BOARD MEMBERS PRESENT: Michael Nevin (Chair), John McLemore (Vice Chair), Maria Ayerdi, Michael Burns, Mary Janney, Arthur Lloyd, Manuel Valerio, Sue Lempert (MTC Liaison)

BOARD MEMBER ABSENT: Ken Yeager

STAFF PRESENT: Michael Scanlon, David Miller, George Cameron, Roger Contreras, Brian Fitzpatrick, Jim Gallagher, Chuck Harvey, Rita Haskin, Aurora Jose, Jerry Kirzner, Martha Martinez

Chair Nevin called the meeting to order at 10:07 a.m. Upon request of Chair Nevin, Sid Mobell, a guest, led the Pledge of Allegiance to the flag.

The Board honored celebrity jeweler, Sid Mobell, a resident of San Mateo County and a loyal Caltrain rider for 35 years, who worked to make passenger benches available at the 4th and King Station. Director Ayerdi carried Mr. Mobell's message to the Caltrain staff after he alerted Mayor Brown, an old acquaintance. It made the station a very pleasant place that encouraged the public to use the system. A framed photo, inscribed by Chair Nevin, was presented to Mr. Mobell, showing him sitting on one the benches.

Mr. Mobell stated he uses the train 5 days a week. He thanked the Board and expressed appreciation for the honor given him.

ELECTION OF OFFICERS FOR 2003

Chair Nevin reported the Nominating Committee, composed of Directors Burns, Valerio and himself, is honored to nominate Director John McLemore as Chair of the Board for 2003. Upon motion of Director Lloyd, seconded by Director Janney, the Board unanimously voted in favor of the nomination.

Director Nevin, also on behalf of the Committee, nominated Maria Ayerdi for Vice Chair. The motion was seconded by Director Lloyd. The Board unanimously voted in favor of the nomination.

Chair McLemore thanked the Board for the opportunity to serve as Chair. He noted the prevailing economic problems that threaten the system and all other local agencies. However, he looks forward to the coordinated Caltrain and BART connection in Millbrae, an improving economy in the second half of the year, the Baby Bullet Caltrain Express, the start of engineering studies for electrification and the continuation of excellent working relationships among the three agencies that make up the Joint Powers Board.

PUBLIC COMMENT

Francis Wong, Mountain View, thanked the Board, the Caltrain management, and Amtrak for opening the railroad to the Engine 2472 excursion last December 28 and 29. He stated it was a great opportunity to show the corridor to a new generation of potential Caltrain riders. He looked forward to running more excursions at the end of 2003 and hoped that the College Park Station in San Jose would be restored to show off the corridor using the steam locomotive.

Jeff Carter, Burlingame, wondered if ridership is rebounding because some of the trains leaving San Francisco have been very crowded and the five-car trains have been full with people standing. He inquired if there will be any discussions on the new train schedules. He suggested making the connections with BART as seamless as possible.

Vaughn Wolffe, RailPac, requested information regarding staff's plan on what needs to be done for what type of ridership, what the schedule is going to be in the future, and when and how often the trains should run. He said this was never presented to the public. He pointed out that variances on height of platforms are critical to the loading and off-loading of passengers. He also asked for discussions or description of what is being approached by the JPB. He noted that by opening Dumbarton service, traffic problems coming from the Tri Valley will be resolved. He inquired if staff's Dumbarton approach addresses any of that ridership.

CONSENT CALENDAR

The Board by roll call, unanimously approved the following items under the Consent Calendar:

1. Adoption of Minutes of December 9, 2002 meeting
2. Statement of Revenues an Expenses, November 2002
3. Adoption of Revised Conflict of Interest Code (Resolution No. 2003-1)

CHAIRPERSON'S REPORT

1. Resolution of Appreciation for Michael D. Nevin, outgoing Chair
   The Board, by roll call, unanimously approved Resolution No. 2003-2. Chair McLemore and Vice Chair Ayerdi presented the resolution to Director Nevin in appreciation of the latter's achievements during his term as Chair.
2. Resolution of Appreciation for Stephen M. Schmidt, retiring JPB Board member
   The Board, by roll call, unanimously approved Resolution No. 2003-3. Chair McLemore and Vice Chair Ayerdi presented to Mr. Schmidt, the resolution, a train plaque, and a painting of the Menlo Park Station.
• Mr. Schmidt congratulated Chair McLemore and Vice Chair Ayerdi. He expressed confidence that with their leadership, the Board's collective enthusiasm for Caltrain will not die down with his departure. He recognized staff and the organization, encouraged them to work hard and wished them a happy New Year.

MTC LIAISON REPORT

Ms. Sue Lempert reported that Senator Tom Torlakson is carrying legislation which would lower the threshold for sales tax reauthorization measures for transportation. She also announced that San Mateo movie theaters, near the Caltrain line, will be opening on February 7. She is confident that this would encourage people to take the train. She also related a very peaceful and comfortable train ride she experienced going to San Francisco and complimented Muni and Caltrain for the excellent service.

REPORT OF CITIZENS ADVISORY COMMITTEE (CAC)

Bruce Balshone reported the CAC discussed the new schedule changes. They are working on the Strategic Plan. They are concerned about the ADA access issue at Caltrain stations, particularly South San Francisco and 22nd Street. ADA access ties in with the bicycle issue. In connection with the Baby Bullet and the express stations, the CAC would like to know how they will interface with wheelchair access.

REPORT OF THE EXECUTIVE DIRECTOR

Michael Scanlon congratulated Chair McLemore and Vice Chair Ayerdi for their appointments and thanked Director Nevin for his support and guidance for the past year. He also congratulated Ms. Lempert for her unchallenged reappointment to the MTC. He reported:

1. There had already been three fatalities since the start of the year. Staff has on going safety programs and will work diligently for the success of the programs.
2. Ridership is not good but staff is optimistic about it. November numbers on weekday riders on Caltrain is off 12.7 percent from nearly 31,000 riders last November to 27,000 this November. Revenue is off only 2.9 percent from $1.7 million to $1.650 million. On-time performance improved from 92 to 92.4 percent. Caltrain shuttles were up from 4,100 to 4,500 riders. Year-to-Date average weekday ridership is off 14.8 percent from $33,400 to $28,400. Revenue is down 11 percent from $10.2 million to $9.1 million. On-Time Performance improved from 94.8 percent for 96.3 percent and shuttles were off 1.8 percent from 4,200 to 4,100 indicating a flattening of ridership numbers. Caltrain provided additional trips on New Year's Eve which is attributable to the Diamond Walnut San Francisco Bowl and the traditional fireworks at the Embarcadero. Service was also provided free of charge after 11 p.m.
3. Staff is working with the City and County of San Francisco in completing a cleanup of the right of way on adjacent property. Staff will be working with the City and County of San Francisco in identifying ownership of some of the affected parcels.
4. Two train sets of Bombardier vehicles, (Baby Bullet cars) are in service. There is a capacity of 32 bikes in each of the train sets. A third Bombardier set will be ready later this month. Bike racks will be installed in all seven consists.
5. Caltrain will run the Freedom Train on January 20 that will start in Santa Clara County. It will be parked at San Jose at 10:20 a.m. and stop at Sunnyvale, Palo Alto and San Mateo en route to San Francisco for an arrival at 11:45 a.m. Return trip departs at 3:45 p.m. and make the same stops. This will accommodate 1,500 riders.
6. On the new train schedules, public meetings were held in each of the counties on December 19. People were also asked to write or call in. Mr. Scanlon summarized the comments in the responses received from the public. The main focus of the comments was on coordinated schedules. He commented the BART schedule cannot change much because of the tube under the Bay. It is easier for Caltrain to make the changes to line up with BART. For new riders who want to ride BART from Caltrain, staff has to make accommodations and make it as seamless as possible. In terms of Caltrain meeting up with local buses in San Mateo County, the District will change the bus schedules. He will coordinate with Pete Cipolla of VTA on this to design transit services from the customer back. The ultimate plan is to run the highest quality of service given the input received from the public within the limitations of the agencies.

   Responding to Mr. Wolffe's remarks, Mr. Scanlon invited RailPac to call staff anytime to discuss their concerns.

   Regarding Mr. Balshone's question on express stations, Mr. Scanlon informed that the plan at staff level is to have partial high platform stations to accommodate the Baby Bullet. He encouraged the CAC to work with staff and talk about these issues.

7. Before closing his report, Mr. Scanlon called on Rita Haskin, Chief Communications Officer, to give an overview of the Testimonial Ad Campaign. Ms. Haskin informed that in trying to get more riders on to Caltrain, this campaign will kick off next week and will run through part of February. Staff recruited riders through the Caltrain website and Ticket-by-Mail Program to tell why they ride Caltrain. The messages are: Making productive use of commute time; avoiding traffic and parking hassles; it is relaxing and it reduces stress; it saves money and wear and tear on cars; you can bring your bike on board; it helps the environment; and we got friendly conductors. Ms. Haskin presented slides of the ads. Aside from English, the ads will run in Spanish and Filipino in daily newspapers and weeklies. They will be on the side of and inside SamTrans buses. She hoped that VTA and Muni will give some interior space in order to run the ads in their systems.

   Ms. Lempert suggested including in the outreach the employers and the Alliance in San Mateo County and the Silicon Valley Manufacturers because they can help get their employees to take the train.

Director Ayerdi informed that this is in the environmental document and in all their presentations. It is estimated to cost $45 million. The only way to get it done is for Caltrain to partner with BART. This will make the Transbay Terminal an intermodal hub for all modes of transportation. She also stated that San Francisco has supported and argued for the continuation and extension of Caltrain to the East Bay and the future High Speed Rail. This, however, will require the support of the entire region.

Director Burns questioned the future of Amtrak and how it may impact Caltrain service. Mr. Scanlon stated the House appropriated $752 million and the Senate had marked up $1.2 billion in its bill. David Gunn pointed out that he needs this amount to keep Amtrak running; otherwise Amtrak could very well shut down sometime in spring or summer. Staff is in continuous discussions with Amtrak about contingency plans to keep Caltrain running. They have not yet been completed and Caltrain is vulnerable to a possible interruption of service should Amtrak decide to shut down their system. The JPB received an offer for backup services from one firm. Staff is considering the best option.

Director Burns asked in case of disruption, if staff could go to the second bidder or if they should go through another process. Legal Counsel David Miller responded staff will take the best possible arrangement within the parameters of law. Staff is looking at both short-term and long-term contingency plans and how to do it as seamlessly as possible.

Director Lloyd informed that he will be in Los Angeles with the San Joaquin Valley Rail Committee, of which he is a member. Governor Dukakis is the speaker and he will ask him some questions to be able to shed some light.

Director McLemore suggested setting up a special meeting with legislators at the APTA Legislative Conference. Mr. Scanlon responded that the issue is between Amtrak, the administration and Congress. It has to do with the funding of Amtrak. Amtrak is a contractor for Caltrain and this is different from the service that they are directly providing. They have a service contract with Caltrain and they have a contractual obligation. Mr. Scanlon said staff would continue to watch the Amtrak situation closely

AUTHORIZATION TO ENTER INTO TWO LICENSE AGREEMENTS WITH SANTA CLARA VALLEY TRANSPORTATION AUTHORITY (VTA)

Brian Fitzpatrick, Real Estate Department Manager, reported if the Board approves this item, it will effectuate the construction of the Bus Transit Center at the Santa Clara Caltrain station.

The Board, by roll call, unanimously approved Resolution No. 2003-4 - Authorizing Two License Agreements with the Santa Clara Valley Transportation Authority for the Use of Property in Conjunction with the Development of a Bus Transit Center at the Santa Clara Caltrain Station.

REPORT OF LEGAL COUNSEL

Attorney Miller stated that Mr. Scanlon, in his report, mentioned the clean up in San Francisco. He informed that this particular issue was initiated by the San Francisco City Attorney's Office. He wanted to let Directors Burns and Ayerdi know that the situation is a difficult one because the issue is not only the expenses incurred at present for the clean up but bears on future enforcement. Parties have to look ahead and identify who bears the responsibility, to prevent this from recurring. Staff has a very strong position with regard to who owns what.

CORRESPONDENCE

Distributed in separate folder.

DATE/TIME OF NEXT MEETING: Thursday, February 6, 2003, 10 A.M. at 1250 San Carlos Avenue, San Carlos, California.

ADJOURNED: 11:20 A.M.