deposition of: board meetingsepta.org/about/board/pdf/may.28.2020.board.meeting...2020/05/28 ·...

Deposition of:

Board Meeting

May 28, 2020

In the Matter of:

SEPTA- Board Meeting

Veritext Legal Solutions888.777.6690 | [email protected] | 215-241-1000

1 SOUTHEASTERN PENNSYLVANIA TRANSPORTATION

2 AUTHORITY

3 REGULAR MONTHLY BOARD MEETING

4 - - -

5

6

7

8

9 May 28, 2020

10 - - -

11

12

13

14

15 3:02 P.M.

16

17

18

19

20 Via Telephone

21

22

23

24 - - -

Page 1

Veritext Legal Solutions215-241-1000 ~ 610-434-8588 ~ 302-571-0510 ~ 202-803-8830

1 A P P E A R A N C E S :23 ATTENDANCE OF BOARD MEMBERS4 Pasquale T. Deon, Chairman

Kenneth Lawrence, Vice Chairman5 Thomas E. Babcock

Joseph E. Brion, Esquire6 Michael A. Carroll, P.E.

Mark H. Dambly7 Robert D. Fox, Esquire

Honorable Stewart J. Greenleaf8 Kevin L. Johnson, P.E.

John I. Kane9 Obra S. Kernodle, IV

William J. Leonard, Esquire10 Deborah Mahler

Honorable Charles H. Martin111213

ATTENDANCE OF STAFF MEMBERS:14

Leslie S. Richards, General Manager15 Richard G. Burnfield, Deputy General Manager /

Treasurer16 Robert L. Lund, Deputy General Manager

Gino Benedetti, Esquire - General Counsel17 Carol R. Looby, Board Secretary

Stephen A. Jobs, Controller18 Scott A. Sauer, AGM, Operations

Francis E. Kelly, AGM, Government & Public19 Affairs

Stephanie Deiger, AGM, Employee Development /20 Relations

Kim Scott Heinle, AGM, Customer Experience &21 Advocacy2223 - - -24

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1 CHAIRMAN DEON: Welcome

2 everybody. Thank you.

3 The Regular Meeting of the Board

4 will now come to order. The Special

5 Meeting which was noticed has been

6 canceled.

7 Let me go over the attendance of

8 the Board members on the phone:

9 Vice Chairman Ken Lawrence?

10 VICE CHAIRMAN LAWRENCE: Here.

11 CHAIRMAN DEON: Tom Babcock?

12 MR. BABCOCK: Here.

13 CHAIRMAN DEON: Skip Brion?

14 MR. BRION: Here.

15 CHAIRMAN DEON: Mike Carroll?

16 MR. CARROLL: Present.

17 CHAIRMAN DEON: Mark Dambly?

18 MR. DAMBLY: Here.

19 CHAIRMAN DEON: Robb Fox?

20 MR. FOX: Here.

21 CHAIRMAN DEON: Senator

22 Greenleaf?

23 SENATOR GREENLEAF: Here.

24 CHAIRMAN DEON: Kevin Johnson?

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1 MR. JOHNSON: Here.

2 CHAIRMAN DEON: John Kane?

3 MR. KANE: Here.

4 CHAIRMAN DEON: Obra Kernodle?

5 MR. KERNODLE, IV: Here.

6 CHAIRMAN DEON: Bill Leonard?

7 MR. LEONARD: Here.

8 CHAIRMAN DEON: Charlie Martin?

9 MR. MARTIN: Yes.

10 CHAIRMAN DEON: And I would like

11 to welcome our newest Board member,

12 Debbie Mahler, from the Governor's --

13 almost Governor -- from the Mayor's

14 Office. Welcome Debbie to the Board.

15 MS. MAHLER: Thank you.

16 CHAIRMAN DEON: Representative

17 Toepel -- she is going to be in

18 Harrisburg voting today, so I just read

19 that little note here.

20 We'll start off with the Pledge

21 of Allegiance.

22 Pledge of Allegiance

23 CHAIRMAN DEON: Thank you,

24 everybody. The Board met in executive

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1 session just prior to this meeting to

2 discuss legal matters. I would like to

3 thank the riders and other residents who

4 are attending today's meeting.

5 SEPTA is facing unprecedented

6 challenges due to the COVID-19 crisis.

7 We are seeing some positive signs as we

8 look ahead to recovery for our region,

9 but we know there is still a long way to

10 go.

11 SEPTA's workforce has been a

12 source of pride for all of us during this

13 crisis. Thanks to their heroic efforts,

14 essential travel and services have been

15 preserved.

16 As many of you know, we are

17 mourning the loss of employees who have

18 died during the pandemic. I would like

19 to ask everyone for a moment of silence

20 in their honor.

21 (Whereupon, a moment of silence

22 was observed.)

23 CHAIRMAN DEON: Thank you. We

24 have a long and difficult recovery ahead

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1 of us. We are thankful for our funding

2 partners at the federal, state and local

3 levels for their continued support.

4 Funding from the Federal CARES

5 Act will play a big role as we work to

6 maintain operations, but we know it is

7 going to take additional resources to

8 preserve the public transportation that

9 drives our region.

10 We are looking forward to

11 getting back closer to the normal

12 routine, including a time when we can

13 once again gather at SEPTA headquarters

14 in these meetings.

15 Until this is possible, we will

16 continue to conduct remote meetings to

17 help ensure that this Authority has the

18 resources it needs to continue providing

19 essential service for the region.

20 Please note there are no

21 comments received regarding Agenda items

22 today on the Consent Calendar. There

23 were no comments, correspondence, e-mails

24 or voice messages received this month.

Page 6


1 (Whereupon, an attempt was made

2 to leave a message by a caller from

3 215-537-3190, but there was static on the

4 line.

5 The Board Secretary subsequently

6 tried to contact the caller without

7 success.)

8 Feedback from the April 23rd

9 Board Meeting has already been posted on

10 the Board section of the SEPTA website

11 for public review, along with the

12 official April Board Meeting Transcript.

13 The transcript of today's meeting will

14 also be posted on the website along with

15 comments from the recently held Operating

16 Budget and Capital Budget Hearings.

17 We greatly appreciate your

18 thoughtful engagement and advocacy for

19 public transportation, and I would like

20 to again thank all the riders and other

21 residents who are attending today's

22 meeting.

23 First item on the Agenda is the

24 approval of the minutes of April 23rd

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1 Regular Board Meeting. I'll entertain a

2 motion.

3 VICE CHAIRMAN LAWRENCE: So

4 moved. Ken Lawrence, I'll make the

5 motion.

6 MR. KANE: Second.

7 CHAIRMAN DEON: Moved and

8 second. Any comments or correction?

9 NO RESPONSE

10 CHAIRMAN DEON: I'll call the

11 question. All in favor say, "aye."

12 ALL: Aye.

13 CHAIRMAN DEON: Opposed.

14 NO RESPONSE

15 CHAIRMAN DEON: Hearing none,

16 the minutes are approved.

17 The Financial Report, Rich, can

18 you give us the Financial Report?

19 MR. BURNFIELD: Thank you, Mr.

20 Chairman.

21 The April Financial results

22 reflects the continued impact of the

23 COVID-19 pandemic. For the month, fare

24 box and other revenue was $36 million

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1 below budget, with ridership falling 92

2 percent on transit, and 98 percent on the

3 railroad, with the majority of the

4 month's shelter-in-place orders

5 throughout the month. Expenses were $18

6 million under budget as both transit and

7 regional rail service levels were reduced

8 to serve essential trips only. Subsidies

9 were also below budget by $8.3 million.

10 For the month, there was a deficit of

11 $26.2 million. The year-to-date

12 financial results record a deficit of

13 $33.1 million. It is expected that this

14 deficit will continue to increase for the

15 balance of the fiscal year with Federal

16 CARES funding to offset the deficit.

17 That concludes my report, Mr.

18 Chairman.

19 CHAIRMAN DEON: Thank you, Rich.

20 I'll entertain a motion for the Financial

21 Report be received and filed.

22 MR. BRION: So moved.

23 MR. KANE: Second.


Page 9


1 second. Any comments?

2 NO RESPONSE


4 I'll call the question. All in favor

5 say, "aye."

6 ALL: Aye.

7 CHAIRMAN DEON: Opposed?

8 NO RESPONSE


10 the April Financial Report is received

11 and filed.

12 Moving on to the Consent

13 Calendar which consits of:

14 "Award of Contract Pursuant to a

15 Request for Proposals;"

16 "Reimbursement Agreement Between

17 SEPTA and Transportation Relating to the

18 Reconstruction of JFK Boulevard in

19 Philadelphia County;"

20 "Acquisition from T.S.T.M., LLC

21 of a Parcel of Property located at

22 4901-03 Ridge Avenue, to be used in the

23 expansion and improvement of the

24 Wissahickon Transportation Center in

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1 Philadelphia;"

2 "Authorization to Award

3 Contracts for Various Procurements;"

4 "Award of Contracts for Sole

5 Source Procurements;"

6 "Authorization to Execute

7 Amendments."

8 Please note that Item I.A.1,

9 "Award of Contract Pursuant to a Request

10 for Proposals to Easton Coach Company,"

11 has been revised. Copies of the revised

12 Resolution have been provided to the

13 Board.

14 The remaining items on the

15 Consent Calendar have been reviewed by

16 the appropriate Board Committees in the

17 public session.

18 I'll entertain a Motion to Adopt

19 these Resolutions.

20 MR. BABCOCK: Moved.

21 MR. CARROLL: Second.


23 second.

24 Any abstentions?

Page 11


1 NO RESPONSE

2 CHAIRMAN DEON: Hearing no

3 further discussions, I'll call the

4 question. All in favor say, "aye."

5 ALL: Aye.

6 CHAIRMAN DEON: Opposed?

7 NO RESPONSE


9 the Resolutions are adopted.

10 Moving on to the report of the

11 General Manager, Richards. Ms. Richards?

12 GENERAL MANAGER RICHARDS: Yes.

13 Thank you, Chairman Deon.

14 When I addressed the Board, this

15 Board on April 23rd we were deep into

16 this pandemic and SEPTA was really

17 struggling with so many employees out

18 sick. As Chairman Deon already

19 mentioned, we lost seven members of our

20 SEPTA family over two months: Ted Nixon

21 and Michael Holt, both mechanics; Phil

22 Williams, a fueler; Yolanda Woodbury and

23 Terrence Burton, both bus operators; and

24 conductors: Michael Hill and Steve

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1 McFadden. They all died from

2 complications related to COVID-19.

3 We have come a long way since

4 April 23rd. We have restored service for

5 the spring schedules; 150 of our 284

6 employees who were out sick are now

7 healthy and have returned to work. This

8 SEPTA team concurs daunting challenges

9 every day, but we're also in a place

10 where we are planning for the future.

11 From the front lines to the GM team,

12 SEPTA has seized this crisis to think

13 boldly, prioritizing people in a much

14 more intentional way. We have changed

15 how we communicate with employees as well

16 as our customers. We have emphasized

17 equity in our fare proposal, and how we

18 conducted our virtual budget hearing

19 which concluded yesterday. I'm proud to

20 say that for the first time we welcomed

21 comments by phone and e-mail in three

22 different languages, ensuring greater

23 inclusivity than ever before. We have

24 innovated to keep our employees safe,

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1 engineering bus and trolley shields to

2 separate operators from unnecessary

3 exposure. We have collaborated -- been

4 collaborating with our industry peers and

5 partners to test and evaluate sanitizing

6 technology. We're implementing

7 temperature testing to ensure employees

8 are healthy, and give them the confidence

9 in safety of their workplace.

10 Looking to the future, SEPTA is

11 reevaluating every aspect of our

12 business, to help lead the region's

13 recovery. We are anticipating changes in

14 customer needs and behavior as everyone

15 eases back to work. Identifying

16 opportunities for continued improvement

17 and innovation.

18 SEPTA will open back up in steps

19 over the next few months, and we will

20 meet the needs of our employees, riders

21 and the region, no matter what the future

22 brings.

23 We want our customers to feel

24 comfortable every time they make the

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1 decision to ride SEPTA. And we know that

2 cleanliness and safety are their big

3 concerns. We want riders to know they

4 can expect safe and clean vehicles and

5 stations. Healthy bus operators and

6 train crews who use the appropriate PPE

7 all the time. They should expect service

8 on a frequent schedule that allows for

9 social distancing, and know that we

10 expect riders to wear facial covering.

11 We understand we need to build the trust

12 of the public and restore their

13 confidence that they are safe in our

14 system.

15 To close, I want to thank all of

16 my SEPTA colleagues. I am fortunate to

17 have inherited an incredibly talented and

18 committed team. They exceed my

19 expectations and have risen to the

20 occasion every single time. They are

21 doing truly amazing work.

22 Thank you.

23 CHAIRMAN DEON: Great. Thanks,

24 Leslie. And let me top off with, you

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1 know, I'd like to thank the Board because

2 this Board is a great resource, you know,

3 for myself especially, and every one of

4 the senior managers in the different

5 aspects of what we need, and also again,

6 point out that we do have, I think one of

7 the premier organizations in the country,

8 on how we're progressing with this thing,

9 and with the spectacular employees that

10 we have down there at SEPTA, I think it's

11 a hard run, but I think they have stepped

12 up to the challenge.

13 So without any further ado, do I

14 hear a motion to adjourn?

15 MR. BRION: So moved.

16 CHAIRMAN DEON: Second?

17 MR. CARROLL: Second.

18 CHAIRMAN DEON: There we go.

19 Thank you, guys. Stay safe. I'm sure

20 we'll be talking soon.

21 - - -

22 (Deposition concluded at 3:13 p.m.)

23

24

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1 C E R T I F I C A T E

2

3 COMMONWEALTH OF PENNSYLVANIA:

4 COUNTY OF PHILADELPHIA:

5

I do hereby certify that I am a Notary

6 Public in good standing, that the aforesaid

meeting was taken by me, pursuant to notice,

7 via telephone; that the information presented

was correctly recorded in machine shorthand by

8 me and thereafter transcribed under my

supervision with computer-aided transcription.

9

WITNESS my hand and official seal this

10 4th day of June, 2020.

11

12 <%7979,Signature%>

13 _________________________

Paulette Cox, Court Reporter

14 Notary Public

15

16

17

18

19

20

21

22

23

24

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year 9:11,15yesterday 13:19yolanda 12:22

[secretary - yolanda] Page 5


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