 --> 02:00:29,129
had in the past or we

3950
02:00:29,129 --> 02:00:30,130
just talked about. As far as next

3951
02:00:30,130 --> 02:00:32,130
steps go, turn

3952
02:00:33,133 --> 02:00:35,133
it back to

3953
02:00:36,136 --> 02:00:38,136
jared

3954
02:00:39,139 --> 02:00:40,140
for that.

3955
02:00:40,140 --> 02:00:42,142
>> yeah. Thanks, dan. Just

3956
02:00:42,142 --> 02:00:44,142
moving to adoption,

3957
02:00:45,112 --> 02:00:47,512
we have the approval

3958
02:00:48,115 --> 02:00:50,117
of the 2026 capital budget,

3959
02:00:50,117 --> 02:00:51,118
october 8th, local advisory consultation

3960
02:00:51,118 --> 02:00:53,118
on november 5th,

3961
02:00:54,121 --> 02:00:56,521
excuse me, and then,

3962
02:00:57,124 --> 02:00:58,125
of course, the board adoption on 12/3. Dan

3963
02:00:58,125 --> 02:01:00,125
alluded

3964
02:01:00,127 --> 02:01:01,128
to it earlier, there are a few, you

3965
02:01:01,128 --> 02:01:02,129
know,

3966
02:01:02,129 --> 02:01:03,130
tweaks and refinements, obviously

3967
02:01:03,130 --> 02:01:06,133
a couple things we'll check in to

3968
02:01:06,133 --> 02:01:09,136
from this meeting as well as

3969
02:01:09,136 --> 02:01:11,136
we move towards

3970
02:01:12,139 --> 02:01:15,142
the next steps plan. Any other questions

3971
02:01:15,142 --> 02:01:17,142
on the five-year

3972
02:01:18,145 --> 02:01:19,112
plan?

3973
02:01:19,112 --> 02:01:20,113
>> no. The one question

3974
02:01:20,113 --> 02:01:21,114
I have is we're looking potentially

3975
02:01:21,114 --> 02:01:23,116
to have a tentative

3976
02:01:23,116 --> 02:01:24,117
budget adoption in our first meeting

3977
02:01:24,117 --> 02:01:27,117
in october. Will we have

3978
02:01:27,120 --> 02:01:29,120
sort of a

3979
02:01:29,122 --> 02:01:30,123
draft of that tentative budget before submission,

3980
02:01:30,123 --> 02:01:32,123
I mean, to

3981
02:01:33,126 --> 02:01:35,128
look at, or are we subject to, you

3982
02:01:35,128 --> 02:01:36,129
know, the three days or whatever?

3983
02:01:36,129 --> 02:01:37,130
>>

3984
02:01:37,130 --> 02:01:39,132
I'm getting a resounding

3985
02:01:39,132 --> 02:01:40,133
yes from our chief financial officer in

3986
02:01:40,133 --> 02:01:42,133
the

3987
02:01:42,135 --> 02:01:43,136
back.

3988
02:01:43,136 --> 02:01:45,136
>> okay. Because

3989
02:01:45,138 --> 02:01:46,139
that would give me some comfort of

3990
02:01:46,139 --> 02:01:48,139
whether or

3991
02:01:48,141 --> 02:01:49,142
not personally I'd be ready to approve

3992
02:01:49,142 --> 02:01:50,143
a

3993
02:01:50,143 --> 02:01:51,144
tentative budget. Slides are great,

3994
02:01:51,144 --> 02:01:52,112
but, like --

3995
02:01:52,112 --> 02:01:53,113
>> of course. >> --

3996
02:01:53,113 --> 02:01:54,114
the details would be helpful, and

3997
02:01:54,114 --> 02:01:56,114
that would

3998
02:01:56,116 --> 02:01:57,117
be almost really too late to feel comfortable.

3999
02:01:57,117 --> 02:01:58,118
>> yeah. And

4000
02:01:58,118 --> 02:02:00,118
rather

4001
02:02:00,120 --> 02:02:01,121
than waiting on -- and I know nicole

4002
02:02:01,121 --> 02:02:03,121
went

4003
02:02:03,123 --> 02:02:05,125
over this during the budget work sessions on

4004
02:02:05,125 --> 02:02:08,725
the planning studies, but rather than

4005
02:02:09,129 --> 02:02:10,130
giving you another document, she's

4006
02:02:10,130 --> 02:02:11,131
on her

4007
02:02:11,131 --> 02:02:12,132
way, the budget discussion that vi

4008
02:02:12,132 --> 02:02:15,135
is about to kick off for

4009
02:02:15,135 --> 02:02:16,136
us, if you have any questions, she'll

4010
02:02:16,136 --> 02:02:17,137
be here

4011
02:02:17,137 --> 02:02:18,138
for that.

4012
02:02:18,138 --> 02:02:19,139
>> sure. Okay. >> I wanted to

4013
02:02:19,139 --> 02:02:21,139
just

4014
02:02:21,141 --> 02:02:23,143
compliment you on your --on

4015
02:02:23,143 --> 02:02:24,144
the full report that is in there. It

4016
02:02:24,144 --> 02:02:25,145
is really

4017
02:02:25,145 --> 02:02:26,113
good and really, really helpful.

4018
02:02:26,113 --> 02:02:27,114
>>

4019
02:02:27,114 --> 02:02:28,115
thank you.

4020
02:02:28,115 --> 02:02:29,116
>> so I just want to thank

4021
02:02:29,116 --> 02:02:30,117
you so much for

4022
02:02:30,117 --> 02:02:33,120
the work you did in getting all of

4023
02:02:33,120 --> 02:02:34,121
these projects aligned with the dollar

4024
02:02:34,121 --> 02:02:36,123
figures and everything else. It's

4025
02:02:36,123 --> 02:02:37,124
just excellent. So thanks.

4026
02:02:37,124 --> 02:02:38,125
>> thank

4027
02:02:38,125 --> 02:02:39,126
you for

4028
02:02:39,126 --> 02:02:40,127
saying that, trustee. I want to thank

4029
02:02:40,127 --> 02:02:42,129
dan because he put a lot of

4030
02:02:42,129 --> 02:02:43,130
time into the key that was attached

4031
02:02:43,130 --> 02:02:45,130
as

4032
02:02:45,132 --> 02:02:47,134
well there. So if there's any

4033
02:02:47,134 --> 02:02:48,135
questions about any of the codes,

4034
02:02:48,135 --> 02:02:50,137
he put a pretty

4035
02:02:50,137 --> 02:02:51,138
comprehensive key in there for you.

4036
02:02:51,138 --> 02:02:52,139
>>

4037
02:02:52,139 --> 02:02:53,140
yeah. Just

4038
02:02:53,140 --> 02:02:54,141
want to give a public shoutout to

4039
02:02:54,141 --> 02:02:56,141
mr. Hofer as

4040
02:02:57,144 --> 02:03:00,113
well. He put as lot of time

4041
02:03:00,113 --> 02:03:01,114
into this, weekends, nights, and I certainly

4042
02:03:01,114 --> 02:03:03,116
appreciate him being by my

4043
02:03:03,116 --> 02:03:04,117
side, so --

4044
02:03:04,117 --> 02:03:05,118
>> thank

4045
02:03:05,118 --> 02:03:06,119
you. And I'll pass your comments along

4046
02:03:06,119 --> 02:03:08,519
to those that helped

4047
02:03:09,122 --> 02:03:11,122
build that out

4048
02:03:12,125 --> 02:03:13,126
to you. So thank you.

4049
02:03:13,126 --> 02:03:15,126
>>

4050
02:03:15,128 --> 02:03:18,131
any other questions on this one? Okay. Thank

4051
02:03:18,131 --> 02:03:20,531
you. I think we're

4052
02:03:22,135 --> 02:03:24,135
going then

4053
02:03:25,138 --> 02:03:27,138
to

4054
02:03:28,141 --> 02:03:30,141
the tentative

4055
02:03:30,143 --> 02:03:33,743
operating and capital budget for '26.

4056
02:03:40,120 --> 02:03:42,122
>> so I'll just start

4057
02:03:42,122 --> 02:03:43,123
out by saying that the document is

4058
02:03:43,123 --> 02:03:45,125
in the system, it's ready. I

4059
02:03:45,125 --> 02:03:49,129
spoke to jan about it last night so

4060
02:03:49,129 --> 02:03:50,130
you guys can get it today.

4061
02:03:50,130 --> 02:03:52,130
>>

4062
02:03:52,132 --> 02:03:53,133
okay.

4063
02:03:53,133 --> 02:03:55,135
>> so here we go

4064
02:03:55,135 --> 02:03:58,138
again. Before I start this, I

4065
02:03:58,138 --> 02:04:00,538
want to say that

4066
02:04:01,141 --> 02:04:02,142
we

4067
02:04:02,142 --> 02:04:04,144
received from the government finance

4068
02:04:04,144 --> 02:04:06,544
officers association a letter

4069
02:04:07,114 --> 02:04:09,116
to commemorate the fact that

4070
02:04:09,116 --> 02:04:10,117
we have achieved another medallion for

4071
02:04:10,117 --> 02:04:13,120
last year's budget book. So I just

4072
02:04:13,120 --> 02:04:16,123
want to say thank you to the

4073
02:04:16,123 --> 02:04:19,126
budget team and to everyone who supported

4074
02:04:19,126 --> 02:04:21,126
and

4075
02:04:22,129 --> 02:04:24,129
had input

4076
02:04:24,131 --> 02:04:25,132
for last year's budget book.

4077
02:04:25,132 --> 02:04:27,132
>> congratulations. Nicely done. >>

4078
02:04:27,134 --> 02:04:28,135
if I could jump in for just one second. I'm

4079
02:04:28,135 --> 02:04:29,136
going

4080
02:04:29,136 --> 02:04:31,138
to try to steal as much thunder as

4081
02:04:31,138 --> 02:04:32,139
I can from vi right

4082
02:04:32,139 --> 02:04:33,140
now.

4083
02:04:33,140 --> 02:04:34,141
>> at least you're consistent, jay. >>

4084
02:04:34,141 --> 02:04:36,143
well, this meeting is

4085
02:04:36,143 --> 02:04:37,144
sort of to share the thunder. It's

4086
02:04:37,144 --> 02:04:38,145
everybody's thunder.

4087
02:04:38,145 --> 02:04:40,113
>> just

4088
02:04:40,113 --> 02:04:41,114
briefly, I

4089
02:04:41,114 --> 02:04:43,116
just want to --well, obviously thanks

4090
02:04:43,116 --> 02:04:46,119
in advance for the entire budget team

4091
02:04:46,119 --> 02:04:47,120
and the executive team of all the

4092
02:04:47,120 --> 02:04:48,121
work they've done since the budget

4093
02:04:48,121 --> 02:04:50,123
sessions to bring you the discussion

4094
02:04:50,123 --> 02:04:52,125
today on the proposed tentative budget. We

4095
02:04:52,125 --> 02:04:54,125
have

4096
02:04:55,128 --> 02:04:58,131
done a really good job. I

4097
02:04:58,131 --> 02:05:00,131
want use

4098
02:05:00,133 --> 02:05:01,134
scalpelling, I'll use refining --

4099
02:05:01,134 --> 02:05:04,137
actually, scalpelling is a body piercing term,

4100
02:05:04,137 --> 02:05:05,138
but we'll leave

4101
02:05:05,138 --> 02:05:07,140
it at that. But we've done a really nice job,

4102
02:05:07,140 --> 02:05:09,140
I think

4103
02:05:10,143 --> 02:05:12,112
you'll see when you look at both

4104
02:05:12,112 --> 02:05:13,113
the operating side and capital side,

4105
02:05:13,113 --> 02:05:15,113
we've really

4106
02:05:16,116 --> 02:05:19,119
a great job by dan, by jared,

4107
02:05:19,119 --> 02:05:20,120
the entire capital team

4108
02:05:20,120 --> 02:05:22,122
to refine that budget but maintain

4109
02:05:22,122 --> 02:05:24,124
our priorities, and as

4110
02:05:24,124 --> 02:05:25,125
well as making sure our system remains safe

4111
02:05:25,125 --> 02:05:27,125
and

4112
02:05:27,127 --> 02:05:28,128
in a state of good repair. So, you

4113
02:05:28,128 --> 02:05:30,128
know, we'll

4114
02:05:30,130 --> 02:05:31,131
be going through this today, but a

4115
02:05:31,131 --> 02:05:33,131
lot of what

4116
02:05:33,133 --> 02:05:34,134
we're going to talk about today has

4117
02:05:34,134 --> 02:05:36,134
rolled in

4118
02:05:37,137 --> 02:05:39,139
to all the feedback that we've got

4119
02:05:39,139 --> 02:05:40,140
during the budget work sessions and focused

4120
02:05:40,140 --> 02:05:42,140
on

4121
02:05:43,143 --> 02:05:45,145
how we can be

4122
02:05:45,145 --> 02:05:46,113
as responsible as we can with this budget

4123
02:05:46,113 --> 02:05:47,114
given the --

4124
02:05:47,114 --> 02:05:49,116
you know, the challenges and the constraints

4125
02:05:49,116 --> 02:05:51,116
that

4126
02:05:52,119 --> 02:05:54,119
we

4127
02:05:54,121 --> 02:05:55,122
see in the coming years ahead.

4128
02:05:55,122 --> 02:05:57,122
>>

4129
02:05:58,125 --> 02:05:59,126
okay. So just wanted

4130
02:05:59,126 --> 02:06:01,128
to give initially an overview, of

4131
02:06:01,128 --> 02:06:03,128
course reiterating how

4132
02:06:03,130 --> 02:06:04,131
we do our budget process here, starting

4133
02:06:04,131 --> 02:06:06,131
with

4134
02:06:06,133 --> 02:06:07,134
the development of the strategic initiatives

4135
02:06:07,134 --> 02:06:08,135
that align

4136
02:06:08,135 --> 02:06:09,136
with our strategic priorities and

4137
02:06:09,136 --> 02:06:12,736
plan. That is, of course, informed

4138
02:06:13,140 --> 02:06:14,141
by discussions with the board and with

4139
02:06:14,141 --> 02:06:15,142
the

4140
02:06:15,142 --> 02:06:16,143
executive team. We're going to go

4141
02:06:16,143 --> 02:06:18,143
through

4142
02:06:19,112 --> 02:06:20,113
that in a minute. Just a

4143
02:06:20,113 --> 02:06:22,115
streamline of our overall budget schedule, we've

4144
02:06:22,115 --> 02:06:24,117
--this is the second

4145
02:06:24,117 --> 02:06:27,120
year that we are doing this streamline

4146
02:06:27,120 --> 02:06:28,121
process where it allows purchasing

4147
02:06:28,121 --> 02:06:30,123
and talent acquisition to start sooner

4148
02:06:30,123 --> 02:06:33,126
in the year, so the sooner we get

4149
02:06:33,126 --> 02:06:34,127
through the tentative budget process,

4150
02:06:34,127 --> 02:06:36,127
the sooner

4151
02:06:36,129 --> 02:06:37,130
we can start working to prepare for

4152
02:06:37,130 --> 02:06:39,130
next

4153
02:06:40,133 --> 02:06:41,134
year. And then having

4154
02:06:41,134 --> 02:06:43,136
that capital budget improvements,

4155
02:06:43,136 --> 02:06:44,137
we started with the base budget. This year was

4156
02:06:44,137 --> 02:06:45,138
a

4157
02:06:45,138 --> 02:06:48,141
little choppy. It was the first time we came into

4158
02:06:48,141 --> 02:06:51,144
the budget season --into the budget

4159
02:06:51,144 --> 02:06:52,145
year without a carry forward from

4160
02:06:52,145 --> 02:06:54,114
the previous

4161
02:06:54,114 --> 02:06:56,116
year. As you can see throughout the year,

4162
02:06:56,116 --> 02:06:58,118
we've had to make some refinements. But

4163
02:06:58,118 --> 02:07:00,120
now going into the

4164
02:07:00,120 --> 02:07:01,121
budget season for 2026, we knew that going

4165
02:07:01,121 --> 02:07:03,121
in, that we're

4166
02:07:04,124 --> 02:07:05,125
not planning to have

4167
02:07:05,125 --> 02:07:07,127
a carry forward next year, whereas

4168
02:07:07,127 --> 02:07:09,527
last year the decision

4169
02:07:11,131 --> 02:07:13,133
was made later in the process. So

4170
02:07:13,133 --> 02:07:15,533
syncing up the capital

4171
02:07:16,136 --> 02:07:18,536
budget with the operating

4172
02:07:19,139 --> 02:07:20,140
budget schedules has really helped

4173
02:07:20,140 --> 02:07:21,141
as well.

4174
02:07:21,141 --> 02:07:22,142
>> sure. I'll take it from

4175
02:07:22,142 --> 02:07:25,142
here. As part of our

4176
02:07:25,145 --> 02:07:27,114
work on the budget, we're

4177
02:07:27,114 --> 02:07:28,115
creating a strategy document. This

4178
02:07:28,115 --> 02:07:31,115
is part of our one

4179
02:07:31,118 --> 02:07:33,120
page throughout the agency, but

4180
02:07:33,120 --> 02:07:36,720
the executive team has their one-pager,

4181
02:07:37,124 --> 02:07:38,125
all their targets and initiatives

4182
02:07:38,125 --> 02:07:40,125
are

4183
02:07:40,127 --> 02:07:43,127
tied to our strategic priorities

4184
02:07:43,130 --> 02:07:44,131
and success outcomes for our strategic plan. It's

4185
02:07:44,131 --> 02:07:45,132
an I-chart

4186
02:07:45,132 --> 02:07:46,133
on the screen in front of you, but I

4187
02:07:46,133 --> 02:07:48,135
guess you guys have

4188
02:07:48,135 --> 02:07:49,136
seen this document. But I'll just

4189
02:07:49,136 --> 02:07:51,138
take you through the targets. And

4190
02:07:51,138 --> 02:07:52,139
if you want to go through -- have

4191
02:07:52,139 --> 02:07:54,139
--I

4192
02:07:54,141 --> 02:07:55,142
have kim here to review any of the

4193
02:07:55,142 --> 02:07:57,142
initiatives

4194
02:07:58,145 --> 02:08:00,545
if you're so interested

4195
02:08:01,114 --> 02:08:02,115
in the particular

4196
02:08:02,115 --> 02:08:04,117
initiatives that we're doing. On the

4197
02:08:04,117 --> 02:08:06,119
quality-of-life side, we want to

4198
02:08:06,119 --> 02:08:07,120
continue to increase ridership. We've

4199
02:08:07,120 --> 02:08:09,120
set a

4200
02:08:09,122 --> 02:08:10,123
very conservative goal this year given

4201
02:08:10,123 --> 02:08:13,123
that our -- the refinement

4202
02:08:13,126 --> 02:08:16,129
of our service plan and just moving

4203
02:08:16,129 --> 02:08:19,132
at the forward right now to

4204
02:08:19,132 --> 02:08:20,133
2% next year. I think it's a very conservative goal

4205
02:08:20,133 --> 02:08:22,133
because

4206
02:08:22,135 --> 02:08:23,136
if you look at the success of ogx,

4207
02:08:23,136 --> 02:08:25,136
I

4208
02:08:25,138 --> 02:08:28,138
think we're going to see

4209
02:08:28,141 --> 02:08:29,142
a very good -- we'll see

4210
02:08:29,142 --> 02:08:31,144
really good ridership right away. We

4211
02:08:31,144 --> 02:08:33,113
want to

4212
02:08:33,113 --> 02:08:34,114
maintain access to all-day service. We've

4213
02:08:34,114 --> 02:08:36,114
achieved 54% in

4214
02:08:36,116 --> 02:08:37,117
2025. We're looking to maintain that. There's

4215
02:08:37,117 --> 02:08:39,117
nothing that

4216
02:08:40,120 --> 02:08:41,121
we're offering in terms of additional service

4217
02:08:41,121 --> 02:08:43,121
because

4218
02:08:43,123 --> 02:08:45,123
of

4219
02:08:45,125 --> 02:08:46,126
the xs actually within the defined service area

4220
02:08:46,126 --> 02:08:48,128
already or existing service to

4221
02:08:48,128 --> 02:08:49,129
raise that, but at the same time,

4222
02:08:49,129 --> 02:08:52,129
we want to maintain that

4223
02:08:52,132 --> 02:08:53,133
as a goal. And reduce our carbon footprint by

4224
02:08:53,133 --> 02:08:54,134
5%,

4225
02:08:54,134 --> 02:08:55,135
and there's a number of initiatives

4226
02:08:55,135 --> 02:08:57,135
around that. And

4227
02:08:58,138 --> 02:08:59,139
I think you've heard and will hear more

4228
02:08:59,139 --> 02:09:01,141
about the sustainability efforts and

4229
02:09:01,141 --> 02:09:03,143
the work that we're

4230
02:09:03,143 --> 02:09:04,144
doing in that area. For customer experience,

4231
02:09:04,144 --> 02:09:06,113
we're looking to

4232
02:09:06,113 --> 02:09:07,114
increase our net promoter square by

4233
02:09:07,114 --> 02:09:09,114
10%. This

4234
02:09:10,117 --> 02:09:14,121
has been a very simple question, would

4235
02:09:14,121 --> 02:09:16,123
you recommend the uta service

4236
02:09:16,123 --> 02:09:17,124
to family and friends? I will thank

4237
02:09:17,124 --> 02:09:20,124
our comps team to --

4238
02:09:20,127 --> 02:09:22,127
you know, for

4239
02:09:23,130 --> 02:09:24,131
all

4240
02:09:24,131 --> 02:09:26,133
their work around this, making -- making

4241
02:09:26,133 --> 02:09:28,133
our service --you

4242
02:09:29,136 --> 02:09:31,138
know, communicating our service

4243
02:09:31,138 --> 02:09:32,139
in a way that promotes positive feelings

4244
02:09:32,139 --> 02:09:34,141
about our service and, of

4245
02:09:34,141 --> 02:09:37,144
course, part of that is the service

4246
02:09:37,144 --> 02:09:38,145
itself. But some of it is actually communication

4247
02:09:38,145 --> 02:09:40,113
because

4248
02:09:40,113 --> 02:09:42,115
for those who ride our service, we

4249
02:09:42,115 --> 02:09:43,116
find that they're very supportive of us. For

4250
02:09:43,116 --> 02:09:44,117
those who may not ride our service,

4251
02:09:44,117 --> 02:09:45,118
we

4252
02:09:45,118 --> 02:09:47,120
want to reach out to them and show

4253
02:09:47,120 --> 02:09:49,120
them

4254
02:09:49,122 --> 02:09:51,124
the value of what we're doing. Perceived

4255
02:09:51,124 --> 02:09:52,125
safety which captures the customer

4256
02:09:52,125 --> 02:09:53,126
sentiment, how safe they feel while

4257
02:09:53,126 --> 02:09:55,128
waiting for a service

4258
02:09:55,128 --> 02:09:56,129
on stops and platforms, as well as riding

4259
02:09:56,129 --> 02:09:58,129
our vehicles. As

4260
02:09:59,132 --> 02:10:01,134
you know, we recently met with administrator

4261
02:10:01,134 --> 02:10:02,135
molinaro to talk about a lot of our

4262
02:10:02,135 --> 02:10:04,137
efforts around this. And

4263
02:10:04,137 --> 02:10:05,138
so we want to increase that safety

4264
02:10:05,138 --> 02:10:07,138
score by 5%. We

4265
02:10:07,140 --> 02:10:08,141
want to improve access to all-day

4266
02:10:08,141 --> 02:10:10,141
frequent service

4267
02:10:10,143 --> 02:10:11,144
by 1%. That may seem like a small amount,

4268
02:10:11,144 --> 02:10:13,113
but, actually,

4269
02:10:13,113 --> 02:10:14,114
when you think about that system wide, it's

4270
02:10:14,114 --> 02:10:16,114
actually

4271
02:10:16,116 --> 02:10:17,117
a nice increase, and that will be

4272
02:10:17,117 --> 02:10:19,117
very

4273
02:10:19,119 --> 02:10:20,120
much tied to the mpx service. And

4274
02:10:20,120 --> 02:10:21,121
finally,

4275
02:10:21,121 --> 02:10:23,123
increasing our customer informational

4276
02:10:23,123 --> 02:10:25,123
score by 2%. This

4277
02:10:26,126 --> 02:10:28,128
is a target that we had

4278
02:10:28,128 --> 02:10:31,131
in 2025. And this is just our customers' understanding

4279
02:10:31,131 --> 02:10:32,132
of what's happening in our system,

4280
02:10:32,132 --> 02:10:34,132
having good information

4281
02:10:35,135 --> 02:10:36,136
to access

4282
02:10:36,136 --> 02:10:38,138
our system and plan around our system,

4283
02:10:38,138 --> 02:10:40,140
and this --as well as part

4284
02:10:40,140 --> 02:10:41,141
of the cx work we're doing.

4285
02:10:41,141 --> 02:10:42,142
>> and

4286
02:10:42,142 --> 02:10:44,142
how

4287
02:10:44,144 --> 02:10:45,145
do you measure

4288
02:10:45,145 --> 02:10:46,113
that, I guess?

4289
02:10:46,113 --> 02:10:47,114
>> so that is part -- it's

4290
02:10:47,114 --> 02:10:49,114
--I don't

4291
02:10:50,117 --> 02:10:51,118
know if you have

4292
02:10:51,118 --> 02:10:52,119
that information.

4293
02:10:52,119 --> 02:10:53,120
>> yeah. >> okay,

4294
02:10:53,120 --> 02:10:54,121
great.

4295
02:10:54,121 --> 02:10:56,123
>> I didn't know if

4296
02:10:56,123 --> 02:10:58,123
it's through a

4297
02:11:01,128 --> 02:11:02,129
survey or --

4298
02:11:02,129 --> 02:11:04,129
>> yeah. >> self-assessment

4299
02:11:05,132 --> 02:11:08,135
or -- I think you got to push that

4300
02:11:08,135 --> 02:11:10,137
button once. As long as it's

4301
02:11:10,137 --> 02:11:11,138
green.

4302
02:11:11,138 --> 02:11:12,139
>> good morning, trustees and jay. Nicole, chief

4303
02:11:12,139 --> 02:11:13,140
planning

4304
02:11:13,140 --> 02:11:14,141
and engagement officer for the record. The

4305
02:11:14,141 --> 02:11:16,141
question

4306
02:11:17,144 --> 02:11:18,145
was how do you measure that customer information

4307
02:11:18,145 --> 02:11:20,113
score. So if you remember back, we

4308
02:11:20,113 --> 02:11:22,513
came to you all

4309
02:11:23,116 --> 02:11:26,119
on the cx plan, the customer

4310
02:11:26,119 --> 02:11:29,119
experience plan maybe a year

4311
02:11:29,122 --> 02:11:31,122
ago, and we

4312
02:11:32,125 --> 02:11:34,127
set some targets based on our abbg

4313
02:11:34,127 --> 02:11:35,128
and our goal customer surveys that go

4314
02:11:35,128 --> 02:11:37,128
out

4315
02:11:38,131 --> 02:11:40,133
yearly. And please don't ask

4316
02:11:40,133 --> 02:11:41,134
me what those letters stand for. Alisha

4317
02:11:41,134 --> 02:11:43,134
can. But what

4318
02:11:43,136 --> 02:11:44,137
we do is take those questions about

4319
02:11:44,137 --> 02:11:46,137
views, information, and

4320
02:11:47,140 --> 02:11:50,143
that's all rolled up to a focus area

4321
02:11:50,143 --> 02:11:51,144
which is ease of use. We take that

4322
02:11:51,144 --> 02:11:52,145
as

4323
02:11:52,145 --> 02:11:53,113
an aggregate and then each year say

4324
02:11:53,113 --> 02:11:56,116
how are we moving the needle

4325
02:11:56,116 --> 02:11:58,118
on that. So we have a

4326
02:11:58,118 --> 02:11:59,119
baseline from 2024. We'll evaluate

4327
02:11:59,119 --> 02:12:01,119
where we

4328
02:12:02,122 --> 02:12:05,125
are in 2025, and then our 2% increases for

4329
02:12:05,125 --> 02:12:06,126
2026.

4330
02:12:06,126 --> 02:12:07,127
>> so that comes out

4331
02:12:07,127 --> 02:12:08,128
of that survey. Is that something

4332
02:12:08,128 --> 02:12:11,128
prior to the plan that

4333
02:12:11,131 --> 02:12:13,133
you did a year ago? Do we

4334
02:12:13,133 --> 02:12:14,134
have any historical data?

4335
02:12:14,134 --> 02:12:15,135
>> yes. So

4336
02:12:15,135 --> 02:12:17,135
that's

4337
02:12:17,137 --> 02:12:18,138
what the 2024 was a situational assessment.

4338
02:12:18,138 --> 02:12:19,139
>>

4339
02:12:19,139 --> 02:12:20,140
okay.

4340
02:12:20,140 --> 02:12:21,141
>>

4341
02:12:21,141 --> 02:12:22,142
that's in the actual plan baseline. And

4342
02:12:22,142 --> 02:12:23,143
then

4343
02:12:23,143 --> 02:12:26,113
has a goal for the year for

4344
02:12:26,113 --> 02:12:27,114
2025, and we're in

4345
02:12:27,114 --> 02:12:29,116
the process of evaluating that with our

4346
02:12:29,116 --> 02:12:31,116
data

4347
02:12:32,119 --> 02:12:34,119
analysis team,

4348
02:12:34,121 --> 02:12:35,122
and then we will move to 2026, as

4349
02:12:35,122 --> 02:12:37,122
a goal, 2%,

4350
02:12:38,125 --> 02:12:41,128
as we get that information in the

4351
02:12:41,128 --> 02:12:42,129
spring of '26.

4352
02:12:42,129 --> 02:12:44,129
>> okay. Thank

4353
02:12:44,131 --> 02:12:45,132
you.

4354
02:12:45,132 --> 02:12:47,132
>>

4355
02:12:47,134 --> 02:12:48,135
thank you.

4356
02:12:48,135 --> 02:12:49,136
>> great. Thank

4357
02:12:49,136 --> 02:12:50,137
you, nicole. One organizational excellence, we

4358
02:12:50,137 --> 02:12:52,137
want to

4359
02:12:53,140 --> 02:12:56,140
continue to increase our organizational

4360
02:12:56,143 --> 02:12:57,144
improvement scores, improve our organizational

4361
02:12:57,144 --> 02:12:59,146
system maturity by 50%. So what does

4362
02:12:59,146 --> 02:13:01,114
that mean? That

4363
02:13:01,114 --> 02:13:02,115
means all of our organizational excellent systems,

4364
02:13:02,115 --> 02:13:04,115
so that's our

4365
02:13:04,117 --> 02:13:05,118
one pagers, our visual boards, our idea

4366
02:13:05,118 --> 02:13:07,118
boards,

4367
02:13:07,120 --> 02:13:08,121
our daily huddles, continue to move

4368
02:13:08,121 --> 02:13:09,122
that out into our system. They've

4369
02:13:09,122 --> 02:13:10,123
done

4370
02:13:10,123 --> 02:13:11,124
a fantastic job. All you have to do

4371
02:13:11,124 --> 02:13:12,125
is walk around here at

4372
02:13:12,125 --> 02:13:14,127
headquarters, and you see that. But

4373
02:13:14,127 --> 02:13:16,129
we want to continue to

4374
02:13:16,129 --> 02:13:17,130
move that out into the operating team.

4375
02:13:17,130 --> 02:13:18,131
>>

4376
02:13:18,131 --> 02:13:19,132
and

4377
02:13:19,132 --> 02:13:20,133
so is --I assume alisha's group or

4378
02:13:20,133 --> 02:13:22,133
somebody's tracking

4379
02:13:22,135 --> 02:13:23,136
who actually has those board?

4380
02:13:23,136 --> 02:13:24,137
>> yeah. They're

4381
02:13:24,137 --> 02:13:25,138
not only tracking

4382
02:13:25,138 --> 02:13:26,139
it, but they're directly supporting it.

4383
02:13:26,139 --> 02:13:27,140
>>

4384
02:13:27,140 --> 02:13:28,141
okay.

4385
02:13:28,141 --> 02:13:29,142
>> because we want those behavers

4386
02:13:29,142 --> 02:13:30,143
--

4387
02:13:30,143 --> 02:13:31,144
we want to be able to support those

4388
02:13:31,144 --> 02:13:32,145
behaviors and not just simply, you

4389
02:13:32,145 --> 02:13:34,114
know, the board lands, and, you

4390
02:13:34,114 --> 02:13:35,115
know, what do we do with this. And

4391
02:13:35,115 --> 02:13:37,117
they've done a really nice job

4392
02:13:37,117 --> 02:13:38,118
of that and bringing teams together so

4393
02:13:38,118 --> 02:13:40,118
they

4394
02:13:40,120 --> 02:13:41,121
understand how they're --you know,

4395
02:13:41,121 --> 02:13:43,121
how they engage

4396
02:13:44,124 --> 02:13:45,125
in these

4397
02:13:45,125 --> 02:13:47,127
kinds of working together. We have

4398
02:13:47,127 --> 02:13:50,127
a safety metric this year

4399
02:13:50,130 --> 02:13:52,130
as part of

4400
02:13:53,133 --> 02:13:54,134
organizational excellence to reduce osha reportables by

4401
02:13:54,134 --> 02:13:55,135
10%. Travis

4402
02:13:55,135 --> 02:13:56,136
king, our director of safety is coordinating

4403
02:13:56,136 --> 02:13:58,136
with our workers'

4404
02:13:59,139 --> 02:14:00,140
comp team and set that target for,

4405
02:14:00,140 --> 02:14:02,140
and

4406
02:14:02,142 --> 02:14:04,144
it'll be working, you know, with

4407
02:14:04,144 --> 02:14:05,145
the operating units to --on initiatives

4408
02:14:05,145 --> 02:14:07,145
to reduce

4409
02:14:08,115 --> 02:14:09,116
that number. And then we have an employee promoters

4410
02:14:09,116 --> 02:14:11,116
score,

4411
02:14:11,118 --> 02:14:13,118
so we

4412
02:14:14,121 --> 02:14:15,122
have an inside score on, you

4413
02:14:15,122 --> 02:14:16,123
know, people engaging their satisfaction

4414
02:14:16,123 --> 02:14:19,126
among the workplace, sand so we have

4415
02:14:19,126 --> 02:14:20,127
a number of initiatives around that

4416
02:14:20,127 --> 02:14:22,127
as

4417
02:14:23,130 --> 02:14:24,131
well.

4418
02:14:24,131 --> 02:14:26,133
>> I assume that comes

4419
02:14:26,133 --> 02:14:28,133
from the employee

4420
02:14:29,136 --> 02:14:30,137
survey?

4421
02:14:30,137 --> 02:14:31,138
>> that's correct, yeah. On

4422
02:14:31,138 --> 02:14:32,139
a community support side, we've already

4423
02:14:32,139 --> 02:14:34,139
had

4424
02:14:34,141 --> 02:14:35,142
great success and want to increase

4425
02:14:35,142 --> 02:14:37,144
to continue to increase

4426
02:14:37,144 --> 02:14:38,145
our public relations score by 8%. That's

4427
02:14:38,145 --> 02:14:40,113
a measure we have

4428
02:14:40,113 --> 02:14:41,114
seen significant move on and, you know,

4429
02:14:41,114 --> 02:14:43,114
that's

4430
02:14:43,116 --> 02:14:44,117
really a function of our campaign,

4431
02:14:44,117 --> 02:14:46,517
storytelling and the work

4432
02:14:47,120 --> 02:14:49,120
we're

4433
02:14:49,122 --> 02:14:50,123
doing through our social media platforms. And

4434
02:14:50,123 --> 02:14:52,125
as well as the

4435
02:14:52,125 --> 02:14:53,126
community bench park improvement and

4436
02:14:53,126 --> 02:14:55,128
our improvement of community

4437
02:14:55,128 --> 02:14:56,129
value, those are metrics that were captured

4438
02:14:56,129 --> 02:14:58,129
in 2024 as

4439
02:14:58,131 --> 02:14:59,132
part of our community satisfaction

4440
02:14:59,132 --> 02:15:01,134
survey. And so we want

4441
02:15:01,134 --> 02:15:02,135
to increase those scores. We're excited

4442
02:15:02,135 --> 02:15:05,135
to demonstrate that progress that

4443
02:15:05,138 --> 02:15:07,140
we made over the last two years,

4444
02:15:07,140 --> 02:15:08,141
and we do that survey again. So we're

4445
02:15:08,141 --> 02:15:10,141
hopefully that's actually

4446
02:15:11,144 --> 02:15:14,114
a conservative number, and we've

4447
02:15:14,114 --> 02:15:16,114
actually gone up

4448
02:15:16,116 --> 02:15:17,117
more than that. Economic return. Achieving our

4449
02:15:17,117 --> 02:15:19,117
annual budget,

4450
02:15:19,119 --> 02:15:20,120
and that may -- that may seem that straightforward,

4451
02:15:20,120 --> 02:15:22,120
but at the

4452
02:15:23,123 --> 02:15:26,126
same time, you know, vi and her

4453
02:15:26,126 --> 02:15:28,126
team have done

4454
02:15:29,129 --> 02:15:31,129
a really nice

4455
02:15:32,132 --> 02:15:33,133
job of compressing that --you know, that

4456
02:15:33,133 --> 02:15:35,133
number

4457
02:15:35,135 --> 02:15:38,138
one that's more realistic rather than

4458
02:15:38,138 --> 02:15:40,140
padded. I think I probably

4459
02:15:40,140 --> 02:15:41,141
used the word was similar to scalpelling. But

4460
02:15:41,141 --> 02:15:43,541
--so, you know, each

4461
02:15:44,144 --> 02:15:45,145
of our chiefs wanted to set that as

4462
02:15:45,145 --> 02:15:46,113
a target to demonstrate

4463
02:15:46,113 --> 02:15:47,114
the importance of budget management as

4464
02:15:47,114 --> 02:15:48,115
we go into next year. I don't know

4465
02:15:48,115 --> 02:15:49,116
if you want

4466
02:15:49,116 --> 02:15:50,117
to add anything on that or not.

4467
02:15:50,117 --> 02:15:51,118
>>

4468
02:15:51,118 --> 02:15:53,118
I want

4469
02:15:54,121 --> 02:15:56,121
to say when

4470
02:15:57,124 --> 02:15:59,124
I first got

4471
02:16:00,127 --> 02:16:01,128
here, we had

4472
02:16:01,128 --> 02:16:03,130
a very favorable budget, right ?fer year

4473
02:16:03,130 --> 02:16:05,130
prior

4474
02:16:06,133 --> 02:16:09,136
to my arrival, we were having favorability

4475
02:16:09,136 --> 02:16:11,536
of, you know, 20 plus

4476
02:16:12,139 --> 02:16:14,141
percent. And now we are under

4477
02:16:14,141 --> 02:16:15,142
10%. For the fact that we're even

4478
02:16:15,142 --> 02:16:17,142
-- you know,

4479
02:16:18,145 --> 02:16:21,114
this last month when you

4480
02:16:21,114 --> 02:16:23,116
see the new report, we're getting

4481
02:16:23,116 --> 02:16:24,117
close to vi anxiety levels. That's just

4482
02:16:24,117 --> 02:16:26,119
an inside joke in that

4483
02:16:26,119 --> 02:16:27,120
we are aligning our budget with our actual

4484
02:16:27,120 --> 02:16:29,120
needs

4485
02:16:32,125 --> 02:16:33,126
and the improvement there has been amazing.

4486
02:16:33,126 --> 02:16:34,127
>> and

4487
02:16:34,127 --> 02:16:35,128
finally,

4488
02:16:35,128 --> 02:16:37,130
we have set a target of improving

4489
02:16:37,130 --> 02:16:39,132
our perceived economic value by 3%. Again

4490
02:16:39,132 --> 02:16:40,133
this, is

4491
02:16:40,133 --> 02:16:41,134
part of the community satisfaction

4492
02:16:41,134 --> 02:16:42,135
survey. So we'll get that number. And

4493
02:16:42,135 --> 02:16:43,136
I

4494
02:16:43,136 --> 02:16:45,138
think the important point to make

4495
02:16:45,138 --> 02:16:47,140
on this because some of the

4496
02:16:47,140 --> 02:16:48,141
numbers we're going to see this year

4497
02:16:48,141 --> 02:16:51,141
as part of our targets,

4498
02:16:51,144 --> 02:16:52,145
but these are --some of them

4499
02:16:52,145 --> 02:16:54,114
are multi-year efforts. You know,

4500
02:16:54,114 --> 02:16:56,116
we're looking at survey numbers,

4501
02:16:56,116 --> 02:16:57,117
looking at long term trying to improve

4502
02:16:57,117 --> 02:16:59,119
them. So the initiatives around

4503
02:16:59,119 --> 02:17:02,719
those are focused not just simply

4504
02:17:04,124 --> 02:17:08,324
on one year movement but multi-year movement.

4505
02:17:12,132 --> 02:17:14,132
>> questions on that? >>

4506
02:17:15,135 --> 02:17:17,135
no. So

4507
02:17:18,138 --> 02:17:20,138
this is --

4508
02:17:20,140 --> 02:17:21,141
will these flow to the --our [ inaudible

4509
02:17:21,141 --> 02:17:22,142
] page? I

4510
02:17:22,142 --> 02:17:24,144
mean, is it something that the public

4511
02:17:24,144 --> 02:17:26,113
could

4512
02:17:26,113 --> 02:17:27,114
track us on, I guess?

4513
02:17:27,114 --> 02:17:28,115
>> yeah. No. >>

4514
02:17:28,115 --> 02:17:29,116
since this is an overall strategy?

4515
02:17:29,116 --> 02:17:30,117
>>

4516
02:17:30,117 --> 02:17:32,119
and avoid need alisha here

4517
02:17:32,119 --> 02:17:34,121
to talk a little bit about how we're messaging

4518
02:17:34,121 --> 02:17:36,123
that and, of course, but, you know,

4519
02:17:36,123 --> 02:17:38,523
not only do we

4520
02:17:39,126 --> 02:17:41,526
have the targets and

4521
02:17:42,129 --> 02:17:43,130
what we're doing on

4522
02:17:43,130 --> 02:17:45,132
the strategic webpage --or website

4523
02:17:45,132 --> 02:17:48,135
or a portion of our website,

4524
02:17:48,135 --> 02:17:49,136
but also the storytelling around

4525
02:17:49,136 --> 02:17:50,137
those successes.

4526
02:17:50,137 --> 02:17:51,138
>> yeah. No. The

4527
02:17:51,138 --> 02:17:52,139
combination of both.

4528
02:17:52,139 --> 02:17:54,139
>> but we have

4529
02:17:54,141 --> 02:17:55,142
--we have a -- we have a

4530
02:17:55,142 --> 02:17:57,144
dashboard on all this. And, in fact,

4531
02:17:57,144 --> 02:18:00,113
that's the dashboard that we

4532
02:18:00,113 --> 02:18:02,115
are reviewing when you guys walk

4533
02:18:02,115 --> 02:18:03,116
by our board at one time. So --

4534
02:18:03,116 --> 02:18:04,117
>>

4535
02:18:04,117 --> 02:18:05,118
okay.

4536
02:18:05,118 --> 02:18:06,119
>> I

4537
02:18:06,119 --> 02:18:07,120
did want to add something while we

4538
02:18:07,120 --> 02:18:08,121
were still on the previous

4539
02:18:08,121 --> 02:18:09,122
subject, mostly because I know you're going

4540
02:18:09,122 --> 02:18:11,122
to segueway in

4541
02:18:12,125 --> 02:18:13,126
a different area. So I represent

4542
02:18:13,126 --> 02:18:15,128
uta on the housing transit reinvestment zone

4543
02:18:15,128 --> 02:18:17,130
committee, and they met on money

4544
02:18:17,130 --> 02:18:20,133
with sandy city doing an application. And

4545
02:18:20,133 --> 02:18:21,134
as you know, those applications are

4546
02:18:21,134 --> 02:18:23,134
all

4547
02:18:24,137 --> 02:18:26,137
city

4548
02:18:27,140 --> 02:18:29,142
driven in partnership with uta,

4549
02:18:29,142 --> 02:18:30,143
wfrc and the development partner of whomever that

4550
02:18:30,143 --> 02:18:32,145
is. One of the

4551
02:18:32,145 --> 02:18:33,113
things that really came up that I

4552
02:18:33,113 --> 02:18:34,114
thought was a very interesting dynamic

4553
02:18:34,114 --> 02:18:35,115
is

4554
02:18:35,115 --> 02:18:36,116
I talked about the fact that we had

4555
02:18:36,116 --> 02:18:38,116
just

4556
02:18:39,119 --> 02:18:40,120
won an

4557
02:18:40,120 --> 02:18:42,122
award, and everybody was very appreciative. And

4558
02:18:42,122 --> 02:18:45,125
then seguewayed into the quality of

4559
02:18:45,125 --> 02:18:48,128
life which I equated to them as, you

4560
02:18:48,128 --> 02:18:50,130
know, part of that is this if I can

4561
02:18:50,130 --> 02:18:51,131
--you know, if I have frequency continuity,

4562
02:18:51,131 --> 02:18:53,131
right,

4563
02:18:53,133 --> 02:18:56,136
if I know that I can get on the system, and

4564
02:18:56,136 --> 02:18:57,137
there's this level of frequency that

4565
02:18:57,137 --> 02:18:59,137
adds so

4566
02:18:59,139 --> 02:19:00,140
much value, and it really delved into a

4567
02:19:00,140 --> 02:19:02,140
conversation that

4568
02:19:03,143 --> 02:19:04,144
then went to the economics which is where

4569
02:19:04,144 --> 02:19:05,145
is that

4570
02:19:05,145 --> 02:19:06,146
value add going to be? Because all

4571
02:19:06,146 --> 02:19:08,546
of those projects are

4572
02:19:09,116 --> 02:19:11,118
considered density projects with 50

4573
02:19:11,118 --> 02:19:15,122
units an acre or higher. In sandy's

4574
02:19:15,122 --> 02:19:18,125
case, it's 60 units per acre. And

4575
02:19:18,125 --> 02:19:20,127
I think that it

4576
02:19:20,127 --> 02:19:21,128
is really been acknowledged outside

4577
02:19:21,128 --> 02:19:23,130
of the agency how much

4578
02:19:23,130 --> 02:19:26,133
work goes into all of these components

4579
02:19:26,133 --> 02:19:27,134
that you have listed out here. And

4580
02:19:27,134 --> 02:19:29,134
so I

4581
02:19:29,136 --> 02:19:30,137
want to compliment you from that perspective

4582
02:19:30,137 --> 02:19:32,137
because

4583
02:19:32,139 --> 02:19:33,140
it is actually being recognized to a

4584
02:19:33,140 --> 02:19:35,140
certain

4585
02:19:35,142 --> 02:19:36,143
extent. There's a couple legislators

4586
02:19:36,143 --> 02:19:38,143
on that committee,

4587
02:19:38,145 --> 02:19:39,146
and they were very appreciative of understanding

4588
02:19:39,146 --> 02:19:41,114
that and getting that type of

4589
02:19:41,114 --> 02:19:42,115
feedback I think is really critical. So

4590
02:19:42,115 --> 02:19:44,115
that

4591
02:19:44,117 --> 02:19:45,118
is a tribute to everybody who has done

4592
02:19:45,118 --> 02:19:48,121
so much work. And I just wanted

4593
02:19:48,121 --> 02:19:50,121
to

4594
02:19:53,126 --> 02:19:54,127
share that out there.

4595
02:19:54,127 --> 02:19:55,128
>> thank you. >>

4596
02:19:55,128 --> 02:19:57,128
okay. So now

4597
02:19:57,130 --> 02:19:59,130
the development of

4598
02:20:00,133 --> 02:20:03,136
our annual service plan for 2026. For

4599
02:20:03,136 --> 02:20:06,136
2026, april change day, we will

4600
02:20:06,139 --> 02:20:09,139
be doing advance midvalley express

4601
02:20:09,142 --> 02:20:10,143
and the corresponding route changes

4602
02:20:10,143 --> 02:20:12,143
from

4603
02:20:12,145 --> 02:20:15,115
'27 to '26, so original plan

4604
02:20:15,115 --> 02:20:17,115
was for mvx

4605
02:20:18,118 --> 02:20:20,518
to be started in

4606
02:20:21,121 --> 02:20:24,124
'27. But due to our snap, crackle, capital

4607
02:20:24,124 --> 02:20:26,126
team, we got there early. And so now

4608
02:20:26,126 --> 02:20:27,127
we're going to implement a service

4609
02:20:27,127 --> 02:20:29,127
in '26. And

4610
02:20:30,130 --> 02:20:32,132
this has cost us, of course, to re-evaluate

4611
02:20:32,132 --> 02:20:33,133
some of the priorities in the upcoming five-year

4612
02:20:33,133 --> 02:20:35,533
service plan, but we'll

4613
02:20:36,136 --> 02:20:39,139
do that figuring out what's going

4614
02:20:39,139 --> 02:20:42,142
to happen next. But for '26, we have

4615
02:20:42,142 --> 02:20:44,142
mvx which is

4616
02:20:45,145 --> 02:20:46,146
an additional cost of $2.9 million.

4617
02:20:46,146 --> 02:20:47,114
>>

4618
02:20:47,114 --> 02:20:48,115
and

4619
02:20:48,115 --> 02:20:49,116
this has been discussed with you before,

4620
02:20:49,116 --> 02:20:51,116
as

4621
02:20:52,119 --> 02:20:53,120
well as the local advisory council.

4622
02:20:53,120 --> 02:20:55,120
>>

4623
02:20:57,124 --> 02:20:59,124
okay. [ laughter

4624
02:20:59,126 --> 02:21:00,127
]

4625
02:21:00,127 --> 02:21:01,128
>> that was some nice walkup music. >>

4626
02:21:01,128 --> 02:21:03,128
I

4627
02:21:03,130 --> 02:21:05,530
don't know if that's

4628
02:21:06,133 --> 02:21:07,134
the intro music for the five-year financial

4629
02:21:07,134 --> 02:21:08,135
forecast.

4630
02:21:08,135 --> 02:21:09,136
>> a little excitement. >>

4631
02:21:09,136 --> 02:21:11,136
I think that

4632
02:21:12,139 --> 02:21:15,139
was return of the mac,

4633
02:21:15,142 --> 02:21:18,142
if I'm not mistaken. Thank

4634
02:21:18,145 --> 02:21:19,146
you.

4635
02:21:19,146 --> 02:21:21,114
>> absolutely

4636
02:21:21,114 --> 02:21:23,514
was. So the five-year

4637
02:21:24,117 --> 02:21:26,117
financial forecast, again,

4638
02:21:27,120 --> 02:21:30,120
rolling the mvx into 2026, our

4639
02:21:30,123 --> 02:21:33,123
operating expenses are going to

4640
02:21:33,126 --> 02:21:34,127
be $487.5 million and capital expense $331.7. You

4641
02:21:34,127 --> 02:21:36,127
can

4642
02:21:36,129 --> 02:21:37,130
see those two numbers on rows d and

4643
02:21:37,130 --> 02:21:39,130
e. And then

4644
02:21:39,132 --> 02:21:41,132
we have our

4645
02:21:43,136 --> 02:21:46,139
debt service on row f of

4646
02:21:46,139 --> 02:21:48,139
$176.5 million. So this

4647
02:21:49,142 --> 02:21:51,142
is a total

4648
02:21:51,144 --> 02:21:54,114
of $995.8 million. So when we look

4649
02:21:54,114 --> 02:21:55,115
at our bottom line there at 2026,

4650
02:21:55,115 --> 02:21:57,115
we

4651
02:21:58,118 --> 02:22:00,118
see that our

4652
02:22:01,121 --> 02:22:03,121
ending balance

4653
02:22:04,124 --> 02:22:07,724
is still positive at $121 million. Head

4654
02:22:09,129 --> 02:22:10,130
noddings. Good. So this is our tentative

4655
02:22:10,130 --> 02:22:11,131
--

4656
02:22:11,131 --> 02:22:12,132
>> can

4657
02:22:12,132 --> 02:22:13,133
I just go back for a second? I'm sorry. I

4658
02:22:13,133 --> 02:22:15,135
just want to note when

4659
02:22:15,135 --> 02:22:16,136
we look ahead, you know, we want to

4660
02:22:16,136 --> 02:22:17,137
know what

4661
02:22:17,137 --> 02:22:19,139
the numbers are looking like, but

4662
02:22:19,139 --> 02:22:20,140
we've already made nice

4663
02:22:20,140 --> 02:22:22,142
steps. The ending balance in the original

4664
02:22:22,142 --> 02:22:24,142
documents that

4665
02:22:25,145 --> 02:22:26,146
you got, that

4666
02:22:26,146 --> 02:22:28,115
you had in 2030 was 366.8 million in

4667
02:22:28,115 --> 02:22:29,116
the red, so we are working

4668
02:22:29,116 --> 02:22:31,118
very hard to continue to roll this

4669
02:22:31,118 --> 02:22:33,120
in as we, again, look at

4670
02:22:33,120 --> 02:22:34,121
our revenue picture and look at ways

4671
02:22:34,121 --> 02:22:35,122
to, you

4672
02:22:35,122 --> 02:22:37,124
know, support us getting to a balanced

4673
02:22:37,124 --> 02:22:39,124
budget all the

4674
02:22:40,127 --> 02:22:41,128
way through the projection.

4675
02:22:41,128 --> 02:22:43,128
>>

4676
02:22:43,130 --> 02:22:45,132
absolutely. And you'll see as I continue

4677
02:22:45,132 --> 02:22:46,133
on that -- in a few slides just how much work

4678
02:22:46,133 --> 02:22:48,133
we've done

4679
02:22:49,136 --> 02:22:51,136
to bring down

4680
02:22:52,139 --> 02:22:54,139
the rate of

4681
02:22:55,142 --> 02:22:56,143
growth over time. So, again, our

4682
02:22:56,143 --> 02:22:58,145
sales tax revenue, I'll have brad speak

4683
02:22:58,145 --> 02:23:00,545
to that a bit

4684
02:23:01,114 --> 02:23:03,116
on what our plan

4685
02:23:03,116 --> 02:23:07,120
is right now. We are working with dr.

4686
02:23:07,120 --> 02:23:08,121
banister, of course.

4687
02:23:08,121 --> 02:23:10,121
>> just

4688
02:23:10,123 --> 02:23:13,126
with regard to our sales tax for

4689
02:23:13,126 --> 02:23:16,129
2026, we have been, as you know,

4690
02:23:16,129 --> 02:23:19,129
continuing to work with dr.

4691
02:23:19,132 --> 02:23:21,132
steve banister

4692
02:23:21,134 --> 02:23:22,135
of the university of utah, economics department. And

4693
02:23:22,135 --> 02:23:24,135
currently we

4694
02:23:25,138 --> 02:23:28,138
see --his current forecast is

4695
02:23:28,141 --> 02:23:30,143
that we see low growth

4696
02:23:30,143 --> 02:23:32,145
relative to our long-term growth rates. We

4697
02:23:32,145 --> 02:23:34,114
are actually working with him right

4698
02:23:34,114 --> 02:23:35,115
now taking

4699
02:23:35,115 --> 02:23:37,117
the latest information we've received through

4700
02:23:37,117 --> 02:23:39,517
half of the year,

4701
02:23:40,120 --> 02:23:42,122
and we'll be doing an

4702
02:23:42,122 --> 02:23:43,123
updated forecast of that coming up.

4703
02:23:43,123 --> 02:23:45,123
>>

4704
02:23:46,126 --> 02:23:48,126
I know we

4705
02:23:49,129 --> 02:23:51,131
were originally in a

4706
02:23:51,131 --> 02:23:52,132
sort of conservative position, at

4707
02:23:52,132 --> 02:23:53,133
least in

4708
02:23:53,133 --> 02:23:55,135
our forecast. Has that got more dismal

4709
02:23:55,135 --> 02:23:57,535
yet or you don't

4710
02:23:58,138 --> 02:23:59,139
know yet?

4711
02:23:59,139 --> 02:24:00,140
>> you know, it has,

4712
02:24:00,140 --> 02:24:01,141
and I think we've been fortunate that

4713
02:24:01,141 --> 02:24:03,143
the forecast is pretty

4714
02:24:03,143 --> 02:24:04,144
close to what we're actually seeing.

4715
02:24:04,144 --> 02:24:05,145
>>

4716
02:24:05,145 --> 02:24:06,146
okay.

4717
02:24:06,146 --> 02:24:07,114
>> you know,

4718
02:24:07,114 --> 02:24:08,115
we do see a

4719
02:24:08,115 --> 02:24:10,117
lot of economic uncertainty in the numbers. It's

4720
02:24:10,117 --> 02:24:12,117
interesting if you

4721
02:24:13,120 --> 02:24:15,122
dig down in the details how much

4722
02:24:15,122 --> 02:24:16,123
it appears that people have been doing

4723
02:24:16,123 --> 02:24:18,123
behavior

4724
02:24:19,126 --> 02:24:21,526
that's outside of the

4725
02:24:24,131 --> 02:24:25,132
normal range because of uncertainty.

4726
02:24:25,132 --> 02:24:27,132
>> yeah. Okay.

4727
02:24:31,138 --> 02:24:34,141
>> okay. So this highlights the operating budget. But

4728
02:24:34,141 --> 02:24:36,141
one of

4729
02:24:36,143 --> 02:24:37,144
the things I wanted to highlight on this

4730
02:24:37,144 --> 02:24:40,113
and jay alluded to is

4731
02:24:40,113 --> 02:24:43,116
the work that we've been doing to

4732
02:24:43,116 --> 02:24:46,119
bring down the expenses. And so if

4733
02:24:46,119 --> 02:24:48,519
you'll notice that bottom

4734
02:24:49,122 --> 02:24:52,125
line number that says that our

4735
02:24:52,125 --> 02:24:54,125
year-over-year change is

4736
02:24:54,127 --> 02:24:55,128
5%, last year's year-over-year change was

4737
02:24:55,128 --> 02:24:57,128
9.2%. So we are

4738
02:24:58,131 --> 02:24:59,132
working hard to make sure that we are

4739
02:24:59,132 --> 02:25:00,133
refining

4740
02:25:00,133 --> 02:25:01,134
our efforts, taking a strong look

4741
02:25:01,134 --> 02:25:04,137
at our budget to make sure

4742
02:25:04,137 --> 02:25:07,140
that what is in there are things that are

4743
02:25:07,140 --> 02:25:10,143
in line with what our strategic

4744
02:25:10,143 --> 02:25:12,143
initiatives

4745
02:25:13,146 --> 02:25:16,746
are and what our needs are.

4746
02:25:19,119 --> 02:25:21,119
so

4747
02:25:22,122 --> 02:25:25,122
just to, of course, call

4748
02:25:25,125 --> 02:25:28,125
out a couple of the

4749
02:25:28,128 --> 02:25:30,528
operating increases here, we'll

4750
02:25:31,131 --> 02:25:33,131
see that in

4751
02:25:33,133 --> 02:25:36,136
operations that increase is bus for

4752
02:25:36,136 --> 02:25:37,137
mvx, paratransit, a small increase

4753
02:25:37,137 --> 02:25:39,137
for

4754
02:25:40,140 --> 02:25:42,140
vanpool,

4755
02:25:45,145 --> 02:25:46,146
as well as light rail maintenance. And

4756
02:25:46,146 --> 02:25:48,146
this is

4757
02:25:49,116 --> 02:25:52,119
just a different view of the same

4758
02:25:52,119 --> 02:25:54,121
information, but you'll see

4759
02:25:54,121 --> 02:25:58,125
our parts are going down, mainly because

4760
02:25:58,125 --> 02:26:00,525
of making sure that

4761
02:26:01,128 --> 02:26:03,528
we are aligning with

4762
02:26:04,131 --> 02:26:06,133
our current inventory, and the

4763
02:26:06,133 --> 02:26:07,134
minor reductions in utility are just a

4764
02:26:07,134 --> 02:26:09,134
rebalancing of

4765
02:26:10,137 --> 02:26:12,137
the budget,

4766
02:26:12,139 --> 02:26:13,140
as well as our capitalized cost. And

4767
02:26:13,140 --> 02:26:15,140
everything

4768
02:26:16,143 --> 02:26:19,146
else is going up slightly, but,

4769
02:26:19,146 --> 02:26:22,115
again, an average of 5% increase

4770
02:26:22,115 --> 02:26:24,115
is

4771
02:26:27,120 --> 02:26:28,121
actually really good considering last year's

4772
02:26:28,121 --> 02:26:30,121
increase. And

4773
02:26:31,124 --> 02:26:32,125
this is just

4774
02:26:32,125 --> 02:26:34,127
a year-over-year change for our head

4775
02:26:34,127 --> 02:26:37,130
count. Of course operations as we prepare

4776
02:26:37,130 --> 02:26:38,131
to go in to mvx service. You asked

4777
02:26:38,131 --> 02:26:40,131
earlier when

4778
02:26:40,133 --> 02:26:43,136
we were doing the technical budget adjustment

4779
02:26:43,136 --> 02:26:44,137
about the positions that were built

4780
02:26:44,137 --> 02:26:46,137
into the '26,

4781
02:26:46,139 --> 02:26:48,141
so that is built into the

4782
02:26:48,141 --> 02:26:49,142
'26 budget for mvx service.

4783
02:26:49,142 --> 02:26:50,143
>> okay. >>

4784
02:26:50,143 --> 02:26:52,143
and

4785
02:26:52,145 --> 02:26:54,114
then there are minor

4786
02:26:54,114 --> 02:26:55,115
fte changes throughout the organization.

4787
02:26:55,115 --> 02:26:56,116
>> when

4788
02:26:56,116 --> 02:26:58,116
does that hiring

4789
02:26:58,118 --> 02:27:01,121
like of operators take place for

4790
02:27:01,121 --> 02:27:04,124
mvx service? I realize somebody else

4791
02:27:04,124 --> 02:27:06,126
might get the bid, but sort

4792
02:27:06,126 --> 02:27:07,127
of to backfill the operators that

4793
02:27:07,127 --> 02:27:08,128
take that route?

4794
02:27:08,128 --> 02:27:10,128
>> when does

4795
02:27:10,130 --> 02:27:12,132
the hiring of them --the

4796
02:27:12,132 --> 02:27:13,133
hiring is ongoing right now, but I'll

4797
02:27:13,133 --> 02:27:14,134
bring up --

4798
02:27:14,134 --> 02:27:15,135
>> I'm

4799
02:27:15,135 --> 02:27:16,136
just trying to get a sense of, like, when

4800
02:27:16,136 --> 02:27:18,138
do you have bodies --

4801
02:27:18,138 --> 02:27:19,139
and I realize you also have ski service.

4802
02:27:19,139 --> 02:27:20,140
>>

4803
02:27:20,140 --> 02:27:22,140
and

4804
02:27:22,142 --> 02:27:23,143
that's part of the equation.

4805
02:27:23,143 --> 02:27:24,144
>> right. >>

4806
02:27:24,144 --> 02:27:25,145
so I

4807
02:27:25,145 --> 02:27:26,146
got to think that that at some point

4808
02:27:26,146 --> 02:27:28,115
plays into

4809
02:27:28,115 --> 02:27:29,116
it a little bit.

4810
02:27:29,116 --> 02:27:30,117
>> yeah. So the hiring

4811
02:27:30,117 --> 02:27:31,118
has been

4812
02:27:31,118 --> 02:27:32,119
taking place. We've been ramping up

4813
02:27:32,119 --> 02:27:33,120
this year.

4814
02:27:33,120 --> 02:27:34,121
>> okay. >> so we're

4815
02:27:34,121 --> 02:27:36,123
actually in a position where we

4816
02:27:36,123 --> 02:27:37,124
are sustaining our operator staffing

4817
02:27:37,124 --> 02:27:39,126
numbers. We're in a

4818
02:27:39,126 --> 02:27:40,127
good position going into operating

4819
02:27:40,127 --> 02:27:42,127
mvx. On the

4820
02:27:42,129 --> 02:27:43,130
maintenance side, with the approval

4821
02:27:43,130 --> 02:27:45,130
of the

4822
02:27:45,132 --> 02:27:47,532
technical budget adjustment today,

4823
02:27:49,136 --> 02:27:50,137
we'll proceed to hire those maintainers

4824
02:27:50,137 --> 02:27:51,138
quickly.

4825
02:27:51,138 --> 02:27:52,139
>> okay. So

4826
02:27:52,139 --> 02:27:55,142
you already have then the operators

4827
02:27:55,142 --> 02:27:56,143
you need to add mvx?

4828
02:27:56,143 --> 02:27:57,144
>>

4829
02:27:57,144 --> 02:27:58,145
that is correct. We need to maintain

4830
02:27:58,145 --> 02:28:01,114
and grow just a tiny bit,

4831
02:28:01,114 --> 02:28:03,114
but we're

4832
02:28:03,116 --> 02:28:04,117
in a very good position.

4833
02:28:04,117 --> 02:28:05,118
>> okay. And

4834
02:28:05,118 --> 02:28:07,120
last year you used them

4835
02:28:07,120 --> 02:28:10,720
kind of --well, for the april

4836
02:28:11,124 --> 02:28:12,125
change day, those operators I

4837
02:28:12,125 --> 02:28:14,127
think helped you during ski season. Are

4838
02:28:14,127 --> 02:28:15,128
you anticipating

4839
02:28:15,128 --> 02:28:17,130
--you don't have quite the same numbers,

4840
02:28:17,130 --> 02:28:19,130
so

4841
02:28:19,132 --> 02:28:20,133
are you looking at more overtime?

4842
02:28:20,133 --> 02:28:21,134
>>

4843
02:28:21,134 --> 02:28:23,136
the service level with ski service

4844
02:28:23,136 --> 02:28:25,138
and the amount of operators it takes

4845
02:28:25,138 --> 02:28:26,139
is very comparable to the addition

4846
02:28:26,139 --> 02:28:28,139
of the service

4847
02:28:29,142 --> 02:28:30,143
in april of mvx, so it

4848
02:28:30,143 --> 02:28:31,144
allows us to transition comfortably.

4849
02:28:31,144 --> 02:28:32,145
>>

4850
02:28:32,145 --> 02:28:34,145
okay. That's

4851
02:28:35,115 --> 02:28:37,115
helpful to

4852
02:28:37,117 --> 02:28:38,118
understand. Thank you.

4853
02:28:38,118 --> 02:28:39,119
>> and that's

4854
02:28:39,119 --> 02:28:40,120
andres coleman,

4855
02:28:40,120 --> 02:28:41,121
chief operating officer for the record.

4856
02:28:41,121 --> 02:28:42,122
>>

4857
02:28:42,122 --> 02:28:43,123
thanks, vi.

4858
02:28:43,123 --> 02:28:44,124
>>

4859
02:28:44,124 --> 02:28:45,125
that's good clarification.

4860
02:28:45,125 --> 02:28:46,126
>> if I

4861
02:28:46,126 --> 02:28:47,127
could

4862
02:28:47,127 --> 02:28:48,128
--one more moment. I'm sorry, vi. We

4863
02:28:48,128 --> 02:28:49,129
don't have to go back to

4864
02:28:49,129 --> 02:28:50,130
the slide. But I think it's important

4865
02:28:50,130 --> 02:28:52,530
to note the work

4866
02:28:53,133 --> 02:28:54,134
on the operating budget is, you

4867
02:28:54,134 --> 02:28:56,136
know, changed or transferred a uta

4868
02:28:56,136 --> 02:28:58,536
fund balance from what

4869
02:28:59,139 --> 02:29:02,142
was a red number which minus

4870
02:29:02,142 --> 02:29:04,144
$4.2 million to now a positive

4871
02:29:04,144 --> 02:29:05,145
$8.5 million.

4872
02:29:05,145 --> 02:29:06,146
>> that's good. I missed

4873
02:29:06,146 --> 02:29:07,114
that. Thank you.

4874
02:29:07,114 --> 02:29:08,115
>> sure. >> thank

4875
02:29:08,115 --> 02:29:10,117
you, jay. Okay. So then we

4876
02:29:10,117 --> 02:29:11,118
wanted to just go over a few of the

4877
02:29:11,118 --> 02:29:13,118
changes that we've

4878
02:29:14,121 --> 02:29:16,521
put in since the

4879
02:29:17,124 --> 02:29:19,126
budget work sessions and just go through,

4880
02:29:19,126 --> 02:29:23,130
again, this fte changes were minimal. One

4881
02:29:23,130 --> 02:29:25,130
of the

4882
02:29:26,133 --> 02:29:28,135
things is you recently approved

4883
02:29:28,135 --> 02:29:29,136
transitioning a contractor to a full-time employee

4884
02:29:29,136 --> 02:29:31,536
from the procurement. This

4885
02:29:32,139 --> 02:29:33,140
is the capital of procurement work

4886
02:29:33,140 --> 02:29:34,141
that

4887
02:29:34,141 --> 02:29:35,142
we'd been doing over the last year,

4888
02:29:35,142 --> 02:29:37,542
and it's been going

4889
02:29:38,145 --> 02:29:39,146
so well that we recognize we

4890
02:29:39,146 --> 02:29:41,114
need to have this person on board, at

4891
02:29:41,114 --> 02:29:43,116
least one of the two contractors. And

4892
02:29:43,116 --> 02:29:44,117
so we are out recruiting for that. We

4893
02:29:44,117 --> 02:29:46,117
want

4894
02:29:47,120 --> 02:29:50,123
to fold that into the budget. We

4895
02:29:50,123 --> 02:29:52,123
have an

4896
02:29:53,126 --> 02:29:54,127
offset for a part-time to full-time

4897
02:29:54,127 --> 02:29:55,128
position within

4898
02:29:55,128 --> 02:29:56,129
community engagement, and then there's

4899
02:29:56,129 --> 02:29:57,130
equal

4900
02:29:57,130 --> 02:29:59,132
offset of that and customer service consolidation,

4901
02:29:59,132 --> 02:30:01,132
so that was

4902
02:30:02,135 --> 02:30:05,135
a net zero within the

4903
02:30:05,138 --> 02:30:07,140
planning department. And then we had

4904
02:30:07,140 --> 02:30:08,141
refinement of some head count within operations. This

4905
02:30:08,141 --> 02:30:10,141
is

4906
02:30:11,144 --> 02:30:12,145
not that we're

4907
02:30:12,145 --> 02:30:14,114
losing any operators or anything like that. It

4908
02:30:14,114 --> 02:30:16,114
was --

4909
02:30:16,116 --> 02:30:17,117
we're trying to align with how the

4910
02:30:17,117 --> 02:30:19,117
budget

4911
02:30:20,120 --> 02:30:23,123
office counts our ftes and how operations counts

4912
02:30:23,123 --> 02:30:25,125
their ftes. And so, again, it

4913
02:30:25,125 --> 02:30:26,126
was just a net reduction. And then

4914
02:30:26,126 --> 02:30:28,128
our insurance premium, you

4915
02:30:28,128 --> 02:30:29,129
heard a discussion earlier from brian

4916
02:30:29,129 --> 02:30:31,529
reeves, about changes in

4917
02:30:32,132 --> 02:30:35,132
our premiums, and we have

4918
02:30:35,135 --> 02:30:37,135
to add

4919
02:30:39,139 --> 02:30:42,139
in additional $420,000 to cover that.

4920
02:30:44,144 --> 02:30:46,144
you looked like

4921
02:30:47,114 --> 02:30:48,115
you were

4922
02:30:48,115 --> 02:30:50,117
headed to your button. Okay. Okay. So our

4923
02:30:50,117 --> 02:30:52,117
total

4924
02:30:53,120 --> 02:30:54,121
request, as you can see, with operating

4925
02:30:54,121 --> 02:30:56,121
capital

4926
02:30:56,123 --> 02:30:59,126
and our debt service along with our reserves

4927
02:30:59,126 --> 02:31:01,526
we have now hit

4928
02:31:02,129 --> 02:31:04,129
the billion dollar

4929
02:31:05,132 --> 02:31:08,135
mark for 2026. That changeover year over

4930
02:31:08,135 --> 02:31:10,135
year is $33 million,

4931
02:31:11,138 --> 02:31:13,138
and

4932
02:31:14,141 --> 02:31:16,141
it

4933
02:31:17,144 --> 02:31:19,146
is a net 3.4% change. So just to

4934
02:31:19,146 --> 02:31:20,147
walk you through where our major sources

4935
02:31:20,147 --> 02:31:22,147
continue to be,

4936
02:31:23,116 --> 02:31:26,116
we get over half of

4937
02:31:26,119 --> 02:31:27,120
our revenue from sales tax revenue through

4938
02:31:27,120 --> 02:31:29,120
the

4939
02:31:29,122 --> 02:31:31,522
state. We get additional

4940
02:31:32,125 --> 02:31:34,125
support for capital

4941
02:31:35,128 --> 02:31:38,131
sources, as well as our federal pm

4942
02:31:38,131 --> 02:31:40,531
--[ inaudible ] and then

4943
02:31:41,134 --> 02:31:44,137
we use our fund balance, 7%. So that

4944
02:31:44,137 --> 02:31:46,137
is a

4945
02:31:47,140 --> 02:31:49,142
continuation of the sourcing

4946
02:31:49,142 --> 02:31:50,143
plan for our budget uses. Majority

4947
02:31:50,143 --> 02:31:52,143
of our

4948
02:31:52,145 --> 02:31:53,146
use is actually neck and neck with

4949
02:31:53,146 --> 02:31:56,116
capital and operations. So they

4950
02:31:56,116 --> 02:31:58,116
build it, we

4951
02:31:59,119 --> 02:32:02,119
have to operate it. And

4952
02:32:02,122 --> 02:32:05,125
those two are again alignment. I see

4953
02:32:05,125 --> 02:32:06,126
that the cycle is that we have capital

4954
02:32:06,126 --> 02:32:08,126
build

4955
02:32:08,128 --> 02:32:09,129
it, we have operations run it, and

4956
02:32:09,129 --> 02:32:10,130
then it goes

4957
02:32:10,130 --> 02:32:11,131
back around to capital to maintain

4958
02:32:11,131 --> 02:32:13,131
it through

4959
02:32:14,134 --> 02:32:16,136
our sgr state of good repair

4960
02:32:16,136 --> 02:32:17,137
programs. So those two major parts. And

4961
02:32:17,137 --> 02:32:20,137
then, of course, debt service

4962
02:32:20,140 --> 02:32:23,143
is the next largest part of

4963
02:32:23,143 --> 02:32:25,143
our

4964
02:32:26,146 --> 02:32:27,114
uses, and then management and support.

4965
02:32:27,114 --> 02:32:29,114
>> I will

4966
02:32:29,116 --> 02:32:32,119
say, you know, as far as

4967
02:32:32,119 --> 02:32:34,519
tracking, I think when

4968
02:32:35,122 --> 02:32:37,522
we started back in

4969
02:32:38,125 --> 02:32:39,126
2018, debt service was more like 22%

4970
02:32:39,126 --> 02:32:41,126
or 23%. So

4971
02:32:41,128 --> 02:32:43,130
I realize the debt

4972
02:32:43,130 --> 02:32:44,131
service itself has probably not gone down

4973
02:32:44,131 --> 02:32:46,531
and our revenues gone

4974
02:32:47,134 --> 02:32:48,135
up, but as a percentage of revenue, it's

4975
02:32:48,135 --> 02:32:50,135
actually

4976
02:32:50,137 --> 02:32:51,138
encouraging to see it get down there

4977
02:32:51,138 --> 02:32:52,139
a little

4978
02:32:52,139 --> 02:32:53,140
bit a ways. So --

4979
02:32:53,140 --> 02:32:54,141
>> so percentages

4980
02:32:54,141 --> 02:32:56,141
are such

4981
02:32:56,143 --> 02:32:58,543
a funny little math

4982
02:32:59,146 --> 02:33:00,147
thing, right?

4983
02:33:00,147 --> 02:33:01,114
>> yeah. It's all relative,

4984
02:33:01,114 --> 02:33:02,115
right?

4985
02:33:02,115 --> 02:33:03,116
>>

4986
02:33:03,116 --> 02:33:05,116
10% of $10,

4987
02:33:05,118 --> 02:33:07,518
you know, but 10% of

4988
02:33:08,121 --> 02:33:10,521
$10 million, big difference. But,

4989
02:33:11,124 --> 02:33:13,124
yes, as

4990
02:33:13,126 --> 02:33:14,127
a whole, it is smaller as a whole

4991
02:33:14,127 --> 02:33:17,130
as it's a slice of the

4992
02:33:17,130 --> 02:33:18,131
pie. But a raw number.

4993
02:33:18,131 --> 02:33:19,132
>> getting

4994
02:33:19,132 --> 02:33:20,133
it

4995
02:33:20,133 --> 02:33:21,134
closer to where it's a little more

4996
02:33:21,134 --> 02:33:23,134
proportionate to

4997
02:33:23,136 --> 02:33:25,136
where it

4998
02:33:26,139 --> 02:33:28,139
should be. But

4999
02:33:29,142 --> 02:33:30,143
anyway.

5000
02:33:30,143 --> 02:33:31,144
>> it's all

5001
02:33:31,144 --> 02:33:32,145
celebration.

5002
02:33:32,145 --> 02:33:33,146
>> okay. And so these

5003
02:33:33,146 --> 02:33:35,115
are the 2026

5004
02:33:35,115 --> 02:33:38,115
budget initiatives that are included

5005
02:33:38,118 --> 02:33:41,121
in our budget. And it --

5006
02:33:41,121 --> 02:33:44,124
again, the fact that we have scaled

5007
02:33:44,124 --> 02:33:47,124
down what we need to

5008
02:33:47,127 --> 02:33:49,127
align with

5009
02:33:50,130 --> 02:33:51,131
what the strategy is, $1.1 million in initiatives, I was

5010
02:33:51,131 --> 02:33:52,132
gonna say

5011
02:33:52,132 --> 02:33:53,133
--I can't remember exactly what the initiative

5012
02:33:53,133 --> 02:33:55,133
number was last

5013
02:33:56,136 --> 02:33:58,136
year, but it

5014
02:33:59,139 --> 02:34:01,139
was far larger

5015
02:34:01,141 --> 02:34:02,142
than this, but, again, every department

5016
02:34:02,142 --> 02:34:05,142
has gone down, and a

5017
02:34:05,145 --> 02:34:06,146
lot of them are working with what

5018
02:34:06,146 --> 02:34:08,146
we

5019
02:34:09,116 --> 02:34:11,516
have. And this is

5020
02:34:12,119 --> 02:34:14,119
the result

5021
02:34:14,121 --> 02:34:18,125
of changes needed. I would say the

5022
02:34:18,125 --> 02:34:21,128
only focus here is that we are

5023
02:34:21,128 --> 02:34:22,129
getting two new roadway worker

5024
02:34:22,129 --> 02:34:24,131
protection specialists, and we are

5025
02:34:24,131 --> 02:34:26,531
getting a compliance manager,

5026
02:34:27,134 --> 02:34:30,137
all things that are in alignment

5027
02:34:30,137 --> 02:34:32,137
with

5028
02:34:33,140 --> 02:34:35,142
what our strategy is moving

5029
02:34:35,142 --> 02:34:39,146
forward. I hit the button there. Oh,

5030
02:34:39,146 --> 02:34:41,114
sorry. And so

5031
02:34:41,114 --> 02:34:42,115
this goes back to, again, full circle. At

5032
02:34:42,115 --> 02:34:45,118
the beginning of this process, we

5033
02:34:45,118 --> 02:34:48,118
meet and sit down with

5034
02:34:48,121 --> 02:34:50,123
the board and discuss

5035
02:34:50,123 --> 02:34:53,126
what key assumptions are going into the

5036
02:34:53,126 --> 02:34:54,127
budget as we move forward into setting

5037
02:34:54,127 --> 02:34:55,128
the strategy

5038
02:34:55,128 --> 02:34:57,130
and then setting budget target with executive

5039
02:34:57,130 --> 02:34:59,130
team,

5040
02:34:59,132 --> 02:35:00,133
we always start out here. What does

5041
02:35:00,133 --> 02:35:01,134
the

5042
02:35:01,134 --> 02:35:03,136
market look like, what, you know,

5043
02:35:03,136 --> 02:35:06,136
what we expect from sales

5044
02:35:06,139 --> 02:35:08,141
tax revenue, we get that

5045
02:35:08,141 --> 02:35:09,142
input from dr. Banister, we look at

5046
02:35:09,142 --> 02:35:11,142
our

5047
02:35:12,145 --> 02:35:15,115
fuel and see what the average

5048
02:35:15,115 --> 02:35:17,117
rates are, and we look at expense

5049
02:35:17,117 --> 02:35:18,118
growth in the market. Now, when we

5050
02:35:18,118 --> 02:35:20,518
first started out, everything

5051
02:35:21,121 --> 02:35:23,521
was kind of up

5052
02:35:24,124 --> 02:35:27,127
in the air about what might

5053
02:35:27,127 --> 02:35:28,128
come, right, what tariffs might

5054
02:35:28,128 --> 02:35:29,129
come, those implementations might

5055
02:35:29,129 --> 02:35:33,133
mean for uta. And so we feel like

5056
02:35:33,133 --> 02:35:36,136
we've taken a good stab at

5057
02:35:36,136 --> 02:35:38,138
aligning all of the

5058
02:35:38,138 --> 02:35:42,142
chaos that's going on in the market

5059
02:35:42,142 --> 02:35:45,145
and set good assumptions for our

5060
02:35:45,145 --> 02:35:46,146
budget growth.

5061
02:35:46,146 --> 02:35:47,147
>> just

5062
02:35:47,147 --> 02:35:48,115
because it's a pretty significant

5063
02:35:48,115 --> 02:35:49,116
part of our

5064
02:35:49,116 --> 02:35:52,716
probably fringe, I imagine it's in

5065
02:35:53,120 --> 02:35:57,124
your fringe number, and it's probably too

5066
02:35:57,124 --> 02:35:58,125
early because --

5067
02:35:58,125 --> 02:36:00,127
but with the pension fund, is there

5068
02:36:00,127 --> 02:36:02,127
--at what point

5069
02:36:03,130 --> 02:36:05,530
would we look at

5070
02:36:08,135 --> 02:36:09,136
how much we're putting into it versus

5071
02:36:09,136 --> 02:36:11,136
theacuaryial demand

5072
02:36:12,139 --> 02:36:13,140
and kind of still hitting

5073
02:36:13,140 --> 02:36:15,142
the marks? Obviously their original

5074
02:36:15,142 --> 02:36:17,142
--I think

5075
02:36:17,144 --> 02:36:18,145
it's 16% was needed to stabilize and

5076
02:36:18,145 --> 02:36:20,145
get it

5077
02:36:20,147 --> 02:36:21,114
there. So I'm not talking about shortchanging. I'm

5078
02:36:21,114 --> 02:36:23,114
just, like,

5079
02:36:23,116 --> 02:36:24,117
is there a point in time that we'd

5080
02:36:24,117 --> 02:36:25,118
relook at what those

5081
02:36:25,118 --> 02:36:26,119
numbers should actually be?

5082
02:36:26,119 --> 02:36:27,120
>> so

5083
02:36:27,120 --> 02:36:29,120
thank

5084
02:36:29,122 --> 02:36:30,123
you for bringing that up. Obviously

5085
02:36:30,123 --> 02:36:32,123
with

5086
02:36:32,125 --> 02:36:33,126
our pension committee, report earlier

5087
02:36:33,126 --> 02:36:35,126
today, we

5088
02:36:36,129 --> 02:36:39,132
are doing very well, and there

5089
02:36:39,132 --> 02:36:42,135
is room, and as we continue

5090
02:36:42,135 --> 02:36:43,136
to balance what happens as we move forward

5091
02:36:43,136 --> 02:36:45,138
through our five-year financial forecast

5092
02:36:45,138 --> 02:36:46,139
--

5093
02:36:46,139 --> 02:36:48,139
>> yeah. >> --that

5094
02:36:48,141 --> 02:36:50,141
will be

5095
02:36:50,143 --> 02:36:52,145
a consideration about reduction in that

5096
02:36:52,145 --> 02:36:54,114
area. There are multiple plates that we

5097
02:36:54,114 --> 02:36:56,114
are juggling here

5098
02:36:57,117 --> 02:37:00,120
to figure out what goes up,

5099
02:37:00,120 --> 02:37:03,123
what goes down. The pension is very

5100
02:37:03,123 --> 02:37:05,125
strong right now, and I,

5101
02:37:05,125 --> 02:37:06,126
you know, expect it to continue. But

5102
02:37:06,126 --> 02:37:08,126
using that

5103
02:37:09,129 --> 02:37:12,132
as a --one of the many

5104
02:37:12,132 --> 02:37:13,133
factors in

5105
02:37:13,133 --> 02:37:17,333
figuring out how we're going to have

5106
02:37:18,138 --> 02:37:19,139
-- continue to have a

5107
02:37:19,139 --> 02:37:21,141
balanced budget, right? So where that

5108
02:37:21,141 --> 02:37:23,143
point is, I get out my crystal

5109
02:37:23,143 --> 02:37:24,144
ball, but, yes, it is an option.

5110
02:37:24,144 --> 02:37:26,144
>>

5111
02:37:26,146 --> 02:37:27,147
and you'd want to be cautionary toward

5112
02:37:27,147 --> 02:37:29,147
--I don't mean

5113
02:37:30,117 --> 02:37:31,118
to --I just --at some point --and

5114
02:37:31,118 --> 02:37:32,119
to be

5115
02:37:32,119 --> 02:37:33,120
honest, you probably are getting a

5116
02:37:33,120 --> 02:37:35,122
good enough return there that the money

5117
02:37:35,122 --> 02:37:36,123
is probably just as well or better

5118
02:37:36,123 --> 02:37:38,123
off there right

5119
02:37:39,126 --> 02:37:40,127
now.

5120
02:37:40,127 --> 02:37:41,128
>> if I

5121
02:37:41,128 --> 02:37:42,129
may, there's a possible upside to

5122
02:37:42,129 --> 02:37:43,130
that

5123
02:37:43,130 --> 02:37:45,132
if the private equity performs like

5124
02:37:45,132 --> 02:37:48,132
we anticipate, you know, that

5125
02:37:48,135 --> 02:37:51,138
could give us a little bit more head room

5126
02:37:51,138 --> 02:37:53,138
needed there. But

5127
02:37:53,140 --> 02:37:54,141
I think your point, carlton, to --

5128
02:37:54,141 --> 02:37:57,144
or best advisory response, I think

5129
02:37:57,144 --> 02:37:59,146
as an agency, we have to look

5130
02:37:59,146 --> 02:38:03,116
at everything and just see what is

5131
02:38:03,116 --> 02:38:05,116
in the best

5132
02:38:05,118 --> 02:38:06,119
interest of this agency staying solid and solid,

5133
02:38:06,119 --> 02:38:08,121
and I think that's

5134
02:38:08,121 --> 02:38:09,122
wise. And I think pension is one area we

5135
02:38:09,122 --> 02:38:11,122
can

5136
02:38:15,128 --> 02:38:17,128
take a

5137
02:38:17,130 --> 02:38:18,131
really good look at. So --

5138
02:38:18,131 --> 02:38:20,131
>> sorry. Obviously

5139
02:38:21,134 --> 02:38:24,134
there's a discussion that could

5140
02:38:24,137 --> 02:38:25,138
still come about fare box increase. You're

5141
02:38:25,138 --> 02:38:27,140
not anticipating in this budget that

5142
02:38:27,140 --> 02:38:29,140
increase at

5143
02:38:29,142 --> 02:38:30,143
this point, is that true?

5144
02:38:30,143 --> 02:38:31,144
>> that would

5145
02:38:31,144 --> 02:38:32,145
be true.

5146
02:38:32,145 --> 02:38:33,146
>>

5147
02:38:33,146 --> 02:38:34,114
at least in your budget numbers.

5148
02:38:34,114 --> 02:38:35,115
>>

5149
02:38:35,115 --> 02:38:36,116
yeah.

5150
02:38:36,116 --> 02:38:37,117
>> definitely not

5151
02:38:37,117 --> 02:38:39,117
in the

5152
02:38:39,119 --> 02:38:40,120
budget we're submitting for discussion.

5153
02:38:40,120 --> 02:38:41,121
>>

5154
02:38:41,121 --> 02:38:42,122
okay. Obviously it

5155
02:38:42,122 --> 02:38:43,123
could change things. And it's been

5156
02:38:43,123 --> 02:38:44,124
--

5157
02:38:44,124 --> 02:38:45,125
>> yeah. >>

5158
02:38:45,125 --> 02:38:46,126
--more than a decade, right?

5159
02:38:46,126 --> 02:38:48,126
>>

5160
02:38:48,128 --> 02:38:49,129
oh, no, no, no.

5161
02:38:49,129 --> 02:38:50,130
>> 13 years. >> we've

5162
02:38:50,130 --> 02:38:51,131
been working on

5163
02:38:51,131 --> 02:38:52,132
this, and we're going to present. But

5164
02:38:52,132 --> 02:38:54,132
it

5165
02:38:54,134 --> 02:38:55,135
has its own process, and so we wouldn't

5166
02:38:55,135 --> 02:38:57,135
project into

5167
02:38:57,137 --> 02:38:59,137
this budget until

5168
02:38:59,139 --> 02:39:00,140
this process is complete.

5169
02:39:00,140 --> 02:39:01,141
>> gotcha. Okay. >>

5170
02:39:01,141 --> 02:39:02,142
so, again, multiple leisures, and

5171
02:39:02,142 --> 02:39:03,143
we can

5172
02:39:03,143 --> 02:39:06,146
look at all of them to see

5173
02:39:06,146 --> 02:39:08,146
what makes

5174
02:39:09,116 --> 02:39:11,116
the best choice,

5175
02:39:12,119 --> 02:39:15,122
best mix of options. And so

5176
02:39:15,122 --> 02:39:16,123
I'll let brian go back through some

5177
02:39:16,123 --> 02:39:18,123
of

5178
02:39:18,125 --> 02:39:19,126
this.

5179
02:39:19,126 --> 02:39:20,127
>> and we've already touched

5180
02:39:20,127 --> 02:39:21,128
on this

5181
02:39:21,128 --> 02:39:22,129
a number of times, but we've seen

5182
02:39:22,129 --> 02:39:23,130
that our

5183
02:39:23,130 --> 02:39:24,131
--you know, half of our revenue comes

5184
02:39:24,131 --> 02:39:26,531
from sales tax, and

5185
02:39:27,134 --> 02:39:30,137
what we've seen is we saw

5186
02:39:30,137 --> 02:39:32,137
the

5187
02:39:33,140 --> 02:39:35,142
big boom during the covid years of

5188
02:39:35,142 --> 02:39:36,143
stimulus money coming in in various

5189
02:39:36,143 --> 02:39:38,143
ways and how

5190
02:39:39,146 --> 02:39:41,114
that's wained over

5191
02:39:41,114 --> 02:39:42,115
the years. And our long-range trim,

5192
02:39:42,115 --> 02:39:45,118
we tended to assume around 5%, the green

5193
02:39:45,118 --> 02:39:47,118
line, and

5194
02:39:48,121 --> 02:39:50,123
we've been below that since,

5195
02:39:50,123 --> 02:39:51,124
you know, mid-2023. And so that's

5196
02:39:51,124 --> 02:39:53,524
something we're keeping really

5197
02:39:54,127 --> 02:39:56,527
close eye on. Is

5198
02:39:57,130 --> 02:39:58,131
there a paradigm change in our economic

5199
02:39:58,131 --> 02:40:00,133
situation, is growth slowing down? Right

5200
02:40:00,133 --> 02:40:02,135
now we're --I think

5201
02:40:02,135 --> 02:40:03,136
we've been conservative in terms of our

5202
02:40:03,136 --> 02:40:05,136
forecast but

5203
02:40:06,139 --> 02:40:08,141
reasonable. And as it is, we've been pretty darn

5204
02:40:08,141 --> 02:40:09,142
close. And so we're keeping a close

5205
02:40:09,142 --> 02:40:12,145
eye on this because, of course, it makes

5206
02:40:12,145 --> 02:40:14,147
a big difference in terms of how

5207
02:40:14,147 --> 02:40:18,118
we budget and how we plan on how much

5208
02:40:18,118 --> 02:40:19,119
money we say

5209
02:40:19,119 --> 02:40:20,120
we have available.

5210
02:40:20,120 --> 02:40:21,121
>> thank you, brad. So before

5211
02:40:21,121 --> 02:40:23,121
I turn this

5212
02:40:23,123 --> 02:40:24,124
over to dan to kind of enumerate some

5213
02:40:24,124 --> 02:40:26,124
of the things

5214
02:40:27,127 --> 02:40:30,127
we've changed in capital since

5215
02:40:30,130 --> 02:40:31,131
the budget work session, I just want

5216
02:40:31,131 --> 02:40:33,131
to just

5217
02:40:33,133 --> 02:40:35,533
put a bow on

5218
02:40:37,137 --> 02:40:39,137
that previous two-second

5219
02:40:39,139 --> 02:40:42,739
conversation is that the math problem

5220
02:40:43,143 --> 02:40:45,145
of revenue minus expenses, minus

5221
02:40:45,145 --> 02:40:49,116
debt service, that is a stagnant stable math

5222
02:40:49,116 --> 02:40:51,118
problem. But what we can do

5223
02:40:51,118 --> 02:40:52,119
within the different parts and different levers,

5224
02:40:52,119 --> 02:40:54,119
how we can

5225
02:40:54,121 --> 02:40:55,122
generate revenue, how we can cut expenses,

5226
02:40:55,122 --> 02:40:57,122
how we

5227
02:40:58,125 --> 02:41:00,127
can save on our debt

5228
02:41:00,127 --> 02:41:01,128
service, how we can reduce particular

5229
02:41:01,128 --> 02:41:03,128
projects

5230
02:41:04,131 --> 02:41:07,134
in capital, those are all things

5231
02:41:07,134 --> 02:41:10,137
that we can discuss to come

5232
02:41:10,137 --> 02:41:11,138
up with what makes the

5233
02:41:11,138 --> 02:41:13,140
math problem work, right? And so I

5234
02:41:13,140 --> 02:41:16,140
don't --I continually tell jay

5235
02:41:16,143 --> 02:41:18,143
this, I look

5236
02:41:19,146 --> 02:41:21,114
at this as an opportunity,

5237
02:41:21,114 --> 02:41:22,115
right? Whatever financial risk that

5238
02:41:22,115 --> 02:41:24,115
are embedded in

5239
02:41:24,117 --> 02:41:27,120
our format of how we do business here

5240
02:41:27,120 --> 02:41:29,122
at uta, these are all things that

5241
02:41:29,122 --> 02:41:31,124
are opportunities for us to face. So I

5242
02:41:31,124 --> 02:41:33,124
just wanted

5243
02:41:34,127 --> 02:41:36,527
to say that before

5244
02:41:37,130 --> 02:41:38,131
I moved on to

5245
02:41:38,131 --> 02:41:39,132
capital.

5246
02:41:39,132 --> 02:41:40,133
>> it's almost quotable, vi. We'll

5247
02:41:40,133 --> 02:41:42,133
just have

5248
02:41:43,136 --> 02:41:46,139
it on this side of our

5249
02:41:46,139 --> 02:41:48,139
office while --

5250
02:41:49,142 --> 02:41:50,143
to remind us.

5251
02:41:50,143 --> 02:41:51,144
>> thanks,

5252
02:41:51,144 --> 02:41:52,145
vi. We'll go through the 2026 tentative

5253
02:41:52,145 --> 02:41:54,145
capital budget. Kind

5254
02:41:54,147 --> 02:41:58,118
of the same format as what we went

5255
02:41:58,118 --> 02:41:59,119
through over

5256
02:41:59,119 --> 02:42:00,120
the five-year plan, and we'll proceed

5257
02:42:00,120 --> 02:42:01,121
accordingly. So these are project

5258
02:42:01,121 --> 02:42:02,122
adjustments. I

5259
02:42:02,122 --> 02:42:04,124
won't go through these all individually,

5260
02:42:04,124 --> 02:42:06,124
as we've

5261
02:42:06,126 --> 02:42:09,129
done a lot of them, just call out

5262
02:42:09,129 --> 02:42:10,130
some of the numbers on the right may seem

5263
02:42:10,130 --> 02:42:11,131
a little different as

5264
02:42:11,131 --> 02:42:13,133
the previous slide show was in the context

5265
02:42:13,133 --> 02:42:15,133
of the

5266
02:42:16,136 --> 02:42:18,136
full plan,

5267
02:42:19,139 --> 02:42:21,141
and these just represent

5268
02:42:21,141 --> 02:42:22,142
changes in 2026. So the list is shorter,

5269
02:42:22,142 --> 02:42:24,542
but you can kind

5270
02:42:25,145 --> 02:42:28,115
of --we already visit a lot of

5271
02:42:28,115 --> 02:42:30,115
them. If there's

5272
02:42:30,117 --> 02:42:31,118
any questions, please let us know.

5273
02:42:31,118 --> 02:42:32,119
>>

5274
02:42:32,119 --> 02:42:33,120
we'll

5275
02:42:33,120 --> 02:42:34,121
give you a few seconds on this slide,

5276
02:42:34,121 --> 02:42:36,121
because we're

5277
02:42:37,124 --> 02:42:39,124
not going

5278
02:42:40,127 --> 02:42:43,727
to climb through this all again.

5279
02:42:52,139 --> 02:42:54,139
>> out of curiosity,

5280
02:42:55,142 --> 02:42:57,144
where does the wheel

5281
02:42:57,144 --> 02:42:58,145
train machine originate from?

5282
02:42:58,145 --> 02:42:59,146
>> where

5283
02:42:59,146 --> 02:43:00,147
we

5284
02:43:00,147 --> 02:43:01,114
buy them?

5285
02:43:01,114 --> 02:43:02,115
>> where the tariff hit? >>

5286
02:43:02,115 --> 02:43:03,116
I believe

5287
02:43:03,116 --> 02:43:04,117
it's germany, but I'll follow up.

5288
02:43:04,117 --> 02:43:05,118
>>

5289
02:43:05,118 --> 02:43:06,119
okay.

5290
02:43:06,119 --> 02:43:07,120
>> I will

5291
02:43:07,120 --> 02:43:09,120
follow up

5292
02:43:10,123 --> 02:43:12,123
with

5293
02:43:12,125 --> 02:43:13,126
them on that.

5294
02:43:13,126 --> 02:43:15,126
>> just more curious.

5295
02:43:34,147 --> 02:43:35,115
here are

5296
02:43:35,115 --> 02:43:37,117
the project categories we've addressed

5297
02:43:37,117 --> 02:43:38,118
already.

5298
02:43:38,118 --> 02:43:40,118
>> that

5299
02:43:40,120 --> 02:43:41,121
represented a total reduction

5300
02:43:41,121 --> 02:43:42,122
of $13 million. So --thanks.

5301
02:43:42,122 --> 02:43:43,123
>> as

5302
02:43:43,123 --> 02:43:46,126
you can see the total budget

5303
02:43:46,126 --> 02:43:48,126
at the bottom

5304
02:43:49,129 --> 02:43:51,131
is that $331.7 million I alluded to. And,

5305
02:43:51,131 --> 02:43:54,731
again, our revenue vehicles is the

5306
02:43:55,135 --> 02:43:57,135
largest category

5307
02:43:58,138 --> 02:44:00,538
coming in at just

5308
02:44:01,141 --> 02:44:04,144
under $120 million. So here's some more

5309
02:44:04,144 --> 02:44:06,544
as it relates to

5310
02:44:07,147 --> 02:44:09,116
the project categories

5311
02:44:09,116 --> 02:44:12,716
and their respective funding sources. So,

5312
02:44:13,120 --> 02:44:17,320
again, the $331.7 million at the bottom, the

5313
02:44:18,125 --> 02:44:19,126
grant is the largest again I believe

5314
02:44:19,126 --> 02:44:21,126
--

5315
02:44:21,128 --> 02:44:22,129
I can't see them, but $110.7 million. Thank

5316
02:44:22,129 --> 02:44:24,129
you. And

5317
02:44:24,131 --> 02:44:25,132
then we have combined the state and

5318
02:44:25,132 --> 02:44:28,132
local partner here to show

5319
02:44:28,135 --> 02:44:29,136
that the uta funds and the lease funds are

5320
02:44:29,136 --> 02:44:31,138
shown together here, so

5321
02:44:31,138 --> 02:44:34,738
there's -- and then the bonds

5322
02:44:37,144 --> 02:44:40,144
are shown at the end.

5323
02:44:40,147 --> 02:44:42,115
>> irk I know

5324
02:44:42,115 --> 02:44:43,116
this, but rail system expansion, the

5325
02:44:43,116 --> 02:44:45,116
$31 million,

5326
02:44:45,118 --> 02:44:46,119
is that a udot thing?

5327
02:44:46,119 --> 02:44:47,120
>> so let me

5328
02:44:47,120 --> 02:44:49,120
pull

5329
02:44:49,122 --> 02:44:52,125
my list real quick. But part of

5330
02:44:52,125 --> 02:44:54,125
that

5331
02:44:56,129 --> 02:44:57,130
would include the s-line extension.

5332
02:44:57,130 --> 02:44:59,130
>> okay.

5333
02:45:01,134 --> 02:45:02,135
>> so the frontrunner 2x program is

5334
02:45:02,135 --> 02:45:04,135
in

5335
02:45:04,137 --> 02:45:05,138
there, the orange and red line

5336
02:45:05,138 --> 02:45:07,140
realignment project is in there, the

5337
02:45:07,140 --> 02:45:10,140
s-line extension is the largest

5338
02:45:10,143 --> 02:45:13,143
of that group for sure

5339
02:45:13,146 --> 02:45:15,115
at just over $31

5340
02:45:15,115 --> 02:45:16,116
million. And then the frontrunner

5341
02:45:16,116 --> 02:45:18,116
south extension from

5342
02:45:18,118 --> 02:45:19,119
the pro to payson study is also included

5343
02:45:19,119 --> 02:45:21,119
in that, and

5344
02:45:22,122 --> 02:45:23,123
then the last one

5345
02:45:23,123 --> 02:45:24,124
is the frontrunner point improvement.

5346
02:45:24,124 --> 02:45:25,125
>>

5347
02:45:25,125 --> 02:45:27,125
and I

5348
02:45:28,128 --> 02:45:31,128
imagine by system enhancement, is

5349
02:45:31,131 --> 02:45:33,131
that

5350
02:45:34,134 --> 02:45:36,134
5600 west mostly

5351
02:45:36,136 --> 02:45:37,137
or --

5352
02:45:37,137 --> 02:45:38,138
>> yes. Min valley has still a pretty big budget

5353
02:45:38,138 --> 02:45:40,138
in there next

5354
02:45:40,140 --> 02:45:41,141
year

5355
02:45:41,141 --> 02:45:42,142
as well, so --

5356
02:45:42,142 --> 02:45:43,143
>> okay. >> yeah. >>

5357
02:45:43,143 --> 02:45:45,143
and

5358
02:45:46,146 --> 02:45:47,147
I think --I'm sorry. He got the snickers

5359
02:45:47,147 --> 02:45:49,116
bar answered on the planning question. We

5360
02:45:49,116 --> 02:45:52,119
have nicole here if you have any further

5361
02:45:52,119 --> 02:45:53,120
questions on it.

5362
02:45:53,120 --> 02:45:55,120
>> I was

5363
02:45:55,122 --> 02:45:56,123
interested --

5364
02:45:56,123 --> 02:45:58,123
>> okay. >> --

5365
02:45:58,125 --> 02:45:59,126
to know sort of how those

5366
02:45:59,126 --> 02:46:01,128
-- had some local planning things,

5367
02:46:01,128 --> 02:46:03,528
and is that just

5368
02:46:04,131 --> 02:46:05,132
stuff when things come up that you

5369
02:46:05,132 --> 02:46:07,132
can respond

5370
02:46:07,134 --> 02:46:08,135
to it or --

5371
02:46:08,135 --> 02:46:10,135
>> specifically

5372
02:46:10,137 --> 02:46:13,140
on the $1.3, it's broken out in

5373
02:46:13,140 --> 02:46:15,142
several different departments I

5374
02:46:15,142 --> 02:46:16,143
have.

5375
02:46:16,143 --> 02:46:17,144
>> yeah. >> nicole burdo, chief

5376
02:46:17,144 --> 02:46:18,145
planning and engagement officer. So

5377
02:46:18,145 --> 02:46:19,146
if

5378
02:46:19,146 --> 02:46:20,147
you look at our capital, we have a

5379
02:46:20,147 --> 02:46:21,148
way finding

5380
02:46:21,148 --> 02:46:22,115
plan, and we're going to come back

5381
02:46:22,115 --> 02:46:24,115
to

5382
02:46:25,118 --> 02:46:27,118
you all

5383
02:46:28,121 --> 02:46:31,121
about how that's phased. But

5384
02:46:31,124 --> 02:46:32,125
that's about $600,000. Also we have

5385
02:46:32,125 --> 02:46:34,125
the

5386
02:46:34,127 --> 02:46:37,130
bus optimization which is now bus and

5387
02:46:37,130 --> 02:46:39,130
speed and

5388
02:46:40,133 --> 02:46:43,136
reliability which is 100k. We have

5389
02:46:43,136 --> 02:46:46,139
planning studies of 300. And as you

5390
02:46:46,139 --> 02:46:47,140
know, that's not significant enough

5391
02:46:47,140 --> 02:46:49,140
to do

5392
02:46:49,142 --> 02:46:52,145
one study. But what we use

5393
02:46:52,145 --> 02:46:53,146
that funding for for 2026 or what's

5394
02:46:53,146 --> 02:46:55,115
proposed is to

5395
02:46:55,115 --> 02:46:58,118
do our mapping and design requests

5396
02:46:58,118 --> 02:47:02,122
that we use that -- with gis, and

5397
02:47:02,122 --> 02:47:03,123
most of this

5398
02:47:03,123 --> 02:47:05,125
goes through our program management contract

5399
02:47:05,125 --> 02:47:08,125
of hntb. We also use

5400
02:47:08,128 --> 02:47:10,128
it for a

5401
02:47:11,131 --> 02:47:12,132
freeway study that we'll be

5402
02:47:12,132 --> 02:47:14,134
completing, micromobility accommodations infrastructure,

5403
02:47:14,134 --> 02:47:15,135
along with our park

5404
02:47:15,135 --> 02:47:16,136
and ride utilization, the study is

5405
02:47:16,136 --> 02:47:17,137
finished, but now we need to look

5406
02:47:17,137 --> 02:47:18,138
at

5407
02:47:18,138 --> 02:47:20,140
who's using it, what the tool looks

5408
02:47:20,140 --> 02:47:22,540
like and how many

5409
02:47:23,143 --> 02:47:25,145
people are there. This will help

5410
02:47:25,145 --> 02:47:27,147
in our development. And then an innovative

5411
02:47:27,147 --> 02:47:29,116
mobility solutions, we reduced everything out

5412
02:47:29,116 --> 02:47:32,119
of that that was grant dependent,

5413
02:47:32,119 --> 02:47:34,119
and so you'll

5414
02:47:35,122 --> 02:47:37,522
see our udot partnership

5415
02:47:38,125 --> 02:47:39,126
with tsp.

5416
02:47:39,126 --> 02:47:40,127
>> okay. Thank

5417
02:47:40,127 --> 02:47:41,128
you. That was helpful.

5418
02:47:41,128 --> 02:47:42,129
>> thanks. >>

5419
02:47:42,129 --> 02:47:44,131
before we move off this slide, I

5420
02:47:44,131 --> 02:47:46,133
also want to point out that as

5421
02:47:46,133 --> 02:47:50,137
you can see the grant total, that's

5422
02:47:50,137 --> 02:47:53,137
1/3 of our capital budget. And

5423
02:47:54,141 --> 02:47:56,143
it really is a timing issue. We've

5424
02:47:56,143 --> 02:47:57,144
seen --experienced

5425
02:47:57,144 --> 02:47:59,146
a timing issue over this last year,

5426
02:47:59,146 --> 02:48:00,147
so I just want to highlight

5427
02:48:00,147 --> 02:48:03,116
the fact that that continues to be

5428
02:48:03,116 --> 02:48:05,118
a bit out of our control sometimes. So

5429
02:48:05,118 --> 02:48:07,118
the ebb

5430
02:48:08,121 --> 02:48:10,121
and flow of

5431
02:48:10,123 --> 02:48:14,127
the grant revenue coming in is really, yes,

5432
02:48:14,127 --> 02:48:15,128
our grant office, our

5433
02:48:15,128 --> 02:48:17,130
grant department works very hard to process

5434
02:48:17,130 --> 02:48:19,130
whatever we will

5435
02:48:20,133 --> 02:48:22,133
need

5436
02:48:23,136 --> 02:48:26,139
to send, but we sometimes have issues

5437
02:48:26,139 --> 02:48:29,142
with the timing of receiving the

5438
02:48:29,142 --> 02:48:30,143
funds.

5439
02:48:30,143 --> 02:48:31,144
>> we want to take a moment

5440
02:48:31,144 --> 02:48:32,145
to thank fsh for responding to us.

5441
02:48:32,145 --> 02:48:33,146
>>

5442
02:48:33,146 --> 02:48:34,147
well, you

5443
02:48:34,147 --> 02:48:35,115
know, that award helps.

5444
02:48:35,115 --> 02:48:36,116
>> just wave

5445
02:48:36,116 --> 02:48:38,116
it

5446
02:48:38,118 --> 02:48:39,119
in front of them. Thanks.

5447
02:48:39,119 --> 02:48:41,119
>>

5448
02:48:41,121 --> 02:48:43,123
all right. So here's some

5449
02:48:43,123 --> 02:48:44,124
of the more major milestones. We'll

5450
02:48:44,124 --> 02:48:46,124
highlight a couple

5451
02:48:46,126 --> 02:48:47,127
of them. Obviously we talked about

5452
02:48:47,127 --> 02:48:49,127
mvx coming

5453
02:48:50,130 --> 02:48:52,530
online. Our s-line construction

5454
02:48:53,133 --> 02:48:54,134
will begin in earnest next

5455
02:48:54,134 --> 02:48:56,136
year. The amount og 10 admin building construction

5456
02:48:56,136 --> 02:48:59,139
will begin, and then the fare

5457
02:48:59,139 --> 02:49:00,140
system project is anticipated to be

5458
02:49:00,140 --> 02:49:02,140
completed next year,

5459
02:49:02,142 --> 02:49:04,142
as well

5460
02:49:05,145 --> 02:49:06,146
as the

5461
02:49:06,146 --> 02:49:08,115
new radio system installation continuing. So

5462
02:49:08,115 --> 02:49:09,116
here's the

5463
02:49:09,116 --> 02:49:11,118
state of good repair slide that I

5464
02:49:11,118 --> 02:49:12,119
thought was in

5465
02:49:12,119 --> 02:49:14,121
the previous presentation but is now

5466
02:49:14,121 --> 02:49:16,521
here. So you can

5467
02:49:17,124 --> 02:49:19,124
see

5468
02:49:20,127 --> 02:49:22,127
next year the

5469
02:49:22,129 --> 02:49:23,130
sgr number is 59%, non-sgr about 41%. And

5470
02:49:23,130 --> 02:49:24,131
then

5471
02:49:24,131 --> 02:49:26,133
highlighting the more major projects

5472
02:49:26,133 --> 02:49:29,133
under each of those, actually,

5473
02:49:29,136 --> 02:49:32,139
light rail has a large portion

5474
02:49:32,139 --> 02:49:35,142
of our sgr program there, and

5475
02:49:35,142 --> 02:49:37,144
then the two larger non-sgr

5476
02:49:37,144 --> 02:49:38,145
projects are the midvalley and s-line

5477
02:49:38,145 --> 02:49:40,145
extension. I'll turn

5478
02:49:41,148 --> 02:49:42,115
it over to vi.

5479
02:49:42,115 --> 02:49:44,115
>> okay. So

5480
02:49:44,117 --> 02:49:46,119
our next steps, we

5481
02:49:46,119 --> 02:49:47,120
are here today reviewing this tentative budget,

5482
02:49:47,120 --> 02:49:49,120
and

5483
02:49:49,122 --> 02:49:50,123
hopefully on october 8th when we return

5484
02:49:50,123 --> 02:49:52,123
to

5485
02:49:53,126 --> 02:49:56,129
the board meetings, you will consider adopting the

5486
02:49:56,129 --> 02:49:57,130
tentative budget. And then we'll go

5487
02:49:57,130 --> 02:49:59,132
to public hearings, and then we'll

5488
02:49:59,132 --> 02:50:01,532
go back to the

5489
02:50:02,135 --> 02:50:03,136
local advisory council and consult

5490
02:50:03,136 --> 02:50:05,136
on the

5491
02:50:05,138 --> 02:50:07,140
full package. And then december

5492
02:50:07,140 --> 02:50:10,740
3rd we'll discuss the final budget,

5493
02:50:11,144 --> 02:50:13,544
and december 17th, if

5494
02:50:14,147 --> 02:50:16,116
all

5495
02:50:16,116 --> 02:50:17,117
goes well, we will have adopted budget.

5496
02:50:17,117 --> 02:50:19,117
>> and

5497
02:50:19,119 --> 02:50:20,120
some interesting walkup music.

5498
02:50:20,120 --> 02:50:21,121
>>

5499
02:50:21,121 --> 02:50:22,122
there

5500
02:50:22,122 --> 02:50:23,123
you go. I don't know. I kind of liked

5501
02:50:23,123 --> 02:50:24,124
the

5502
02:50:24,124 --> 02:50:26,126
intro music to the five year. We will

5503
02:50:26,126 --> 02:50:27,127
make that part of the budget

5504
02:50:27,127 --> 02:50:28,128
discussion.

5505
02:50:28,128 --> 02:50:30,528
>> does anybody have any

5506
02:50:31,131 --> 02:50:33,133
final questions or questions about

5507
02:50:33,133 --> 02:50:34,134
the timeline? Okay. Thank you for

5508
02:50:34,134 --> 02:50:35,135
your efforts there. And we know a

5509
02:50:35,135 --> 02:50:37,135
lot

5510
02:50:38,138 --> 02:50:41,141
of work went into it. So thank

5511
02:50:41,141 --> 02:50:43,541
you. I just would

5512
02:50:44,144 --> 02:50:45,145
note that our next meeting will be

5513
02:50:45,145 --> 02:50:46,146
on

5514
02:50:46,146 --> 02:50:47,147
wednesday, october the 8th. With that,

5515
02:50:47,147 --> 02:50:49,147
I would entertain

5516
02:50:50,117 --> 02:50:51,118
a motion for

5517
02:50:51,118 --> 02:50:52,119
adjustment.

5518
02:50:52,119 --> 02:50:53,120
>> motion to adjourn. >>

5519
02:50:53,120 --> 02:50:54,121
second.

5520
02:50:54,121 --> 02:50:56,121
>> all

5521
02:50:56,123 --> 02:50:58,123
in favor say