1. 1 CALIFORNIA HIGH-SPEED RAIL A TRANSFORMATIVE INVESTMENT IN CALIFORNIA’S FUTURE CALIFORNIA HIGH-SPEED RAIL A TRANSFORMATIVE INVESTMENT IN CALIFORNIA’S FUTURE JUNE 23, 2014 HARTFORD, CONNECTICUT INTERNATIONAL RIGHT OF WAY ASSOCIATION ASSOCIATION P R E S E N T E D B Y DON GREBE DIRECTOR OF REAL PROPERTY

2. 2 Who are you working with? Courtesy: CareerBuilder.com

3. 3 Ice breaker Workforce Workforce  Public Employees  Consultants  Hybrid of Both Method of Project Delivery Method of Project Delivery  Design-Build  Design-Bid-Build  Other Workforce Workforce  Public Employees  Consultants  Hybrid of Both Method of Project Delivery Method of Project Delivery  Design-Build  Design-Bid-Build  Other Ideal Right-of-Way Organization for Delivery of High- Speed Rail Project Review & Approval Process Review & Approval Process  Additional Agencies  Autonomous  Hybrid of Both Funding Funding  Bonds & Grants  Taxes, Tolls or User Fees  (P3) Public-Private Partnership Review & Approval Process Review & Approval Process  Additional Agencies  Autonomous  Hybrid of Both Funding Funding  Bonds & Grants  Taxes, Tolls or User Fees  (P3) Public-Private Partnership

4. 44 CALIFORNIA HIGH-SPEED RAIL A TRANSFORMATIVE INVESTMENT IN CALIFORNIA’S FUTURE CALIFORNIA HIGH-SPEED RAIL A TRANSFORMATIVE INVESTMENT IN CALIFORNIA’S FUTURE

5. HIGH-SPEED RAIL: more than a transportation program California is 8 th Largest Economy in the World California is 8 th Largest Economy in the World Comparable to Northeast Corridor in Terms of Distance, Population and Complexity Comparable to Northeast Corridor in Terms of Distance, Population and Complexity It is a Transformative Investment It is a Transformative Investment Connecting all California Population Centers Connecting all California Population Centers California is 8 th Largest Economy in the World California is 8 th Largest Economy in the World Comparable to Northeast Corridor in Terms of Distance, Population and Complexity Comparable to Northeast Corridor in Terms of Distance, Population and Complexity It is a Transformative Investment It is a Transformative Investment Connecting all California Population Centers Connecting all California Population Centers

6. Challenges of transformative projects Transformative Projects Have Never Been Easy Transformative Projects Have Never Been Easy Golden Gate Bridge: Golden Gate Bridge: “Upside-Down Rat Trap that will Mar the Beauty of the Bay” “Upside-Down Rat Trap that will Mar the Beauty of the Bay” 2,000+ Lawsuits 2,000+ Lawsuits BART – Once Called the Train to Nowhere BART – Once Called the Train to Nowhere Calif. State Water System, University of Calif. System Calif. State Water System, University of Calif. System Single-Vote Margins Single-Vote Margins Transformative Projects Have Never Been Easy Transformative Projects Have Never Been Easy Golden Gate Bridge: Golden Gate Bridge: “Upside-Down Rat Trap that will Mar the Beauty of the Bay” “Upside-Down Rat Trap that will Mar the Beauty of the Bay” 2,000+ Lawsuits 2,000+ Lawsuits BART – Once Called the Train to Nowhere BART – Once Called the Train to Nowhere Calif. State Water System, University of Calif. System Calif. State Water System, University of Calif. System Single-Vote Margins Single-Vote Margins 6

7. Why high-speed rail in California? Curbs Congestion Curbs Congestion – LAX to SFO is the Busiest Short-Haul Market in US – 1 in 6 Flights out of LA Heads to San Francisco Bay Area – Six of Top 30 Congested Urban Areas in US Located in California Population Growth Estimated to Reach 50 Million by 2050 Population Growth Estimated to Reach 50 Million by 2050 Air Quality/Sustainability Air Quality/Sustainability – Meets Goals of AB 32/SB 375 – Worst Air Communities in the U.S. Alternatives are Costly Alternatives are Costly – 2-3 Times More Expensive Curbs Congestion Curbs Congestion – LAX to SFO is the Busiest Short-Haul Market in US – 1 in 6 Flights out of LA Heads to San Francisco Bay Area – Six of Top 30 Congested Urban Areas in US Located in California Population Growth Estimated to Reach 50 Million by 2050 Population Growth Estimated to Reach 50 Million by 2050 Air Quality/Sustainability Air Quality/Sustainability – Meets Goals of AB 32/SB 375 – Worst Air Communities in the U.S. Alternatives are Costly Alternatives are Costly – 2-3 Times More Expensive

8. Results for California Reduction in Vehicle Miles Traveled (VMT) Reduction in Vehicle Miles Traveled (VMT) – By 2040, the system will reduce vehicle miles by almost 10 million miles every day – By 2030, the reduction in VMT would be like removing one 500- mile lane of cars Daily Number of Flights Diverted Daily Number of Flights Diverted – Starting in 2030, the state will see a daily reduction of 93 to 171 flights – By 2040, the state will see a daily reduction of 97 to 180 flights Statewide Air Quality Improvement Statewide Air Quality Improvement – Tons of volatile organic compounds reduced – Tons of particulate matter reduced – Tons of ozone precursors Reduction in Vehicle Miles Traveled (VMT) Reduction in Vehicle Miles Traveled (VMT) – By 2040, the system will reduce vehicle miles by almost 10 million miles every day – By 2030, the reduction in VMT would be like removing one 500- mile lane of cars Daily Number of Flights Diverted Daily Number of Flights Diverted – Starting in 2030, the state will see a daily reduction of 93 to 171 flights – By 2040, the state will see a daily reduction of 97 to 180 flights Statewide Air Quality Improvement Statewide Air Quality Improvement – Tons of volatile organic compounds reduced – Tons of particulate matter reduced – Tons of ozone precursors 8 8

9. Environmental Benefits: high-speed rail’s best kept secrets 9 9 Preserving Agricultural Land Preserving Agricultural Land Improving Air Quality Improving Air Quality Preserving and Enhancing Preserving and Enhancing Critical Habitat Critical Habitat Reducing Greenhouse Gases Reducing Greenhouse Gases Enabling Smart Land Use Enabling Smart Land Use Urban Greening: Planting Trees Urban Greening: Planting Trees Modernizing Transit Statewide Modernizing Transit Statewide Using Renewable Energy Using Renewable Energy

10. 10 A STATEWIDE RAIL MODERNIZATION PLAN Connecting California Caltrain Electrification & Early Investments in the Peninsula Corridor Caltrain Electrification & Early Investments in the Peninsula Corridor Central Valley “Backbone” of High-Speed Rail Central Valley “Backbone” of High-Speed Rail Regional Enhancements in Southern California Regional Enhancements in Southern California Statewide Connectivity Projects & Investments Statewide Connectivity Projects & Investments Connecting California Caltrain Electrification & Early Investments in the Peninsula Corridor Caltrain Electrification & Early Investments in the Peninsula Corridor Central Valley “Backbone” of High-Speed Rail Central Valley “Backbone” of High-Speed Rail Regional Enhancements in Southern California Regional Enhancements in Southern California Statewide Connectivity Projects & Investments Statewide Connectivity Projects & Investments

11. 11 CONNECTING CALIFORNIA: Small Businesses Aggressive 30% Goal for Small Business Participation Which includes: 10% for Disadvantaged Business Enterprises (DBE) 10% for Disadvantaged Business Enterprises (DBE) 3% for Disabled Veteran Business Enterprises (DVBE) 3% for Disabled Veteran Business Enterprises (DVBE) Meeting & Exceeding Goals Free Statewide Small Business Certification Workshops Partnerships with Federal, State and Local Organizations Robert Padilla, Small Business Advocate Aggressive 30% Goal for Small Business Participation Which includes: 10% for Disadvantaged Business Enterprises (DBE) 10% for Disadvantaged Business Enterprises (DBE) 3% for Disabled Veteran Business Enterprises (DVBE) 3% for Disabled Veteran Business Enterprises (DVBE) Meeting & Exceeding Goals Free Statewide Small Business Certification Workshops Partnerships with Federal, State and Local Organizations Robert Padilla, Small Business Advocate

12. Connecting California: Job CREATION 12 Work on Statewide Rail Modernization Program is Underway Work on Statewide Rail Modernization Program is Underway Construction: Direct, Indirect Jobs in Hard-Hit Sectors Construction: Direct, Indirect Jobs in Hard-Hit Sectors Permanent: Rail Modernization Creates Efficiencies Statewide Permanent: Rail Modernization Creates Efficiencies Statewide Work on Statewide Rail Modernization Program is Underway Work on Statewide Rail Modernization Program is Underway Construction: Direct, Indirect Jobs in Hard-Hit Sectors Construction: Direct, Indirect Jobs in Hard-Hit Sectors Permanent: Rail Modernization Creates Efficiencies Statewide Permanent: Rail Modernization Creates Efficiencies Statewide

13. 13 Nation’s first high-speed rail Initial Operating Section Initial Operating Section 300 Miles 300 Miles Central Valley to San Fernando Valley Central Valley to San Fernando Valley Operational by 2022 Operational by 2022 Initial Operating Section Initial Operating Section 300 Miles 300 Miles Central Valley to San Fernando Valley Central Valley to San Fernando Valley Operational by 2022 Operational by 2022

14. 14 Central Valley will Serve as the “Backbone” of a System that will Tie Major Regions of California Together Central Valley will Serve as the “Backbone” of a System that will Tie Major Regions of California Together Fastest Growing Region in the State Fastest Growing Region in the State Revitalize Central Valley Downtown Centers Revitalize Central Valley Downtown Centers Creates Jobs in a Region with High Unemployment Creates Jobs in a Region with High Unemployment Best, Most Cost-Efficient Location for Testing Best, Most Cost-Efficient Location for Testing Central Valley will Serve as the “Backbone” of a System that will Tie Major Regions of California Together Central Valley will Serve as the “Backbone” of a System that will Tie Major Regions of California Together Fastest Growing Region in the State Fastest Growing Region in the State Revitalize Central Valley Downtown Centers Revitalize Central Valley Downtown Centers Creates Jobs in a Region with High Unemployment Creates Jobs in a Region with High Unemployment Best, Most Cost-Efficient Location for Testing Best, Most Cost-Efficient Location for Testing WHY START IN THE CENTRAL VALLEY?

15. 15 Central valley backbone 130 Miles 130 Miles Madera to North of Bakersfield Madera to North of Bakersfield Multiple Construction Packages Multiple Construction Packages Completion 2018 Completion 2018 130 Miles 130 Miles Madera to North of Bakersfield Madera to North of Bakersfield Multiple Construction Packages Multiple Construction Packages Completion 2018 Completion 2018

16. 16 Construction Package 1 Construction Package 1 29 miles between Madera and Fresno 29 miles between Madera and Fresno Design-Build Contract with Joint Venture Tutor-Perini/Zachry/Parsons Design-Build Contract with Joint Venture Tutor-Perini/Zachry/Parsons Property Acquisition, Design Work, Utility Relocation Property Acquisition, Design Work, Utility Relocation Over 240 Employees and 45 Small or Disadvantaged Businesses Currently Working on the Project Over 240 Employees and 45 Small or Disadvantaged Businesses Currently Working on the Project Construction Package 1 Construction Package 1 29 miles between Madera and Fresno 29 miles between Madera and Fresno Design-Build Contract with Joint Venture Tutor-Perini/Zachry/Parsons Design-Build Contract with Joint Venture Tutor-Perini/Zachry/Parsons Property Acquisition, Design Work, Utility Relocation Property Acquisition, Design Work, Utility Relocation Over 240 Employees and 45 Small or Disadvantaged Businesses Currently Working on the Project Over 240 Employees and 45 Small or Disadvantaged Businesses Currently Working on the Project WORK IS UNDERWAY

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19. 19 Right-of-way process Facts About the Process: Protecting Property Rights Protecting Property Rights Property Valuations Property Valuations Initiation of Negotiation After Record of Decision (ROD) Initiation of Negotiation After Record of Decision (ROD) Facts About the Process: Protecting Property Rights Protecting Property Rights Property Valuations Property Valuations Initiation of Negotiation After Record of Decision (ROD) Initiation of Negotiation After Record of Decision (ROD)

20. 20 Eminent domain Notices of Intent to seek a Resolution of Necessity (RON) 30 Days from Public Works Board meeting 15 days to Reply 15 days to Reply Condemnation Panel Review (CPR) Request to Appear Request to Appear Design, R/W, Legal Deposit and Suit filed within 30 days of RON adoption 30 days of RON adoption Court Resources/Schedule Strategies Court Resources/Schedule Strategies Arbitration Alternatives Keep Negotiating Notices of Intent to seek a Resolution of Necessity (RON) 30 Days from Public Works Board meeting 15 days to Reply 15 days to Reply Condemnation Panel Review (CPR) Request to Appear Request to Appear Design, R/W, Legal Deposit and Suit filed within 30 days of RON adoption 30 days of RON adoption Court Resources/Schedule Strategies Court Resources/Schedule Strategies Arbitration Alternatives Keep Negotiating

21. 21 Relocation assistance Program Relocation Benefits are based on each specific situation: Advisory assistance Advisory assistance Residential displacees may be eligible for: Residential displacees may be eligible for: - Costs to move personal property - Replacement housing payments - Incidental expenses Non-Residential displacees may be eligible for: Non-Residential displacees may be eligible for: - Moving and related expenses - Re-establishment and search costs State of California – Loss of Business Goodwill Compensation Relocation Benefits are based on each specific situation: Advisory assistance Advisory assistance Residential displacees may be eligible for: Residential displacees may be eligible for: - Costs to move personal property - Replacement housing payments - Incidental expenses Non-Residential displacees may be eligible for: Non-Residential displacees may be eligible for: - Moving and related expenses - Re-establishment and search costs State of California – Loss of Business Goodwill Compensation

22. 22 Central valley Next steps Fresno to Bakersfield Project Section: 114 Mile Route Environmental Clearances Approved by Board May 2014 Federal Clearances Anticipated in Summer 2014 Construction Package 2-3 Construction Package 2-3 60 Miles 60 Miles Fresno South to North of Bakersfield Fresno South to North of Bakersfield Three World Class Teams Competing for Design-Build Contract Three World Class Teams Competing for Design-Build Contract Formal Proposals Expected in Fall of 2014 Formal Proposals Expected in Fall of 2014 Fresno to Bakersfield Project Section: 114 Mile Route Environmental Clearances Approved by Board May 2014 Federal Clearances Anticipated in Summer 2014 Construction Package 2-3 Construction Package 2-3 60 Miles 60 Miles Fresno South to North of Bakersfield Fresno South to North of Bakersfield Three World Class Teams Competing for Design-Build Contract Three World Class Teams Competing for Design-Build Contract Formal Proposals Expected in Fall of 2014 Formal Proposals Expected in Fall of 2014

23. Madera to Fresno Section April 2013 - First Written Offers Began April 2013 - First Written Offers Began December 2012 - ROW Contracts Awarded to Four Contract Teams December 2012 - ROW Contracts Awarded to Four Contract Teams - Hamner Jewel & Associates (a.k.a Beacon) - Hamner Jewel & Associates (a.k.a Beacon) - Continental Field Services Corp - Continental Field Services Corp - Universal Field Services, Inc - Universal Field Services, Inc - Golden State Right of Way Team (BRI, ARWS, OPC) - Golden State Right of Way Team (BRI, ARWS, OPC) Contract Costs - $8.5 Million Each (Authority Has Discretion to Reallocate) Contract Costs - $8.5 Million Each (Authority Has Discretion to Reallocate) Madera to Fresno Section April 2013 - First Written Offers Began April 2013 - First Written Offers Began December 2012 - ROW Contracts Awarded to Four Contract Teams December 2012 - ROW Contracts Awarded to Four Contract Teams - Hamner Jewel & Associates (a.k.a Beacon) - Hamner Jewel & Associates (a.k.a Beacon) - Continental Field Services Corp - Continental Field Services Corp - Universal Field Services, Inc - Universal Field Services, Inc - Golden State Right of Way Team (BRI, ARWS, OPC) - Golden State Right of Way Team (BRI, ARWS, OPC) Contract Costs - $8.5 Million Each (Authority Has Discretion to Reallocate) Contract Costs - $8.5 Million Each (Authority Has Discretion to Reallocate) 23 Right-Of-Way (ROW) - Where we are

24. Property Acquisition As of June 20, 2014 As of June 20, 2014 385 Parcels Approved for Acquisition 385 Parcels Approved for Acquisition 301 Parcels Have Received First Written Offers 301 Parcels Have Received First Written Offers 50 Parcels Turned Over to Contractor 50 Parcels Turned Over to Contractor Authority Committed to Working with Impacted Authority Committed to Working with Impacted Property Owners Property Owners Coordinating ROW Outreach and Resources Coordinating ROW Outreach and Resources City of Fresno City of Fresno Fresno Economic Development Corporation Fresno Economic Development Corporation 24 Right-Of-Way (ROW) - Where we are

25. 25 ROW engineering & surveying Services ROW Contractors Survey Approximately 1000 Central Valley Parcels, Draft Maps, Stake Parcels, Utility Potholing, Boundary Maps and Complete ROW Engineering Feb 11: Five (5) Contracts Awarded for up to $3.2 Million Over Four Years; Total Contract not to Exceed $16 Million Feb 11: Five (5) Contracts Awarded for up to $3.2 Million Over Four Years; Total Contract not to Exceed $16 Million  O’Dell Engineering  Chaudhary & Associates, Inc.  Quad Knopf, Inc.  Mark Thomas and Company, Inc.  Hernandez, Kroone & Associates Inc. ROW Contractors Survey Approximately 1000 Central Valley Parcels, Draft Maps, Stake Parcels, Utility Potholing, Boundary Maps and Complete ROW Engineering Feb 11: Five (5) Contracts Awarded for up to $3.2 Million Over Four Years; Total Contract not to Exceed $16 Million Feb 11: Five (5) Contracts Awarded for up to $3.2 Million Over Four Years; Total Contract not to Exceed $16 Million  O’Dell Engineering  Chaudhary & Associates, Inc.  Quad Knopf, Inc.  Mark Thomas and Company, Inc.  Hernandez, Kroone & Associates Inc.

26. 26 Right-Of-Way services RFP #HSR14-14 Madera to Bakersfield Section- Estimated 1100 Impacted Parcels June 3, 2014 – Board Approved RFP Release June 3, 2014 – Board Approved RFP Release ROW Services for Multiple Contracts over 4 Years ROW Services for Multiple Contracts over 4 Years Estimated Cost – Up to $35 Million Estimated Cost – Up to $35 Million Extension of $34 Million Worth of ROW Services Currently Conducted by Four Contract Teams Extension of $34 Million Worth of ROW Services Currently Conducted by Four Contract Teams All Contracts are Available on www.bidsync.com All Contracts are Available on www.bidsync.comwww.bidsync.com Madera to Bakersfield Section- Estimated 1100 Impacted Parcels June 3, 2014 – Board Approved RFP Release June 3, 2014 – Board Approved RFP Release ROW Services for Multiple Contracts over 4 Years ROW Services for Multiple Contracts over 4 Years Estimated Cost – Up to $35 Million Estimated Cost – Up to $35 Million Extension of $34 Million Worth of ROW Services Currently Conducted by Four Contract Teams Extension of $34 Million Worth of ROW Services Currently Conducted by Four Contract Teams All Contracts are Available on www.bidsync.com All Contracts are Available on www.bidsync.comwww.bidsync.com

27. 27 Timeline #HSR 14-14: key rfP dates June 17: Final RFP advertisementJune 17: Final RFP advertisement July 1: Pre-Bid Conference at Mariposa Mall, Fresno, CAJuly 1: Pre-Bid Conference at Mariposa Mall, Fresno, CA July 3: Written question submittal deadlineJuly 3: Written question submittal deadline July 8: Respond to written questionsJuly 8: Respond to written questions July 14: Proposals due to the Authority by 4pm PSTJuly 14: Proposals due to the Authority by 4pm PST July 17: Shortlist of Qualified Contractors AnnouncedJuly 17: Shortlist of Qualified Contractors Announced July 21: Possible interviews held in Sacramento, CAJuly 21: Possible interviews held in Sacramento, CA July 23: Notice of Intent to Award by 5pm PSTJuly 23: Notice of Intent to Award by 5pm PST July 25: Negotiation with top-ranked firm(s)July 25: Negotiation with top-ranked firm(s) July 25: Proposed Agreement Start DateJuly 25: Proposed Agreement Start Date June 17: Final RFP advertisementJune 17: Final RFP advertisement July 1: Pre-Bid Conference at Mariposa Mall, Fresno, CAJuly 1: Pre-Bid Conference at Mariposa Mall, Fresno, CA July 3: Written question submittal deadlineJuly 3: Written question submittal deadline July 8: Respond to written questionsJuly 8: Respond to written questions July 14: Proposals due to the Authority by 4pm PSTJuly 14: Proposals due to the Authority by 4pm PST July 17: Shortlist of Qualified Contractors AnnouncedJuly 17: Shortlist of Qualified Contractors Announced July 21: Possible interviews held in Sacramento, CAJuly 21: Possible interviews held in Sacramento, CA July 23: Notice of Intent to Award by 5pm PSTJuly 23: Notice of Intent to Award by 5pm PST July 25: Negotiation with top-ranked firm(s)July 25: Negotiation with top-ranked firm(s) July 25: Proposed Agreement Start DateJuly 25: Proposed Agreement Start Date

28. Next steps: connecting california Continue Work on Statewide Rail Modernization Continue Work on Statewide Rail Modernization Close the Rail Gap Between Northern and Southern California Via the Central Valley Close the Rail Gap Between Northern and Southern California Via the Central Valley Deliver Benefits Now Deliver Benefits Now Engage, Educate and Partner Engage, Educate and Partner Continue Work on Statewide Rail Modernization Continue Work on Statewide Rail Modernization Close the Rail Gap Between Northern and Southern California Via the Central Valley Close the Rail Gap Between Northern and Southern California Via the Central Valley Deliver Benefits Now Deliver Benefits Now Engage, Educate and Partner Engage, Educate and Partner 28

29. 29 Californiahigh-speed rail authority California high-speed rail authority CONTACT INFORMATION: 770 L Street, Suite 800 Sacramento, CA 95814 Phone: 916-324-1541 www.hsr.ca.gov info@hsr.ca.gov Don Grebe Director of Real Property 916-431-2935 Don.Grebe@hsr.ca.gov CONTACT INFORMATION: 770 L Street, Suite 800 Sacramento, CA 95814 Phone: 916-324-1541 www.hsr.ca.gov info@hsr.ca.gov Don Grebe Director of Real Property 916-431-2935 Don.Grebe@hsr.ca.gov