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Santa Cruz Metro Transit District 08/28/2026

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The Santa Cruz Metro Transit District Board of Directors convened on August 28, 2026, commencing the session with a mandatory safety briefing led by Gregory Striker, who reviewed emergency exits, evacuation protocols, and equipment locations. Following administrative announcements regarding the "Week Without Driving" campaign and opposition to Proposition 43, the board addressed significant public concerns about the district's financial stability. A speaker emphasized the necessity of presenting a detailed five-year financial plan before approving any additional sales tax revenue, warning that the district cannot rely on temporary funding without simultaneously addressing operational efficiencies and meeting established performance targets. The meeting also proceeded with the approval of the consent agenda and honored staff members Norma Chavez Reyes and Terry Johnson with longevity awards for their five years of service, while Jessica Dit provided an update from the Metro Advisory Committee highlighting progress on new stations in Rockin and Watsonville, digital signage pilots at Riverfront, and updates to hydrogen fueling infrastructure. Chief Operations Officer Margot Ross presented a comprehensive fleet operations update that detailed the current composition of 44 hydrogen buses, nine articulated buses, nine battery electric buses, and remaining diesel or hybrid units. She outlined critical infrastructure constraints, noting that limited yard space currently supports only five Gillig electric buses for charging, while noise limitations on mobile fuelers restrict hydrogen refueling to approximately ten buses daily until a permanent fueler is installed in late October. Ross highlighted the urgent need to replace aging 35-foot rural route buses and recommended procuring four battery electric units to test manufacturer support between New Flyer and Gillig, alongside seeking grants for six compressed natural gas (CNG) replacements due to shifting federal funding priorities away from hydrogen and battery electric vehicles. The discussion subsequently turned to the strategic direction of the fleet, with concerns raised about overextending resources on unproven green hydrogen technologies and the long-term risks of relying on fossil fuels like CNG amidst changing federal mandates. The board engaged in a focused debate regarding the optimal long-term strategy for bus fleet replacement, weighing the choice between CNG, battery electric, and hydrogen fuel cell technologies. While staff recommended purchasing four additional battery electric buses to utilize existing charging infrastructure while continuing to pursue CNG funding, board members expressed strong concerns about relying on a single fuel type due to potential political shifts and administrative changes, advocating instead for a resilient fleet with multiple fuel sources. Staff clarified the opportunistic nature of the grant landscape, where agencies apply for various funds without guarantees of success, making it difficult to commit to a specific path before securing funding. Consequently, the board agreed not to make an immediate decision but directed staff to continue testing and develop a comprehensive long-term strategy report covering infrastructure capabilities, fleet composition, and future goals, while acknowledging that Santa Cruz Metro is one of only a few agencies in California facing these specific hydrogen infrastructure challenges. In addition to the strategic planning for the fleet, the session addressed practical logistics such as the feasibility of replacing seven buses with ten new units given parking constraints, which was clarified as a phased approach targeting approximately eight buses per year between 2027 and 2029 rather than replacing all eligible vehicles at once. Issues regarding Proterra bus maintenance were confirmed, leading to the expectation that these units will not be resurrected due to software upgrade refusals from the successor company. Public comment from operator Benjamin Fina supported maintaining a mixed fleet including CNG as a safer, conservative approach given infrastructure limitations and the specific need for smaller 35-foot buses on certain routes. The meeting concluded with updates on budget audits, community events, bus wrap contests, and upcoming recruitment efforts, reinforcing the district's commitment to careful evaluation before making long-term propulsion decisions that balance technological innovation with fiscal responsibility and operational reliability.
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Good morning everybody. I will now call to order the regular meeting of the Santa Cruz Metropolitan Transit District Board of Directors. It's August 28th, 9:07 a.m. And can we have a roll call? >> Here. here. >> Present. >> Here. >> Thank you. And I'm actually going to back up to item two for our safety debrief. with Gregory Striker, our safety, security, and risk management director. >> Thank you. Thank you very much. Glad to be here in beautiful Watsonville City Council chambers. Um, in the event of emergency, there are two uh emergency exits. The main one for the directors is directly to your left. You would go through those doors and there's a staircase right outside. Go downstairs to the very bottom. Um, for the public, you would go out the main doors in the back. uh directly out into the parking lot and down the stairs. Um and we would meet down there. Again, in the event of evacuation, do not use the elevators. Uh and roll call will be conducted. In the event of an earthquake, drop, cover, and hold on. Uh remain in place until the shaking stops and evacuate only if it is safe to do so. In event of a fire, again, evacuate immediately uh via the evacuation exits, the emergency exits. Do not use the elevators. There are fire extinguishers located uh one direct located directly behind the board of directors as well as one located in the hallway um next to the bathrooms. And there is an AED there as well in the event of a medical emergency next to the bathrooms in the hallway. Um in the event of an active threat, run if it is safe to do so. If you cannot run, um hide and silence your devices. If you cannot hide, then fight only as a last resort last resort. And remember to stay calm, follow your instructions, and prioritize your safety. Any questions? Thank you. Thank you. Couple of announcements. Today's meeting is being broadcast by community television of Santa Cruz County and language line services uh is providing Spanish interpretation service which will be available during oral communications and for any other agenda item for which these services are needed. And Maria AA Thank you. I'll proceed with item five. Does any board of directors, any member of the board of directors have a comment they want to share? All right. Uh, yes, Director Downing. >> Good morning, everyone. I just wanted to remind you that Week Without Driving is coming up on October 1st through the 8th this year. Um, you'll start seeing more about it uh in the coming month, but I just wanted to mark your calendar for October 2nd where we'll be having a countywide uh celebration at the Capitol Mall. Uh hoping to get some families and folks to have some fun down there and meet with pedestrian safety advocates. We're also going to be um coordinating bus rides with our metro directors and our elected officials and RTC commissioners. And there will be a contest for those who sign up for week without driving uh and then attend uh sign up for the go Santa Cruz County week without driving contest. And every trip that you log during that week will enter you into a drawing for prizes. So look for that. Thank you. >> Okay. Thank you. Yes. Go ahead, Director Orbach. Yeah, we had our uh city of Capitol um city council meeting yesterday and um I have requested uh that the city officially uh write an opposition letter uh to oppose Prop 43 which will increase the um threshold to 2/3 for citizens initiatives. >> Thank you. All right, seeing no further comments by board members, we'll move to uh oral and written communications from the public. This time is set aside for members of the general public to address any item not on the agenda which is within the subject matter jurisdiction of the board. No action or discussion shall be taken on any item presented except that any director may respond to statements made or questions asked or may ask questions for clarification. >> Go ahead. >> Good morning chair um Eduardo Montesino. Um Santa Cruz Metro needs a plan before it needs more money. Santa Cruz County is being asked to confront a very serious question about the future of transportation. Santa Cruz Metro is facing a financial cliff. Temporary funding to help expand service is running out and without replacement funding, Metro has warned of major reductions in service, staffing, and coverage. The AY's own projections describe a possibility of 40% reduction in new funding is if it's not secured. That is a serious problem and deserves a serious solution. Um, but the solution cannot be give uh Metro another sales tax, watch this or watch the Simpson collapse. That is not a long-term strategy. It's a financial ultimatum. Before taxpayers are asked to temporarily increase their sales tax, the public deserves to know exactly what Metro is going to do differently. Where is a a detailed 5-year financial plan? Where is the specific performance targets? What administrative and per and operational efficiencies will be implemented? Again, what administrative and operational efficiencies will be implemented? What will be the cost per passenger cost per service hour and cost per um mile? How will Metro um measure um how will Metro measure whether additional taxpayer dollars are actually u producing better service? What happens if service comes in below projections? What happens if ridership does not meet expectation? The projections would the taxpayers have um against simply returning another financial crisis a few years from now. Most importantly, what is the plan between now and uh March of 2028 elections? Um we cannot spend the next 18 months simply waiting for a sales tax while the organization deteriorates around us. We need leadership, measurable objectives and transparent finan financial management. Now I support public transit. I support reliability service. I support making sure seniors, students, workers and people with disabilities and transit dependent writers have access to transportation. But supporting public transit does not mean writing a blank check. A permanent sales tax should come with a permanent accountability. If Metro wants public to approve additional um revenue, then Metro should present a credible plan um showing exactly how uh money will stabilize the organization, protect service and improve efficiencies and produce measurable results. The choice should not be framed as sales tax or metro collapse, which is uh what's currently being almost advertised. The choice should be what kind of metro are are we building, how how much will it cost, what results will taxpayer receive, and how will the public hold the organization accountable. The Santa Cruz County deserves nothing less. I think that framing is harder for people to dismiss as simply being anti-transit. It acknowledges the very real funding problem while challenging the idea that a sales tax by itself is a strategy. >> Thank you, Council Member Modina. Thank you. Is there anyone else here in chambers that wishes to address the board? Seeing none, is there anyone online? All right. Thank you. Uh then we'll proceed with item seven, labor organization communications. All right. If there are no labor organization communications, we'll proceed. Um item eight. Do we have any additional documentation today? >> All right. Uh we'll proceed with the consent agenda. Does any board member have questions or comments on the consent agenda? >> All right. Seeing none, is there any public comment on the consent agenda? >> All right. I'll return it to the board for action. >> Move approval. >> Second. >> We have a motion by Director Martinez. There was a second by uh Director Lind to approve the consent agenda. Any further discussion? All those in favor say I. >> I. >> Any opposed? Any abstensions? That passes unanimously by those present. All right. We have a couple of longevity awards today. Um I believe that we have Veronica Hoover with us. Is that correct? >> No. Oh, that's too bad. Um, do we have Terry Johnson or Norma Chavez Reyes? Norma. Awesome. All right, Norma, we are celebrating your five years of service uh, as a bus operator. Thank you very much. I'm going to come down and present this to you. Um, and we'd love to hear any any words, reflections. Uh, we just of course really appreciate all your work here at Metro. Um, you know, the the buses don't run unless there's good people like you to operate them. So, thank you so much. >> I'll come down to you and if and if you want to say anything, if you want to address, >> you don't have to. Okay. Thank you, sir. >> Thank you. I've been trying to get one of these pins. >> Perfect. >> Thank you so much. >> Thank you. All right, we'll um proceed with item 11, which is the Metro Advisory Committee semiannual oral update. I believe um that Jessica Dit will be joining us online. Jessica, can you hear us? >> I can. Can you hear me? >> Yes. >> Good morning, board. Thank you so much for having me here. On behalf of the Metro Advisory Committee, we'd like to thank staff for all of their really hard work this year and their participation at our evening meetings. Um, at the February MAC meeting, uh, we were happy to meet, uh, the new mobility training coordinator, Bobby Wood, and hear all about what's what's happening to as updates at at Metro. Um, we also welcomed a new MAC member, Curtis Halpin. Um, so we're we're expanding our our uh our horizons with what we want to do at MAC and and uh and and happy to have all the staff here with us as we uh talk about what's coming. Um so some of the things are uh we really appreciated at the May meeting uh general counsel Sherman um took a really really you know was very patient with us walking us through SB77 um and it uh really helped us for the following meeting in August. We actually were able to utilize it. So, want to shout out a big thank you to the board for um uh adding this as an option for for the MAC. Um then also at the May meeting, uh Brandon Freeman uh spent a really long time trying to explain what's happening at the hydrogen fueling station. Um and that was I I learned a lot and I know the other MAC members did too. So, that was really helpful to hear um everything that's happening at at Metro that way. Um at the August meeting uh we were looking at uh all the new new changes coming um up at the new new and upcoming stations. So one of them being the Rockin station. Um so hearing all the updates that are happening there and excited to see that's coming on board uh next year. And then also hearing about the Watsonville transit station that it's in the design process and moving forward. That's all great news for MAC. Um, in addition, um, some of the other really good news we heard was the, uh, the pilot program that's now coming online, uh, for digital signage at the Riverfront Transit Station. And this is really super helpful for a lot of our MAC members. Um, just having that extra accuracy and reliability. Um, so very much appreciated that, um, you're you're bringing this on board to try out as a pilot program. I think that it's it's I'll wrap it up right there, but thank you so much again. We really appreciate all of your help. >> Thank you, Miss Dit. Any comments or questions from directors? Any comments from the public? All right, this is justformational item. Thank you again for all the good work on the Metro Advisory Committee. All right, we'll proceed with uh item 12, which is the state of Metro's fleet operations, and our chief operations officer, Margot Ross, is giving our presentation, and I believe she's joining us via Zoom. >> Good morning, everybody. Margot Ross, chief operations officer. I just wanted to provide you an update on our fleet replacement strategy and our operating constraints. Um, next slide, please. Uh so currently we uh have 44 new hydrogen fuel cell buses, 44 40ft hydrogen new cell buses, uh nine new flyer 60 ft articulated buses, um nine Gillic uh anda battery electric buses, and the remaining um buses in our fleet include uh CNG, diesel, hybrid models uh from Gillick and new flyer. Uh, next slide, please. Um, so again, um, this is more about what we're trans propulsion types that we're transitioning to. Um, the hydrogen, battery, electric, um, and also the remaining um, buses that we have are diesel and hybrid models. Next slide, please. Um, so I just want to talk a little bit about our constraints for the yard. Um, we currently have nine chargers. Uh, and we're using five of them for our Gillic electric buses. Um, for the Peter buses are not ser serviceable, which leaves us the capacity of being able to charge four or more buses um, in the yard. Uh, we don't have the ability to do overhead charging. Um some agencies do have that but we don't have that capability. Um we're currently um using the mobile portable uh fueler um from Plug. Um but because of the noise limitations, we only fuel approximately 10 buses a day. Um but with our permanent fueler, we'll be able to serve um 53 all 53 hydrogen buses. It'll be coming online in late October. Um and then we can expand that capacity to a 100 buses. Um and I also want to mention that we are running um about 22 buses overall. Um so um and we're up to about 30,000 miles. So that's kind of unheard of uh for a um large fleet uh turnover. Um next slide, please. Um so we do have constraints on our bus needs and uh replacement. Um so we need to currently replace 35 footer 35 ft buses and these serve our rural areas the areas where the 40-footers can't operate safely. Um we also need to replace 10 40ft vehicles. um we um in the next three years. So um we need to look at replacing those diesel hybrid buses. And then again, I want to touch on our uh infrastructure limits. JKS can currently does not have space to add more battery uh electric chargers. Um again, we only have the four that we can um kind of add to. Uh next slide, please. Um, so as far as the 35-footers, um, there's CNG, um, from Newf Flyier and battery electric, and also Gillig, um, has CG and battery electric. Um, Newfly does not have hybrid, but Gillig does. And neither, um, OM OEM is going to go online with 35 ft hydrogen vehicles. Um, and I don't think they have any plans to do that. They're going to stick with the 40 foot and 60 foot vehicles. Uh, next slide, please. Um, so a little bit about the funding strategy and the utilization. Um, FTA section 5339A um may be used for battery, electric or hydrogen cell buses based on the direct guidance from the FDA, especially region 9. Um, Metro has sufficient program funding to purchase at least two 35 electric vehicle replacements um using the 5339A carb um vouchers and district funding. And then there's also competitive grant funding um that should be treated as uncertain and strongly aligned with federal patterns which I'll talk about in the next couple of slides of what the federal government is actually funding. Um so the next slide I can talk next slide please. Um so the FDA does say that they fund all proportion proportional types. Um the uh 539 BC um funds CNG hybrid and diesel. The state CALSA through um the TRCP program funds ZEB uh such as battery electric and fuel buses. Um the state discretionary fund, the CEC through various programs again funds Z battery and fuel fuel uh cell buses. And then we have the HIPP through ARB which funds ZEB and um battery uh ZE buses which are battery, electric and fuel. So uh next slide. Um so so far um in for FY25 the 539 BNC um had a approximately $2 billion in the funding. This is FY2025. Uh CG projects represented about a fourth of the FY2025 awarded funding. Um for FY2026, the FDA advanced $400 million to fund projects from the FY225 application pool that not that were not selected for the from the last year. Um this year's funding levels has have actually been reduced um to $1 billion um which leaves about $600 million left. In FY2025 there were no awards for battery electric or hydrogen fuel um bus cells unfortunately. U next slide please. And just an example I wanted to show you in Houston they received a hund00 million um and it was for CNG technology for their vehicles as well as SACRT they received about almost $40 million for CNG vehicles. Um next slide please. Um so our recommendations are um for us to procure four 35- foot battery electric buses to replace the Protera buses. Um I completed application with the FTA to kind of get us unwind us from the funding um uh kind of obligation that we have with the FTA. Uh we should hear back about that in the next few months. Uh we would use existing replacement funds from FY24 through 26 uh 539 5339A formula funds with matching funds from carb hip vouchers and embar uh air districtricing funding. Um we could seek competitive FTA funding to replace the 35 foot CNG buses. um target the 635 U replacement requirement for the 2027 transition timeline. Uh the CNG buses are expected to score more competitively than the uh any BEB um application that may be brought forward and Metro would not have again we would not have the space for anything more than the four um electric vehicles. And then our last request is uh for us to procure CNG buses until 2030. Um it's kind of a strategic move consistent with um the recent carb and ICT p waiver path way. Um I was on in a meeting where um we met with uh Calac, CTA and Zeb um to kind of go to um California and ask them to extend that 2040 um mandate. Um so kind of all the um players are asking for the extension because they realize that this current administration is not funding any um BB vehicles fuel cell electric or otherwise. Um next slide please. Um and with that I will be happily happy to answer any questions and I appreciate your time. >> Thank you. Are there questions from directors? Director uh Martinez. >> Yeah. I was just wondering if you could provide an update on kind of the hydrogen fuel long-term plan um at the state level and I mean obviously at the federal level is there any update since we've had a pretty big investment in that? And so as far as I know, Arches is no longer available to us. And that was our biggest um going to be kind of our biggest hub for fuel um for um hydrogen fuel. Um the state is kind of stayed quiet. I mean, all the meetings I've sat in, I haven't heard much about what the state plans to do to bring down the cost of hydrogen. um they're certainly more willing to fuel vehicles, but not so much maybe infrastructure and and kind of augmenting the cost of hydrogen. Um and certainly, as I pointed out, um the federal government um seems to only be funding the CNG vehicles >> and so the recommendation is obviously not to further invest in hydrogen. That makes a lot of sense. Um, do we anticipate that the the kind of maintenance needs of those buses um and that fleet will be able to be met? Um, I don't know what it what it takes to continue to maintain that fleet. >> The CG fleet uh the current CG fleet >> the hydrogen fleet that we have. >> Oh, the hydrogen fleet. Um yeah, we uh we actually um so you guys approved the uh funding for CTC. Um we are actually taking a big lead in that. Um one of uh Greg Nolan will be our um person that will be attending and working with CTC to develop the training. Um and this training is not just for Santa Cruz Metro. It's for all agencies statewide. So I'm I'm really proud of that. um that all agencies will benefit from that. Um we are currently our staff has received training from Newf Flyer and Ballard on um the new hydrogen uh vehicles. >> Thank you. >> Thanks Director D. >> I can add on to that a little bit maybe. >> I don't know if this is working. >> Yeah, it's working. Go ahead. Speak closely to it. Uh so the to add on to the question if we can uh maintain the hydrogen fleet the the components in the hydrogen buses many of them are similar to the battery electric and the CNG. So as far as component availability uh you know long-term being able to maintain the buses uh this shouldn't be an issue at all. I think the biggest question really is going to be availability of of green hydrogen which is almost impossible to get right now. So, >> and also I'm I to add on to that uh part of the grant funding that we received allowed us to purchase um large quantities of parts for the hydrogen vehicles. Um so I don't see us running into that issue either. We uh we are running into issues with the older vehicles finding parts for them. >> Thank you. >> Thanks, Director Dra. >> Thank you, Chair. Um I have a couple questions. How much is in our bus replacement fund reserves? >> Uh I I don't know. I think uh that's a check question. >> Uh it is 8 million. >> 8 million. >> Okay. And um how much of that do you want to use for this? >> Well, it's part part of it. The matching fund may come from that, but um we can use HV funding certainly for any electric vehicles that we purchase. So, I I mean I' I I've been here a while and I remember we started buying the electric vehicles many many many years ago and they eventually ended up having to sit in our yard. How many electric vehicles do we have actually operating right now? >> We have five operating the Gillick vehicles. >> The Gillig. >> Mhm. >> Um and how many are not working? >> Four. Those are the Prateras. And the reason >> that's I remember those. >> Yeah. The reason they're not working is um you guys are well aware that Pratera filed for bankruptcy. Um but the rough part was that the company that took over for Pratera will not give us the um kind of upgrades to kind of keep the buses in service. It's not just the parts, it's just the upgrade to the software that they refuse to provide not just for our agencies but for all of the agencies. So, um, we just have those sitting out in the yard, I I would assume. >> Yes. >> I I I someone asked me, "Why are all the buses sitting out? There were so many There's so many buses in the Watsonville yard. Why Why is that?" >> Oh, those are the not just the Brera buses. Those are the hydrogen buses. >> Yeah. Yeah. Yeah. Why are there so many sitting there? >> Um, well, we can only run so many um because of our fueling constraints. Uh we as I said we run approximately 21 of them out of the the 53 that we have. Um the our tick buses are not there. Um they are being um kind of ingrained into our system and um being worked through by not just our staff but new flyer to make sure that they're road tested and ready to go and then the training department is training on them. But unfortunately, we cannot fuel all of the 40 foot buses at the same time. We don't have that capability with the mobile fueler. And we don't >> I I was just thinking like sorry to interrupt you but like wouldn't it be maybe more economically feasible if we invested into a fueler to fuel the rest of those buses that are not being able to be fueled rather than >> so a fueler another mobile fueler would be about $4 million. Um and we just don't have the space we >> let me interrupt there. Uh so the permanent fueler that will be completed uh next month will fuel all of the buses. >> Okay. >> So the mobile fueler is is smaller and it won't it won't but the the permanent fueler will fuel all of the buses. >> Okay. So all those buses sitting there will will be >> So yeah, right now you're probably seeing a combination of the hydrogen buses plus uh we're leasing some space temporarily to Lift Line so they have buses parked there as well. >> Oh, okay. So it's not all of our buses that are in that yard. It looks like a >> pass guard. >> Um, thanks for that clarification. Um, okay. So, I I just I think that, you know, in the time that like you kind of acknowledged earlier that it's a difficult time with the administration and getting grant funding. And so, um, my concern is kind of overextending ourselves, uh, getting ourselves into something that we're not we may not that's not guaranteed. So um it looks like you can you go back to the slide where you your recommendation please you're asking for at this time how many exactly? Two you said >> no four electric um Valerie buses to replace the proteras. >> Okay. and six 35-footer CNG buses >> and you feel confident that we have enough funding to buy those and then >> Well, so before the reason we're I'm bringing it today is we would like to apply it for a grant through the federal government to replace those six um CNG buses >> and we'd match it, right? We'd have a matching correct and and And how much would that be? >> Um, so they're it's usually 15 or 20%. Um, the last costs with um of the buses I think I received was $1.4 million per vehicle. >> 1.4 and we'd have to match it 10%. >> It's between 15 and 20. It depends on the grant uh that we receive. >> Okay, great. Thank you, Marggo. Thanks for your presentation. >> Other director questions. Director Rkin. >> Yeah. Um, thank you, Margot. I guess first just a process point that this is, uh, while there are recommendations here, the item was agendaized as an information item. So, um, just want to clarify that the board is not taking any action on this today. And I guess the other process point is there was a lot more information in the slides than there than there was in the one-page report. And I think the the board and the public would benefit from having probably more complete information when this does come for recommendation. Be helpful to see the whole kind of roster of the fleet and their age and the mileage. It it was hard to track that as it was being delivered verbally. I think substantively the I guess the the bigger question is what's the strategic direction in terms of propulsion choices going forward? It seems like we're kind of through this presentation it would like back us into a strategy and like are are we done with expansion of hydrogen? I mean that was that was a big decision that this agency made a few years ago. So, I think there was a lot of questions about whether that was a good one or not. Uh, if we're changing that like that that wasn't articulated in this item anywhere, at least not that I saw, that would be a a significant decision that, you know, probably would merit some thinking. Um, and then what where are we going if if if not hydrogen? This the idea of continuing to buy fossil fuel vehicles for another four years. And these are vehicles that last 12 to 20 years. That would that seems to be a pretty different direction than where Carb and the state and and the country are heading, notwithstanding the current administration's preferences. So for us to be making decisions based on what might be a somewhat anomalous policy direction by the federal government for the next few years, decisions that we're going to be living with for 15 years down the road. I think we should think real carefully about that. And with regard to the limited charger capability we're act it's being presented as that's like an absolute finite constraint but there are you know some of these same grant sources can be used for charging infrastructure as well. So I think assuming that for the next decades of metro we have we're constrained to four electric vehicles that seems possibly a little shortsighted. So, I welcome any thoughts um from the CEO on that. But I think if the board is going to consider, you know, the kind of propulsion that the agency's going to be using for the next few decades, it probably requires a a bit of a deeper conversation. >> Oh, yeah. I'd love to to answer some of that. >> Could you just make sure you speak a little closer to the mic so it picks up your your voice? >> I will talk a lot closer. Uh so hopefully I can answer a few of those questions. Uh a few years ago, hydrogen was the way that that everything was headed. Hydrogen and battery electric uh under the last administration and it got flipped on its head with the new administration and all of the the future plans for a super hydrogen green hubs uh across the nation were um were essentially eliminated. And so we are one of probably a dozen different uh transit systems in California that are faced with this uh reality of trying to find uh hydrogen um at the lowest cost possible. Uh but also understanding that that hydrogen is not green. And the plan was to go to totally uh zero emissions. We we have zero tailpipe emissions we've accomplished with this. But the as far as the fuel goes uh we have not accomplished that. Uh what we're finding within the industry is that uh battery electric and hydrogen fuel cell uh while they do uh provide a lot of benefits uh they do come with some challenges as well. And one of those for battery electric is space. You require chargers for each of those and they require a landscape to put in. It's not as simple as having one fueling station that you can go fill up at. You have to have a charger for every bus. And so we when you look at JKS for instance, uh it is constrained space-wise. You know, a lot of that space has been eaten up by the new permanent hydrogen fueler. And so it leaves us very little space to expand uh battery electric or battery chargers. uh one option uh if we ultimately end up developing the Watsonville property that we purchased uh that we could uh turn that into a battery electric uh uh bus infrastructure. So that does have space for it, but right now today we just don't have the space for additional uh battery infrastructure. Uh yes, uh CNG is about as close as you're going to get to zero emission. that's still uh tied to fossil fuel and carb has uh has stepped back a little bit on their uh mandate of moving to totally zero uh emissions because of the what they're uh seeing from the the transit systems especially across the state and the experiences that we are having. So I wish I could say there is a clear path but right now it's kind of murky. um where we're at. We want to continue moving in the hydrogen uh uh path, but there has to be um some assistance on the federal level that's going to uh make hydrogen uh the cost of hydrogen less expensive and green. And it's not something that we're going to be able to solve as transit systems alone. So hopefully that answers some of it. So >> yeah, that that's helpful. Thanks. I I guess I would just add that I think the promise of green hydrogen uh was always very speculative. The technology had was never proven. So when folks were saying, "Oh, it's it's going to, you know, it'll be green in a few years." There was really no basis for that. whereas the electric vehicle capacity and charging uh technology is has been advancing pretty significantly and where currently maybe because of the duration to charge a vehicle you need one charger per vehicle that may not be the case >> in the future. So I think before we make decisions that lock us in for the next 15 or 20 years, we ju it would just take some evaluation there. And if if metro is a part of lobbying carb or other agencies to extend, you know, to relax those standards, that probably that's a policy position that the board probably should be authorizing. Yeah, this is not something that uh Metro is not a part of the the lobbying effort. We are just uh um we're standing by and watching. Um we we have not taken a position one way or another on that. So, >> okay. And Director Riskin brought up a a good question which is this is being put before us today as an information item only. Can you explain what the next steps are after this and when it might come back to the board for any kind of substantive decision and on what? Yeah. Uh, we wanted to bring this to the board and kind of get feedback and and see what questions the board does have so that we can uh come back. We want the board to be comfortable with the path that we are going and the direction that we're going uh that we're in all in agreement of of what direction we we are headed. You know, when you look back at 3 four years ago, it was very clear we were headed totally zero emissions. Uh it was very rainbows and sunshine and everything was looking great. Uh now we have to stop and and kind of rethink um what direction we want to take and what that future's going to look like. But uh we can definitely go back uh as staff and talk about this uh after this feedback today and then we'll come back to the board with with more information. >> Okay. Okay. I mean, so if I mean after this, do you what's the timeline that you're looking at moving forward with the electric bus purchases or applying for the the grants for the CNG buses? >> Um, so there is uh an open grant opportunity right now uh that we uh we're planning to to apply for uh for the CNG buses. Um, but it sounds like the there is some some questions by the board if that's the right direction to go. Uh, we have had a need for for replacing our 35 ft buses for a for a couple of years now. Um, they're just they're getting older and uh we're starting to see a lot of repairs. Uh but we definitely don't want to apply for a uh grant for a bus uh type that uh that the board is not in favor of us purchasing. So uh we we uh at this time based on this uh we will not be applying for the CG buses. H >> how long is the grant application window open for? >> Uh I think it closes in the middle of September. I don't know if anybody knows. September uh 18th. >> There we go. Yeah. Yeah. So, prior to our next board meeting. >> So, >> and approximately how much life expectancy does the do the 35 foot buses that we have have left? >> Uh they I mean >> it's um they need replacing now. So, they've reached their end of life. >> Yeah. I mean, we we've had buses in our fleet that have needed to be replaced for, you know, uh, seven, eight years, and we just have kept them going until we had the the funding to replace them. So, uh, yes, they need to be replaced, but that doesn't mean that we can't uh continue to invest more money into them to keep them going till we we uh have the funding. >> Freddy, something you want to add? >> Yeah, Freddy. Let's let Freddy. I could u kind of address some of the challenges that we're having so you guys understand the what we're facing with our fleet right now currently. So on the battery electric buses um right now we have four gig buses 5 gig buses right now currently and we're trying to figure out what would be our next step to vehicle purchases. So we don't want to step in into buying you know we don't want to we want to have like pilot fleet. We don't want to step in to and buy again 53 buses and then find out we made a bad decision. So the the decision that that Marggo is proposing is we purchase four electric buses which could be new flyers and so we can identify which fleet works better for us because currently the support that we have out there for for the Gillig buses is not the greatest. So currently we we we're struggling to keep that feed fleet going. So we want to identify who which manufacturer gives us the best support. Is it going to be new flyer or is it going to be uh Gillig? So, we want to we want to basically test the fleet. That's kind of what we were kind of a little proposing. And currently there is no 35 ft of hydrogen buses. So, if there was, we could say, you know what, the fleet's performing great right now. The the hydrogen fleet. Let's let's buy another uh five more buses of hydrogen. That that would be ideal. But there there currently is not. So, so basically that's kind of what I want want to explain to you guys what the challenges are that we're trying to and we are in need of 35 foot buses for some of the rural routes. So maybe that'll help you guys understand if you guys any more questions. >> Sure. So you're saying you want to test the the service level from uh from Gillig versus New Flyier for specifically for the electric buses. >> Yeah. >> Correct. And now I mean part of the reason why this agency invested in hydrogen was because for some of our rural routes and you know even just servicing UCSC uh the hills make it difficult to or you know undesirable to run a battery electric bus. I mean, so is are all the routes that the 35 foot buses are on even eligible for, you know, use of a of a battery electric bus or would that, you know, if we tried to use all battery electric buses for the 35 ft uh the buses in on the 35T routes, would that impact service at all? >> No, the 35T which would not impact service. Uh I think most of the routes are not the range that they're currently 35 electric bus electric battery electric buses are are sufficient. So it's not like we're going to have a um where we won't be able to run them. So that they're the range is sufficient. >> All right. Thank you. Marggo, is there anything you wanted to add? >> No, I I was going to agree with Freddy. The range is sufficient. The pull is sufficient um to handle the rural areas. Um, we think the buses, the 35 ft electric buses will be fine. >> Okay, that's good to know. Thanks. Um, Director Pegler, >> just a brief question. I wonder what the path forward is with the Proteras. Um, do we hope that some software solution is going to come through or are these ready to do away with? >> Yeah, as of right now, I think that this uh the Proteras will not be resurrected. Uh, and FTA is starting to do uh slowly allow some um exemptions with the Proteras uh allowing us to some agencies to take them out of their fleet. They're still got to work out some uh specifics on it uh that we don't agree with, but they're headed in that direction, but we won't likely see Protera uh unfortunately ever return. Yep. Director Orbach. >> Okay, there we go. Um, I just had a clarifying question. It says here that we are trying to replace that there are seven 30 foot buses we're trying to replace but the recommended action I know we're not taking action action today is to apply for four electric or try to acquire four electric buses and six CG buses. Why are we why does that num number not add up? Are we not trying to save money to then replace the 40footers? So currently we have enough 40footers and um basically on our replacement plan um the 40footers are not coming up for replacement yet. So they're not ellegible for replacement. So we got uh 35-footer buses that are coming up ellegible for replacement. So that's that's the reason we they basically picking these buses because they're they they are illegible for replacement. Um and uh the the electric buses like I said Margot explained we have five stations where we can charge buses and and currently we're only using five. So we can purchase four more electric buses and we have uh four charging stations that we can use for those buses. Um basically so then that's why the rest would be if since there is no 35 ft hydrogen buses it would be let's let's go towards CNG. uh because CNG is basically like I said we've it's proven right now it's been reliable um you know and we are basically we'll be testing the 35 foot buses the new flyer to see if you know their service their their support is adequate to keep these buses going and then we could come back to the board in a couple years more when the 40ft buses are coming and then we could decide has hydrogen prices dropped do we have support do we want to go battery electric so we can make more of an informed decision in the future to bring being bring enough data which battery manufacturer we recommend or which technology. >> Understood. I just hear that we have a a capacity issue in terms of parking our buses. So, I mean to me in my mind the math just doesn't make sense. We need to replace seven and we're acquiring 10. Where are we going to park all these buses? And do we need to replace all? I mean, do we need to get 10 if we're just needing seven? In addition, um, aren't there reviews out there to like from other agencies who have purchased the flyer the all flyer buses to get some feedback in terms of how they operate already? I'm just I'm just curious. >> So, I I can kind of answer that. Um, I'll give you the example of the Gillick buses. Uh, we purchased the Gillick electric buses. Samrans purchased electric Gillick buses um about the same time. They actually have more miles on their vehicles than we do because we we have not done well with the Gillig, not we, but the we have not received a lot of it support. Um, we've had issues with these buses. They've been out of service more than they've been in service. Um, and I'll talk a little bit about the new flyer, uh, hydrogen buses. We've had really good luck with them. As I said, we've we've ran about 30,000 miles with them. Um, we've had no really major recalls, but if you talk to other agencies, it's the opposite. Um, it's in the industry that seems to be the norm. Um there's no like Yelp comparison that we can look at um because it seems that each set of batch of buses um reacts differently or performs differently. So um it's standard practice to have pilot programs of vehicles um for agencies. Um, it's, you know, just kind of the nature of of the the way the OEMs work. >> And another thing I can add to it, it's also not all agencies have the same chargers. So, it's the chargers can be an issue too. So, sometimes one charger is not communicating way well with another bus. The the the charger and battery manufacturer sometimes are pointing fingers at each other. So, saying it's not my problem, it's your bus problem. So, so then you you struggle getting those buses back on the road. And that's currently what where we're at with the some some of the buses is like we have to get both the charger manufacturer, the bus manufacturer to be on site and sometimes even the battery manufacturer to to all three of them to figure out okay whose problem is it? Can you guys fix it? So basically um bus you know technology for cars is for battery electric I mean cars is great for buses and it hasn't caught up yet. I mean there's some some agencies that are performing great with bad with electric buses. Uh unfortunately we are not you know so that's that that's the kind of my my experience has been right now is we still need to kind of continue testing and figure out where we want to move forward to. And so I know we're not making an action today, but it sounds like our discussion is guiding direction to staff. And just from your comment earlier, Corey, um you you you mentioned you said that we will then not be pursuing the CNG buses. Then we would not have enough to replace. So what is our strategy? I feel like we need a strategy. So, what is your what do you recommend? I mean, the recommendation if you were to ask staff uh was the C to go to buy the four electric battery electric buses and then to go after funding for the CNG. uh because uh right now we have the space for four uh with the additional chargers uh and the CNG buses would not require additional charging infrastructure. We have the the CNG fueling infrastructure for it right now. Uh but if the board is not in favor of us returning to CNG, then we have to rethink uh how we're going to approach this and how what we're going to do. So, >> can we apply for three instead of six? Like, is there a reason why we're trying to seek funding for all six? I I think that in my mind, the question uh from the feedback that I'm receiving from the board is the question of buying CNG at all. You know, I think it's a question if we're going to buy one CNG, then we could buy seven CGs. I think it's are we going to go back or uh allow us to purchase some additional CNG buses or are we going to march forward with uh battery electric and hydrogen fuel cell only? >> Like I'd like to hear from other board members what they think about that. >> Director Lind, >> personally the the plan made sense to me. I I mean I I one I trust staff but it also seems logical that with some of the challenges we're facing with this administration that um pursuing grant funding for CNG that's been proposed um I I'm supportive of what I'm hearing. Uh, Director Kentar Johnson. >> Um, thank you. I'm I'm wondering why we didn't have this item as an action item. This seems like a pretty important decision and I'm not prepared to say whether I support um applying for a grant or not because that's not what I was prepared to do at this meeting. So, I'm wondering why um we didn't agendaize it, why we agendaized it the way we did. Uh we agenda is this way uh based on the last time that there was a discussion on fuel propulsion propulsion type uh it wasn't a uh vote by the board. It was more of a discussion like this and the direction uh that the board gave based on the the conversation is is where the agency headed. So, uh, in the past there hasn't been, uh, a vote to go one way or another, uh, by the board, and we haven't, uh, for grant opportunities, we haven't, uh, sought board approval beforehand. We've sought a board approval to accept the award once it was received. So therefore, okay, >> uh, Director Martinez, >> thank you. Um, yeah, I think this is an important conversation. I know we haven't got a public comment, but I'm just going to give some comments. Um, you know, I I feel like what I'm hearing from the board is um a sense of looking for a strategy moving forward. Um, you know, I know that our previous purchases have been pretty opportunistic, right? You know, there's big funding, so let's get the, you know, massive fleet of hydrogen. um you know, here's some other funding, so let's apply and that might add to our uh fleet in these from these various fuel types. And I think as a board member, I want to be supportive of that, right? I want to ensure that the metro has the equipment that we need and if there's a replacement required that we have that. Um but I think that knowing from staff if we are um you know hoping to be a you know all our eggs in a certain fuel basket that's the plan that would be really helpful in guiding you versus maybe it's a better strategy. Maybe other agencies say like, "Hey, a more resilient fleet has multiple fuel types." And so we really want to have, you know, three or four different types and, you know, that helps us be more um resilient to the various political landscapes. Um, you know, either either of those might be the right answer, but I think we're we're looking to the experts to kind of advise on where to head. um you know, I don't feel ready to uh have your staff move forward like not applying for a federal or state opportunity based on this discussion just because I don't think that we're having we don't have all the information to give you that guidance. Um, so, so I kind of at this point like you know, um, taking this feedback and doing your best, but perhaps and and maybe not missing any important deadlines if you think that that's what we need as Metro um, but perhaps coming back with a plan to have a a conversation about longerterm strategy and infrastructure and fleet, which helps guide both our purchases of future buses, but also our use of spaces, our infrastructure like battery charging, um, you know, how to best invest in the Watsonville location. I think all of that would be really helpful to us as we provide further guidance. >> Yeah, absolutely. We can do that. You know, it's I wish that I could say we we have a very really clear path. Uh the problem is we don't it and the industry as a whole doesn't have a clear path. You know, three or four years ago it was very clear we were headed battery electric and then hydrogen fuel cell became a good option. And so that was added in and now we're seeing the the challenges with both of them. Uh whether it be from cost uh uh fuel availability uh uh charging uh uh infrastructure uh the the path uh forward is is kind of murky for us. Now, we know what buses need to be replaced when based on useful life. And we do have a a fleet replacement strategy of when buses need to be replaced. But we also are in an indust in an industry that is very much opportunistic. You know, we when there are grant opportunities, we go after them. That's we are very capital. And I wish I could say that we could say in two years we're going to get a grant award and we're going to replace uh 10 buses. in two more years we'll get another grant award but we just don't know we can apply and apply and apply and maybe one out of those four or five times will get awarded on there so we are very op opportunistic >> so to that I think perhaps it's not a um a plan with the content cooked in but more of like some guiding principles like um as a metro we uh when we have more than 30% 40% of our fleet invested in a certain type. we stay the course despite the political nature versus you know with a we think it's helpful that that another 30% of our fleet is rotating based on you know where things are going and we apply for you know the funding opportunities like whatever guide I you guys do the operations but like some some guiding principles that then when you bring these ideas or concepts to us we can say yeah you know that matches the direction given by the forward um and kind of matches our our strategy moving forward. And maybe hopefully within the industry and other agencies, they're having these similar conversations so we borrow from how other agencies are are navigating and planning these decisions. Appreciate that. Thanks, >> Director Dutra. >> Thank you. I agree completely. I I um you know, administrations change all the time. So, if we're going to be trying to follow every administration, we're going to be left with a lot of different kind of buses in our yards, you know, and I think that if we do go on track with something, I think we just consistently go through with it. Um, you know, I think that jump I think a lot of people maybe feel a little burned from the hydrogen investment. So, I think there's some skepticism, but um you know, I think that uh I think that like you've been hearing this from everybody that we really need to see a strategy of like where we're going to go with this whole program. And and I personally, I don't know about anybody else, but I mean, the state of the um you know, Metro uh buses, um the fleet, I mean, I'd like to see it every year just to see a list of our because you're bringing this to us 3 weeks before a um a grant is due and you're telling us that the it's it's they're due. You know, our buses are done now. I mean, if we would have known this beforehand, I think we could have prepared for it. Um there's no time to prepare for this. we're being told at the, you know, the the last hour that we're in dire need of these buses. So, I, you know, I I I want to like, you know, be supportive and be like, "Yes, do it." I'm also nervous, like, are we headed in the right direction because we really haven't had that conversation and I really don't know where the whole fleet stands and, you know, be having to retire the buses. So, um, I think a lot of when you bring it back to us, I think there are a lot of things that, you know, maybe you can answer for us that might help us with our decisions. Um, but I also think too like, you know, just because the administration is changing, we shouldn't automatically be like, "Okay, we're we're now going to be going into this because this administration wants it. In two years, we're going to have a different administration who may go back to supporting hydrogen, you know. Um, we don't know how that how that looks." So, um, yeah, if we can do maybe more annual updates on the the state of the the fleets, that would be great. Um, and how how many um uh metro uh organizations are there in the state of California? Cuz you said we were one of 12 that were um needing um that were that were dealing with the hydrogen issue with our buses. Are there >> I'm sorry. >> I don't know. That's a good question. I think there's >> Yeah. >> Yeah. There's probably about 12 in the state. um >> of hydrogen. But as far as transit agencies, >> transit agencies, >> uh some 80 100 >> Yeah, maybe. >> I I sit on a committee with uh Philadelphia, New York, New Jersey. So, I mean, it's a national um nationwide. There are other agencies, >> you know. I think my my whole point is that like we're one of 12, which is there's probably a lot more like a lot like probably close to hundred. I can ask Siri in a minute. I But um I think that we in in this county sometimes feel like, oh, we need to be the first people to to do this because this is what we're told is going to be the best way to move our our our our um you know, state forward and being green and then it kind of backfires, you know, and now we're one of 12 dealing with this issue. Um I kind of look at like when you know the flat screen TVs came out, like people didn't rush to buy it right away. They kind of watched how it worked with other people. And I think that sometimes maybe we kind of watch how other agencies are dealing with these issues before we jump in financially and get ourselves in over our heads. So that's just my opinion. You know, I think that sometimes the new shiny object has to be refined and it's okay to watch it for a bit and um I know that hydrogen situation happened quickly. Um but hopefully we don't make them mistakes moving forward. So, you know, maybe sometimes stepping back and kind of just watching um is okay in my mind. Um and oh, those the like the buses we don't use, do we sell them? Like what do we do we get money for them? Like those the the pateras, did we are we going to sell them or >> So, the pateras, as I mentioned earlier, I'm asking for a waiver from the federal government. They still have about $100,000 invested in them. um what how we normally dispose of buses is through selling them. I'm not sure what Corey thought Corey's thoughts are if we get the waiver from the federal government. Um but uh yeah, we do sell them uh or auction them off rather. >> Well, I think if they don't work, we should sell them, right? >> Again, that's a >> Well, I mean, a little bit, right? >> I mean, >> we can try to sell them and >> parts. Yeah, that's what I was thinking. >> It would be more for parts than anything. But yeah, we need to wait until FTA gives us uh the the green light on that because they still have >> depreciation life left in them. So there's still FDA or federal interest in there. >> I just think we should look for alternative ways to get the financing. So if we I mean that all adds up. Every little bit adds up. And then then we can maybe get some testing buses. That's you know. So thank you. Just to follow up on that, we we have to get permission to sell them is what you're saying. And we haven't gotten that permission. >> That's that's correct. We have to have that waiver uh from the FTA. The other agencies have received it. Um so I'm just waiting to hear back from them. >> And I know you both uh Corey, I know you serve on APA. I think actually hold a position with AFA. And so I'm I'm I'm hearing from both of you that you are hearing from um through these organizations that you're all being discussing a path and strategy. So you're getting input nationwide with APTA and and other organization as well. Is that correct? And so part of this is um coming into these decisions is what you're hearing from all the other agencies. So, and obviously you you inherited the um hydrogen from the prior CEO, but as you said, that was the way industry was going. It does I mean it seems to me that um what you're also looking at is where the funding opportunities are and having to replace some of these buses, looking at what funding is available and um hoping to work out some of the other issues with hydrogen. So, it it does seem like it it's hard to have an actual strategy with what you're what you're explaining to us, the challenges, and you're hearing um the landscape changes. Everyone felt certain hydrogen was the way to go nationwide. Now, it's it's become a problem. At one point, we were worried about the batteries as as u has been brought up, not carrying Highway 17, not carrying the mountains. And so, um, am I hearing that that is improved? I think that's what Freddy was saying is that and the 35 bus being a little bit smaller, able to negotiate, um, some of the rural areas that are more challenging. So, I I mean, just if you could just clarify what that it's not just locally, but it's through these organizations and trying it sounds like everyone is trying to come up with a strategy and this is what you're all sharing amongst the various transit organizations. Yeah, correct. Uh if you go back to the beginning of the Biden administration, uh everything went immediately went to uh zero emissions. There was, you know, with the IJA transportation package, there was so much funding available in there. Uh there were a number of agencies that had a path uh of diesel or hybrid future, but those were no longer funded. And so they had to figure out what what how they were going to pivot so that they could get um uh funding for it. Now we're in a different administration and just like director Dutra said, yeah, administrations change and I mean I'm very hopeful that the next administration brings hydrogen back in as as a focus because uh we need to figure out a way to bring the cost of hydrogen down. So uh we yes I mean we would be happy to come back and uh with a more clearer plan a clear uh of our of our goals and our objectives of of what we want to do moving forward in the future. Um but also with the understanding that it will likely change you know as technology changes and as funding opportunities change. And I I I know we have had reports on our buses and you know probably we weren't putting as much emphasis or you know just looking at it. I'm not expecting this issue to come up, but uh um you know, as has been said, it's it's good to have the periodic updates on our buses, and I I know we've had them, but uh this one sounds like a a more urgent decision given the grant funding. >> Sure, Director Downing. Yeah, I recall receiving lists of the buses and their and their uh life expectancy previously. Maybe that's like a quarterly thing that we just could have in our packet so that we can all have that to refer to when we need to. Um if you're going to be working on some sort of strategy, I think that it's important to remember that when you make a choice like when we did for hydrogen, you know, you have the best information at the time. like you said, we were going with zero emissions. I think it's also important to, you know, try to be flexible and have a variety of of things in your fleet. The challenge comes for staff who have to service and maintain these vehicles and getting a whole new technology, you know, or having too many. It's not too many eggs in one basket, but but as someone who has to work on all of those buses, you know, I think most transit agencies would just like to have one, right? So that they, you know, all the parts are the same, all the infrastructure is the same. And of course, we don't have that. But I think it's important to incorporate that when we talk about these plans because, you know, the mechanics have to work on this stuff. we've got the software issues and things and that needs to be included so that when we have to make those decisions, you know, we understand more than just like we got a grant opportunity, so let's go for it. So, thank you. >> If there are no other comments, we'll open this for from directors, open it for public comment. Good morning board. Benjamin Fina, bus operator. So we are in California and while at the federal level there's definitely going to be a lot of fluctuation as far as what their priorities are California especially California Democrats in the California Democrat um the the plan their their policy plan it heavily leans into continuing to go for zero emissions and yes we're one of the early adopters with hydrogen But we have been lucky. We we've had fewer problems than other agencies have. And we already have the buses as well. And I think that getting the infrastructure now, like we already have it, it makes sense to while the funding isn't there to purchase more hydrogen buses now to keep it on the plate. And I think that actually going for some more CNG buses now is being a little conservative because we recently had the issue where the temporary fueler went down. We were waiting a couple weeks for a part and having the flexibility to still have other fuel types to rely on, I think is a safe a safe move. as well as from what I understand, the plan is still to retire all the buses that are older than 2012 and to replace some of those with CNG buses when we already have the infrastructure and knowhow to service and run those buses. I think it's again a safe bet. Uh, and as an agency, we're already used to running all these different types of buses, and we're planning on getting rid of the diesel hybrids, the 4200s, and so I think it makes sense to play it safe and like be conservative in in this way. But I personally think that replacing some of the outgoing buses with CNG, it makes sense to me. And as well, the big question here is what funding is available now. And this is a federal grant. At the state level, there's still zero emissions funding. And again, I don't know what will receive, what will win, but I think keeping a mixed fleet makes sense to me. As well as we do need the 35 ft buses. There are some routes where it's not safe to run a 40ft bus. You technically can do it, but it's a higher risk because we've got some tight little roads. Thank you. Thank you. Anyone else here in chambers? Is there anyone online? There's not. All right. Thanks. All right. Um well, I'll return to the board. This is only a information item. Um I don't know if there's any other comments. I mean, I will say I I I think you've heard a general desire to see a more comprehensive plan. Um, I mean, personally, I think that, you know, certainly I appreciate going for another four electric buses that we have the capacity to charge. Um, and also trying from another manufacturer who's hopefully will be more reliable. Um, I still haven't heard or sorry, I still haven't heard a good answer of why we need six or we would apply for six CG buses instead of three if that's all we need. Um, maybe that could be explained in more detail uh in a future report. And um I mean I sure Freddy, you want to answer that? >> I could do just a quick update. Uh um so currently we have 14 vehicles that are allegible to be replacing. So basically what we're trying to be, we're being a little bit more um basically strategic. Basically, we want to only replace about eight. Uh our replacement plan basically has strategy has replacement plan of eight buses in 2027, another eight buses in 2028, another eight buses in 2029, and then in 2030, we basically don't have that many buses to replace. You only have about five. And then in 2031, we only have about three. So basically we're trying to to limit the number of buses we replace to about 114th of of the buses. So basically makes it a more man manageable um replacement strategy. Instead of replacing 53 at one time, we we can manage replacing eight at one time. >> Got it. Thanks. That's helpful. I think that's some of the broader context that um would also be helpful for this board. Um I I wouldn't preclude any options. I mean, I wouldn't take away from this that you that the agency shouldn't apply for these buses. I mean, if we come back and the board agrees on a strategy where um were willing to continue maintaining uh CNG acquisitions, I mean, it would be a shame if we no longer have that option. So, those are my final thoughts. Thanks. Any any other directors? Yes. >> Yeah. Yeah, I just want >> I just want to echo that. I do want to see a a diversity and resiliency in our fleet. Um I don't want you to take our you know um our response to the lack of a comprehensive presentation and strategy and plan to mean that we don't want you to pursue grant funding. And after hearing Freddy's explanation, it makes sense. We want to stay proactive. We want to stay ahead of the of our need to replace these buses so that in the future we wouldn't have to replace so many at once. Um so I agree to pursuing funding. All right. If there are no other comments from directors, we'll conclude that item and proceed with the CEO's report. Okay. Uh so Metro recently completed a comprehensive audit of the FY27 budget and financial plan uh to verify the accuracy and consistency of its financial schedules, departmental information, reserve assumptions, and long range projections. Uh that's been completed and will be posted uh on our website here uh very soon. Uh recent outreach uh events included seven back to school nights, two additional school events, the Watsonville Strawberry Festival, Family Day at the Grove, Fourth of July parades, and the downtown farmers market. Uh we also have the one ride at a time bus wrap contest uh that uh I believe just closed a few days ago. Uh we're reviewing uh the submissions. I know we received uh uh well over a hundred uh submissions and some really good ones. So, we're looking forward to uh selecting some good um uh uh submissions. Uh this uh this wrap the wraps that are going to be selected will be funded through state tersup grant. Um so there'll be funding there for it. Uh the Metro will be serving the Santa Cruz County Fair uh September 16th to 20th with free fairs on Route 79F uh daily and route 79 on the weekend. Uh riders will also receive a fair admission discount voucher for writing. Uh the bus rodeo and company picnic will be held on October 10th at our uh Beach Street facility in Watsonville. Uh all board members are invited and uh if any of you are interested in serving as judges uh please uh contact Donna Donna Bower. Uh Metro is partnering with California Transit Training Consortium to develop technical training uh for future hydrogen fuel cell electric buses. As Margot mentioned, uh the Metro Maintenance employees will serve on the steering committee uh helping shape a curriculum that can support transit agencies throughout California. And uh lastly, uh Metro will be posting uh for a new bus operator uh recruitment next week to replace the operators that we've lost uh through attrition so that we can maintain the staffing needed to deliver the uh scheduled service that we have. And that's the end of my report. Questions from directors. Okay, seeing none. Any comments or questions from the public? Seeing none in chambers. Anyone online? All right. Um, thank you very much. That concludes our meeting and I'll see you in September. Meeting adjourned.