The Port Authority of New York and New Jersey Board Meeting Transcripts

March 26, 2020

[Board Chair K. O'Toole] Chairman Kevin O'Toole calling this meeting to order. Due to the ongoing public health crisis posed by the coronavirus and in light of the recommendations from the centers for disease control prevention to avoid gatherings of more than 10 people, today's meeting is being held virtually via teleconference and audio broadcast. These meetings with video and presentation will be live streamed in the Port Authority's website. We are now convening our public session of the Committee on Finance, which will be chaired by Commissioner Bagger, we will conclude the public portion of today's meeting with the public Board Meeting. Also, in light of the recent events, I have directed staff to post the presentation of Capital performance results on the Port Authority website rather than present it to the committee here today. So, let us start today's meeting on the Committee on Finance being held by Commissioner Bagger. Richard. [Comm. R. Bagger] Thank you, Mr. Chairman. Today's meeting of the Committee on Finance is being held in public session. Earlier today the Committee on Finance met jointly with the audit committee in Executive Session, discuss matters appropriate for Executive Session in the laws of New York and New Jersey. At this point I would ask our Board Secretary to advise the present of the composition of the committee and to confirm that this is an update that we have no recusals. [J. McCoy] The Committee on Finance is composed of Commissioner Bagger the Committee Chair, Commissioner Eve the Committee Vice Chair, Commissioners Horwitz, McCabe, and Pocino, all committee members will be participating as part of the teleconference. And I would note that Chairman O'Toole, Vice-Chairman Lynford, Commissioner LaBarbera, Commissioner McDonald, and Commissioner Rosado are also present. There are no requests for actions and therefore, no recusals. [Comm. R. Bagger] Thank you. As you know, for several years now, the Port Authority has each quarter reported publicly on its financial and operating results for the preceding quarter or on an annual basis, the preceding year, and also made that information available to the public on our website. So, this being, you know, our March meeting, we are scheduled to present the financial results for the year ending December 31, 2019. And so that is what our Chief Financial Officer Libby McCarthy is going to do right now, again, for purpose of continuing transparency of our operations.

Obviously, the year of 2019 now seems like a long time ago, you know, given all the events of the last several weeks, but we wanted to do, you know, again, present these financial results publicly today. So, our Chief Financial Officer Libby McCarthy. [L. McCarthy] Thank you, Commissioner. And good afternoon. [Financial Results Year Ended December 31, 2019, March 26, 2020] So, Jim, just move the slide forward. We are going to discuss our results for the end of the year. As we always do before we have discussed those results, I will just point out these are our audited financial results, but we are presenting them in a condensed format. So, they are best understood when we draft the introduction with the full financial statements, which has the accompanying notes and schedule. And that those full financial statements [Disclaimer] will be available on our website following this meeting. So, just again, Jim, if we can advance forward, [Net Operating Income (NOI)] I will start with our Net Operating Income. Net Operating Income for 2019, total $2.1 billion, which is in line with our 2018 results and our 2019 budgeted amounts. After consideration of noncash depreciation income from operations totaled $828 million, which is $97 million higher than the amount in 2018. This is driven by $176 million in final insurance recoveries related to Superstorm Sandy, partially offset by higher depreciation, the noncash depreciation expense which is a result of an aggregate of over $8.3 billion of assets being placed into service in 2018 and 2019. In total, the agency's net position or equity of $16.5 billion at the end of the year increased by $589 million in 2019. Now let me drill down and move to the next slide on our operating revenues. [Gross Operating Revenues] Gross Operating Revenue for the year increased $196 million or 3.7%. As you can see here, aviation indicates which provides a recovery of certain capital investments and operating expenses increased $95 million, primarily due to cost recoveries of increased customer service initiatives and policing and security costs, particularly for LaGuardia redevelopment traffic. Rentals increased $75 million, driven by scheduled rent increases, increased occupancy particularly at One World Trade Center and increased percentage rental at aviation import facility due to record activity level in 2019. Parking and other, which is a catch off category from miscellaneous revenue sources, increased $25 million driven by One World Trade Center tenant charges resulting from higher occupancy, increased parking as well as increased cargo facility charges from the records for container activity. If we move to the next slide, you can see our facility activity [2019 Facility Activity] across our facility. And much of our revenue growth stems from the strong activity growth that we had in 2019. And you will see that by sector on this

slide. From an operating expense perspective, 107 00:06:39,722 --> 00:06:44,266 [Operating Expenses] next, I propose operating expenses for 2019 [Operating Expenses] Next, I propose operating expenses for 2019 grew $188 million or 5.8%. And that was driven by scheduled contractual rate increases, incremental contracts support and headcount and wage growth. I will note that this also was balanced, and as we pointed out, on the net operating income slide due to our revenue growth. Contract payments to third parties increased $111 million. That is primarily related to scheduled contractor rate increases and incremental services as well as customer service and operational initiatives under speaking during the year. And higher E-ZPass, processing fees due to the higher E-ZPass utilization. And finally, on top of that, there was the commencement in 2018 of our maintenance payments at the new Goethals Bridge. So, we have a full year of that in 2019. On the cash flow side, next slide. [Cash Flow & Liquidity] As well strong financial performance resulted in positive cash flow and liquidity. Cash and investments per year in total $4.3 billion. The figure roughly reflects $1.9 billion of cash flow from operations, which is consistent with our 2018 results. Capital funds and available commercial paper that support our Capital program at year end totaled $1.1 billion consisting of Capital funds of $836 million and $249 million of commercial paper availability. And then when it is excluding our general reserve funding capital funds, our cash and investments are present 93 days of cash on hand. And then finally, I will just talk a little bit about where our bonds and other obligations stood at year end. [Bonds & Other Obligations] We had a total of $26.9 billion with $1.2 billion higher than the 2018 year-end and that is driven by our increased consolidated bond to fund our Capital program. With that, Mr. Chairman, concludes my remarks and I would be happy to take any questions. [Comm. R. Bagger] Thank you, Libby. And then thank you for that presentation of the strong operating and financial results for the Port Authority Board calendar year 2019. Are there any questions from members of the Board? Okay, hearing none, again, thank you. And, Mr. Chairman, that concludes our committee meeting. [Board Chair K. O’Toole] Thank you, Commissioner Bagger. The Board Meeting of the Port Authority of New York and New Jersey and component units is now being called to order. I would like to repeat a statement made previously for those who are just joining us now due to the ongoing public health crisis posed by COVID-19. And in light of the recommendations from the center for disease control and prevention to avoid gatherings of more than 10 people, today's meeting is virtual via teleconference with audio being live streamed in the Port Authority's website. On March 4, the Audit

Committee and Committee on Finance met in the Executive Session. Earlier today the Committee on Finance met in public session. The Committee on Finance and the Audit Committee also met jointly in Executive Session today. The reports will be filed with the official minutes of today's Board Meeting. The Commissioners also met in the Executive Session early today to discuss matters involving ongoing negotiations or reviews of contracts or proposals, matters related to the lease of real estate property where disclosure would affect the value thereof or the public interest, matters related to the personnel and personnel procedures and matters involving public safety or law enforcement. Earlier today the Committee on Finance met in public session. The Committee on Finance and the Audit Committee also met jointly in executive session. Our Executive Director Rick Cotton will provide his report, which will include, among other things, the agency response to the coronavirus. Rick. [R. Cotton] Thank you, Mr. Chairman. My report will cover the update on how the agency is operating and responding in light of the coronavirus crisis. And I do want to open my report today by underscoring that all of the Port Authority facilities are open, operating and serving the region, the airport, the Port Authority's bridges and tunnels, Bus Terminals, Bus Station, PATH, the Sea Port and the World Trade Center Campus. All facilities are observing the restrictions set out in the emergency orders in effect in both New York and New Jersey and are operating in the face of the huge challenges created by the crisis. Despite the challenges, the agency has embraced this responsibility to keep these essential facilities functioning. Critical shipments of food, fuel, and medicine have continued to float through the Sea Port during the Port Authority, in the airports across our bridges and through our tunnels. Our PATH systems, our bridges and tunnels, the Bus Terminal, the Bus Station have also supported essential workers who must get to work every day, including critical healthcare and public safety workers, first responders, and critical supply chain workers, all of whom are on the frontlines and helping the region get through this crisis. Keeping the Port Authority's facilities open and operating has demonstrated the dedication and commitment of Port Authority employees across the entire organization. And I thank them for their dedication and commitment. With respect to our operating volumes in light of the crisis, if you look back to the month of February, our facilities continue their pre-coronavirus trends of handling records monthly volume. With all-time highs for February traffic across our airport system at PATH is measured by average weekday ridership and at the new Goethals Bridge and Staten Island bridges. But February now seems like an eon and a world away. Here is where the agency's operating volumes stand today following the New York and New Jersey emergency orders which went into full effect this past weekend. At our bridges and tunnels, our daily truck traffic on our crossings this week, daily truck, daily truck traffic has fallen by approximately 20% compared to the comparable March 2019 level. Automobile traffic is down approximately 55% this week compared to March 2019 level. At our airport, daily passenger volumes at Port Authority airports of this week have fallen by 85% compared to March 2019 level. At PATH, weekday PATH's ridership this week has fallen by

approximately 90%. At the Port, a somewhat different story. Cargo volumes at our ports are down 30% when comparing March 2020 to March 2019. This decline at the Port is the result of the cancellation of 13 ships from the March schedule, ships which normally bring goods from China. These cancellations reflected the COVID-19 shutdowns in China earlier in the year. However, only five cancellations are projected for April, as factories in China begin to come back into operation. There are further indications from the shipping line that the second half of April will see a surge reflecting the feeling of back orders by Chinese back. Supply chains from Central and South America, largely bringing fruit and other agricultural commodities have remained intact. It seems that the Port Authority, the Port, the Sea Port, excuse me, will lead the recovery of volume post price. Excuse me. Now with respect to the impact of coronavirus on Port Authority employees, let me give the Board those figures. As of this morning, 23 Port Authority employees have tested positive for COVID-19. Many more employees have been tested with negative. There are 13 employees who are currently awaiting test results. We have 31 employees currently self-quarantining based on close contact with fellow employees who either tested positive or who exhibited symptoms and are now waiting test results. Now 164 employees who are previously quarantined have returned to service. Port Authority is fully committed to ensuring that those employees who have tested positive almost in fact all of whom are thankfully experiencing mild to moderate symptoms, get the medical attention that they require. These impacts have not compromised the operations at any of our facilities. At the airport and at the port, the Port Authority continues to work closely to support TSA and CBP as they have worked to maintain their staffing and operations. Construction has been designated as an essential sector. Therefore, Port Authority construction projects have continued to go forward. There have been some temporary stoppages caused by workers testing positive and the need for deep cleaning of various site. But the projects are moving forward. With respect to measures regarding our employees' health and safety, the Port Authority has undertaken multiple initiatives to implement alternative work arrangements to protect the health and safety of our employees, to respect the state's emergency orders that are intended to stop the spread of the coronavirus, and to assure the continued capacity to operate our facility. Specifically, the agency has aggressively implemented remote work arrangements to the point where there are now approximately more than 3,000 Port Authority employees working remotely. And we are looking constantly to increase that number consist with our operating responsibilities. For those frontline employees who must physically report to work in order to keep our facilities functioning, the Port Authority has radically revised worker arrangements to minimize both the risk to our employees and to minimize the impact of additional positive cases that would result in protective quarantines. Agency leadership has worked intensely to develop compressed and staggered work schedules so that essential workers arrive at work at different times to allow for social distancing and to reduce the creation of any large groups while ensuring full coverage. Many divisions have created A team and B team in terms of work that enable certain colleagues to work at the facility one day and at home another day, that splits up employees with similar skill sets. One subgroup of a ship works on

site, while the others remote. This rotation ensures that critical skill sets will always be available even if an employee in one team tests positive, requiring other individuals in that team to self- quarantine. We have maintained significant measures to assure social distancing on the job, facilities of compartmentalized workstations, maximizing physical separation between employees on the job. In addition, as of this past Sunday evening, the Port Authority has ended the physical exchange of cash between motorists and toll collectors, moving to cashless tolling at each of our Hudson River Crossing bridges and tunnels. The Staten Island to New Jersey bridges were already cashless. Turning to our enhanced cleaning of facilities and enhanced cleaning of employee workspace in light of the public health risks posed by COVID-19, the Port Authority implemented and continues to employ, enhance, and intensify cleaning procedures at all of our facilities, with a particular emphasis on the international arrival facilities at our airport by extending to every single aspect of our facilities with a focus on surfaces that are frequently touched. These enhanced cleaning and sanitizing protocols being conducted with a frequency never seen before utilized EPA-approved CDC Endorsed disinfect. In addition, the Port Authority has also enhanced its intense cleaning procedures in all common areas of employee workspaces, both offices and at our facility. With respect to our support for federal screening at the airport, the decisions regarding the screening of international passengers arriving to the United States are made by the federal agencies, the CDC and the US Customs and Border Protection. The Port Authority Police Department has provided support throughout for the screenings currently being carried out by these federal agencies, including support for any referrals for quarantine in cooperation with state and city health division. I might know that the Port Authority Police Department officers at all our facilities have been on the frontline as the agency has carried out its commitment to keep our facilities safe and to keep them operating and they deserve extraordinary praise for their dedication. With respect to all of our employees throughout the COVID-19 crisis, Port Authority employees have demonstrated their commitment and their lack of selfishness, they have tapped into their expertise and ingenuity to address in wide variety of challenges impacting our workforce and affecting the challenge of keeping our facilities in operation. These instances are too numerous across the agency, cannot mention all of them, but let me mention one. A great example of our employee ingenuity and impact was the response of the group of the Port Authority employees to the need to supply hand sanitizers, at all international arrival halls at our airports and elsewhere at our facility. Over the past few weeks, hand sanitizer and distribution devices have become scarce commodities. The Port Authority in-house staff was able to rapidly supplement these limited supplies at capacity, with more than 50 universally compatible hand sanitizer dispensers designed and built in house. These in-house dispensers are being filled with newly acquired stock, a brand new 70% alcohol sanitizers specially commissioned by New York State. This is but one example of multiple that I could mention of the commitment of Port Authority employees working with sister agencies as well as private sector partners to overcome obstacle. The destructive impacts of the coronavirus crisis extend broadly and deeply. These profound negative effects are being felt by the Port Authority itself by the airlines, by our

business partners across the Board at the airport, at the Bus Terminals, by bus carriers at the World Trade Center, by thousands of airport workers employed by hundreds of companies as well as workers employed by other contractors. The Port Authority recognizes the need for urgent action with the goals - first to get through the immediate crisis and second to prepare to support as rapid and extensive a recovery as possible. And we are dedicating ourselves in advance. A key part of the solution is federal assistance. Congress is in the process of acting. We have strongly supported the inclusion of a grant program to assist airports to recover from the impact of the coronavirus crisis. Assistance to the airlines to enable our airline partners to get back to health and ensure they can resume and recover. A grant program for use in connection with mass rail transit systems of all the kinds. And they brought on a purchasing program of the Federal Reserve in order to support broadly the municipal bond and public agency securities market on which the Port Authority is at. This federal support will be absolutely necessary to ensure that the Port Authority is able to play a strong role in jumpstarting the recovery once the state's emergency orders expire. Before I conclude, a personal note. Both my wife and I have now tested negative for COVID-19. I appreciate all the well wishes I have received from many, many people. We are both doing well. I am extraordinarily grateful that those members of the Port Authority staff who were quarantined as a result of my own diagnosis have all made it through that quarantine without becoming sick. I want to assure and to focus on assuring the health and safety of all of the agency's employees and to have agency do all that it can to assure the safety of those who utilize our facility. So, I conclude by thanking the agency's employees and recognizing the extraordinary work that all of them are performing in keeping our facilities open and operating in the face of today’s crisis. Mr. Chairman, I thank this Board for its support, I thank you for your support. And with that, I conclude my report. [Board Chair K. O’Toole] Thank you, Rick. It is an odd time, it is an odd place. We are sitting here in the agenda room, Rick, I, and a couple of staffers are conducting business. But last month has really tested us as a people and tested us as an agency. So, let us go to Rick's first point is that the Port Authority is open and doing business. This region, this country relies upon that. We have to have people move, we have to have cars and trucks coming in, ships coming in, supplies coming in. And we are the gateway for the commerce and for medical supplies, and necessary personnel. So, our commitment to the public is that we will stay open and we will keep a safe environment for all to traverse, and we will make sure that we will begin this comeback, this economic comeback that we will see hopefully sooner than later. Rick, I want to thank you, Rick, for your amazing leadership under very crazy circumstances, Rick. I know you have been through a lot, senior staff has been through a lot, but it is our experiences I guess before this time that has made us ready for this, Rick. And you have been extraordinary. And I want to say thank you to you and the senior staff and to the 30 senior staff members and to those people who are the department directors, who there are daily and there are weekly phone calls and follow-up. We have asked a lot of

you. And you know who I am talking about. And, Rick, and I want to thank you on behalf of the Commissioners, to all the senior staffers, and department directors. Well, thank you for your extraordinary effort. And I do not think we could ask you any more of you, but we will. And let me just say this, let me speak to The Port Authority employees. Rick and I have gone around to the various facilities. We have made hundreds of calls to random employees. And I will tell you, two or three weeks ago, there was a little bit of nervousness in their voices. And they did not quit, or we did not quite have our footing, we did not know what the future would bring. I will tell you as of late, you can hear it in their voices with your call on folks in engineering or legal or the port or medical or the airports or bussing, aviation. I will tell you to a person, there is hope, there is determination, there is amazing commitment to keep this mission strong. This agency has gone on and seen its battles and has been tested over the last 99 years and this is one of them. And let me just say to each of the employees, it has been strong for 99 years because of your undying commitment to keep this mission going forward. And Rick and I and the Commissioners Could not thank you anymore. And I will tell you that I have seen the wonderfulness, the beauty, the hard work, the grit of each and every employee. And we thank you for that. And now I think I have fully come to appreciate what the Port Authority is really is, that to the employees, we say thank you, thank you and thank you. This period of what we are going through is not forever. It is a week, or it is a month. It is a defile period that we are getting through. Let us all stay positive and let us get through this crisis and move on to a better day. To the Commissioners, I say thank you for your support. Thank you for your guidance. You have been terrific and wonderful. This has been a trying time for many, but I will tell you literally and figuratively, sun is starting to come out. I then now turn to my fellow Commissioners, any comments or questions for our executive director? [Vice Chair J.H Lynford] Can you hear me? This is Jeff. [Board Chair K. O’Toole] Yes, Vice Chair, we can hear you. [Vice Chair J.H Lynford] Thank you. In the past, I have used the adjective prodigious to describe the work of the Port Authority as a team. And I've been trying to think of words, and the only thing that comes to my mind are phenomenal to mind-bending. So once again, thank you, Rick, and all your colleagues, our colleagues, thank you. [R. Cotton] Thank you, Mr. Chairman. Thank you, Commissioners. [Board Chair K. O’Toole] Any other Commissioners want to add anything? Okay. And moving ahead, in lieu of our speakers who are programmed at this virtual teleconference, Rick's statements have been submitted to the Board and will be filed with the transcripts of today's Board Meeting, and which will be available on the Port Authority's website after the meeting. I would point out that none of the comments related to actual items before the Board here today. We will now proceed with the voting

for items for the Board's consideration. Each of the respective committee chairs will provide a brief report, prior to the matters being shared. As Chair of the Committee on Operations, I will now present an item that authorizes leases with a metal management our East Port continued use of occupancy of building berth open space at Port Newark through February 2025 at an aggregate rental of $19.89 million. Prior to making a motion, I ask the Corporate Secretary to note any recusals. [J. McCoy] There are no recusals. [Board Chair K. O’Toole] Do any Commissioners have any comments or questions? Now the motion please. [Commissioner] So moved. [Commissioner] So moved. [Board Chair K. O’Toole] Need a second. [Commissioner] Second. [Commissioner] Second. [Board Chair K. O’Toole] Roll call, please. [J. McCoy] Chairman O'Toole [Board Chair K. O’Toole] Yes. [J. McCoy] Vice-Chairman Lynford. [Vice Chair J.H Lynford] Yes. [J. McCoy] Commissioner Bagger. [Board Chair K. O’Toole] Commissioner Bagger? [Board Chair K. O’Toole] Next. [J. McCoy] Commissioner Eve. [Comm. L. Eve] Yes. [Board Chair K. O’Toole] She said yes.

[J. McCoy] Commissioner Horwitz. [Comm. D. Horwitz] Yes. [J. McCoy] Commissioner LaBarbera. [Comm. G. LaBarbera] Yes. [J. McCoy] Commissioner McCabe. [Comm. K. McCabe] Yes. [J. McCoy] Commissioner McDonald. [Comm. G. McDonald] Yes. [J. McCoy] Commissioner Pocino. [Comm. R. Pocino] Yes. [J. McCoy] Commissioner Rosado? [Comm. R. Rosado] Yes. [Board Chair K. O’Toole] Commissioner Bagger came back? [J. McCoy] Commissioner Bagger? [Comm. R. Bagger] Yes, I am here. [Board Chair K. O’Toole] Yes. You have a yes, Richard? [Comm. R. Bagger] Yes, I am. [Board Chair K. O’Toole] Okay. As votes are in order, this item is approved. Now Vice-Chairman Lynford as Chair of the Committee on Capital Planning, Execution and Asset Management will now provide his report before the Board. [Board Chair K. O’Toole] Vice Chair? [Vice Chair J.H Lynford] Thank you, Mr. Chairman. As Chair of the Committee on Capital Planning, Execution and Asset Management, I will now report on an item under

the Committee's purview. The item authorizes $850,000 in planning funds for the design of a future project for a Southbound Connector from the Express Rail Elizabeth Facility. The Elizabeth, the Port Authority marine terminal to adjacent consolidated rail corporation rail track. Prior to making motion on the sides, I may ask the Corporate Secretary to note any commissioner recusals on this matter. [J. McCoy] There are no recusals. [Vice Chair J.H Lynford] Thank you. Do any commissioners have questions or comments on this item? Hearing none, I request a motion and a second on this is item. [Commissioner] So moved. [Commissioner] Second. [Vice Chair J.H Lynford] I request the Corporate Secretary to call the roll for voting on this item. [J. McCoy] Chairman O'Toole. [Board Chair K. O’Toole] Yes. [J. McCoy] Vice-Chairman Lynford. [Vice Chair J.H Lynford] Yes. [J. McCoy] Commissioner Bagger. [Comm. R. Bagger] Yes. [J. McCoy] Commissioner Eve. [Comm. L. Eve] Yes. Yeah. [J. McCoy] Commissioner Horwitz. [Comm. D. Horwitz] Yes. [J. McCoy] Commissioner LaBarbera. [Comm. G. LaBarbera] Yes. [J. McCoy] Commissioner McCabe.

[Comm. K. McCabe] Yes. [J. McCoy] Commissioner McDonald. [Comm. G. McDonald] Yes. [J. McCoy] Commissioner Pocino. [Comm. R. Pocino] Yes. [J. McCoy] Commissioner Rosado? [Comm. R. Rosado] Yes. [Vice Chair J.H Lynford] As the votes are in order, the item is approved, and I turn the meeting back to our chairman. Thank you. [Board Chair K. O’Toole] Thank you very much, Vice Chair. Commissioner McCabe is Chair to Audit Committee will now provide an item for the Board for consideration. [Comm. K. McCabe] Thank you, Chairman. For serving to its authority under the bylaws and in chapter, the members of the Audit Committee have reviewed and approved the Port Authority financial statements, the dependent notes for the year ended December 31, 2019. As such, the Committee recommends to the Board that the financial statements being included in the Port Authority comprehensive annual financial report and other publications as appropriate. Prior to making a motion on this item, I ask the Corporate Secretary to note any commissioner's recusals on this matter. [J. McCoy] There are no recusals. [Comm. K. McCabe] Thank you. Do commissioners have any questions or comments regarding this item? Now I request the motion on this item. [Commissioner] So moved. [Commissioner] So moved. [Comm. K. McCabe] The second? [Commissioner] Second. [Comm. K. McCabe] Thank you. Now I request the Corporate Secretary to call roll call

for voting on this item. [J. McCoy} Chairman O'Toole. [Board Chair K. O’Toole] Yes. [J. McCoy] Vice-Chairman Lynford. [Vice Chair J.H Lynford] Yes. [J. McCoy] Commissioner Bagger. [Comm. R. Bagger] Yes. [J. McCoy] Commissioner Eve. [Comm. L. Eve] Yes. [J. McCoy] Commissioner Horwitz. [Comm. D. Horwitz] Yes. [J. McCoy] Commissioner LaBarbera. [Comm. G. LaBarbera] Yes. [J. McCoy] Commissioner McCabe. [Comm. McCabe] Yes. [J. McCoy] Commissioner McDonald. [Comm. G. McDonald] Yes. [J. McCoy] Commissioner Pocino. [Comm. R. Pocino] Yes. [J. McCoy] Commissioner Rosado. [Comm. R. Rosado] Yes. [Comm. K. McCabe] As the votes are in order the item is approved. Thank you, Mr.

Chairman. [Board Chair K. O’Toole] All right, thank you very much. Brief meeting here. We are going to adjourn the meeting, but I want to advise the press that we are going to be, Rick and I will be available for the next 10 minutes. If you want to submit written questions, then we will do our best to answer them. And if not, if it is beyond that, we will find a way to communicate our responses to you. To the Board members, thank you very much. Let us go out there and let us stay strong, fellas, and ladies and gentlemen. [Commissioners] Thank you, Mr. Chairman. [Board Chair K. O’Toole] You too. [Commissioners] Thank you, Mr. Chairman. [Board Chair K. O’Toole] All right, can we have motion to adjourn? Motion to adjourn, please? [Board Chair K. O’Toole] Motion. [Commissioners] So moved. [Commissioners] So moved. [Board Chair K. O’Toole] Second? [Commissioners] Second. [Commissioners] Second. [Board Chair K. O’Toole] All in favor? All in favor? [Commissioners] Aye. [Commissioners] Aye. [Commissioners] Aye. [Commissioners] Aye. [Board Chair K. O’Toole] Meeting's adjourned. [Commissioner] Thank you.

Addendum - Public Comments

1

Good afternoon,

In light of what’s going on in the world, I will refrain from pointing out all the actions that were taken to discredit me and protect Diannae Ehler after she physically assaulted and injured me on August 4th, 2016.

I will however, take this time to thank both Chairman O’Toole and Executive Director Cotton for their exemplary leadership and guidance during this most difficult time. Because of their leadership and guidance this Agency will not only survive …it will come out stronger than ever.

The actions they have taken to support the employees of the Port Authority and keep the “Region Moving” make me proud to be part of this Agency.

Chairman O’Toole and Executive Director Cotton’s recent actions along with the installation of the new “acting” Inspector General Michael Farbiarz solidify my belief that the day will come when the truth of what I was forced to endure and what occurred on August 4th, 2016, and thereafter will see the light.

Thank you again Chairman O’Toole & Executive Director Cotton for guiding us so well.

May we all stay safe and healthy!

Charlene Talarico

C o m p l e t e G e o r g e NeileWeissman,completegeorge.org,neileweissman@gmail.com

3/25/20

MembersoftheNewYorkandNewJerseyCongressionalDelegations:

ThePortAuthorityofNewYork&NewJerseyhaswrittentoyourequesting$1.9billioninemergencyaidtocoverlostrevenuesandothercostsstemmingfromthecoronaviruspandemic. TheAgencyarguesitsmissionistomovepeopleandgoodsandtosustainthelocal1

economy.Itstressesthatitacceptsnotaxpayerfundingforplayingthisrole.

TheDelegationshouldconsiderseveralmeasuresincraftingasupportpackageforthePortAuthority.IftheAgencyistoaccepttaxpayerfunds,thenitisreasonabletomakecertaindemandsontherelatedexpenditures.

In2016,CongressmanRangelpennedaletter,signedby10membersoftheNY-NJdelegation,callinguponthePortAuthorityto“shoreup20thCenturyinfrastructurethatcannotkeepupwiththedemandsofthe21stCentury.” GiventheAgency’scontinueddependenceon2

greenhouse-gas-emittingassets,thepresentmomentprovidesaprimeopportunitytomovetowardmoresustainableinfrastructure.

IurgeyoutosetgoalsfortheAgency’scapitalallocation.TheAgencyhasmaintaineda$30billioncommitmenttoupgradetheregion’sairportsdespitechallengesfacingtheindustry.Theseinvestmentsarenotonlyvulnerabletoapandemic,butfromsealevelrise,extremeweathereventsandrapidtransitiontoalow-carboneconomy. 3

Ifthepresentaidistosupportaircarriersandterminals,thedealshouldmandatecarbonoffsetsonallflights,withtheproceedsring-fencedtofundlocalmasstransit.Such“eco-taxes”havebeensuccessfullyimplementedinEurope. DomesticcarriersDeltaandJetBluehave4 5 6

voluntarilychosentooffsetallpassengertravel. 7 8

Ifyouraiddealspecifieda$10surchargeoneachtravelerservedbyNewark,KennedyandLaGuardia,itwouldgenerate$1.4billionforreinvestmentinPortDistrictmasstransitwhichwasstarvedforfundsevenbeforethecoronaviruspandemicsentitintocrisis.

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Becausebicyclingisthemostcost-effectivemeanstoreducevehicle-miles-traveledandthusCO2emissions,requirethePAtoincorporatebicyclingintoitscapitalplan.RequiretheAgencyto

establishrobustbikesharestationsatitsterminalsandcrossings,atminimalcost.Mandatethatitwidenthe1931-erapathsontheGeorgeWashingtonBridgeintomodernbikewaysconsistentwithnationalstandards. 9 10

Importantly,theGWBprojectcanbeeconomicallyachievednow,whilethePA’scurrent$1.9billionrestorationisongoing.Suchafacilitywouldhandle20,000bikecommutersperday.Thiswould:offerNewJerseycommutersaviablealternativetoavoidcongestionpricingcharges; 11

helpmitigatetraveldisruptionsfromweekendrepairstotheHudsonRailTunnels; andenable12

regionalresidentstotravelbybikeandfootatasafedistancefromothers,inthelikelyeventoffuturepandemics.

Today’scrisis,whichhaslongbeenpredictedbypublichealthofficials,bringsintorelieftheAgency’scapitalallocationandhowthatimpactstheregion’swell-being,soit’sfairtoconsiderthataspartofanyinfusionoftaxpayerfunds.

Wemustbeginnowtotakestepsawayfromrelianceonaviationandprivatevehicletravel.Feedingourdependenceonthemonlyincreasesemissions,whichmustbeoffsetelsewhere.Andcrucially,itdrawsresourcesfrominvestinginmodesthatovertimewillreduceemissions.

PleaseensurethatthePortAuthoritybegintakingstepstomoveourregiontowardaresilient,carbon-neutraltransitsystembeforethenextpandemicstrikes.

NeileWeissman,2020

Notes

“LettertoNY-NJCongressionalDelegation,”PANYNJ,3/19/20,https://tinyurl.com/vxketlb1

Rep.RangellettertothePortAuthoritycallingonthemtowidentheGeorgeWashington2

Bridgepaths,3/31/16,https://tinyurl.com/hxeokxz

“TwoDegreeWorld”,CompleteGeorge,December2018,https://tinyurl.com/y4fevkbz3

“Aviationtaxesandtheirroleinmanagingaviation’scarbonfootprint”,ICF,2019,https://4

tinyurl.com/yx26a7k8

“Flygskam:Whatistheflight-shamingenvironmentalmovementthat’ssweepingEurope?”The5

Independent,6/5/19,https://tinyurl.com/y5u455j5

“EcoTax,”CompleteGeorge,November2019,https://tinyurl.com/t3kcdb66

“DeltaAirLinesCEOannouncesthecarrierwillgo‘fullycarbonneutral’nextmonth,”CNBC,7

2/14/20,https://tinyurl.com/yx4odvy4

“JetBlueplanstogocompletelycarbonneutralonallU.S.flights,”WashingtonPost,1/8/20,8

https://tinyurl.com/u8arynb

“GeorgeWashingtonBridgeReconstructionMissestheMarkonSustainability,”RegionalPlan9

AssociationLAB,7/25/17,https://tinyurl.com/y95hkfch

“NationalStandards,”CompleteGeorge,August2017,https://tinyurl.com/y7p25wlj10

“CongestionpricingmaybecomingtoNY.What'stheimpactonNJ?”northjersey.com,2/5/19,11

https://tinyurl.com/tlxepgl

“Withtunnelrepairsintheoffing,bikesarekeytokeepingpeopleonthemove,”NJSpotlight,12

7/23/18,https://tinyurl.com/yave2bmy

From: Ian Mikusko Sent: Wednesday, March 25, 2020 11:19:53 AM (UTC-05:00) Eastern Time (US & Canada) To: PABoardInfo Subject: Bill Granfield and Alvin Ramnarain Statement - 3/26/20 Board Meeting

CAUTION: This email originated from outside the Port Authority. Do not open attachments or click on links from unknown senders or unexpected emails.

Submitted on behalf of Bill Granfield, President of UNITE HERE Local 100 and Alvin Ramnarain, President of Local 1102 RWDSU-UFCW. This letter was sent to the Chairman, Executive Director and the Board of Commissioners on March 24, 2020.

Dear Executive Director Cotton and Chairman O’Toole,

The states of New York and New Jersey have shown exceptional leadership in addressing the public health and economic crisis of COVID-19, and the Governors of both states have demonstrated a concern for the impact of this crisis on working people who are facing sudden layoffs and loss of healthcare. The Port Authority has an opportunity to take its own measures to mitigate the worst human costs of the crisis and help stop the spread of COVID-19 by protecting workers at JFK, Newark and LaGuardia airports. In the midst of the worst financial disaster the aviation industry has seen, workers are getting laid off abruptly in massive numbers, many of them losing their healthcare coverage in the process. UNITE HERE Local 100 has seen over 3,000 of 7,000 food service workers in the Port Authority airports laid off, and that number grows each day. At the same time, industries throughout the airport system are requesting relief from their financial obligations to the Port Authority. These bailouts should not come without certain guarantees that the workers in these companies receive basic protections that will help them survive the crisis. The Port Authority’s concessionaires are one of the industry groups requesting rent relief. It is imperative that any rent relief require that concessionaires protect NY and NJ residents by providing pay continuity for laid off workers and continuing health contributions to those who depended on their job for health coverage. Many laid off food service workers will lose their health coverage at the end of this month. This is unacceptable from a moral and public health perspective. The Port Authority Board should ensure that any bailout of concessionaires is fair by giving a portion of its benefits to airport workers. The attached proposal would provide 90 days of pay and continuing healthcare for thousands of airport concessions workers. In our region and around the country companies in many industries are taking steps in this direction. We urge you to take action on this issue as soon before a bailout is approved that does not include consideration for the income of all airport workers or the consequences of workers losing healthcare coverage during an unprecedented public health crisis.

Sincerely,

Bill Granfield President, UNITE HERE Local 100 Alvin Ramnarain President, Local 1102 RWDSU-UFCW

From: Ian Mikusko Sent: Wednesday, March 25, 2020 11:20:23 AM (UTC-05:00) Eastern Time (US & Canada) To: PABoardInfo Subject: Edith Muzquiz Statement for 3/26/20 Board Meeting

CAUTION: This email originated from outside the Port Authority. Do not open attachments or click on links from unknown senders or unexpected emails. Submitted on behalf of Edith Muzquiz: My name is Edith Muzquiz and I am a bartender for OTG at Newark Liberty International Airport. 10 days ago, I was abruptly laid off, and hundreds of my co-workers shared the same fate. When we were let go, we did not get any severance or continuation of benefits. Luckily, because of my seniority, I was called back in to work on a few days later. I’m not making much money because of lack of tips, but I took the job back so I could retain my health benefits. Otherwise I was at risk of being uninsured at the end of the month. I understand the situation. Everyone is struggling right now, including OTG and other airport food and retail companies. But there needs to be more respect shown to the people who have shown up at the airport every day for years to work and make the airports run. It is unacceptable that so many people could lose their healthcare at a time when we need it most. What will the consequences be if thousands of airport workers lose their income and benefits during this crisis? How will people pay rent? Get food? See the doctor? Airport food and retail companies are asking for financial relief from the Port Authority. That relief needs to help the actual employees of the company, not just the corporate interests. We need the Port Authority to use its power to make sure that companies do the right thing and not let airport workers like me suffer from a sudden loss of income and health benefits. Edith Muzquiz

From: Ian Mikusko Sent: Wednesday, March 25, 2020 11:21:45 AM (UTC-05:00) Eastern Time (US & Canada) To: PABoardInfo Subject: Maria Campos Statement - 3/26/20 Board Meeting

CAUTION: This email originated from outside the Port Authority. Do not open attachments or click on links from unknown senders or unexpected emails.

Submitted on behalf of Maria Campos:

My name is Maria Campos. I have spent 30 years working at LaGuardia Airport, the last 8 working for OTG, which runs restaurants at the airport. I thought I didn’t have to worry about job security until suddenly last week I was laid off. I did not receive any severance or continuation of benefits.

The layoff has left me in a very unstable situation. I relied on my job at LaGuardia for health benefits. Now, I am going to lose healthcare coverage at the end of the month. New York is the epicenter of coronavirus, and now I don’t know what I would do if I get it. Of course, there are also the bills that I have to pay, the food I need to put on the table and my basic living expenses. I am scared about how I am going to get through this.

It is a shame that so many people who have spent years of their lives working at the airport could lose everything so quickly. Companies that have been hurt by this are getting bailed out by governments all over the country. I hope any bailout that is given by the Port Authority to companies like more former employer, guarantees that workers like me get their fair share.

Maria Campos

From: Phil Jensen Sent: Wednesday, March 25, 2020 12:01:06 PM (UTC-05:00) Eastern Time (US & Canada) To: PABoardInfo Subject: Worldwide Flight Services statement

CAUTION: This email originated from outside the Port Authority. Do not open attachments or click on links from unknown senders or unexpected emails.

Worldwide Flight Services (WFS) is contributing to the effort to maintain the flow of essential goods , medical supplies, masks, ventilators and pharmaceuticals at six cargo facilities at JFK. WFS has handled seven Ad hoc cargo freighters to date that included more than 325,000 kilos of pharmaceuticals and other materials important to commerce and the economy. Other WFS cargo freighter operators have increased their flight schedules that has resulted in congestion in the warehouses and staffing shortages. JFK community conference calls with the Port Authority and Customs Border Protection have helped identify problem areas to maintain cargo operations to substitute the cargo lost due to high reduction of passenger flights.

Phil Jensen VP Business Development and Industry Affairs

From: Brophy, Steve Sent: Thursday, March 26, 2020 7:25:18 AM (UTC-05:00) Eastern Time (US & Canada) To: PABoardInfo Subject: PATH labor negotiations

Good afternoon Mr. Chairman, Executive Director and Board members,First, I’d like to say to you Mr. Director that I am glad to see that you and your wife have made a speedy recovery. Ladies and gentlemen, at the last meeting my colleagues and I requested that a more active role be taken by you in the negotiating process between The Port Authority, more specifically Mr Delaverson, and the PATH unions. Its not lost on us how far, through your leadership, this Agency has been moved forward. Now, with what we are experiencing together your leadership has never been more important.The Port Authority has been through more in its history than any agency should ever have to . The way we, as a Port Authority family, have endured every storm is what makes me proud to be an Port Authority employee. Now we face another crisis, COVID-19, something that we have not faced before. The employees of The Port Authority/PATH are the back bone of transportation and commerce in this region. As a family, we get the healthcare worker, the janitors, the cashiers, the gas station attendants and supplies to their destination and its an honor to do so.I have heard it said here, on numerous occasions, that an agreement had been reached with most PATH unions. This is not the case. In fact, most PATH unions have not settled, and we are still at an impasse. More accurately, no technically skilled labor unions have settled on their respective contracts. Moreover, the skilled labor unions who have brought back tentative agreements to be voted on, were as you are aware, voted down overwhelmingly.

In closing Mr. Chairman, in light of this current crisis I respectfully request that it not be lost on this Board, that we the PATH labor

force, have not had a contract in nine years. And that now more than ever our healthcare benefits should not be modified. I wish you all well and may we all stay safe in the months to come.

Thank you