NORTH COAST RAILROAD AUTHORITY (NCRA)
BOARD OF DIRECTORS REGULAR MEETING MINUTES
WEDNESDAY, AUGUST 16, 2000
AT 10:00 A.M.
����������� Chair Jehn called the meeting
to order at 10:15 a.m.
A.
ROLL CALL
����������� Directors present:� Chair Robert Jehn, David Ripple, Allan
Hemphill, Daniel Opalach, Robert E.
����������� Simonson, Max Schlienger,
and by telephone Jake MacKenzie.
����������� Also present:� Executive Director Max H. Bridges, General
Counsel Christopher J. Neary, Property���������
�����������
Manager Cyndee Logan, Consulting Accountant Russ Mustola, and
Administrative Assistant����
�����������
Pamela Fishtrom.
�����������
Chair Jehn honored Jack McKellar with a plaque for his service as a
Director for the Board as the�������
�����������
Cities Representative.
�����������
Chair Jehn introduced Dir. MacKenzie, replacing Jack McKellar as the
Board�s Cities�
�����������
Representative, who described his interest in transportation.
����������� 1.�� Presentation by Northwestern Pacific Railroad Support Coalition (NPRSC)���������������������
Kaye Strickland, Chair of Citizens for Port Development (CPD), presented the Board with a press release issued that states the goals of NPRSC, a sub-committee of CPD.�
����������� 2.�� Presentation by Northern Counties Logging Interpretive Association (NCLIA)
��� Marcus Brown, President, presented his ideas for a first-class logging/railroad museum which
��� includes a scenic train trip around Humboldt Bay.�
����������� 3.�� Adopt Single Year Audit of Fiscal Year 1998-1999
�����
����� Dir. Hemphill moved to adopt the
Single Year Audit of Fiscal Year 1998-1999 presented by
����� Aycock and Edgmon, CPAs; seconded
by Dir. Ripple.� Vote taken; motion
passed���
����� unanimously.
4.�� Approve Firm to Provide Single Year Audit
of Fiscal Year 1999-2000
��� ��Executive Director Bridges reported Aycock and Edgmon, CPAs, were the sole responders to
����� NCRA�s Request for Proposal to Provide an Independent Audit.
����� Dir. MacKenzie moved to authorize
Executive Director Bridges to enter into an Agreement��
����� with Aycock and Edgmon, CPAs; seconded
by Dir. Ripple.� Vote taken; motion
passed��
����� unanimously.
5.�� Consider Approach to Southern Division
Repairs to Class I Status
����� Executive Director Bridges reported Herzog Contracting Corp. (Herzog) may be willing to
����� complete the Southern Division repairs
and CalTrans has indicated possible contract approval
����� under a sole-source procurement.� However, CalTrans will not recommend reimbursement for����
����� work performed by Rail-Ways, Inc. due to an audit which found exception to record-keeping�
����� practices.� Chair Jehn recommended Mr. Bridges proceed with a course of action to get the��
����� Railroad re-opened.
����������� 6.�� Haystack Landing Bridge
����� Executive Director Bridges reported the Coast Guard has ordered the Bridge be repaired.�
����� Although the Northwestern Pacific Railroad Authority (NWPRA) owns the bridge, NCRA is�
����� responsible for its repair.� NWPRA offered to loan NCRA $125,000.��
����� Dir. Hemphill moved to authorize
Executive Director Bridges to enter into a contract with��
����� Vortex Diving not to exceed $150,000;
seconded by Dir. Ripple.� A roll call
vote was taken;�
����� each Director responded affirmatively; motion passed unanimously.
7.�� Consider Extension of Commencement Date of
Permanent Operating Agreement with���
����� NWPY
����� Dir. Simonson moved approval to
extend the start-up date of the Operating Agreement with
����� NWPY to September 20, 2000; seconded by Dir. Schlienger.� Vote taken; motion carried.
������������
1.�� Northwestern Pacific
Railroad Authority (NWPRA) � Executive Dir. Bridges
������� Dir.
Hemphill said NWPRA reported on the governance of the Railroad by so many
agencies,�
������� and
he reported to them on funding issues, re-opening the Railroad, and
administration.���
������������
2.�� Legislation � Executive Dir.
Bridges
������� Mr.
Bridges reported there is a bill penned by Assembly Member Strom-Martin that
will�����
������� allow
increased flexibility of Transit Capital Improvement funds designated for NCRA.
������������
3.�� Passenger � Chair Jehn
������� No
report.
� 4.�� Cities � Dir. MacKenzie
������� Dir.
MacKenzie reported he looks forward to working with the Board and Executive
Director��
�������� in
making sure communication with the cities along the line is �wide open.�
������������
5.�� Sonoma-Marin Area Rail
Transit Commission (SMART) � Chair Jehn
������� Chair
Jehn reported SMART will meet September 13 and will approve a final draft of
the����
�������
document outlining commute rail start-up between Cloverdale and San
Rafael beginning as�
������� early
as 2005.
�6.�� Mendocino Council of Governments Technical
Advisory Committee � Ms. Logan
������� Ms. Logan reported the 10% set-aside of State Transit Improvement Program funds is����������������
������� approved by the Mendocino Council of Governments to be used for Railroad Crossings.�
������� The cities and counties will recommend which crossings are to be repaired first during
������� November.
� 7.�� Web Site � Chair Jehn
������������������
Chair Jehn reported visitation to the site continues to be about 3,000
hits per month, and��
������������������
143 subscribers.� In addition, a
more sophisticated map will be added with the help of a���
�������������������
volunteer.
�������������� 9.��
Contractor � Northwestern Pacific Railways Company, LLC (NWPY)
��������������������
John Darling, President of Rail-Ways, Inc., reported Rail-Ways, Inc. is
being replaced by���
��������������������
NWPY that adheres to the accounting procedures as required by 49 CFR, 48
CFR, and 44����
��������������������
CFR.����
��������������������� He is working with Herzog and NCRA to remain
within the budget for completing Southern
��������������������� Division repairs by utilizing the people most
familiar with the Line.�
��������������������� He reiterated the Board�s concern that the
Haystack Landing Swing Bridge will continue to��������
��������������������� be a problem even after repair in that it is
obsolete.
����������� ����������Tomorrow he, Herzog, and Chair Jehn
are meeting with the Federal Railroad��������������
��������������������� Administration (FRA) to discuss compliance
with Emergency Order 21 and an approach to�
��������������������� the Southern Division re-opening.��
��������������������� To open to Willits, Mr. Darling indicated it
will be between 90-120 days beyond the date of��
���������������������� re- opening to Petaluma.
I.����������
EXECUTIVE DIRECTOR REPORT � Mr. Bridges
�������������
Executive Director Bridges reported he will attend a meeting in Ventura
next week where the
�������������
California Transportation Commission will discuss guidelines to
dispersing AB 2928 funds.� In��
�������������
addition, he attended a workshop in Oakland on the State Freight Rail
Plan.����
J.����������
PROPERTY MANAGER � Ms. Logan
�������������
Property Manager Logan reported collecting approximately $25,000 in past
due property
�������������
accounts last month.� This months
billing will go out after the Property Management Committee
�������������
Meeting at the end of this month.
�������������
No report.
�������������
Chair Jehn informed Dir. MacKenzie he would be unable to join the Closed
Session�
��������������
telephonically.
�������������
Regular Board Meeting � September 20, 2000 10:00 a.m.
�������������
Healdsburg City Council Chambers, 401 Grove Street, Healdsburg, Sonoma
County, California
������������ �1.�� Conference with Real
Estate Negotiator � Ms. Logan
������������������� Government Code Section
54956.8
������������������� Concerning Sale of the
Ukiah Depot
������������� 2.�� Conference with Real Estate Negotiator � Fiber Optics � Ms.
Logan
������ �������������Government Code Section 54956.8
������� a.��
Pacific Bell
������������������� b.�� Qwest Communications
3. Conference
with Legal Counsel � Existing Litigation
������� Government Code Section 54956.9
�������� a.��
Rail-Ways, Inc. v. NCRA, California Western (Including Consideration of
Rail-
��������������� Ways, Inc. Claim)
��������������������� b.�� NCRA v. Green
��������������������� c.�� Green v. NCRA (2 Cases)
��������������������� d.�� Claim of Richard Reid
�����������������
��������������
������������� 4.�� Conference with Legal Counsel � Potential Litigation
������������������� Government Code Section
54956.9
������������������� a.�� California Western
������������������� b.�� Bushnell Enterprises v. NCRA (Consideration
of Stipulation)
������������������ Government Code Section
54956.8
������������������ Concerning Sale of the
Ukiah Depot
������������������ General Counsel Neary reported the Board gave direction to Ms. Logan.
������������ 2.�� Conference with Real Estate Negotiator � Fiber Optics � Ms.
Logan
������������������ Government Code Section
54956.8
������� a.��
Pacific Bell
����� ��������������b.�� Qwest
Communications
������������������������� General Counsel Neary reported the Board gave direction to Ms. Logan.
�3.���
Conference with Legal Counsel � Existing Litigation
� Government Code Section 54956.9
������� a.��
Rail-Ways, Inc. v. NCRA, California Western (Including Consideration of
Rail-���
������������� Ways, Inc. Claim
������������������������� General Counsel Neary reported he received direction from the Board and the matter
������������������������� was continued to September Board Meeting.
�������������������� b.�� NCRA v. Green
�������������������������� General Counsel Neary reported he was given direction by the Board.
�������������������� c.�� Green v. NCRA (2 Cases)
�������������������������� General Counsel Neary reported the Board authorized $322,000 retention pending
��������������������������� resolution.
�������������������� d.�� Claim of Richard Reid
��������������������������� General Counsel Neary reported this matter was continued to the September Board
��������������������������� Meeting.
������������� 4.��� Conference with Legal Counsel � Potential Litigation
�������������������� Government Code
Section 54956.9
�������������������� a.�� California Western
�������������������������� General Counsel Neary reported he was given direction by the Board.
��������������������� b.�� Bushnell Enterprises v. NCRA (Consideration
of Stipulation)
���������������������������������� General Counsel Neary reported a claim was approved
by the Board for����������
���������������������������� $180,044.27 subject to review of the
document to be prepared by Bushnell��
���������������������������� Enterprise�s counsel.