NORTH COAST RAILROAD AUTHORITY (NCRA)
BOARD OF DIRECTORS REGULAR MEETING MINUTES
WEDNESDAY, OCTOBER 17, 2001
AT 10:00 A.M.
����������� The meeting was called to
order at 9:58 a.m.
B.�������
ROLL CALL
Directors present:�
Chair David Ripple, Vice Chair Allan Hemphill, Max Schlienger, Robert
Simonson, Daniel Opalach, and Leo Sears.
Director absent:�
Jake Mackenzie.
Also present:�
Executive Director Max H Bridges, Assistant Executive Director Doug
Christy, General Counsel Christopher J Neary, Property Manager Cyndee Logan,
and Administrative Assistant Pamela R Fishtrom.
��������������� Approve Minutes of September
19, 2001 Regular Board Meeting
����������� Dir. Schlienger moved to approve the Minutes; seconded by Dir. Hemphill.� Vote taken; motion carried.
��������������� �
Dir. Sears moved to approve the Agenda; seconded by Dir. Schlienger.� Vote taken; motion carried.
E. ����������� PUBLIC COMMENTS
Chair
Ripple announced NCRA Accountant Wade Fulton passed away on October 5, 2001.
�
1.
Discussion on Public Relations
Dir. Sears encouraged greater public relations
efforts to foster credibility and increase awareness of the Agency�s activities
while stressing the importance of accuracy.�
Dir. Hemphill moved to form an Ad-Hoc Committee of
Dir. Simonson and Dir. Sears to act in an advisory capacity and review policy,
and on an interim basis, provide the sole level of additional communication in
collaboration with staff and subject to the Chair�s review; seconded by Dir.
Sears.� Vote taken; motion carried.�
2.
Response to Single Year Audit for Fiscal Year Ended June 30, 2000
This Item was continued to the November Regular
Board Meeting.
3.
Review Final Revisions and Adopt Personnel Policies and Procedures
Handbook
In response to comments from Dir. Opalach and
Caltrans representatives, staff was directed to present a revised version at
the November Meeting to be considered for adoption at the December Meeting.
4.
Status Report Regarding Interim Operations
Four possible interim operators all require monthly
subsidies for operations and maintenance of not less than $80,000 through well
over $100,000.� Dir. Hemphill recommended
fashioning a Request for Proposals (RFP) for a permanent operator but remain
open to alternate proposals from potential interim operators in the near
future.
5.
Development of Request for Proposals for Permanent Operator
Staff recommended preparation of a detailed RFP with
clear expectations of the benefits required by NCRA.� However, the Environmental Assessment needs to be complete, a
plan prepared and presented to the California Transportation Commission, funds
accessed, and a definite date for re-opening the North End.� Chair Ripple recommended crafting the RFP
where the operators sets up a liability account offset when revenue is
generated from the North End.� Dirs.
Hemphill and Sears volunteered to help staff structure a RFP.
6.
Procedure for Disposition of Surplus Property
Mr. Neary was instructed to include wide exposure to
the surplus property available, and add monetary limits so staff is not
burdened by a cumbersome procedure when selling minor equipment.
Dir. Hemphill moved approval with those amendments
provided the new language is brought back to the Board; seconded by Dir.
Schlienger.� Vote taken; motion carried.
7.
Proposed New NCRA Logo
The proposed logo was sent back to staff to add a
train or tracks.
�
8.
Governance Issues Regarding the NWP
A joint resolution adopted by Sonoma and Marin
County Boards of Supervisors states the intent to seek legislation to create a
single entity to own the right of way sustaining passenger service.� Mr. Neary created a list of tasks to address
with Northwestern Pacific Railroad Authority.�
Chair Ripple created an Ad-Hoc Committee of Dirs. Sears, Schlienger, and
Hemphill to consider the issue.�
9.
Consider Cost of Living Adjustment for NCRA Employees
Mr. Bridges suggested a 5% cost of living increase
for the employees based on a Consumer Price Index (CPI) increase in San
Francisco of 6.6% retroactive to July 1, 2001.
Dir. Hemphill moved to act on 5% now but suggested
to come back next year with, not only the CPI figures, but comparatives to
other government agencies because it won�t be as easy next year; seconded by
Dir. Sears.� Roll call vote taken: all
Directors present voted � aye� except Dir. Opalach who opposed; motion carried.
10.
Discuss Interim and Long-Term Accounting Functions
Mr. Bridges reported prior NCRA Accountant Russ
Mustola is helping with basic accounting functions until an accountant is
hired.� Also, Aycock and Edgmon, CPAs,
offered long term assistance with direct deposit for payroll, preparation of
desk procedures, and audit responses.�
Mr. Bridges recommended the Board accept a revised accountant job
description and authorize recruitment for that position.� Chair Ripple suggested the Audit Committee
help with the selection process.
Dir. Sears moved to approve the job description and
authorized recruitment for an accountant; Dir. Opalach seconded.� Vote taken; motion carried.�
�
11.
Revised Independent Contractor Procedure
Mr. Neary presented a revised Independent Contractor
Procedure.� Dir. Sears recommended
inclusion of a clause allowing to rescind a contract if the contractor is found
to have provided incorrect information or committed fraud.� In response to further concerns, Chair
Ripple directed staff to receive suggestions, make revisions, and distribute a new
version at the November Meeting for possible adoption in December.
12.
Federal Emergency Management Agency (FEMA) Alternate Project Revisited
Mr. Bridges, seeking direction from the Board,
discussed the merits and disadvantages of the Alternate Project proposal
offered by the Office of Emergency Services (OES) on behalf of FEMA.���
In April 2000, the Board agreed to pursue the
Improved Project in favor of the Alternate Project. Now, however, funds for
repair from the State created the need for an expanded scope of work� triggering additional environmental review
north of Willits.
The Alternate Project option would allow 90% of $8.3
million dollars of disaster relief funding for permanent repairs north of
Willits, be spent on materials and equipment for use on the South end: the
remaining 10% would be forfeited.�
Suggestions ranged from re-programming State funds for later use on the
North end to the possibility that acceptance of an Alternate Project would meet
FEMA�s requirement that repair of the facility would �not be in the public�s
best interest� therefore ineligible for future disaster assistance.� Some speculated the tragedy of the terrorist
attacks on the World Trade Center Towers in New York on September 11 spurred
FEMA to negotiate rather than complete a complex environmental assessment.�
The majority of Directors believed the Alternate
Project was worth exploring, however, due to strong opposition by both
representatives of Humboldt County, Chair Ripple directed staff to pursue
completion of the Environmental Assessment concurrently, and discuss progress
with those parties to the Consent Decree when they meet on November 6, 2001.
Dir. Sears moved to table this at this point in time
until we have the opportunity to use the wise counsel of our consultant;
seconded by Dir. Opalach.� Roll call
vote taken; all Directors present voted �nay� except Dir. Sears and Dir.
Opalach who each voted �aye;� motion failed.
Dir. Sears agreed to work with Chair Ripple to
review the Alternate Project proposal and to keep Dir. Opalach advised.��
13.
Discuss for Possible Action a Contract with the City of Santa Rosa
The contract for an effluent line between Santa Rosa
and Healdsburg is not yet ready, although Ms. Logan indicated it should be
expected in December, 2001.
14.
Consider Contract with Elypsis, Inc. for Computer Accounting Software
Support
Mr. Bridges recommended contracting with Elypsis,
Inc. as the firm currently provides support.
Dir. Sears moved to approve the contract; seconded
by Dir. Schlienger.� Vote taken; motion
carried.�
G.���� ����������� LIAISON
REPORTS
1. Northwestern
Pacific Railroad Authority (NWPRA) � Mr. Bridges
Mr. Bridges reported NWPRA meets on Monday.� Dir. Hemphill will attend and also meet with the Governance Committee.
2. Sonoma-Marin
Area Rail Transit Commission (SMART) � Mr. Bridges
Nothing further.
3. Legislation
� Mr. Bridges
No report.
4. Web
Site
Chair Ripple reported 6578 pages visited with 257 subscribers.
5.����������� Cities � Dir. Mackenzie
Dir. Mackenzie absent.
�
6.�� ����������� Passenger
� Dir. Hemphill, Dir. Opalach, and Dir. Schlienger
Dir. Hemphill reported receiving offers on passenger
equipment, more vandalism of passenger equipment, the need for property
protection, and a Committee meeting will be held soon.
����������� �
7.��������
Mendocino Council of Governments (MCOG) Technical Advisory Committee �
Ms. Logan
Ms. Logan presented a copy of the Mendocino County
Transportation Plan.
H.������� STAFF REPORTS
1.
Executive Director Max H Bridges
Mr. Bridges reported:
� at the California Transportation Commission Meeting, Caltrans said NCRA is now part of the Rail Division as opposed to the Division of Mass Transit
� he will be on vacation for ten days
� he drafted a response to Mr. Quinn�s questions from the previous Board Meeting
� yesterday, the Quarterly Meeting with Caltrans uncovered issues as a result of audits of the Proposition 116 reporting, Rail-Ways, Inc., and Herzog.� Chair Ripple suggested forming an Audit Committee from the Finance Committee.���
����������� 2.����������� Assistant
Executive Director Douglas Christy
Mr. Christy reported the rehabilitation project is moving forward: Stacy and Witbeck clearly understand the scope of Class I; an accounting and auditing system is in place; the first invoice was prepared and processed by; and, without an interim operator the need for a strict timeline to open individual work segment is no longer applicable.�
3.����������� General
Counsel Christopher J Neary
Mr. Neary reported the Boyle protest is withdrawn.
����������� 4.����������� Property
Manager Cyndee Logan
����������� ����������� Nothing
further.
I.����������� MATTERS FROM BOARD MEMBERS
Dir. Sears, as member of the Property Management Committee, is successfully working with members of the Community towards developing a Trails Policy.
�
Dir. Opalach said the
recent Times-Standard article is excellent however writer David Anderson quoted
a staff or Board member as saying �the Railroad cannot operate at a profit
without Humboldt County lumber shipments.��
Dir. Opalach said that this is a misleading statement.� Instead, the NCRA should emphasize the
potential shipping business that will be generated from the Port.
J. ����������� ANNOUNCEMENT OF NEXT MEETING
����������� Regular Board Meeting � November 14, 2001 10:00 am
����������� Eureka City Council Chambers, 531 K
Street, Eureka, Humboldt County, CA, USA
K.����������� CLOSED SESSION � Convened at 2:00
p.m.����
L.����������� ANNOUNCEMENT OF ACTION TAKEN IN
CLOSED SESSION � Reconvened at 2:55 p.m.
1.����������� Conference with Legal Counsel Neary
� Anticipated Litigation
Government
Code � 54956.9(b)
Significant Exposure to Litigation � One Case
.��������������
2.
Conference with Legal Counsel Neary � Existing
Litigation
Government
Code � 54956.9(a)
Rail-Ways, Inc. v.
Benson, U.S Bankruptcy Court, N.D. Cal., Adv. Proc. No. 01-1101
Lawsuit to avoid
preference with respect to a disputed fund held by NCRA in which makes no
claim.
3.
Conference with Legal Counsel Neary � Existing
Litigation
Government Code �
54956.9(a)
Mass Electric v.
Rail-Ways, Inc., et al., Mendocino County Superior Court, Case No. 85230
For each Closed Session Item 1-3, General Counsel Neary provided information to and received direction from the Board of Directors.
M.����������� ADJOURNMENT
����������� The Meeting was adjourned at 3:00 pm.