State of the Agency

8/20/2019 State of the Agency

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State of the Agency

Phillip A. Washington

Chief Executive Officer

January 28th, 2016

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• To report on the State of the Agency onan annual basis, outlining the previousyear’s accomplishments, the upcomingyear’s goals and challenges, and thegeneral state of the agency as seenfrom the lens of the CEO.

State of the Agency

State of the Agency: Overview

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State of the Agency

Agency Organizational Chart

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State of the Agency

Operations: Bus and Rail 2015 Accomplishments

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Improved and increased training hours fortransportation and maintenance personnel.

• Improvements made in both bus and rail fleetswith a combination of overhaul campaigns and

procurements of new vehicles.

• Initiated a combination of projects to addressoperator safety and security concerns.

(Installation of video cameras and operatorbarriers).


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State of the Agency

Operations: Bus and Rail 2016 Goals

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• Implementation of an annual safety trainingprogram for all bus and rail operators to addresstop accident factors.

• Successful openings of the Foothill and Expoextensions and supporting operation facilities.

• Stabilization of existing capital programs andintroduction of new programs to maximize use ofavailable funds.


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State of the Agency

Operations: Bus and Rail 2016 Challenges

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• Attraction and recruitment for maintenance

technical positions from limited applicant pools.

• Optimizing the amount of transit service on thestreet within the budget resources available.

• Maintaining that portion of the bus and rail fleetswhose reliability is affected by advancing age,obsolescence, and limited vendor availability.


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State of the Agency Program Management 2015 Accomplishments

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• Completion of Division 13.

• Issued RFQ/RFP for Westside Purple LineExtension – Segment 2.

• Substantial completion for I-405 project.


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State of the Agency Program Management 2016 Goals

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• Achieve 50% completion on Crenshaw/LAXproject.

• Award design-build contract for Westside Purple

Line Extension – Segment 2.

• Keep 75% of the highway projects funded byMeasure R and managed by Metro HighwayProgram on schedule.


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State of the Agency Program Management 2016 Challenges

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• Managing projects within budget and scheduleconsidering significant technical, managerial,political and unknown risks.

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Working effectively with stakeholders toconcurrently meet Metro and stakeholder goals.

• Maintaining the resources and qualified peopleneeded to manage large and complex projects.


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State of the Agency Planning and Development 2015 Accomplishments

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• Advanced the Potential Ballot Measure and LongRange Transportation Plan.

• Advanced Measure R transit projects and met all

major milestones.

• Created the Transit Oriented CommunitiesProgram and refocused the Joint Developmentprogram.


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State of the Agency Planning and Development 2016 Goals

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• Secure Metro Board of Directors and ultimatelyvoter approval of a Potential Ballot Measure.

• Continue project development and readiness forMeasure R projects.

• Complete environmental assessment andpreliminary engineering for the Rail to Rail(River) Active Transportation Project.


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State of the Agency Planning and Development 2016 Challenges

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• Metro Board of Directors and voter approval ofPotential Ballot Measure.

• Manage the increasing number of Board and

Stakeholder priorities with diminishing agency-wide resources.

• Attract and retain talented workforce.


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State of the Agency Office of Extraordinary Innovation 2015 Accomplishments

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• Began work and hired staff to build the newOffice of Extraordinary Innovation (OEI).

• Assisted in finalizing a new Unsolicited Proposals

Policy to consider new innovative ideas from theprivate sector in 2016.

• Introduced the Office of ExtraordinaryInnovation to the political, transportation,

business, academic and general community inLos Angeles County.


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State of the Agency Office of Extraordinary Innovation

2016 Goals

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Begin piloting or demonstrating 2-3 new ideasthat can potentially improve mobility in the LosAngeles region.

• Identify at least one potential large-scale P3

project for LA Metro to pursue.

• Begin a comprehensive strategic planningprocess for LA Metro.

Offi f E di I i


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State of the Agency Office of Extraordinary Innovation

2016 Challenges

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• Effectively and efficiently sorting through thenumerous unsolicited proposals that will besubmitted to Metro.

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Surmounting likely resistance to newinnovations that OEI will propose anddemonstrate.

• Carefully selecting the areas within Metro

where OEI can collaborate to have the greatestpositive impact.

Ri k S f & A M


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State of the Agency Risk, Safety, & Asset Management 2015 Accomplishments

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• Reduced the number of reported industrialinjuries by 8.7%, saving future disability, medicaland legal expenses estimated at $4.4 million.

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Developed and published the agency’s firstTransit Asset Management Plan.

• Metro’s major transit project OSHA recordableinjury rate for all projects was 0.8 which is well

below the national average rate of 3.2.

Ri k S f t & A t M t


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State of the Agency Risk, Safety, & Asset Management 2016 Goals

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• Complete condition assessments on the following assets:

• Metro bridge, tunnel and structures (100% inspected);• Metro Red Line communication infrastructure;• Metro’s three oldest light rail and heavy rail vehicle fleets;• Implement a multi-year asset inspection plan.

• Complete Metro’s first Continuity of Operations Plan to ensureimmediate continued operations following a natural disaster.

• Maintain Metro’s major construction project recordable injuryrate for all projects at 50% or better than the national

average.

Ri k S f t & A t M t


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State of the Agency Risk, Safety, & Asset Management 2016 Challenges

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• Continuing to advance Metro’s safety culture by ensuringthat safety is an ongoing part of operational and capitaldecisions.

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Expanding the Enterprise Asset Management departmentto more broadly assess the component level realdepreciation of Metro’s infrastructure/rolling stock andthen implementing a sustainable program to fund andmaintain the assets.

• Recruiting and selecting highly qualified and competentrail safety, fire/life safety and construction safety staff.

Fi d B d t


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State of the Agency Finance and Budget 2015 Accomplishments

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• Major Improvements to TAP Fare CollectionSystem.

• Developed three-prong approach to achieving

financial sustainability with the Risk AllocationMatrix (RAM) concept. The RAM concept hasidentified $200M in savings and new revenues byFY17 and will help foster financial disciplinethroughout the agency.

• Refunded bonds to reduce principal and interestexpense, yielding savings of $11.6 million, andobtained credit rating upgrades from Moody’s and

Standard and Poor’s rating agencies.

Fi d B d t


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State of the AgencyFinance and Budget2016 Goals

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• Achieve Long-term Fiscal Sustainability.

• Continue succession planning in major functionalareas within Finance & Budget.

• Complete development of a Regional InteragencyTransfer on Second Boarding, integrate TAP asa membership card for Bikeshare, developregional mobile application for all Munis and

Metro, expand the TAP sales vendor network andexpand locations from 400-500.

Finance and Budget


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State of the AgencyFinance and Budget2016 Challenges

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• Ensuring the prudent and effective use of Metroresources in light of increased external demands.

• Working with Construction/Capital/Operating

Project Managers to assess the impact of agencyexpenditures on our ability to borrow atfavorable terms.

• Increasing Farebox recovery rate.

Information Technology Services


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State of the Agency Information Technology Services

2015 Accomplishments

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• Completed several initiatives in support of the CustomerExperience Transformation Program including:• Completed a comprehensive Customer Investment

Strategy study which resulted in 28 viable projects.• Implemented a web-based self-service application that

allows customers to access/reserve/pay/manage Metrobike lockers at select rail stations.

• Installed and activated voice, network, data and securitycommunication technology in Newly Constructed facilities.

• Completed the Applications Portfolio Analysis and Roadmapinitiative as part of the IT Strategic Plan and AssessmentProgram.



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2016 Goals

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• Advance the Customer Experience Transformation•

120-Bus Pilot for Connected Buses• Subway Cellular Services• Next Generation Trip Planner

• Continue the IT Strategic Plan and Assessment Program•

Complete an Information Technology Strategic Plan• Complete an Bus / Rail Fleet Systems Strategic Plan• Conduct a Cyber Security Assessment

• Continue the Activation of Newly Constructed/Relocated

Facilities.• Complete the Expo Line Phase II: Div 14 and 7 rail

stations• Complete the Harbor Transit Improvement Phase II



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2016 Challenges

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• Aging workforce.

• Addressing Exponential Growth inElectronically Stored Information.

• Avoiding Duplication of Technology RelatedServices and Solutions.

Communications


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State of the Agency Communications


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• Developed and implemented Metro’s 25TH anniversary of rail campaign and celebration.

• Initiated process for regional collaboration in

the development of a potential ballot measureand secured passage of SB767.

• Developed and distributed Metro’s AnnualReport to the Community.

Communications


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2016 Goals

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• Promote and educate the public about theagency’s projects, programs, services andmobility options.

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Educate and engage the public on futuretransportation planning and investmentopportunities.

• Optimize internal and external resources to

effectively and efficiently enhance thecustomer experience.

Communications


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2016 Challenges

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• Keeping communications streamlined andcoordinated, and maintaining one voice withinthe agency and within the community.

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Aligning budget and staff resources to meet thegrowing demand for communications efforts.

• Setting and managing expectations about theever-changing dynamics of construction projects

while proactively communicating constructionimpacts.

Civil Rights and Equal Employment Opportunity


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State of the Agency Civil Rights and Equal Employment Opportunity


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• Significantly reduced the number ofaccessibility related complaints received byCustomer Relations.

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Achieved full compliance for Sexual Harassmenttraining for management.

• Prepared, submitted and received approvalfrom FTA for Metro’s agency wide Affirmative

Action Plan.



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2016 Goals

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• Implement an effective program for oversight ofADA compliance by sub-recipients.

• Work with staff to develop Affirmative Action

goals and monitoring at the department level.

• Prepare and submit Title VI Program Update andreceive approval from FTA.



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2016 Challenges

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• Providing excellent service for Metro’s growingridership by customers with disabilities.

• Securing support and funding to ensure all

facilities can be made compliant with existingADA regulations.

• Ensuring that all staff are not complacent aboutcivil rights and fail to fully respect the civil

rights of customers and fellow employees.

Management Audit Services


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State of the Agency Management Audit Services


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Completed and/or managed 177 audits consisting of• 75 contracts and grants audits.

• 97 financial and compliance audits to support fiscalresponsibility and legal/regulatory compliance (Prop A, C,Measure R, STA, TDA, CPC, NTD, etc.)

• 5 performance audits with recommendations to promoteefficiency and effectiveness, safeguard of assets,

operational and financial information reliability, andregulatory compliance.



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2016 Goals

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• Complete financial and compliance audits ofgrants, contracts and funding requirements tosupport financial stability, legal and regulatorycompliance, and capital project delivery on timeand within budget.

• Complete performance audits to promoteefficiency and effectiveness, safety, security,innovation, information reliability and excellencein customer service.

• Invest in staff development to attract and retainthe best employees and help staff achieve theirprofessional goals.



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2016 Challenges

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• Image - our stakeholders need to view

Management Audit as "Business Partners" not a"Compliance Cop or Roadblock" in theirsuccess.

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Juggling multiple priorities in providingassurance in the growing areas of compliance,advancing technology, big data, and riskmanagement (including fraud); all in thebackdrop of limited resources.

• Succession Planning

Labor/Employee Relations


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State of the Agency Labor/Employee Relations


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• Completed Labor Agreements with AFSCME &

Teamsters Unions, and reduced cases appealed toarbitration from 1,000 to 400.

• State of Good Repair – Renovated Union Station EastPortal Restroom and installation of new generator to

handle the larger load due to growth of equipment inthe Gateway Building.

• Implemented Talent Development Programs•

Leadership Academy• New on-boarding program• Veterans Luncheon



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State of the Agency Labor/Employee Relations 2016 Goals

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• Implement Bus Operator and Pre-TransitOperations Supervisor Training Program andApprenticeship/Rail Technical Training program.

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Develop and implement plans to address APTApeer review findings of Talent ManagementDepartment and the Class/Comp ConsultantStudy on Agencywide positions.

• Develop general transportation industry careerpathway for Metro employees.



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State of the Agency Labor/Employee Relations 2016 Challenges

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• Obtain approval of and implement plan in

response to Class Comp Study and APTA PeerReview.

• Develop and implement workforce developmentprograms for all Metro employees.

• Complete all building renovations on time andwithin budget.

Congestion Reduction


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State of the Agency Congestion Reduction


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• Completed the Project Study Report and ProjectDevelopment Support for the I-105ExpressLanes.

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Initiated the Net Toll Revenue ReinvestmentAllocation process.

• Expanded Southern California 511 to includereal-time transit information for Pasadena ARTS,

Glendale Beeline and Metro Rail.



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State of the Agency Congestion Reduction

2016 Goals

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• Complete the ExpressLanes Strategic Plan.

• Initiate the modernization of the RegionalIntegration of Intelligent Transportation Systems

(RIITS) and Southern California 511 systems.

• Ensure continued improvement in customerservice for all programs.



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State of the AgencyCo ges o educ o

2016 Challenges

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• Leading and implementing changes amongpartner agencies.

• Keeping abreast of changing technologies.

• Completing tasks in an ever changingenvironment and limited resources andpotential institutional limitations.

Vendor/Contract Management


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State of the Agencyg


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• Implemented the Local Hire Pilot program on

federally funded construction projects andimplemented the Project Labor Agreement andConstruction Careers Policy on all mega projects.

• Launched the new Vendor Portal website.

• Proceeded with four major solicitations forConstruction and Rolling stock projects:

• Westside Purple Line Extension – Section 2•

New Heavy Rail Cars• A650 Railcar Overhaul Program• P2000 Railcar Overhaul Program



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2016 Goals

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• Implement steps to reduce inventory by $15M working thru

Operations, Procurement and Material Planning.

• Implement a new Prompt Payment requirement for allprimes.

• Implement small business programs:• Tiered Small Business Pilot program.• Complete the full implementation of B2GNow

tracking program• Legislative change to PUC Section 130232 (5) where

meeting an SBE goal can be a condition for an awardunder a low bid process.



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2016 Challenges

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• Ability to perform consistent and timely oversight

of the mega construction projects, including,consistent contract interpretation and enforcementand completing contract modifications.

• Meeting competing priorities for procurement

actions.

• Establishing scope of work standards.

System Security and Law Enforcement


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State of the Agencyy y


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• Deployed “high visibility law enforcement and security

patrols” to improve fare enforcement, increased system-widepresence and laid the groundwork for increased crimeprevention in 2016.

• Realigned resources to improve performance in the following

key areas:• Response Times• System-wide visibility• Fare Evasion• Enforcing Metro’s Code of Conduct

• Incorporated technology into our day-to-day security

operations.



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2016 Goals

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• Reduce system-wide transit related crime by 5%

• Reduce system-wide fare evasion by 5%

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Improve system-wide security and lawenforcement performance/visibility whilereducing overall costs by 10%.



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2016 Challenges

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• Mitigating risks associated with terrorism andday-to-day crime

• Identifying innovative ways to partner with the

community to reduce blight and disorder, addressquality of life concerns and enforce Metro’s Codeof Conduct.

• Transforming Metro’s Security Workforce.

Agency-wide Emerging Challenges and Priorities for


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State of the Agencyg g g g

2016

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• Fiscal Stability• Risk Allocation Matrix (RAM) Implementation• Service and Fare Media Optimization

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Potential Ballot Measure Preparation andExecution• ( Performance Metrics, Education Plan,

Modeling and Sequencing projects, PublicInput and Feedback, etc.)



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State of the Agency2016 cont.

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• On time, on budget – Program Management• Rail line openings• Vision for Los Angeles Union Station• Implementation of Annual Program Evaluation

initiative.• Implementation of OPERATION Shovel Ready

(impacting projects county wide).• Contract award/administration on major

projects.• Improve community outreach and relations

associated with construction activity.•

Continue improving construction permittingprocesses.• Need to further streamline processes across

the agency and in all areas.



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• Enhancing the Ridership Experience• Increasing ridership• Cellular service in the tunnels• Asset management• ADA Compliance• Better understanding the communities and

customers we serve.• Enhance safety and security, including cyber

and physical security issues.• Increased technological advancement to

benefit the rider (outward facing).

S



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• Workforce Development/Performance

Management• Merit-Performance based accountability• Succession planning• Speaking with one voice• Strengthening safety culture• Building career pathways (entry to exit)

• Implementing innovation in all areas andcreating a culture of innovative thought.

S f h A

General State of the Authority


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State of the Agency General State of the Authority

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• Sound, with many challenges, but that are

being addressed and with opportunities that areachievable.

• One of expectation for transformative positivechange.


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Thank you

Documents

State of the Agency