Adopted Biennial Budget - Amazon Web...

July 1, 2015 – June 30, 2016and

July 1, 2016 – June 30, 2017

SANTA CLARA VALLEY TRANSPORTATION AUTHORITY

AdoptedBiennial Budget

Fiscal Years 2016 and 2017

1508-0252

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Santa Clara Valley Transportation Authority Santa Clara County, California Adopted Biennial Budget

Fiscal Years 2016 and 2017

Adopted by the Board of Directors June 4, 2015

ABOUT VTA

The Santa Clara Valley Transportation Authority (VTA) is an independent special district responsible for bus and light rail operation, regional commuter and inter-city rail service, Americans with Disabilities Act (ADA) paratransit service, congestion management, specific highway improvement projects, and countywide transportation planning. As such, VTA is both an accessible transit provider and a multi-modal transportation planning and implementation organization involved with transit, roadways, bikeways, and pedestrian facilities. VTA provides services to cities throughout Santa Clara County including Campbell, Cupertino, Gilroy, Los Altos, Los Altos Hills, Los Gatos, Milpitas, Monte Sereno, Morgan Hill, Mountain View, Palo Alto, San Jose, Santa Clara, Saratoga, and Sunnyvale.

The Government Finance Officers Association of the United States and Canada (GFOA) presented a Distinguished Budget Presentation Award to Santa Clara Valley Transportation Authority for its biennial budget for the biennium beginning July 1, 2013. In order to receive this award, a governmental unit must publish a budget document that meets program criteria as a policy document, as an operations guide, as a financial plan, and as a communications device. This award is valid for a period of two years only. We believe our current budget continues to conform to program requirements, and we are submitting it to GFOA to determine its eligibility for another award.

VTA FY 2016 & FY 2017 ADOPTED BIENNIAL BUDGET

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Table of Contents

Message from the General Manager/CEO ................................................................................. 1 Budget Guide & Document Organization .................................................................................. 4

SECTION 1 - INTRODUCTION TO VTA Organization Overview Organization Profile ................................................................................................ 7 Board of Directors................................................................................................... 8 Organization Structure .......................................................................................... 13 Executive Management Team............................................................................... 14 Vision/Mission/Values .......................................................................................... 15 Strategic Plan Goals .............................................................................................. 17 Long-Range Planning ........................................................................................... 18 Funded Programs .................................................................................................. 19 Appropriation Summary ....................................................................................... 23 Budget Development Process Operating Budget: Development Process ............................................................................... 24 Calendar ................................................................................................... 26 Capital Budget: Development Process ............................................................................... 28 Calendar ................................................................................................... 30 Amendment & Transfer Process ....................................................................................... 31 Budget Resolution ............................................................................................................. 32

SECTION 2 - VTA TRANSIT Operating Overview ............................................................................................................... 37 Operating Budget Assumptions ............................................................................ 41 Comparison of Revenues and Expenses Schedule................................................ 52 Sources and Uses of Funds Summary ................................................................... 55

5-Year Projection .................................................................................................. 56 Division Budgets: Division Budget Summary Table.............................................................. 57 Office of the General Manager ................................................................. 58 Auditor General ........................................................................................ 60 Office of the General Counsel .................................................................. 61 Business Services ...................................................................................... 64 Engineering & Transportation Infrastructure Development ..................... 71


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Finance & Budget ..................................................................................... 77 Government Affairs .................................................................................. 84 Office of the Chief of Staff ....................................................................... 87 Operations ................................................................................................. 93 Planning & Program Development ......................................................... 102 System Safety & Security ....................................................................... 107 Non-Departmental................................................................................... 111

Capital Program Overview .............................................................................................. 112 Schedule of FY 2016 & FY 2017 Appropriation................................................ 114 Description of FY 2016 & FY 2017 Appropriated Projects ............................... 116 Schedule of Total Available Appropriation ........................................................ 137 Debt Service Detail Debt Policy Overview ......................................................................................... 144 Debt Service Schedules....................................................................................... 145 Overview of Outstanding Debt Issues ................................................................ 146

SECTION 3 - 2000 MEASURE A TRANSIT IMPROVEMENT PROGRAM Program Overview .......................................................................................................... 149 Operating Operating Budget Assumptions ................................................................................ 150 Comparison of Revenues and Expenses Schedule.................................................... 151 Sources and Uses of Funds Summary ....................................................................... 152 Capital Capital Budget Assumptions..................................................................................... 153 Schedule of FY 2016 & FY 2017 Appropriation...................................................... 154 Description of FY 2016 & FY 2017 Appropriated Projects ..................................... 155 Schedule of Total Available Appropriation .............................................................. 162 Debt Service Detail Debt Policy Overview ......................................................................................... 165 Debt Service Schedules....................................................................................... 166 Overview of Outstanding Debt Issues ................................................................ 167

SECTION 4 - CONGESTION MANAGEMENT PROGRAM

Program Overview .......................................................................................................... 169 Comparison of Revenues and Expenses Schedule.......................................................... 171 Sources and Uses of Funds Summary ............................................................................. 172 Member Assessments...................................................................................................... 173


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SECTION 5 - VTP HIGHWAY IMPROVEMENT PROGRAM Program Overview .......................................................................................................... 175 Schedule of FY 2016 & FY 2017 Appropriation............................................................ 176 Description of FY 2016 & FY 2017 Appropriated Projects ........................................... 177 Schedule of Total Available Appropriation .................................................................... 187

SECTION 6 - MISCELLANEOUS PROGRAMS Joint Development Program Program Overview .................................................................................................... 191 Comparison of Revenues and Expenses Schedule.................................................... 192 Sources and Uses of Funds Summary ....................................................................... 193 Schedule of Total Available Appropriation .............................................................. 193 Silicon Valley Express Lanes Program Program Overview .................................................................................................... 194 Comparison of Revenues and Expenses Schedule.................................................... 196 Sources and Uses of Funds Summary ....................................................................... 197 Projected Designated Reserves ................................................................................. 197 BART Operating Sales Tax Program Program Overview .................................................................................................... 198 Comparison of Revenues and Expenses Schedule.................................................... 199 Sources and Uses of Funds Summary ....................................................................... 199

SECTION 7 - APPENDICES A. Financial Policies ...................................................................................................... 201 B. Ad Hoc Financial Recovery Committee ................................................................... 206 C. VTA Transit Fund Unrestricted Net Assets/Reserves .............................................. 211 D. Job Classifications and Pay Range ........................................................................... 214 E. Revenue and Expense Category Descriptions – VTA Transit .................................. 221 F. Revenue and Expense Category Descriptions – 2000 Measure A ............................ 223 G. Revenue and Expense Category Descriptions – CMP .............................................. 224 H. Revenue and Expense Category Descriptions – Miscellaneous ............................... 225 I. 1996 Measure B Transportation Improvement Program .......................................... 226 J. VTA/ATU Pension Plan ........................................................................................... 228 K. Santa Clara County Demographic and Economic Information ................................ 229 L. List of Acronyms ...................................................................................................... 237 M. Glossary of Terms ..................................................................................................... 240

Index ......................................................................................................................................... 253


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Passenger Boarding Light Rail Vehicle

Palo Alto Transit Center

Paratransit Vehicles


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Message from the General Manager/CEO

This document presents the Santa Clara Valley Transportation Authority’s (VTA) biennial budget for fiscal years 2016 and 2017. The budget was developed using a “service-level budgeting” approach. As such, the budget incorporates the projected impact of service changes and improvements from the Annual Transit Service Plan as well as the impact of new programs and initiatives. In addition, the capital budget continues VTA’s commitment to maintaining assets in a state of good repair and advance our long-term capital programs.

The Adopted FY 2016 and FY 2017 Biennial Budget includes a net increase in annualized bus service hours of 7.5 percent over the two years. One component of the increase is the County’s first Bus Rapid Transit project, helping riders travel our busiest and most congested corridors, which is scheduled to begin service in early to mid-2016. Another element is the gradual adjustment of service frequency and routing in preparation for the opening of VTA’s BART Silicon Valley Extension in late 2017 or early 2018. The corresponding component of service enhancements, of course, is ridership. Santa Clara County has seen a substantial increase in population and employment in recent years. Our ridership however has remained relatively flat. In an effort to explore how VTA can better serve the County and increase ridership, we are embarking on the development of a ridership growth plan, a comprehensive strategy for increasing transit ridership in a sustainable manner. This plan will identify additional areas for VTA service improvements and an overall first-last mile service plan. A definite success story for ridership and serving the County is special event service to Levi’s Stadium in Santa Clara. In the first year of stadium operation, VTA safely and securely transported more than 400 thousand riders to over 25 events including professional and college football, soccer, hockey, various concerts, and even professional wrestling. Nearly one-quarter of the over 66,000 attendees at the San Jose Sharks vs. Los Angeles Kings hockey game in February 2015 took VTA to the stadium. We look forward to carrying more passengers in the years to come including for Super Bowl 50 in February 2016. As the transit provider, transportation planner, and congestion management agency for Santa Clara County, the heart of Silicon Valley, VTA has the unique opportunity to leverage the ingenuity and innovation inherent in Silicon Valley culture. VTA is looking at a myriad of ways to improve the transit customer experience, offer better transportation choices, and optimize our vehicles, roadways and other mobility infrastructure.


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In February 2015 VTA opened an Innovation Center at our River Oaks headquarters. The Innovation Center is a space where VTA teams, companies, startups and students can develop, test

and showcase new transportation technology. The innovation center is a space to focus on these efforts and a living laboratory for testing technology. Innovation is about more than technology. But many of the exciting projects we have underway are focused on tech: mobile apps, connected vehicles, big data, and using Silicon Valley’s ingenuity to invent new approaches to transit, connected vehicles and mobility.

One innovative endeavor to both improve the transit customer experience and increase ridership is a new dynamic transit service pilot program scheduled to launch in mid-fall of 2015. This pilot program will test the feasibility of a specialized service that may include a blend of fixed and flexible routing strategies, on demand features, varying pick-up and drop-off locations and subscription reservation and real-time tracking. In addition to the service enhancements and ridership and technology initiatives mentioned above, we also continue to advance our long-term capital programs. VTA’s BART Silicon Valley Extension project continues to move forward with Phase I nearing completion. The extension to Milpitas and Berryessa including related parking and roadway facilities is scheduled to be completed and in pre-revenue testing by June 2017. We are also looking to the future of capital program needs in the County and have launched a planning process called Envision Silicon Valley. This effort takes a close look at Santa Clara County’s transportation needs to prepare for a potential 2016 transportation sales tax ballot measure and the next long-range transportation plan update. The process is designed to engage community leaders and stakeholders in a dynamic visioning process to discuss current and future transportation needs, identify solutions and craft funding priorities. Goals and principles for the program were developed and adopted by VTA’s Board of Directors. Each transportation project submitted for consideration will be analyzed using evaluation criteria crafted to measure how each project compares against the board-adopted goals. Budget Highlights

The Adopted VTA Transit Fund Budget for FY 2016 and FY 2017 includes an operating budget of $419.6 million and $423.6 million respectively. Fiscal Year 2016 budgeted expenditures are $33.6 million over projected FY 2015 actual of $386.1 million. This increase is composed primarily of higher labor, security, professional and special services, data processing, debt service, and paratransit costs. Expenditures for FY 2017 are expected to increase $4.1 million over FY 2016 primarily due to higher labor and paratransit costs offset by a decrease in contributions to other agencies resulting from a one-time payment in FY 2016.


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Total VTA Transit Fund revenues are projected at $420.2 million in FY 2016 and $419.8 million in FY 2017. Fiscal Year 2016 revenues are expected to decrease $7.9 million from current FY 2015 projections of $428.1 million due to a reduction of Federal Formula Funds designated for preventive maintenance and a change in methodology to set-aside the local share of future capital expenditures, offset by an increase in sales tax based revenues. Revenues for FY 2017 are expected to decrease $0.4 million over FY 2016 due to a decrease in Federal Formula Funds resulting from a one-time receipt in FY 2016 offset by increased sales tax based revenues. The Fiscal Years 2016 and 2017 Capital Budget for VTA Transit appropriates $167.3 million in capital projects including the procurement of 40’ and 60’ articulated buses, as well as $26.2 million in state of good repair maintenance to the light rail system. Nearly 59% of the FY 2016 and FY 2017 Capital Program is funded with grants or other non-VTA sources. The FY 2016 and FY 2017 Adopted 2000 Measure A Transit Improvement Program Capital Budget includes new appropriation of $421.9 million. VTA’s BART Silicon Valley Extension Project accounts for $237.0 million of the new appropriation. An additional $74.1 million is appropriated for the bus related program of projects, primarily Bus Rapid Transit (BRT).

The Adopted Congestion Management Program (CMP) Fund Budget for FY 2016 and FY 2017 is $6.0 million and $5.8 million respectively. Fiscal Year 2016 budgeted expenditures increase $588 thousand from FY 2015 projected actual due primarily to increased professional services costs and VTA staff support of activities in the CMP work plan. Expenditures for FY 2017 are expected to decrease $173 thousand from FY 2016 due to timing of various work plan activities. The total new appropriation for VTP Highway Improvement Program Projects for FY 2016 and FY 2017 is $102.7 million. One hundred percent of the VTP Highway Improvement Program expenditures will be funded by grants, through agreements with the appropriate city, a fund exchange (consisting of state funding sources swapped with 2000 Measure A Funds) or other external sources.

In summary, budgets can be described as programs with numbers and as such the FY 2016 and FY 2017 Adopted Biennial Budget reflects the planned service, activities, and initiatives for the two-year period as well as VTA’s focus on innovation and the future. Nuria I. Fernandez General Manager/CEO


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Budget Guide & Document Organization

The Santa Clara Valley Transportation Authority’s Adopted Biennial Budget Book contains numerous financial and statistical schedules as well as general information about the Authority, the service area it covers, and its organizational structure. The following information is presented to assist the reader in using the budget document efficiently and effectively. Document Organization The Adopted Biennial Budget Book covers two fiscal years (2016 and 2017) and is divided into seven sections; Introduction, VTA Transit, 2000 Measure A Transit Improvement Program, Congestion Management Program, VTP Highway Improvement Program, Miscellaneous Programs, and Appendices. Section 1 ~ Introduction to VTA This section is designed to provide the reader with high-level general information about the organizational structure and history, as well as the current biennial budget. Included here you will find information about the organization and its structure; information about the board of directors, committees and their structure; the Authority’s mission, vision, and values statements; the strategic plan goals of the organization; a discussion of VTA’s long-term planning; a description of funded programs; a summary appropriation schedule; an overview of the budget development process; and the current board resolution adopting the FY 2016 and FY 2017 Biennial Budget.

Section 2 ~ VTA Transit

The Santa Clara Valley Transportation Authority is an independent public agency responsible for bus and light rail operation, regional commuter and inter-city rail service, Americans with Disabilities Act (ADA) paratransit service, congestion management, specific highway improvement projects, and countywide transportation planning. This section presents the transit activities of VTA, which includes bus and light rail operation, regional commuter and inter-city rail service, and paratransit service.

This section starts with an overview of the services and programs, followed by an overview of the major budget assumptions, a comparison statement of revenues and expenses agency-wide, and a statement of sources and uses showing the projected change in operating reserve balance. The agency-wide information is then broken down to the division level including the expense budget, division responsibilities and organization charts, position detail, accomplishments from previous two years, goals and objectives for the two-year budget period, and performance measurements.

The next portion of this section contains information on the VTA Transit Fund Capital Program including a schedule of the FY 2016 and FY 2017 appropriation and project details, as well as a schedule of total available appropriation.


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This section concludes with debt service information including an overview of the debt policy and limits, schedules of outstanding debt, and descriptions of current obligations. Section 3 ~ 2000 Measure A Transit Improvement Program

The 2000 Measure A Transit Improvement Program is a thirty-year plan of major transit improvement capital projects approved by Santa Clara County voters in November 2000. Voter approval of this program included authorization of a 30-year, half-cent sales tax with collection beginning April 1, 2006. This section presents an introduction to the structure of the 2000 Measure A Transit Improvement Program. It also includes a comparison statement of revenues and expenses and a statement of sources and uses showing the projected change in undesignated reserve balance. This is followed by a list of budgeted capital projects with descriptions and funding sources, as well as a schedule of total available appropriation. The section ends with debt service information including an overview of the debt policy and limits, schedules of outstanding debt, and descriptions of current obligations.

Section 4 ~ Congestion Management Program

In 1994 VTA was designated as the Congestion Management Agency (CMA) for Santa Clara County through a joint powers agreement entered into by the fifteen cites and the County of Santa Clara. VTA’s Congestion Management Program serves as the CMA for Santa Clara County.

This section presents the activities of the Congestion Management Program starting with an introduction to its structure and work program. The section goes on to include a comparative schedule of revenues and expenses, statement of sources and uses showing the projected change in fund balance, and a list of members and their budgeted contribution.

Section 5 ~ VTP Highway Improvement Program The Valley Transportation Plan (VTP) Highway Improvement Program includes highway improvement projects identified in the long-range countywide transportation plan for Santa Clara County (County). VTP 2040 is the current approved long-range countywide transportation plan. VTA enters into construction agreements with cities in the County for various highway projects that are included in VTP 2040.

This section includes an introduction to the VTP Highway Improvement Program, a list of budgeted capital projects with descriptions and funding sources, and a schedule of total available appropriation.


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Section 6 ~ Miscellaneous Programs This section contains the overview, comparison statement of revenues and expenses, and statement of sources and uses for three miscellaneous programs: Joint Development Program, Silicon Valley Express Lanes Program, and BART Operating Sales Tax Program. Section 7 ~ Appendices This section provides the reader with additional information about VTA and the materials included in this document. Information is included on VTA’s fiscal policies; 2010 Ad Hoc Financial Recovery Committee; VTA Transit Unrestricted Net Assets; job classifications and pay ranges; line item descriptions for revenue and expense categories; 1996 Measure B Transportation Improvement Program; VTA/ATU (Amalgamated Transit Union) Pension plan; general demographic and economic information on Santa Clara County; acronym definitions; and a glossary of terminology used in the document.

Mountain View Double Track Project

Capitol Expressway Pedestrian Improvements

SECTION 1 INTRODUCTION TO VTA

522 Rapid Bus in Downtown San Jose


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Organization Profile

As an independent special district responsible for bus and light rail operation, regional commuter and inter-city rail service, paratransit service, congestion management, specific highway improvement projects, and countywide transportation planning, Santa Clara Valley Transportation Authority (VTA) provides transit services to the 326 square mile urbanized portion of Santa Clara County that is composed of 15 cities and towns and unincorporated areas with a total population of more than 1.8 million residents. The County of Santa Clara lies immediately south of San Francisco Bay and is the sixth most populous county in the State of California. It encompasses an area of approximately 1,300 square miles. The County was incorporated in 1850 as one of the original 28 counties of the State and operates under a home rule charter adopted by County voters in 1950 and amended in 1976. Additional demographic and economic information on the County can be found in Appendix K.


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Board of Directors

Membership VTA is an independent special district governed by its own Board of Directors. The Board consists of 12 voting members and 6 alternates, all of whom are elected officials appointed to serve on the Board by the jurisdictions they represent. In addition, Metropolitan Transportation Commissioners who reside in Santa Clara County and who are not members or alternates of the Board are invited to serve as Ex Officio members. Board membership is based on city groupings as follows:

Group Number Grouping Representatives

1 San Jose 5 Directors 1 Alternate

2 Los Altos Los Altos Hills Mountain View Palo Alto

1 Director 1 Alternate

3 Campbell Cupertino Los Gatos Monte Sereno Saratoga


4 Gilroy Morgan Hill


5 Milpitas Santa Clara Sunnyvale

2 Directors 1 Alternate

6 Santa Clara County 2 Directors 1 Alternate

Other Metropolitan Transportation Commissioners

Ex Officio

The 2015 VTA Board of Directors, Alternates, and Ex Officio members are listed on the following page.


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2015 VTA Board Members

Perry Woodward Chairperson

Mayor Pro Tem City of Gilroy

Cindy Chavez Vice Chairperson

Supervisor County of Santa Clara

Jason Baker* Vice-Mayor

City of Campbell

Magdalena Carrasco Councilmember City of San Jose

Jose Esteves Mayor

City of Milpitas

Rose Herrera Vice-Mayor

City of San Jose

Ash Kalra Councilmember City of San Jose

Johnny Khamis Councilmember City of San Jose

Rich Larsen

Councilmember Town of Los Altos Hills

Sam Liccardo* Mayor

City of San Jose

David Whittum Councilmember

City of Sunnyvale

Ken Yeager Supervisor

County of Santa Clara

Board Member Alternates

Jeannie Bruins Mayor Pro Tem

City of Los Altos

Larry Carr Mayor Pro Tem

City of Morgan Hill

David Cortese* Supervisor


Jamie L. Matthews Mayor

City of Santa Clara

Howard Miller Mayor

City of Saratoga

Raul Peralez Councilmember City of San Jose

Ex Officio Board Member

None *Jason Baker, David Cortese, and Sam Liccardo also serve on the Metropolitan Transportation Commission.


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Board of Directors

Committee Structure Given the range and complexity of policy issues they oversee, the VTA Board of Directors has established a set of committees to advise it on policy matters and to provide in-depth review of individual issues before the Board of Directors takes final action. The individual committees and their responsibilities are described on the following pages.

Board of Directors

Advisory Committees

Bicycle and Pedestrian Advisory Committee

Citizens Advisory Committee

Committee for Transit Accessibility

Policy Advisory Committee

Technical Advisory Committee

Standing Committees(Composed of Members of the Board)

Administration and Finance Committee

Congestion Management Program and Planning

Committee

Governance and AuditCommittee

SVRT Program Working Committee

Transit Planning and Operations Committee

Policy Advisory Boards

Diridon Station Joint Policy Advisory Board

Downtown/East Valley Policy Advisory Board

El Camino Real Rapid Transit Policy Board

Silicon Valley Rapid Transit Corridor and BART

Warm Springs Extension Policy Advisory Board


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Standing Committees The Board Standing Committees meet once a month, with the exception of the Silicon Valley Rapid Transit (SVRT) Program Working Committees which meets every two months, to review proposed policies. Committee recommendations are forwarded to the full Board of Directors for final approval. Committees other than the Governance and Audit Committee consist of four Board members who are nominated by the Chairperson and appointed by the Board for a term of one calendar year. The Governance and Audit Committee consists of the Board Chairperson, Board Vice Chairperson, Administration and Finance Committee Chairperson, Congestion Management Program and Planning Committee Chairperson, and the Transit Planning and Operations Committee Chairperson. The general responsibilities of each individual committee are as follows: Administration and Finance Committee The Administration and Finance Committee reviews policy recommendations about the general administration of VTA including administrative policies and procedures, legislative affairs, human resources, and fiscal issues.

Congestion Management Program and Planning Committee The Congestion Management Program and Planning Committee reviews policy recommendations about the Congestion Management Program and Countywide Transportation Plan including the integration of transportation and land-use planning, the programming of discretionary state and federal funds, and air-quality planning. Governance and Audit Committee The Governance and Audit Committee focuses on the management and coordination of the Board of Directors to assist it with guiding the organization to best accomplish VTA’s strategic objectives. The committee also oversees the activities of the VTA Auditor General function and reviews policy decisions required to ensure the integrity of VTA financial statements, compliance with legal and regulatory requirements, and an effective system of internal management and financial controls. SVRT Program Working Committee The SVRT Program Working Committee reviews policy recommendations pertaining to the activities and imminent issues of the Silicon Valley Rapid Transit (SVRT) Program. Transit Planning and Operations Committee The Transit Planning and Operations Committee reviews policy recommendations about transit planning, transit capital projects, transit operations, and marketing.

Advisory Committees In addition to the Board Standing Committees, the VTA Board of Directors has established a group of advisory committees. These committees, which do not set VTA policy, review policies under development to ensure that they meet the needs of VTA’s constituents: customers, elected officials, the business community, and others. These committees, which meet once a month except as noted, are described below.


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Bicycle and Pedestrian Advisory Committee The committee consists of 16 members representing each of the 15 cities and the County. This committee advises the Board on funding and planning issues for bicycle and pedestrian projects and serves as the countywide bicycle advisory committee for Santa Clara County. Citizens Advisory Committee The committee consists of 17 members representing business, labor, environmental, and other community groups with interest in transportation. The committee advises the Board on issues of interest to the committee’s members and the communities they represent and serves as the oversight body for the 2000 Measure A Transit Improvement Program. Committee for Transit Accessibility The committee consists of 21 voting members and one ex officio, non-voting member. This committee’s members include twelve persons with disabilities, nine representatives of human service agencies within the county, and one ex officio member who is an employee of VTA’s paratransit broker. The committee advises the Board on bus and rail accessibility issues, paratransit service, public facilities and programs, and VTA’s efforts to fully comply with the federal Americans with Disabilities Act (ADA). This committee meets quarterly. Policy Advisory Committee The committee consists of one city council member from each of the 15 cities and 1 member from the Santa Clara County Board of Supervisors. This committee advises the Board on policy issues, as well as the countywide transportation plan (Valley Transportation Plan-VTP 2040), the Short Range Transit Plan (SRTP), development of the biennial budget, and tariff and service modifications. This committee ensures that all jurisdictions within the county have access to the development of VTA’s policies. Technical Advisory Committee The committee consists of 1 staff member (usually the Public Works Director or Planning Director) from each of the 15 cities, the County, and various other local government agencies. In addition, VTA and the California Department of Transportation may each appoint one ex officio and one alternate, non-voting member. The committee advises the Board on technical issues related to transportation.

Transit Corridor Policy Advisory Boards The purpose of these Policy Advisory Boards (PAB) is to ensure that the local jurisdictions affected by major transportation improvement projects are involved in planning, design, and construction. Each PAB consists of two Board members and other elected officials from jurisdictions within a particular corridor. There are currently four active PABs:

Diridon Station Joint Policy Advisory Board Downtown/East Valley Policy Advisory Board El Camino Real Rapid Transit Policy Board Silicon Valley Rapid Transit Corridor and BART Warm Springs Extension Policy

Advisory Board


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Organization Structure

VTA’s broad array of responsibilities and functions are organized into eight divisions as depicted in the organization chart below. With the same responsibilities of a President or Chief Executive Officer, VTA’s General Manager oversees and manages all facets of the organization under policy direction from the Board of Directors. While each division has distinct roles and responsibilities, they work collaboratively to deliver results through an Executive Management Team composed of the General Manager, General Counsel, Auditor General, Board Secretary, and Division Chiefs and Directors. Additional information on each division and the offices of General Manager, General Counsel, and Auditor General can be found on pages 58-111.

Board of Directors

GeneralManager/CEO

4 FTEs

GeneralCounsel13 FTEs

AuditorGeneral

Government

Affairs4 FTEs

Office of the Chief of Staff

61 FTEs

Operations1,733 FTEs

Planning & Program

Development 46 FTEs

BusinessServices

150 FTEs

Finance

& Budget

82 FTEs

Engineering & Transportation Infrastructure Development

90 FTEs

Diversity &

Inclusion

Enterprise RiskManagement

HumanResources

Information Technology

Capital Project Controls

Programmingand Grants

Employee Relations

Property

Development and Management

Accounting

FRR, Highways,and Engineering

Services

Rail andFacilities

Government

Affairs

Community Engagement

Market

Development

Creative Services

Customer Service

Board Office

Budget

Disbursements

Fare Programs &Systems

Finance

Bus and RailTransit

Operations

Maintenance

Service andOperations Planning

Planning

Project

Development

SVRT Program

System Safety &

Security34 FTEs

Protective Services

Transit System Safety

Procurement &

Contracts

Communications

FTEs as of 6/30/15


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Executive Management Team

Nuria I. Fernandez

General Manager/CEO

Robert Fabela General Counsel

Pat Hagan

Auditor General

Bernice Alaniz Public Affairs and Marketing Director

Elaine Baltao

Board Secretary

Inez Evans Chief of Staff

Carolyn Gonot

Engineering and Transportation Infrastructure Development Director

Michael Hursh Chief Operating Officer

Steven Keller

System Safety and Security Director

Jim Lawson Government Affairs Director

Gary Miskell

Chief Information Officer

John Ristow Planning & Program Development Director

Raj Srinath

Chief Financial Officer

Vacant Business Services Director


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VTA Vision/Mission/Values

In 2008, VTA adopted new Mission and Vision statements and a set of values that support the vision and mission. They are designed to meet the evolving mobility needs of Santa Clara County and reflect current economic and environmental realities. The Vision, Mission and Values of VTA are presented below.


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VTA’s values reflect what we believe and how we will behave. They guide the agency’s decision-making and are applied to everything VTA does. Each value is represented by a value statement as follows: Dependability

We provide services, and deliver projects, on schedule and within budget. Quality

We ensure that the services we deliver, and projects that we build, are well designed and maintained to preserve the investment that has been made. Sustainability

We design our services and projects to minimize the negative impacts on our environment, and in a way that can be maintained over time. Safety Our services are delivered in a way that promotes the health and safety of our employees and the public. Integrity

We conduct our business in an ethical, honest, transparent manner. Diversity

We value, respect and serve the unique needs of our community Accountability

As stewards of the natural resources and tax revenues of the county, we take responsibility for our actions and honestly report our successes and challenges to stakeholders and the public.


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VTA Strategic Plan Goals

Strategic goals are a fundamental component of any planning process as they provide a framework for the development of strategies to attain VTA’s objectives. VTA’s Strategic Plan is built on its vision, mission and values. The Authority has defined eight goals that, taken together, advance VTA’s vision and mission. 1. Maintain Financial Stability: VTA seeks to manage costs, maximize revenues and balance

system expansion with maintenance of existing service. 2. Improve Mobility and Access: VTA will invest resources and services in areas with

greatest need to enhance the quality of life of all residents, including vulnerable populations. VTA will provide a selection of transportation modes to attract choice riders, as well as promote the economic vitality of our region.

3. Integrate Transportation and Land Use: VTA will advance the principles and practices in

the Community Design and Transportation Program and promote transit-oriented and pedestrian development in the County.

4. Enhance Customer Focus: VTA will put customers first by providing safe, reliable,

demand-driven service that reflects community input and promotes the benefits of transit. 5. Increase Employee Ownership: VTA aims to offer professional development,

advancement opportunities and reward personal investment to make VTA an employer of choice.

6. Build Ridership on Transit System: Increase VTA’s operating efficiency, reduce road

congestion and promote sustainability. 7. Improve Relationships throughout the County: Leverage resources, facilitate information

sharing and tap expertise in private and public sector organizations. 8. Deliver on Capital Program: Build projects that complement and enhance the core services

within available resources. The strategic plan goals serve as the basis for the FY 2016 and FY 2017 division specific goals presented on pages 62-109.


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Long-Range Planning

The strategic plan goals discussed on page 17 provide a framework for the development of VTA’s long-term, mid-term, and near-term plans and budgets.

The Valley Transportation Plan (VTP) provides a long-range vision for transportation systems and services in Santa Clara County. The VTP identifies programs, projects, and policies over the lifetime of the plan to facilitate meeting the mission and vision of the organization. It connects projects and programs with anticipated funds and provides a framework for the development and maintenance of the transportation system over a 25-year horizon. It considers all travel modes and addresses the links between transportation systems, land use planning, air quality, energy use, and community livability. The Short Range Transit Plan (SRTP) is a planning document that represents VTA’s plan for transit service over a 10-year horizon. The SRTP illustrates a financially constrained projection of transit-related capital and operating expenses and revenues. Capital needs are guided largely by those identified in the long-term plan (VTP). A Financial Forecasting Model is used to identify the projected operating and capital expenditures as well as the forecasted revenues based on various economic and service level assumptions. The adopted two-year capital and operating budgets are used as the base years for the Financial Forecasting Model. The financial capacity identified by the Model determines the constraints on the plan.

Strategic Plan Goals

Valley Transportation Plan (VTP)

Short Range Transit Plan (SRTP)/Biennial Budget


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Funded Programs

The Santa Clara Valley Transportation Authority (VTA) is an independent special district responsible for bus and light rail operation, regional commuter and inter-city rail service, paratransit service, congestion management, specific highway improvement projects, and countywide transportation planning. As such, VTA is both an accessible transit provider and a multi-modal transportation planning and implementation organization involved with transit, roadways, bikeways, and pedestrian facilities. In December 1994, VTA was designated as the Congestion Management Agency and changed from being exclusively a transit provider to an organization responsible for countywide transportation planning, funding, and congestion management within the County. VTA, in partnership with the County of Santa Clara, assumed the responsibility for implementing the 1996 Measure B Transportation Improvement Program of transit and highway improvement projects. In addition, VTA is responsible for implementing the latest voter-approved transportation improvement measure – the 2000 Measure A Transit Improvement Program, an essential element of the Valley Transportation Plan (VTP 2040). The FY 2016 and FY 2017 Adopted Biennial Budget consists of seven independent Funds, each corresponding to a specific program:

VTA Transit 2000 Measure A Transit Improvement Program Congestion Management Program VTP Highway Improvement Program Joint Development Program Silicon Valley Express Lanes Program BART Operating Sales Tax Program

The General Manager may reallocate appropriations between budget types (e.g., operating or capital) and budget units (e.g., division, cost group, or project) within each Fund up to the limits of the Funds’ annual appropriation. Any net increase in authorized appropriations to any Fund requires an affirmative vote of at least eight Board members. The seven appropriated Funds fall into two categories for accounting purposes: Enterprise funds and Governmental funds.

Enterprise Funds Governmental Funds VTA Transit 2000 Measure A Transit Improvement Program Joint Development Program Silicon Valley Express Lanes Program BART Operating Sales Tax Program

Congestion Management Program VTP Highway Improvement Program


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The chart below depicts the relationship between the appropriated Funds and VTA’s current divisional structure. All VTA employees and divisions are reported in the VTA Transit Fund. The lightly shaded boxes illustrate divisions where one or more departments in that division directly support other Funds.

Appropriated Fund/Division Relationship

Board of Directors

General Manager/CEO

VTP Highway Fund

Joint Development

Fund

Congestion Management

Fund

Silicon Valley Express Lanes

Fund

2000 Measure A Fund

BART Operating Sales Tax Fund

VTA Transit Fund

Business Services Division


Finance & Budget Division

Government Affairs Division


Division





Operations Division

Planning & Program Development

Division

Office of theChief of Staff

Division

Operations Division


Division


Division






Division


Division

Auditor General

General Counsel

Fund

Division

DirectSupport

Legend

System Safety & Security Division

_B2


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Below is a short description of each Program currently operated and administered by VTA. VTA Transit VTA Transit encompasses the operation of 77 bus routes and 3 light rail transit lines, 2 of which travel along the main trunk section between Tasman at the northern end and the Transit Mall in downtown San Jose for a portion of their route. In addition, VTA Transit funds paratransit and privately operated shuttle services in the County and participates in providing inter-regional commuter rail and express bus services. Additional information and the Operating and Capital Budgets in support of this program can be found in Section 2 - VTA Transit. 2000 Measure A Transit Improvement Program On November 7, 2000, Santa Clara County voters approved a 30-year half-cent sales tax to fund major transit projects. The tax was designed to take effect after the 1996 Measure B sales tax expired in March 2006. Collection of the 2000 Measure A half-cent sales tax commenced on April 1, 2006. Additional information and the Operating and Capital Budgets in support of this program can be found in Section 3 - 2000 Measure A Transit Improvement Program.

Congestion Management Program (CMP) VTA, as the Congestion Management Agency for Santa Clara County, is responsible for coordinating and prioritizing projects for state and federal transportation funds, administering the Transportation Fund for Clean Air Program, and coordinating land use and other transportation planning. Additional information and the Operating Budget in support of this program can be found in Section 4 - Congestion Management Program. VTP Highway Improvement Program The Valley Transportation Plan (VTP) Highway Program includes projects from the currently approved long-range countywide transportation plan for Santa Clara County. The VTP provides a comprehensive planning framework for VTA’s projects and programs. VTP 2040 is the current approved long-range Countywide Transportation Plan. Developed by VTA’s Congestion Management Program and adopted in October 2014, projects must be included in the plan as a pre-requisite for eligibility to receive Federal, State, regional, and local discretionary fund programming.


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Additional information and the Capital Budget in support of this program can be found in Section 5 - VTP Highway Improvement Program. 1996 Measure B Transportation Improvement Program (MBTIP) In November 1996, the voters in Santa Clara County approved Measure A, an advisory measure listing an ambitious program of transportation improvements for Santa Clara County. Also approved on the same ballot, Measure B authorized the County Board of Supervisors to collect a nine-year half-cent sales tax for general county purposes. Subsequently, the County Board of Supervisors adopted a resolution dedicating the tax for Measure A projects. Collection of the tax began in April 1997. The Measure B tax expired on March 31, 2006. As this program is nearing completion, there is no additional appropriation for this Fund included in the FY 2016 and FY 2017 Adopted Biennial Budget. Additional information on this program can be found in Appendix I.

Miscellaneous Programs Joint Development Program VTA has an extensive portfolio of real estate assets, many of which are presently underutilized. The Joint Development Program is responsible for managing the process by which development on these underutilized sites occurs. Silicon Valley Express Lanes Program The VTA Board of Directors approved the Silicon Valley Express Lanes Program (SVELP) on December 11, 2008. The SVELP has been undertaken to provide long-term mobility benefits and to provide another funding stream for transportation improvements. BART Operating Sales Tax Program On November 4, 2008, the voters of Santa Clara County approved 2008 Measure B. This 30-year eighth-cent sales and use tax is dedicated solely to providing the operating and maintenance expenses and capital reserve contribution for the Silicon Valley BART Extension. The tax commenced collection on July 1, 2012. Additional information and the Operating and Capital Budgets in support of these programs can be found in Section 6 - Miscellaneous Programs.


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Appropriation Summary1 (Dollars in Thousands)

Fund Fiscal Year 2016

Fiscal Year 2017

VTA Transit-Operating 419,579 423,647

VTA Transit-Capital 167,256 *

2000 Measure A Transit Improvement Program-Operating 80,787 84,639

2000 Measure A Transit Improvement Program-Capital 421,889 *

Congestion Management Program-Operating 5,991 5,818

VTP Highway Improvement Program-Capital 102,734 * Joint Development Program-Operating 230 230 Silicon Valley Express Lanes Program-Operating 1,028 1,071 BART Operating Sales Tax Program-Operating 201 256

* Total Appropriation for FY 2016 and FY 2017 reflected in FY 2016 Note: The Adopted Biennial Budget does not include appropriation for Fiduciary funds which are used to account for resources held for the benefit of parties outside VTA.

San Jose Tech Museum

1 Includes transfers between funds


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Operating Budget Development Process

The following process is used to develop the Operating Budget for all applicable Funds: VTA Transit, 2000 Measure A Transit Improvement Program, Congestion Management Program, Joint Development Program, Silicon Valley Express Lanes Program, and BART Operating Sales Tax Program. Like VTA’s audited financial statements, the biennial budget is developed using the accrual method of accounting: revenues are recognized in the period they are earned and expenditures are recognized in the period they are incurred. In order to reflect the business plan of the organization, the biennial budget is developed using a “service-level budgeting” approach. As such, the budget incorporates the projected impact of service changes and improvements from the Annual Transit Service Plan as well as the impact of new programs and initiatives. The Budget Department takes the first step in the development of the budget by reviewing prior processes for potential changes and improvements. Once this analysis has been completed, staff moves forward to develop a draft budget calendar which serves as a timeline guide through final budget adoption. Staff then conducts a planning meeting with the General Manager to determine the overall message and strategy for the two-year budget including the identification of major assumptions to be used and the finalizing of the budget calendar. In addition, general budget assumption guidelines are reviewed with various Advisory Committees, the Administration and Finance Committee, and the Governance and Audit Committee. A budget instruction packet is distributed including the above information along with detailed instructions and historical line item expense activity to be used by division budget coordinators and cost center managers in the development of their respective budgets. Initial budget requests from the divisions are reviewed by Budget Department staff for reasonableness, accuracy, completeness of information including reason for variance from prior periods, and conformity to the stated business plan or service level. Budget staff then meets with budget coordinators and/or cost center managers from each division to discuss questions or receive further clarification as needed. Based on these communications, budget staff then completes the Draft Proposed Budget. The Draft Proposed Budget is then reviewed by the Chief Financial Officer (CFO) and Deputy Director of Accounting and distributed to the division Chiefs and Directors in preparation for review with the General Manager. Budget review meetings are conducted to provide the General Manager an opportunity to review the budgets for each division one-on-one with executive management. Upon completion of this review process, the General Manager works with executive staff and the Budget Department to determine changes or recommendations to be included in the Proposed Budget submitted to the Board of Directors. The Proposed Budget is published and presented at a Board Budget Workshop for input from the Board of Directors and members of the public. Community meetings are also held at various


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locations throughout the county to receive additional public input and discuss the Proposed Budget. In addition, the Proposed Budget is presented at a joint Advisory Committee Workshop to receive their input and discussion. The comments received at the community meetings, as well as the Advisory Committee workshop, are provided to the Board for their review prior to adoption of the budget. The Final Proposed Budget, including any updates or changes subsequent to the Budget Workshop is presented to the Board for adoption at the regularly scheduled board meeting in June. Board adoption of the budget specifically authorizes the appropriation of funds. This appropriation is the legal authority to spend or otherwise commit VTA’s resources. While VTA adopts a biennial budget, each fiscal year is independently appropriated and operating appropriations expire at the end of the fiscal year.

Downtown San Jose Light Rail Station


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Operating Budget Calendar

Date Activity

August 1-31, 2014 Review and analyze prior operating budget processes

August 19, 2014 Planning/Strategy session with General Manager

October 22, 2014 Issue FY 2016 & FY 2017 budget instructions

November 26, 2014 Initial budget requests due to Budget Department

December 1-24, 2014 Review meetings with Budget Department, division Budget Coordinators and Cost Center Managers as needed

December 29, 2014 Draft Proposed Budget finalized

January 8-9, 2015 Draft Proposed Budget reviewed with CFO and Deputy Director of Accounting

January 14-15, 2015 Advisory Committee review of budget assumption guidelines

January 16, 2015 Draft Proposed Budget distributed to General Manager and executive management

January 22, 2015 Administration & Finance Committee review of budget assumption guidelines

January 27-February 3, 2015

General Manager, executive management, and budget staff meet to review and discuss Draft Proposed Budget

February 5, 2015 Board of Directors review of budget assumption guidelines

February 6-March 31, 2015 Proposed Budget finalized

March 5, 2015 Governance & Audit Committee review of Proposed Budget guiding principles

April 22, 2015 Proposed Budget distributed to Board and available to public

May 1, 2015 Board Budget Workshop


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Date Activity

May 4-6, 2015 Proposed Budget presented at community meetings

May 12, 2015 Proposed Budget presented to Joint Advisory Committee Workshop

May 22, 2015 Proposed Budget updated to reflect changes subsequent to Board Workshop and finalized

June 4, 2015 Final Proposed Budget adopted by VTA Board of Directors

Opportunity for public participation

Stand Up 4 Transportation Bus Wrap


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Capital Budget Development Process

Approximately nine months prior to the start of the Biennial Budget, the Budget Department issues a call for projects to all divisions for VTA capital programs: VTA Transit, 2000 Measure A Transit Improvement Program, VTP Highway Improvement Program, and Joint Development Program. The divisions determine which projects to submit based on a variety of factors. The Regional Transit Capital Inventory (RTCI) is used extensively to determine which assets are due for rehabilitation or replacement during the next two-year budget cycle. The RTCI is a spreadsheet database that provides information on each asset and sub-asset including age, expected life-cycle, and recommended rehabilitations required per life-cycle. In addition, regular asset inspections and specific needs assessments help to identify potential projects. Project managers are encouraged to work with staff in other divisions, consultants, or other sources to develop scopes of work and cost estimates for submitted projects. Requests for new projects or augmentations to existing project budgets are submitted using a Capital Project Request Form which includes the following information to assist in project prioritization: project description and technical details, project cost, project type, project justification, operating cost impacts, impact of deferring the project, and impact of downsizing the scope of the project. Once the Capital Project Request Forms are received, requests are reviewed by Budget Department staff for completeness and any outstanding questions or issues are resolved with the respective submitting department. The VTA Transit Capital Project Request Forms are reviewed with the Grants Department to determine potential grant eligibility. In addition, any newly requested 2000 Measure A Transit Improvement Program projects are reviewed with General Counsel to confirm they are eligible for 2000 Measure A funding. The completed Capital Project Request Forms are then forwarded to the Capital Improvement Program Working Group (CIPWG) for review. CIPWG is a staff-level committee formed to centralize VTA’s capital project request process and consists of two representatives per VTA division appointed by the respective Division Chief or Director. CIPWG is charged with rating the VTA Transit Capital Projects against established evaluation criteria. The criteria utilize a weighted scale to rank projects on the following characteristics: transit system preservation; transit system improvements; increases ridership; enhances safety and security; environmental sustainability; and cost impact. Once the VTA Transit Capital Projects have been rated by the CIPWG members, the ratings are consolidated and the projects are ranked by their respective scores. CIPWG’s VTA Transit project rankings and the Capital Project Request Forms for projects from all four programs are then forwarded to the Capital Improvement Program Oversight Committee (CIPOC) for review. CIPOC, which is composed of the Division Chiefs and Directors, is responsible for matching the VTA Transit requested projects with available levels of grant and local funding. The purpose of CIPOC’s analysis is to develop a cohesive and comprehensive capital improvement program recommendation to the General Manager.


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CIPOC’s recommended VTA Transit projects as well as the projects submitted for the other three capital programs are reviewed with the General Manager. Upon completion of this review process, the Budget Department staff works with executive management and the General Manager to determine changes or additions to the respective capital program budgets. Once the recommended capital programs have been finalized, Budget Department staff incorporates the projects into the Proposed Budget document by including general information about each project, funding sources for each project, and operating cost impacts. The Proposed Budget is published and presented at a Board Budget Workshop for input from the Board of Directors and members of the public. Community meetings are also held at various locations throughout the county to receive additional public input and discuss the Proposed Budget. In addition, the Proposed Budget is presented at a joint Advisory Committee Workshop to receive their input and discussion. The comments received at the community meetings, as well as the Advisory Committee workshop, are provided to the Board for their review prior to adoption of the budget. The Final Proposed Budget, including any updates or changes subsequent to the Budget Workshop is presented to the Board for adoption at the regularly scheduled board meeting in June. Board adoption of the budget specifically authorizes the appropriation of funds. This appropriation is the legal authority to spend or otherwise commit VTA’s resources. Capital appropriations, with the exception of the VTA Transit Capital Contingency, do not expire and are carried forward until the project is completed. Appropriation for the VTA Transit Capital Contingency expires at the end of the two-year budget cycle.

Downtown Campbell Light Rail Station


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Capital Budget Calendar

Date Activity

August 1-31, 2014 Review and analyze prior capital budget processes

September 19, 2014 Issue capital call for projects

October 31, 2014 Capital project requests due

November 3-19, 2014 Capital project request submittals reviewed by Grants and Budget Departments

November 24-December 15, 2014

CIPWG rates VTA Transit project submittals using established evaluation guidelines

December 19, 2014 CIPWG reviews consolidated project scores and rankings for VTA Transit projects

January 13, 2015 CIPOC reviews CIPWG VTA Transit project priority rankings

February 10, 2015 CIPOC finalizes recommended capital budget for all programs

February 20, 2015 General Manager and CIPOC members review recommended capital budgets

March 5, 2015 VTA Transit, 2000 Measure A, VTP Highway, and Joint Development Program capital budgets finalized

April 22, 2015 Proposed Budget distributed to Board and available to public

May 1, 2015 Board Budget Workshop

May 4-6, 2015 Proposed Budget presented at community meetings

May 12, 2015 Proposed Budget presented to Joint Advisory Committee Workshop

May 22, 2015 Proposed Budget updated to reflect changes subsequent to Board Workshop and finalized

June 4, 2015 Final Proposed Budget adopted by VTA Board of Directors

Opportunity for public participation


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Budget Amendment & Transfer Process

Budget Amendment Definition: Any increase to the Board authorized appropriation limit thereby allowing greater spending or commitment of resources than previously established by the Board. Application: From time to time, circumstances change requiring additional spending authority. Regardless if these changes are accompanied by additional resources, the adopted appropriation limit may not be exceeded without authorization from the Board. The adopted appropriation limit is the total of all expenditures for a specific fund as approved by the Board and specified via the budget resolution. Authority Required: Per the VTA Administrative Code, only the VTA Board of Directors can authorize a budget amendment and that authorization requires an affirmative vote by at least eight Board members.

Budget Transfer Definition: To move line item or project spending authority without increasing the Board authorized appropriation limit including those limits placed on specific funds. Application: From time to time, circumstances change wherein total spending authority remains intact; however, individual line item or project costs change. Regardless if these changes are accompanied by additional resources, a budget transfer may be necessary to appropriately and accurately reflect cost. Authority Required: The General Manager or his/her designee may authorize budget transfers between budget types (e.g., operating and capital budgets) and budget units (e.g., division, cost group, or project) within those Funds specified in the budget resolution. Division Chiefs and Directors may authorize budget transfers between non-labor line items within their respective divisions so long as they do not exceed the appropriated budget for said division.


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Resolution No. 2015.06.22

RESOLUTION OF THE BOARD OF DIRECTORS OF THE SANTA CLARA VALLEY TRANSPORTATION AUTHORITY (VTA)

ADOPTING A BIENNIAL BUDGET OF VTA FOR THE PERIOD JULY 1, 2015 THROUGH JUNE 30, 2017

(FY 2016 AND FY 2017)

WHEREAS:

1. Section 100071(b) of the California Public Utilities Code requires the Board of Directors to adopt an annual budget for VTA.

2. Pursuant to Section 11-2(d) of the VTA Administrative Code, the General Manager has

proposed that the Board of Directors adopt a biennial (two-year) budget.

3. The Board of Directors desires to adopt a biennial budget for the period July 1, 2015 through June 30, 2017 (FY 2016 and FY 2017).

4. Pursuant to Section 11-2(a) of the VTA Administrative Code the General Manager

presented the FY 2016 and FY 2017 Recommended Budget to the Board of Directors, and mailed a copy to each City Manager in the County of Santa Clara, and to the County Executive prior to May 15, 2015.

5. The Proposed Budget was reviewed by the Administration and Finance Committee on

May 21, 2015, and by the Board of Directors on May 1 and June 4, 2015, and at public meetings conducted throughout the County.

6. The Proposed Budget includes all administrative, operational and capital expenses for

the Congestion Management Program together with the apportionment of Congestion Management Program expenses by levy against the Managing Agency and each Member Agency to the extent necessary to fund the Congestion Management Program.

7. A list of employee position classifications and pay ranges is included in the

recommended budget, and the amount of funds budgeted for wages, salaries and benefits for FY 2016 and FY 2017 is based upon VTA’s position classification and pay ranges and is set forth in the Statement of Revenues and Expenses in the Recommended Budget.

8. The General Manager proposes an Operating Budget for the VTA Transit Fund for FY

2016 in the amount of $419,578,562 and for FY 2017 in the amount of $423,646,878.

9. The General Manager proposes a Capital Budget for the VTA Transit Fund for FY 2016 in the amount of $167,255,707.


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10. The General Manager proposes an Operating Budget for the 2000 Measure A Transit Improvement Program Fund for FY 2016 in the amount of $80,787,463 and for FY 2017 in the amount of $84,639,207.

11. The General Manager proposes a Capital Budget for the 2000 Measure A Transit

Improvement Program Fund for FY 2016 in the amount of $421,888,900. 12. The General Manager proposes an Operating Budget for the Congestion Management

Program Fund for FY 2016 in the amount of $5,990,871 and for FY 2017 in the amount of $5,817,587.

13. The General Manager proposes a Capital Budget for the VTP Highway Improvement

Program Fund for FY 2016 in the amount of $102,733,934. 14. The General Manager proposes an Operating Budget for the Joint Development

Program Fund for FY 2016 in the amount of $230,000 and for FY 2017 in the amount of $230,000.

15. The General Manager proposes an Operating Budget for the Silicon Valley Express

Lanes Program Fund for FY 2016 in the amount of $1,028,000 and for FY 2017 in the amount of $1,071,300.

16. The General Manager proposes an Operating Budget for the BART Operating Sales

Tax Program Fund for FY 2016 in the amount of $200,745 and for FY 2016 in the amount of $256,475.

17. The General Counsel, pursuant to Section 6-2 of the VTA Administrative Code has

prepared and recommended a Budget for the Office of General Counsel for FY 2016 and for FY 2017.

NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Santa Clara

Valley Transportation Authority that: 1. The Proposed Biennial Budget for the Santa Clara Valley Transportation Authority

(incorporated herein as though set forth at length), is hereby revised as stated in the attached Board Memorandum and adopted as VTA’s budget for FY 2016 and FY 2017.

2. Effective July 1, 2015, positions may be authorized and filled, as required, by the

General Manager and General Counsel, as appropriate, provided that total VTA-wide budget is not exceeded.

3. As necessary for efficient administration, position classifications may be added,

modified, or deleted and salary ranges adjusted with the approval of the General Manager or General Counsel, as appropriate, provided that the changes are in accordance with applicable VTA personnel policies and procedures and are consistent with pay practices in the transportation industry. Such changes shall include pay and


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classification adjustments arising from agreements between VTA and its recognized labor organizations.

4. Capital appropriations, which are not expended during the fiscal year, shall carry over

to successive fiscal years until the projects are completed or otherwise terminated. 5. The locally funded portion of the VTA Transit Fund capital appropriation carry over

shall be set-aside as a designation of Unrestricted Net Assets in the Comprehensive Annual Financial Report.

6. The budget shall consist of seven Funds: the VTA Transit Fund, the 2000 Measure A

Transit Improvement Program Fund, the Congestion Management Program Fund, the VTP Highway Improvement Program Fund, the Joint Development Program Fund, the Silicon Valley Express Lanes Program Fund, and the BART Operating Sales Tax Program Fund. The General Manager may reallocate appropriations between budget types and budget units within each Fund up to the limits of each Fund’s annual appropriation. Any net increase in authorized appropriations to any Fund (including an allocation from reserves) shall require an affirmative vote of at least eight Directors.

7. The Recommended Assessments of member agencies for the Congestion Management

Program are hereby approved. PASSED AND ADOPTED by the Santa Clara Valley Transportation Authority Board of Directors on June 4, 2015 by the following vote:

AYES: Baker, Carrasco, Herrera, Kalra, Khamis, Larsen, Liccardo,

Matthews, Whittum, Woodward, Yeager

NOES: None ABSENT: Chavez


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I HEREBY CERTIFY AND ATTEST that the foregoing resolution was duly and regularly introduced, passed and adopted by the vote of a majority of the Board of Directors of the Santa Clara Valley Transportation Authority, California, at a meeting of said Board of Directors on the date indicated, as set forth above. APPROVED AS TO FORM:


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Convention Center Light Rail Station

SECTION 2 VTA TRANSIT

Express Bus


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VTA Transit Operating

Overview VTA Transit encompasses the operation of 77 bus routes and 3 light rail transit lines, 2 of which travel along the main trunk section between Tasman at the northern end and the Transit Mall in downtown San Jose for a portion of their route. In addition, VTA Transit funds paratransit and privately operated shuttle services in the County and participates in providing inter-regional commuter rail and express bus services.

Bus Operations VTA has an active bus fleet of 495 buses. VTA’s bus fleet varies in size and configuration based on service requirements. The table on the following page reflects the current makeup of the active fleet.


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Active Bus Fleet (As of July 2015)

Bus Type Number of Vehicles

Articulated (60’) 69 Standard (40’) 257 Hybrid (40’) 85 Express (40’) 40 Community (30’) 44 Total 495

The average age of the active fleet is 9.6 years. There are 3,845 bus stops and 821 shelters along the bus routes. VTA also maintains 7 bus park & ride lots. Buses are operated and maintained from three operating divisions and an Overhaul and Repair (O&R) facility: Cerone Operating Division, Don Pedro Chaboya Operating Division, North Operating Division, and Cerone O&R Division. Light Rail Transit (LRT) VTA operates a 42-mile LRT system connecting the Silicon Valley industrial areas of Mountain View, Sunnyvale, Santa Clara, North San Jose and Milpitas to residential areas in East and South San Jose and Campbell. The LRT system has a total of 61 stations and 21 park & ride lots. It operates on three alignments: service between Santa Teresa in South San Jose and Alum Rock in East San Jose, service between downtown Mountain View and the Winchester Station in Campbell, and shuttle service between the Almaden and Ohlone-Chynoweth Stations in South San Jose. A fleet of 99 Kinkisharyo low floor light rail vehicles, stored and maintained at the Guadalupe Operating Division near downtown San Jose, are used to operate these three rail lines. Paratransit Services VTA implemented a paratransit brokerage system in 1993, which operates throughout the service area. Paratransit service is a specialized form of transportation operated for persons with disabilities who cannot use fixed route public transit service. As an operator of bus and light rail service, the Authority is required under the Americans with Disabilities Act to ensure that paratransit service is provided to eligible individuals with disabilities. The level of service provided must be comparable, in terms of hours of service and area served, to the service provided by the bus and light rail system. The Authority does not directly provide paratransit service but contracts with Outreach and Escort, Inc. (OUTREACH), a paratransit broker. OUTREACH determines and certifies qualified individuals for paratransit eligibility, receives and schedules trip requests, builds vehicle manifests, and contracts for services with taxi, sedan, and accessible van service providers.


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Contracted and Interagency Transit Services VTA is also a partner in various ventures that expand the transportation options for our customers. These relationships include commuter rail, inter-county express bus lines, and rail feeder services. They are operated either by contract or through cooperative agreements. The following is a description of these services:

Caltrain Caltrain is a commuter rail service, provided by the Peninsula Corridor Joint Powers Board (PCJPB), which is composed of three member agencies: VTA, the San Mateo County Transit District (SamTrans) and the City and County of San Francisco. VTA provides funding for a portion of the operating and capital costs of the Caltrain commuter rail service. Eighty-six trains (including 22 Baby Bullet Express trains) operate between San Jose Diridon Station and San Francisco each weekday, with 40 of these trains extended to the Tamien Station in San Jose where a connection can be made to the LRT System. Connection to the LRT System can also be made at the San Jose Diridon and Mountain View Caltrain Stations. Six peak-hour weekday trains extend south of Tamien station to Gilroy. Hourly weekend service (36 Saturday trains and 32 Sunday trains) and 4 Baby Bullet Express trains each day are operated between San Jose Diridon Station and San Francisco. There are 31 stations along the line of which 15 are located in Santa Clara County. Funding of operating costs is apportioned to each member agency of the PCJPB and is based upon an average weekday passenger count by county conducted in February each year. SamTrans manages the service. Altamont Commuter Express The Altamont Commuter Express (ACE) is administered and funded under a cooperative agreement among VTA, the Alameda County Congestion Management Agency and the San Joaquin Regional Rail Commission (SJRRC). ACE provides four peak hour round trips on weekdays from the Central Valley to Santa Clara County. Stations along the 85-mile route are located in Stockton, Lathrop, Tracy, Livermore (2), Pleasanton, Fremont, Santa Clara (2), and San Jose. The service operates on tracks owned by the Union Pacific railroad. ACE service began in October 1998. SJRRC is the owner, operator, and policymaking body for ACE service. Pursuant to the ACE agreement, funding of operating costs is based on Fiscal Year 2003 contributions, escalated annually by consumer price index increases. VTA also provides eight free shuttles to transport ACE riders from the Great America Station in Santa Clara to destinations throughout the Silicon Valley. These shuttles are funded by a grant from the Bay Area Air Quality Management District and ACE. Capitol Corridor Intercity Rail Service VTA is also a member of the Capitol Corridor Joint Powers Authority (Capitol Corridor JPA) that provides Capitol Corridor Intercity Rail Service, which runs 30 week-day trains between Sacramento and Oakland, with 15 continuing to San Jose. Stops are located at stations in Auburn, Rocklin, Roseville, Sacramento, Davis, Suisun/Fairfield, Martinez, Richmond, Berkeley, Emeryville, Oakland (2), Hayward, Fremont, Santa Clara (2) and San Jose. The Capitol Corridor JPA is composed of VTA, the Sacramento Regional Transit District, the Placer County Transportation Planning Agency, the Congestion Management Agencies of Solano and Yolo Counties, and the San Francisco Bay Area Rapid Transit District (BART). Under contract with the Capitol Corridor JPA, BART manages the service and Amtrak


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operates the service on tracks owned by Union Pacific Railroad. Funding is provided by the State of California.

Inter-County Bus Services VTA sponsors three inter-county bus services through cooperative arrangements with other transit systems:

1. The Dumbarton Express is a transbay express bus route operating between the Union

City BART station and Stanford Research Park in Palo Alto. The service is administered and governed by the Alameda-Contra Costa Transit District (AC Transit) with oversight by the Dumbarton Bridge Regional Operations Consortium, comprised of AC Transit, BART, Union City Transit, SamTrans, and VTA. The service is operated and maintained by MV Transportation and is funded by Regional Measure 2.

2. The Highway 17 Express, operating between Santa Cruz, Scotts Valley, and

downtown San Jose, is an inter-county bus service operated through a cooperative arrangement between VTA, the Santa Cruz Metropolitan Transit District (METRO), the Capitol Corridor JPA, and Caltrans. VTA and METRO share the majority of weekday net operating costs equally. The Capitol Corridor JPA and Caltrans provide funding for weekend and holiday service and for certain weekday trips. The service is managed and operated by METRO.

3. The Monterey-San Jose Express operates daily from Monterey to San Jose with three

round trips, covering commute times in the morning, mid-day, and evening. The service provides passengers with transfers to and from Capitol Corridor trains that operate between San Jose-Oakland-Sacramento, Caltrain, and VTA’s bus and light rail services. The service originates in downtown Monterey with other stops in Monterey County before stopping at the Gilroy Caltrain Station, Morgan Hill Caltrain Station, San Jose State University, downtown San Jose and the San Jose Diridon Station. The Monterey-San Jose Express is a partnership of Monterey-Salinas Transit (MST), the Capitol Corridor JPA, and VTA. MST operates and maintains the service.

San Jose Airport Flyer VTA, in partnership with the City of San Jose, provides free Airport Flyer bus service connecting the Norman Y. Mineta San Jose International Airport terminals and airport employee parking lots with the Authority's Metro/Airport Light Rail Station and the Santa Clara Caltrain Station. VTA operates and funds this service and the City of San Jose provides some operating subsidy each year. Downtown Area Shuttle (DASH) VTA, in partnership with San Jose State University, provides free shuttle bus service connecting the Diridon Caltrain Station, Downtown San Jose, and San Jose State University. VTA operates and funds this service in conjunction with San Jose State University and grants from the Bay Area Air Quality Management District’s Transportation Fund for Clean Air Program.


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VTA Transit Operating Budget Assumptions

In order to facilitate the preparation of the FY 2016 and FY 2017 Biennial Budget, several major assumptions relating to the economy, revenues, service levels, and other factors that affect costs were utilized. In addition to the general assumptions listed below, the biennial budget was developed using the “Guidance on Operating Expenditure Priorities, Key Financial Principles, and Deficit Reduction Targets” developed by the Ad Hoc Financial Recovery Committee and approved by the Board of Directors in December 2010. Additional information on the Ad Hoc Financial Recovery Committee and the priorities, principles, and targets can be found in Appendix B. Service Levels In conjunction with the budget development, VTA also prepares a Transit Service Plan that outlines service levels and specific route improvements, reductions, and modifications that will be made over the two years. The service plan undergoes public review and comment, including community meetings, before being presented to the VTA Board of Directors for approval. The FY 2016 and FY 2017 service plan was approved by the VTA Board of Directors on May 7, 2015. The Annual Transit Service Plan includes significant bus service changes for both Fiscal Years 2016 and 2017. These changes are made on a quarterly basis in January, April, July and October. The major bus service changes to be implemented over the two years include:

Introduction of a new route from San Jose Airport to Diridon Station via downtown San Jose.

Introduction of a new route from Sunnyvale to Component Light Rail Station. Introduction of new limited-stop service between De Anza College and Lockheed Martin via

Sunnyvale Transit Center. Transition of Rapid 522 to Bus Rapid Transit (BRT) and reallocation of service from Line

22 (15 minute weekday headways). Relocation of Express Line 180 to Warm Springs BART and reduction of midday headways. Improvement of midday and Sunday frequency of service on Express Line 181. Improvement of weekday and Sunday frequency and span of service on Line 323. Improvement of weekday frequency and span of service on Line 32. Reduction of weekday frequency and span of service on Lines 48 and 49.

Numerous other minor improvements, modifications, and reductions for bus are included as described in the Annual Transit Service Plan. Light rail service will have only minor modifications during the two-year period. The table on the following page shows a comparison of total service miles and hours for bus and light rail.


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Service Levels (In Thousands)

FY14 Actual

FY15 Adopted Budget

FY15 Actual

FY16 Adopted Budget

FY17 Adopted Budget

Service Miles Bus 17,772 18,511 18,369 19,932 20,889 Light Rail Train 2,205 2,223 2,231 2,234 2,236 Total Service Miles 19,977 20,734 20,600 22,166 23,125 % change 3.79% -0.65% 7.6% 4.32%

LR Car Miles 3,650 3,503 3,814 3,817 3,820 % change -4.04% 8.89% 0.08% 0.08%

Service Hours Bus 1,363 1,408 1,422 1,522 1,595 Light Rail Train 150 152 153 154 155 Total Service Hours 1,512 1,559 1,575 1,676 1,749 % change 3.12% 1.01% 6.40% 4.37%

Note: Totals and percentages may not be precise due to independent rounding.

Ridership Overall, FY 2015 system ridership (bus and rail) increased by 1.2% from the previous year. Bus ridership totaled 32.6 million, a 0.5% increase, and light rail ridership totaled 11.3 million, a 3.4% increase due primarily to service for events at Levi’s Stadium. Ridership projections for the FY 2016 and FY 2017 Biennial Budget are primarily driven by the enhancements to the bus service plan described above. The table below reflects the projected ridership for FY 2016 and FY 2017.

Ridership (In Thousands)

Category FY14 Actual

FY15 Actual

% Var

FY16 Adopted Budget

% Var

FY17 Adopted Budget

% Var

Bus Ridership 32,476 32,624 0.5% 33,318 2.1% 34,932 4.8% Light Rail Ridership 10,953 11,320 3.4% 11,683 3.2% 12,057 3.2% Total Ridership 43,428 43,944 1.2% 45,001 2.4% 46,989 4.4%



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Revenues Fares There is no change in the current fare pricing structure reflected in the FY 2016 and FY 2017 Adopted Budget. However, three fare policy adjustments were approved in conjunction with the budget process.

Day Pass Fare Media Currently VTA riders can purchase a Day Pass with cash from bus fareboxes or at light rail ticket vending machines. Clipper® users with cash value on their card can also get the benefit of a Day Pass automatically through a daily fare cap or “accumulator”. The current expense for Day Pass ticket stock used on buses is approximately $300,000 per year and Day Pass ticket jams have proven to be a major cause of bus system road calls Beginning January 2016, the Day Pass will become a “Clipper® only” fare option, both on bus and light rail. However, Day Passes will continue to be used for riders using Day Pass Tokens distributed through public agencies and social services.

Special Event Express Bus Fares Since the opening of Levi’s Stadium in August 2014, VTA has provided excellent transit service to patrons attending events at this facility. Moving large numbers of people quickly and efficiently was a key element of the Stadium Transit Operations Plan. Equally important is the sustainability of the services that VTA provides. The incremental cost of providing service to the stadium, net of sales tax benefits and fare revenues, has averaged approximately $109,500 per event. This amount, give the projected 30 plus events per year at the stadium is not sustainable without a mechanism to reimburse VTA for the incremental costs. The implementation of a Special Event Express Bus Fare was approved to help recoup the incremental cost of providing dedicated express bus service to events. The single ride fare is to be no less than $10.00 (each way).

BART Transfers Current arrangements for riders transferring between VTA and neighboring transit systems are complex and inconsistent. Transfer procedures elsewhere in the Bay Area also vary widely. This complexity of transfer policies creates challenges for customers and staff and has been identified as a major cost driver for the regional Clipper® fare collection system. To address this issue, transit operators throughout the region are transitioning to a coordinated policy providing a consistent $0.50 fare credit for inter-operator transfers for Adult fares only, and only when Clipper® is used. The revision to VTA’s policy for transfers from BART to VTA will take effect when BART initiates service to Warm Springs and VTA implements associated bus service changes.


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Sales Tax Based Revenues Sales tax based revenues include 1976 half-cent local sales tax, a quarter-cent state sales tax (from Transportation Development Act or TDA), and 2000 Measure A Sales Tax-Operating Assistance which is derived from 18.5% of 2000 Measure A half-cent sales tax revenues. As the chart below illustrates, roughly 79% of VTA’s budgeted operating revenues are generated from these sales tax measures, the proceeds from which are driven by the local economy.

FY 2016 and FY 2017 Budgeted Revenues

1976 Half-Cent Sales Tax In March 1976, voters approved a permanent half-cent sales and use tax to ensure the continued operation and development of transit service in Santa Clara County. During FY 2014, sales tax receipts from the 1976 half-cent sales tax increased 5.5%, following an increase of 6.1% in FY 2013. Year-to-date growth in FY 2015 has remained strong with year over year increases of 8.6%, 6.0%, and 7.2% for the first three quarters, respectively. To determine the optimal growth assumption for FY 2016 and FY 2017, staff reviewed economic projections and growth scenarios from multiple sources. These scenarios can

Fares10%

1976 Half-Cent Sales Tax

46%

Transportation Development Act

(TDA)24%

2000 Measure A Sales Tax-Operating Assistance

9%

STA4%

Operating Grants

2%

Other5%

Sales Tax Based-79%


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be classified into three categories: “Optimistic”, “Most Likely”, and “Pessimistic”. The Adopted Biennial Budget reflects the “Most Likely” scenario growth of 4.9% and 4.5% in FY 2016 and FY 2017, respectively.

TDA Transportation Development Act (TDA) funds are derived from a quarter-cent sales tax levied by the State on taxable transactions occurring in Santa Clara County. Under the 1971 legislation that created TDA, each county in California could elect to impose a quarter-cent sales tax to be collected by the state Board of Equalization and returned to them on a pro rata basis for public transportation purposes. Subsequent to the enactment of TDA, all 58 counties in California elected to impose such a sales tax within their jurisdictions. The Metropolitan Transportation Commission (MTC) retains a portion of these funds for administration and approximately 94.5% is returned to the source county, i.e., Santa Clara. Because the TDA funds are derived from the same tax base as the 1976 half-cent sales tax, the budgeted estimates are based on the same 4.9% and 4.5% growth listed above.

2000 Measure A Sales Tax-Operating Assistance In November 2000, Santa Clara County voters approved Measure A, which enacted a half-cent sales tax to be collected beginning April 1, 2006 and continuing for a period of 30 years. A portion of this tax is to be used to provide operating assistance for VTA Transit. The Adopted Biennial Budget includes 18.5% of the 2000 Measure A sales tax revenue to be used towards funding VTA operations. The 2000 Measure A tax is derived from the same taxable sales base as the 1976 half-cent tax and the same two-year growth projections were assumed. The chart and table on the following page reflect the eight-year historical and two-year budgeted receipts for these three sales tax based revenues.


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Sales Tax Based Revenue Trend (Dollars in Millions)

Sales Tax Based Revenue Trend (Dollars in Millions)


FY09 Actual

FY10 Actual

FY11 Actual

FY12 Actual

FY13 Actual

FY14 Actual

FY15 Actual1

FY16 Budget

FY17 Budget

1976 Sales Tax 163 138 140 154 167 177 186 200 207 217

TDA 84 73 66 74 82 86 90 94 97 102

2000 Measure A Sales Tax Operating Assistance

30 25 26 28 31 33 34 37 38 40

Total 277 236 232 256 279 296 310 331 343 359

Note: Totals may not be precise due to independent rounding.

1 Projection as of August 1, 2015; Preliminary Unaudited

$0

$50

$100

$150

$200

$250

$300

$350

$400

FY08Actual

FY09Actual

FY10Actual

FY11Actual

FY12Actual

FY13Actual

FY14Actual

FY15Actual*

FY16Budget

FY17Budget

1976 Sales Tax TDA 2000 Measure A Sales Tax-Operating Assistance *Projected


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State Transit Assistance (STA) Beginning in FY 2012, the state diesel sales tax rate was increased to 6.75% in conjunction with a corresponding drop in the per-gallon diesel fuel excise tax to ensure that consumers felt no impact at the pump. High-speed rail/transit bond debt service has first call on the revenues generated by the diesel sales tax. Any remaining revenues are split 75% to STA and 25% to intercity rail and other miscellaneous state transit programs. The intent is to ensure, at minimum, an annual STA Program of $350 million. The FY 2016 and FY 2017 Adopted Budget assumes an annual state level of $388 million based on the Governor’s January 2015 budget, of which VTA’s share would be approximately $14.8 million per year. The table below shows the eight-year historical and two-year budgeted receipts from STA.

STA Revenue Trend (Dollars in Thousands)

FY08

Actual FY09 Actual

FY10 Actual

FY11 Actual

FY12 Actual

FY13 Actual

FY14 Actual

FY15 Actual1

FY16 Budget

FY17 Budget

19,022 6,483 0 16,695 14,055 14,907 15,338 13,950 14,765 14,765

Federal Operating Grants President Obama signed MAP-21, the Moving Ahead for Progress in the 21st Century Act into law on July 6, 2012. MAP-21 is the first long-term highway funding authorization enacted since 2005. MAP-21 made the following changes to Federal Transit Administration (FTA) funding programs:

Combined the Job Access and Reverse Commute program (Section 5316) with the Urbanized Area Formula program (Section 5307) and the Non-urbanized Area Formula program (Section 5311);

Replaced the Fixed Guideway Modernization program (Section 5309 FG) with a new State of Good Repair program and High Intensity Bus program (Section 5337); and

Replaced the Bus and Bus Facilities discretionary program (Section 5309 Bus) with a new Bus and Bus Facilities formula program (Section 5339).

The MAP-21 Federal funding programs and their primary uses are as follows:

Section 5307 - Urbanized Area Funds: This is the largest and most flexible FTA formula fund. This fund encompasses eligible capital activities including preventive maintenance; the new “Transportation Alternatives” program, replacing the previous Transit



48

Enhancement program; and the set aside for support of Americans with Disabilities Act of 1990 (ADA) paratransit services.

Section 5337 - State of Good Repair Funding: This program replaces the old Section 5309 Fixed Guideway program and is restricted to rail system uses.

Section 5337 - High Intensity Bus, Section 5339 - Bus and Bus Facilities Funding, and

Surface Transportation Program: These funds are available for bus and bus facility projects. Only VTA’s Express Bus-related services are eligible for Section 5337 bus funding.

Although the Federal Transit Administration (FTA) Section 5307 grant program is designed primarily to fund capital acquisitions, funds can also be awarded for preventive maintenance activities in support of operations. In previous years VTA had used 100% of available Section 5307 funds for preventive maintenance to offset the loss of Sales Tax Revenues and STA funding. Starting in FY 2012, VTA began a reduction of this practice. This reduced level of capital funding for operating-related purposes is in accordance with the Ad Hoc Recovery Committee Key Financial Principle Number 2-“Limit Use of Capital Funding”. With the exception of $8.0M of preventive maintenance in FY 2016 to be received as a funding swap in support of the Mountain View Double Track Project and the set-aside in support of ADA, the Adopted Budget assumes 100% of Federal Section 5307, 5337, and 5339 grants towards capital replacement in both FY 2016 and FY 2017. The table below shows the eight-year historical and two-year budgeted receipts from federal operating grants.

Federal Operating Grant Revenue Trend (Dollars in Thousands)

FY08

Actual FY09 Actual

FY10 Actual

FY11 Actual

FY12 Actual1

FY13 Actual1

FY14 Actual1

FY15 Actual2

FY16 Budget

FY17 Budget

22,425 33,449 59,100 42,225 38,094 28,309 22,662 24,553 11,704 3,704

Transfer for Capital/Debt Reduction Fund Contribution The VTA Transit Fund does not have a dedicated local revenue source for capital expenditures. Any capital enhancements, improvements or state of good repair not covered by grants or other outside sources must be funded from the same sources as the Operating Budget, primarily sales tax based revenues. In previous years, VTA has relied on annual positive operating balances (which flow to the Debt Reduction Fund) to cover future year capital expenditures and was often forced to curtail the capital program during times of economic stress and delay maintenance needed to keep the system in a state of good repair.

1 Net of transfer for capital 2 Projection as of August 1, 2015; Preliminary Unaudited


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In order to demonstrate VTA’s commitment to the capital program, maintaining assets in a state of good repair, and providing a more predictable and stable capital funding level, the Adopted Budget reflects a change to the prior practice. Beginning in FY 2016 one-half of the estimated local capital funding need for the subsequent two-year budget cycle will be deducted from the revenues available to the Operating Budget and set-aside for the Capital Budget. In the FY 2016 and FY 2017 transition period to the new funding methodology, the available balance in the Debt Reduction Fund is used to supplement the future local funding need for capital. Expenses

Labor Costs As illustrated below, negotiated contracts with all bargaining units are scheduled to expire before or during the FY 2016 and FY 2017 budget term.

Contract Duration

The contracts for employees represented by the Amalgamated Transit Union, Local 265 (ATU) and Service Employees International Union, Local 521 (SEIU) which expired February 1 and May 31, 2015, respectively, were still under negotiation at the time of budget development. The contracts with the American Federation of State, County, and Municipal Employees, Local 101 (AFSCME) and Transportation Authority Engineers and Architects Association, Local 21 (TAEA) represented employees expire April 30 and June 30, 2016, respectively. The Adopted Biennial Budget reflects only wage increases that have previously been negotiated. Budgeting of additional costs, if any, for provisions of new contracts will be addressed upon contract ratification by the Board of Directors. The table on the following page shows the eight-year historical and two-year budgeted labor costs.

AFSCME

SEIU

TAEA

ATU

FY15 FY16


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Labor Cost Trend (Dollars in Thousands)

FY08 Actual

FY09 Actual

FY10 Actual

FY11 Actual

FY12 Actual

FY13 Actual

FY14 Actual

FY15 Actual1

FY16 Budget

FY17 Budget

240,155 246,150 246,539 248,373 262,556 272,552 280,690 289,390 308,673 319,134

FY 2016 and FY 2017 staffing reflects the net addition of 147 positions. The vast majority (145) of these additional positions are in support of the service changes described on page 41 and overall system maintenance. The table below shows the positions, including vacancies, by division for FY 2014 through FY 2017.

Position Summary by Division

Division FY142 FY153 FY164 FY174

Office of the General Manager 4 4 4 4 Office of the General Counsel 13 13 15 15 Business Services 158 150 151 151 Engineering & Transportation Infrastructure Development 98 90 88 88 Finance & Budget 85 82 81 81 Government Affairs 3 4 4 4 Office of the Chief of Staff 68 61 60 60 Operations 1,697 1,733 1,858 1,879 Planning & Program Development 54 46 46 46 System Safety & Security 35 34 35 35

Grand Total5 2,215 2,217 2,342 2,363

Non-Labor Costs In order to remain diligent in VTA’s ongoing efforts to contain costs and ensure that recurring expenditures do not outpace recurring revenues, non-labor costs for the FY 2016 and FY 2017 Budget were developed using FY 2014 actual expenditures as the base. Under most circumstances, the incremental requests only include contractual increases or those costs associated with new service, programs, or activities.

1 Projection as of August 1, 2015; Preliminary Unaudited 2 As of 6/30/14, division totals restated to reflect FY15 reorganizations 3 As of 6/30/15 4 Budgeted positions 5 Does not include Long-Term Leave positions


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Fuel The budget assumes $2.75 per gallon for diesel in FY 2016 and $2.85 in FY 2017, including taxes and fees. Assumptions include an average usage rate of 4.4 miles per gallon for 19.9 million miles of service for FY 2016, and 4.8 miles per gallon for 20.9 million miles of service for FY 2017. Annual usage is estimated at approximately 4.5 million gallons in FY 2016 and 4.4 million gallons in FY 2017. Although the service miles are projected to increase by 4.8% from FY 2016 to FY 2017, the projected usage decreases due to better fuel efficiency from the diesel/electric hybrid buses which will represent a larger portion of the fleet as older buses are replaced. The actual average cost per gallon of diesel including taxes, was $3.34 for FY 2014 and $2.63 for FY 2015. Paratransit There is no change in overall service parameters or fares. Paratransit cost is projected based on an assumption of 32,000 more trips in FY 2016 (4.6%) and an increase of 23,000 trips in FY 2017 (3.0%). The table below shows a comparison of paratransit usage and costs.

Paratransit Trips & Costs (In Thousands)


FY15 Adopted Budget

FY15 Projected Actual1

FY16 Adopted Budget

Var from FY15 Actual

FY17 Adopted Budget

Var from FY16

Budget

Trips 728

818 721

754 4.6%

777 3.0%

Contracted Cost $16,931 $20,800 $17,620 $19,817 12.5% $20,884 5.4%

Net Cost Per Trip $23.27 $25.43 $24.45 $26.28 7.5% $26.89 2.3%

Caltrain VTA’s current contribution to Caltrain is approximately 43% of the net operating expenses, based on a ridership formula agreed to by the partner agencies. The Adopted Budget reflects no increase from the FY 2015 operating contribution for FY 2016 and FY 2017.



52

VTA Transit Comparison of Revenues and Expenses

(Dollars in Thousands)

Lin

e


FY15 Adopted Budget1


FY16 Adopted Budget

Variance from FY15

Actual % Var

FY17 Adopted Budget

Variance from FY16

Budget % Var

1 Fares 38,372 39,905 39,108 40,618 1,510 3.9% 41,599 981 2.4% 2 1976 Half-Cent Sales Tax 186,431 190,845 199,659 207,439 7,780 3.9% 216,835 9,396 4.5% 3 TDA 89,518 89,697 94,233 97,496 3,264 3.5% 101,912 4,416 4.5% 4 Measure A Sales Tax-Oper. Asst. 34,386 35,171 36,904 38,287 1,383 3.7% 40,021 1,734 4.5% 5 STA 15,338 13,600 13,950 14,765 815 5.8% 14,765 0 0.0% 6 Federal Operating Grants 42,230 38,920 24,553 11,704 (12,849) -52.3% 3,704 (8,000) -68.4% 7 State Operating Grants 1,583 2,635 1,654 2,223 569 34.4% 1,420 (803) -36.1% 8 Investment Earnings 841 1,412 1,496 1,425 (71) -4.8% 1,425 0 0.0% 9 Advertising Income 2,093 1,912 2,000 2,115 115 5.7% 2,258 143 6.8% 10 Measure A Repayment Obligation 10,290 11,108 9,688 15,306 5,617 58.0% 15,247 (59) -0.4% 11 Other Income 2,863 2,253 4,846 2,446 (2,400) -49.5 2,556 110 4.5% 12 Transfer for Capital (19,568) (25,298) 0 (33,600) (33,600) N/A (33,600) 0 0.0% 13 Debt Reduction Fund Contribution 0 0 0 19,965 19,965 N/A 11,693 (8,271) -41.4% 14 Total Revenue 404,377 402,161 428,091 420,189 (7,902) -1.8% 419,836 (353) -0.1%

15 Labor Cost 280,690 295,024 289,390 308,673 19,283 6.7% 319,134 10,462 3.4% 16 Materials & Supplies 17,267 16,491 19,991 19,408 (583) -2.9% 19,398 (10) -0.1% 17 Security 8,383 9,072 9,377 12,473 3,096 33.0% 12,619 147 1.2% 18 Professional & Special Services 3,923 4,540 4,581 7,465 2,884 63.0% 6,615 (850) -11.4% 19 Other Services 7,484 7,373 7,964 7,693 (271) -3.4% 7,590 (103) -1.3% 20 Fuel 14,311 17,622 11,721 12,573 852 7.3% 12,517 (56) -0.4% 21 Traction Power 3,437 3,539 3,941 3,819 (122) -3.1% 3,898 79 2.1% 22 Tires 1,812 1,880 1,914 2,114 200 10.5% 2,266 151 7.1% 23 Utilities 2,895 2,727 2,938 2,895 (43) -1.5% 2,895 0 0.0% 24 Insurance 13,813 5,537 5,238 5,716 479 9.1% 5,752 35 0.6% 25 Data Processing 2,787 3,477 3,032 4,779 1,747 57.6% 4,746 (34) -0.7% 26 Office Expense 369 330 425 426 0 0.0% 425 (0) 0.0% 27 Communications 1,250 1,312 1,435 1,606 172 12.0% 1,606 0 0.0% 28 Employee Related Expense 686 718 661 1,027 366 55.3% 1,023 (4) -0.4% 29 Leases & Rents 748 669 839 776 (63) -7.5% 791 15 1.9% 30 Miscellaneous 589 686 974 709 (265) -27.2% 713 4 0.6% 31 Reimbursements (38,299) (35,348) (36,706) (38,838) (2,133) 5.8% (38,769) 69 -0.2% 32 Subtotal Operating Expense 322,144 335,648 327,715 353,313 25,598 7.8% 363,218 9,905 2.8%

33 Paratransit 16,931 20,800 17,620 19,817 2,197 12.5% 20,884 1,067 5.4% 34 Caltrain 7,291 14,111 8,390 8,390 0 0.0% 8,390 0 0.0% 35 Light Rail Shuttles 0 25 0 0 0 N/A 0 0 N/A 36 Altamont Commuter Express 4,581 4,750 4,718 5,023 305 6.5% 5,323 300 6.0% 37 Highway 17 Express 339 259 348 366 18 5.3% 384 18 4.9% 38 Monterey-San Jose 35 35 35 35 0 0.0% 35 0 0.0% 39 Contribution to Other Agencies 883 740 8,929 8,967 38 0.4% 1,772 (7,195) -80.2% 40 Debt Service 18,920 20,478 18,376 21,668 3,292 17.9% 21,641 (27) -0.1% 41 Subtotal Other Expense 48,980 61,198 58,414 64,266 5,851 10.0% 58,429 (5,837) -9.1%

42 Operating and Other Expense 371,124 396,846 386,129 417,579 31,450 8.1% 421,647 4,068 1.0% 43 Contingency 0 2,000 0 2,000 2,000 N/A 2,000 0 0.0% 44 Total Expense & Contingency 371,124 398,846 386,129 419,579 33,450 8.7% 423,647 4,068 1.0%

45 Operating Balance 33,253 3,315 41,962 610 (3,811)

Note: Totals and percentages may not be precise due to independent rounding. Descriptions of each Revenue and Expense Category can be found in Appendix E. 1 Reflects Adopted Budget approved by the Board on June 6, 2013 2 Projection as of August 1, 2015; Preliminary Unaudited


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Major Variances (Variance in excess of 5% and $500,000)

Revenues STA: FY 2016 STA receipts are projected to increase by $815 thousand or 5.8% from FY 2015 actual. The FY 2016 Adopted Budget assumes an annual state level of $388 million based on the Governor’s January 2015 budget. FY 2015 state level receipts were higher than the minimum $350 million anticipated for the program, but lower than the FY 2016 estimate. Federal Operating Grants: FY 2016 and FY 2017 budgeted receipts of Federal Operating Grants are projected to decline by $12.8 million and $8.0 million, respectively. The decline in FY 2016 reflects the elimination of the use of federal grants for the funding of preventive maintenance as discussed on page 48. The decline in FY 2017 is due to a one-time $8.0 million in preventive maintenance funds projected to be received in FY 2016 for a funding swap to the 2000 Measure A Transit Improvement Program Fund in support of the Mountain View Double Track Project. Subsequent to adoption of the FY 2016 and FY 2017 budget, the $8.0 million of preventive maintenance funds were programmed as FY 2015 revenues and the expenditure was accrued in FY 2015. State Operating Grants: The FY 2016 budget reflects a $569 thousand increase over FY 2015 actual and FY 2017 reflects a decrease of $803 from FY 2016 due to the inclusion in FY 2016 of a grant for low-income fares. Measure A Repayment Obligation: The FY 2016 budget reflects a $5.6 million increase over FY 2015 due to an increase in the debt service schedule for the 2008 Series A-C Bonds which were issued on behalf of 2000 Measure A projects. The 2000 Measure A Transit Improvement Program Fund reimburses the VTA Transit Fund for the debt service paid on the bonds. Other Income: The FY 2016 budget reflects a $2.4 million decrease from FY 2015 actual due primarily to the one-time receipt of proceeds from the sale of property in FY 2015. Transfer for Capital: The FY 2016 budget for this transfer out reflects a $33.6 million increase from FY 2015 actual representing one-half of the estimated local capital funding need for the subsequent two-year budget. This change in methodology to set-aside the local portion of capital funding is discussed on page 48. Debt Reduction Fund Contribution: The FY 2016 budget reflects an increase of $20.0 million over FY 2015 actual while the FY 2017 budgets reflects an $8.3 million decrease from FY 2016. This line item represents the amount of future local funding need to be supplemented from the Debt Reduction Fund during the transition to a new capital funding methodology as discussed on page 48.


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Expenses Labor Costs: The FY 2016 budget reflects an increase of $19.3 million or 6.7% over FY 2015 actual primarily due to additional staffing in support of service enhancements and maintenance activities as well as higher health insurance costs. Security: The FY 2016 budget increases $3.1 million over FY 2015 due to additional staffing, contractual increases, and anticipated one-time expenditures in FY 2016 related to Super Bowl 50. Professional & Special Services: The FY 2016 budget reflects a $2.9 million increase from FY 2015 levels while the FY 2017 budget reflects an $850 thousand decrease from FY 2016. The FY 2016 increase is due primarily to specialized consulting services in support of new initiatives and one-time or periodic programs. The anticipated level of expenditures decreases in FY 2017 as the programs or initiatives are completed. Fuel: The FY 2016 budget shows an $852 thousand increase over FY 2015 actual due primarily to a higher projected price per gallon for diesel. The FY 2016 budget assumes $2.75 per gallon (including taxes) for diesel versus the $2.63 per gallon average paid in FY 2015. Data Processing: FY 2016 budget is $1.7 million higher than FY 2015 actual primarily due to increased enterprise hardware costs, software licensing and maintenance cost, and costs associated with maintaining new equipment from completed capital projects. Reimbursements: FY 2016 budgeted reimbursements are anticipated to increase $2.1 million from FY 2015 actual due primarily to increased activity relating to the Congestion Management Program work plan and various capital projects including the light rail vehicle overhaul program, CAD-AVL replacement, SCADA software upgrade, and VTA’s BART Silicon Valley Extension. Paratransit: The FY 2016 budget reflects a $2.2 million increase over FY 2015 actual and the FY 2017 budget reflects a $1.1 million increase over FY 2016. These increases are primarily due to an anticipated increase in trips provided of 33,000 for FY 2016 and 23,000 for FY 2017. Contribution to Other Agencies: The FY 2017 budget reflects a $7.2M decrease from FY 2016 due primarily to the inclusion in FY 2016 of a distribution of preventive maintenance funds received as a funding swap to the 2000 Measure A Transit Improvement Program Fund in support of the Mountain View Double Track Project. Subsequent to adoption of the FY 2016 and FY 2017 budget, the $8.0 million of preventive maintenance funds were programmed as FY 2015 revenues and the expenditure was accrued in FY 2015.


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Debt Service: The FY 2016 budget reflects a $3.2 million increase over FY 2015 due primarily to an increase in the debt service schedule for the 2008 Series A-C Bonds. Contingency: The FY 2016 budget reflects a $2.0 million increase over FY 2015. For administrative purposes, the Operating Contingency is budgeted as a separate category. As urgent or unexpected needs arise, the required budget is transferred to the appropriate division and expenditure category.

VTA Transit

Sources and Uses of Funds Summary (Dollars in Thousands)

Line Description FY14 Actual


FY16 Adopted Budget

FY17 Adopted Budget

Operating Balance 1 Total Operating Revenues 404,377 428,091 420,189 419,836 2 Total Operating Expenses (371,124) (386,129) (419,579) (423,647) 3 Operating Balance 33,253 41,962 610 (3,811)

Operating Balance Transfers

4 Operating Balance (Line 3) 33,253 41,962 610 (3,811) 5 Transfers From/(To) Sales Tax Stabilization Fund 0 0 0 0 6 Transfers From/(To) Operating Reserve (2,803) (3,110) (610) 3,811 7 Transfer to Debt Reduction Fund for Future Capital2 30,450 38,852 0 0

Operating Reserve

8 Beginning Operating Reserve 57,024 59,827 62,937 63,547 9 Transfer From/(To) Operating Balance 2,803 3,110 610 (3,811) 10 Ending Operating Reserve3 59,827 62,937 63,547 59,736

11 Operating Reserve %4 15.0% 15.0% 15.0% 13.8%5

1 Projection as of August 1, 2015; Preliminary Unaudited 2 Beginning in FY16, funding for future capital reflected as “Transfer for Capital” out of Operating Revenues (Line 1)-

see page 48 for description of change in methodology 3 Net Assets less funds that are restricted by bond covenants, Board designations, and policy guidelines 4 Line 10 divided by subsequent fiscal year budgeted Operating Expenses (Line 2) 5 Based on projected FY18 Operating Expenses


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VTA Transit 5-Year Projection

In order to provide a broader picture beyond the two-year budget horizon, the table below shows projected Revenues, Expenses, Operating Balance, and Operating Reserve through FY 2020 (in millions).

FY16 FY17 FY18 FY19 FY20 Revenues $420.19 $419.84 $424.65 $441.53 $459.18 Expenses 419.58 423.65 433.65 443.90 454.40 Operating Balance $0.61 ($3.81) ($9.00) ($2.36) $4.78

Beginning Operating Reserve $62.94 $63.55 $59.74 $50.74 $48.37 Operating Balance $0.61 ($3.81) ($9.00) ($2.36) $4.78 Ending Operating Reserve $63.55 $59.74 $50.74 $48.37 $53.15

Operating Reserve % 15.0% 13.8% 11.4% 10.6% 11.4% Revenue growth during the 5-year projection period reflects sales tax related revenue growth using a “most likely” scenario and 2.5% inflation on most other sources. Expenditure growth is also based on an average inflation rate of 2.5%. As with all forecasts, there is uncertainty regarding the revenue and expenditure estimates above. In particular sales tax based revenues may exceed or fall below expectations based on changes in economic or non-economic conditions. Additionally, actual expenditures could differ from projections based on final service levels implemented; volatility in fuel, pension, and healthcare costs; and impacts of negotiated contracts.


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Division Budget Summary (Dollars in Thousands)

Division FY14 Actual



FY16 Adopted Budget

FY17 Adopted Budget

Office of the General Manager 1,884 3,397 1,697 3,935 3,944 Auditor General 210 300 294 428 410 Office of the General Counsel 2,237 2,558 2,451 3,003 3,042 Business Services 25,706 25,850 27,288 33,215 33,353 Engineering & Transp. Infrastructure Dev. 14,810 13,365 13,347 14,405 14,725 Finance & Budget 25,830 20,047 18,271 20,738 21,094 Government Affairs 386 901 854 1,041 1,055 Office of the Chief of Staff 9,459 10,286 9,768 10,560 10,557 Operations 290,362 316,138 300,774 326,823 337,649 Planning & Program Development 7,759 8,045 8,021 9,391 9,304 System Safety & Security 11,806 12,769 13,665 17,950 17,921 Non-Departmental 18,974 20,538 26,404 16,928 9,362 Total Expenses 409,423 434,194 422,834 458,417 462,416

Reimbursements (38,299) (35,348) (36,706) (38,838) (38,769) Grand Total 371,124 398,846 386,129 419,579 423,647


1 Adopted Budget approved by the Board on June 6, 2013, division totals restated to reflect reorganizations 2 Projection as of August 1, 2015; Preliminary Unaudited


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Office of the General Manager

The Office of the General Manager is responsible for the management of VTA according to the policies adopted by the Board of Directors. General duties include the development of program and policy alternatives for consideration by the Board and management of the Authority’s staff activities.

4 FTEs

(As of 6/30/15)

General Manager/CEO1 FTE

Executive Assistant to the General Manager

1 FTE

Senior Advisor, Business

Development1 FTE

Executive Secretary1 FTE

Position Detail

Job Title FY141 FY152 FY163 FY173

Executive Assistant to the General Manager 1 1 1 1 Executive Secretary 1 1 1 1 General Manager/CEO 1 1 1 1 Senior Advisor, Business Development 1 1 1 1 Total 4 4 4 4

1 As of 6/30/14 2 As of 6/30/15 3 Budgeted positions


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Office of the General Manager Expense Budget (Dollars in Thousands)




FY16 Adopted Budget

Variance from FY15 Actual

% Var FY17

AdoptedBudget

Variance from FY16

Budget

% Var

Labor Costs 1,190 656 911 916 5 0.5% 925 10 1.0% Professional & Special Services 73 150 135 276 141 103.8% 276 0 0.0% Other Services 6 0 23 25 2 8.5% 25 0 0.0% Office Expense 5 1 5 5 (1) -13.2% 5 0 0.0% Employee Related Expense 195 159 210 293 83 39.8% 293 0 -0.1% Miscellaneous 142 158 141 149 8 5.4% 149 0 0.0% Contribution to Other Agencies 272 272 272 272 0 0.0% 272 0 0.0% Contingency 0 2,000 0 2,000 2,000 N/A 2,000 0 0.0%

Total Expense 1,884 3,397 1,697 3,935 2,238 131.9% 3,944 9 0.2%

Reimbursements 0 0 0 0 0 N/A 0 0 N/A

Net Total 1,884 3,397 1,697 3,935 2,238 131.9% 3,944 9 0.2%

Note: Totals and percentages may not be precise due to independent rounding. Descriptions of each Revenue and Expense Category can be found in Appendix E.

Major Variances (Variance in excess of 5% and $100,000) Professional & Special Services: FY 2016 budget shows a $141 thousand increase over FY 2015 actual. This increase represents anticipated needs for general Agency or Board of Directors related consulting services. Contingency: The FY 2016 budget reflects a $2.0 million increase over FY 2015. For administrative purposes, the Operating Contingency is budgeted as a separate category under the General Manager’s Division. As urgent or unexpected needs arise, the required budget is transferred to the appropriate division and expenditure category.

1 Adopted Budget approved by the Board on June 6, 2013 restated to reflect division reorganizations 2 Projection as of August 1, 2015; Preliminary Unaudited


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Auditor General

VTA’s Auditor General is responsible for assisting the Board of Directors in fulfilling its fiduciary responsibilities of overseeing risks and controls in financial reporting, financial integrity, program activities, and reputation and public perception of the organization. The Auditor General has a direct reporting relationship to the Governance and Audit Committee and Board and an administrative reporting relationship to the General Manager. The Auditor General is, among other duties, responsible for:

Developing and recommending the Annual Internal Audit Work Plan. Assigning and managing the audit resources required to conduct each internal audit. Providing progress reports to the Governance and Audit Committee and audit results to

the Governance and Audit Committee and Board. Pat Hagan of McGladrey, LLP currently serves as VTA’s Auditor General.

Auditor General Expense Budget





FY16 Adopted Budget


% Var FY17

AdoptedBudget

Variance from FY16

Budget

% Var

Professional & Special Services 210 300 276 428 152 55.0% 410 (18) -4.2% Other Services 0 0 16 0 (16) -100.0% 0 0 N/A Miscellaneous 0 0 2 0 (2) -100.0% 0 0 N/A

Total Expense 210 300 294 428 134 45.6% 410 (18) -4.2%


Net Total 210 300 294 428 134 45.6% 410 (18) -4.2%


Major Variances (Variance in excess of 5% and $100,000) Professional & Special Services: FY 2016 budget shows a $152 thousand increase over FY 2015 actual reflecting the planned scope of tasks in the Auditor General’s Work Plan.

1 Adopted Budget approved by the Board on June 6, 2013 2 Projection as of August 1, 2015; Preliminary Unaudited


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Office of the General Counsel

The General Counsel’s Office provides legal advice and counsel to the Board of Directors, the General Manager, and all divisions and departments, with respect to all facets of VTA’s various programs.

13 FTEs (As of 6/30/15)

General Counsel1 FTE

LegalSecretary2 FTEs

Administrative Services Assistant

1 FTE

Assistant GeneralCounsel1 FTE

Senior AssistantCounsel4 FTEs

AssistantCounsel2 FTEs

Paralegal1 FTE

Associate Counsel1 FTE

Position Detail


Administrative Services Assistant 1 1 1 1 Assistant Counsel 2 2 2 2 Assistant General Counsel 1 1 1 1 Associate Counsel 0 1 2 2 General Counsel 1 1 1 1 Legal Secretary 2 2 2 2 Paralegal 1 1 1 1 Sr Assistant Counsel 5 4 5 5 Total 13 13 15 15



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Office of the General Counsel cont.

FY 2014 & FY 2015 Accomplishments 1. Further established the General Counsel’s office as a full service legal provider to VTA

through the use of in-house legal and para-professional services, and the selective use of outside expertise.

2. Provided necessary and creative legal services to keep the Silicon Valley Berryessa Extension (SVBX) and other projects on track.

3. Obtained key victories in many areas of litigation including eminent domain, personal injury, and labor.

4. Advised on complex legal issues and disputes arising from several on-going public works projects.

5. Provided accurate and timely counsel to the Board of Directors.

6. Kept Board of Directors informed of recent legal issues and responded to individual Board members’ legal issues on a timely basis.

7. Advised project, real estate, and environmental staff on property acquisition, relocation planning, environmental clearance, project funding, and related legal issues for SVBX, Bus Rapid Transit (BRT), and other capital projects.

8. Reviewed and revised the VTA Administrative Code and policies and procedures to ensure legal compliance and operational efficiencies.

FY 2016 & FY 2017 Goals

1. Provide the legal support necessary to ensure successful completion of ballot initiatives and pending and future capital projects. (Ongoing)

2. Assist in the establishment and use of coordinated processes to review, update, and revise VTA policies and procedure to ensure clarity, efficiency, conformity, usability, and legal compliance. (Ongoing)

3. Continue to evaluate both the short-term and long-term cost effectiveness of using outside counsel for certain VTA legal needs. (Ongoing)

4. Continue to provide the type of legal support that ensures the efficient progress of important projects such as the SVBX program. (Ongoing)

5. Continue to establish a good working relationship with members of the executive team and Board of Directors. (Ongoing)

6. Enhance communication and coordination within General Counsel’s Office. (Ongoing)

7. Offer timely and creative legal solutions to enable clients to achieve their business goals. (Ongoing)


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Office of the General Counsel Expense Budget (Dollars in Thousands)




FY16 Adopted Budget


% Var FY17

Adopted Budget

Variance from FY16

Budget

% Var

Labor Costs 2,138 2,367 2,188 2,817 629 28.7% 2,858 41 1.4% Professional & Special Services 54 132 215 120 (95) -44.1% 120 0 0.0% Other Services 1 0 1 1 0 22.4% 1 0 0.0% Data Processing 0 0 0 5 5 N/A 3 (2) -40.0% Office Expense 8 16 7 11 4 54.8% 11 0 0.0% Employee Related Expense 12 12 13 20 7 53.2% 20 0 0.0% Miscellaneous 23 31 27 29 2 7.8% 29 0 0.0%

Total Expense 2,237 2,558 2,451 3,003 552 22.5% 3,042 39 1.3%

Reimbursements (1,435) (479) (1,088) (1,189) (101) 9.3% (1,189) 0 0.0%

Net Total 802 2,079 1,363 1,814 450 33.0% 1,852 39 2.1%


Major Variances (Variance in excess of 5% and $100,000) Labor Costs: The FY 2016 budget reflects a $629 thousand increase over FY 2015 actual due to the addition of two positions and the budgeting of 100% of approved positions in FY 2016 while FY 2015 actual costs reflect only filled positions. The estimated impact of FY 2016 and FY 2017 vacancies for the entire agency is reflected under Non-Departmental. Reimbursements: FY 2014 budgeted reimbursements are $101 thousand higher than FY 2015 actual due to lower than normal reimbursement of counsel hours related to support of insurance claims in FY 2015.



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Under the direction of the Director of Business Services, this division is responsible for providing and supporting VTA’s business, employee support, and civil rights functions. The division is also responsible for the general management of business and transportation technology systems.

150 FTEs (As of 6/30/15)

Director of Business Services1 FTE

ExecutiveSecretary

1 FTE

Human ResourcesAnalyst1 FTE

EmployeeRelations8 FTEs

Information Technology

54 FTEs

Deputy Director, HR & Diversity

Programs 1 FTE

Procurement & Contracts 42 FTEs

Diversity & Inclusion 9 FTEs

Human Resources 33 FTEs


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Business Services Division cont.

Department Descriptions Diversity & Inclusion: Responsible for the coordination of employee training programs, administering VTA’s organizational development and training program, disadvantaged business enterprise (DBE) and Title VI program compliance, and the office of civil rights. Employee Relations: Responsible for the negotiating and administering of collective bargaining agreements and the Substance Abuse Control program. Human Resources: Responsible for recruitment and hiring, classification and compensation, administering employee and retiree benefits programs, administering deferred compensation, and administering VTA/ATU (Amalgamated Transit Union) and CalPERS retirement programs. Information Technology: Responsible for management of business and transportation technology systems. Procurement and Contracts: Responsible for commodity and non-professional service procurements, construction and professional services contracting, messenger and mail service, central receiving, materials management, and surplus property disposal.

Position Detail


Accessible Services Program Manager 1 1 1 1 Administrative Services Assistant 1 1 0 0 Business Relations Manager 1 1 0 0 Business Systems Analyst I 1 1 2 2 Business Systems Analyst II 5 2 2 2 Buyer II 6 6 6 6 Buyer III 3 3 3 3 Chief Information Officer 1 1 1 1 Communications Systems Manager 1 1 1 1 Construction Contracts Administrator II 5 4 4 4 Contracts Administrator II 5 5 6 6 Contracts Manager 2 2 2 2 Contracts Program Manager 2 1 0 0 Data Base Administrator II 0 0 1 1

1 As of 6/30/14 adjusted to reflect FY15 division reorganizations 2 As of 6/30/15 3 Budgeted positions


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DBE Program Manager 1 1 1 1 Deputy Director, Business Services 2 1 1 1 Deputy Director, IT Applications 1 0 0 0 Design Build Construction Administration Manager 1 1 1 1 Director of Business Services 1 1 1 1 Diversity & Inclusion Manager 1 1 1 1 Employee Relations Manager 0 1 1 1 Executive Secretary 2 4 4 4 Human Resources Administration Manager 1 1 1 1 Human Resources Administrator 1 1 1 1 Human Resources Analyst 17 17 18 18 Human Resources Assistant 9 9 10 10 Information Systems Analyst II 6 6 6 6 Information Systems Supervisor 3 3 3 3 Labor Relations Program Manager 1 1 1 1 Lead Storekeeper 1 1 0 0 Mail & Warehouse Worker 0 3 3 3 Mail Messenger 3 0 0 0 Management Aide 2 2 2 2 Management Analyst 5 5 5 5 Management Secretary 2 0 0 0 Manager of Procurement, Contracts & Materials Mgmt 0 1 1 1 Manager, Highway Construction Contracts 1 1 1 1 Materials & Warranty Manager 1 1 1 1 Materials Resource Scheduler 3 3 3 3 Network Analyst II 1 1 1 1 Office Specialist II 6 6 5 5 Office Support Supervisor 1 1 1 1 Procurement & Materials Manager 0 0 1 1 Programmer II 3 3 2 2 Purchasing & Materials Manager 1 0 0 0 Purchasing Manager 1 1 1 1 Reprographics Services Specialist II 2 2 1 1 Senior Communications Systems Analyst 5 5 5 5 Senior Database Administrator 2 2 2 2 Sr Business Systems Analyst 5 5 5 5 Sr Communications Systems Analyst 0 0 1 1 Sr Construction Contracts Administrator 2 0 0 0 Sr Contracts Administrator 0 1 2 2 Sr Human Resources Analyst 6 5 4 4 Sr Information Systems Analyst 5 5 5 5 Sr Management Analyst 1 1 1 1 Sr Network Analyst 2 2 2 2 Sr Systems Administrator 1 1 1 1 Sr Web Developer 2 2 2 2 Storekeeper 1 0 0 0 Systems Administrator II 2 2 2 2 Technical Project Manager 1 2 3 3 Technology Infrastructure Supervisor 2 2 2 2 Technology Manager 1 1 1 1 Vehicle Parts Supervisor 4 4 4 4 Web Developer II 2 2 2 2 Total 158 150 151 151


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FY 2014 & FY 2015 Accomplishments 1. Launched a Minority and Women-owned Business Enterprise (MWBE) program, held

two outreach events in conjunction with the Minority Business consortium and upgraded software to include online certification for MWBEs.

2. Implemented CalPERS Medical for American Federation of State, County, and Municipal Employees, Local 101 (AFSCME) and Non-Represented employees and retirees.

3. Completed the Real Time Information system, which provides VTA riders accurate departure times of buses and light rail trains via multiple platforms such as 511, digital signage at bus stops, websites, mobile applications, etc.

4. Completed the Federal Transit Administration (FTA) Triennial EEO/Affirmative Action Plan with no FTA deficiencies.

5. Implemented an integrated efficiency strategy for interactive forms, work flow and eSignature for VTA’s intranet site. Deployed electronic time sheets and 25 other interactive electronic business processes.

6. Implemented an agency wide Innovation Strategy for Technology including: development of an open door data strategy, hosting Hack-a-thons, building an Innovation Center, creating a call for innovation projects, and developing and implementing a process to work with, and implement, innovative pilot projects.

7. Developed and implemented a “cradle to grave” electronic department-wide contract management system to standardize numeric assignment of all procurements and contracts, capture data for informative and meaningful reports, and provide status of all contracts, including amendments and task orders.

FY 2016 & FY 2017 Goals

1. Implement CalPERS Medical for Service Employees International Union, Local 531 (SEIU), Transportation Authority Engineers and Architects Association, Local 21 (TAEA), and Amalgamated Transit Union, Local 265 (ATU) employees and retirees, including development of various and numerous procedures and processes unique to each bargaining unit. (September 2015)

2. Complete classification studies and implement findings as directed by management. (June 2017)

3. Complete the RFP and selection process for a Deferred Compensation Plan record keeper to oversee VTA’s $200 million plan. (June 2016)

4. Complete the build out of the revenue vehicle Mobile network including adding, upgrading and connecting CCTV to the Mobile network, and provide free WiFi to all VTA passengers. (December 2016)


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5. Deploy new customer interface and information systems including: interactive transit messaging boards, light rail customer notification sign upgrades, and new customer connected vehicle pilot program capabilities such as stop requests, bike rack usage, and wheel chair usage. (December 2016)

6. Automate Procurement and Contracting Department processes to produce uniform and consistent contracts that are timely, cost-effective, compliant, and result in improved customer service through refined workflow processes, improved requisition forms, standardized electronic request processes and education to internal customers. (June 2017)

7. Identify opportunities to optimize VTA’s approach to supply chain management including updating and maintaining the materials master file. (Ongoing)

Performance Measures

In order to better evaluate effectiveness of the activities and programs of various divisions, VTA is in the process of implementing an agency-wide Key Performance Metrics (KPM) program. This program identifies key indicators that assess the division’s impact on both internal and external customers. A target performance level is established for each indicator. If the target is not met, criteria are set to define the range of performance that shows the indicator either a) needs to be monitored; or b) is a problem to be addressed. A traffic light system (green/yellow/red) is used to evaluate the current status of each indicator. The KPMs are reviewed with the General Manager quarterly with action plans developed for those indicators in a “red” status.

While the program is still in the implementation phase, a sample list of indicators for the division is reflected below. Full reporting of all indicators and results will be included in subsequent budget documents.

Average time from authorization to fill position to opening of recruitment Average time from receipt of Equal Employment Opportunity (EEO) complaint to

closure of complaint Average time to properly accomplish planned procurement from receipt of complete

procurement package Average time to close technology incidents from notification of problem/outage Total number of unique VTA riders using WiFi system


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Business Services Division Expense Budget (Dollars in Thousands)




FY16 Adopted Budget


% Var FY17

Adopted Budget

Variance from FY16

Budget

% Var

Labor Costs 19,162 18,497 19,939 23,200 3,261 16.4% 23,761 561 2.4% Materials & Supplies 149 55 146 177 32 21.7% 300 123 69.3% Professional & Special Services 850 1,025 1,050 1,984 934 88.9% 1,341 (644) -32.4% Other Services 779 646 984 496 (488) -49.6% 618 123 24.8% Utilities 2 1 3 2 0 -16.3% 2 0 0.0% Data Processing 2,588 3,274 2,768 4,548 1,780 64.3% 4,516 (32) -0.7% Office Expense 68 49 55 127 72 130.8% 127 0 0.2% Communications 1,249 1,311 1,429 1,603 174 12.2% 1,603 0 0.0% Employee Related Expense 257 371 251 444 193 76.7% 444 0 0.0% Leases & Rents 421 409 476 423 (52) -11.0% 428 5 1.2% Miscellaneous 182 213 186 210 24 12.8% 212 1 0.7%

Total Expense 25,706 25,850 27,288 33,215 5,927 21.7% 33,353 138 0.4%

Reimbursements (3,683) (2,712) (3,037) (3,618) (581) 19.1% (3,359) 259 -7.2%

Net Total 22,024 23,139 24,251 29,597 5,346 22.0% 29,994 397 1.3%


Major Variances (Variance in excess of 5% and $100,000) Labor Costs: The FY 2016 budget reflects a $3.3 million increase over FY 2015 actual due primarily to the budgeting of 100% of approved positions in FY 2016 while FY 2015 actual costs reflect only filled positions. The estimated impact of FY 2016 and FY 2017 vacancies for the entire agency is reflected under Non-Departmental. Materials & Supplies: FY 2017 budget is $123 thousand higher than FY 2016 due to costs of replacement materials associated with maintenance of CCTV equipment coming off warranty.



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Professional & Special Services: The FY 2016 budget reflects a $934 thousand increase over FY 2015 actual and FY 2017 reflects a $644 decrease due primarily to one-time costs related to a DBE disparity study FY 2016 and the completion of ramp-up for several new initiatives in FY 2017. Other Services: FY 2016 budget is $488 thousand lower than FY 2015 actual primarily due to a reduction in the use of contract employees as positions are filled. FY 2017 reflects a $123 thousand increase from FY 2016 due to installation costs associated with maintenance of CCTV equipment coming off warranty. Data Processing: FY 2016 budget is $1.8 million higher than FY 2015 actual primarily due to increased enterprise hardware costs, software licensing and maintenance cost, and costs associated with maintaining new equipment from completed capital projects. Communications: The FY 2016 budget reflects a $174 thousand increase from FY 2015 due to additional fees related to installing WiFi on the full bus fleet. Employee Related Expense: The FY 2016 budget increases by $193 thousand from FY 2015 due to a planned increase in education and training activities. Reimbursements: FY 2016 budgeted reimbursements increase $581 thousand from FY 2015 actual and FY 2017 reimbursements decrease $259 thousand from FY 2017. This variation is due primarily to increased technology support of VTA’s BART Silicon Valley Extension in FY 2016 and the anticipated completion of various ongoing projects in early FY 2017.


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Engineering & Transportation Infrastructure Development Division

Under the direction of the Director of Engineering & Transportation Infrastructure Development, this division is responsible for the design and construction of all capital projects and infrastructure required to provide a safe, reliable and efficient transportation system for Santa Clara County.

90 FTEs (As of 6/30/15)

Director of Engineering &

Transportation Infrastructure Development

1 FTE

ExecutiveSecretary

1 FTE

FRR, Highways and Engineering

Services18 FTEs

Rail and Facilities50 FTEs

Capital Project Controls12 FTEs

SVRT Program7 FTEs

Sr Management Analyst1 FTE


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Engineering & Transportation Infrastructure Development Division cont.

Department Descriptions Engineering: Responsible for providing technical support for the assessment and delivery of capital projects necessary for the operation of the infrastructure owned by VTA including bus, light rail, commuter rail and facility improvements. Project Delivery: Responsible for the delivery of major stakeholder projects, both highways and transit. Manages the design, construction and turnover of capital projects. Silicon Valley Rapid Transit (SVRT) Program: Responsible for providing oversight and coordination for all activities related to VTA’s BART Silicon Valley Extension. Technical Services: Responsible for providing support to groups tasked with the delivery of capital projects throughout VTA including cost and schedule reporting, quality assurance, surveying and mapping, and environmental engineering.

Position Detail


Assistant Architect 1 1 1 1 Assistant Cost & Schedule Coordinator 0 0 1 1 Assistant Systems Design Engineer 2 2 2 2 Assistant Transportation Engineer 8 8 8 8 Associate Architect 1 1 0 0 Associate Land Surveyor 1 1 1 1 Associate Systems Design Engineer 3 2 2 2 Associate Transportation Engineer 7 6 7 7 Construction Contract Compliance Officer 1 1 1 1 Construction Inspector 7 7 6 6 Cost & Schedule Coordinator 1 1 0 0 Deputy Director, Construction 2 2 2 2 Deputy Director, SVRT Program Office 1 1 1 1 Director of Engineering & Construction 1 0 0 0 1 As of 6/30/14 adjusted to reflect FY15 division reorganizations 2 As of 6/30/15 3 Budgeted positions


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Director of Engineering & Transportation Infrastructure Dev. 0 1 1 1 Director of SVRT Program 1 0 0 0 Engineering Aide 7 7 7 7 Engineering Group Manager 3 2 2 2 Engineering Technician II 1 1 1 1 Engineering Technician III 3 3 2 2 Executive Secretary 3 2 2 2 Management Analyst 3 1 1 1 Manager, Construction Inspection 1 1 0 0 Office Specialist II 7 6 6 6 Office Support Supervisor 1 1 1 1 Principal Construction Inspector 1 1 1 1 Project Controls Group Manager 1 1 1 1 Project Controls Specialist II 4 4 4 4 Quality Assurance & Warranty Manager 1 1 1 1 Secretary 1 1 1 1 Sr Architect 2 2 2 2 Sr Construction Inspector 4 4 3 3 Sr Cost & Schedule Coordinator 2 2 2 2 Sr Environmental Engineer 1 1 1 1 Sr Land Surveyor 1 1 1 1 Sr Management Analyst 0 1 1 1 Sr Systems Design Engineer 1 1 2 2 Sr Transportation Engineer 5 4 5 5 Survey and Mapping Manager 1 1 1 1 SVRT Environmental Planning Manager 0 1 1 1 SVRT Project Controls Manager 1 1 1 1 Systems Design Manager 1 1 1 1 Transportation Engineering Manager 4 4 4 4 Transportation Planner III 1 0 0 0 Total 98 90 88 88


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FY 2014 & FY 2015 Accomplishments 1. Completed construction of US101/Capitol Expressway/Yerba Buena Interchange

improvements, I-280/I-880/Stevens Creek Interchange improvements, and the new Eastridge Transit Center.

2. Completed construction and activation of new light rail pocket track along Tasman Drive in Santa Clara in time for the opening of Levi’s Stadium.

3. Completed procurement, installation and testing of five replacement and one new Traction Power Substations on the Guadalupe Light Rail Line.

4. Completed installation and testing of Closed Circuit Television (CCTV) systems at 16 various locations including light rail station platforms, transit centers, and the River Oaks administration facility.

5. Completed various light rail safety enhancement projects along First Street and the Vasona Light Rail Line.

6. Completed repair and rehabilitation at various locations including Palo Alto, Great Mall, Tamien Center and Blossom Hill transit centers, and the Chaboya Bus Operating Division.

7. Initiated Supplemental Environmental Impact Statement/3rd Supplemental Environmental

Impact Report for Phase II of VTA’s BART Silicon Valley Extension.

8. Substantial completion of the following Silicon Valley Berryessa Extension (SVBX) Project activities: major trench work, grade separations, Milpitas and Berryessa civil structures, installation of major systems equipment and initiation of testing activities, and initiation of construction activities for the two station parking structures.

9. Completion of the following Mission, Warren and Truck-Rail Project improvements: BART and Union Pacific Railroad bridges over Mission Boulevard and Warren Avenue, widening of Mission Boulevard, construction of Kato Road ramps, and grade separation of Warren Avenue.

10. Completed Industrial Lead Bridge as part of Freight Rail Relocation Project activities.

FY 2016 & FY 2017 Goals

1. Complete construction and activation of Mountain View Double Track. (late 2015)

2. Complete construction of the Santa Clara – Alum Rock Bus Rapid Transit (BRT) Project. (June 2016)

3. Complete construction of the Santa Clara Station Pedestrian Underpass Extension Project (June 2017)

4. Continue installation and testing of CCTV systems at various locations including light rail station platforms and the North and Cerone Bus Operating Divisions. (early 2016)


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5. Complete installation of new light rail vehicle hoist and construction of dust separation wall at the Guadalupe Light Rail Division vehicle maintenance shop. (September 2016)

6. Complete construction of Capitol Expressway Pedestrian Connection to the Eastridge Transit Center. (mid 2016)

7. Complete construction of the Silicon Valley Berryessa Extension (SVBX) and related parking and roadway facilities. (June 2017)

8. Begin pre-revenue testing for SVBX. (June 2017)

9. Determine the Project Definition for the Supplemental Environmental Impact

Statement/3rd Supplemental Environmental Impact Report and submit an application to enter the Federal Transit Administration (FTA) New Starts Project Development for Phase II of VTA’s BART Silicon Valley Extension. (June 2016)

10. Receive a Record of Decision from the FTA on the Supplemental Environmental Impact

Statement/3rd Supplemental Environmental Impact Report for Phase II of VTA’s BART Silicon Valley Extension and enter into FTA’s New Starts Engineering. (June 2017)




Percent of capital project contracts within planned contract cost Percent of capital project contracts with forecasted completion dates within original

contract completion date Percent of awarded contract bids within Engineer’s Estimate


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Engineering & Transportation Infrastructure Development Division Expense Budget





FY16 Adopted Budget


% Var FY17

Adopted Budget

Variance from FY16

Budget

% Var

Labor Costs 14,790 13,343 13,329 14,380 1,051 7.9% 14,701 321 2.2% Materials & Supplies 1 1 0 1 0 69.7% 1 0 0.0% Professional & Special Services 0 1 0 0 0 N/A 0 0 N/A Office Expense 10 10 9 11 2 18.7% 11 0 0.0% Employee Related Expense 2 5 0 5 4 4874.2% 4 0 -4.4% Miscellaneous 6 5 8 9 1 10.9% 8 0 -2.1%

Total Expense 14,810 13,365 13,347 14,405 1,058 7.9% 14,725 320 2.2%

Reimbursements (19,329) (17,550) (18,807) (18,741) 66 -0.3% (18,741) 0 0.0%

Net Total (4,519) (4,185) (5,460) (4,336) 1,124 -20.6% (4,016) 320 -7.4%


Major Variances (Variance in excess of 5% and $100,000) Labor Costs: The FY 2016 budget reflects a $1.1 million increase over FY 2015 actual due to the budgeting of 100% of approved positions in FY 2016 while FY 2015 actual costs reflect only filled positions. The estimated impact of FY 2016 and FY 2017 vacancies for the entire agency is reflected under Non-Departmental.



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Under the direction of the Chief Financial Officer, the Finance & Budget division fulfills the Controller and Treasury functions for VTA including financial reporting, accounting, budgeting, investment services, cash management, debt administration, payroll, accounts receivable, accounts payable, and farebox programs and systems. In addition the division is responsible for Enterprise Risk Management and property development and management.

82 FTEs (As of 6/30/15)

Chief Financial Officer1 FTE

ExecutiveSecretary

1 FTE

Deputy Directorof Accounting

1 FTE

Finance6 FTEs

Enterprise Risk Management

4 FTEs

Budget5 FTEs

Fare Programs & Systems10 FTEs

Technology Liaison1 FTE

Disbursements19 FTEs

Accounting16 FTEs

Property Development and

Management18 FTEs


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Finance & Budget Division cont.

Department Descriptions Accounting: Responsible for managing financial and capital accounting activities; maintaining the financial accounting system; external and internal financial reporting; preparation of revenue billings for projects, program contracts, and other program services; and processing and recording of cash deposits. Budget: Responsible for development of the biennial operating and capital budget and monitoring the adopted budget throughout the fiscal year. Disbursements: Responsible for processing payments to employees and outside vendors. Enterprise Risk Management: Responsible for management of self-insured Workers’ Compensation and Liability claims and Operations and Construction insurance programs. Fare Programs and Systems: Responsible for managing the activities of fare media sales and reporting of revenue collection for the bus and light rail operations. Finance: Responsible for identifying need and implementing debt related transactions, preparing and analyzing the financial capacity of VTA, long-term financial planning, establishing effective investment strategies, analyzing investment portfolio performance, reporting investment performance to the Board of Directors, and designing and managing cash management and cash forecasting systems. Property Development and Management: Responsible for the management of VTA’s real property assets, acquisition of right-of-way in support of VTA capital projects, and property development.


79

Finance & Budget Division Position Detail


Accountant Assistant 14 14 14 14 Accountant II 2 2 1 1 Accountant III 9 9 9 9 Accounts Payable Support Supervisor 1 1 1 1 Associate Real Estate Agent 4 4 3 3 Chief Financial Officer 1 1 1 1 Claims Analyst 2 2 2 2 Claims Program Manager 0 1 1 1 Claims Supervisor 1 0 0 0 Client Relationship Supervisor 1 0 0 0 Construction Inspector 2 2 2 2 Deputy Director, Accounting 1 1 1 1 Deputy Director, Real Estate 1 1 1 1 Disbursements Manager 1 1 1 1 Enterprise Risk Manager 1 0 1 1 Executive Secretary 2 2 2 2 Fare Programs & Systems 1 1 1 1 Financial Accounting Manager 1 1 1 1 Financial Analyst 2 2 2 2 Fiscal Resources Manager 3 3 3 3 Human Resources Analyst 1 1 1 1 Investment Program Manager 1 1 1 1 Management Analyst 1 1 1 1 Management Secretary 1 1 1 1 Manager, Real Estate & Project Admin 1 1 1 1 Office Specialist II 2 1 1 1 Office Support Supervisor 1 1 1 1 Payroll Support Supervisor 1 1 1 1 Permit Technician 1 1 1 1 Sr Accountant 9 9 9 9 Sr Business Systems Analyst 0 1 1 1 Sr Construction Inspector 1 1 1 1 Sr Financial Analyst 3 3 3 3 Sr Management Analyst 1 1 2 2 Sr Real Estate Agent 3 2 1 1 Sr Transportation Planner 1 1 1 1 Utilities Coordination Manager 1 1 1 1 Utility Coordinator 2 2 2 2 Vault Room Worker 4 4 4 4 Total 85 82 81 81



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FY 2014 & FY 2015 Accomplishments 1. Refunded $90.0 million of 2007 Measure A Sales Tax Revenue Bonds achieving savings

of $14.5 million in debt service payments over the remaining life of the Bonds.

2. Negotiated a reduction of bond liquidity facility fees saving $500,000.

3. Negotiated lower investment management fees for VTA investment portfolios saving over $150,000 annually.

4. Initiated an asset/liability study to explore asset class diversification to reduce risk without reducing overall portfolio performance of the VTA/Amalgamated Transit Union (ATU) Pension Plan Trust assets.

5. Revised the Other Post Employment Benefits (OPEB) Trust investment policy to match, where feasible, the investments in the VTA/ATU Pension Trust to reduce management expenses.

6. Completed major property acquisitions for the Silicon Valley Berryessa Extension (SVBX) and Santa Clara/Alum Rock Bus Rapid Transit projects at below budgeted costs.

7. Created and launched a Capital Program Dashboard on VTA’s web-site to broaden efforts to provide transparency in reporting and the dissemination of information to stakeholders.

8. Received the Government Finance Officers Association of the United States and Canada (GFOA) Certificate of Achievement for Excellence in Financial Reporting for both the FY 2013 and FY 2014 Comprehensive Annual Financial Reports.

9. Received the GFOA Distinguished Budget Presentation Award for the FY 2014 and FY 2015 Biennial Budget Book.

FY 2016 & FY 2017 Goals 1. Achieve an annualized rate of return on VTA investments that meets or exceeds the

performance benchmarks as defined in the VTA investment policy. (Ongoing)

2. Complete analysis of funding options for the second phase of VTA’s BART Silicon Valley Extension and present findings to the General Manager and Board of Directors. (June 2016)

3. Develop a Financing Implementation Plan for the second phase of VTA’s BART Silicon Valley Extension including formation of enhanced infrastructure financing districts and/or other appropriate vehicles to capture “value-add” from transit-oriented development. (June 2017)

4. Migrate the Day Pass from paper media to Clipper® to achieve savings in external printing, improve operational efficiencies, and increase Clipper® usage. (January 2016)


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5. Consolidate all non-fare and fare revenue functions currently administered in other divisions into the Finance & Budget Division to improve coordination and oversight. (June 2017)

6. Streamline insurance coverage to lower risks as well as costs. Improve liability reserves methodology. (Ongoing)

7. Submit the FY 2015 and FY 2016 Comprehensive Annual Financial Reports to the Government Finance Officers Association of the United States and Canada (GFOA) for consideration for the Certificate of Achievement for Excellence in Financial Reporting. (November 2015 & November 2016)

8. Submit the FY 2016 and FY 2017 Biennial Budget Book to GFOA for consideration for the Distinguished Budget Presentation Award. (September 2015)




Percent of vendor payments within terms Monthly financial records closed 7 business days after month-end Percent of fare revenue processed and deposited in week received Investment portfolio returns at or above applicable benchmarks Construction access permits issued within 3 days of completion of permit

requirements Perform internal audits of Workers’ Compensation and General Liability case files


82

Finance & Budget Division Expense Budget (Dollars in Thousands)




FY16 Adopted Budget


% Var FY17

Adopted Budget

Variance from FY16

Budget

% Var

Labor Costs 9,877 11,928 10,732 12,116

1,384 12.9% 12,413 297 2.4% Materials & Supplies 15 1 0 2 2 362.7% 2 0 0.0% Professional & Special Services 1,495 1,851 1,357 1,811 454 33.4% 1,828 17 0.9% Other Services 385 556 659 616 (44) -6.6% 616 0 0.0% Insurance 13,816 5,537 5,238 5,716 479 9.1% 5,752 35 0.6% Data Processing 0 9 2 10 7 322.0% 10 0 0.0% Office Expense 31 36 39 26 (13) -32.8% 26 0 0.0% Employee Related Expense 3 3 18 3 (14) -81.6% 3 0 0.0% Leases & Rents 0 0 0 189 189 N/A 196 7 3.5% Miscellaneous 34 26 25 49 23 91.4% 49 1 1.8% Contribution to Other Agencies 177 100 200 200 0 0.0% 200 0 0.0%

Total Expense 25,830 20,047 18,271 20,738 2,467 13.5% 21,094 356 1.7%

Reimbursements (448) (896) (694) (697) (3) 0.5% (751) (54) 7.7%

Net Total 25,382 19,152 17,577 20,040 2,464 14.0% 20,343 302 1.5%


Major Variances (Variance in excess of 5% and $100,000) Labor Costs: The FY 2016 budget reflects a $1.4 million increase over FY 2015 actual due to the budgeting of 100% of approved positions in FY 2016 while FY 2015 actual costs reflect only filled positions. The estimated impact of FY 2016 and FY 2017 vacancies for the entire agency is reflected under Non-Departmental. Professional & Special Services: The FY 2016 budget reflects a $454 thousand increase from FY 2015 actual due primarily to planned external review and assessment of National Transit Database (NTD) and Indirect Cost Allocation Plan (ICAP) methodologies, increased allocation of investment manager fees due to higher portfolio balance, and financial advisor fees related to proposed tax measure.



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Insurance: FY 2016 budget is $479 thousand higher than FY 2015 actual due to the anticipated increase in self-insurance based on actuarial reports. Leases & Rents: FY 2016 reflects a $189 thousand increase from FY 2015 due to the transfer of responsibility for lease payments and taxes associated with VTA properties from the Operations Division to the Real Estate Department beginning in FY 2016.

Express Bus and Light Rail Vehicle


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The Government Affairs division is responsible for developing and coordinating VTA’s legislative and intergovernmental programs at the federal, state, regional, and local levels.

4 FTEs (As of 6/30/15)

Director of Government

Affairs & Executive Policy Advisor

1 FTE

Government Affairs Manager

1 FTE

Public Communication Specialist II

1 FTE

Senior Policy Analyst1 FTE

Position Detail


Director of Government Affairs & Executive Policy Advisor 1 1 1 1 Government Affairs Manager 1 1 1 1 Public Communication Specialist II 0 1 1 1 Sr Policy Analyst 1 1 1 1 Total 3 4 4 4



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Government Affairs Division cont.

FY 2014 & FY 2015 Accomplishments 1. Successfully developed and executed VTA’s Legislative Program.

2. Secured California Transportation Commission (CTC) approval of $39 million in Traffic Congestion Relief Program funding for the Silicon Valley Berryessa Extension (SVBX) Project, the last installment of state funding for the project.

3. Worked with VTA’s congressional delegation to secure appropriations totaling $300 million in federal New Starts Program funding for SVBX.

4. Successfully advocated for the enactment of state legislation that: (1) provides more flexibility for VTA in determining performance measures and in expending net revenues related to Santa Clara County express lanes; (2) authorizes VTA to use design-build contracting for public works projects that cost in excess of $1 million, and the Construction Manager/General Contractor (CMGC) project delivery method for transit projects; and (3) allows VTA to use three-position bike racks on buses.

5. Successfully advocated for the enactment of a long-term investment framework for state cap-and-trade auction proceeds, under which 15 percent of all cap-and-trade funding would be appropriated for public transit.

6. Provided resources and support to advance VTA’s mission and goals for regional, state and federal policy makers.

7. Served as a resource to VTA’s Standing and Policy Advisory Committees.

FY 2016 & FY 2017 Goals 1. Advocate for the highest possible levels of annual federal appropriations for highways

and public transit, as well as for individual formula and discretionary programs within the Highway and Transit Titles. (Ongoing)

2. Advocate for federal New Starts Program appropriations for SVBX consistent with the project’s Full Funding Grant Agreement and provide advocacy support to advance the second phase of VTA’s BART Silicon Valley Extension in the New Starts process. (Ongoing)

3. Actively participate in both administrative and legislative discussions at the state level regarding how to address the current shortfall in state transportation funding. (Ongoing)

4. Advocate for state cap-and-trade funding for the second phase of VTA’s BART Silicon Valley Extension. (Ongoing)

5. Advocate for the highest possible levels of regional discretionary funding for Santa Clara County projects and programs from the Metropolitan Transportation Commission (MTC). (Ongoing)


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Government Affairs Division Expense Budget (Dollars in Thousands)




FY16 Adopted Budget


% Var FY17

Adopted Budget

Variance from FY16

Budget

% Var

Labor Costs 240 662 643 801 158 24.6% 815 14 1.7% Materials & Supplies 0 0 0 1 1 N/A 1 0 0.0% Professional & Special Services 132 216 199 216 17 8.7% 216 0 0.0% Office Expense 0 8 1 1 0 22.4% 1 0 0.0% Employee Related Expense 13 14 10 20 10 102.6% 20 0 2.0% Miscellaneous 1 1 1 1 0 17.1% 1 0 0.0%

Total Expense 386 901 854 1,041 187 21.9% 1,055 14 1.4%


Net Total 386 901 854 1,041 187 21.9% 1,055 14 1.4%


Major Variances (Variance in excess of 5% and $100,000) Labor Costs: The FY 2016 budget reflects a $158 thousand increase over FY 2015 actual due primarily to the transfer of a Public Communications Specialist position to this division from the Office of the Chief of Staff Division.



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Under the direction of the Chief of Staff, this division is responsible for developing and executing a cohesive communication plan for the agency, integrating media relations, community outreach, marketing, customer service, and Board communications.

61 FTEs (As of 6/30/15)

Chief of Staff1 FTE

Executive Secretary

1 FTE

Director of Public Affairs &

Marketing1 FTE

Creative Services5 FTEs

Customer Service28 FTEs

Community Engagement

5 FTEs

Market Development

8 FTEs

Communications4 FTEs

Board Secretary

1 FTE

Board Office7 FTEs


88

Office of the Chief of Staff cont.

Department Descriptions Board Office: Responsible for the communication and information flow between VTA and the Board, its committees, and the public. Communications: Responsible for initiating and responding to media contacts and maintaining updated information about VTA through both traditional and social media sources. Community Engagement: Responsible for relaying critical project information to the public, and encouraging public involvement and input for capital project development. Creative Services: Responsible for creative design and production services for all VTA departments to ensure that VTA materials meet established graphic standards, and are easy to understand. Customer Service: Responsible for providing current and potential service recipients with accurate and timely assistance through a telephone contact center, the Downtown and River Oaks Customer Service Centers, community events, site visits, and via VTA’s web-site www.vta.org. Also responsible for providing travel training and outreach to seniors and persons with disabilities. Market Development: Responsible for identification of target markets and development of positive advertising campaigns to promote utilization of VTA transit services.


89

Office of the Chief of Staff Position Detail


Administrator of Social Media & Electronic Communications 1 1 1 1 Assistant Board Secretary 1 1 1 1 Board Assistant 6 5 5 5 Board Secretary 1 1 1 1 Chief of Staff to the General Manager 1 1 1 1 Community Outreach Supervisor 1 1 1 1 Creative Services Manager 1 1 1 1 Customer Services Supervisor 4 3 3 3 Deputy Director, Communications & Customer Relations 1 0 0 0 Director of Public Affairs & Marketing 0 1 1 1 Executive Secretary 2 1 1 1 Graphic Designer II 4 4 4 4 Information Services Representative 20 20 19 19 Management Analyst 1 1 1 1 Manager, Market Development 1 1 1 1 Manager, Public Affairs & Customer Info 1 1 1 1 Media Spokesperson 2 2 2 2 Office Specialist II 2 3 3 3 Public Communication Specialist II 11 7 7 7 Public Relations Supervisor 1 1 1 1 Sales and Promotion Supervisor 1 1 1 1 Secretary 1 0 0 0 Sr Information Representative 2 2 2 2 Sr Management Analyst 1 1 1 1 Sr Transportation Planner 1 1 1 1 Total 68 61 60 60

FY 2014 & FY 2015 Accomplishments 1. Created eye-catching and user-friendly promotional and informational materials to

educate the community on public transportation and promote VTA service to the new Levi’s Stadium.

2. Maintained positive working relationships with Bay Area media outlets and developed new relationships with ethnic, electronic, and trade media resulting in expanded coverage of VTA projects and priorities in new media markets.

3. Expanded the use of digital communications, including becoming the first transit agency to join the popular Nextdoor social network for neighborhoods, more than doubling social media followers (Facebook, Twitter, LinkedIn), and launching a VTA Instagram account.



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4. Upgraded the VTA customer service system to a more robust Salesforce Customer Relationship Management system providing better insight into customer feedback, trends, and tracking.

5. Created and launched a VTA intranet site (the “HUB”) to inform, educate, and engage VTA employees.

6. Standardized VTA community outreach, education, and engagement procedures for all projects. Implemented training and utilization of SalesForce Constituent Management for support of all capital projects.

7. Provided proactive, comprehensive project information to a wide variety of stakeholders in the planning process and construction of new Bus Rapid Transit (BRT) service, light rail enhancement projects, VTA’s BART Silicon Valley Extension, and the Silicon Valley Express Lanes Program.

8. Initiated evaluation of VTA brand to refresh brand and gain mobility relevance in Santa Clara County.

9. Developed a custom Envision Silicon Valley microsite to educate Santa Clara County residents about the program’s goals and solicit feedback engaging hundreds of individuals who may not have otherwise participated through traditional engagement methods.

FY 2016 & FY 2017 Goals

1. Create and produce informational and promotional materials for Super Bowl 50. (February 2016)

2. Implement a public will building campaign to increase customers’ awareness of the VTA brand and its relationship to transportation and public transit in general. (June 2017)

3. Expand the use of electronic communications, including social media platforms, to reach a diverse audience that will generate increased participation in VTA planning and decision-making, a higher level of customer satisfaction, increased ridership, and support for VTA projects/priorities. (Ongoing)

4. Continue expanding use of digital and social media by various departments to support their communications and engagement objectives, increase Instagram followers, increase VTA Headways blog email subscribers, and increase the level of two-way online audience engagement. (Ongoing)

5. Develop a budget tool on the Envision Silicon Valley microsite, continue text-messaging campaign, and promote both to achieve increased awareness and engagement. (June 2016)

6. Move from a “call center” to a “contact center” in order to be more responsive to customers through their preferred communications channel including live web chat, text messaging, email, and social media in addition to phone calls. (Ongoing)


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7. Build engaging multi-tiered outreach plan to support the second phase of VTA’s BART Silicon Valley Extension through environmental, planning, and design. Support community working groups, implement public workshops and increase frequency of community presentations. (Ongoing)

8. Finalize SalesForce configuration to better track stakeholders, centralize tracking of activities and consolidate Community Outreach, Senior Outreach, Youth Outreach, and Business Development Outreach. (June 2017)




Number of calendar days prior to meeting agenda packets are distributed to committee members

Monthly increase in overall website page views Increase in followers, shares, and comments on social media Customer complaint response and resolution with two business days of receipt


92

Office of the Chief of Staff Expense Budget (Dollars in Thousands)




FY16 Adopted Budget


% Var FY17

Adopted Budget

Variance from FY15

Budget

% Var

Labor Costs 7,502 8,169 7,681 7,954 273 3.6% 8,170 216 2.7%

Materials & Supplies 3 8 11 13 2 16.5% 6 (7) -53.1%

Professional & Special Services 99 124 148 383 235 158.7% 311 (73) -19.0%

Other Services 1,365 1,448 1,386 1,595 209 15.1% 1,453 (142) -8.9%

Data Processing 2 2 0 0 0 65.3% 0 0 0.0%

Office Expense 33 25 32 38 6 18.4% 38 0 0.0%

Employee Related Expense 2 4 1 3 2 226.0% 3 0 0.0%

Leases & Rents 99 101 102 108 6 5.8% 111 3 2.9%

Miscellaneous 86 135 94 140 46 49.1% 139 (1) -0.6%

Contribution to Other Agencies 269 272 314 325 11 3.6% 325 0 0.0%

Total Expense 9,459 10,286 9,768 10,560 792 8.1% 10,557 (3) 0.0%

Reimbursements (824) (996) (683) (721) (38) 5.6% (721) 0 0.0%

Net Total 8,634 9,290 9,086 9,839 753 8.3% 9,836 (3) 0.0%


Major Variances (Variance in excess of 5% and $100,000) Professional & Special Services: The FY 2016 budget is $235 thousand higher than FY 2015 due to consulting fees associated with strategic messaging and brand identity and a one-time non-rider survey scheduled for FY 2016. Other Services: FY 2016 budget reflects a $209 thousand increase over FY 2015 actual and the FY 2017 budget reflects a $142 thousand decrease from FY 2016. These variances are due primarily to the anticipated increase in marketing activities in FY 2016 related to Super Bowl 50.



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Operations Division

Under the direction of the Chief Operating Officer, the Operations Division operates, maintains, analyzes, schedules, and manages VTA’s bus and light rail transit system and facilities. It also oversees contracted shuttle and paratransit service.

1,733 FTEs (As of 6/30/15)

Chief Operating Officer1 FTE

ExecutiveSecretary

1 FTE

Bus and RailTransit

Operations1,131 FTEs

Maintenance 540 FTEs

Administration 35 FTEs

Service and Operations Planning25 FTEs


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Operations Division cont.

Department Descriptions Administration: Responsible for division budget, capital projects, policies and procedures, and personnel administration (e.g., staffing allocation, discipline and grievance process, absence management, and personnel development and training). Bus and Rail Transit Operations: This department includes one light rail and three bus divisions responsible for operating VTA’s bus routes and light rail system. This department is also responsible for field supervision, bus and rail technical training, and the operations control center. Maintenance: Responsible for maintaining VTA’s fleet of buses and light rail vehicles, as well as the light rail system consisting of track, operating signals, a power distribution system, passenger facilities, and the adjoining right-of-way. In addition, this department manages all VTA facilities and non-revenue vehicles and is responsible for bus and rail maintenance engineering and configuration management, and maintenance training. Service and Operations Planning: Responsible for planning, scheduling, and monitoring VTA’s bus routes and light rail service; analysis and reporting of VTA transportation and maintenance performance; providing support for VTA operations-related business information systems; ensuring compliance with the Americans with Disabilities Act (ADA) for fixed-route transit operations; coordination of contracted and interagency transit services; and planning and coordination of VTA’s bus stops, transit centers, and shelters.

Position Detail


Accountant Assistant 1 1 1 1 Assistant Supt. Service Management 2 2 2 2 Assistant Supt. Transit Communications 3 3 3 3 Assistant Transportation Engineer 1 1 1 1 Associate Mechanical Engineer 1 1 1 1 Associate Systems Engineer 1 1 2 2 Automotive Attendant 1 1 1 1 Bus Operator 842 878 924 940 Bus Stop Maintenance Worker 13 11 13 13



95


Chief Operating Officer 1 1 1 1 Deputy Director, Operations 3 3 3 3 Dispatcher - Bus 21 21 21 21 Dispatcher - LRT 4 4 4 4 Electrician 1 1 1 1 Electro - Mechanic 42 45 69 69 Electronic Technician 9 9 12 12 Engineering Technician III 1 1 1 1 Executive Secretary 2 2 2 2 Facilities Maintenance Coordinator 2 2 2 2 Facilities Maintenance Manager 0 1 1 1 Facilities Maintenance Representative 4 4 4 4 Facilities Worker 23 23 23 23 Foreperson - LRT 3 3 6 6 General Maintenance Mechanic 2 2 2 2 Janitor 8 7 7 7 Lead Bus Stop Maintenance Worker 2 2 2 2 Lead Maintenance Worker - LRT 7 7 7 7 Light Rail Equipment Superintendent 1 1 1 1 Light Rail Operator 106 110 113 113 Light Rail Power Foreperson 1 1 2 2 Light Rail Power Supervisor 1 1 1 1 Light Rail Signal Maintainer 20 19 25 25 Light Rail Signal Supervisor 2 2 2 2 Light Rail Technical Trainer 3 3 3 3 Light Rail Technical Training Supervisor 1 1 1 1 Light Rail Track Maintenance Supervisor 1 1 2 2 Light Rail Way, Power & Signal Superintendent 1 1 1 1 Light Rail Way, Power & Signal Supervisor 1 1 2 2 Maintenance Instructor - Bus 2 2 2 2 Maintenance Instructor - Light Rail 1 1 2 2 Maintenance Scheduler 7 6 6 6 Maintenance Superintendent 4 4 4 4 Maintenance Worker - LRT 19 19 25 25 Management Aide 1 1 1 1 Management Analyst 8 8 8 8 Management Secretary 1 1 1 1 Manager, Ops Analysis, Reporting & Systems 1 1 1 1 Office & Timekeeping Technician 22 22 22 22 Office Specialist II 7 7 7 7 Office Support Supervisor 5 5 5 5 Operations Manager 3 2 2 2 Operations Manager, Engineering 1 1 1 1 Operations Systems Supervisor 1 1 1 1 Operator - Trainee 31 30 30 30 Overhaul & Repair Foreperson 4 3 3 3 Overhaul & Repair Mechanic 23 23 23 23 Overhead Line Worker 8 8 13 13 Paint & Body Foreperson 1 1 1 1 Paint & Body Foreperson - LRT 1 1 1 1 Paint & Body Worker 10 10 10 10 Paint & Body Worker - LRT 5 5 5 5


96


Parts Clerk 21 20 21 21 Parts Foreperson 1 1 1 1 Passenger Facilities & Wayside Maint Supervisor 2 2 2 2 Policy & Administrative Manager - Ops 1 1 1 1 Quality Assurance & Warranty Specialist 2 2 2 2 Senior Communications Systems Analyst 2 3 3 3 Service Mechanic 17 17 17 17 Service Worker 75 70 72 74 Service Worker Foreperson 4 4 4 4 Sr Management Analyst 2 2 2 2 Sr Mechanical Engineer 1 1 1 1 Sr Signal Maintainer 2 2 2 2 Sr Systems Engineer 1 1 1 1 Sr Track Worker 7 7 9 9 Substation Maintainer 8 8 12 12 Supervising Maintenance Instructor 1 1 1 1 Supervising Maintenance Instructor - LRT 1 1 1 1 Support Mechanic 3 3 3 3 Technical Trainer 4 4 4 4 Technical Training Supervisor 1 1 1 1 Track Worker 8 8 12 12 Transit Division Supervisor 9 9 9 9 Transit Foreperson 10 10 10 10 Transit Maintenance Supervisor 12 13 15 15 Transit Mechanic 117 118 122 125 Transit Radio Dispatcher 12 12 12 12 Transit Service Development Specialist I 1 1 1 1 Transit Service Development Specialist II 10 10 10 10 Transit Service Development Supervisor 2 3 3 3 Transportation Superintendent 6 6 6 6 Transportation Supervisor 38 40 43 43 Union Business 3 3 3 3 Upholsterer 5 5 5 5 Upholstery Foreperson 1 1 1 1 Utility Worker 2 2 2 2 Warranty Coordinator 1 1 1 1 Total1 1,697 1,733 1,858 1,879

1 Does not include Long-Term Leave positions


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FY 2014 & FY 2015 Accomplishments 1. Extended paratransit contract with OUTREACH through June 2021 with automatic two-

year renewals.

2. Completed implementation of Trapeze OPS software which integrates transportation management functions to improve attendance tracking, operations staff timekeeping, and dispatch functions.

3. Completed on-board survey of bus and rail passengers to provide information for future planning and to ensure Title VI compliance.

4. Successfully planned and implemented special event service for both Levi’s and Avaya Stadium.

5. Successfully created and implemented new processes for bus operator interviews, testing and training, substantially reducing testing time and shortening the interview process. Shortened new operator training by two weeks by requiring new applicants to secure the written portion of the California Driver’s License test prior to the start of training.

6. Upgraded SCADA security, improved network reliability, and integrated GPS tracking of light rail trains.

7. Improved the light rail wheel maintenance program to maximize tire use on light rail vehicles.

8. Converted the Chaboya Bus Operating Division bus wash to utilize reclaimed water reducing city water usage at the division by almost 90%.

9. Implemented a campaign to replace maintenance uniforms at the bus divisions with new, high visibility uniforms to improve employee safety.

FY 2016 & FY 2017 Goals

1. Develop and successfully implement a transit service plan for Super Bowl 50 at Levi’s Stadium. (February 2016)

2. Implement new service including: Bus Rapid Transit Line 522 service with completion of construction along the Santa Clara – Alum Rock corridor; service improvements in the FY 2016-FY 2017 Transit Service Plan; and cost-efficient transit service for special events at major venues including Levi’s and Avaya Stadium. (June 2017)

3. Plan and implement new on-demand transit service pilot project to improve first-last mile connections to rail stations and major bus lines in Santa Clara County. (December 2015)

4. Issue RFP, select vendor, and implement new Computer Aided Dispatch-Automated Vehicle Locator (CAD-AVL) project for VTA bus and light rail fleet management. (June 2017)


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5. Meet or exceed established service delivery and customer service performance goals by maintaining adequate levels of trained staff to meet daily and special event service needs as well as developing and implementing a new transportation customer service workshop and trainings. (Ongoing)

6. Continue the Joint Workforce Investment partnership with Amalgamated Transit Union, Local 265 (ATU) to implement programs designed to support professional development through academic institutions and improved health and wellness by adding an exercise facility at the Chaboya Bus Operating Division for front line employees. (Ongoing)

7. Implement expanded light rail maintenance staffing, training and work schedules and complete all scheduled upgrades required to improve rail reliability and enhance service efficiency for major event service and in anticipation of the opening of VTA’s BART Silicon Valley Extension. (Ongoing)

8. Upgrade the current SAP software capabilities to better match the light rail vehicle maintenance business requirements including the ability to track miles and time between overhauls on key components such as trucks, air conditioners, and pantographs. (Ongoing)

9. Complete the procurement of additional 40’ and 60’ buses in preparation for service expansion including the Stevens Creek Boulevard corridor and BART connections at Milpitas and Berryessa. (June 2017)

Bike Rack on Bus


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Performance Measures In addition to general division goals, the Operations Division also sets and monitors key performance indicators to measure reliability, efficiency, safety, productivity, and customer satisfaction. The goals are established using historical trend analysis adjusted for variables or factors that affect the results of the performance indicators (e.g., service reductions or enhancements). Where goals have not been met, corrective action plans are developed. The table below reports two prior years’ performance and the goal for each of the next two fiscal years. Definitions for individual indicators can be found in the glossary in Appendix M.

FY14

Actual FY15 Goal

FY15 Actual

Goal Met?

FY16 Goal

FY17 Goal

SYSTEM (Bus & Light Rail) Total Boarding Riders (in millions) 43.43 ≥ 45.60 43.94 No ≥ 45.00 ≥ 47.00 Average Weekday Boarding Riders 140,965 ≥ 148,400 141,149 No ≥ 144,600 ≥ 151,100 Boardings per Revenue Hour 29.6 ≥ 30.9 28.9 No ≥ 29.4 ≥ 29.4 Percent of Scheduled Service Operated 99.67% ≥ 99.55% 99.67% YES ≥ 99.55% ≥ 99.55% Miles Between Major Mechanical Schedule Loss 10,839 ≥ 9,000 10,334 YES ≥ 9,000 ≥ 9,000 Miles Between Chargeable Accidents 80,812 ≥ 111,500 85,350 No ≥ 110,800 ≥ 110,100 Passenger Concerns per 100,000 Boardings 16.2 ≤ 10.6 18.4 No ≤ 10.6 ≤ 10.6 BUS OPERATIONS Total Boarding Riders (in millions) 32.48 ≥ 34.00 32.62 No ≥ 33.30 ≥ 34.90 Average Weekday Boarding Riders 105,969 ≥ 111,500 106,214 No ≥ 108,500 ≥ 113,800 Boardings per Revenue Hour 26.0 ≥ 25.5 25.1 No ≥ 24.0 ≥ 24.0 Percent of Scheduled Service Operated 99.64% ≥ 99.50% 99.64% YES ≥ 99.50% ≥ 99.50% Miles Between Major Mechanical Schedule Loss 9,964 ≥ 8,000 9,800 YES ≥ 8,000 ≥ 8,000 Miles Between Chargeable Accidents 73,702 ≥ 100,000 78,449 No ≥ 100,000 ≥ 100,000 On-time Performance 85.9% ≥ 92.5% 85.6% No ≥ 92.5% ≥ 92.5% Operator Personal Time-off 8.1% ≤ 10.0% 7.2% YES ≤ 10.0% ≤ 10.0% Maintenance Personal Time-off 8.2% ≤ 8.0% 6.0% YES ≤ 8.0% ≤ 8.0% Passenger Concerns per 100,000 Boardings 20.2 ≤ 11.8 21.3 No ≤ 11.8 ≤ 11.8 LIGHT RAIL OPERATIONS Total Boarding Riders (in millions) 10.95 ≥ 11.60 11.32 No ≥ 11.70 ≥ 12.10 Average Weekday Boarding Riders 34,996 ≥ 36,900 34,935 No ≥ 36,100 ≥ 37,300 Boardings per Revenue Hour 78.8 ≥ 81.4 80.4 No ≥ 82.4 ≥ 84.3 Percent of Scheduled Service Operated 99.97% ≥ 99.90% 99.96% YES ≥ 99.90% ≥ 99.90% Miles Between Major Mechanical Schedule Loss 37,381 ≥ 40,000 20,292 No ≥ 40,000 ≥ 40,000 Miles Between Chargeable Accidents 367,582 ≥ 2,223,000 558,019 No ≥ 2,234,000 ≥ 2,236,000 On-time Performance 84.5% ≥ 95.0% 77.4% No ≥ 95.0% ≥ 95.0% Operator Personal Time-off 7.2% ≤ 10.0% 7.3% YES ≤ 10.0% ≤ 10.0% Maintenance Personal Time-off 8.1% ≤ 8.0% 5.2% YES ≤ 8.0% ≤ 8.0% Way, Power & Signal Personal Time-off 4.0% ≤ 8.0% 8.6% No ≤ 8.0% ≤ 8.0% Passenger Concerns per 100,000 Boardings 4.3 ≤ 2.8 10.0 No ≤ 2.8 ≤ 2.8 Fare Evasion Rate 3.1% ≤ 5.0% 3.0% YES ≤ 5.0% ≤ 5.0%


100

Operations Division Expense Budget (Dollars in Thousands)




FY16 Adopted Budget


% Var FY17

Adopted Budget

Variance from FY16

Budget

% Var

Labor Costs 215,098 228,009 222,522 246,041 23,519 10.6% 255,266 9,225 3.7% Materials & Supplies 17,035 16,350 19,776 19,060 (716) -3.6% 18,978 (82) -0.4% Professional & Special Services 769 581 574 953 379 66.1% 1,099 146 15.3% Other Services 4,897 4,690 4,831 4,857 26 0.5% 4,833 (24) -0.5% Fuel 14,311 17,622 11,721 12,573 852 7.3% 12,517 (56) -0.4% Traction Power 3,437 3,539 3,941 3,819 (122) -3.1% 3,898 79 2.1% Tires 1,812 1,880 1,914 2,114 200 10.5% 2,266 151 7.1% Utilities 2,893 2,726 2,935 2,892 (42) -1.4% 2,892 0 0.0% Data Processing 194 190 261 216 (45) -17.3% 216 0 0.0% Office Expense 178 137 219 158 (61) -27.9% 158 0 0.0% Communications 0 1 5 0 (5) -94.7% 0 0 0.0% Employee Related Expense 99 74 87 176 89 101.3% 172 (4) -2.1% Leases & Rents 229 159 261 55 (205) -78.8% 55 0 0.0% Miscellaneous 68 105 473 107 (366) -77.4% 107 0 0.0%

Subtotal Operating Expense 261,019 276,062 269,521 293,023 23,502 8.7% 302,459 9,436 3.2%

Paratransit 16,931 20,800 17,620 19,817 2,197 12.5% 20,884 1,067 5.4% Caltrain 7,291 14,111 8,390 8,390 0 0.0% 8,390 0 0.0% Light Rail Shuttles 0 25 0 0 0 N/A 0 0 N/A Altamont Commuter Express 4,581 4,750 4,718 5,023 305 6.5% 5,323 300 6.0% Highway 17 Express 339 259 348 366 18 5.3% 384 18 4.9% Monterey-San Jose Exp. Service 35 35 35 35 0 0.0% 35 0 0.0% Contribution to Other Agencies 166 96 143 170 27 18.7% 175 5 2.9%

Subtotal Other Expense 29,343 40,076 31,253 33,801 2,547 8.2% 35,191 1,390 4.1%

Total Expense 290,362 316,138 300,774 326,823 26,050 8.7% 337,649 10,826 3.3%

Reimbursements (4,401) (3,925) (4,956) (5,955) (999) 20.2% (6,091) (136) 2.3%

Net Total 285,960 312,213 295,817 320,868 25,051 8.5% 331,558 10,690 3.3%




101


Major Variances (Variance in excess of 5% and $500,000) Labor Costs: FY 2016 budget increases $23.5 million over FY 2015 actual due primarily to additional staffing to support service enhancements and maintenance activities and the budgeting of 100% of approved positions in FY 2016 while FY 2015 actual costs reflect only filled positions. The estimated impact of FY 2016 and FY 2017 vacancies for the entire agency is reflected under Non-Departmental. Fuel: The FY 2016 budget shows an $852 thousand increase over FY 2015 actual due primarily to a higher projected price per gallon for diesel. The FY 2016 budget assumes $2.75 per gallon (including taxes) for diesel versus the $2.63 per gallon average paid in FY 2015. Paratransit: The FY 2016 budget reflects a $2.2 million increase over FY 2015 actual and the FY 2017 budget reflects a $1.1 million increase over FY 2016. These increases are primarily due to an anticipated increase in trips provided of 33,000 for FY 2016 and 23,000 for FY 2017. Reimbursements: FY 2016 budgeted reimbursements reflect a $999 thousand increase over FY 2015 actual due primarily to increased activity relating to projects such as the Computer Aided Dispatch-Automated Vehicle Locator (CAD-AVL) replacement, SCADA software upgrade, and light rail vehicle overhaul program.

New Hybrid Diesel/Electric Community Bus


102

Planning & Program Development Division

Under the direction of the Director of Planning & Program Development, this division is responsible for conducting all Congestion Management Program and VTA transportation and transit planning activities. In addition, the division is responsible for project development activities, capital project approvals, and programming and grants management.

46 FTEs

(As of 6/30/15)

Director of Planning & Program Development

1 FTE

Management Analyst1 FTE

Programming andGrants

12 FTEs

ProjectDevelopment

8 FTEs

Planning24 FTEs


103

Planning & Program Development Division cont.

Department Descriptions Planning: Responsible for the planning and conceptual design of all major transit projects, forecasting and modeling analysis for capital projects, and the Congestion Management Program (CMP), including the long range planning functions of the CMP. Programming and Grants: Responsible for advocating, programming, managing, and ensuring compliance for all federal, state and regional highway/transit/roadway/bicycle/pedestrian grants, as well as the programming of funds for the CMP. Project Development: Responsible for development phases of capital projects including environmental, preliminary engineering, final design, traffic engineering, Intelligent Transportation Systems engineering, and engineering responsibilities for the CMP.

Planning & Program Development Division

Position Detail


Associate Transportation Engineer 1 1 1 1 Deputy Director, Planning 1 1 1 1 Deputy Director, Project Development 1 1 1 1 Director of Planning & Program Development 1 1 1 1 Engineering Group Manager 1 1 1 1 Environmental Planner III 2 3 3 3 Executive Secretary 1 0 0 0 Management Analyst 2 2 2 2 Office Specialist II 4 2 2 2 Policy & Community Relations Manager 1 0 0 0 Principal Environmental Planner 1 0 0 0 Principal Transportation Planner 2 2 2 2 Sr Environmental Planner 4 3 3 3 Sr Management Analyst 2 1 1 1 Sr Transportation Engineer 1 1 1 1 Sr Transportation Planner 13 14 13 13 Transportation Engineering Manager 1 1 1 1 Transportation Planner III 10 7 8 8 Transportation Planning Manager 5 5 5 5 Total 54 46 46 46



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FY 2014 & FY 2015 Accomplishments 1. Completed the Draft Environmental Impact Report/Environmental Assessment for the El

Camino Real Bus Rapid Transit Project.

2. Completed strategic transportation plans and guidelines including the countywide long-range transportation plan, Valley Transportation Plan (VTP 2040); update of the Transportation Impact Analysis (TIA) Guidelines; update of the Congestion Management Program work plan; and update of the Short Range Transit Plan (SRTP) FY 2014-FY 2023.

3. Completed Federal Transit Administration’s (FTA) Environmental Management System Institute for the Cerone Bus Operating Division reflecting VTA’s commitment to continual environmental performance improvement and pollution prevention.

4. Applied for and received award of a Cal Recycle Tire-Derived Aggregate Grant.

5. Completed Initial Study with Negative Declaration/Environmental Assessment with Finding of No Significant Impact for the State Route 85 Express Lanes Project.

6. Continued VTA’s Sustainability Program by installing the first electric vehicle charging stations at VTA’s River Oaks offices.

7. Completed the Final Initial Study/Mitigated Negative Declaration for the Light Rail Efficiency Project: Mountain View Double Track Phase II.

FY 2016 & FY 2017 Goals

1. Develop and implement a VTA Asset Management Program. (June 2017)

2. Oversee development and implementation of the second OneBayArea Grant Programming Cycle. (June 2017)

3. Execute cooperative agreements in order to begin work on the I-280/Winchester Study, I-280 Corridor Study, and US 101/Zanker/Skyport/North Fourth Street projects. (June 2017)

4. Continue development of Silicon Valley Express Lanes Program ensuring that operating components continue to provide travel benefits and generate net revenues. (Ongoing)

5. Retrofit all VTA facilities with energy efficient fixtures, reduce VTA’s water use by 30% or more from 2013 levels, and fully implement the Utility Management System to meet VTA’s American Public Transit Association (APTA) Sustainability Commitment. (June 2017)

6. Complete key environmental elements for capital projects including Consolidated Biological Mitigation Project and the environmental document for the Mathilda Avenue Improvements at SR 237 and US 101 Project. (January 2017)


105


Performance Measures In order to better evaluate effectiveness of the activities and programs of various divisions, VTA is in the process of implementing an agency-wide Key Performance Metrics (KPM) program. This program identifies key indicators that assess the division’s impact on both internal and external customers. A target performance level is established for each indicator. If the target is not met, criteria are set to define the range of performance that shows the indicator either a) needs to be monitored; or b) is a problem to be addressed. A traffic light system (green/yellow/red) is used to evaluate the current status of each indicator. The KPMs are reviewed with the General Manager quarterly with action plans developed for those indicators in a “red” status.


Time required to submit grant performance reports

Operate SR 237 Express Lane Program with a positive operating balance

SR 237 Express Lane average speed

Reduce potable water use by 30% compared to 2013 usage

Transit Oriented Development


106

Planning & Program Development Division Expense Budget (Dollars in Thousands)




FY16 Adopted Budget


% Var FY17

Adopted Budget

Variance from FY16

Budget

% Var

Labor Costs 7,574 7,862 7,534 8,389 855 11.4% 8,406 17 0.2% Materials & Supplies 1 0 0 1 0 123.7% 1 0 0.0% Professional & Special Services 160 149 437 975 538 123.0% 872 (103) -10.6% Other Services 4 0 27 0 (27) -100.0% 0 0 N/A Data Processing 2 2 0 1 0 101.4% 1 0 0.0% Office Expense 8 12 9 8 (1) -11.1% 8 0 -4.9% Communications 0 0 0 2 2 N/A 2 0 0.0% Employee Related Expense 5 8 3 6 2 70.8% 6 0 0.0% Miscellaneous 7 12 10 9 (1) -13.2% 9 0 4.1%

Total Expense 7,759 8,045 8,021 9,391 1,369 17.1% 9,304 (86) -0.9%

Reimbursements (8,179) (8,790) (7,441) (7,916) (475) 6.4% (7,916) 0 0.0%

Net Total (419) (745) 581 1,474 894 154.0% 1,388 (86) -5.9%


Major Variances (Variance in excess of 5% and $100,000) Labor Costs: The FY 2016 budget reflects an $855 thousand increase over FY 2015 actual due to the budgeting of 100% of approved positions in FY 2016 while FY 2015 actual costs reflect only filled positions. The estimated impact of FY 2016 and FY 2017 vacancies for the entire agency is reflected under Non-Departmental. Professional & Special Services: The FY 2016 increase of $538 thousand from FY 2015 actual is due to consultant services in support of new programs and initiatives including survey and data collection, transit asset management, and strategic grant coordination and development. Reimbursements: FY 2016 budgeted reimbursements reflect an increase of $475 thousand from FY 2015 primarily due to increased planning related activities in support of the Congestion Management Program work plan and various capital projects.



107

System Safety & Security Division

Under the direction of the Director of System Safety & Security, this division is responsible for the management and oversight of all VTA safety functions including training, emergency preparedness, and accident response. In addition the division is responsible for oversight of all security functions including contracted law enforcement, unarmed and armed security services, and fare enforcement.

34 FTEs

(As of 6/30/15)

Director of System Safety & Security1 FTE

ExecutiveSecretary

1 FTE

Protective Services21 FTEs

Transit System Safety

11 FTEs


108

System Safety & Security Division Position Detail


Director of System Safety & Security 1 1 1 1 Environmental Health & Safety Specialist 2 2 2 2 Environmental Health & Safety Supervisor 1 1 1 1 Executive Secretary 0 1 1 1 Fare Inspector 17 16 16 16 Management Secretary 1 0 0 0 Manager of Security Programs 1 1 1 1 Office Specialist II 4 3 3 3 Principal Safety Auditor 0 0 1 1 Safety Manager 0 1 1 1 Sr Management Analyst 1 1 1 1 Transit Safety Officer 4 4 3 3 Transit Systems Safety Supervisor 1 1 1 1 Transportation Supervisor 2 2 3 3 Total 35 34 35 35

FY 2014 & FY 2015 Accomplishments 1. Reduced vehicle accident rates on bus and light rail.

2. Completed Federal Transit Administration (FTA) and California Public Utilities Commission Triennial Security Audit with no findings.

3. Achieved a light rail fare collection rate of 97%.

4. Successfully completed first year of Levi’s Stadium service with no significant security or safety events.

5. Continued to adopt electronic solutions to compile data and generate reports in an effort to eliminate paper and reduce man hours.

FY 2016 & FY 2017 Goals 1. Maintain a light rail fare evasion rate of less than 3% through fare enforcement.

(Ongoing)

2. Conduct All-Hazard Awareness Training and Preparedness for VTA employees in preparation for Super Bowl 50. (February 2016)

3. Continue to adopt Safety Management Systems as required by FTA. (Ongoing)



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System Safety & Security Division cont.

4. Increase security presence at all vulnerable transit locations to deter crime. (Ongoing)

5. Continue the Bus Ride Check program to maintain the promotion of operator safety. (Ongoing)




Driver safety awards issued within 90 days of receipt of eligibility report

California Public Utilities Commission inquires responded to within 30 days of receipt

Percent of passengers that evade fare

Percent reduction in accident frequency


110

System Safety & Security Division Expense Budget (Dollars in Thousands)




FY16 Adopted Budget


% Var FY17

Adopted Budget

Variance from FY16

Budget

% Var

Labor Costs 3,065 3,471 3,881 4,799 918 23.6% 4,899 100 2.1% Materials & Supplies 65 77 57 153 96 170.1% 109 (44) -28.8% Security 8,383 9,072 9,377 12,473 3,096 33.0% 12,619 147 1.2% Professional & Special Services 82 12 189 318 129 68.4% 143 (175) -55.0% Other Services 47 34 38 104 65 169.9% 44 (60) -57.5% Office Expense 29 35 49 41 (8) -16.5% 41 0 0.0% Employee Related Expense 97 67 69 57 (12) -16.9% 57 0 0.0% Miscellaneous 38 1 5 6 1 11.1% 8 2 41.3%

Total Expense 11,806 12,769 13,665 17,950 4,285 31.4% 17,921 (30) -0.2%


Net Total 11,806 12,769 13,665 17,950 4,285 31.4% 17,921 (30) -0.2%


Major Variances (Variance in excess of 5% and $100,000) Labor Costs: The FY 2016 budget reflects a $918 thousand increase over FY 2015 actual due to the budgeting of 100% of approved positions in FY 2016 while FY 2015 actual costs reflect only filled positions. The estimated impact of FY 2016 and FY 2017 vacancies for the entire agency is reflected under Non-Departmental. Security: The FY 2016 budget increases $3.1 million over FY 2015 due to additional staffing, contractual increases, and anticipated one-time expenditures in FY 2016 related to Super Bowl 50. Professional & Special Services: The FY 2016 increase of $129 thousand and FY 2017 decrease of $175 thousand is due to the inclusion of one-time consulting services for safety audits and development of a safety management system in FY 2016.



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Non-Departmental

VTA groups all expenses that are beyond the control of an individual division or difficult to be allocated meaningfully to any one division.

Non-Departmental Expense Budget





FY16 Adopted Budget


% Var FY17

Adopted Budget

Variance from FY16

Budget

% Var

Labor Costs 54 60 29 (12,740) (12,769) -44370.8% (13,079) (339) 2.7% Contribution to Other Agencies 0 0 8,000 8,000 0 0.0% 800 (7,200) -90.0% Debt Service 18,920 20,478 18,376 21,668 3,292 17.9% 21,641 (27) -0.1%

Total Expense 18,974 20,538 26,404 16,928 (9,476) -35.9% 9,362 (7,566) -44.7%


Major Variances (Variance in excess of 5% and $100,000) Labor Costs: FY 2016 budgeted labor costs reflect a $12.7 million decrease from FY 2015 actual. For ease of budget administration, the anticipated labor costs for all approved positions is reflected in each respective division and an estimated overall agency vacancy rate is reflected in Non-Departmental. Contribution to Other Agencies: The FY 2017 budget reflects a $7.2M decrease from FY 2016 due primarily to the inclusion in FY 2016 of a distribution of preventive maintenance funds received as a funding swap to the 2000 Measure A Fund in support of the Mountain View Double Track Project. Subsequent to adoption of the FY 2016 and FY 2017 budget, the $8.0 million of preventive maintenance funds were programmed as FY 2015 revenues and the expenditure was accrued in FY 2015. Debt Service: The FY 2016 budget reflects a $3.2 million increase over FY 2015 due primarily to an increase in the debt service schedule for the 2008 Series A-C Bonds.



112

VTA Transit Capital Program

Overview The FY 2016 and FY 2017 VTA Transit Capital Program strives to maintain needed capital infrastructure and keep VTA assets in a state of good repair. Over 80 projects were submitted for consideration. Each project was reviewed and rated based upon the project’s overall merit using a previously developed evaluation criteria scale. The projects were then ranked based on their overall score and matched against available funding. Once the projects are ranked, the Capital Improvement Program Oversight Committee (CIPOC), which is composed of the Division Chiefs and Directors, matches the VTA Transit requested projects with available levels of grant and local funding. This project selection process continually examines every capital project as to its criticality to VTA’s operations, strategic plan, and goals. The FY 2016 and FY 2017 Adopted Biennial Budget creates 43 new VTA Transit Capital projects and augments 13 existing projects. The Adopted Budget also includes $4.0 million to fund capital contingency. It utilizes $98.1 million of grants or other outside funding and requires a total new VTA Transit Fund commitment of $69.1 million. As the chart below illustrates, 59% of the FY 2016 and FY 2017 appropriation is funded with grants or other non-VTA Transit sources. Any shortfall in anticipated grant funding could require either the use of additional VTA Transit funds if alternate sources are not available, or a reduction in project scope. The $167.3 million VTA Transit Capital appropriation reflects the planned capital spending to be incurred or committed in the next two years. Project funding for the two-year period is appropriated in FY 2016 in order to facilitate administration of the program.

VTA Transit FY 2016 and FY 2017 Appropriation by Funding Source

Federal Grants44%

State Grants11%

Other4%

VTA Transit41%


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As illustrated in the chart below, 71% of the FY 2016 and FY 2017 appropriation is related to purchasing and maintaining revenue vehicles (55%) and keeping the light rail system in a state of good repair (16%).

VTA Transit FY 2016 and FY 2017 Appropriation by Category

The table on the following pages lists each project by category and general funding source. The subsequent pages provide a brief description of each project, identified funding sources, potential operating cost impacts, estimated total project cost, and anticipated completion date. Capital project appropriations, with the exception of the VTA Transit Capital Contingency, do not expire at the end of the fiscal year and are carried forward until the project is completed. Appropriation for the VTA Transit Capital Contingency expires at the end of the two-year budget cycle. Capital carryover is defined as appropriation that is unspent at the end of the fiscal year. The local share of capital carryover is specifically earmarked for previously appropriated capital needs in VTA’s Comprehensive Annual Financial Report. The table on pages 137-143 reflects the projected carryover at June 30, 2015 as well as the total available appropriation for the VTA Transit Capital Program after the FY 2016 and FY 2017 appropriations, by project and funding source.

Revenue Vehicles & Equipment

55%

Non-Revenue Vehicles

1%

Operating Facilities & Equipment

7%

Light Rail Way, Power & Signal

16%

Passenger Facilities

5%

Information Systems

Technology8%

Miscellaneous8%


114

VTA Transit Schedule of FY 2016 & FY 2017 Appropriation


Project

FY 2016 & FY 2017 Funding Source

Tot

al

Fede

ral

Stat

e

Oth

er

VT

A

Tra

nsit

1. 3-Position Exterior Bike Racks for Buses 0 820 0 80 900 2. 40' Bus Procurement FY16 48,700 0 0 12,175 60,875 3. 60' Articulated Bus Procurement 0 5,528 0 3,005 8,533 4. Electric Bus Pilot Project 0 0 3,200 800 4,000 5. Kinkisharyo LRV Overhaul Program 0 0 0 9,307 9,307 6. Light Rail Vehicle CCTV Upgrade 0 5,225 0 275 5,500 7. Light Rail Vehicle CCTV Door Monitoring System 800 0 0 200 1,000 8. Tire Barrier Retrofit 0 0 0 625 625 9. Wheelchair Ramp Replacement on 70 Buses 0 0 0 1,050 1,050

Revenue Vehicles & Equipment Total 49,500 11,573 3,200 27,517 91,791 10. Non-Revenue Vehicle Procurement FY16 0 0 0 863 863

Non-Revenue Vehicles Total 0 0 0 863 863 11. Automated Wheel Measurement System for LR Vehcls 0 0 0 879 879 12. Chaboya Yard Well Removal 196 0 0 49 245 13. Employee Facilities Updates at Chaboya 0 0 0 533 533 14. Facilities and Equip Emergency Repair FY16 0 0 0 750 750 15. Facilities Maintenance Equipment Program FY16 0 0 0 949 949 16. Green Sustainability Facility Improvements 0 0 0 1,000 1,000 17. Guadalupe Train Wash Replacement 1,448 0 0 362 1,810 18. HVAC Replacement Program FY16 0 0 0 1,300 1,300 19. Light Rail Vehicle Body Shop-Dust Separation Wall 0 0 0 500 500 20. Light Rail Vehicle Maintenance Shop Hoist 0 0 0 450 450 21. Painting Management Program FY16 0 0 0 1,540 1,540 22. Pavement Management Program FY16 0 0 0 910 910 23. Roofing Management Program FY16 0 0 0 923 923

Operating Facilities & Equipment Total 1,644 0 0 10,145 11,789 24. Bridge and Structure Repairs FY16 560 0 0 140 700 25. Bridge Repairs & Hamilton Structure Stabilization 560 0 0 140 700 26. Downtown San Jose Speed Improvement-Phase 1 1,000 4,000 0 0 5,000 27. Light Rail Crossovers and Switches FY16 0 0 0 4,100 4,100 28. Rail Rehabilitation & Replacement FY16 3,600 0 0 900 4,500 29. Track Intrusion Abatement FY16 1,600 0 0 400 2,000 30. Traction Power Substation Power Monitoring System 0 0 0 235 235 31. Traction Power Substation Procurement FY16 7,200 0 0 1,800 9,000

Light Rail Way, Power & Signal Total 14,520 4,000 0 7,715 26,235 32. Bus Stop Pavement/Duckout Improvements FY16 770 0 0 192 962 33. Light Rail Facilities LED Lighting Retrofit 750 0 0 188 938 34. Light Rail Station Signage Replacement 0 0 1,040 960 2,000

VT

A FY

2010 & FY

2011 AD

OPT

ED

BIE

NN

IAL

BU

DG

ET


115

Project


Tot

al

Fede

ral

Stat

e

Oth

er

VT

A

Tra

nsit

35. Pedestrian Swing Gates Replacement 704 0 0 176 880 36. Security Improvement Projects FY16 0 1,775 0 93 1,868 37. Ticket Vending Machines for Stadium Events 0 0 0 660 660 38. Transit Center Park & Ride Upgrades FY16 0 0 0 500 500 39. Vasona Corridor Pedestrian Back Gates 1,040 0 0 260 1,300

Passenger Facilities Total 3,264 1,775 1,040 3,029 9,108 40. Business Process Automation - Accounts Payable 0 0 0 202 202 41. Business Process Automation - Payroll 0 0 0 323 323 42. Cal Cloud Network and Server Upgrade 0 0 0 900 900 43. Connected Vehicles Technology Platform 800 0 0 200 1,000 44. Credit Card Authorization System Enhancement 0 0 0 180 180 45. Electronic Procurement & Contract Bidding Process 0 0 0 210 210 46. Emergency IT Infrastructure Replacement 0 0 0 300 300 47. GIS Program Development 0 0 0 250 250 48. Interactive Customer Message Signs 0 0 0 400 400 49. Network and Gigibit Fiber Upgrade 0 0 0 700 700 50. Radio System Upgrade 2,400 0 0 600 3,000 51. SCADA Programming 0 0 0 1,100 1,100 52. Server Refresh 0 0 0 500 500 53. Server Security Replcmnt and System Perf. Upgrade 0 0 0 1,050 1,050 54. Subscription/Demand Responsive Bus Pilot Project 667 0 667 667 2,000 55. Train to Wayside Comm. System Upgrade 1,085 0 0 271 1,356

Information Systems & Technology Total 4,951 0 667 7,853 13,471 56. Caltrain Capital - Annual Local Match 0 0 0 10,000 10,000 57. Capital Contingency 0 0 2,000 2,000 4,000

Miscellaneous Total 0 0 2,000 12,000 14,000

Grand Total 73,879 17,348 6,907 69,122 167,256


116

VTA Transit Capital Program Description of FY 2016 & FY 2017 Appropriated Projects

Revenue Vehicles & Equipment 1. 3-Position Exterior Bike Racks for Buses

This project will expand bike storage capacity on buses to take advantage of new bus length allowance signed into law in September 2014. It will expand the capacity of the exterior bicycle racks from two bikes to three on each bus.

Funding Source FY16 & FY17 State - TFCA $820,000 VTA Transit $80,000 Total $900,000

Operating Cost Impact: There is no anticipated impact on operating costs.

Estimated Total Project Cost: $900 thousand

Anticipated Completion Date: June 2016 2. 40’ Bus Procurement FY16

Purchase up to 80 forty-foot buses in order to retire existing buses which are significantly beyond their designed economic life. Buses to be retired were purchased between 1998 and 2002 and were designed for a useful economic life of 12-14 years.

Funding Source FY16 & FY17 Federal - Sec 5307 $42,501,567 Federal - Sec 5339 6,198,616 VTA Transit 12,175,046 Total $60,875,229

Operating Cost Impact: Operating savings estimated at $25 thousand per bus, per year.

Estimated Total Project Cost: $59.6 million

Anticipated Completion Date: June 2019

3. 60’ Articulated Bus Procurement Procurement of additional 7 articulated sixty-foot buses for a total of 55 for this project to allow the retirement of older sixty-foot and forty-foot buses which are beyond their designed economic life, and to allow for increased passenger loads on certain routes.


117

Funding Source FY16 & FY17 State - Prop 1B $5,528,031 VTA Transit $3,005,397 Total $8,533,428

Operating Cost Impact: Reduced maintenance costs and fuel savings offset by additional

costs of operating larger buses.


Anticipated Completion Date: March 2019

4. Electric Bus Pilot Project This is a next generation Zero Emission Vehicle demonstration project to meet California Air Resources Board (CARB) goals of progressing towards zero emissions transportation as rapidly as practical. A pilot transit bus project is planned, but project scope will initially stay flexible in order to best meet the final CARB regulations to be issued by 2016 and to also allow taking advantage of compatible grant funding opportunities.

Funding Source FY16 & FY17 Other - TBD $3,200,000 VTA Transit 800,000 Total $4,000,000

Operating Cost Impact: Intent will be for cost-neutral operation of the vehicles compared to

current diesel and diesel/electric hybrid buses. Fuel savings will be partially offset by

electricity costs.


Anticipated Completion Date: September 2017

5. Kinkisharyo Light Rail Vehicle Overhaul Program This ongoing project encompasses the manufacturer prescribed overhaul of key components for the Kinkisharyo light rail vehicle fleet. These overhauls are necessary to maintain the vehicles in a state of good repair and will uphold the safety and reliability standards that VTA has set for the light rail system and its riders. The overhaul of pantographs and air conditioning units began in 2013. Activities beginning in 2016 include replacement or rebuilding of motor trucks, brake calipers, gear boxes, and journal bearings.

Funding Source FY16 & FY17 VTA Transit $9,307,000

Operating Cost Impact: Potential maintenance savings associated with lower emergency

failures.


Anticipated Completion Date: December 2020


118

6. Light Rail Vehicle CCTV Upgrade This project will upgrade the old video equipment on the light rail vehicles with new cameras, recorders, and communication equipment providing high quality video that is accessible throughout the organization.

Funding Source FY16 & FY17 State - Prop 1B $5,225,000 VTA Transit 275,000 Total $5,500,000

Operating Cost Impact: Estimated additional $300 thousand per year for CCTV, data

communication, and management software maintenance.



7. Light Rail Vehicle CCTV Door Monitoring System Replace existing door monitoring CCTV system on light rail vehicles. The current CCTV door monitoring view of the light rail vehicles is limited and does not provide clear images. New CCTV systems are available and will provide a better view of the vehicle sides and platform making it easier for operators to determine when the passengers have cleared the doors. Additionally, the operator can more easily see late passengers approaching and allow those passengers to board the train.

Funding Source FY16 & FY17 Federal - Sec 5307 $800,000 VTA Transit 200,000 Total $1,000,000

Operating Cost Impact: Potential increase in maintenance contracts once new equipment is

off warranty.



8. Tire Barrier Retrofit This project will retrofit 300 VTA buses with S-1 Gards, a patented product that acts as a barrier to prevent tire rollover. The intent of the barrier is to deflect a person that may have fallen in front of the rear wheels out of the path of the wheels. These barriers are now a standard item in the specifications when VTA purchases new buses. This project will retrofit the older buses in VTA’s fleet.

Funding Source FY16 & FY17 VTA Transit $625,000


119




9. Wheelchair Ramp Replacement on 70 Buses Improve mobility device access on 70 buses by replacing the current wheelchair ramp with a model that offers an easier and more familiar experience for users of manual and powered wheelchairs and scooters. Buses delivered to VTA in late 2010 were equipped with a new design wheelchair ramp. Mobility device users have encountered problems with the new design. To eliminate the issues, this project will retrofit the buses with an older, simpler model used for many years without significant problems.





Non-Revenue Vehicles

10. Non-Revenue Vehicle Procurement FY16 This ongoing program schedules the acquisition of Non-Revenue Vehicles to replace existing units that have high mileage, have had a history of mechanical failures, or have been decommissioned because of mechanical failures which were not cost-effective to repair. This plan also calls for the replacement of old vehicles with hybrid/electric vehicles, wherever possible.


Operating Cost Impact: Projected maintenance savings for the first year vehicles are in

service due to warranty.


Anticipated Completion Date: June 2017 Operating Facilities & Equipment

11. Automated Wheel Measurement System for Light Rail Vehicles

This project will design, furnish and install an automated wheel measurement system at the Guadalupe Light Rail Division. This system will help the light rail vehicle maintenance shop to detect wheel defects and wheel wear, and expedite the wheel inspection process.


120


Operating Cost Impact: Potential maintenance savings from proactively addressing issues.



12. Chaboya Yard Well Removal This project is to obtain case closure and demolish the ground water remediation system and wells at the Chaboya Bus Operating Division. Regional Water Quality Control Board staff has agreed to case closure with a deed restriction that is being executed. This project includes the abandonment (removal) of 50 monitoring wells, abandonment of 5 extraction wells, closure for 2 groundwater extraction trenches, and closure of 1 recharge trench.

Funding Source FY16 & FY17 Federal - Sec 5307 $196,000 VTA Transit 49,000 Total $245,000




13. Employee Facilities Updates at Chaboya This project will rehabilitate and remodel the restroom facilities in Building A and expand the employee break area at the Chaboya Bus Operating Division to accommodate an exercise area similar to those at other operating divisions.





14. Facilities and Equipment Emergency Repair FY16 This project allows VTA to expedite unplanned repairs that may be required at facilities or to equipment that is essential to normal or safe operations. These funds are administered by the Chief Operating Officer and are not used for regular anticipated maintenance activities.



121

Operating Cost Impact: Potential impact on operating cost is dependent on nature of repair

or equipment replaced.



15. Facility Maintenance Equipment Program FY16 This project allows for the scheduled replacement of equipment that has reached the end of its useful life. It allows VTA to proactively keep its equipment in a state of good repair, while reducing repair expenses and downtime. FY 2016 and FY 2017 scheduled replacements include parts carousel, engine dynamometer, bus lifts sets, floor scrubbers, pressure washers, lathe, and parts washers.


Operating Cost Impact: Potential maintenance savings associated with keeping equipment in

a state of good repair.



16. Green Sustainability Facility Improvements This appropriation supports the continuation of the VTA Board approved Sustainability Program which includes energy reduction, solid waste reduction, hazardous waste reduction, recycling programs, water conservation, and solar energy projects. Planned projects for the two-year period include lighting retrofits, electric vehicle charging stations, and wayside energy storage.


Operating Cost Impact: The wayside energy storage project is expected to generate $80

thousand in annual savings from reduced electrical demand.



17. Guadalupe Train Wash Replacement

This project will replace the Guadalupe Light Rail Division train wash, including modifications to the concrete slab and trench drains, replacement of the water supply and storage systems, and replacement of all controls and mechanical equipment. Currently when the fronts and rears of the rolling stock get too dirty, shifts of maintenance workers are diverted to cleaning the cars periodically at the request of management. This work is generally done on overtime, raising the overall maintenance costs that would not occur if the wash system were properly washing the rolling stock.


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Funding Source FY16 & FY17 Federal - Sec 5337 $1,448,000 VTA Transit 362,000 Total $1,810,000

Operating Cost Impact: Anticipated reduction in overtime for maintenance workers.



18. Heating, Ventilation and Air Conditioning (HVAC) Replacement Program FY16 The HVAC Replacement Program is a long-term plan intended to take advantage of technological advances in HVAC equipment and stay ahead of major system failures that impact operations. This 10-year plan identifies specific HVAC equipment replacements annually based on the end of useful life calculations. The FY 2016 and FY 2017 request provides for the redesign and replacement of the River Oaks Data Center cooling system and continuation of the heat pump replacement project started in FY 2014.


Operating Cost Impact: Utility savings anticipated from replacing electric heat pumps with

natural gas fueled heat pumps.



19. Light Rail Vehicle Body Shop – Dust Separation Wall This project will construct a dust separation wall between tracks 4 and 5 of the Guadalupe Light Rail Division vehicle shop building. The wall will mitigate dust migration due to body/collision repair and paint prep work, such as sanding, that occurs along track four. Dust accumulation damages and shortens the life of the machine shop, wheel truing, and component rebuild equipment located on track 5. In addition to wall construction, the project scope includes modifications to existing electrical and mechanical systems impacted by placement of the new wall at the designated location. The requested budget augmentation will fund this project through completion.


Operating Cost Impact: Some maintenance and replacement savings anticipated due to the

reduction of dust accumulation in vital equipment.




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20. Light Rail Vehicle Maintenance Shop Hoist This project will add one in-floor light rail vehicle (LRV) hoist at the LRV Maintenance Shop. This additional lift will supplement the existing in-floor hoist and provide additional capability to quickly change trucks (three per LRV) associated with truck overhauls and repairs, wheel truing, and preventive maintenance inspections. The set of portable LRV lifts that were originally provided are time consuming to set up and move into place and they present a large number of cables that connect the eight units causing a tripping hazard and interfering with work on the LRV. The requested budget augmentation is required to construct the necessary building modifications to facilitate installation.


Operating Cost Impact: Anticipate additional $3 thousand per year for maintenance

contract.



21. Painting Management Program FY16 The Painting Management Program is an ongoing, comprehensive long-term preventive maintenance program that protects and extends the useful life of all facilities maintained by VTA. This program provides painting maintenance and repair to the exteriors and interiors of all VTA operational, administrative, and passenger facilities (excluding bus stops). Painting maintenance and repair includes repairs and repainting of worn areas as needed and scheduled repainting based on a 10-year plan.





22. Pavement Management Program FY14

This ongoing program provides pavement maintenance and repair to all VTA operational, administrative, passenger, equipment, and park & ride facilities. Maintenance and repair includes slurry sealing on a five to eight-year cycle for light-duty lots and grinding with overlays for bus divisions and heavy vehicle roadways on a five-year schedule.


Operating Cost Impact: Potential maintenance savings associated with keeping pavement in





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23. Roofing Management Program FY16 This is an ongoing, comprehensive program to maximize the useful life and integrity of VTA facilities. This program includes the proactive scheduling of roofing rehabilitation prior to major failure as well as unscheduled repairs, seasonal cleaning, annual roof inspections, and emergency leak response.


Operating Cost Impact: Potential maintenance savings associated with keeping roofing in a

state of good repair.



Light Rail Way, Power & Signal

24. Bridge and Structure Repairs FY16 An inspection of the VTA light rail bridges and structures has been completed in accordance with California Public Utilities Commission requirements. The findings indicate that a number of structures are showing defects that either need further detailed investigation or require corrective actions. This project will provide the funding to take corrective actions so that items are immediately addressed.


Operating Cost Impact: Potential maintenance savings associated with keeping bridges and

structures in a state of good repair.



25. Bridge Repairs & Hamilton Structure Stabilization Implement corrective actions such as soil stabilization and drainage modifications to stabilize the Hamilton Bridge Structure. The requested budget augmentation will fund this project through completion.



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Operating Cost Impact: Potential maintenance savings associated with keeping bridges and

structures in a state of good repair.



26. Downtown San Jose Speed Improvement – Phase 1 This project will include final design and construction of improvements to the light rail system in downtown San Jose which would allow trains to increase maximum speeds through that area. It would require construction and enhancements to sidewalk and paving, modifications at select intersections, and potential utility work. The enhancements are still to be determined but will likely include a combination of bollards, chains, and alternate technologies. This is Phase 1 of the overall downtown San Jose speed improvement project. Phase 2 will commence when BART construction occurs in downtown San Jose. Phase 2 is anticipated to be a much larger overhaul of the light rail system in downtown San Jose.

Funding Source FY16 & FY17 Federal - TPI $1,000,000 State - Cap-n-Trade 4,000,000 Total $5,000,000

Operating Cost Impact: Ongoing maintenance costs related to new track and structures

would be offset somewhat by reduced operating costs from improved speed and service

reliability.



27. Light Rail Crossovers and Switches FY16 This project will procure and install track crossovers and power switches at several locations along the existing corridor to improve the ability to provide trackway maintenance and increase operational flexibility.


Operating Cost Impact: Potential cost savings due to improved operational flexibility.


Anticipated Completion Date: May 2019

28. Rail Rehabilitation and Replacement FY16 This is part of an on-going program to ensure that the light rail track infrastructure remains safe, reliable and in an enhanced state of good repair. Previous projects have completed or are undertaking the rehabilitation and replacement of ties, rail, concrete panels, special trackwork, switches and embedded rail. Design is underway for another project that will replace the existing embedded half grand at the intersection of North 1st Street and Younger Avenue and install crossovers to facilitate construction. The scope for this request includes


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further rehabilitation and replacement of various track components at various locations including special trackwork switches, heel blocks, timber ties and defective/worn-out rail.


Operating Cost Impact: Potential maintenance savings associated with keeping the assets in




29. Track Intrusion Abatement FY16 This project will take steps to prevent track intrusion into light rail trackway at intersections and locations currently subject to trespassing. Planned improvements include installation of fencing, barriers, signage, flashing signs, and pavement markings at locations identified and approved by VTA’s Safety Committee.





30. Traction Power Substation Power Monitoring System The project will add an Energy Demand Power Monitoring System (EPMS) to 10 traction power substations to better monitor power consumption and transit power harmonics fluctuations. This monitoring system will allow VTA to control consumption, verify billings, and support control costs. This system is fully compatible with the systems on the new Transit Power Substations.


Operating Cost Impact: Annual fees of $6,500 offset by potential savings from identification

of overbillings.




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31. Traction Power Substation Procurement FY16 This project is part of a continuing program to replace the Traction Power Substations on the Guadalupe Light Rail Corridor. The previously approved projects allow for the replacement of 7 of the 14 substations and installation of one new substation in the Guadalupe corridor. This project will replace three more substations.

Funding Source FY16 & FY17 Federal - Sec 5337 $7,200,000 VTA Transit 1,800,000 Total $9,000,000

Operating Cost Impact: Potential maintenance savings associated with keeping assets in a




Passenger Facilities

32. Bus Stop Pavement/Duckout Improvements FY16 VTA is committed to maintaining and improving safe bus stops, bus stop accessibility, and sound operating conditions for transit vehicles. This project will provide physical improvements at bus stops to ensure Americans with Disabilities Act (ADA) compliance and improve the overall passenger environment throughout Santa Clara County. The improvements typically include increasing passenger waiting pads, enhancing sidewalk access, providing additional lighting at bus stops, and repairing bus pavement at heavily used bus stops. In addition, accessibility improvements will be made to enable wheelchair use of the bus stops and to provide appropriate access clearances.


Operating Cost Impact: Potential maintenance savings associated with keeping bus stops in




33. Light Rail Facilities LED Lighting Retrofit This project will retrofit existing light rail stations and facilities with energy efficient LED light fixture to improve lighting level and reduce energy consumption.


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Funding Source FY16 & FY17 Federal - Earmark $750,000 VTA Transit 187,500 Total $937,500

Operating Cost Impact: Anticipated utility savings due to more efficient fixtures and

maintenance/replacement savings due to longer lamp life.



34. Light Rail Station Signage Replacement This project will replace signage at all light rail stations in support of a new service plan. VTA will have major changes to its light rail service in response to the new BART connection at Milpitas as well as planned operations for additional express service. Project costs include labor and materials to replace decals and various signage at each light rail station.

Funding Source FY16 & FY17 2000 Measure A $1,040,000 VTA Transit 960,000 Total $2,000,000



Anticipated Completion Date: August 2017

35. Pedestrian Swing Gates Replacement This project will replace spring-hinge pedestrian swing gates at various pedestrian crossing locations along the light rail system. The existing swing gates will be replaced with new and improved gravity-hinged gates that are safer and more reliable. The requested budget augmentation will fund this project through completion.





36. Security Improvement Projects FY16 This project reserves appropriation for grant funding identified specifically for transit security projects from the California Transit Security Grant Program-California Transit


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Assistance Fund. The specific activities will be identified consistent with grant guidelines and assessments of projects.

Funding Source FY16 & FY17 State - Prop 1B $1,775,000 VTA Transit 93,000 Total $1,868,000

Operating Cost Impact: Potential impact on operating cost is dependent on nature of

identified activities.



37. Ticket Vending Machines for Stadium Events This project will fund the procurement and installation of 7 Ticket Vending Machines (TVMs) to be installed at the Mountain View (3), Great Mall (2), and Montague (2) Light Rail Stations. This enhanced availability of TVMs is intended to reduce or eliminate the need for VTA staff to sell tickets manually on Levi’s Stadium event days.


Operating Cost Impact: Lower staffing costs for fare sales at special events offset somewhat

by marginal incremental maintenance costs.


Anticipated Completion Date: January 2016

38. Transit Center Park & Ride Upgrades FY16 This project will provide for refurbishment and repair of maintenance issues at transit center and park & ride lots throughout the VTA service area. These include major concrete damage and pavement failures at transit centers, sidewalks, and park & ride lots. It will also include pavement striping, signage, tree roots and tree removal, lighting, and mitigating trip hazards in the pedestrian areas.


Operating Cost Impact: Potential maintenance savings associated with keeping assets in a





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39. Vasona Corridor Pedestrian Back Gates This project will install pedestrian gates at several Vasona Light Rail Corridor crossings. The scope will include the installation of automatic pedestrian gates, swing gates and railings, minor civil improvements and related signal modifications as necessary.





Information Systems & Technology

40. Business Process Automation – Accounts Payable This project addresses business processes in the Accounts Payable department to facilitate migration to a more electronic and automated process. The project will utilize automation tools such as interactive forms and work flow to streamline approval procedures, facilitate archiving and retrieval of invoices, and improve the overall efficiency in processing Accounts Payables documents. The requested budget augmentation will fund this project through completion.




Anticipated Completion Date: October 2016

41. Business Process Automation - Payroll This project addresses business processes in the Payroll department to facilitate migration to a more electronic and automated process. The project will utilize automation tools such as interactive forms and work flow to streamline timesheet submission and approval procedures, automate employee initiated forms, and provide the ability to store Federal and State tax reporting forms. The requested augmentation will fund this project through completion.


Operating Cost Impact: Potential savings from reduced usage of paper forms.


Anticipated Completion Date: November 2016


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42. Cal Cloud Network and Server Upgrade This project provides for the high speed connectivity, security and operation for Cal Cloud, a state sponsored Cloud services site which provides for fail over and connectivity to State of California computer resources in emergencies and for combined agency access. Utilizing the Cal Cloud services allows VTA to establish a redundant system and outside services in the cloud, duplicating the primary systems and data for VTA. Systems such SAP, Trapeze Ops, email, and other production systems and data will be replicated to the Cal Cloud.


Operating Cost Impact: Up to $20 thousand per year depending on type of connection

required.



43. Connected Vehicle Technology Platform This project will develop a technology platform that could lead to the development of personal connected mobility and enhanced transit performance. The development builds upon the 4G network and devices that are being deployed on all of VTA’s revenue vehicles. This development, leveraging a modern, flexible and scalable data communications protocol, is planned to lead to the creation of a smart personal connected mobility and transit performance application programming interface (API) that could be easily utilized by VTA’s customers, application developers, and regional transportation agencies. This open architecture platform would be transferable, enabling others to easily deploy a similar system with limited implementation costs. Potential applications from this effort could include: on-demand public transit system, multi-modal trip planner, enhanced automatic passenger information system, rail worker safety system, and smart transit stop information system.

Funding Source FY16 & FY17 Federal - TBD $800,000 VTA Transit 200,000 Total $1,000,000

Operating Cost Impact: Potential impact on operating cost is dependent on specifics of

identified program.



44. Credit Card Authorization System Enhancement This project will enhance the current credit card authorization system to provide for redundant servers, networking equipment, and applications to allow for failover capabilities.



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Operating Cost Impact: Potential increase in fare revenues due to reduction in Ticket

Vending Machine credit card system downtime.



45. Electronic Procurement & Contract Bidding Process Evaluate a cloud-based software which can improve the sourcing functions for the Procurement and Contracts Department. All documents will be captured electronically making them easier to access or audit in the future.


Operating Cost Impact: Software subscription fee estimated at $50 thousand per year.


Anticipated Completion Date: July 2017

46. Emergency IT Infrastructure Replacement This project allows VTA to address the need for replacement of critical technology infrastructure as they arise over the two-year timeframe. These funds are administered by the Chief Technology Officer and are not used for regular anticipated maintenance activities.


Operating Cost Impact: Potential impact on operating cost is dependent on nature of item

replaced.



47. Geographic Information System (GIS) Program Development

This project will procure data collection hardware (e.g. smart phones and data plans), procure and assess new software, test options for new cartographic look for VTA, and secure professional services to assist with database management in support of VTA’s GIS program. GIS program development is a core component of the new VTA vision of using technology and innovation to improve services and workflow efficiencies.


Operating Cost Impact: Potential increased costs for software subscriptions and

maintenance fees.




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48. Interactive Customer Message Signs This is the second phase of implementation of the Interactive Customer Message Boards project. The message boards will simplify way finding and communication for the VTA traveler. It will be designed to deliver relevant information to the traveling public. The message boards provide information such as a countdown to arrival, one-touch visual directions based on real-time train and bus status, neighborhood maps along with additional features such as context-relevant notification and/or advertising. This phase of the project is to deploy an additional 20 signs once the design and pilot phases have been completed.


Operating Cost Impact: Maintenance and operating costs offset by potential generation of

advertising revenue.



49. Network and Gigibit Fiber Upgrade This project will provide increased security, reliability and capacity for the VTA network. It provides additional security from Internet threats and improves reliability in accessing the Internet for both regular and emergency operations. The project will also provide optic fiber installation as well as minor equipment and materials in helping augment the existing fiber Wide Area Network infrastructure within VTA. It is intended to provide upgrades to the VTA fiber and network equipment to address additional capacity needs and bottleneck areas and work in conjunction with other projects to ensure full functionality system-wide.


Operating Cost Impact: Estimated annual maintenance costs of $100 thousand offset by

estimated annual telecommunication cost savings of $50 thousand.



50. Radio System Upgrade This project will replace necessary portions of the land mobile radio system to meet the needs of increased talk groups and provide voice/data communication to the bus and light rail systems. The additional budget insures that all portions of the radio system are upgraded with appropriate equipment once the migration to the new radio/communications platform is selected. The requested augmentation will fund this project through completion.



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Anticipated Completion Date: January 2017

51. SCADA Programming This project will modify the existing Supervisory Control and Data Acquisition (SCADA) system used to control and monitor the light rail operating system and related features to integrate new equipment installed with the SCADA controls.





52. Server Refresh This project will provide updated server equipment, enhanced server tools, and improved server cabling/connectivity/data transfer speed. The project will install server equipment that will replace end of life, non-supported servers and will provide new central server management tools.


Operating Cost Impact: Some savings anticipated as new units are more power efficient.



53. Server Security Replacement and System Performance Upgrade This project will provide new security equipment, enhanced systems monitoring tools, and improved network filtering capabilities against spam, phishing and virus attacks. The project will install security and data storage equipment that will replace end of life, non-supported hardware and will provide new central server management tools. The requested budget includes procurement and installation of new security gateway appliances and storage units.


Operating Cost Impact: Some savings anticipated as new units are more power efficient.




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54. Subscription/Demand Responsive Bus Pilot Projects This project will implement a pilot Subscription/Demand Responsive Shuttle Bus Service Program. The program will develop, implement and test new specialized transit service models for select markets. The pilot program would utilize leased vehicles for testing various technologies, applications and service strategies. The key service features may include, but not be limited to, web-based subscription, automated dispatch, intelligent routing, optimized vehicle assignment and scheduling, real-time vehicle tracking, and seat reservation. The service will be flexible, with potentially varying pickup or drop off locations depending on their needs. Riders will be able to request and reserve (with a payment) service in advance via multiple platforms, including smartphone apps, web or phone call. Vehicle arrival and travel times will be estimated based on the automatic vehicle locator (AVL) and communicated to the riders simultaneously. Long-term, the service may be subscribed to (fully funded) by employers or other institutions.

Funding Source FY16 & FY17 Federal - TBD $666,666 Other - TBD 666,666 VTA Transit 666,668

Total $2,000,000 Operating Cost Impact: Potential for service revenues to fully offset costs over a period of

time. In addition, this service may replace fixed route service at certain locations thereby

lowering overall service costs.



55. Train to Wayside Communication System Upgrade This project will upgrade the existing DOS based train-to-wayside system to a Windows based system while keeping the original system operational at various wayside locations. The project includes revisions to the existing design drawings, furnishing of new equipment, removal and or integration with the old equipment as needed, and installation of the new equipment. The requested budget augmentation will fund this project through completion.

Funding Source FY16 & FY17 Federal - Sec 5307 $356,437 Federal - Sec 5337 728,163 VTA Transit 271,150 Total $1,355,750





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Miscellaneous

56. Caltrain Capital - Annual Local Match The local capital funds that Caltrain receives from VTA and the other two funding partners (San Mateo County Transit District and the City and County of San Francisco) are used to match state and federal grant funds that are provided to Caltrain. Most Caltrain capital projects are funded with a combination of federal and local funds, and the costs are split equally by the three member agencies.


Operating Cost Impact: There is no direct operating costs impact to VTA. Operating and

maintenance costs for Caltrain service are incorporated in the Caltrain operating subsidy.



57. Capital Contingency

This appropriation is a placeholder for projects that are not currently anticipated but may arise during the two-year budget cycle. These funds are administered by the Capital Improvement Program Oversight Committee, which is composed of VTA’s Chief Officers and Directors. Unused Capital Contingency appropriation expires at the end of the two-year budget cycle.

Funding Source FY16 & FY17 VTA Transit $2,000,000 Other-TBD 2,000,000 Total $4,000,000

Operating Cost Impact: Potential impact on operating cost is dependent on nature of

identified activities.




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VTA Transit Total Available Appropriation

Capital project appropriations, with the exception of the VTA Transit Capital Contingency, do not expire at the end of the fiscal year and are carried forward until the project is completed. Appropriation for the VTA Transit Capital Contingency expires at the end of the two-year budget cycle. Capital carryover is defined as appropriation that is unspent at the end of the fiscal year. The local share of capital carryover is specifically earmarked for previously appropriated capital needs in VTA’s Comprehensive Annual Financial Report. The following table reflects the projected carryover at June 30, 2015, as well as the total available appropriation for the VTA Transit Capital Program after the FY 2016 and FY 2017 appropriations, by project and funding source. Project funding for the two-year period is appropriated in FY 2016 in order to facilitate administration of the program


Project # Project Name Funding

Source

A

Adopted Budget

Through FY15

B

Projected Expenditures

Through FY151

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

P-0624 Bus Farebox Replacement State 10,000 9,480 520 0 520 VTA Transit 498 63 435 0 435 Total 10,498 9,543 955 0 955

P-0687 Advanced ZEB Demo Project Federal 392 314 78 0 78 Other 98 71 27 0 27 VTA Transit 8,984 8,984 0 0 0 Total 9,474 9,369 105 0 105

P-0754 Kinkisharyo LRV Overhaul Program VTA Transit 2,599 493 2,106 9,307 11,413 P-0760 Express Bus Vehicle Procurement State 14,227 13,396 831 0 831

VTA Transit 1,893 545 1,348 0 1,348 Total 16,120 13,941 2,179 0 2,179

P-0768 Community Bus Procurement State 9,405 9,125 281 0 281 VTA Transit 16,236 15,770 466 0 466 Total 25,641 24,894 747 0 747

P-0823 Paratransit Vehicles and Equipment State 3,476 255 3,221 0 3,221 P-0833 40' Bus Procurement Federal 34,353 7,719 26,633 0 26,633

State 3,171 1,854 1,318 0 1,318 VTA Transit 7,609 703 6,907 0 6,907 Total 45,133 10,276 34,857 0 34,857

P-0834 60' Articulated Bus Procurement State 24,437 0 24,437 5,528 29,965 VTA Transit 27,777 0 27,777 3,005 30,782 Total 52,214 0 52,214 8,533 60,747

P-0884 Automatic Passenger Counters LR Vehicles VTA Transit 1,450 1,406 44 0 44 P-0924 40' Bus Procurement FY16 Federal 0 0 0 48,700 48,700

VTA Transit 0 0 0 12,175 12,175 Total 0 0 0 60,875 60,875

P-0933 Wheelchair Ramp Replacement on 70 Buses VTA Transit 0 0 0 1,050 1,050 P-0945 Light Rail CCTV Upgrade State 0 0 0 5,225 5,225

VTA Transit 0 0 0 275 275 Total 0 0 0 5,500 5,500


VT

A FY

2010 & FY

2011 AD

OPT

ED

BIE

NN

IAL

BU

DG

ET


138


Source

A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

P-0951 3-Position Exterior Bike Racks for Buses State 0 0 0 820 820 VTA Transit 0 0 0 80 80 Total 0 0 0 900 900

P-0952 LRV CCTV Door Monitoring System Federal 0 0 0 800 800 VTA Transit 0 0 0 200 200 Total 0 0 0 1,000 1,000

P-0961 Electric Bus Pilot Project Other 0 0 0 3,200 3,200 VTA Transit 0 0 0 800 800 Total 0 0 0 4,000 4,000

P-0964 Tire Barrier Retrofit VTA Transit 0 0 0 625 625 Revenue Vehicles & Equipment Total 166,605 70,177 96,428 91,791 188,219

P-0774 Non-Revenue Vehicle Procurement FY12 State 1,931 1,317 615 0 615 P-0857 Non-Revenue Vehicle Procurement FY14 VTA Transit 1,072 2 1,070 0 1,070 P-0940 Non-Revenue Vehicle Procurement FY16 VTA Transit 0 0 0 863 863

Non-Revenue Vehicles Total 3,003 1,319 1,684 863 2,548 P-0427 HazMat Removal / Fac. Design & Const VTA Transit 264 232 32 0 32 P-0572 Bus Signal Priority Federal 729 585 144 0 144

VTA Transit 182 146 36 0 36 Total 911 731 180 0 180

P-0646 Green Sustainability Facility Improvements VTA Transit 5,200 4,419 781 1,000 1,781 P-0675 Pavement Management Program FY09 VTA Transit 717 393 324 0 324 P-0738 Facilities Programwide VTA Transit 300 0 300 0 300 P-0741 SCADA System Hardening Federal 755 755 0 0 0

State 2,567 2,567 0 0 0 Other 331 0 331 0 331 VTA Transit 581 308 273 0 273 Total 4,234 3,629 604 0 604

P-0750 GFCI (switchgear) Testing & Replacemnt VTA Transit 312 4 308 0 308 P-0765 HVAC Replacement Program FY12 VTA Transit 1,177 114 1,062 0 1,062 P-0767 Facilities Maint. Equip Program FY12 VTA Transit 788 441 348 0 348 P-0776 LRV Body Shop-Dust Separation Wall Federal 436 130 306 0 306


P-0777 LRV Maintenance Shop Hoist Federal 3,681 264 3,417 0 3,417 VTA Transit 920 66 854 450 1,304 Total 4,601 330 4,271 450 4,721

P-0780 River Oaks Auditorium & Lobby Reconfig VTA Transit 555 448 107 0 107 P-0815 Radio System Installation FY13 State 440 440 0 0 0


P-0828 Downtown Customer Service Center Move Other 140 138 2 0 2 VTA Transit 827 759 68 0 68 Total 967 897 70 0 70

P-0839 Replace Wheel Truing Machine VTA Transit 2,600 15 2,585 0 2,585 P-0840 LED Exterior Lighting Replacement VTA Transit 900 99 801 0 801 P-0844 Cerone Propane Tank Replacement VTA Transit 350 47 303 0 303 P-0846 Facilities Maint. Equip Program FY14 VTA Transit 1,126 0 1,126 0 1,126 P-0847 Pavement Management Program FY14 VTA Transit 2,316 783 1,533 0 1,533 P-0849 Cerone Boiler Replacement VTA Transit 300 46 254 0 254 P-0852 Cerone Emergency Generator Replacement VTA Transit 1,200 157 1,043 0 1,043 P-0854 HVAC Replacement Program FY14 VTA Transit 551 93 458 0 458


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Source

A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

P-0855 Roofing Management Program FY14 VTA Transit 900 758 142 0 142 P-0856 Painting Management Program FY14 VTA Transit 1,000 269 731 0 731 P-0859 LR Signal Shop Modification Federal 396 0 396 0 396


P-0883 Facilities & Equip Emergency Repair FY14 VTA Transit 201 0 201 0 201 P-0916 Cerone Fuel Island Modular Building VTA Transit 54 0 54 0 54 P-0917 OCC Rail Control Reconfiguration VTA Transit 100 8 92 0 92 P-0931 Auto Wheel Measurmnt Sys for LR Vehicles VTA Transit 0 0 0 879 879 P-0932 Guadalupe Train Wash Replacement Federal 0 0 0 1,448 1,448


P-0936 Facilities & Equip Emergency Repair FY16 VTA Transit 0 0 0 750 750 P-0941 Facilities Maint. Equipment Program FY16 VTA Transit 0 0 0 949 949 P-0947 HVAC Replacement Program FY16 VTA Transit 0 0 0 1,300 1,300 P-0950 Pavement Management Program FY16 VTA Transit 0 0 0 910 910 P-0957 Painting Management Program FY16 VTA Transit 0 0 0 1,540 1,540 P-0959 Roofing Management Program FY16 VTA Transit 0 0 0 923 923 P-0962 Chaboya Yard Well Removal Federal 0 0 0 196 196


P-0965 Employee Facility Updates at Chaboya VTA Transit 0 0 0 533 533 Operating Facilities & Equipment Total 33,118 14,530 18,588 11,789 30,377

P-0643 Cooling Sys for LR Signal / Comm Cabinet VTA Transit 314 93 222 0 222 Total 314 93 222 0 222

P-0670 Rail Rehab and Replacement Program Federal 16,029 8,036 7,992 0 7,992 State 1,466 900 566 0 566 VTA Transit 3,179 1,338 1,841 0 1,841 Total 20,674 10,274 10,399 0 10,399

P-0689 Traction Power Substation Replacemnt Prog Federal 13,551 8,996 4,555 0 4,555 State 1,469 1,437 32 0 32 VTA Transit 5,240 3,854 1,386 0 1,386 Total 20,260 14,287 5,973 0 5,973

P-0707 OH Catenary Sys (OCS) Rehab Program Federal 7,030 3,723 3,307 0 3,307 State 1,150 817 333 0 333 VTA Transit 895 114 781 0 781 Total 9,076 4,654 4,421 0 4,421

P-0757 LR Crossovers and Switches Federal 2,759 118 2,641 0 2,641 VTA Transit 690 30 660 0 660 Total 3,449 148 3,301 0 3,301

P-0761 Bridge Repairs & Structure Stabilization Federal 1,360 1,249 111 560 671 VTA Transit 340 312 28 140 168 Total 1,700 1,561 139 700 839

P-0762 LR Signal Sys Assessment / SCADA Repl Federal 2,800 223 2,577 0 2,577 VTA Transit 700 56 644 0 644 Total 3,500 279 3,221 0 3,221

P-0763 N 1st and DT SJ LR Speed Improvmt Desgn Federal 400 0 400 0 400 VTA Transit 762 76 686 0 686 Total 1,162 76 1,086 0 1,086


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Source

A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

P-0771 Update Santa Teresa Intlock Signal House Federal 1,728 1,414 314 0 314 VTA Transit 432 354 78 0 78 Total 2,160 1,768 392 0 392

P-0797 Vasona Safety Improvements VTA Transit 1,244 1,232 11 0 11 P-0821 LR Signal Priority Improvements Federal 1,587 89 1,498 0 1,498

VTA Transit 206 12 194 0 194 Total 1,793 101 1,692 0 1,692

P-0842 LR Transit Performance Initiative Projects Federal 3,200 0 3,200 0 3,200 VTA Transit 800 0 800 0 800 Total 4,000 0 4,000 0 4,000

P-0843 Upgrade Ohlone/Chynoweth Interlocking Federal 960 0 960 0 960 VTA Transit 240 0 240 0 240 Total 1,200 0 1,200 0 1,200

P-0845 Track Intrusion Abatement FY14 Federal 1,600 0 1,600 0 1,600 VTA Transit 400 0 400 0 400 Total 2,000 0 2,000 0 2,000

P-0910 Traction Power Substation at Mtn View VTA Transit 3,500 472 3,028 0 3,028 P-0918 Guadalupe SCADA and OCC UPS Replmnt VTA Transit 105 0 105 0 105 P-0922 SCADA Rehabilitation VTA Transit 2,041 0 2,041 0 2,041 P-0923 Downtown San Jose Speed Improv-Phase 1 Federal 0 0 0 1,000 1,000

State 0 0 0 4,000 4,000 Total 0 0 0 5,000 5,000

P-0925 LR Crossovers and Switches FY16 VTA Transit 0 0 0 4,100 4,100 P-0926 Rail Rehabilitation & Replacement FY16 Federal 0 0 0 3,600 3,600


P-0928 Traction Power Substation Procuremnt FY16 Federal 0 0 0 7,200 7,200 VTA Transit 0 0 0 1,800 1,800 Total 0 0 0 9,000 9,000

P-0938 Bridge and Structure Repairs FY16 Federal 0 0 0 560 560 VTA Transit 0 0 0 140 140 Total 0 0 0 700 700

P-0956 Track Intrusion Abatement FY16 Federal 0 0 0 1,600 1,600 VTA Transit 0 0 0 400 400 Total 0 0 0 2,000 2,000

P-0958 Traction Power Substation Monitoring Syst VTA Transit 0 0 0 235 235 Light Rail Way, Power & Signal Total 78,177 34,945 43,232 26,235 69,467

P-0522 Tamien Station Parking Structure VTA Transit 225 218 7 0 7 P-0632 Security Improvement Projects FY08 VTA Transit 173 45 128 0 128 P-0764 Transit Center Park & Ride Upgrades FY12 VTA Transit 990 884 106 0 106 P-0781 Bus Stop Pavement/Duckout Improv FY12 Federal 840 812 28 0 28

VTA Transit 210 203 7 0 7 Total 1,050 1,015 34 0 34

P-0802 Passenger Safety Improvements State 1,763 1,676 87 0 87 VTA Transit 57 0 57 0 57 Total 1,820 1,676 144 0 144

P-0803 CCTV Surveillance Equipment FY12 State 1,642 1,472 169 0 169 VTA Transit 71 1 70 0 70 Total 1,712 1,473 239 0 239

P-0811 West San Carlos Infill Station Other 1,000 0 1,000 0 1,000


141


Source

A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

P-0816 CCTV Surveillance Equipment FY13 State 2,325 2,274 52 0 52 VTA Transit 134 0 133 0 133 Total 2,459 2,274 185 0 185

P-0818 High Volume Bus Stop Improvement Federal 600 0 600 0 600 VTA Transit 1,300 168 1,132 0 1,132 Total 1,900 168 1,732 0 1,732

P-0819 Pedestrian Swing Gates Replacement Federal 0 0 0 704 704 VTA Transit 570 489 81 176 257 Total 570 489 81 880 961

P-0835 Bus Stop Pavement/Duckout Improv FY14 Federal 836 3 832 0 832 VTA Transit 209 1 208 0 208 Total 1,045 4 1,040 0 1,040

P-0836 Infrastructure for Addtl Fare Devices VTA Transit 550 107 443 0 443 P-0858 Security Improvement Projects FY14 State 4,564 0 4,564 0 4,564 P-0882 Back-up Power Devices for Elevatd Stations State 1,200 0 1,200 0 1,200 P-0892 CCTV Surveillance Equipment FY14 State 3,153 129 3,024 0 3,024


P-0893 Emergency Escalator Repairs VTA Transit 190 158 32 0 32 P-0897 CCTV Equipment State 3,270 0 3,270 0 3,270


P-0908 Tasman Station Repair VTA Transit 300 22 278 0 278 P-0913 RTI Signs at Light Rail Stations VTA Transit 870 81 789 0 789 P-0930 LR Facilities LED Lighting Retrofit Federal 0 0 0 750 750


P-0934 Bus Stop Pavement/Duckout Improv FY16 Federal 0 0 0 770 770 VTA Transit 0 0 0 192 192 Total 0 0 0 962 962

P-0942 Security Improvement Projects FY16 State 0 0 0 1,775 1,775 VTA Transit 0 0 0 93 93 Total 0 0 0 1,868 1,868

P-0944 Ticket Vending Machines - Stadium Events VTA Transit 0 0 0 660 660 P-0948 LR Station Signage Replacement 2000 Measure A 0 0 0 1,040 1,040


P-0949 Transit Center Park & Ride Upgrades FY16 VTA Transit 0 0 0 500 500 P-0954 Vasona Corridor Pedestrian Back Gates Federal 0 0 0 1,040 1,040

VTA Transit 0 0 0 260 260 Total 0 0 0 1,300 1,300 Passenger Facilities Total 27,196 8,744 18,453 9,108 27,560

P-0329 Real Time Information (RTI) Federal 2,152 2,152 0 0 0 Other 2,731 2,516 216 0 216 VTA Transit 1,656 1,354 302 0 302 Total 6,539 6,021 518 0 518

P-0546 Clipper® TVM Integration Federal 1,212 1,212 0 0 0 State 2,611 2,611 0 0 0 Other 1,868 1,868 0 0 0 VTA Transit 562 548 15 0 15 Total 6,253 6,238 15 0 15


142


Source

A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

P-0711 Emergency IT Infrastructure Replacement VTA Transit 10 0 10 300 310 P-0769 SCADA GEisys Software Upgrade VTA Transit 1,250 0 1,250 0 1,250 P-0778 SAP Grants Management Module 2000 Measure A 572 556 16 0 16


P-0779 Trapeze OPS Software Installation VTA Transit 3,200 2,718 482 0 482 P-0782 Clipper® Gigabit Network Replacement VTA Transit 1,425 585 840 0 840 P-0792 VTA.org Upgrade 2000 Measure A 193 185 8 0 8


P-0806 Record Management Program VTA Transit 2,788 1,082 1,706 0 1,706 P-0817 CCTV Related Connectivity Infrastructure State 642 642 0 0 0


P-0827 CMA Database & Web Server Expansion Other 56 55 2 0 2 VTA Transit 56 55 2 0 2 Total 112 109 3 0 3

P-0841 Train to Wayside Comm. System Upgrade Federal 200 0 200 1,085 1,285 VTA Transit 50 0 50 271 321 Total 250 0 250 1,356 1,606

P-0848 TERM Lite Deployment VTA Transit 400 77 323 0 323 P-0850 SAP Plant Maintenance & Materials Mgmt VTA Transit 300 0 300 0 300 P-0853 Business Process Automation-Accts Payable VTA Transit 530 438 92 202 294 P-0869 Upgrade Countywide Travel Demand Model Federal 445 0 445 0 445

Other 205 166 39 0 39 Total 650 166 484 0 484

P-0873 Network Enhancements-Guad & NorthYard VTA Transit 600 600 0 0 0 P-0874 Telecommunications System Updates VTA Transit 375 15 360 0 360 P-0879 CAD-AVL Update VTA Transit 4,959 281 4,678 0 4,678 P-0880 Upgrade LR Ring #1 Comm Equipment Federal 1,760 0 1,760 0 1,760


P-0881 Radio System Upgrade Federal 0 0 0 2,400 2,400 VTA Transit 1,850 0 1,850 600 2,450 Total 1,850 0 1,850 3,000 4,850

P-0887 CRM Implementation/CARE Replacement VTA Transit 38 30 8 0 8 P-0891 Business Process Automation - Payroll VTA Transit 340 340 0 323 323 P-0894 Emergency Interactive Voice Response Upg VTA Transit 60 49 11 0 11 P-0895 Implement Talent Management Solution VTA Transit 325 99 226 0 226 P-0896 Mobile Network-Full Fleet Wi-Fi VTA Transit 650 8 642 0 642 P-0899 CCTV Emergency Storage Expansion VTA Transit 175 133 42 0 42 P-0904 Interactive Customer Message Signs VTA Transit 290 0 290 400 690 P-0905 Multimodal Trip Data Collectr/Planner APP Other 63 23 39 0 39


P-0906 Integrated Land Use / Transportation Model Other 75 1 74 0 74 P-0907 Virtual Transit Ride Visualization APP VTA Transit 50 0 50 0 50 P-0909 Demand Response & Subscription Solution VTA Transit 400 4 396 0 396 P-0927 Network and Gigibit Fiber Upgrade VTA Transit 0 0 0 700 700 P-0935 SCADA Programming VTA Transit 0 0 0 1,100 1,100 P-0937 Server Refresh VTA Transit 0 0 0 500 500


143


Source

A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

P-0939 Credit Card Authorization Sys Enhancement VTA Transit 0 0 0 180 180 P-0943 GIS Program Development VTA Transit 0 0 0 250 250 P-0946 Server Security Replmnt and Sys Perf Upg VTA Transit 0 0 0 1,050 1,050 P-0953 Electronic Procurement & Contract Bidding VTA Transit 0 0 0 210 210 P-0955 Connected Vehicles Technology Platform Federal 0 0 0 800 800


P-0960 Cal Cloud Network and Server Upgrade VTA Transit 0 0 0 900 900 P-0963 Subsc/Demand Responsive Bus Pilot Project Federal 0 0 0 667 667

Other 0 0 0 667 667 VTA Transit 0 0 0 667 667 Total 0 0 0 2,000 2,000 Information Systems & Technology Total 38,013 20,653 17,360 13,471 30,831

P-0471 Measure B Rail Projects Overhead VTA Transit 8,681 8,667 13 0 13 P-0822 VETS Transptn & Community Living Initv Federal 2,050 706 1,344 0 1,344 P-0914 Core Connectivity Study Federal 200 47 153 0 153


P-0915 Slow Speed Zone Study VTA Transit 300 0 300 0 300 P-0929 Caltrain Capital - Annual Local Match VTA Transit 0 0 0 10,000 10,000 NEW Capital Contingency Other 0 0 0 2,000 2,000

VTA Transit 0 0 0 2,000 2,000 Total 0 0 0 4,000 4,000 Miscellaneous Total 11,351 9,448 1,902 14,000 15,902 Grand Total 357,464 159,816 197,648 167,256 364,904


VTA Transit Total Available by Funding Source (Dollars in Thousands)

Funding Source

A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15 Capital

Carryover

D

FY16 Appropriation

E=(C+D)

Total Available Appropriation

Federal 104,038 38,547 65,492 73,879 139,371 State 94,910 50,391 44,519 17,348 61,867 Other 6,568 4,838 1,730 5,867 7,596 2000 Measure A 764 741 23 1,040 1,063 VTA Transit 151,183 65,299 85,885 69,122 155,007 Grand Total 357,464 159,816 197,648 167,256 364,904




144

VTA Transit Debt Service

Debt Policy Overview VTA’s debt policy permits issuance of long-term debt to accomplish the following objectives: accelerate the delivery of projects, spread cost over the useful life of an asset, smooth out annual cash flow, optimize overall financial resources, finance unfunded actuarial liabilities, and refund existing debt. As of June 30, 2015, VTA had three outstanding bond issues secured by 1976 half-cent sales tax revenues. VTA’s debt policy states that debt affordability shall be determined by the requirements of VTA’s bond indentures (e.g., additional bonds test/debt service coverage) and VTA’s ability to meet all of its ongoing operating, capital, and reserve requirements. The bond indenture for issues secured by the 1976 half-cent sales tax requires a minimum gross sales tax revenue bond coverage ratio of 2.0 times annual debt service with a debt service reserve fund, or 3.0 times annual debt service without a debt service reserve fund. The table below shows the calculation of the debt coverage ratio for FY 2016 and FY 2017 for debt secured by the 1976 half-cent sales tax.

VTA Transit Debt Coverage Ratio

Issues Secured by 1976 Half-Cent Sales Tax (Dollars in Thousands)

FY16 FY17

Sales Tax Revenues 207,439 216,835 Debt Service1 21,080 21,082 Coverage Ratio 9.8 10.3

The tables on the following pages show additional information about outstanding debt secured by the 1976 half-cent sales tax.

1Principal and Interest


145

VTA Transit Outstanding Debt as of 6/30/15

Sales Tax Revenues Bonds Secured by 1976 Half-Cent Sales Tax


Series Type of Debt Interest

Rate Par

Amount 2007 Series A Refunding Traditional Fixed 4.11%1 14,060 2008 Series A-C Refunding Synthetically Fixed 3.39%2 146,325 2011 Series A Refunding Traditional Fixed 2.79%1 35,800 Total 196,185

VTA Transit Debt Service Schedule



Fiscal Year Principal Interest Total 2016 14,310 6,770 21,080 2017 14,820 6,262 21,082 2018 15,345 5,734 21,079 2019 15,910 5,165 21,075 2020 16,500 4,575 21,075 2021-2025 91,475 14,197 105,672 2026-2028 27,825 1,349 29,174 Total 196,185 44,051 240,236 Note: Totals may not be precise due to independent rounding.

1 All-in TIC 2 Including liquidity and remarketing fees


146

VTA Transit FY 2016 and FY 2017 Debt Service Detail



Category

FY16 Adopted Budget

FY17 Adopted Budget

Interest Expense 6,770 6,262 Principal 14,310 14,820 Other Bond Charges1 588 559 Total 21,668 21,641


Overview of Outstanding Debt Issues 2007 Series A Refunding In April 2007, $26.3 million of 2007 Series A Sales Tax Revenue Refunding Bonds (2007 Bonds) were issued at a true interest cost of 3.97% to current refund a portion of the 1997 Series A Sales Tax Revenue Bonds maturing in series on June 1 of each year from 2010-2021 (Defeased 1997 Bonds). The Defeased 1997 Bonds were originally issued to advance refund 1991 Series A Sales Tax Revenue Bonds, advance refund 1994 Series C Certificates of Participation, and pay for certain capital expenditures. Proceeds of the 2007 Bonds were deposited into an escrow account held by a Trustee, and were used to pay the principal and accrued interest on the Defeased 1997 Bonds on the redemption date of June 1, 2007. VTA realized cash flow savings of approximately $2.1 million. 2008 Series A-C Refunding In June 2008, $168.6 million of 2008 Series A-C Sales Tax Revenue Refunding Bonds (2008 VTA Bonds) were issued to current refund the 2005 Series A-C Sales Tax Revenue Refunding Bonds (Defeased 2005 Bonds). The 2005 Bonds were originally issued to finance the retirement of a portion of the 2001 Series A Senior Lien Sales Tax Revenue Bonds. The 2008 VTA Bonds were issued as variable rate demand bonds and bear interest at a weekly rate, which is determined by the Remarketing Agent to be the rate necessary to remarket the 2008 VTA Bonds at par value. The Defeased 2005 Bonds were insured by Ambac Assurance Corporation, a 1 Includes liquidity fees, remarketing fees, trustee fees, and other bond related charges


147

municipal insurance provider, who had been downgraded by all three national rating agencies in January 2008. As a result of the downgrade, VTA was paying weekly interest rates that were above market rates. The 2008 VTA Bonds were issued as uninsured weekly variable rate bonds to eliminate the higher interest rates associated with Ambac-insured variable rate demand bonds. There were no cash flow savings or economic gain or loss associated with this refunding. The maturities of the 2008 VTA Bonds extend to June 1, 2026 and are subject to optional and mandatory redemption and optional and mandatory tender for purchase before maturity. In conjunction with the Defeased 2005 Bonds and subsequently the 2008 VTA Bonds, VTA entered into swap agreements with various counterparties. Under the agreements, VTA pays a fixed rate to the counterparties and in return, the counterparties pay VTA a variable rate based on a percentage of LIBOR1. The variable rate that VTA receives from the counterparties is intended, over the life of the bonds, to offset the payments VTA makes to bondholders. 2011 Series A Refunding In September 2011, $47.5 million of 2011 Series A Sales Tax Revenue Refunding Bonds (2011 Bonds) were issued at a true interest cost of 2.73% to current refund the 1998 Series A Sales Tax Revenue Bonds and the 2000 Series A Sales Tax Revenue Bonds (collectively, the “Refunded Bonds”), maturing in series on June 1 of each year from 2012-2028. The Refunded Bonds were variable rate bonds which were issued through the California Transit Finance Authority. The bonds were refunded in order to reduce bank and interest rate risk associated with variable rate demand bonds. Proceeds of the 2011 Bonds were deposited into an escrow account held by a Trustee, and were used to pay the principal and accrued interest on the refunded bonds on the redemption date of October 5, 2011.

1 LIBOR—London Interbank Offering Rate—A daily reference rate based on the interest rate at which banks offer to lend unsecured funds to other banks in the London wholesale (interbank) money market.


148

Solar Panels and Express Buses at North Operating Division

SECTION 3 2000 MEASURE A TRANSIT IMPROVEMENT PROGRAM

Light Rail 25th Anniversary—April 2014


149

2000 Measure A Transit Improvement Program

Overview The 2000 Measure A Transit Improvement Program, a 30-year plan of major transit improvement capital projects, was approved by Santa Clara County voters in November 2000. The 2000 Measure A Ordinance implemented a 30-year half-cent sales tax (Tax) that became effective on April 1, 2006, and is scheduled to expire on March 31, 2036. Pursuant to the ballot measure, revenues from the Tax are limited to the following uses: Fund operating and maintenance costs for increased bus, rail, and paratransit service. Extend BART from Fremont through Milpitas to Downtown San Jose and the Santa Clara

Caltrain Station. Provide connections from Mineta San Jose International Airport to BART, Caltrain, and

VTA light rail. Extend light rail from Downtown San Jose to the East Valley. Purchase low-floor light rail vehicles. Improve Caltrain: double-track to Gilroy and electrify from Palo Alto to Gilroy. Increase Caltrain service. Construct a new Palo Alto Intermodal Transit Center. Improve bus service in major bus corridors. Upgrade Altamont Commuter Express (ACE). Improve Highway 17 Express bus service. Connect Caltrain with Dumbarton Rail Corridor. Purchase Zero Emission buses and construct service facilities. Develop new light rail corridors. VTA periodically issues bonds in order to advance projects in anticipation of future sales tax receipts. In November 2010, VTA issued $645.9 million of 2010 Series A-B Measure A Sales Tax Revenue Bonds to fund a portion of 2000 Measure A capital project activities during the next few years. The bonds were issued as traditional fixed rate debt, with coupon payments that range from 3-5% and a final maturity of April 1, 2032. The 2010 Series A Bonds ($469.7M) were issued as taxable Build America Bonds (BABs) which provide a direct payment to VTA from the federal government equal to 35% of the interest costs. The BABs program was created by the American Recovery and Reinvestment Act of 2009 as a means to reduce borrowing costs for municipal entities such as VTA. Including the 35% direct federal subsidy, VTA’s all in cost of borrowing for the full $645.9 million bond issue was 3.55%. As of June 30, 2015 the balance remaining in the 2010 Bonds Project Fund was $9.6 million. The 2000 Measure A Transit Improvement Program budget appropriation is broken into two major components. The operating budget includes appropriation for non-project specific expenditures such as professional services, non-capitalized debt service, and operating assistance to VTA Transit. The capital budget appropriation reflects the anticipated expenditures and commitments on capital projects for the two-year budget period.


150

2000 Measure A Transit Improvement Program Operating Budget Assumptions

Revenues 2000 Measure A Half-Cent Sales Tax During FY 2014, sales tax receipts from the 2000 Measure A half-cent sales tax increased 5.5%, following an increase of 6.2% in FY 2013. Year-to-date growth in FY 2015 has continued to be strong with year over year increases of 8.1%, 7.1%, and 7.6% for the first three quarters, respectively. To determine the optimal growth assumption for FY 2016 and FY 2017, staff reviewed economic projections and growth scenarios from multiple sources. These scenarios can be classified into three categories: “Optimistic”, “Most Likely”, and “Pessimistic”. The Adopted Biennial Budget reflects the “Most Likely” scenario growth of 4.9% and 4.5% in FY 2016 and FY 2017, respectively. Investment Earnings Investment earnings are derived from three primary sources; short, mid, and long-term investment portfolios. Pursuant to VTA’s adopted investment policy and California Government Code, 100% of surplus assets are invested in domestic fixed income. All three portfolios are invested by a money manager whose performance is evaluated by comparing actual earnings against the appropriate benchmark for each portfolio’s duration. The estimated earnings rate for these funds is 1.0% in FY 2016 and 1.2% in FY 2017. Expenses VTA Operating Assistance A portion of the 2000 Measure A tax is used to provide operating assistance for VTA Transit. The Adopted Biennial Budget includes 18.5% of the 2000 Measure A sales tax revenue to be paid to VTA Transit for use in funding VTA operations. Debt Service This expense category reflects the debt service attributable to assets already placed in service, as well as the debt service on the portion of 2010 Series A Build America Bond (BABs) proceeds not yet applied to project expenditures. The remaining debt service is eligible for capitalization and is appropriated under the Capital Budget (page 160).


151

2000 Measure A Transit Improvement Program Comparison of Revenues and Expenses


Lin

e


FY 15 Adopted Budget1


FY16 Adopted Budget

Variance from FY15

Actual % Var

FY17 Adopted Budget

Variance from FY16

Budget % Var

1 2000 Half-Cent Sales Tax 186,302 190,559 199,944 207,439 7,495 3.7% 216,835 9,396 4.5% 2 Federal BABs Subsidy3 8,755 9,399 8,715 8,722 7 0.1% 8,722 0 0.0% 3 Investment Earnings 3,247 2,490 5,833 5,170 (663) -11.4% 4,531 (638) -12.3% 4 Other Income 365 440 367 391 24 6.5% 404 13 3.4%

5 Total Revenue 198,669 202,888 214,859 221,721 6,863 3.2% 230,492 8,771 4.0%

6 VTA Operating Assistance 34,386 35,171 36,904 38,287 1,383 3.7% 40,021 1,734 4.5% 7 Professional & Special Services 654 534 724 691 (33) -4.6% 723 32 4.6% 8 Miscellaneous 14 16 18 28 10 58.1% 28 0 0.0% 9 Contributions to Other Agencies 287 150 165 150 (15) -9.3% 1,190 1,040 693.3% 10 Debt Service 41,917 45,844 33,014 26,326 (6,688) -20.3% 27,431 1,105 4.2% 11 Repayment Obligation 10,290 11,108 9,688 15,306 5,617 58.0% 15,247 (59) -0.4% 12 Other Expense 750 0 (250) 0 250 -100.0% 0 0 N/A 13 Total Expense 88,297 92,823 80,263 80,787 525 0.7% 84,639 3,852 4.8%

14 Revenues Over (Under) Expenses 110,372 110,064 134,596 140,934 145,853

Note: Totals and percentages may not be precise due to independent rounding. Descriptions of each Revenue and Expense Category can be found in Appendix F.


Revenues Investment Earnings: The FY 2016 and FY 2017 budgets reflect a $663 thousand and $638 thousand decrease respectively due to declining portfolio balances as capital projects are advanced. Expenses Debt Service: The FY 2016 budget shows a $6.7 million decrease over FY 2015 actual due to savings from refunding the 2007 bonds and an increase in interest expense eligible for capitalization. Repayment Obligation: The FY 2016 budget reflects a $5.6 million increase over FY 2015 due to an increase in the debt service schedule for the VTA Transit Fund bonds issued on behalf of 2000 Measure A projects.

1 Reflects Adopted Budget approved by the Board on June 6, 2013 2 Projection as of August 1, 2015; Preliminary Unaudited 3 Represents 35% of the interest cost for 2010 Sales Tax Revenue Bonds, 2010 Series A, Build America Bonds which were issued in November 2010


152

2000 Measure A Transit Improvement Program Sources and Uses of Funds Summary




FY16 Adopted Budget

FY17 Adopted Budget

1 Total Revenues 198,669 214,859 221,721 230,492

2 Total Non-Project Expenses (88,297) (80,263) (80,787) (84,639)

3 Revenues Over (Under) Expenses 110,372 134,596 140,934 145,853

4 Project Expenditures 468,093 547,875 605,086 422,562

5 Less: Funding from Grants & Other Sources (175,646) (373,642) (234,726) (130,861)

6 2000 Measure A Share of Capital 292,447 174,233 370,360 291,701

7 Beginning Available for Projects 2 918,500 736,424 696,787 467,361


9 2000 Measure A Share of Capital (292,447) (174,233) (370,360) (291,701)

10 Ending Available for Projects 2,3 736,424 696,787 467,361 321,513


1 Projection as of August 1, 2015; Preliminary Unaudited 2 Undesignated Net Assets plus Remaining Bond Proceeds 3 FY 2016 Available for Projects balance decreases from prior year level due to increased spending on capital projects, primarily Silicon Valley Rapid Transit (SVRT) related projects.


153

2000 Measure A Transit Improvement Program Capital Budget Assumptions

The FY 2016 and FY 2017 Adopted 2000 Measure A Capital Budget is $421.9 million which reflects the planned capital spending to be incurred or committed in the next two years. Project funding for the two-year period is appropriated in FY 2016 in order to facilitate administration of the program. The program utilizes cash-on-hand and projected cash receipts, and does not anticipate incurring additional debt in the two-year period. Funding for two projects is recommended for de-obligation in the FY 2016 and FY 2017 budget. These funds were previously appropriated but because of changed circumstances will not be spent. By de-obligating previously approved budget authorization, the result is a budget that more accurately matches planned expenditures with budget authorization. An explanation for each de-obligation is provided in the project description. The table on the following page lists each project by category and general funding source. The subsequent pages provide a brief description, identified funding sources, potential operating cost impacts, estimated total cost, and anticipated completion date for each project. Capital project appropriations do not expire at the end of the fiscal year and are carried forward until the project is completed. Capital carryover is defined as appropriation that is unspent at the end of the fiscal year. The table on pages 162-164 reflects the projected carryover at June 30, 2015, as well as the total available appropriation for the 2000 Measure A Capital Program after the FY 2016 and FY 2017 appropriations, by project and funding source.

Berryessa BART Station Construction


154

2000 Measure A Transit Improvement Program Schedule of FY 2016 & FY 2017 Appropriation


Project


Tot

al

Fede

ral

Stat

e

2000

M

easu

re A

1. BART Core System Modifications 0 0 16,750 16,750 2. Berryessa Extension Project - SVBX 65,595 0 104,209 169,804 3. SVRT Project Development After FY09 0 0 50,425 50,425

SVRT Program Total 65,595 0 171,383 236,978

4. N 1st St Speed Improvements & 1st/Tasman Modifications 1,000 5,108 892 7,000 5. Vasona Corridor Improvements Conceptual Engineering 0 0 2,000 2,000

Light Rail Program Total 1,000 5,108 2,892 9,000

6. Caltrain Safety Enhancements 0 0 4,485 4,485 Commuter Rail Program Total 0 0 4,485 4,485

7. BART Transit Integration Plan 0 0 600 600 8. De Anza College Transit Center Improvements 0 0 10,000 10,000 9. El Camino Bus Rapid Transit 0 0 26,650 26,650 10. Division Modifications for BRT Buses 0 0 10,536 10,536 11. Money Counting Facility Replacement 0 0 (4,041) (4,041) 12. Peninsula Transit Connectivity Study 0 0 (200) (200) 13. BRT Articulated Bus Procurement 0 0 17,000 17,000 14. Santa Clara-Alum Rock Rapid Transit 0 0 12,000 12,000 15. Stevens Creek Bus Rapid Transit 0 0 1,581 1,581

Bus Program Total 0 0 74,126 74,126

16. Capitalized Interest and Other Bond Costs 0 0 95,100 95,100 17. Programwide Expenses 0 0 2,200 2,200

Measure A Programwide Total 0 0 97,300 97,300

Grand Total 66,595 5,108 350,186 421,889



155

2000 Measure A Transit Improvement Program Description of FY 2016 & FY 2017 Appropriated Projects

SVRT Program

1. BART Core System Modifications BART’s core system will require some modifications as a result of extending the system into Santa Clara County. For example, upgrades to BART's Operations Control Center and elements to address ridership impacts to stations. As part of the Comprehensive Agreement between VTA and BART covering the extension to Santa Clara County, VTA committed to pay a proportional share of capital investments made by BART that are used by the Silicon Valley Rapid Transit (SVRT) extension as well as the cost of measures required as a result of projected ridership impacts on BART stations. The requested budget augmentation reflects the amount needed to meet the anticipated proportional share over the next two years.

Funding Source FY16 & FY17 2000 Measure A $16,750,000

Operating Cost Impact: Any operating costs related to this project will be funded by an

eighth-cent sales tax approved in November 2008. See BART Operating Sales Tax Program

on page 198.



2. Berryessa Extension Project - SVBX The Berryessa Extension Project consists of the design and construction of the approximate 10-mile extension of the BART system into Santa Clara County and related costs included in the Federal Transit Administration (FTA) New Starts Candidate Project. The Berryessa Extension will connect to the track south of the planned BART Warm Springs Station in Southern Fremont to Las Plumas Avenue in San Jose, including two stations (Milpitas and Berryessa). Planned expenditures in this project for the two-year period include line track stations systems, Hayward maintenance shop modifications, fare collection systems, parking access/revenue collection systems, and other construction and project management efforts.

Funding Source FY16 & FY17 Federal - FFGA $65,595,172 2000 Measure A 104,208,535 Total $169,803,707



on page 198.

Estimated Total Project Cost: $2.2 billion



156

3. SVRT Project Development After FY09 This project captures program-level efforts to deliver the BART extension to San Jose/Santa Clara. Project delivery efforts are focused on future extensions beyond Berryessa. Planned expenditures in this project for the two-year period include efforts to clear the project environmentally, engineering, and early right-of-way and utility relocation efforts, as well as management of these activities.




on page 198.

Estimated Total Project Cost: $4.7 billion

Anticipated Completion Date: December 2025 Light Rail Program 4. North 1st St Speed Improvements & 1st / Tasman Drive Modifications

This project will include final design and construction of the North 1st Street speed improvement project. The project would construct fencing, crossing gates, and other improvements along North 1st Street to allow light rail trains to travel up to 45 mph. This project will also examine the 1st and Tasman intersection to determine if improvements will be required to better facilitate additional service with the introduction of a new operating plan concurrent with the opening of BART to Berryessa. The project area is a 4 mile stretch of North 1st Street from Tasman in the north to the I-880 overpass to the south.

Funding Source FY16 & FY17 Federal - TPI $1,000,000 State - Cap-n-Trade 5,107,878 2000 Measure A 892,122 Total $7,000,000

Operating Cost Impact: Ongoing maintenance costs related to new track and structures

would be offset somewhat by reduced operating costs from improved speed and service

reliability.



5. Vasona Corridor Improvements Conceptual Engineering

This project will begin conceptual engineering for Vasona Corridor improvements including double tracking and platform expansions. The final project will double track Vasona either by constructing an additional track or by sharing trackage with Union Pacific Railroad.


157

Platform expansion to allow for three-car trains at stations currently limited to two-car trains will also be detailed as part of this project.


Operating Cost Impact: No impact anticipated from the conceptual engineering phase.



Commuter Rail Program 6. Caltrain Safety Enhancements

This project provides for the construction of safety improvements such as pedestrian gates, sidewalk, signing and striping, warning bands, and channelization for pedestrians for 17 at-grade crossings along the Union Pacific Railroad and 8 Caltrain crossings. The requested budget augmentation will fund this project through completion.


Operating Cost Impact: Caltrain is responsible for the direct operation of the system.

However, any operational cost impacts may impact future VTA operating contributions.


Anticipated Completion Date: June 2016 Bus Program 7. BART Transit Integration Plan

The BART Transit Integration Plan (BTIP) is a comprehensive operations analysis of the VTA transit network with the addition of the BART extension to Berryessa. The first task, existing conditions, is approaching completion. The next steps are to identify service alternatives, analyze them and vet them with the public. The remaining tasks are the creation of service alternatives, evaluation of those alternatives, creation of the implementation plan and finalizing the Plan's recommendation. The Study area encompasses most of VTA's core system. The requested budget augmentation will fund this project through completion.

Funding Source FY16 & FY17 2000 Measure A $600,000

Operating Cost Impact: Future operating costs or savings will be dependent on service

levels provided and operating efficiencies achieved.




158

8. De Anza College Transit Center Improvements Expand the existing transit center at De Anza College to accommodate the Limited 323 and future Bus Rapid Transit (BRT) as well as current Line 23 service in the same location providing better service and transfer options for passengers between local, limited, and BRT.


Operating Cost Impact: There may be marginal increased maintenance costs associated

with the expanded transit center.

Estimated Total Project Cost: $10 million

Anticipated Completion Date: November 2016

9. El Camino Bus Rapid Transit

The El Camino Bus Rapid Transit project will upgrade existing Rapid 522 Bus Service to Bus Rapid Transit status using the latest technology and enhanced infrastructure to decrease boarding times, bypass auto congestion, and experience fewer red lights. Improvements could include either dedicated lanes or mixed flow or a combination depending on the alternative selected. The requested budget augmentation will fund the project through final design.




Estimated Total Project Cost: $85.0-$217.0 million depending on alternative selected


10. Division Modifications for BRT Buses

Modify Chaboya Bus Operating Division to maintain up to 65 sixty-foot articulated buses. Chaboya maintenance facility has bus bays that are only fifty feet long and thus not able to handle the maintenance of sixty-foot articulated buses. At the present time, all articulated buses are operated out of the North Bus Operating Division which has limited capacity. The addition of articulated buses to operate the 523 BRT service as well as additional articulated buses to operate service for BART will far exceed their capacity. VTA’s plans indicate a need to operate 104 articulated buses of which 62 would be located at the Chaboya facility and 42 would be located at North Yard. Necessary modifications at North Yard were completed with earlier appropriations to this project. The requested budget augmentation will fund this project through completion.



159

Operating Cost Impact: Decreased operating costs of the BRT program due to shorter dead

head conditions and more efficient maintenance of the buses offset by additional expenses to

maintain the larger facility and associated additional equipment.



11. Money Counting Facility Replacement

This project was originally appropriated to construct a new revenue processing facility to support the implementation of new Ticket Vending Machines (TVMs) for planned Bus Rapid Transit (BRT) service. However, the installation of TVMs for BRT off-board fare payment is not moving forward at this time and the project is being de-obligated.

Funding Source FY16 & FY17 2000 Measure A ($4,041,288)

Operating Cost Impact: None

Estimated Total Project Cost: N/A

Anticipated Completion Date: N/A

12. Peninsula Transit Connectivity Study

This project was originally included in the FY 2014 budget to study connectivity, bus routes, service levels, and service types serving core Bus Rapid Transit, Caltrain, and key high-ridership bus corridors in Sunnyvale, Mountain View, and Santa Clara. Subsequent to budget adoption, the decision was made to fund the study from the VTA Transit Operating Budget instead of the 2000 Measure A Transit Improvement Program. The project is being de-obligated.

Funding Source FY16 & FY17 2000 Measure A ($200,000)




13. BRT Articulated Bus Procurement Purchase an additional 20 diesel/electric hybrid articulated sixty-foot stylized BRT buses for use on the Santa Clara/Alum Rock, El Camino Real, and Stevens Creek corridors. The requested budget augmentation will fund this project through completion.


Operating Cost Impact: Fuel savings from replacement of service provided by diesel buses

offset by higher labor and maintenance costs related to increased service levels.




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14. Santa Clara – Alum Rock Rapid Transit This project will construct enhanced stations including shelters, dedicated bus lanes on Alum Rock Avenue, priority signals, and electronic message signs to provide limited-stop Bus Rapid Transit (BRT) service from Eastridge Transit Center to the Arena Station in downtown San Jose through Capitol Expressway, Alum Rock Avenue and Santa Clara Street. The requested budget augmentation is anticipated to cover all remaining costs on the project.






15. Stevens Creek Bus Rapid Transit This project provides a bus connection between the Berryessa BART Station and passenger origin and destinations throughout Santa Clara County, particularly downtown San Jose. VTA will develop a Rapid 523, which would replace the current Limited 323 and be a first step towards future BRT in the corridor. This service will connect to the Berryessa BART station in fall 2017 when BART opens. The requested budget augmentation will fund the project through construction.


Operating Cost Impact: When implemented, additional cost will be dependent on service

level and hourly cost of operations and maintenance. The cost of the additional service will

be offset by local bus service reductions for a planned cost neutral effect on overall

operating costs.



Measure A Programwide

16. Capitalized Interest and Other Bond Costs This project represents the capitalized portion of interest and debt related ancillary charges that arise from the issuance of sales tax revenue bonds, the proceeds of which fund a portion of various 2000 Measure A capital projects.



161




17. Programwide Expenses This project facilitates the capture of costs related to managing the overall 2000 Measure A Transit Improvement Program. These costs are then reallocated to the individual 2000 Measure A projects on a quarterly basis.





Santa Clara Pocket Track Construction


162

2000 Measure A Transit Improvement Program Total Available Appropriation

Capital project appropriations do not expire at the end of the fiscal year and are carried forward until the project is completed. Capital carryover is defined as appropriation that is unspent at the end of the fiscal year. The following table reflects the projected carryover at June 30, 2015, as well as the total available appropriation for the 2000 Measure A Capital Program after the FY 2016 and FY 2017 appropriations, by project and funding source. Project funding for the two-year period is appropriated in FY 2016 in order to facilitate administration of the program.


Project # Project Name Funding Source

A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

SVRT1 BART Silicon Valley Extension Federal 720,000 401,316 318,684 65,595 384,279 State 439,069 391,849 47,219 0 47,219 City 17,261 8,070 9,191 0 9,191 Other 1,041 393 648 0 648 2000 Measure A 957,844 463,460 494,384 120,959 615,343 Total 2,135,214 1,265,088 870,126 186,554 1,056,680

SVRT2 Corridor Establishment and Maintenance Federal 5,755 4,217 1,538 0 1,538 State 72,945 69,356 3,590 0 3,590 City 25,993 22,849 3,143 0 3,143 Other 49,820 24,415 25,404 0 25,404 2000 Measure A 296,918 282,943 13,974 0 13,974 Total 451,430 403,781 47,649 0 47,649

SVRT3 BART Silicon Valley Project Development Federal 246 246 0 0 0 State 284,109 284,109 0 0 0 2000 Measure A 161,162 147,651 13,511 50,425 63,936 Total 445,516 432,005 13,511 50,425 63,936 SVRT Program Total 3,032,160 2,100,873 931,287 236,978 1,168,265

P-0476 DTEV-CELR To Eastridge State 159 158 2 0 2 2000 Measure A 52,197 52,173 24 0 24 Total 52,356 52,331 25 0 25

P-0552 New Rail Corridors Study 2000 Measure A 1,451 750 701 0 701 P-0587 Vasona Extension to Vasona Junction Federal 12,005 0 12,005 0 12,005

2000 Measure A 893 877 16 0 16 Total 12,897 877 12,020 0 12,020

P-0744 CELR - Eastridge Transit Center Federal 18,540 16,692 1,848 0 1,848 State 8,340 8,340 0 0 0 Other 2,120 0 2,120 0 2,120 2000 Measure A 41,478 28,586 12,892 0 12,892 Total 70,478 53,618 16,860 0 16,860

P-0784 Northern Light Rail Express 2000 Measure A 63,244 33,766 29,478 0 29,478 P-0787 Capitol Expwy LR to Eastridge Phase II Federal 20,000 0 20,000 0 20,000 P-0860 Santa Clara Pocket Track 2000 Measure A 26,896 23,452 3,444 0 3,444


VT

A FY

2010 & FY

2011 AD

OPT

ED

BIE

NN

IAL

BU

DG

ET


163


A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

P-0966 N 1st St Speed Impvmt & 1st/Tasman Mods Federal 0 0 0 1,000 1,000 State 0 0 0 5,108 5,108 2000 Measure A 0 0 0 892 892 Total 0 0 0 7,000 7,000

P-0968 Vasona Corridor Improv Conceptual Eng. 2000 Measure A 0 0 0 2,000 2,000 Light Rail Program Total 247,322 164,793 82,529 9,000 91,529

P-0511 Caltrain Service Upgrades 2000 Measure A 16,641 15,452 1,190 0 1,190 P-0529 Palo Alto Intermodel Transit Center Federal 248 167 81 0 81

City 62 42 20 0 20 2000 Measure A 51 5 46 0 46 Total 361 214 147 0 147

P-0595 Caltrain Electrification 2000 Measure A 1,311 511 799 0 799 P-0740 Bike Sharing Pilot Project Federal 150 146 4 0 4

Other 500 500 0 0 0 2000 Measure A 261 189 72 0 72 Total 911 835 76 0 76

P-0829 Caltrain Electrification - Early Invst Pgm 2000 Measure A 60,107 11,390 48,717 0 48,717 P-3201 Caltrain Mountain View Parking Structure City 425 86 339 0 339

2000 Measure A 577 239 338 0 338 Total 1,002 325 677 0 677

P-3202 Caltrain/UPRR Blossom Hill Ped Grade Sep Federal 2,470 2,175 295 0 295 State 7,210 7,190 20 0 20 City 250 250 0 0 0 2000 Measure A 1,623 1,216 407 0 407 Total 11,553 10,830 723 0 723

P-3203 Caltrain Safety Enhancements City 90 90 0 0 0 2000 Measure A 26,840 15,623 11,217 4,485 15,702 Total 26,930 15,712 11,217 4,485 15,702

P-3204 SC Sta. Pedestrian Underpass Extension Federal 2,719 1,389 1,330 0 1,330 State 117 0 117 0 117 Other 5,973 0 5,973 0 5,973 1996 Measure B 4,231 0 4,231 0 4,231 2000 Measure A 686 683 2 0 2 Total 13,726 2,072 11,654 0 11,654 Commuter Rail Program Total 132,542 57,341 75,201 4,485 79,686

P-0336 ZEB Bus Procurement Federal 7,702 7,638 64 0 64 State 1,000 1,000 0 0 0 Other 2,805 2,805 0 0 0 2000 Measure A 3,233 3,223 11 0 11 Total 14,740 14,666 74 0 74

P-0475 Santa Clara-Alum Rock Rapid Transit State 90,008 45,551 44,457 0 44,457 City 643 343 300 0 300 2000 Measure A 24,685 16,283 8,402 12,000 20,402 Total 115,336 62,176 53,160 12,000 65,160

P-0551 Bus Rapid Transit Strategic Plan 2000 Measure A 1,533 1,278 255 0 255 P-0715 Stevens Creek Bus Rapid Transit Federal 713 309 404 0 404

2000 Measure A 5,309 2,604 2,705 1,581 4,286 Total 6,022 2,914 3,108 1,581 4,689

P-0717 El Camino Bus Rapid Transit 2000 Measure A 19,542 9,809 9,733 26,650 36,383


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A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

P-0719 BRT Articulated Bus Procurement State 19,186 19,086 101 0 101 2000 Measure A 21,462 12,595 8,867 17,000 25,867 Total 40,648 31,680 8,968 17,000 25,968

P-0783 Berryessa BART Connector Design 2000 Measure A 3,022 266 2,756 0 2,756 P-0785 Division Modifications for BRT Buses 2000 Measure A 3,845 1,598 2,247 10,536 12,783 P-0786 Money Counting Facility Replacement 2000 Measure A 4,171 129 4,041 (4,041) 0 P-0875 BART Transit Integration Plan 2000 Measure A 232 118 114 600 714 P-0885 Peninsula Transit Connectivity Study 2000 Measure A 200 0 200 (200) 0 P-0967 De Anza College Transit Cntr Improvments 2000 Measure A 0 0 0 10,000 10,000

Bus Program Total 209,289 124,634 84,655 74,126 158,781 P-0588 San Jose Mineta APM 2000 Measure A 4,026 2,046 1,981 0 1,981

San Jose Mineta APM Total 4,026 2,046 1,981 0 1,981 P-0500 Capitalized Interest and Other Bond Costs 2000 Measure A 79,366 66,638 12,728 95,100 107,828 P-0510 Programwide Expenses 2000 Measure A 2,377 0 2,377 2,200 4,577 P-0712 Fund Exchange Payments 2000 Measure A 122,480 94,473 28,007 0 28,007

Measure A Programwide Total 204,223 161,111 43,112 97,300 140,412 Grand Total 3,829,563 2,610,799 1,218,764 421,889 1,640,653


2000 Measure A Total Available by Funding Source (Dollars in Thousands)

Funding Source

A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)


Carryover

D

FY16 Appropriation

E=(C+D)


Federal 790,547 434,295 356,252 66,595 422,847 State 922,142 826,637 95,506 5,108 100,613 City 44,723 31,729 12,994 0 12,994 Other 62,258 28,113 34,145 0 34,145 1996 Measure B 4,231 0 4,231 0 4,231 2000 Measure A 2,005,662 1,290,025 715,636 350,186 1,065,822 Grand Total 3,829,563 2,610,799 1,218,764 421,889 1,640,653


1 Projection as of August 1, 2015


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2000 Measure A Transit Improvement Program Debt Service

Debt Policy Overview VTA’s debt policy permits issuance of long-term debt to accomplish the following objectives: accelerate the delivery of projects, spread cost over the useful life of an asset, smooth out annual cash flow, optimize overall financial resources, finance unfunded actuarial liabilities, and refund existing debt. As of June 30, 2015, VTA had four outstanding bond issues secured by 2000 Measure A half-cent sales tax revenues. VTA’s debt policy states that debt affordability shall be determined by the requirements of the 2000 Measure A bond indentures (e.g., additional bonds test/debt service coverage) and VTA’s ability to meet all of its ongoing operating, capital, and reserve requirements. The bond indenture for issues secured by the 2000 Measure A half-cent sales tax requires a minimum gross sales tax revenue bond coverage ratio of 1.3 times annual debt service. The table below shows the calculation of the current debt coverage ratio for FY 2016 and FY 2017 for debt secured by the 2000 Measure A half-cent sales tax.

Debt Coverage Ratio Issues Secured by 2000 Measure A Half-Cent Sales Tax


FY16 FY17 Sales Tax Revenues 207,439 216,835 Debt Service1 73,389 73,356 Coverage Ratio 2.8 3.0

The tables on the following pages show additional information about outstanding debt secured by the 2000 Measure A half-cent sales tax.

1Principal and Interest


166

Outstanding Debt as of 6/30/15 Sales Tax Revenues Bonds

Secured by 2000 Measure A Half-Cent Sales Tax (Dollars in Thousands)

Series Type of Debt Interest

Rate Par

Amount 2007 Series A Refunding Traditional Fixed 4.62%1 6,210 2008 Series A-D Refunding Synthetically Fixed 4.14%2 235,875 2010 Series A Traditional Fixed (Taxable BABs3) 3.79%1 469,730 2010 Series B Traditional Fixed 2.33%1 131,445 2015 Series A Traditional Fixed 2.93%1 86,640 2015 Series B Traditional Fixed (Taxable) 1.33%1 3,340 Total 933,240

Debt Service Schedule

Sales Tax Revenues Bonds Secured by 2000 Measure A Half-Cent Sales Tax


Fiscal Year Principal Interest Total 2016 26,965 46,424 73,389 2017 28,160 45,196 73,356 2018 29,530 43,865 73,395 2019 30,575 42,482 73,057 2020 32,080 40,954 73,034 2021-2025 183,370 178,530 361,900 2026-2030 231,350 120,593 351,943 2031-2035 301,880 49,755 351,635 2036 69,330 2,023 71,353 Total 933,240 569,822 1,503,062


1 All-in TIC 2 Including liquidity and remarketing fees as of June 30, 2015. 3 Build America Bonds


167

FY 2016 and FY 2017 Debt Service Detail Sales Tax Revenues Bonds

Secured by 2000 Measure A Half-Cent Sales Tax1 (Dollars in Thousands)

Category

FY16 Adopted Budget

FY17 Adopted Budget

Interest Expense 46,424 45,196 Principal 26,965 28,160 Other Bond Charges2 1,033 1,033 Total 74,422 74,389


Overview of Outstanding Debt Issues 2007 Measure A Series A In September 2007, $120.1 million of 2007 Measure A Series A Sales Tax Revenue Refunding Bonds (2007 Measure A Bonds) were issued at a true interest cost of 4.60% to current refund Series F and G of the 2006 Measure A Sale Tax Revenue Bonds (Defeased Bonds). The Defeased Bonds were originally issued to finance the retirement of a portion of Measure A Sales Tax Revenue Bonds, Series 2003 A, 2004 A and 2004 B. Proceeds of the 2007 Measure A Bonds were deposited into an escrow account held by a Trustee, and were used to pay the principal and accrued interest on the Defeased Bonds on the redemption date of November 6, 2007. Maturities for the 2007 Measure A Bonds originally extend to April 1, 2036. In January 2015, VTA refunded the Measure A 2007 Series A bonds that mature on and after April 1, 2018, by issuing the 2015 Measure A Series A and Series B bonds. Following the refunding and subsequent payment of the bonds maturing on April 1, 2015, the only 2007 Measure A bonds outstanding are those maturing on April 1, 2016 and 2017. 2008 Measure A Series A-D In June 2008, $236.7 million of 2008 Series A-D Measure A Sales Tax Revenue Refunding Bonds (2008 Measure A Bonds) were issued to current refund Series A-D of the 2006 Bonds (Defeased Bonds). The Defeased Bonds were originally issued to finance the retirement of a portion of Measure A Sales Tax Revenue Bonds Series 2003 A, 2004 A, and 2004 B. The 2008 Measure A Bonds were issued as variable rate demand bonds and bear interest at a weekly rate, which is determined by the Remarketing Agent to be the rate necessary to remarket the 2008

1 Includes debt service from both the Operating (page 151) and Capital (page 160) Budgets 2 Includes liquidity fees, remarketing fees, trustee fees, and other bond related charges


168

Measure A Bonds at par value. The Defeased Bonds were issued as auction rate securities insured by Ambac Assurance Corporation, a municipal insurance provider, who had been downgraded by all three national rating agencies. As a result of the downgrade and disruption in the auction rate market, VTA was paying weekly interest rates that were above market rates. By issuing the 2008 Measure A Bonds as uninsured variable rate demand bonds, VTA was able to eliminate the higher interest rates caused by the Ambac bond insurance and the auction rate structure. In conjunction with the Defeased 2006 Bonds and subsequently the 2008 Measure A Bonds, VTA entered into swap agreements with various counterparties. Under the agreements, VTA pays a fixed rate to the counterparties and in return, the counterparties pay VTA a variable rate based on a percentage of LIBOR1. The variable rate that VTA receives from the counterparties is intended, over the life of the bonds, to offset the payments VTA makes to bondholders. 2010 Measure A Series A-B In November 2010, $645.9 million of 2010 Series A-B Measure A Sales Tax Revenue Bonds (2010 Measure A Bonds) were issued to fund certain Measure A transit capital improvement projects, most notably the BART extension to Berryessa. The bonds were issued as a combination of taxable, Build America Bonds (BABs) (Series A), and traditional tax-exempt bonds (Series B). Both are fixed interest rate bonds. VTA receives a 35% Federal subsidy on its interest cost for the taxable Build America Bonds, which brings the net cost on those bonds in line with the interest rate for tax-exempt bonds. The true interest cost for the 2010 Measure A Bonds was 3.54%.

2015 Measure A Series A-B In January 2015, $89.98 million of 2015 Measure A Series A-B were issued to current refund the 2007 Measure A Series A bonds maturing on April 1, 2018 or later. The refunding was done in order to take advantage of the lower interest cost of the refunding bonds. The refunding bonds were issued at a true interest cost of 2.894% and resulted in a debt service cost savings of $14.5 million.

1 LIBOR—London Interbank Offering Rate—A daily reference rate based on the interest rate at which banks offer to lend unsecured funds to other banks in the London wholesale (interbank) money market.

SECTION 4 CONGESTION MANAGEMENT

PROGRAM (CMP)

Bike to Work Day—May 14, 2015


169

Congestion Management Program

Overview Congestion Management Agencies (CMAs) were created in 1990 by Proposition 111 and its accompanying legislation, which required that every county with an urbanized population of more than 50,000 establish a CMA. CMAs were designed to meet the goals of increasing the efficiency of existing transit and roadway systems, planning the best capital improvements to these systems, and improving the local land use decision-making process to support and compliment the transportation system investments. In 1994, VTA was designated as the CMA for Santa Clara County through a Joint Powers Agreement entered into by the 15 cities and the County of Santa Clara. VTA’s Congestion Management Program (CMP) serves as the CMA for Santa Clara County. The CMP, which is fiscally separate from VTA Transit, is funded through assessments to local jurisdictions (Member Agencies), federal and state planning grants, grant program manager administration fees, State Transportation Improvement Program (STIP) Planning Programming and Monitoring Funds, and fees for services provided. The CMP Work Program outlines the major tasks to be addressed during Fiscal Year 2016 and Fiscal Year 2017. The Work Program includes statutory requirements, Board initiated activities, Member Agency requested activities, and staff recommended initiatives regarding federal, state, and regional issues. The CMP Work Program consists of five main work areas:

Programming and Grants Congestion Management Program Conformance Land Use and Transportation Integration Plans, Studies, and Transportation Engineering Innovative Delivery Team Program (iTEAM)

Programming and Grants Programming and Grants consists of Santa Clara County’s currently programmed projects using CMA-monitored federal, state, regional and local funds and/or included in the first 10 years of the most current Valley Transportation Plan (VTP). The major activities of Programming and Grants are 1) Grant Programming and Policy Development, 2) Programmed Projects Monitoring and 3) Agency Project Delivery Assistance. Congestion Management Program Conformance The CMP statutes require biennial monitoring of the freeways, rural highways, and designated CMP intersections that compose the CMP Network to ensure that Member Agencies are conforming to the CMP Level of Service (LOS) standard of LOS “E” (traffic volume at or close to capacity). VTA exceeds this requirement by monitoring nearly all elements of the CMP Network annually. Data collected through the monitoring process is shared with Member


170

Agencies to allow for up-to-date traffic analysis. Member Agencies with facilities found to be out of conformance with the LOS standard risk losing gas tax subventions provided by Proposition 111. Land Use and Transportation Integration CMP staff work with local agencies in land use and transportation integration by providing technical guidance through the Community Design and Transportation Manual of Best Practices, an active development review program, and a monthly Land Use / Transportation Integration Working Group to ensure local land use decisions complement VTA’s roadway and transit investments. Plans, Studies and Transportation Engineering As part of this work area, VTA staff leads a monthly meeting of the Systems Operations & Management Working Group with Member Agency staff on a wide variety of transportation engineering and planning topics and as directed by VTA’s Technical Advisory Committee. The work in this area includes VTA staff collaboration with local agencies on planning and engineering studies, refining of projects to move forward for funding consideration, regional studies, the Transportation Systems Monitoring Program, applications of Geographic Information Systems (GIS), various corridor planning studies, the organization, use and distribution of CMP information (e.g., travel demand model data, GIS information, and other transportation data), coordination on efforts with regional partners such as the Metropolitan Transportation Commission (MTC) and Caltrans on behalf of Member Agencies, and general technical assistance to Member Agencies on a wide range of transportation topics. Innovative Delivery Team Program (iTEAM) This work area includes the deployment of iTEAM as a model for partnering with Caltrans with the objective of enhanced transportation service in Santa Clara County and serving as an innovation laboratory to develop best practices for transportation. The iTEAM efforts focus on local assistance, project delivery, and traffic engineering/innovative transportation solutions. The local assistance efforts include continued expanded training to local agencies, increased assistance to local agencies on local assistance matters, and coordination leading to expedited payment of invoices by Caltrans accounting. The traffic engineering/innovative transportation solutions efforts include streamlining of the process for conducting traffic operations analysis, closer collaboration with Caltrans on matters related to traffic operations and engineering, and the application of technology to address transportation challenges. The project delivery efforts include deployment of new processes to enhance the project delivery process.


171

Congestion Management Program Comparison of Revenues and Expenses


Lin

e




FY16 Adopted Budget

Variance from FY15

Actual % Var

FY17 Adopted Budget

Variance from FY16

Budget % Var

1 Federal Operating Grants 1,728 1,371 1,371 2,098 727 53.0% 1,765 (333) -15.9% 2 State Operating Grants 808 738 844 1,010 166 19.7% 1,168 158 15.6% 3 Investment Earnings 23 38 10 12 2 22.1% 12 0 0.0% 4 Member Agency Fees 2,407 2,407 2,407 2,407 0 0.0% 2,407 0 0.0% 5 Other Income 279 182 250 235 (15) -5.8% 220 (15) -6.4% 6 Total Revenue 5,245 4,736 4,881 5,762 880 18.0% 5,572 (190) -3.3%

7 Professional & Special Services 358 1,563 1,225 1,545 320 26.1% 1,569 24 1.5% 8 Other Services 13 13 14 12 (2) -15.8% 12 0 0.0% 9 Data Processing 13 21 5 13 8 172.4% 13 0 0.0% 10 Miscellaneous 0 5 1 0 (1) -75.7% 0 0 0.0% 11 Contribution to Other Agencies 68 191 168 214 46 27.6% 86 (128) -59.9% 12 VTA Staff Services 4,355 3,922 3,989 4,207 217 5.4% 4,138 (69) -1.6% 13 Total Expense 4,807 5,716 5,402 5,991 588 10.9% 5,818 (173) -2.9%

14 Revenues Over (Under) Expenses 438 (980) (521) (229) (245)

Note: Totals and percentages may not be precise due to independent rounding. Descriptions of each Revenue and Expense Category can be found in Appendix G. Major Variances (Variance in excess of 5% and $100,000)

Revenues Federal Operating Grants: The FY 2016 budget reflects a $727 thousand increase from FY 2015 actual and the FY 2017 budget reflects a $333 decrease from FY 2016 due to the timing of utilization of planning grants to offset anticipated expenditures and alternative funding sources. State Operating Grants: The FY 2016 budget reflects a $166 thousand increase from FY 2015 actual due primarily to the anticipated receipt of a one-time Priority Development Area (PDA) planning grant in FY 2016. The FY 2017 budget reflects a $158 thousand increase from FY 2016 due to an increase in the Programmed Projects Monitoring grant amount offset somewhat by the absence of the PDA grant.

1 Reflects Adopted Budget approved by the Board on June 6, 2013 and amended on May 7, 2015 2 Projection as of August 1, 2015; Preliminary Unaudited


172

Expenses Professional & Special Services: The FY 2016 budget reflects a $320 thousand increase over FY 2015 due to additional expenditures related to development of the VTP 2045 and a survey/data collection program. Contribution to Other Agencies: FY 2017 budget reflects a $128 thousand decrease from FY 2016 due to the timing of completion of the countywide bike plan update project. VTA Staff Services: The FY 2016 budget reflects an increase of $217 thousand from FY 2015 actual due primarily to additional work plan activities.

Congestion Management Program Sources and Uses of Funds Summary




FY16 Adopted Budget

FY17 Adopted Budget

1 Total Revenues 5,245 4,881 5,762 5,572 2 Total Expenses (4,807) (5,402) (5,991) (5,818) 3 Revenues Over (Under) Expenses 438 (521) (229) (245)

4 Beginning Fund Balance 1,582 2,020 1,499 1,270 5 Revenues Over (Under) Expenses 438 (521) (229) (245) 6 Ending Fund Balance2 2,020 1,499 1,270 1,025


1 Projection as of August 1, 2015; Preliminary Unaudited 2 The decrease in Fund Balance for FY 2015 through FY 2017 reflects the decision to fund a portion of current work plan expenditures with reserves and keep Member Assessments at prior year levels.


173

Congestion Management Program FY 2016 and FY 2017 Member Assessments

Member Agency FY 2016 FY 2017

County of Santa Clara $271,738 $271,738 Campbell 50,529 50,529 Cupertino 77,628 77,628 Gilroy 37,768 37,768 Los Altos 24,926 24,926 Los Altos Hills 6,647 6,647 Los Gatos 34,402 34,402 Milpitas 76,986 76,986 Monte Sereno 1,998 1,998 Morgan Hill 25,104 25,104 Mountain View 125,020 125,020 Palo Alto 141,471 141,471 San Jose 783,945 783,945 Santa Clara 207,074 207,074 Saratoga 21,691 21,691 Sunnyvale 248,609 248,609

Subtotal: $2,135,535 $2,135,535

VTA - Managing Agency Contribution

271,738

271,738 TOTAL: $2,407,274 $2,407,274


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Bike Share Launch

SECTION 5 VTP HIGHWAY IMPROVEMENT

PROGRAM

I-280/I-880/Stevens Creek Boulevard Improvements Project


175

VTP Highway Improvement Program

Overview VTP 2040 is the current approved long-range countywide transportation plan (Valley Transportation Plan) for Santa Clara County. Developed by the Congestion Management Program (CMP) and adopted in October 2014, projects must be included in the plan as a pre-requisite for eligibility to receive federal, state, regional, and local discretionary fund programming. VTA enters into construction agreements with cities in the County for various projects that are included in VTP 2040. The total additional appropriation for the identified VTP Highway Improvement Program projects for FY 2016 and FY 2017 is $102.7 million. Project funding for the two-year period is appropriated in FY 2016 in order to facilitate administration of the program. One hundred percent of the VTP Highway Improvement Program expenditures will be funded by grants, through agreements with the appropriate city, a fund exchange (consisting of state funding sources swapped with 2000 Measure A Funds), or other external sources. Funding for three projects is de-obligated in the FY 2016 and FY 2017 budget. These funds were previously authorized but because of changed circumstances will not be spent. By de-obligating previously approved budget authorization, the result is a budget that more accurately matches planned expenditures with budget authorization. An explanation for each project where funds have been de-obligated is provided in the project descriptions. The table on the following page lists each project and its general funding source category. The subsequent pages provide a brief description, identified funding sources, potential operating cost impacts, estimated total cost, and anticipated completion date for each project. Capital project appropriations do not expire at the end of the fiscal year and are carried forward until the project is completed. Capital carryover is defined as appropriation that is unspent at the end of the fiscal year. The table on pages 187-190 reflects the projected carryover at June 30, 2015, as well as the total available appropriation for the VTP Highway Improvement Program after the FY 2016 and FY 2017 appropriations, by project and funding source.


176

VTP Highway Improvement Program Schedule of FY 2016 & FY 2017 Appropriation


Project


Tot

al

Fede

ral

Stat

e

City

Fund

E

xcha

nge

Oth

er

1. Bascom Avenue Complete Street Corridor Study 874 0 0 0 114 988 2. Countywide Bicycle Plan Update 443 0 0 0 257 700 3. Countywide Traffic Signal Coordination Study 0 135 0 35 0 170 4. Freeway Performance Initiative 1,438 0 0 0 0 1,438 5. Freeway Performance Initiative Phase 2 2,000 0 0 0 0 2,000 6. I-280 Corridor Improvements-Initiation Doc Devpmnt 0 0 0 2,500 0 2,500 7. I-280/Foothill Expressway Ramp Improvements 0 0 0 500 0 500 8. I-280/Winchester Improvements-Initiation Doc Devpmnt 500 0 250 2,079 0 2,829 9. I-680 Corridor Improvements-Initiation Doc Devpmnt 0 0 0 2,500 0 2,500 10. I-680 Sound Walls 0 600 0 0 0 600 11. New Corridor Studies-SR87/SR237/I-880/SR17 0 0 0 2,000 0 2,000 12. Noise Reduction Program on SR85 0 0 0 2,000 0 2,000 13. Silicon Valley Express Lanes-Electronic Toll System 0 0 0 0 10,000 10,000 14. Silicon Valley Express Lanes-Future Phase-Project A 0 0 0 15,000 0 15,000 15. Silicon Valley Express Lanes-Future Phase-Project B 0 0 0 15,000 0 15,000 16. Silicon Valley Express Lanes-I880 0 0 0 2,000 0 2,000 17. Silicon Valley Express Lanes-US101/SR85 Phase 3 0 0 0 0 28,300 28,300 18. Silicon Valley Express Lanes-US101/SR85 Phase 4 0 0 0 0 8,400 8,400 19. SR 152 Realignment 0 6,600 0 0 0 6,600 20. SR 237 / I-880 Interchange Highway Planting 0 0 0 0 (2,110) (2,110) 21. SR 237 / US 101 Mathilda Interchange 0 15,000 15,000 0 0 30,000 22. SR 237 Improvements - Lawrence Expressway to US 101 0 0 0 2,000 0 2,000 23. Tasman Drive Complete Street Corridor Study 1,026 0 0 0 133 1,159 24. US 101 / Buena Vista Avenue 0 0 3,000 0 0 3,000 25. US 101 Improvements I-280 to Yerba Buena 0 (549) 0 (356) (36,690) (37,595) 26. US 101 Widening & SR 25 / US 101 Interchange Improv 0 0 0 0 (5,244) (5,244) 27. US 101/Zanker/Skyport/North 4th Interchange-Phase 1 0 0 8,000 0 0 8,000

Grand Total 6,280 21,786 26,250 45,258 3,160 102,734


VT

A FY

2010 & FY

2011 AD

OPT

ED

BIE

NN

IAL

BU

DG

ET


177

VTP Highway Improvement Program Description of FY 2016 & FY 2017 Appropriated Projects

1. Bascom Avenue Complete Street Corridor Study This project is a multi-jurisdictional effort to identify and recommend multimodal improvements along the Bascom corridor (from Bascom/I-880 to Bascom/SR85). The planning and conceptual design study will examine existing conditions; identify transportation deficiencies and improvements for bicycle, pedestrian and transit riders; develop and analyze alternatives at a conceptual engineering level (10% design); and identify a preferred alternative and associated cost estimate. Improvements which may be considered include pedestrian and bicycle safety and connectivity, access to transit, transit rider amenities, and improved transit travel time through signal timing coordination and/or stop improvements.

Funding Source FY16 & FY17 Federal $874,200 Other - 15% VRF 113,600 Total $987,800




2. Countywide Bicycle Plan Update

This planning effort will update the Santa Clara Countywide Bicycle Plan (adopted 2008). VTA will work with stakeholders and community members to identify priority bicycle transportation corridors from the 2008 plan, and develop conceptual designs for a subset of corridors that provide high-quality 24/7 bicycle access for riders of all ages. VTA will update the 2008 Countywide Bicycle Plan through two parallel and closely linked efforts. One effort will focus on disadvantaged communities in Central and South County, and the other will focus on the remainder of the County.

Funding Source FY16 & FY17 Federal - ATP $442,650 Other - CMP 257,350 Total $700,000

Operating Cost Impact: None Estimated Total Project Cost: $700 thousand



178

3. Countywide Traffic Signal Coordination Study This study will develop a strategic plan for implementation of a cross-county traffic signal system(s). Through a collaborative effort with local, State and regional stakeholders, the study will identify a systematic approach and a list of projects for implementation of a coordinated traffic signal system(s) that safely, seamlessly and efficiently moves local and regional traffic (autos, commercial vehicles, bicycles, pedestrians and transit) within and through the county. The study supports both State and Federal transportation planning goals by maximizing efficiency of the existing traffic signal system infrastructure, improving multi-modal mobility for all users of the roadway, and enhancing the integration and connectivity of the roadway network between jurisdictions.

Funding Source FY16 & FY17 State - Caltrans $135,000 Fund Exchange 35,000 Total $170,000

Operating Cost Impact: None Estimated Total Project Cost: $170 thousand


4. Freeway Performance Initiative

The purpose of this project was to design freeway Traffic Operations System elements for five freeway corridors within Santa Clara County: SR 87, SR 17, I-880, I-280, and US 101. The Metropolitan Transportation Commission (MTC) requested VTA act as the project manager for the corridors and VTA has completed the environmental documentation and Plans, Specification, and Estimates phases of work. VTA is current seeking funds to construct these improvements. The requested budget augmentation is needed to fully cover the construction costs for these improvements.

Funding Source FY16 & FY17

Federal - CMAQ $1,437,500 Operating Cost Impact: The California Department of Transportation (Caltrans) assumes

responsibility for maintenance and operations upon project completion. There is no

operating cost impact to VTA. Estimated Total Project Cost: $7.0 million


5. Freeway Performance Initiative Phase 2

This project is for future phases of work on MTC's Freeway Performance Initiative program. The purpose of this project is to prepare plans and construct improvements to implement technologies that provide for better surveillance of traffic conditions and allow for a person or automated system to adjust operating parameters (i.e., adjusting ramp metering timing, etc.) to better manage traffic congestion. The project is not limited to implementation technology but also includes preparing plans and constructing improvements to close key


179

freeway infrastructure gaps. Such improvements include completing the carpool lane system, including providing carpool bypass lanes on freeway on-ramps, and roadway improvements to address regional freight issues. These improvements would be implemented on through freeway systems in Santa Clara County.

Funding Source FY16 & FY17 Federal - CMAQ $2,000,000

Operating Cost Impact: None Estimated Total Project Cost: $2.0 million


6. I-280 Corridor Improvements - Initiation Document Development

This project will develop Project Initiation Documents for improvement projects identified in the I-280 corridor study. The improvement projects along the corridor will promote mobility and connectivity, enhance safety, support economic vitality and sustainability, and are sensitive to the environment and community values.

Funding Source FY16 & FY17 Fund Exchange $2,500,000



7. I-280 / Foothill Expressway Ramp Improvements

This project will construct one new off-ramp lane, retaining walls and new lighting and off-ramp improvements, and striping in the section of north bound I-280 between Foothill Expressway off-ramp and the connector ramp from SR 85. The requested budget augmentation will fund this project through completion.

Funding Source FY16 & FY17 Fund Exchange $500,000

Operating Cost Impact: The California Department of Transportation (Caltrans) assumes




8. I-280 / Winchester Improvements - Initiation Document Development

This project is part of a larger effort to improve I-280 traffic operation at the SR 17/I-280/I-880 intersection, adjacent to the Westfield Valley Fair mall area. The project includes evaluating roadways and development of alternatives for constructing a new off ramp from I-280 and I-880 and a Project Initiation Document to implement the alternatives. The requested budget augmentation will fund the completion of the initial document development.


180

Funding Source FY16 & FY17 Federal - CMAQ $500,000 City - San Jose 250,000 Fund Exchange 2,079,000 Total $2,829,000



9. I-680 Corridor Improvements - Initiation Document Development

This project will develop Project Initiation Documents for improvement projects identified in the I-680 corridor study. The improvement projects along the corridor will promote mobility and connectivity, enhance safety, support economic vitality and sustainability, and are sensitive to the environment and community values.




10. I-680 Sound Walls

This project will construct sound walls on I-680 between Capitol Expressway and Mueller Avenue in San Jose. The requested budget augmentation will fund the project through final design.

Funding Source FY16 & FY17 State - STIP/RIP $600,000



11. New Corridor Studies – SR 87 / SR 237 / I-880 / SR 17

The project will identify possible improvements along freeway corridors in Santa Clara County that promote mobility and connectivity, enhance safety, and support economic vitality and sustainability.



181



12. Noise Reduction Program on SR 85 The project will implement a noise reduction program along the SR 85 corridor which will include the following three phases: 1) noise reduction study, 2) noise reduction pilot project, and 3) corridor-wide noise reduction projects. Phase 1 is a study to determine recommended noise reduction strategies at viable locations to be included in a pilot test project. Phase 2 is the implementation of higher ranked locations identified in Phase 1 including noise measurement testing before and after the project. The requested budget augmentation will fund the project through Phase 2 final design.




13. Silicon Valley Express Lanes - Electronic Toll System

The Electronic Toll System is part of the Express Lane Project (Project) which will convert the existing High Occupancy Vehicle (HOV) facility on US 101 and SR 85 in Santa Clara County to Express Lanes. The Project will develop and implement system-wide dynamic pricing software to integrate all field equipment. Electronic signs display the current toll for solo drivers. Tolls will vary based on the level of congestion and will be adjusted to maintain free-flowing traffic. Overhead antennas will read FasTrak transponders and automatically deduct the correct toll from FasTrak accounts. A Violation Enforcement System (VES) will capture license plate images and send a toll violation notice if the user did not have a toll transponder. The requested budget augmentation will fund the project through development and the initial phases of implementation.

Funding Source FY16 & FY17 Other - TBD $10,000,000

Operating Cost Impact: The responsibility for maintenance and operations upon project

completion is expected to be with the Silicon Valley Express Lanes Program (see page 194) Estimated Total Project Cost: $47.2 million


14. Silicon Valley Express Lanes - Future Phase - Project A

This project will construct a future phase of the Silicon Valley Express Lane Program on US 101 or SR 85 corridor. There are 5 possible segments than can be selected for this phase: 1) SR 85 from I-280 to SR 17; 2) SR 85 from SR 17 to SR 87; 3) US 101 from Fair Oaks Avenue to I-880; 4) US 101 from I-880 to SR 85; or 5) US 101 from SR 85 to Dunne Avenue. The requested budget will fund the final civil design for this project.


182



completion is expected to be with the Silicon Valley Express Lanes Program (see page 194)

for the electronic express lanes portions and Caltrans for the roadway elements. Estimated Total Project Cost: $135.0 million


15. Silicon Valley Express Lanes - Future Phase - Project B

This project will construct a future phase of the Silicon Valley Express Lane Program on US 101 or SR 85 corridor. There are 5 possible segments than can be selected for this phase: 1) SR 85 from I-280 to SR 17; 2) SR 85 from SR 17 to SR 87; 3) US 101 from Fair Oaks Avenue to I-880; 4) US 101 from I-880 to SR 85; or 5) US 101 from SR 85 to Dunne Avenue. The requested budget will fund the final civil design for this project.






16. Silicon Valley Express Lanes - I-880

The I-880 Express Lanes project will implement a roadway pricing system on I-880 by converting the one-lane carpool lane to Express Lane and adding a second Express Lane to provide 2-lane Express Lanes between SR 237 in Santa Clara County and Mission Boulevard in Alameda County. VTA will work with Alameda County Transportation Commission (ACTC) and Metropolitan Transportation Commission (MTC) on this project, the tolling authority for the I-880 segment between Mission Boulevard and Santa Clara County line. The requested budget augmentation will fund the Project Initiation Document including related preliminary engineering efforts and the Project Approval/Environmental Document phases.







183

17. Silicon Valley Express Lanes – US 101 / SR 85 Phase 3 This project will implement a roadway pricing system on US 101 and SR 85 by converting the existing carpool lanes to Express Lane on US 101 (between SR 237 to the San Mateo County line), and on SR 85 (between I-280 to US 101), including the SR85/US101 HOV connector north in Mountain View. The requested budget augmentation will fund the construction phase (civil only) for this project.






18. Silicon Valley Express Lanes – US 101 / SR 85 Phase 4

This project will implement a roadway pricing system on US 101 and SR 85 by converting the existing carpool lane to Express Lane on US 101 (between Bailey Road to the SR 85 interchange south), and on SR 85 (between the US101/SR5 interchange south to SR 87), including the SR 85/US 101 HOV connector south in San Jose. The requested budget augmentation will fund the construction phase (civil only) for this project.






19. SR 152 Realignment

This project will initiate and complete the Project Approval/Environmental Document phase, including preliminary alignment engineering and environmental investigations, on new alignments for SR 152 between US 101 and SR 156 in Santa Clara and San Benito Counties. The project will also develop and evaluate corridor management strategies, including potential roadway pricing for the 82 mile length of SR 152 between Santa Cruz and Madera Counties. The purpose of this project is to improve truck/freight movement, air quality, traffic operations, and safety between the Central Valley and the South Bay via an east-west connection between SR 99 and US 101. The requested budget augmentation will fund the project through environmental clearance.

Funding Source FY16 & FY17 State - STIP/IIP $6,600,000


184




Anticipated Completion Date: September 2018

20. SR 237 / I-880 Interchange Highway Planting The project developed landscape improvement designs in the City of Milpitas at the SR 237/I-880 interchange, including tree planting, a recycled-water automatic irrigation system, and plant establishment maintenance. The project has been completed and the remaining budget is being de-obligated.

Funding Source FY16 & FY17 Other - TBD ($2,110,000)

Operating Cost Impact: None Estimated Total Project Cost: N/A


21. SR 237 / US 101 Mathilda Interchange

This project includes construction of improvements on Mathilda Avenue between Almanor Avenue and Innovation Way, including interchange improvements at US 101 and SR 237 to reduce congestion and improve traffic operations on Mathilda Avenue. The scope also includes construction management and design support during construction services. The requested budget augmentation will fund the project through construction.

Funding Source FY16 & FY17 State - STIP/RIP $15,000,000 City - Sunnyvale 15,000,000 Total $30,000,000



22. SR 237 Improvements – Lawrence Expressway to US 101

The SR 237 Improvement Project proposes to extend the existing HOV lanes on SR 237 between Lawrence Expressway to US 101 to provide traffic congestion relief. The project would provide three lanes in each direction, including a new HOV lane, within this segment of SR 237. The requested budget is for the project's Project Initiation Document and Project Approval/Environmental Document phases.

Funding Source FY16 & FY17

Fund Exchange $2,000,000


185


responsibility for maintenance and operations upon project completion. There is no operating

cost impact to VTA. Estimated Total Project Cost: $22.0 million


23. Tasman Drive Complete Street Corridor Study

This project is a multi-jurisdictional effort to identify and recommend multimodal improvements along the Tasman corridor (from Tasman/Fair Oaks in Sunnyvale to Great Mall Parkway/Montague Expressway in Milpitas). The planning and conceptual design study will examine existing conditions; identify transportation deficiencies and improvements for bicycle, pedestrian and transit riders; develop and analyze alternatives at a conceptual engineering level (10% design); and identify a preferred alternative and associated cost estimate. Improvements which may be considered include pedestrian and bicycle safety and connectivity, access to transit, transit rider amenities, and improved transit travel time through signal timing coordination and/or stop improvements.

Funding Source FY16 & FY17 Federal $1,025,800 Other - 15% VRF 133,200 Total $1,159,000



24. US 101 / Buena Vista Avenue

The project involves the construction of a new freeway interchange on US 101 at Buena Vista Avenue in South San Jose. The requested budget augmentation will fund the project's Project Initiation Document, including related preliminary engineering efforts, through Project Approval/Environmental Documentation.

Funding Source FY16 & FY17 City - San Jose $3,000,000





25. US 101 / Improvements I-280 to Yerba Buena

This project was initiated to improve operation on US 101 in east San Jose by adding a lane in the southbound direction from south of Story Road to north of Capitol Expressway and reconfiguring the US 101/Tully Road interchange from the existing full cloverleaf to a partial


186

cloverleaf interchange. The project is completed. The original project budget assumed VTA would administer the construction contract. However, it was subsequently determined that Caltrans would administer the construction contract so the remaining unspent budget appropriation was not needed and is being de-obligated.

Funding Source FY16 & FY17 State - CMIA ($548,744) Fund Exchange (356,404) Other - TBD (36,689,868) Total ($37,595,017)



26. US 101 Widening & SR 25 / US 101 Interchange Improvement

This project provided for the widening of US 101 from four to six lanes in Santa Clara and San Benito counties, bridge widening and replacement, curve improvements, and construction of a new interchange at US 101 and SR 25. The project also included the extension of Santa Teresa Blvd to connect to SR 25 at the SR 25/US 101 interchange and the addition of ramp lanes at SR 129. The project has been completed and the remaining budget is being de-obligated.

Funding Source FY16 & FY17 Other - TBD ($5,244,350)



27. US 101 / Zanker Road/ Skyport Blvd/ North 4th Street Interchange – Phase 1

This is phase 1 of the project to construct a new interchange at US 101 to connect Zanker Road and Old Bayshore Highway with North 4th Street and Skyport Drive. Phase 1 of the project will provide an overcrossing at US 101 to improve limited existing connectivity to the North San Jose employment centers. Phase 2 of the project will construct an interchange using the existing overcrossing structure to provide access to US 101. The requested budget will fund a project initiation study and environmental document for Phase 1.

Funding Source FY16 & FY17 City - San Jose $8,000,000






187

VTP Highway Improvement Program Total Available Appropriation

Capital project appropriations do not expire at the end of the fiscal year and are carried forward until the project is completed. Capital carryover is defined as appropriation that is unspent at the end of the fiscal year. The following table reflects the projected carryover at June 30, 2015, as well as the total available appropriation for the VTP Highway Improvement Program after the FY 2016 and FY 2017 appropriations, by project and funding source. Project funding for the two-year period is appropriated in FY 2016 in order to facilitate administration of the program.



Source

A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

P-0430 SR 152 / SR 156 Interchange Federal 15,826 14,897 928 0 928 State 11,204 11,092 112 0 112 Fund Exchange 7,668 7,453 215 0 215 Total 34,697 33,442 1,255 0 1,255

P-0455 I-880 / I-280 Improvements Federal 19,022 17,424 1,599 0 1,599 State 39,710 34,488 5,222 0 5,222 City 1,550 1,539 11 0 11 Fund Exchange 2,512 1,811 701 0 701 Other 3,171 0 3,171 0 3,171 Total 65,966 55,262 10,704 0 10,704

P-0519 US 101 Improvments I-280 to Yerba Buena State 1,215 666 549 (549) 0 City 6,626 6,626 0 0 0 Fund Exchange 6,089 5,733 356 (356) 0 Other 36,990 300 36,690 (36,690) 0 Total 50,920 13,325 37,595 (37,595) 0

P-0535 Coyote Ridge Butterfly Habitat Mgmt City 996 996 0 0 0 Fund Exchange 245 141 104 0 104 Total 1,241 1,137 104 0 104

P-0565 US 101 / De La Cruz Blvd / Trimble Road City 850 841 9 0 9 Fund Exchange 54 40 14 0 14 Other 4,050 0 4,050 0 4,050

Total 4,954 881 4,072 0 4,072 P-0606 US 101 Widening & 25 / 101 Intchg Improv Fund Exchange 5,900 5,900 0 0 0

Other 5,244 0 5,244 (5,244) 0 Total 11,144 5,900 5,244 (5,244) 0

P-0617 SR 152 Realignment Federal 2,862 75 2,787 0 2,787 State 16,778 3,850 12,929 6,600 19,529 Fund Exchange 5,000 3,853 1,147 0 1,147 Other 150 144 6 0 6 Total 24,790 7,922 16,868 6,600 23,468


VT

A FY

2010 & FY

2011 AD

OPT

ED

BIE

NN

IAL

BU

DG

ET


188


Source

A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

P-0619 US 101 Aux. Lanes - Embarcadero to SR 85 State 1,721 1,503 218 0 218 Fund Exchange 15,028 14,842 186 0 186 Other 251 0 251 0 251 Total 17,000 16,345 655 0 655

P-0620 I-880 Improvements - SR 237 to US 101 State 930 565 365 0 365 Fund Exchange 18,185 17,720 465 0 465 Other 385 0 385 0 385 Total 19,500 18,285 1,215 0 1,215

P-0621 SR 237 / I-880 Interchng Highway Planting City 675 675 0 0 0 Other 2,110 0 2,110 (2,110) 0 Total 2,785 675 2,110 (2,110) 0

P-0651 SR 87 Highway Planting Federal 2,520 2,514 6 0 6 State 250 250 0 0 0 Fund Exchange 2,205 2,125 80 0 80 Total 4,975 4,889 86 0 86

P-0653 I-680 Corridor Study Federal 250 126 124 0 124 Fund Exchange 250 126 124 0 124 Total 500 253 247 0 247

P-0654 SR 87 / Narvaez Interchange Other 800 0 800 0 800 P-0655 Ramp Metering Implementation Federal 4,489 2,506 1,982 0 1,982

Other 7,299 0 7,299 0 7,299 Total 11,788 2,506 9,281 0 9,281

P-0678 SR 237 / US 101 Mathilda Interchange State 0 0 0 15,000 15,000 City 4,000 832 3,168 15,000 18,168 Other 1,847 0 1,847 0 1,847 Total 5,847 832 5,015 30,000 35,015

P-0694 SV Exp Lanes-SR 237 / I-880 Connectors Federal 7,460 7,460 0 0 0 Fund Exchange 4,300 4,261 39 0 39 Total 11,760 11,721 39 0 39

P-0720 Silicon Valley Express Lanes - SR 85 Federal 4,790 4,790 0 0 0 Fund Exchange 2,150 2,073 77 0 77 Other 500 0 500 0 500 Total 7,440 6,863 577 0 577

P-0721 Silicon Valley Express Lanes - US 101 Fund Exchange 8,480 7,884 596 0 596 Other 500 0 500 0 500 Total 8,980 7,884 1,096 0 1,096

P-0730 US 101 / Capitol Exp / Yerba Buena Intchg Federal 1,100 1,100 0 0 0 State 25,534 22,031 3,503 0 3,503 City 1,574 1,574 0 0 0 Fund Exchange 5,482 4,281 1,202 0 1,202 Total 33,690 28,985 4,705 0 4,705

P-0737 VTP Highways Programwide Fund Exchange 100 0 100 0 100 P-0749 Freeway Performance Initiative Federal 5,563 1,562 4,000 1,438 5,438 P-0788 SR 237 Express Lanes-Phase II Extension Federal 1,600 1,175 425 0 425

State 9,164 0 9,164 0 9,164 City 1,739 0 1,739 0 1,739 Fund Exchange 7,564 3,160 4,405 0 4,405 Total 20,067 4,335 15,733 0 15,733

P-0812 I-280 / Foothill Expressway Ramp Improv Fund Exchange 2,700 700 2,000 500 2,500


189


Source

A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

P-0826 Combined Landscaping & Maint Project State 1,000 21 979 0 979 City 624 200 424 0 424 Fund Exchange 2,200 996 1,204 0 1,204 Total 3,824 1,218 2,606 0 2,606

P-0862 101 Express Lanes - 101 San Mateo Other 2,000 0 2,000 0 2,000 P-0863 Charcot Avenue Extension over I-880 Other 4,500 0 4,500 0 4,500 P-0864 Innovative Transportation Technology Prog Fund Exchange 85 0 85 0 85

Other 1,915 0 1,915 0 1,915 Total 2,000 0 2,000 0 2,000

P-0865 Intelligent Transportation System Projects Federal 14,000 0 14,000 0 14,000 P-0866 Landscaping at I-280 / I-880 Federal 566 18 548 0 548

City 2,793 0 2,793 0 2,793 Fund Exchange 141 4 137 0 137 Total 3,500 22 3,478 0 3,478

P-0867 US 101 / Buena Vista Avenue City 1,000 0 1,000 3,000 4,000 P-0868 US 101 SB Ramp Improv-10th St-Gilroy Other 3,600 0 3,600 0 3,600 P-0876 Silicon Valley Express Lanes - I-880 Fund Exchange 2,000 0 2,000 2,000 4,000 P-0877 US 101 San Ant./Charlstn/Reng. Rmp Impv Other 4,000 0 4,000 0 4,000 P-0878 US 101 / Old Oakland Road Improvements Other 3,450 0 3,450 0 3,450 P-0898 Capitol Expy - Ped Connection to Eastridge Federal 262 183 79 0 79

State 55 39 17 0 17 Other 1,230 0 1,230 0 1,230 Total 1,547 222 1,326 0 1,326

P-0900 SV Exp Lanes - US101 / SR85 Phase 3 Fund Exchange 5,100 94 5,006 0 5,006 Other 2,400 0 2,400 28,300 30,700 Total 7,500 94 7,406 28,300 35,706

P-0901 SV Exp Lanes - US101 / SR85 Phase 4 Fund Exchange 2,855 42 2,813 0 2,813 Other 145 0 145 8,400 8,545 Total 3,000 42 2,958 8,400 11,358

P-0902 SV Exp Lanes - Electronic Toll System Fund Exchange 3,700 62 3,638 0 3,638 Other 1,121 0 1,121 10,000 11,121 Total 4,821 62 4,759 10,000 14,759

P-0903 Noise Reduction Program on SR85 Fund Exchange 285 16 269 2,000 2,269 Other 90 0 90 0 90 Total 375 16 359 2,000 2,359

P-0911 I-280/Winchester Imprvmnts-Initiation Doc Federal 0 0 0 500 500 City 250 0 250 250 500 Fund Exchange 250 2 248 2,079 2,327 Other 171 0 171 0 171 Total 671 2 669 2,829 3,498

P-0912 I-280 Corridor Study Fund Exchange 250 9 241 0 241 Other 500 0 500 0 500 Total 750 9 741 0 741

P-0919 Bicycle Safety Educ & Promo Activities 1996 Measure B 143 0 143 0 143 P-0920 Local PDA Planning - Santa Clara Federal 899 0 899 0 899

City 116 0 116 0 116 Total 1,015 0 1,015 0 1,015

P-0921 Keyes-Story Complete Street Corrdr Study Federal 400 0 400 0 400 Other 52 0 52 0 52 Total 452 0 452 0 452


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Source

A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

P-0969 Freeway Performance Initiative Phase 2 Federal 0 0 0 2,000 2,000 P-0970 SV Exp Lanes - Future Phase - Project A Fund Exchange 0 0 0 15,000 15,000 P-0971 SV Exp Lanes - Future Phase - Project B Fund Exchange 0 0 0 15,000 15,000 P-0972 US 101/Zanker/Skyport/N 4th Intrchng-Ph 1 City 0 0 0 8,000 8,000 P-0973 SR 237 Improv-Lawrence Expwy to US 101 Fund Exchange 0 0 0 2,000 2,000 P-0974 I-280 Corridor Improvements-Initiation Doc Fund Exchange 0 0 0 2,500 2,500 P-0975 I-680 Corridor Improvements-Initiation Doc Fund Exchange 0 0 0 2,500 2,500 P-0976 I-680 Sound Walls State 0 0 0 600 600

P-0977 New Corrdr Studies-SR87/SR237/880/SR17 Fund Exchange 0 0 0 2,000 2,000 P-0978 Countywide Bicycle Plan Update Federal 0 0 0 443 443

Other 0 0 0 257 257 Total 0 0 0 700 700

P-0979 Countywide Traffic Signal Coord. Study State 0 0 0 135 135 Fund Exchange 0 0 0 35 35 Total 0 0 0 170 170

P-0980 Tasman Dr Complete Street Corridor Study Federal 0 0 0 1,026 1,026 Other 0 0 0 133 133 Total 0 0 0 1,159 1,159

P-0981 Bascom Ave Complete Street Corrdr Study Federal 0 0 0 874 874 Other 0 0 0 114 114 Total 0 0 0 988 988 Grand Total 411,354 225,391 185,963 102,734 288,697


VTP Highway Program Total Available by Funding Source (Dollars in Thousands)

Funding Source

A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)


Carryover

D

FY16 Appropriation

E=(C+D)


Federal 81,608 53,831 27,777 6,280 34,057 State 107,562 74,504 33,057 21,786 54,843 City 22,794 13,283 9,510 26,250 35,760 Fund Exchange 110,777 83,328 27,449 45,258 72,707 Other 88,471 444 88,027 3,160 91,187 1996 Measure B 143 0 143 0 143 Grand Total 411,354 225,391 185,963 102,734 288,697



SECTION 6 MISCELLANEOUS PROGRAMS

SR 237 Express Lanes


191

Joint Development Program

Overview Through recent efforts by VTA staff and the VTA Board of Directors, VTA has established a deliberate and aggressive property management program aimed at generating revenue, promoting transit-oriented development, and enhancing transit operations. VTA has identified 26 sites that may be appropriate for joint development (nine of which have been identified by the VTA Board as being the first priorities) and six sites as being “surplus property”, meaning they can be disposed of in the near term with no effect on current or future transit operations. The FY 2016 and FY 2017 Adopted Biennial Budget for the Joint Development Program represents current and anticipated lease revenues, as well as the level of effort (expenditures) required to generate the revenues. Prior to FY 2012, activities related to the Joint Development Program were captured solely in the VTA Transit Operating Budget. Based on the anticipated level of future activities, they are now being captured as a separately reported fund. The Joint Development Program budget is broken into two major components. The operating budget includes appropriation for preliminary site analysis on four potential locations per year. The capital budget captures costs for the entitlement process for various properties. There is no additional capital appropriation in the FY 2016 and FY 2017 budget. However, capital project appropriations do not expire at the end of the fiscal year and are carried forward until the project is completed. The table on page 193 reflects the projected carryover at June 30, 2015 for the four active capital projects by project and funding source. Capital carryover is defined as appropriation that is unspent at the end of the fiscal year.

Transit Oriented Development


192

Joint Development Program Comparison of Revenues and Expenses


Lin

e




FY16 Adopted Budget

Variance from FY15

Actual

% Var

FY17 Adopted Budget

Variance from FY16

Budget

% Var

1 Investment Earnings 156 129 136 129 (7) -5.4% 156 27 21.2% 2 Property Rental 334 145 418 357 (61) -14.6% 371 13 3.8% 3 Proceeds from Sale of Property 0 0 15,525 0 (15,525) -100.0% 0 0 N/A 4 Total Revenue 491 274 16,079 486 (15,593) -97.0% 527 41 8.4%

5 Professional & Special Services 59 215 22 215 193 876.4% 215 0 0.0% 6 Miscellaneous 0 0 74 15 (59) -79.6% 15 0 0.0%

7 Total Expense 59 215 96 230 134 140.7% 230 0 0.0%

8 Revenues Over (Under) Expenses 432 59 15,984 256 297

Note: Totals and percentages may not be precise due to independent rounding. Descriptions of each Revenue and Expense Category can be found in Appendix H.


Revenues Proceeds from Sale of Property: The FY 2016 budget reflects a decrease of $15.5 million from FY 2015 actual due primarily to receipt of sales proceeds from the West San Carlos property in FY 2015. There are currently no property sales anticipated in FY 2016 or FY 2017. Expenses Professional & Special Services: The FY 2016 budget increases $193 thousand over FY 2015 actual due to site analyses on additional properties in preparation for the entitlement process.

1 Reflects Adopted Budget approved by the Board on June 6, 2013 2 Projection as of August 1, 2015; Preliminary Unaudited


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Joint Development Program Sources and Uses of Funds Summary




FY16 Adopted Budget

FY17 Adopted Budget

1 Total Revenues 491 16,079 486 527

2 Total Expenses (59) (96) (230) (230)

3 Revenues Over (Under) Expenses 432 15,984 256 297

4 Beginning Net Assets 11,950 12,382 28,365 28,622

5 Revenues Over (Under) Expenses 432 15,984 256 297

6 Ending Net Assets2 12,382 28,365 28,622 28,919


Joint Development Program Total Available Appropriation

Capital project appropriations do not expire at the end of the fiscal year and are carried forward until the project is completed. Capital carryover is defined as appropriation that is unspent at the end of the fiscal year. The following table reflects the projected carryover at June 30, 2015.



Source

A

Adopted Budget

Through FY151

B


Through FY15

C=(A-B)

Projected FY15

Capital Carryover

D

FY16 Appropriation

E=(C+D)

Total Available

Appropriation

P-0825 Tamien Joint Development Joint Dev 500 239 261 0 261 P-0870 Cerone Joint Development Joint Dev 500 0 500 0 500 P-0871 I-880 / Alder Joint Development Joint Dev 500 0 500 0 500 P-0872 River Oaks Joint Development Joint Dev 500 0 500 0 500

Grand Total 2,000 239 1,761 0 1,761

Note: Totals may not be precise due to independent rounding

1 Projection as of August 1, 2015; Preliminary Unaudited 2 FY 2015 Net Assets increase due to receipt of proceeds from sale of property.


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Silicon Valley Express Lanes Program

Overview In December 2008, the VTA Board of Directors approved the Silicon Valley Express Lanes Program (SVELP) which had been under development since 2003. The SVELP, as approved, was the result of 18 months of coordination, analysis, and outreach on both technical and policy areas related to implementing Express Lanes as a means to address congestion levels on highways while also looking towards new solutions to accommodate the future growth in travel demand. The goal of the SVELP is to provide long-term mobility benefits and a funding stream for transportation improvements. Specifically, the primary objectives of the SVELP are to provide congestion relief through more effective use of existing roadways; provide commuters with a new mobility option; and provide a new funding source for transportation improvements including public transit. As part of the SVELP, the Express Lanes projects implement a roadway pricing system to allow for the use of unused capacity in the carpool lanes to provide congestion relief and a new mobility option for some commuters. The roadway pricing system allows solo commuters to use the available capacity in the carpool lanes for a fee. The fee changes dynamically in response to existing congestion levels and available capacity in the carpool lanes. When solo commuters choose to use Express Lanes, this in turn also provides for traffic congestion relief in the general purpose lanes. The SVELP is comprised of two corridors: the SR 237 corridor between I-880 and SR 85, and the US 101/SR 85 corridor within Santa Clara County up to the San Mateo County line. VTA has legislative authority to convert existing carpool lanes on two corridors within Santa Clara County—based on Assembly Bill (AB) 2032 which passed in 2004 and the follow-up AB 574 which passed in 2007. Additionally, AB 1105 which passed in 2011 allows VTA to extend the two corridors into the adjacent counties subsequent to an agreement with the neighboring county’s Congestion Management Agency (CMA). The SR 237/I-880 Express Connectors project is the first phase of the SR 237 Express Lanes project that converted the carpool lane connector ramps at the SR 237/I-880 interchange to Express Lanes operations. The SR 237 Express Lanes opened for tolling on March 20, 2012. The second phase of the SR 237 Express Lanes will involve extending Express Lanes further to the west on SR 237 close to US 101, including conversion of the remaining lengths of carpool lanes to Express Lanes operations. Phase 2 is projected to open in the spring of 2017. The map on the following page illustrates the Silicon Valley Express Lane Program corridors.


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The FY 2016 and FY 2017 Adopted SVELP Operating Budget represents the anticipated revenues and expenditures for the program over the next two fiscal years. The primary revenue source for this program is tolls. The anticipated operating expenditures include toll processing fees, enforcement, electronic toll system maintenance, road maintenance, utilities, insurance, and VTA staff time for administration of the program.


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Silicon Valley Express Lanes Program Comparison of Revenues and Expenses


Lin

e




FY16 Adopted Budget

Variance from FY15

Actual

% Var

FY17 Adopted Budget

Variance from FY16

Budget

% Var

1 Toll Revenues 1,222 1,000 1,157 1,100 (57) -4.9% 1,166 66 6.0% 2 Investment Earnings 19 10 17 17 0 -2.8% 20 4 21.2% 3 Total Revenue 1,241 1,010 1,175 1,117 (58) -4.9% 1,186 70 6.2%

4 Professional & Special Services 463 572 655 875 220 33.5% 902 27 3.1% 5 Utilities 2 2 2 4 2 67.0% 4 0 7.5% 6 Insurance 0 2 0 2 2 N/A 2 0 0.0% 7 Communications 1 3 0 2 2 N/A 8 6 300.0% 8 Miscellaneous 0 5 0 5 5 N/A 5 0 0.0% 9 VTA Staff Services 270 400 217 140 (77) -35.6% 150 10 7.1%

10 Total Expense 736 983 875 1,028 153 17.5% 1,071 43 4.2%

11 Revenues Over (Under) Expenses 505 27 300 89 115



Revenues None Expenses Professional & Special Services: The FY 2016 budget is $220 thousand higher than FY 2015 actual due primarily to a shifting of administration functions from VTA staff to contracted consultants and a planned increase in enforcement by the California Highway Patrol.

1 Reflects Adopted Budget approved by the Board on June 6, 2013 2 Projection as of August 1, 2015, Preliminary Unaudited


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Silicon Valley Express Lanes Program Sources and Uses of Funds Summary




FY16 Adopted Budget

FY17 Adopted Budget

1 Total Revenues 1,241 1,175 1,117 1,186

2 Total Expenses

(736) (875) (1,028) (1,071)

3 Revenues Over (Under) Expenses 505 300 89 115


5 Revenues Over (Under) Expenses 505 300 89 115



As part of the FY 2016 and FY 2017 budget process, staff proposed the setting-aside of a portion of the projected net assets of the SVELP as designated reserves. One million would be designated as a reserve for Express Lanes Operations representing approximately one year’s operating and maintenance costs. In FY 2017, $25,000 would be designated to fund an Equity Program to provide toll credits on transit passes to low income travelers within the corridor. An additional $100,000 would be designated to fund VTA Transit Operations based on recommendations in the BART Transit Integration Plan. The remaining balance would be undesignated reserves.


Projected Designated Reserves (Dollars in Thousands)

FY16 FY17

Projected Ending Net Assets 2,079 2,194 Designated Reserves: Operating & Maintenance Set-Aside 1,000 1,000 Equity Program 25 VTA Transit Operations 100 Total Designated Reserves 1,000 1,125 Projected Undesignated Reserves 1,079 1,069

1 Projection as of August 1, 2015, Preliminary Unaudited 2 FY 2015 Net Assets increase due to continued strong toll collections and lower than anticipated expenditures.


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BART Operating Sales Tax Program

Overview On November 4, 2008, the voters of Santa Clara County approved 2008 Measure B (Measure), a 30-year one-eighth cent sales and use tax dedicated solely to providing the operating and maintenance expenses and capital reserve contribution for the BART Silicon Valley Extension. Per the Measure, the tax would only commence collection if sufficient state and federal funds were secured to match local construction dollars. Federal funds would be considered secured and matched when the Federal Transit Administration (FTA) executed a Full Funding Grant Agreement (FFGA), or its equivalent, in an amount of at least $750 million. State funds would be considered secured and matched when the California Transportation Commission (CTC) approved an Allocation Request, or its equivalent, in an amount of at least $240 million. The FFGA for $900 million was signed on March 12, 2012 and State funding has been secured and matched through state statute administered by the CTC. As of August 20, 2014, the CTC has allocated 100% of the $649 million Traffic Congestion Relief Program funds guaranteed to the project. With both the federal and state funding requirements met, the tax commenced collection on July 1, 2012. Payments to BART for the operation, maintenance and capital reserve contribution do not begin until the system opens (currently projected for FY 2018).

BART Trench Beneath Hostetter Road in East San Jose


199

BART Operating Sales Tax Program Comparison of Revenues and Expenses


Lin

e




FY16 Adopted Budget

Variance from FY15

Actual

% Var

FY17 Adopted Budget

Variance from FY16

Budget

% Var

1 Sales Tax Revenues 44,753 47,711 48,088 49,506 1,417 2.9% 51,733 2,228 4.5% 2 Investment Earnings 732 1,241 952 1,216 264 27.7% 2,104 888 73.1% 3 Total Revenue 45,485 48,952 49,040 50,721 1,681 3.4% 53,837 3,116 6.1%

4 Professional & Special Services 60 134 105 201 96 91.8% 256 56 27.8%

5 Total Expense 60 134 105 201 96 91.8% 256 56 27.8%

6 Revenues Over (Under) Expenses 45,426 48,818 48,935 50,520 53,581


BART Operating Sales Tax Program Sources and Uses of Funds Summary




FY16 Adopted Budget

FY17 Adopted Budget

1 Total Revenues 45,485 49,040 50,721 53,837

2 Total Expenses (60) (105) (201) (256)






1 Reflects Adopted Budget approved by the Board on June 6, 2013 2 Projection as of August 1, 2015; Preliminary Unaudited 3 FY 2015 through FY 2017 Net Assets increase due to additional sales tax receipts. Expenditures for the operation, maintenance and capital reserve contribution do not begin until the system opens (currently projected for FY 2018).


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Airport Flyer

SECTION 7 APPENDICES

Taking Fans to Levi’s Stadium


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VTA Financial Policies

VTA’s various financial policies provide guidance to staff and the Board of Directors regarding the administration of the agencies financial affairs. The financial policy statements below are a summarization of the current financial policies. The objective of the financial policy statements is to provide an overview of guidelines, policies, and procedures utilized during the budget preparation process.

Accounting

VTA shall establish and maintain a high standard of accounting practices.

VTA shall maintain records on a basis consistent with generally accepted accounting principles for local governments.

The accounts of the Authority shall be reported using the appropriate fund accounting. Revenues shall be recognized when earned and expenses shall be recognized when incurred.

An independent firm of certified public accountants shall perform an annual financial and grant compliance audit and shall issue an opinion that will be incorporated into the Comprehensive Annual Financial Report (CAFR).

VTA shall submit the annual CAFR to the Government Finance Officers Association for consideration for the Certificate of Excellence in Financial Reporting.

Internal Control policies shall be developed and maintained to include procedures that separate control of assets from accounting for those assets.

The establishment of internal controls shall be based on the recognition that the cost of a system of internal control should not exceed the benefits derived thereof.

Revenues VTA shall avoid dependence on temporary/one-time revenues to fund ongoing services.

Every effort shall be made to use one-time revenues for one-time expenditures.

VTA shall continuously explore additional sources of revenue to help balance the budget, such as identifying on an annual basis excess capital property and equipment, including real property, and shall make an ongoing attempt to sell or enter into Joint Development arrangements for such property to enhance revenue.

One hundred percent of eligible capital funding may be used for operating purposes, but should be reviewed on an annual basis.

VTA shall maintain a Fare Policy to ensure that there is a fair and reasonable relationship between the fares or fees charged for transit service provided and the operating costs of such services, and that fares are reviewed regularly.

Funds shall be invested within the guidelines of the Board’s approved Investment Policy and in compliance with applicable California Government Code.

APPENDIX A


202

VTA shall review its investment policy annually to ensure consistency with the following objectives (in order of priority):

Safety of invested funds Maintenance of sufficient liquidity to meet cash flow needs Attainment of the maximum yield possible consistent with the first two objectives

On an annual basis, VTA shall benchmark, against peer agencies (such as other governmental agencies, including transit districts), the investment performance for the following investment portfolios: VTA unrestricted and restricted funds, VTA/ATU Pension funds and Other Post Employment Benefits funds.

When appropriate, the Board of Directors (Board) shall actively pursue legislation that would help ensure the continued accomplishment of VTA’s goals and mission statement. The Board shall support efforts to ensure that legislative intent is realized in allocation of state financial resources to public transit. The Board shall actively oppose legislation that would limit or diminish revenue.

Expenditures VTA shall work to achieve service levels that will make the bus system easier to use,

improve travel times, and be more effective.

VTA shall continue to look for and implement the most cost effective and reliable methods of delivering transportation services.

VTA shall maintain all assets at a level that protects capital investment and minimizes future maintenance and replacement costs.

The risk management program shall provide protection against loss and a reduction in exposure to liability.

VTA shall develop service changes as needed to respond to budget shortfalls using performance measures established in the Transit Sustainability Policy.

Quarterly variance reports shall be presented to the Board of Directors to enhance operational accountability.

An annual actuarial analysis shall be performed on VTA’s Other Post Retirement Benefit Trust funds. VTA shall make annual contributions that fund the actuarially required contribution.

Budget VTA shall comply with all legal budget requirements of the State of California and the

VTA Administrative Code.

The budget shall be appropriated at the Fund and budget type (operating or capital) level. The General Manager may reallocate appropriations between budget types and budget units (e.g., division, cost group, or project) within each Fund up to the limits of each Fund’s annual appropriation.

There shall be a budgetary monitoring system that charges expenditures against approved budget appropriations.


203

A balanced operating budget, in which total operating revenues exceed total operating expenditures, shall be prepared.

The budget shall be prepared using Generally Accepted Accounting Principles with the following exceptions:

Inclusion of capital outlays and bond principal payments as expenditures

Exclusion of depreciation, amortization of bond discounts, interest earnings on restricted reserves, and unrealized gains and losses on investments

An operating budget, in which total projected operating and unrestricted revenues less total budgeted operating expenditures, including interest expense, maintains an Operating Reserve balance of at least 15% of the operating expenditures shall be prepared and presented for adoption.

The budget document shall be submitted to the Government Finance Officers Association for consideration for the Distinguished Budget Presentation Award, which evaluates the document as a communications device, financial plan, operations guide, and policy document.

Budgetary procedures that fund current expenditures at the expense of future needs, such as postponing preventative maintenance expenditures or replacement of equipment, shall be avoided.

VTA shall provide conservative revenue estimates that take into consideration recent experience and reflect reasonable future growth.

The Authority shall monitor revenue sources regularly and quarterly modify forecasts as necessary to reflect the most current information available. The Authority shall also change the level of expenditures, as needed, to fit within sources of revenue.

A budget shall be prepared that contains essential programs and projects needed to support the goals and objectives of the Authority, responds to citizen demand, within the parameters of the Transit Sustainability Policy, and reflects administrative evaluation of current needs.

Long-Range Planning VTA shall annually update and incorporate the VTA Financial Forecasting Model as part

of its long-range planning process.

Grants Grants are accounted for in accordance with the purpose for which the funds are

intended.

Approved grants for the acquisition of land, building, and equipment are recorded as revenue as the related expenses are incurred

Approved grants for operating assistance are recorded as revenues in the year in which the related grant conditions are met

Advances received on grants are recorded as a liability until related grant conditions are met


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When both restricted and unrestricted resources are available for the same purpose VTA shall use restricted resources first

All grants shall be managed to comply with the laws, regulations and guidance of the grantor.

All potential grants shall be carefully examined for matching requirements (both dollar and level-of-efforts matches).

VTA shall program its federal grant funds to minimize the time between appropriation and draw down of federal funds.

Debt Sales Tax Revenue Bonds shall not be issued to support current operating expenditures.

Capital projects funded through the issuance of bonds shall be financed for a period not to exceed the expected useful life of the project.

Debt may be issued to accomplish the following objectives: accelerate the delivery of projects, spread cost over the useful life of an asset, smooth out annual cash flow, optimize overall financial resources, finance unfunded actuarial liabilities, and refund existing debt.

Debt affordability shall be determined by the requirements of VTA’s bond indentures (e.g., additional bonds test/debt service coverage) and VTA’s ability to meet all of its ongoing operating, capital and reserve requirements.

The Authority shall remain in compliance with Securities and Exchange Commission Rules 15c2-12 by filing its annual financial statements and other financial and operating data for the benefit of its bondholders within the period required by each Continuing Disclosure Agreement.

Capital Improvement The Authority shall prepare a 10-Year Capital Improvement Plan (CIP) including

projected capital construction and improvements, service levels and operating costs and revenues to fund the capital operating programs in accordance with the requirements and schedule set by the Metropolitan Transportation Commission (MTC). Capital projects included in the CIP shall be evaluated using the following criteria:

Total project cost (design and construction) and schedule for completion Source of funding Ongoing operating and maintenance costs Benefits and contributions to the Authority and the community such as safety and

service enhancements, including, but not limited to the effect on future operating and maintenance costs, economy, service, and gains in boardings

Alternatives considered Consequences of not funding

Priority shall be given to replacement of existing assets before consideration of new assets.


205

Capitalized Assets The Authority capitalizes all assets with an individual cost of more than $5,000, and a

useful life in excess of one year.

Capital assets shall be stated at historical cost, and infrastructure, which includes light rail vehicle tracks, shall be capitalized.

Improvements shall be capitalized and depreciated over the remaining useful lives of the related properties.

VTA computes depreciation using the straight-line method over estimated useful lives as follows:

Buildings and improvements 30 to 50 years Buses and maintenance vehicles 4 to 12 years Light-rail structures and light-rail vehicles 25 to 45 years Other operating equipment 5 to 15 years

Risk Management and Self-Insurance Appropriate insurance coverage shall be maintained to mitigate the risk of material loss.

For self-insured retentions, VTA shall record the liabilities, including losses incurred but not reported, at 100% of the net present value. The goal is to maintain restricted cash balances in amounts equal to the present value of estimated liabilities but in no event less that the next year’s projected cash outflows. An actuarial review of self-insured liabilities shall be made annually.

Reserves The Authority shall maintain an Operating Reserve of at least 15% of the operating

budget for the VTA Transit Fund. These funds are to remain unappropriated for any operating or capital use except to meet emergency needs that cannot be funded from any other source. The purpose of this reserve is to ensure that sufficient funds are always available in the event of either unavoidable expenditure needs or unanticipated revenue shortfalls from sources other than sales tax based revenues.

VTA Transit Fund Operating Reserves in excess of 15% of the operating budget at year end shall be transferred to the Debt Reduction Fund, the use of which is governed by the Debt Reduction Fund Policy.

The Authority shall maintain a Sales Tax Stabilization Fund up to a maximum balance of $35M for the VTA Transit Fund. The purpose of this reserve is to mitigate the impact of the volatility of sales tax based revenues on service levels. Sales tax based revenues received in excess of the budgeted amount shall be placed in the Sales Tax Stabilization Fund up to the maximum balance. The Sales Tax Stabilization Fund may be used to supplement budgeted declines in sales tax based revenues or offset declines in actual sales tax based revenue receipts.


206

Ad Hoc Financial Recovery Committee

In response to precipitous declines in FY 2009 sales tax revenues and alarming deficit projections subsequent to adoption of the FY 2010 and FY 2011 Biennial Budget, the VTA Board of Directors appointed an Ad Hoc Financial Recovery Committee (Committee) in December 2009. The Committee consisted of three Board members and was supported by a representative stakeholder group of business, labor, VTA advisory committees, and other communities of interest. The Committee’s directive was to review VTA’s financial structure and to develop recommendations for the Board that addressed VTA’s long-term structural deficit beyond FY 2011 to insure the continued sustainability of transit services in Santa Clara County. The Committee held bi-weekly meetings beginning in January 2010 and spent considerable time reviewing VTA’s financial structure and economic projections. After careful consideration and analysis, at its September 1, 2010 meeting, the Committee unanimously approved “Guidance on Operating Expenditure Priorities, Key Financial Principles, and Deficit Reduction Targets”

containing financial priorities, principles, and deficit reduction targets to guide VTA in becoming a more financially stable and sustainable organization. The deficit reduction targets were identified in the areas of internal efficiencies, employee expenses, service delivery and new revenue. The Stakeholders expressed their unanimous agreement with the document based upon amendments recommended by committee members and stakeholders. The Committee’s recommendation was presented to the Board of Directors at a Special Meeting on October 22, 2010 and approved unanimously by the Board on December 9, 2010.

Downtown Area Shuttle (DASH) Hybrid Bus

APPENDIX B


207

Ad Hoc Financial Recovery Committee Guidance on Operating Expenditure Priorities, Key Financial Principles, and Deficit Reduction Targets

Section I. Financial Stability Policy VTA Transit Fund This Policy establishes guidance on expenditure prioritization and the key principles that VTA shall use to prudently align its operating costs with its available resources. Guidance on Expenditure Prioritization In developing VTA’s Biennial Operating Budget and associated financial plans, VTA shall prioritize its activities for the expenditure of operating funds in the following order. This prioritization guidance shall be used both when budget reductions are required in order to keep spending consistent with available revenues, and when increases in operating revenues permit VTA to devote additional resources to its transit-related activities.

1. Preserving the level of fixed route transit service and paratransit service provided to VTA riders to the greatest extent possible. The service plan shall be developed in accordance with VTA’s Transit Sustainability Policy and service design guidelines and in the best interest of the public.

2. Activities that directly support the provision of transit service, i.e., only those core

operating, management and administrative functions that are necessary and essential to support the provision of the existing level of transit service, both in terms of the types of functions required and level of resources needed to support service. Measured against industry standards and best practices with consideration of efficiencies achieved by reducing layers of management.

3. Support for Regional Partnerships (e.g., Caltrain, ACE, Dumbarton Express, etc.) provided by VTA in consideration of other partners’ contributions.

4. Activities that clearly contribute to increasing and diversifying VTA’s operating funding (e.g., fare programs, joint development, advertising, and other opportunities for earned income).

5. Activities that provide information to riders, employees, stakeholders, and the public.

6. Activities that would prudently and strategically expand VTA transit service, when sustainable revenues are available to support the service growth.


208

Section II. Key Financial Principles The following Key Principles establish a framework for policy direction to the Santa Clara Valley Transportation Authority Board of Directors and staff during the creation of the biennial budget and when addressing the structural deficit in VTA’s operating budget. The Key Principles have been numbered, and organized into two groups:

Principles that are assumed in the development of the annual deficit reduction targets, but are not directly tied to a particular deficit reduction target category; and

Principles that are directly tied to a particular Deficit Reduction target category.

Key Principles Assumed in Development of Deficit Reduction Targets Principle Number 1: Operating Reserve at 15% - VTA shall take the necessary steps to protect its financial liquidity by building and maintaining an Operating Reserve equal to 15% of annual operating expenses, which is equal to just under two months of operating cash flow requirements. To the extent that the Operating Reserve level falls below the 15% target, during the next biennial budget process, VTA must identify measures necessary to reach the 15% threshold within a three-year period, and begin implementation of some or all of those measures during the next biennial budget process. However, to the extent possible, VTA should avoid the implementation of service reductions as a means of achieving the 15% operating reserve target. Principle Number 2: Limit Use of Capital Funding1 - When determining whether to use all or a portion of its eligible capital funding for operating-related purposes, such as preventive maintenance, VTA should attempt to balance the needs of its day to day operations with its longer term needs to preserve, protect, and renew its capital assets, and maintain VTA’s vehicles, facilities, and infrastructure in a “state of good repair.” 100% of eligible capital funding may be used for operating purposes, but should be reviewed on an annual basis. Revenue collected from the 2000 Measure A Sales Tax shall be dedicated to the delivery of the Measure A Capital Projects maintaining the BART Extension to Santa Clara County as the Board’s adopted first priority. The Board policy of committing only a small share of these funds to support transit service shall remain unaltered, to uphold the public commitment to the voters to use these funds for highest-priority capital projects. Principle Number 3: Control Cost Growth – VTA shall take appropriate steps to ensure that its operating costs do not grow faster than its reasonably anticipated operating revenues. Unless required by federal, state or local law, measures that increase operating expenses should not be implemented until the funding for those increases has been identified with reasonable certainty.

1 Note: 2000 Measure A Program – By Board Policy, and in accordance with a Court ruling based on the text of the ballot initiative, a limited amount of revenue collected from the 2000 Measure A Sales Tax may be used to fund VTA’s operations. Increasing the amount of Measure A funds diverted to operations will seriously compromise the VTA’s ability to deliver the projects promised to the voters under this program.


209

Principles Directly Tied to Deficit Reduction Targets Principle Number 4: Achieve Internal Efficiencies – Direct staff to meet the adopted Target Deficit Reduction through a combination of internal efficiencies. Such efficiencies to be achieved through a variety of systemic cost reduction actions, which are not one-time in nature. Such actions may include, but are not limited to, the elimination of unfilled budgeted positions, Deficit Reduction associated with not filling staff positions that become vacant through attrition, other staff reductions, consolidation of services, reductions in ongoing cost commitments, etc. Such reductions shall be achieved to the greatest degree possible in a manner consistent with the preservation of service. Principle Number 5: Negotiate Sustainable Bargaining Unit Agreements – In developing cost reduction strategies and plans, and in negotiating labor agreements, VTA shall work collaboratively with its employee bargaining units to identify ways to protect VTA’s financial condition and liquidity, including ways to control the cost to VTA of employee benefit programs for bargaining unit and non-represented employees, while also preserving the jobs of VTA employees to the extent possible and protecting the quality and integrity of VTA services. Consideration shall be given to partnering with Santa Clara County and other cities within the county to provide the greatest leverage in negotiating with benefit providers. Principle Number 6: Use of Contracted Services –

A) VTA shall periodically evaluate the use of contracted services for the delivery of service on selected VTA transit routes, and the delivery of other services utilized in the course of operating and supporting VTA transit service. In making decisions regarding the use of contracted services, VTA should compare the expected impacts on cost, safety, reliability, and customer service associated with contracted service delivery, and any related long-term financial risks, against the performance and cost of utilizing VTA staff in delivering those same services.

B) With input from stakeholders, contracting principles should be developed and designed to consider the risks and rewards of contracting in and out. These principles should consider multiple service delivery options and contain a method for rigorous cost benefit analysis.

C) This principle includes the provision of contracted services with partner agencies such as Caltrain, Altamont Commuter Express, Dumbarton Express, etc. Such contributions to be reduced proportionally to the total of VTA’s annual operating deficit.

D) VTA shall continually work with contracted service providers (OUTREACH, Santa Clara County Sheriff’s Department, Allied Barton, etc.) to maximize efficiency and control costs.


210

Section III. Annual Deficit Reduction Targets By Category

Category Related Principle Proposed Deficit

Reduction Target Range $

Proposed Deficit Reduction

Target Range % Internal Efficiencies Principle 4 $5-15 million 12.5% - 37.5% Employee Expenses Principle 5 $5-13 million 12.5% - 32.5% Service Delivery Principle 6 $5-12 million 12.5% - 30.0% New Revenue Revenue Enhancement Committee $0-20 million 0.0% - 50.0% Overall Annual Savings Target Principle 3 $20-40 million

Express Light Rail Trains


211

VTA Transit Fund Unrestricted Net Assets/Reserves

Because of the recognized volatility of VTA’s primary revenue source (i.e., sales tax receipts) it is prudent to maintain reserves that enable VTA to survive periodic swings in the economy without impacting service levels to the public and agency employment/compensation levels. It is also prudent to ensure that funds are available to sustain a capital program that maintains VTA’s infrastructure and keeps assets in a state of good repair. The VTA Board of Directors has been proactive in managing VTA’s finances in a manner that protects the interests of the public and helps provide a level of security for VTA’s personnel by designating funds for specific purposes. VTA’s reserves are largely static with adjustments approved by the Board either directly, or through the budget process. Any changes to the policies governing these reserves or the appropriate level of reserves are subject to Board policy decisions. Reserve Accounts The VTA Transit Fund currently maintains three reserve accounts as described below: Operating Reserve It is the policy of VTA to accumulate a prudent level of reserves by building and maintaining an Operating Reserve equal to 15 percent (15%) of the annual operating budget for the VTA Transit Fund. The purpose of this reserve is to ensure that sufficient funds are always available in the event of either unavoidable expenditure needs or unanticipated revenue shortfalls from sources other than sales tax based revenues. The Board formalized this long-standing practice with adoption of the VTA Transit Fund Operating Reserve Policy on April 5, 2012. Sales Tax Stabilization Fund The Sales Tax Stabilization Fund reserve was created by the Board as part of the FY 2012 and FY 2013 Biennial Budget adoption on June 2, 2011 to mitigate the impact of the volatility of sales tax based revenues on service levels and the operating budget. Per the Board policy adopted on April 5, 2012, this reserve may be utilized during development of the biennial budget if sales tax based revenues are projected to decline. This can supplement projected revenues to address any resulting shortfall between revenues and expenditures. In the event sales tax based revenues received for a fiscal year are in excess of the amount budgeted, the excess shall be transferred to the VTA Transit Sales Tax Stabilization Fund up to a maximum balance of $35 million. Debt Reduction Fund The Debt Reduction Fund reserve was established by the Board on February 7, 2008. Per the Board policy also approved on February 7, 2008, this fund may be used to reduce long-term liabilities or provide funding for approved transit-related capital improvements and replacement of capital assets. This reserve is used primarily to fund the local portion of the VTA Transit capital program in order to keep assets in a state of good repair.

APPENDIX C


212

Other Designated Funds In addition to the reserve accounts listed above, there are three other components to the VTA Transit Fund Unrestricted Net Assets that have been restricted by board resolution, contractual requirements, or other practical reasons. Irrevocable Transfer to OPEB (Other Post Employment Benefits) Trust As part of the FY 2012 and FY 2013 Biennial Budget adoption on June 2, 2011, $20.65M was set aside specifically to address unfunded OPEB liabilities. In FY 2013, VTA made a one-time irrevocable transfer of these funds to the OPEB Trust. These funds are dedicated to providing benefits to retirees and their beneficiaries. Per Governmental Accounting Standards Board Statement No. 45 (GASB 45), these funds continue to be reported as Net Assets of VTA. Local Share of Capital Projects This designated fund represents funds previously appropriated for and committed to capital projects. Per VTA Budget Resolution, “Capital appropriations, which are not expended during the fiscal year, shall carry over to successive fiscal years until the projects are completed or otherwise terminated.” The Local Share of Capital Projects designation represents the locally funded portion of this carryover. The Budget Resolution also states that “The locally funded portion of the VTA Transit Fund capital appropriation carryover shall be set-aside as a designation of Unrestricted Net Assets in the Comprehensive Annual Financial Report.” Detail of the total FY 2015 projected carryover including the local share can be found on pages 137-143. Inventory and Prepaid Expenses This component of net assets represents the value of parts inventory and the prepayment of expenses which are not liquid or otherwise unavailable for use. Unrestricted Net Assets Status The table on the following page shows the VTA Transit Fund Unrestricted Net Assets as reported in the FY 2014 Comprehensive Annual Financial Report as well as the projected balances for FY 2015 through FY 2017.


213

VTA Transit Fund Unrestricted Net Assets


Fund FY141 FY152 Projected

FY162 Projected

FY172 Projected

Reserves: Operating Reserve 59,827 62,937 63,547 59,736 Sales Tax Stabilization Fund 35,000 35,000 35,000 35,000 Debt Reduction Fund 101,948 134,433 53,698 76,142

Total Reserves 196,775 232,370 152,245 170,878 Other Designated Funds: Irrevocable Transfer to OPEB Trust 20,650 20,650 20,650 20,650 Local Share of Capital Projects 111,831 85,885 145,366 111,240 Inventory and Prepaid Expenses3 21,288 21,288 21,288 21,288

Total Other Designated Funds 153,769 127,823 187,304 153,178

Total Unrestricted Net Assets 350,544 360,192 339,550 324,056


1 Per 2014 Comprehensive Annual Financial Report 2 Projection as of August 1, 2015; Preliminary Unaudited 3 Balance projected to remain stable over time


214

VTA Administrative Code requires that the recommended budget include a list of all employee position classifications and pay ranges. The table below lists the minimum and maximum annual salary for each VTA job classification as of March 6, 2015 as presented in the FY 2016 and FY 2017 Proposed Budget.

Job Classifications and Pay Range

Job Classification Minimum Annual Salary

Maximum Annual Salary

Accessible Services Program Manager 96,672 117,539 Accountant Assistant 54,807 66,238 Accountant I 58,251 70,463 Accountant II 64,358 77,871 Accountant III 75,778 92,061 Accounts Payable Support Supervisor 62,313 75,778 Administrative Services Assistant 48,429 63,926 Administrator of Social Media & Electronic Communications 101,520 123,415 Assistant Architect 78,024 94,879 Assistant Board Secretary 86,951 114,776 Assistant Cost & Schedule Coordinator 78,024 94,879 Assistant Counsel 100,651 132,860 Assistant General Counsel 156,118 206,076 Assistant Real Estate Agent 66,845 80,880 Assistant Supt, Service Management 92,061 111,927 Assistant Supt, Transit Communications 92,061 111,927 Assistant Systems Design Engineer 78,024 94,879 Assistant Transportation Engineer 78,024 94,879 Associate Architect 90,801 110,330 Associate Counsel 64,909 85,680 Associate Environmental Engineer 90,801 110,330 Associate Financial Analyst 65,423 79,545 Associate Financial Analyst - NR 64,909 85,680 Associate Human Resources Analyst 64,909 85,680 Associate Land Surveyor 79,545 96,672 Associate Management Analyst 65,423 79,545 Associate Mechanical Engineer 90,801 110,330 Associate Real Estate Agent 82,443 99,834 Associate Systems Design Engineer 90,801 110,330 Associate Systems Engineer 90,801 110,330 Associate Transportation Engineer 90,801 110,330 Automotive Attendant 42,277 51,046 Board Assistant 58,801 71,157 Board Secretary 128,457 169,563 Bus Stop Maintenance Worker 46,908 56,659

APPENDIX D


215



Business Systems Analyst I 64,039 77,494 Business Systems Analyst II 77,494 93,816 Buyer Assistant 47,573 57,469 Buyer I 52,522 63,431 Buyer II 62,245 75,353 Buyer III 69,161 83,658 Chief Financial Officer 189,775 250,503 Chief Information Officer 156,118 206,076 Chief of Staff to the General Manager 148,704 196,288 Chief Operating Officer 172,135 227,219 Claims Analyst 75,134 99,176 Claims Program Manager 91,296 120,510 Communications Systems Analyst I 64,039 77,494 Communications Systems Analyst II 77,494 93,816 Communications Systems Manager 101,520 123,415 Community Outreach Supervisor 79,545 96,672 Construction Contracts Administrator I 64,039 77,494 Construction Contracts Administrator II 80,533 97,490 Construction Contracts Compliance Officer 92,061 111,927 Construction Inspector 68,495 82,848 Contracts Administrator I 64,039 77,494 Contracts Administrator II 80,533 97,490 Contracts Manager 101,520 123,415 Contracts Program Manager 96,672 117,539 Cost & Schedule Coordinator 90,801 110,330 Creative Services Manager 96,672 117,539 Customer Services Supervisor 75,778 92,061 Database Administrator I 64,039 77,494 Database Administrator II 77,494 93,816 Deputy Director 141,607 186,921 Design Build Construction Administration Manager 116,495 153,773 Director of Business Services 156,118 206,076 Director of Engineering & Transportation Infrastructure Development 180,738 238,574 Director of Government Affairs & Executive Policy Advisor 128,457 169,563 Director of Planning & Program Development 172,135 227,219 Director of Public Affairs & Marketing 148,704 196,288 Director of System Safety & Security 141,607 186,921 Disadvantaged Business Enterprise Program Manager 92,061 111,927 Disbursements Manager 100,651 132,860 Dispatcher 51,314 73,299 Diversity & Inclusion Manager 105,662 139,474 Document Systems Supervisor 79,545 96,672 Electrician 72,199 87,332


216



Electro - Mechanic 72,134 81,973 Electronic Technician 72,134 81,973 Employee Relations Manager 105,662 139,474 Engineering Aide 51,046 61,666 Engineering Group Manager 128,457 169,563 Engineering Technician I 55,849 67,482 Engineering Technician II 62,852 76,077 Engineering Technician III 71,476 86,494 Environmental Health & Safety Specialist 83,253 100,818 Environmental Health & Safety Supervisor 87,687 106,605 Environmental Planner I 57,181 69,161 Environmental Planner II 68,495 82,848 Environmental Planner III 82,038 99,372 Executive Assistant to the General Manager 64,909 85,680 Executive Secretary 58,885 77,728 Facilities Maintenance Coordinator 92,061 111,927 Facilities Maintenance Manager 100,651 132,860 Facilities Maintenance Representative 62,852 76,077 Facilities Worker 39,187 55,994 Fare Inspector 46,322 66,186 Financial Accounting Manager 100,651 132,860 Financial Analyst 75,778 92,061 Financial Analyst -NR 75,134 99,176 Fiscal Resources Manager 122,346 161,496 Foreperson - LRT 78,624 89,336 General Counsel 206,000 206,000 General Maintenance Mechanic 62,852 76,077 General Manager/CEO 307,661 307,661 Government Affairs Manager 122,346 161,496 Graphic Designer I 56,110 67,800 Graphic Designer II 64,936 78,623 Human Resources Administration Manager 105,662 139,474 Human Resources Administrator 68,153 89,962 Human Resources Analyst 75,134 99,176 Human Resources Assistant 50,861 67,137 Information Services Representative 40,997 58,573 Information Systems Analyst Assistant 55,849 67,482 Information Systems Analyst I 64,039 77,494 Information Systems Analyst II 77,494 93,816 Information Systems Supervisor 101,520 123,415 Investment Program Manager 101,520 123,415 Janitor 40,570 48,904 Junior Cost & Schedule Coordinator 71,772 87,193


217



Junior Real Estate Agent 59,669 72,199 Junior Systems Design Engineer 71,772 87,193 Junior Transportation Engineer 71,772 87,193 Labor Relations Program Manager 100,651 132,860 Lead Bus Stop Maintenance Worker 49,859 60,248 Lead Document Control Clerk 49,628 59,929 Lead Maint Worker - LRT 41,142 58,760 Lead Reprographics Services Specialist 51,538 62,245 Lead Storekeeper 53,014 64,039 Legal Secretary 61,810 81,589 Light Rail Equipment Superintendent 101,520 123,415 Light Rail Operator 45,261 64,667 Light Rail Power Foreperson 91,416 103,875 Light Rail Power Supervisor 96,672 117,539 Light Rail Signal Maintainer 79,375 96,102 Light Rail Signal Supervisor 92,061 111,927 Light Rail Technical Trainer 83,498 101,520 Light Rail Technical Training Supervisor 92,061 111,927 Light Rail Track Maintenance Supervisor 83,498 101,520 Light Rail Way, Power & Signal Superintendent 101,520 123,415 Light Rail Way, Power & Signal Supervisor 96,672 117,539 Mail Messenger 42,914 51,799 Maintenance Worker - LRT 39,187 55,994 Maintenance Instructor 87,687 106,605 Maintenance Scheduler 59,929 72,517 Maintenance Superintendent 101,520 123,415 Management Aide 57,597 70,034 Management Aide -NR 58,885 77,728 Management Analyst 75,778 92,061 Management Analyst - NR 75,134 99,176 Management Secretary 53,411 70,502 Manager of Security Programs 105,662 139,474 Manager, Construction Inspection 105,023 127,657 Manager, Highway Construction Contracts 92,061 111,927 Manager, Market Development 106,605 129,580 Manager, Operations Analysis, Reporting & Systems 101,520 123,415 Manager, Public Affairs & Customer Information 101,520 123,415 Manager, Real Estate & Project Administration 122,346 161,496 Materials & Warranty Manager 101,520 123,415 Materials Resource Scheduler 52,522 63,431 Media Spokesperson 95,843 126,513 Network Analyst I 64,039 77,494 Network Analyst II 77,494 93,816


218



Office & Timekeeping Technician 49,165 59,380 Office Specialist I 41,699 50,322 Office Specialist II 46,705 56,370 Office Support Supervisor 62,313 75,778 Operations Manager 122,346 161,496 Operations Systems Supervisor 87,687 106,605 Operator 38,792 64,667 Operator - Trainee 32,344 n/a Overhaul & Repair Foreperson 78,624 89,336 Overhaul & Repair Mechanic 72,134 81,973 Overhead Line Worker 84,739 96,304 Paint & Body Foreperson 78,624 89,336 Paint & Body Worker 72,134 81,973 Paralegal 61,810 81,589 Parts Clerk 45,074 64,397 Parts Foreperson 70,158 79,726 Passenger Facilities & Wayside Maintenance Supervisor 75,778 92,061 Payroll Support Supervisor 62,313 75,778 Permit Technician 57,730 69,797 Policy & Administrative Manager - Operations 100,651 132,860 Policy & Community Relations Manager 105,662 139,474 Principal Construction Inspector 92,061 111,927 Principal Environmental Planner 106,605 129,580 Principal Transportation Planner 106,605 129,580 Procurement & Materials Manager 116,495 153,773 Programmer I 64,039 77,494 Programmer II 81,662 98,880 Project Controls Group Manager 128,457 169,563 Project Controls Specialist I 64,039 77,494 Project Controls Specialist II 77,494 93,816 Project Controls Supervisor 106,605 129,580 Public Communication Specialist I 64,039 77,494 Public Communication Specialist II 69,797 84,468 Public Relations Supervisor 87,687 106,605 Purchasing & Materials Manager 122,346 161,496 Purchasing Manager 101,520 123,415 Quality Assurance & Warranty Manager 96,672 117,539 Quality Assurance & Warranty Specialist 75,353 91,182 Reprographics Services Specialist I 42,914 51,799 Reprographics Services Specialist II 48,442 58,540 Revenue Services Manager 101,520 123,415 Safety Manager 100,651 132,860 Sales & Promotions Supervisor 79,545 96,672


219



Secretary 51,046 61,666 Service Mechanic 45,822 65,458 Service Worker 44,138 63,045 Service Worker - Foreperson 47,528 67,891 Sr Accountant 87,687 106,605 Sr Advisor, Business Development 156,118 206,076 Sr Architect 106,197 129,071 Sr Assistant Counsel 122,346 161,496 Sr Associate Counsel 82,809 109,308 Sr Business Systems Analyst 90,256 109,413 Sr Communications Systems Analyst 90,256 109,413 Sr Construction Contracts Administrator 92,061 111,927 Sr Construction Inspector 74,977 90,719 Sr Construction Inspector - Lead 79,752 96,565 Sr Contracts Administrator 92,061 111,927 Sr Cost & Schedule Coordinator 106,197 129,071 Sr Database Administrator 90,256 109,413 Sr Environmental Engineer 106,197 129,071 Sr Environmental Planner 96,672 117,539 Sr Financial Analyst 87,687 106,605 Sr Financial Analyst (NR) 86,951 114,776 Sr Human Resources Analyst 86,951 114,776 Sr Information Representative 56,555 64,272 Sr Information Systems Analyst 90,256 109,413 Sr Land Surveyor 92,061 111,927 Sr Management Analyst 87,687 106,605 Sr Mechanical Engineer-Auto Systems 106,197 129,071 Sr Network Analyst 90,256 109,413 Sr Policy Analyst 95,843 126,513 Sr Programmer 90,256 109,413 Sr Real Estate Agent 96,672 117,539 Sr Signal Maintainer 87,332 105,824 Sr Systems Administrator 90,256 109,413 Sr Systems Design Engineer 106,197 129,071 Sr Systems Engineer 106,197 129,071 Sr Track Worker 72,134 81,973 Sr Transportation Engineer 106,197 129,071 Sr Transportation Planner 96,672 117,539 Sr Web Developer 90,256 109,413 Storekeeper 49,859 60,248 Substation Maintainer 84,739 96,304 Supervising Maintenance Instructor 92,061 111,927 Support Mechanic 47,528 67,891


220



Survey & Mapping Manager 106,605 129,580 SVRT Project Controls Manager 122,346 161,496 Systems Administrator I 64,039 77,494 Systems Administrator II 77,494 93,816 Systems Design Manager 111,927 136,062 Technical Project Manager 90,256 109,413 Technical Trainer 83,498 101,520 Technical Training Supervisor 92,061 111,927 Technology Infrastructure Supervisor 101,520 123,415 Technology Manager 122,346 161,496 Track Worker 62,046 70,512 Transit Center Maintenance Worker 46,908 56,659 Transit Division Supervisor 83,498 101,520 Transit Foreperson 78,624 89,336 Transit Maintenance Supervisor 92,061 111,927 Transit Mechanic 72,134 81,973 Transit Mechanic - G 62,046 70,512 Transit Radio Dispatcher 51,314 73,299 Transit Safety Officer 83,498 101,520 Transit Service Development Aide 49,628 59,929 Transit Service Development Specialist I 54,547 65,919 Transit Service Development Specialist II 63,431 76,800 Transit Service Development Supervisor 83,498 101,520 Transit Systems Safety Supervisor 87,687 106,605 Transportation Engineering Manager 111,927 136,062 Transportation Planner I 57,181 69,161 Transportation Planner II 68,495 82,848 Transportation Planner III 82,038 99,372 Transportation Planning Aide 47,573 57,469 Transportation Planning Manager 110,963 146,471 Transportation Superintendent 101,520 123,415 Transportation Supervisor 83,498 101,520 Upholsterer 72,134 81,973 Upholstery Foreperson 78,624 89,336 Utilities Coordination Manager 92,061 111,927 Utility Coordinator 74,977 90,719 Utility Worker 44,535 53,766 Vault Room Worker 44,998 54,286 Vehicle Parts Supervisor 83,498 101,520 Warranty Coordinator 92,061 111,927 Web Developer I 64,039 77,494 Web Developer II 77,494 93,816


221

VTA Transit Revenue and Expense Category Descriptions

Line Category Description

1 Fares Fares from bus, light rail, & VTA operated shuttles 2 1976 Half-Cent Sales Tax 1976 half-cent sales tax 3 TDA Transportation Development Act (TDA), derived from a

quarter-cent sales tax, limited to development & support of public transit

4 Measure A Sales Tax-Operating Assistance

Portion of 2000 Measure A half-cent sales tax allocated to fund VTA operating and maintenance costs (18.5%)

5 STA State Transit Assistance (STA)—Sales tax on gasoline & diesel fuel distributed based on population & annual transit operator revenues

6 Federal Operating Grants Primarily from Section 5307 of MAP-21 (Moving Ahead for Progress in the 21st Century Act-2012) for Preventive Maintenance

7 State Operating Grants AB 434 Transportation Fund for Clean Air (TFCA) Program grants derived from vehicle registration fees used to fund light rail and ACE shuttles; grant for low income fare program

8 Investment Earnings Earnings on investments 9 Advertising Income Advertising on vehicles and bus shelters

10 Measure A Repayment Obligation Payment to VTA for debt service incurred on behalf of 2000 Measure A projects

11 Other Income Property rental; permit fees; parking citations; ACE shuttle revenue

12 Transfer for Capital Set-aside of revenues to fund future Capital needs 13 Debt Reduction Fund Contribution Supplemental funding for future Capital needs 14 Total Revenue Sum of lines 1 to 13 15 Labor Costs Wages & fringe benefits for all employees 16 Materials & Supplies Vehicle parts; fasteners; small tools; maintenance

supplies; lubricants; oils; fluids; gasoline for non-revenue vehicles; propane; janitorial & safety supplies

17 Security Allied Barton & Santa Clara County Sheriff’s contracts 18 Professional & Special Services Outside consulting & specialized professional services;

auditors; special studies 19 Other Services Outside repair; laundry service; towing; ads & promotion;

external printing 20 Fuel Diesel, bio-diesel, and gasoline for revenue vehicles 21 Traction Power Electricity cost for light rail system 22 Tires Tires for revenue vehicles 23 Utilities Non-traction power electricity; gas; water; trash 24 Insurance Property & Casualty premiums and self-insurance annual

reserve 25 Data Processing Software license fees and PC/hardware purchases 26 Office Expense Office supplies

APPENDIX E


222

Line Category Description 27 Communications Telephone, Wi-Fi, and cell phone usage 28 Employee Related Expense Mileage, parking, and toll reimbursements; professional

licenses; education & training; workshops; travel; employee recognition costs; operators' drivers licenses

29 Leases & Rents Equipment leases (reproduction equipment) and property rentals (such as transit centers)

30 Miscellaneous Books & subscriptions; Board member expenses; legal notices; membership dues; in-house printing costs; postage

31 Reimbursements Reimbursement of staff labor & indirect costs or overhead for staff time spent in support of projects and programs

32 Subtotal Operating Expense Sum of lines 15 to 31 33 Paratransit OUTREACH contract (expenses net of revenues) 34 Caltrain VTA costs associated with providing Caltrain rail service

operating between San Francisco & Gilroy 35 Light Rail Shuttles Contract costs associated with providing Light Rail

Shuttle Program linking light rail stations with employment centers

36 Altamont Commuter Express VTA costs associated with Altamont Commuter Express (ACE)

37 Highway 17 Express VTA costs associated with providing Highway 17 Express bus service

38 Monterey-San Jose Express VTA costs associated with providing Monterey to San Jose Express bus service

39 Contribution to Other Agencies Managing Agency (VTA) contribution to Congestion Management Program; payment to BART for administering the Regional Transit Connection Discount Card Program (RTC) for paratransit passenger IDs; payments to cities for a portion of the revenue generated from bus shelter advertising; reimbursement to other agencies for Eco-Pass usage; payment to Santa Clara County for low-income fare program

40 Debt Service Interest; principal; other bond charges 41 Subtotal Other Expense Sum of lines 33 to 40 42 Operating and Other Expense Line 32 plus line 41 43 Contingency Organization-wide contingency fund for urgent and

unexpected programs 44 Total Expenses & Contingency Lines 42 plus line 43 45 Operating Balance Line 14 minus line 44


223

2000 Measure A Transit Improvement Program Revenue and Expense Category Descriptions


1 2000 Half-Cent Sales Tax 2000 Measure A half-cent sales tax 2 Federal BABs Subsidy Federal subsidy on Build America Bonds (BABs) 3 Investment Earnings Earnings on investments 4 Other Income Property rental 5 Total Revenue Sum of lines 1 to 4 6 VTA Operating Assistance Portion of 2000 Measure A half-cent sales tax allocated

to fund VTA operating and maintenance costs (18.5%) 7 Professional & Special Services Outside consulting and specialized professional

services; auditors; special studies 8 Miscellaneous Legal notices and printing for Citizens Watchdog

Committee 9 Contributions to Other Agencies Payment for operating contribution for phase II ZEB

project, light rail signage replacement 10 Debt Service Interest; principal; other bond charges 11 Repayment Obligation Payment to VTA for debt service incurred on behalf of

2000 Measure A projects 12 Other Expense Bad debt expense 13 Total Expense Sum of lines 6 to 12 14 Revenues Over (Under) Expenses Line 5 minus line 13

APPENDIX F


224

Congestion Management Program Revenue and Expense Category Descriptions


1 Federal Operating Grants Surface Transportation Program Planning grant 2 State Operating Grants Transportation Fund for Clean Air 40% Local Program

Manager Administrator fees and SB 45 Programmed Project Monitoring Funds

3 Investment Earnings Earnings on investments 4 Member Agency Fees Fees paid by the County of Santa Clara, the 15 cities,

and the managing agency (VTA) 5 Other Income Revenues received for providing CMP’s Regional

Transportation Model to other entities and reimbursement for administration of SB 83 Vehicle Registration Fee Program

6 Total Revenue Sum of lines 1 to 5 7 Professional & Special Services Outside consulting and specialized professional services 8 Other Services Ads & promotion; external printing 9 Data Processing Specialized PC hardware and software

10 Miscellaneous Printing and reproduction services 11 Contribution to Other Agencies Contribution for multimodal trip data collector,

integrated land use/transportation model, and countywide bike plan update

12 VTA Staff Services Labor, benefits, and allocation of indirect costs for VTA staff providing support of Congestion Management Program and SB 83 Vehicle Registration Fee Program

13 Total Expense Sum of lines 7 to 12 14 Revenues Over (Under) Expenses Line 6 minus line 13

APPENDIX G


225

Joint Development Program Revenue and Expense Category Descriptions


1 Investment Earnings Earnings on investments 2 Property Rental Rental income from VTA owned properties 3 Proceeds from Sale of Property Proceeds from sale of property 4 Total Revenue Sum of lines 1 to 3 5 Professional & Special Services Specialized professional services 6 Miscellaneous Printing and reproduction services 7 Total Expense Sum of lines 5 and 6 8 Revenues Over (Under) Expenses Line 4 minus line 7


Revenue and Expense Category Descriptions

Line Category Description 1 Toll Revenues Tolls collected from express lane users 2 Investment Earnings Earnings on investments 3 Total Revenue Sum of line 1 and 2 4 Professional & Special Services Toll collection administration fees; toll collection

system maintenance; enforcement 5 Utilities Electricity and communications 6 Insurance Property & Casualty premiums 7 Communications Data lines 8 Miscellaneous Membership dues 9 VTA Staff Services Labor, benefits, and allocation of indirect costs for

VTA staff providing support of Silicon Valley Express Lanes Program

10 Total Expense Sum of lines 4 to 9 11 Revenues Over (Under) Expenses Line 3 minus line 10

BART Operating Sales Tax Program

Revenue and Expense Category Descriptions

Line Category Description 1 Sales Tax Revenues 2008 Measure B eighth-cent sales tax 2 Investment Earnings Earnings on investments 3 Total Revenue Sum of lines 1 and 2 4 Professional & Special Services Specialized professional services 5 Total Expense Sum of line 4 6 Revenues Over (Under) Expenses Line 3 minus line 5

APPENDIX H


226

1996 Measure B Transportation Improvement Program

Overview In November 1996, the voters in Santa Clara County approved Measure A, an advisory measure listing an ambitious program of transportation improvements for Santa Clara County. Also approved on the same ballot, Measure B authorized the County Board of Supervisors to collect a nine-year half-cent sales tax for general county purposes. Subsequently, the County Board of Supervisors adopted a resolution dedicating the tax for Measure A projects. Collection of the tax began in April 1997. However, use of the revenue was delayed pending the outcome of litigation challenging the legality of the sales tax. In August 1998, the California courts upheld the tax allowing the implementation of the Measure A transportation projects to move forward. In February 2000, the VTA Board of Directors approved a Master Agreement formalizing the partnership with the County of Santa Clara to implement the 1996 Measure B Transportation Improvement Program (1996 MBTIP). With this partnership in place, the County and VTA were in a position to complete a transportation program valued at over $1.4 billion. VTA was responsible for project implementation and management of the transit and highway projects and assisted in the administration of the pavement management and bicycle elements of the program. The Measure B sales tax expired on March 31, 2006. Subsequent to expiration of the tax, VTA executed two amendments to the Master Agreement; one to allocate Measure B funding for station improvements at the Palo Alto and California Avenue Caltrain stations, and one to define the financial terms and responsibilities to complete the 1996 MBTIP. This final amendment, No. 20, takes into consideration the projects still in progress, reconciles remaining payments between VTA and the County, and establishes priorities in the event that remaining contracts are closed-out under budget. Pursuant to the amendment, the County made a lump sum payment to VTA for the completion of the projects remaining to be advertised and closed out. There are no new funds appropriated to this program as part of the FY 2016 and FY 2017 budget. With the exception of the Combined Biological Mitigation Site (CBMS) Project, it is anticipated that all remaining 1996 MBTIP projects will be completed and closed out by the end of FY 2016. The CBMS and Habitat Conservation Plan/NCCP Projects are scheduled to close out by the end of FY 2017.

APPENDIX I


227

1996 Measure B Transportation Improvement Program Total Available Appropriation

Capital project appropriations do not expire at the end of the fiscal year and are carried forward until the project is completed. Capital carryover is defined as appropriation that is unspent at the end of the fiscal year. The following table reflects the projected carryover at June 30, 2015 for the 1996 Measure B Transportation Improvement Program.



A

Adopted Budget

Through FY15

B


Through FY151

C=(A-B)

Projected FY15

Capital Carryover

P-0189 85 & 101 Interchange Mt. View Fund Exchange 27,154 27,135 19 1996 Measure B 101,389 101,389 0 Total 128,543 128,524 19

P-0273 Route 152 Project City 5,494 5,494 0 1996 Measure B 18,957 18,402 555 Total 24,451 23,896 555

Highway Total 152,994 152,420 575 P-0002 Vasona Light Rail Federal 61,505 61,505 0

State 15,000 15,000 0 City 580 580 0 Fund Exchange 1,644 1,644 0 Other 56,417 56,417 0 1996 Measure B 161,332 161,241 91 VTA Transit 16,500 16,500 0

Total 312,977 312,886 91 Rail Facility Expansion Total 312,977 312,886 91

P-0274 Combined Biological Mitigation Site 1996 Measure B 6,986 6,466 520 P-0560 Santa Clara Valley HCP / NCCP Fund Exchange 150 150 0

1996 Measure B 1,280 1,244 36

Total 1,430 1,394 36 P-0652 Measure B Close Out 1996 Measure B 8,956 3,600 5,356

Miscellaneous Total 17,372 11,460 5,912 Grand Total 483,344 476,766 6,578



VT

A FY

2010 & FY

2011 AD

OPT

ED

BIE

NN

IAL

BU

DG

ET


228

VTA/ATU Pension Plan

All VTA employees represented by Amalgamated Transit Union, Local 265 (ATU) are covered by the VTA/ATU Pension Plan. The Pension Plan and Pension contract are administered and enforced by the Board of Pensions. The Board of Pensions is composed of seven Trustees, three appointed by ATU, three appointed by VTA, and one jointly appointed by ATU and VTA. The Board of Pensions oversees, directs, and administers the Pension contract and its funds. The table below shows the FY 2016 and FY 2017 VTA/ATU Pension Plan Budget adopted by the Board of Pensions.

VTA/ATU Pension Plan Comparison of Revenues and Expenses


Lin

e

Category FY 2016 Adopted Budget

FY 2017 Adopted Budget

% Var

1 VTA Employer Contribution 25,720 25,720 0.0% 2 Investment Earnings 37,157 39,944 7.5% 3 Total Revenue 62,877 65,664 4.4% 4 Pension Payments to Retirees 34,948 38,340 9.7% 5 Professional & Special Services 2,888 3,032 5.0% 6 Total Expense 37,835 41,372 9.3%

7 Surplus/(Deficit) to Fund Balance 25,042 24,293


APPENDIX J


229

Santa Clara County Demographic and Economic Information

General Information

The County of Santa Clara (the "County") lies immediately south of San Francisco Bay and is the sixth most populous county in the State of California (the "State"). It encompasses an area of approximately 1,300 square miles. The County was incorporated in 1850 as one of the original 28 counties of the State and operates under a home rule charter adopted by County voters in 1950 and amended in 1976. The southern portion of the County has retained the agricultural base which once existed throughout the area and has two cities, separated by roughly 10 miles. The northern portion of the County is densely populated, extensively urbanized and heavily industrialized. The County contains 15 cities, the largest of which is the City of San Jose, the third largest city in the State and the County seat. The uppermost northwestern portion of the County, with its concentration of high-technology, electronics-oriented industry, is popularly referred to as the "Silicon Valley”. Large employers include Apple Inc., Cisco Systems Inc., Google Inc., and Oracle Corporation. Neighboring counties include San Mateo in the northwest, Santa Cruz in the southwest, San Benito in the south, Merced and Stanislaus in the east, and Alameda in the northeast. The City of San Jose is approximately 50 miles south of San Francisco and 42 miles south of the City of Oakland. These are the three largest cities of the nine-county San Francisco Bay Area, with the City of San Jose being the largest.

Downtown San Jose and Eastern Santa Clara County Foothills

APPENDIX K


230

Population

Historical Population Growth Over the past 60 years, the County’s population growth pattern has exhibited three decades of rapid growth followed by three decades of more sustainable growth rates. According to U.S. Census figures, the number of County residents grew by 66% between 1940 and 1950, with most of the increase concentrated in the unincorporated areas and in the largest cities of San Jose, Palo Alto and Santa Clara. In the next decade, from 1950 to 1960, population grew by 121% with every major city, as well as the unincorporated areas experiencing huge increases. The County also recorded the incorporation of four new cities during the 1950s, raising the total number of cities to its current level of fifteen. The County’s population growth subsided somewhat during the 1960s, although the 66% growth rate was over four times the 15.4% statewide increase. The population of San Jose doubled for the second decade in a row, while the cities of Mountain View, Santa Clara, and Sunnyvale added at least 23,000 residents each. As a result of the incorporation of four cities, the unincorporated area of the County posted its first decline in the 1960s, setting the stage for further drops in each of the subsequent three decades. The County population growth rate fell to 21.5% during the 1970s. San Jose continued to add more residents (183,621) than any other city, while two of the larger cities (Palo Alto and Santa Clara) recorded small population declines and residents in the unincorporated area fell by 25,160. The slower growth of the 1970s reflected a slowing urbanization, due in part to policies adopted by the County to preserve agricultural areas. The data from the 2010 U.S. Census indicate that the County’s population reached 1,781,642, representing a 37.6% increase from the population base in 1980, an average rate of 11.2% per Census count. Over the same period, statewide population grew more rapidly at a rate of 16.3%. San Jose surpassed San Francisco as the largest city in the Bay Area, with a population of 945,942. According to the 2010 census data, over one-half of the County’s residents live in San Jose. The proportion of residents living in cities is currently 95.4%, in contrast to the County’s makeup in 1940 when urban residents made up only 6.5% of the County’s population. Since the 1940s, the increasing maturation of the County’s employment and economic sectors has resulted in the incorporation of new cities, as well as the expansion of city boundaries, resulting in a shrinking fraction (currently 4.6%) of residents living in unincorporated areas. Recent Annual Population Performance Between 2010 and 2015, the County population grew another 6.1%. All of the cities in the County experienced growth during this period, with the City of Morgan Hill posting the fastest growth (10.3%). The number of residents living in the unincorporated areas of the County declined 3.1% from 2010 to 2015. Currently, approximately 4.6% of the County residents live in unincorporated areas, a percentage which has steadily decreased over time as the population continues to migrate toward the cities.


231

By the year 2025, the State Department of Finance predicts that the County’s population will grow by approximately 169,400 residents, a 9.0% increase from 2015. (Source: State of California, Department of Finance, Demographic Research Unit (Report P-1). The table below provides a historical summary of population in the County and its incorporated cities.

County of Santa Clara Population City 1970 1980 1990 2000 2010 20151 Campbell 24,731 26,843 36,088 38,138 39,349 41,857 Cupertino 18,216 34,297 39,967 50,602 58,302 59,756 Gilroy 12,665 21,641 31,487 41,464 48,821 53,000 Los Altos 24,872 25,769 26,599 27,693 28,976 30,036 Los Altos Hills 6,862 7,421 7,514 8,025 7,922 8,341 Los Gatos 23,466 26,906 27,357 28,592 29,413 30,505 Milpitas 27,149 37,820 50,690 62,698 66,790 72,606 Monte Sereno 3,074 3,434 3,287 3,483 3,341 3,451 Morgan Hill 6,485 17,060 23,928 33,586 37,882 41,779 Mountain View 54,206 58,655 67,365 70,708 74,066 77,914 Palo Alto 55,999 55,225 55,900 58,598 64,403 66,932 San Jose 445,779 629,400 782,224 895,131 945,942 1,016,479 Santa Clara 87,717 87,700 93,613 102,361 116,468 120,973 Saratoga 27,199 29,261 28,061 29,849 29,926 30,799 Sunnyvale 95,408 106,618 117,324 131,844 140,081 148,028 Unincorporated 152,181 127,021 106,173 99,813 89,960 87,182

County Total 1,066,009 1,295,071 1,497,577 1,682,585 1,781,642 1,889,638

California 18,136,045 23,668,145 29,760,021 33,873,086 37,253,956 38,714,725

Source: U.S. Census 1970-2010; State of California, Department of Finance, Demographic Research Unit (E-4 Population Estimates for Cities, Counties and State, 2011-2015, with 2010 Benchmark).

1 As of January 1, 2015.


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Employment and Industry

The County is home to a highly skilled and diverse work force, a situation that has traditionally translated into lower unemployment rates in the County when compared to state and national average unemployment rates. Four major industry sectors account for nearly 70% of the County’s employment for 2014: Professional & Business Activities (202,600); Goods Producing (195,000); Education & Health Services (149,700); and Trade, Transportation & Utilities (134,400). Development of high technology has been enhanced by the presence of Stanford University, Santa Clara University, San Jose State University, other institutions of higher education, and research and development facilities within the County. The table below lists wage and salary employment in the County by Industry.


Average Annual Employment by Industry (In Thousands)

2009 2010 2011 2012 2013 2014 Civilian Labor Force 875.0 926.9 940.6 961.5 975.0 995.3

Employment 782.4 830.5 853.2 885.2 911.4 943.5 County Unemployment 92.6 96.4 87.4 76.3 63.7 51.7

Unemployment Rate: County 10.6% 10.4% 9.3% 7.9% 6.5% 5.2% State of California 11.2% 12.2% 11.7% 10.4% 8.9% 7.5%

Industry Employment Total, All Industries 858.8 856.2 876.7 911.4 950.4 993.4

Total Farm 3.5 3.5 3.4 3.3 3.3 3.4 Total Non-farm 855.3 852.6 873.3 908.1 947.1 990.1

Goods Producing 185.0 180.5 183.7 187.4 189.7 195.0 Mining & Logging 0.2 0.2 0.2 0.2 0.3 0.3 Construction 33.4 31.4 30.9 33.9 36.4 38.3 Manufacturing 151.4 149.0 152.6 153.3 153.1 156.3

Service Providing 670.4 672.1 689.6 720.7 757.4 795.1 Trade, Transportation & Utilities 124.3 123.1 125.1 129.2 132.2 134.4 Information 43.8 46.4 51.2 54.1 58.6 66.3 Financial Activities 31.2 30.8 32.1 33.0 33.5 34.8 Professional & Business Services 159.9 160.2 166.0 177.2 190.1 202.6 Education & Health Services 120.2 122.4 124.9 132.7 142.7 149.7 Leisure & Hospitality 73.5 73.8 76.3 81.3 86.3 90.5 Other Services 24.1 23.9 24.1 24.4 25.0 26.0 Government 93.5 91.5 89.9 88.7 89.0 90.9

Note: Totals may not be precise due to independent rounding. Source: State of California Employment Development Department. Data based on March 2014 Benchmark.


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Major Employers

The County, which is centered in the heart of Silicon Valley, is home to numerous high technology and computer software and hardware manufacturing companies. According to the Silicon Valley Business Journal, as of May 15, 2014, Apple Inc., a consumer electronics company, was the largest employer in the Silicon Valley with upwards of 16,000 employees. Among Public-sector employers, the County ranks as number one, employing 15,800 workers. The following tables list the 10 largest private-sector and public-sector employers in the Silicon Valley, which encompasses the County and surrounding areas.

10 Largest Private-Sector Employers Silicon Valley

Employer Name Employees Nature of Operations

Apple Inc. 16,000 Consumer electronics Cisco Systems Inc. 15,633 Design, manufacture and

sell networking equipment Kaiser Permanente Northern California 13,500 Integrated healthcare

delivery plan Stanford University 11,707 Research university Google, Inc. 11,000 Search, advertising and web

software Oracle Corp. 8,000 Hardware and software,

cloud Stanford Hospital & Clinics 7,689 Health system Lockheed Martin Space Systems Co. 7,000 Aerospace Intel Corp. 6,277 Semiconductors eBay Inc. 4,700 Online marketplace

Source: Silicon Valley Business Journal, 2014-2015 Book of Lists, December 26, 2014.


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10 Largest Public-Sector Employers Silicon Valley

Employer Name Employees Nature of Operations

Santa Clara County 15,800 County government Santa Clara Valley Health & Hospital System 6,462 Public healthcare system City of San Jose 4,705 Government agency County of Monterey 4,647 County government U.S. Postal Service 4,500 Mail service San Jose State University 3,740 Public university Department of Veteran Affairs 3,000 Government healthcare system University of California, Santa Cruz 3,000 University County of Santa Cruz 2,093 County government Santa Clara Valley Transportation Authority 2,000 Transportation authority

Source: Silicon Valley Business Journal, 2014-2015 Book of Lists, December 26, 2014.

Income

The American Community Survey, a nationwide survey conducted by the U.S. Census Bureau, reported that in 2013 the County had a median household income of $91,702 whereas the state average was $61,094.

Commercial Activity

The County is an important center of commercial activity. Taxable sales activity at business and personal service outlets, as well as at other non-retail commercial establishments, is a significant component of the County's commercial activity. The table on the following page sets forth the amount of taxable transactions by business type from 2009 through 2013, the last full calendar year for which information is available.


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County of Santa Clara Taxable Transactions by Business Type

2009 through 20131 (Dollars in Millions)

Type of Business 2009 2010 2011 2012 2013

Motor Vehicle Parts Dealers 2,284.0 2,538.0 2,894.9 3,480.5 4,039.0

Furniture and Home Furnishings Stores 427.4 474.0 524.0 573.3 605.0

Electronics and Appliance Stores 1,195.5 1,355.8 1,459.0 1,487.9 1,362.8

Building Materials, Garden Equip. & Supplies 1,165.0 1,245.9 1,317.0 1,406.2 1,574.3

Food and Beverage Stores 975.1 984.8 1,022.8 1,066.5 1,110.4

Health and Personal Care Stores 494.5 523.2 564.3 591.3 628.7

Gasoline Stations 1,800.2 2,104.8 2,559.5 2,679.5 2,598.5

Clothing and Clothing Accessories Stores 1,690.2 1,824.6 1,997.3 2,189.5 2,312.5

Sporting Goods, Hobby, Book and Music Stores 625.8 644.6 676.6 714.4 711.2

General Merchandise Stores 2,272.2 2,368.8 2,448.0 2,532.3 2,558.6

Miscellaneous Store Retailers 621.4 635.0 675.9 744.4 702.8

Nonstore Retailers 128.9 147.4 183.0 295.9 551.7

Food Services and Drinking Places 2,705.1 2,848.8 3,097.4 3,355.1 3,669.1

Total Retail and Food Services 16,385.2 17,695.9 19,419.5 21,116.7 22,424.6

All Other Outlets 11,042.5 12,827.5 14,011.7 15,103.7 15,197.0

Total All Outlets 27,427.7 30,523.3 33,431.2 36,220.4 37,621.6

Note: Totals may not be precise due to independent rounding. Source: State Board of Equalization, Taxable Sales in California (Sales & Use Tax).

Construction Activity and Home Sales

Following a major slowdown from 2008-2012, construction and home sales activity in the County have returned to pre-Great Recession levels. Construction data for the County indicates that the value of new residential and non-residential permits in 2013 and 2014 were greater than the previous four years combined. The total valuation of new residential and non-residential construction permits issued in the County was approximately $2.9 billion in 2014. The number of new single family dwelling units in the County for 2014 is still below the levels seen 10 years ago but the number of new multiple-family dwelling units in 2014 was 2.5 times higher than 2005. The charts on the following page provide a summary of building permit valuations and the number of new dwelling units authorized in the County since 2005. 1 Most recent data available


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Source: Construction Industry Research Board

Source: Construction Industry Research Board

While the number of sales of single-family homes decreased slightly for calendar year 2014 compared to calendar year 2013, the median price for a single-family home in the County increased by 10.3%.1

1 Source: 2012 RE Report, The Real Estate Report for Santa Clara County, California (www.rereport.com).

$0

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$3,500

$4,000

$4,500

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Millions

County of Santa ClaraBuilding Permit Valuations

New Residential New Non-Residential

01,0002,0003,0004,0005,0006,0007,0008,0009,000

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

County of Santa ClaraNumber of New Dwelling Units

Single Family Multiple Family


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List of Acronyms

Term Definition AB Assembly Bill

AC Alameda County

ACE Altamont Commuter Express

ACTC Alameda County Transportation Commission

ADA The Americans with Disabilities Act of 1990

AFSCME American Federation of State, County, and Municipal Employees

APM Airport People Mover

ARRA American Recovery and Reinvestment Act of 2009

ATP Active Transportation Program

ATU Amalgamated Transit Union

BABs Build America Bonds

BART Bay Area Rapid Transit District

BRT Bus Rapid Transit

CAD-AVL Computer Aided Dispatch-Automated Vehicle Location

CAFR Comprehensive Annual Financial Report

CalPERS California Public Employees’ Retirement System

CARB California Air Resources Board

CARE Customers Are Resources to Excellence

CBMS Combined Biological Mitigation Site

CCTV Closed Circuit Television

CELR Capitol Expressway Light Rail

CFO Chief Financial Officer

CIP Capital Improvement Plan

CIPOC Capital Improvement Program Oversight Committee

CIPWG Capital Improvement Program Working Group

CMA Congestion Management Agency

CMAQ Congestion Mitigation and Air Quality

CMIA Corridor Mobility Improvement Account

CMP Congestion Management Program

CRM Customer Relationship Management

CTC California Transportation Commission

DASH Downtown Area Shuttle

DBE Disadvantaged Business Enterprise

DOS Disk Operating System

DTEV Downtown East Valley

FFGA Full Funding Grant Agreement

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Term Definition FTA Federal Transit Administration

FTE Full-Time Equivalent

FY Fiscal Year

GFCI Ground Fault Circuit Interrupter

GFOA Government Finance Officers Association

GIS Geographic Information Systems15

GM General Manager

GPS Global Positioning System

HCP Habitat Conservation Plan

HOV High Occupancy Vehicle

HVAC Heating, Ventilation and Air Conditioning

IIP Inter-regional Improvement Plan

IT Information Technology

iTEAM Innovative Delivery Team Program

JPA Joint Powers Authority

JWI Joint Workforce Investment

LED Light-Emitting Diode

LIBOR London Interbank Offering Rate

LLP Limited Liability Partnership

LOS Level of Service

LR Light Rail

LRT Light Rail Transit

LRV Light Rail Vehicle

MAP-21 Moving Ahead for Progress in the 21st Century Act

MBTIP 1996 Measure B Transportation Improvement Program

METRO Santa Cruz Metropolitan Transit District

MST Monterey-Salinas Transit

MTC Metropolitan Transportation Commission

MWBE Minority and Women-owned Business Enterprise

NCCP Natural Community Conservation Planning

NR Non-represented

O&R Overhaul and Repair

OBAG OneBayArea Grant

OCC Operations Control Center

OCS Overhead Catenary System

OH Overhead

OPEB Other Post Employment Benefits

OPS Operations

PAB Policy Advisory Board


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Term Definition PC Personal Computer

PCJPB Peninsula Corridor Joint Powers Board (Caltrain)

PDA Priority Development Area

RFP Request for Proposal

RIP Regional Improvement Program

RTC Regional Transit Connection Discount Card Program

RTCI Regional Transit Capital Inventory

RTI Real Time Information

SAP Systems, Applications and Products Software

SB Senate Bill

SC Santa Clara

SCADA Supervisory Control and Data Acquisition

SEIU Services Employees International Union

SJ San Jose

SJRRC San Joaquin Regional Rail Commission

SR State Route

SRTP Short Range Transit Plan

STA State Transit Assistance

STIP State Transportation Improvement Program

SVBX Silicon Valley Berryessa Extension

SVELP Silicon Valley Express Lanes Program

SVRT Silicon Valley Rapid Transit Corridor Project

TAEA Transportation Authority Engineers and Architects Association

TBD To Be Determined

TDA Transportation Development Act

TERM Transit Economics Requirements Model

TFCA Transportation Fund for Clean Air

TIC True Interest Cost

TPI Transit Performance Initiative

TVM Ticket Vending Machine

UPRR Union Pacific Railroad

UPS Uninterruptable Power Supply

US United States

UZA Urbanized Area

VETS Veterans’ Employment and Training Service

VTA Santa Clara Valley Transportation Authority

VTP Valley Transportation Plan

ZEB Zero Emission Bus


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Glossary of Terms

A Accrual Accounting A method of accounting where revenues are recognized in the accounting period in which they are earned and become measurable, and expenses are recognized in the period incurred, if measurable.

Ad Hoc Financial Recovery Committee Committee formed by VTA Board of Directors in December 2009 to review VTA’s financial structure and develop recommendations to address VTA’s long-term structural deficit.

Administrative Code A set of rules which have been formally adopted or amended by the Board of Directors.

Adopted Budget The official budget adopted by VTA Board of Directors.

Altamont Commuter Express (ACE) A commuter rail service that runs between the City of Stockton in San Joaquin County and the City of San Jose in Santa Clara County. The service is a partnership involving VTA, the San Joaquin Regional Rail Commission, and the Alameda County Congestion Management Agency.

American Recovery and Reinvestment Act of 2009 (ARRA) A job and economic stimulus bill intended to help states and the nation restart their economies and stimulate employment.

Americans with Disabilities Act (ADA) Federal civil rights legislation that, among other provisions, gives disabled persons the right to equal access to fixed route transit service or to comparable paratransit service if they are unable to use fixed route transit.

Appropriation Legal authorization expressed by fund and budget type granted by the Board of Directors to make expenditures and to incur obligations for specific purposes. Operating appropriations are time period limited and must be expended or encumbered within the time limits. Capital appropriations have no expiration.

Articulated Bus A bus usually 55-feet or more in length that bends at a connecting point when the bus turns a corner.

Avaya Stadium 18,000 seat soccer stadium in San Jose, California home of Major League Soccer’s San Jose Earthquakes. Opened in February 2015.

Average Weekday Boarding Riders The average number of persons who board the transit system on a day that normal weekday revenue service is provided.

B Balanced Budget A budget in which expected revenues equal expected expenses during a fiscal period.

APPENDIX M


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Bay Area Air Quality Management District Commonly referred to as the “air district,” this agency regulates industry and employers to keep air pollution in check and sponsors programs to clean the air in the San Francisco Bay Area.

Bay Area Rapid Transit (BART) The San Francisco Bay Area Rapid Transit District (BART) provides heavy passenger rail service in Alameda, Contra Costa, San Mateo, and San Francisco counties, between the cities of Fremont, Pleasanton, Richmond, Pittsburg, Millbrae, and San Francisco.

Board Designation Designations by the Board of Directors reflecting self-imposed limitations on the use of otherwise available and expendable financial resources.

Boardings per Revenue Hour A productivity measure comparing the number of boardings to the number of revenue hours operated. Used to measure service utilization per unit of service operated.

Bond Long-term debt issued by an agency to help finance new acquisitions of property, facilities, and equipment.

Bond Indenture A contract between an issuer of bonds and the bondholder stating the time period before repayment, amount of interest paid, if the bond is convertible, if the bond is callable, and the amount to be repaid.

Budget Type A unit of budget funding control (e.g., operating or capital).

Budget Unit A unit of budget funding control (e.g., division, cost group, or project number).

Build America Bonds (BABs) Taxable municipal bonds that carry special tax credits and federal subsidies for either the bond issuer or the bondholder. Build America Bonds were created as part of the 2009 American Recovery and Reinvestment Act (ARRA).

Business Services Division A division of VTA responsible for providing and supporting VTA’s business, employee support, and civil rights functions. The division is also responsible for the general management of business and transportation technology systems.

Bus Rapid Transit (BRT) BRT combines the quality of rail transit and the flexibility of buses. It can operate on exclusive transit-ways, HOV lanes, expressways, or ordinary streets. A BRT system combines Intelligent Transportation Systems technology, priority for transit, cleaner and quieter vehicles, rapid and convenient fare collection, and integration with land use policy.

C CalCloud A dedicated private cloud operated by the California Department of Technology’s Office of Technology Services division.

California Air Resources Board (CARB The “clean air agency” in the government of California.


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Caltrain Commuter rail service running between Gilroy and San Francisco through San Jose. The Peninsula Corridor Joint Powers Board (PCJPB), made up of representatives from the counties of San Francisco, San Mateo, and Santa Clara, oversees this commuter rail service.

Caltrans California Department of Transportation.

Cap-and-Trade Grants funded by proceeds from the market based regulation designed to reduce greenhouse gases from multiple sources.

Capital Budget A portion of the annual budget that appropriates funds for the purchase of capital equipment items or for capital projects. The capital budget includes funds for capital equipment purchases such as vehicles, construction of new facilities, office equipment, and machinery. They are distinguished from operating items based on their value (greater than $5,000) and projected useful life (greater than one year).

Capital Expenditure Expenses that acquire, improve, or extend the useful life of any item with an expected life of one or more years and a value of more than $5,000.

Capital Project Expenditure for tangible long-lived assets, such as property and equipment used by VTA in its operations, which is expected to benefit future periods.

Capitol Corridor Intercity Rail Service A 150-mile intercity rail service along the Union Pacific right-of-way, which runs between San Jose and Auburn, through Oakland and Sacramento.

Catenary Suspended overhead wire which carries high voltage for electrically powered transit vehicles from a central power source.

Clipper® A regional electronic fare payment collection system in the San Francisco Bay Area. Previously known as Translink®.

Community Design and Transportation Program A partnership between the VTA and the 15 cities and the county to develop and promote strategies for improving transportation systems and community livability.

Congestion Management Agency (CMA) A countywide organization responsible for preparing and implementing the county’s Congestion Management Program. CMAs came into existence as a result of state legislation and voter approval of proposition 111 in 1990 (later legislation removed the statutory requirements of Proposition 111, making CMAs optional). TA is the designated CMA in Santa Clara County.

Congestion Management Program (CMP) A comprehensive program designed to reduce traffic congestion, enhance the effectiveness of land use decisions, and improve air quality. The program must comply with CMP state statutes, and with State and Federal Clean Air Acts.


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Congestion Mitigation and Air Quality Improvement Program (CMAQ) A federal funding program specifically for projects and programs that will contribute to the attainment of a nation ambient air quality standard.

Contingency A reserve created to cover the deficiency that may arise where an original appropriation proves inadequate to cover the necessary expenditures.

Corridor Mobility Improvement Account (CMIA) A state highway funding program for projects on the California State Highway System that: reduces travel time or delay, improves connectivity of the State Highway System between rural, suburban, and urban areas, or improves the operation and safety of a highway or road segment; improves access to jobs, housing, markets, and commerce; and begins construction before December 2012.

Cost Center A unit of business under a single manager that incurs costs for an activity or group of activities.

Cost Group VTA uses expenditure cost groups such as labor costs, non-labor costs, contracted and interagency transit services, and debt service. They are the lowest units of budget funding control.

Counterparty A party in a swap transaction.

D Debt Reduction Fund A designated reserve fund established to facilitate reductions in unfunded obligations and long-term liabilities and to provide funds for transit related capital improvements and for replacement of capital assets in lieu of financing.

Debt Service The payment of interest and principal on long-term borrowed funds according to a predetermined payment schedule. May also include other bond-related costs such as remarketing, liquidity, and trustee fees.

Defeased Bonds Bonds that have been secured by cash or securities which have been placed in escrow until the maturity date of the bonds.

Department Mid-level unit of organization structure. A sub-section of a division responsible for specific functions or duties.

Designated Fund Fund designated by the Board of Directors for specific use.

Division Top-level grouping of departments representing the functions of the organization.

E Engineering & Transportation Infrastructure Development Division A division of VTA responsible for the design and construction of all capital projects and infrastructure required to provide a safe, reliable and efficient transportation system for Santa Clara County.


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Enterprise Fund A fund type used to account for “business-type activities” – activities similar to those found in the private sector.

Envision Silicon Valley An effort spearheaded by VTA to engage community leaders in a dynamic visioning process to discuss current and future transportation needs in Santa Clara County, identify solutions and craft funding priorities.

Ex Officio Board Members Metropolitan Transportation Commissioners who reside in Santa Clara County, and who are not members or alternates of the Board of Directors, are invited to serve as Ex Officio members of the Board of Directors. Upon acceptance as Ex Officio Board members they are invited to, and may regularly attend, Board meetings including closed sessions. Their attendance is not counted for purposes of establishing a quorum, they do not have voting rights, and they do not serve on the standing committees of the Board.

Express Bus Service Long-distance, limited stop bus routes operated primarily to connect commuters from outlying suburban areas with urban employment centers/areas and schools. Express buses primarily operate in peak commute periods and usually only on weekdays.

Express Lanes High occupancy toll lanes that combine the characteristics of High Occupancy Vehicle (HOV) lanes and toll roads by allowing carpools, vanpools, and buses free access, while charging for single occupant vehicle or drive alone use.

F Fare Evasion Rate Number of passengers checked who do not have a valid paid fare divided by total number of passengers checked.

Farebox Revenue/Fares Income generated from passengers using transit service. This includes cash deposited in fareboxes; income from the sales of tokens, tickets, and monthly passes; and revenues from special pass programs.

FasTrak The electronic toll collection system used in the state of California.

Federal Transit Administration (FTA) A component of the U.S. Department of Transportation that provides financial assistance to cities and communities to provide mobility to their citizens.

Fiduciary Funds Funds used to account for resources held for the benefit of parties outside VTA.

Financial Forecasting Model A financial analysis model that integrates projections of expenses and revenues, both capital and operating, to assess financial capacity.

Finance & Budget Division A division of VTA that fulfills the Controller and Treasury functions for VTA including financial reporting, accounting, budgeting, investment services, cash management, debt administration, payroll, accounts receivable, accounts payable, and farebox revenue services. In addition the division is responsible for Enterprise Risk Management and property development and management.

First-Last Mile The portion of a transit trip between a transit stop and a rider’s final destination, most often a home or work place.


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Fiscal Year Period of any 12 consecutive months used as an accounting period. VTA’s fiscal year is July 1 through June 30.

Fixed Rate Swap A swap, under which a borrower pays a counterparty a fixed rate in exchange for receiving a variable rate; most commonly used to convert variable rate bonds into synthetic fixed rate obligations.

Freeway Performance Initiative A Metropolitan Transportation Commission (MTC) initiative consisting of concurrent corridor studies with an emphasis on effective management and operations as a means to improve system performance.

FTA Section 5307 Funds provided through the Federal Transit Administration to Urbanized Areas (UZAs) using a complex formula, also known as Federal Formula Funds. These funds are not available for operating assistance in UZAs with a population over 200,000; however, they can be used for preventive maintenance purposes. Additionally, in UZAs with populations greater than 200,000, one percent of the UZA formula funds are to be spent on transit enhancements, which include rehabilitation, connections to parks, signage, pedestrian and bicycle access, and enhance access for those persons with disabilities; and one percent must be spent on security.

FTA Section 5337 Discretionary and formula transit capital funds provided through the Federal Transit Administration. Categories include “State of Good Repair Funding” (restricted to rail system uses) and “High Intensity Bus”. Replaced the Fixed Guideway Modernization program (Section 5309 FG).

FTA Section 5339 “Bus and Bus Facilities Funding, and Surface Transportation Program” transit capital funds provided through the Federal Transit Administration. Replaced the Bus and Bus Facilities discretionary program (Section 5309 Bus).

Full-Time Equivalent Position (FTE) Numeric equivalent of one person, occupying one employment position, for one year (equivalent of 2,080 hours).

Fund A fiscal or accounting entity with a self-balancing set of accounts. A fund is established for the purpose of carrying on specific activities in accordance with specific limitations.

Fund Balance The difference between assets and liabilities reported in a governmental fund.

Fund Exchange An exchange of State Transportation Improvement Program (STIP) and 2000 Measure A Sales Tax funding approved by the VTA Board of Directors on June 7, 2007, December 13, 2007, and November 7, 2013.

G Geographic Information System (GIS) A system designed to capture, store, manipulate, analyze, manage, and present all types of geographical data.

Government Affairs Division A division of VTA responsible for developing and coordinating VTA’s legislative and intergovernmental programs at the federal, state, regional, and local levels.

Governmental Fund A fund type used to account for “governmental-type activities” including services largely funded through non-exchange revenues (i.e., taxes).


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Grants A contribution by a government or other organization to support a particular function. Grants may be classified as either operational or capital, depending upon the grantee.

H HOV Lanes – High Occupancy Vehicle Lanes Lanes on heavily congested roadways that are used exclusively by carpools, vanpools, buses, or any vehicle that transports multiple passengers.

I Indirect Cost Expenses of doing business that are not readily identified with a particular activity, program, or project, but are necessary for the general operation of the organization and the conduct of activities it performs.

Innovative Delivery Team Program (iTEAM) Collaboration between VTA and Caltrans for the cooperative delivery of transportation projects and operations of the State highways and federal aid funding of local streets within Santa Clara County.

Intelligent Transportation Systems Technologies that improve the management and efficiency of transportation systems, such as electronic fare payment systems, ramp metering, timed traffic signals, and on-board navigation systems.

J Joint Workforce Investment A partnership between VTA and the Amalgamated Transit Union, Local 265 (ATU) dedicated to creating a work environment that supports the long-term professional development and health and wellness of employees.

L Level of Service (LOS) Standards LOS measures the interrelationship between travel demand (volume) and supply (capacity) of the transportation system. LOS is a quantitative measure categorized into six levels, “A” through “F”, with “A” representing ideal conditions—or no congestion—and LOS “F” representing poor conditions or congested flow.

Levi’s Stadium 68,500 seat stadium located in Santa Clara, California. Home of the San Francisco 49ers football team and various other events. Opened in August 2014 and host of Super Bowl 50 in February 2016.

LIBOR – London Interbank Offering Rage A daily reference rate based on the interest rate at which banks offer to lend unsecured funds to other banks in the London wholesale (interbank) money market.

Light Rail A transit mode that typically is an electric railway with a light volume traffic capacity compared to heavy rail. It is characterized by passenger rail cars operating individually or in short, usually two car, trains on fixed rails in shared or exclusive right-of-way; low or high platform loading; and vehicle power drawn from an overhead electric line via a trolley pole or a pantograph.


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M MAP-21 (Moving Ahead for Progress in the 21st Century Act) Legislation passed by Congress in 2012 to reauthorize federal surface transportation grant programs through 2014.

Metropolitan Transportation Commission (MTC) MTC is recognized by the state as the Regional Transportation Planning Agency and by the federal government as the Metropolitan Planning Organization for the nine counties in the San Francisco Bay Area. It has 21 commissioners, of which 18 are voting members appointed by local elected officials. The two most populous counties, Alameda and Santa Clara, each have three representatives on the Commission. The next three most populous counties, Contra Costa, San Francisco, and San Mateo, are represented by two members each. The four less populous northern counties of Marin, Napa, Solano and Sonoma each appoint one commissioner. In addition, two voting members represent regional agencies — the Association of Bay Area Governments and the Bay Conservation and Development Commission. Finally, three nonvoting members represent federal and state transportation agencies and the federal housing department.

Miles Between Chargeable Accidents A safety measure capturing the number of total scheduled miles traveled between each preventable accident.

Miles Between Major Mechanical Schedule Loss A service quality measure capturing the number of total scheduled miles traveled between each mechanical breakdown that results in a loss of service to the public.

N Net Assets The difference between assets and liabilities reported in an enterprise fund.

Non-Represented Employee Any VTA employee whose position is not represented by an organized bargaining unit for the purpose of negotiating wages, benefits, and work rules.

Non-Revenue Vehicle Vehicles used for purposes other than to transport passengers, including supervisors’ cars/vans, service trucks, and equipment.

O Office of the Chief of Staff Division A division of VTA responsible for developing and executing a cohesive communication plan for the agency, integrating media relations, community outreach, marketing, customer service, and Board communications.

On-Time Performance A reliability measure capturing the percentage of time a bus or light rail service meets the published schedule.

OneBayArea Grant (OBAG) A new funding approach that better integrates the region’s federal transportation program with California’s climate law and the Sustainable Communities Strategy.

Operating Budget The planning of revenues and expenses for a given period of time to maintain daily operations.


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Operating Reserves Funds unavailable for appropriation for any operating or capital use except to meet emergency needs that cannot be funded from any other source.

Operations Division A division of VTA that operates, maintains, analyzes, schedules, and manages VTA’s bus and light rail transit system and facilities. It also oversees contracted shuttle and paratransit service.

P Paratransit Comparable transportation service required by the Americans with Disabilities Act (ADA) of 1990 for individuals with disabilities who are unable to use fixed-route transportation systems.

Paratransit Net Cost Per Trip A cost-effectiveness measure of the paratransit service provided. Calculated by dividing the total paratransit operating expenses net of revenues by the number of paratransit trips.

Par Value The face or maturity value of a security or bond.

Peninsula Corridor Joint Powers Board (PCJPB) A joint powers authority made up of representatives from the counties of San Francisco, San Mateo, and Santa Clara, who oversee Caltrain commuter rail service.

Performance Measure A quantitative measurement of an activity used to judge program effectiveness.

Personal Time Off Time off for non-scheduled absences such as: sick, industrial injury, Family Medical Leave Act, excused/unexcused leave, union business, and suspension.

Planning & Program Development Division A division of VTA responsible for conducting all Congestion Management Program and VTA transportation and transit planning activities. In addition, the division is responsible for project development activities, capital project approvals, and programming and grants management.

Preventive Maintenance Maintaining equipment and facilities in satisfactory operating condition by providing for systematic inspection, detection, and correction of incipient failures either before they occur or before they develop into major defects.

Priority Development Area Locally identified infill development areas near transit.

Program A set of interrelated work, activities, or tasks which, when completed, satisfies a stated objective.

Prop 1B California Proposition 1B, the Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006, which authorized the sale of $20 billion in bonds to fund transportation projects related to congestion, the movement of goods, air quality, and transportation security.


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R Regional Improvement Program State funding category that can be used for a variety of projects including freeways, carpool lanes, rail lines, transit stations, and road rehabilitation.

Regional Measure 2 Measure passed on March 2, 2004 raising the toll on the seven State-owned toll bridges in the San Francisco Bay Area by $1.00 to fund various transportation projects within the region that have been determined to reduce congestion or to make improvements to travel in the toll bridge corridors.

Regional Transportation Plan A multimodal blueprint required by state and federal law to guide the region’s transportation development for a 20-year period. Updated every two to three years, it is based on projections of growth and travel demand coupled with financial assumptions.

Represented Employee Any VTA employee whose position is represented by the American Federation of State, County, and Municipal Employees, Local 101 (AFSCME), Amalgamated Transit Union, Local 265 (ATU), Service Employees International Union, Local 521 (SEIU), or Transportation Authority Engineers and Architects Association, Local 21 (TAEA) for the purpose of negotiating wages, benefits, and work rules.

Reserves

Unrestricted Net Assets represented by cash, investments, and receivables that are unappropriated and designated by the Board of Directors to be used for a specific purpose.

Revenue Service The time that a revenue vehicle is available to pick up or discharge passengers.

Revenue Vehicle Vehicles used to transport passengers.

S Safety Management System A formal, top-down business approach to managing safety risk, which includes a systematic approach to managing safety, including the necessary organizational structures, accountabilities, policies, and procedures.

Sales and Use Tax A tax on the retail sale, storage, use, or other consumption of tangible personal property.

Sales Tax – 1976 Measure A A permanent half-cent sales and use tax passed in March 1976 to ensure the continued operation and development of transit service in Santa Clara County.

Sales Tax – 1996 Measure B A nine-year half-cent sales and use tax passed in November 1996 for general county purposes. The County Board of Supervisors subsequently adopted a resolution dedicating the tax for transportation improvements. The tax expired on March 31, 2006.

Sales Tax – 2000 Measure A A 30-year half-cent sales and use tax passed in November 2000 to fund major transit improvement capital projects effective on April 1, 2006.


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Sales Tax – 2008 Measure B A 30-year eighth-cent sales and use tax passed in November 2008 to fund operating and maintenance expenses and capital reserve contributions for the Silicon Valley Rapid Transit extension of BART to Santa Clara County. The tax becomes effective only if sufficient state/federal funds are secured to match local construction dollars.

Sales Tax Stabilization Fund Board designated reserve fund used to mitigate impact of volatility of sales tax based revenues on service levels.

Service Hours Hours incurred by revenue vehicles from the time the vehicle leaves the operating division until it returns to the operating division.

Service Level Budgeting A budgeting approach that matches spending levels with services to be performed.

Service Miles Miles incurred by revenue vehicles from the time the vehicle leaves the operating division until it returns to the operating division.

Short Range Transit Plan (SRTP) A 10-year financially constrained projection of transit-related capital and operating expenses and revenues.

Silicon Valley Berryessa Extension (SVBX) The first phase of the BART to Santa Clara County Project. Implements the first 10 miles from Warm Springs to San Plumas Avenue in San Jose.

Silicon Valley BART Extension (SVRT) VTA’s BART Silicon Valley Extension. The project extends BART from Warm Springs, through Milpitas and downtown San Jose to Santa Clara, a distance of 16.1 miles. The project includes construction of a heavy rail rapid transit system, all ancillary requirements, and the upgrading of the existing BART system to be fully integrated with the enhanced service of the Silicon Valley Extension. Six stations and a maintenance and vehicle storage yard are proposed along the alignment.

State Transit Assistance (STA) A portion of the revenues budgeted annually by the state for the Transportation Planning & Development Account. Funds are used for mass transit operations, transit coordination projects, and transportation planning. These funds are apportioned to the regional transportation planning agencies according to a formula based on population and annual transit operator revenues.

State Transportation Improvement Program (STIP) A multi-year planning and expenditure plan adopted by the California Transportation Commission for the State Transportation System that is updated in even-numbered years.

Supervisory Control and Data Acquisition (SCADA) Industrial control systems—computer systems that monitor and control industrial, infrastructure, or facility-based processes.

Surface Transportation Program A flexible funding program for mass transit and highway projects.

Sustainability Program A program designed to strengthen VTA’s commitment to the environment through the conservation of natural resources, the reduction of greenhouse gases, the prevention of pollution, and the use of renewable energy and materials. Goals and strategies for VTA’s Sustainability Program were formally adopted by the Board of Directors in February 2008.


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Sustainable Communities Strategy Senate Bill 375 (Steinberg) signed into law in 2008. This legislation directs the California Air Resources Board (CARB) to set regional targets for reducing greenhouse gas emissions. SB 375 requires each Metropolitan Planning Organization to include a “Sustainable Communities Strategy” in the regional transportation plan that demonstrates how the region will meet the greenhouse gas emission targets.

Swap Agreement An agreement between a borrower and a swap counterparty in conjunction with a fixed-to-variable rate or variable-to-fixed rate swap.

Synthetic Fixed Rate The resulting rate a borrower will pay on an issue of variable rate obligations after entering into a variable-to-fixed interest rate swap.

System Safety & Security Division A division of VTA responsible for the management and oversight of all VTA safety functions including training, emergency preparedness, and accident response. In addition the division is responsible for oversight of all security functions including contracted law enforcement, unarmed and armed security services, and fare enforcement.

T Title VI Section of the Civil Rights Act of 1964 which assures nondiscrimination in the distribution of funds under federally assisted programs.

Total Boardings The total number of boarding riders using VTA directly operated bus and light rail service. Riders are counted each time they board a bus or light rail vehicle.

Total Hours The scheduled service hours operated from the time transit vehicles leave the operating division to the time they return.

Traffic Congestion Relief Program A program established in 2000 to provide $2 billion in funding for traffic relief and local street and road maintenance projects throughout California.

Transit Security Grant Program A program providing grant funding to the nation’s key high-threat urban areas to enhance security measures for their critical transit infrastructure including bus, ferry, and rail systems.

Transit Performance Initiative (TPI) Metropolitan Transportation Commission (MTC) sponsored initiative—regional investment in supportive infrastructure to achieve performance improvements in major transit corridors.

Transit Sustainability Policy A policy that provides a framework for the efficient and effective expenditure of funds to achieve the highest return on transit investments. The policy guides the development and implementation of new transit services, as well as the refinement of existing services. VTA’s Transit Sustainability Policy was adopted by the Board of Directors in February 2007.

Transportation Development Act (TDA) An act passed by the state Legislature in 1972 allowing each county to elect to participate in a quarter-cent state sales tax program for public transportation purposes. TDA sales tax revenues are apportioned by the state, through


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the regional transportation planning organizations, to each participating county based on the amount collected within that county.

Transportation Fund for Clean Air (TFCA) Funds generated by a $4.00 surcharge on vehicle registrations used to implement projects and programs to reduce air pollution from motor vehicles.

True Interest Cost (TIC) A method of calculating the overall cost of a financing that takes into account the time value of money. The TIC is the rate of interest that will discount all future payments so that the sum of their present value equals the issue proceeds.

U Undesignated Reserves Reserves that have not been restricted or designated by the entity for other specific use.

Unfunded Obligations Obligations or liabilities for which funds have not been identified or provided.

Urbanized Area (UZA) An area defined by the United States Census Bureau that includes one or more incorporated cities, villages, and towns (or “central place”) and the adjacent densely settled surrounding territories (or “urban fringe”) that together have a minimum of 50,000 persons.

V Vehicle Registration Fee – SB83 Senate Bill 83 (Hancock), signed into law in 2009, authorized countywide transportation agencies to implement a vehicle registration fee of up to $10 on motor vehicles registered within the county to fund transportation programs and projects.

VTP 2040 A 25-year plan developed by VTA which provides policies and programs for transportation in the Santa Clara Valley including roadways, transit, Intelligent Transportation Systems, bicycle, pedestrian facilities, and land use. The VTP is updated every three to four years to coincide with the update of the Regional Transportation Plan.

Z Zero Emission Bus (ZEB) An urban bus certified to have zero exhaust emissions of any pollutant under any and all conditions and operations. This includes hydrogen-powered fuel cell buses, electric trolley buses, and battery electric buses.


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Index

1 1996 Measure B Transportation Improvement Program .. 19, 22

Program Overview .......................................................... 226 Total Available Appropriation Schedule ........................ 227

2 2000 Measure A Sales Tax-Operating Assistance ..... 45, 46, 52,

149, 150, 151, 221, 223 2000 Measure A Transit Improvement Program 3, 5, 12, 19, 20,

21, 23, 24, 28, 33, 149–68, 223 Appropriated Project Descriptions ............................ 155–61 Capital Appropriation Schedule ...................................... 154 Capital Budget Assumptions .......................................... 153 Comparison of Revenues and Expenses Schedule .......... 151 Debt Coverage Ratio ...................................................... 165 Debt Policy Overview .................................................... 165 Debt Service Schedules ............................................ 166–67 Operating Budget Assumptions ...................................... 150 Program Overview .......................................................... 149 Revenue and Expense Category Descriptions ................. 223 Sources and Uses of Funds Summary ............................. 152 Total Available Appropriation Schedule .................. 162–64

A Acronyms List ................................................................ 237–39 Ad Hoc Financial Recovery Committee ........... 41, 206–10, 240 Administrative Code ................................ 31, 32, 202, 214, 240 Altamont Commuter Express (ACE)39, 52, 149, 207, 209, 222,

240 Americans with Disabilities Act (ADA) 4, 12, 48, 94, 240, 248 Appendices ..................................................................... 201–52 Appropriation Summary Table ............................................... 23 Auditor General.......................................................... 13, 20, 60

Expense Budget ................................................................ 60 Avaya Stadium ............................................................... 97, 240

B BART Operating Sales Tax Prog 6, 19, 20, 22, 23, 24, 33, 198–

99, 225 Comparison of Revenues and Expenses ......................... 199 Program Overview .......................................................... 198 Revenue and Expense Category Descriptions ................. 225 Sources and Uses of Funds Summary ............................. 199

Board of Directors ................................ 8–12, 27, 30, 31, 32, 60 Board Membership ............................................................. 8 Committee Structure ................................................... 10–12 Members-2015 .................................................................... 9

Budget Amendment Process .................................................. 31 Budget Calendar

Capital .............................................................................. 30 Operating .................................................................... 26–27

Budget Development Process Capital ........................................................................ 28–29

Operating ................................................................... 24–25 Budget Guide ....................................................................... 4–6 Budget Resolution ........................................................... 32–35 Budget Transfer Process ........................................................ 31 Build America Bonds (BABs) ..... 149, 150, 151, 166, 168, 223,

241 Bus Rapid Transit (BRT) ... 1, 3, 74, 80, 97, 104, 158, 159, 160,

163, 164, 241 Business Services Division ........................... 13, 20, 64–70, 241

Department Descriptions.................................................. 65 Expense Budget ............................................................... 69 FY 2014 & FY 2015 Accomplishments ........................... 67 FY 2016 & FY 2017 Goals ........................................ 67–68 Organization Chart ........................................................... 64 Performance Measures ..................................................... 68 Position Detail ........................................................... 65–66

C Caltrain . 39, 40, 51, 52, 136, 143, 149, 157, 163, 207, 209, 222,

242, 248 Cap-and-Trade ...................................................... 125, 156, 242 Capital Improvement Program Oversight Committee (CIPOC)

............................................................................ 28, 30, 112 Capital Improvement Program Working Group (CIPWG) ... 28,

30 Capitol Corridor Intercity Rail Service ..................... 39, 40, 242 Charts

Bargaining Unit Contract Duration .................................. 49 County of Santa Clara Building Permit Valuations ........ 235 County of Santa Clara Number of New Dwelling Units 235 Fund/Division Relationship ............................................. 20 Sales Tax Based Revenue Trend ...................................... 46 VTA Organization Chart .................................................. 13 VTA Transit Capital Approp. by Category .................... 113 VTA Transit Capital Approp. by Funding Source ......... 112 VTA Transit Revenues by Source .................................... 44

Clipper® ............................................................ 43, 80, 141, 242 Community Design and Transportation Program .......... 17, 242 Congestion Management Agency (CMA) .......... 5, 19, 169, 242 Congestion Management Program (CMP) ... 3, 5, 19, 20, 21, 23,

24, 32, 33, 34, 102, 169–73, 175, 177, 224, 242, 248 Comparison of Revenues and Expenses Schedule ......... 171 Member Assessments Schedule ..................................... 173 Program Overview ................................................... 169–70 Revenue and Expense Category Descriptions ................ 224 Sources and Uses of Funds Summary ............................ 172

Congestion Mitigation and Air Quality Improvement Program (CMAQ).................................................. 178, 179, 180, 243

Corridor Mobility Improvement Account (CMIA) .......186, 243

D Debt Policy ...................................................................144, 165 Debt Reduction Fund .................. 48, 53, 55, 205, 211, 213, 243 Debt Service Coverage ......................................... 144, 165, 204 Document Organization ....................................................... 4–6 Downtown Area Shuttle (DASH) .......................................... 40 Dumbarton Express ................................................ 40, 207, 209


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E Engineering & Transp Infrastructure Dev Division.. 13, 20, 71–

76, 243 Department Descriptions .................................................. 72 Expense Budget ................................................................ 76 FY 2014 & FY 2015 Accomplishments ........................... 74 FY 2016 & FY 2017 Goals ......................................... 74–75 Organization Chart ........................................................... 71 Performance Measures ..................................................... 75 Position Detail .................................................................. 72

Envision Silicon Valley .............................................. 2, 90, 244 Executive Management Team ................................................ 14

F Fares ......................................................... 43, 52, 201, 221, 244 Federal Formula Funds .............................................. 3, 47, 245 Federal Operating Grants ................................... 47, 52, 53, 221 Federal Transit Administration (FTA) .... 47, 75, 104, 108, 155,

198, 244, 245 Finance & Budget Division .......................... 13, 20, 77–83, 244

Department Descriptions .................................................. 78 Expense Budget ................................................................ 82 FY 2014 & FY 2015 Accomplishments ........................... 80 FY 2016 & FY 2017 Goals ......................................... 80–81 Organization Chart ........................................................... 77 Performance Measures ..................................................... 81 Position Detail .................................................................. 79

Financial Forecasting Model .................................. 18, 203, 244 Financial Policies ............................................................. 201–5 Freeway Performance Initiative ........... 176, 178, 188, 190, 245 FTA Section 5307 .... 47, 48, 116, 118, 120, 124, 127, 128, 130,

135, 221, 245 FTA Section 5309 .......................................................... 47, 245 FTA Section 5337 .................. 48, 122, 126, 127, 133, 135, 245 FTA Section 5339 .................................................. 48, 116, 245 Fund/Division Relationship .................................................... 20 Funded Programs ............................................................. 19–22

G General Manager's Message ................................................. 1–3 Glossary of Terms .......................................................... 240–52 Government Affairs Division ....................... 13, 20, 84–86, 245

Expense Budget ................................................................ 86 FY 2014 & FY 2015 Accomplishments ........................... 85 FY 2016 & FY 2017 Goals ............................................... 85 Organization Chart ........................................................... 84 Position Detail .................................................................. 84

H Highway 17 Express ........................................ 40, 52, 149, 222

I Intelligent Transportation Systems ............... 103, 241, 246, 252 iTEAM ................................................................. 169, 170, 246

J Job Classifications and Pay Range Table ............................. 214

Joint Development Program . 6, 19, 20, 22, 23, 24, 28, 33, 191–93, 225 Comparison of Revenues and Expenses Schedule ......... 192 Program Overview ......................................................... 191 Revenue and Expense Category Descriptions ................ 225 Sources and Uses of Funds Summary ............................ 193 Total Available Appropriation Schedule ........................ 193

Joint Workforce Investment (JWI) ................................ 98, 246

L Levi’s Stadium ................... 1, 42, 43, 74, 89, 97, 108, 129, 246 Light Rail Shuttles ................................................................. 52 Long-Range Planning .................................................... 18, 203

M Maps

California by County.......................................................... 7 Silicon Valley Express Lanes Program Corridors .......... 195 VTA Service Area ........................................................... 37

Metropolitan Transportation Commission (MTC) ... 45, 85, 170, 178, 182, 204, 245, 247, 251

Mission Statement ................................................................. 15 Monterey-San Jose Express ...................................... 40, 52, 222 Moving Ahead for Progress (MAP-21) .................. 47, 221, 247

N Non-Departmental Expense Budget .................................... 111

O Office of the Chief of Staff Division ............ 13, 20, 87–92, 247

Department Descriptions.................................................. 88 Expense Budget ............................................................... 92 FY 2014 & FY 2015 Accomplishments ..................... 89–90 FY 2016 & FY 2017 Goals ........................................ 90–91 Organization Chart ........................................................... 87 Performance Measures ..................................................... 91 Position Detail ................................................................. 89

Office of the General Counsel ........................ 13, 20, 33, 61–63 Expense Budget ............................................................... 63 FY 2014 & FY 2015 Accomplishments ........................... 62 FY 2016 & FY 2017 Goals .............................................. 62 Organization Chart ........................................................... 61 Position Detail ................................................................. 61

Office of the General Manager ............................. 13, 20, 58–59 Expense Budget ............................................................... 59 Organization Chart ........................................................... 58 Position Detail ................................................................. 58

OneBayArea Grant (OBAG) ........................................104, 247 Operating Reserves ........... 55, 56, 203, 205, 208, 211, 213, 248 Operations Division .................................... 13, 20, 93–101, 248

Department Descriptions.................................................. 94 Expense Budget ............................................................. 100 FY 2014 & FY 2015 Accomplishments ........................... 97 FY 2016 & FY 2017 Goals ......................................... 97-98 Organization Chart ........................................................... 93 Performance Measures ..................................................... 99 Position Detail ................................................................. 94

Organization Profile ................................................................ 7 Organization Structure ........................................................... 13 Other Post Employment Benefits (OPEB) Trust .... 80, 212, 213


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P Paratransit .............................38, 51, 52, 54, 101, 137, 222, 248 Peninsula Corridor Joint Powers Board (PCJPB) ....See Caltrain Performance Measures ......................................................... 248

Business Services Division ............................................... 68 Engineering & Transp Infrastructure Dev Division .......... 75 Finance & Budget Division .............................................. 81 Office of the Chief of Staff Division ................................ 91 Operations Division .......................................................... 99 Planning & Program Development Division .................. 105 System Safety & Security Division ................................ 109

Planning & Program Development Division 13, 20, 102–6, 248 Department Descriptions ................................................ 103 Expense Budget .............................................................. 106 FY 2014 & FY 2015 Accomplishments ......................... 104 FY 2016 & FY 2017 Goals ............................................. 104 Organization Chart ......................................................... 102 Performance Measures ................................................... 105 Position Detail ................................................................ 103

Position Summary by Division............................................... 50 Preventive Maintenance ................... 47, 48, 208, 221, 245, 248 Proposition 1B ............................................. 117, 118, 129, 248

R Ridership ............................................................................ 1, 42

S Sales Tax

1976 ...................................................... 44, 46, 52, 221, 249 1996 Measure B ................................................ 22, 226, 249 2000 Measure A ............... 5, 21, 44, 45, 150, 151, 223, 249 2008 Measure B ................................ 22, 198, 199, 225, 250

Sales Tax Stabilization Fund .................. 55, 205, 211, 213, 250 San Jose Airport Flyer ............................................................ 40 Santa Clara County

Average Annual Employment by Industry ..................... 232 Cities .............................................................................. 231 Commercial Activity ...................................................... 234 Construction Activity and Home Sales ..................... 235–36 Demographic and Economic Information ................. 229–36 Employment and Industry............................................... 232 General Information ....................................................... 229 Income ............................................................................ 234 Major Employers ...................................................... 233–34 Population ................................................................. 230–31 Taxable Transactions by Sector ...................................... 235

Service Levels .................................................................. 41–42 Short Range Transit Plan (SRTP)............. 12, 18, 104, 204, 250 Silicon Valley BART Extension ....... See VTA's BART Silicon

Valley Extension Silicon Valley Berryessa Extension (SVBX) 62, 74, 75, 80, 85,

155, 250 Silicon Valley Express Lanes ....... 181, 182, 183, 188, 189, 190 Silicon Valley Express Lanes Program 6, 19, 20, 22, 23, 24, 33,

90, 104, 176, 194–97, 225 Comparison of Revenues and Expenses Schedule .......... 196 Corridor Map .................................................................. 195

Program Overview ................................................... 194–95 Projected Designated Reserves ...................................... 197 Revenue and Expense Category Descriptions ................ 225 Sources and Uses of Funds Summary ............................ 197

State Transit Assistance (STA) ................... 47, 52, 53, 221, 250 Strategic Plan Goals ........................................................ 17, 18 Sustainability Program ................................. 104, 121, 138, 250 Sustainable Communities Strategy ...............................247, 251 System Safety & Security Division ............ 13, 20, 107–10, 251

Expense Budget ............................................................. 110 FY 2014 & FY 2015 Accomplishments ......................... 108 FY 2016 & FY 2017 Goals ........................................ 108–9 Organization Chart ......................................................... 107 Performance Measures ................................................... 109 Position Detail ............................................................... 108

T Traffic Congestion Relief Program ......................... 85, 198, 251 Transit Performance Initiative (TPI) ..................... 125, 156, 251 Transit Sustainability Policy ......................... 202, 203, 207, 251 Transportation Development Act (TDA) ..... 44, 45, 46, 52, 221,

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V Values Statement ............................................................. 15, 16 Vehicle Registration Fee - SB 83 ................. 177, 185, 224, 252 Vision Statement ................................................................... 15 VTA Transit ..... 2, 3, 4, 19, 20, 21, 23, 24, 28, 32, 37–148, 221

5-Year Projection ............................................................. 56 Appropriated Project Descriptions ........................... 116–36 Capital Appropriation Schedule ..................................... 114 Capital Program Overview ....................................... 112–13 Comparison of Revenues and Expenses Schedule ........... 52 Debt Coverage Ratio ...................................................... 144 Debt Policy Overview .................................................... 144 Debt Service Schedules ............................................ 145–46 Division Budget Summary Table ..................................... 57 Expense Assumptions ................................................ 49–51 Operating Budget Assumptions ................................. 41–51 Outstanding Debt Issues .......................................... 146–48 Program Overview ..................................................... 37–40 Revenue and Expense Category Descriptions ................ 221 Revenue Assumptions ................................................ 42–49 Sales Tax Based Revenues ......................................... 44–46 Sources and Uses of Funds Summary .............................. 55 Total Available Appropriation Schedule .................. 137–43 Unrestricted Net Assets/Reserves ............................ 211–13

VTA/ATU Pension Plan ......................................... 65, 202, 228 VTA’s BART Silicon Valley Extension .. 1, 2, 3, 22, 54, 70, 72,

74, 75, 80, 85, 90, 91, 98, 149, 155, 156, 157, 162, 198, 208, 250

VTP 2040 ....................................... 5, 12, 18, 21, 104, 175, 252 VTP Highway Improvement Program ... 3, 5, 19, 20, 21, 23, 28,

33, 175–90 Appropriated Project Descriptions ........................... 177–86 Capital Appropriation Schedule ..................................... 176 Program Overview ......................................................... 175 Total Available Appropriation Schedule .................. 187–90

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