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Councilmember Olson inquired regarding phase one and phase two of the project, as well as the outcome if financing does not develop from the San Joaquin side. Mr. Tree noted phase one will be Dublin-Pleasanton to Greenville to hook-up with ACE and phase two would be Lathrop to Stockton. Early phase one could also go to Mountain House which gets the link into San Joaquin. Mayor Thorne noted there are advocates for the project on the San Joaquin side and they can put in their share of the project funding. Mr. Tree noted $600 million of the project will be spent in Alameda County. Councilmember Narum inquired as to the entity which will operate the project once it is completed. Mr. Tree noted the potential operators will be studied in phase two of the analysis, and will include review of BART, ACE, Valley Link or another contractor. Councilmember Narum inquired whether the Joint Powers Authority had the jurisdiction to tax if Valley Link were to operate the train and the fare box did not cover expenses. Mr. Tree reported the financing of the project will be studied in phase two and will take a deep dive into the operating and maintenance costs. He detailed the formula 5307 funding combined with farebox return percentage will likely result in a funding gap. The MTC and ACTC organizations will review the potential gap and the San Joaquin Council of Governments will review the transportation element. Mayor Thorne opened public comment. Vaughn Wolfe stated the cost of this project will run $3.5 billion over the next twenty years and said there are alternatives which should be contemplated prior to moving forward with the proposed Valley Link. He spoke regarding the stated ridership which will be matched by the 95,000 traveling on the 1-580. There was been no conversation regarding the vehicles which will pass through Pleasanton on their way to the Silicon Valley. He suggested delaying the vote on this item until alternatives have been considered, as the current proposal is not a solution to the traffic Mayor Thorne closed public comment. Councilmember Brown expressed gratitude for the discussions on this item and noted that she appreciated Mr. Vaughn's comments about alternatives. At this time, the project is in phase one and if funding is not available for phase two, she said she would like to see the 1-580 corridor to Greenville completed. Councilmember Pentin said the first phase included Greenville and there was likely a unanimous vote not to expand to ACE. However, he noted there will be pressure to continue service into Santa Clara and Silicon Valley. The process has to commence at some point and this matter under consideration tonight is a first step. Mayor Thorne noted San Joaquin must pay its own way to participate. MOTION: It was m/s by Narum/Olson to adopt and waive full reading of Resolution No. 18-1051 supporting a rail connection between the Bay Area Rapid Transit (BART) and Altamont Corridor Express Rail System using a Multiple Unit system. Motion passed by the following vote: Ayes: Councilmembers Brown, Narum, Olson, Pentin, Mayor Thorne Noes: None Absent: None City Council Minutes Page 4 of 9 October 16,2018