Loading...
HomeMy WebLinkAboutMinutes Corpus Christi Regional Transportation Authority - 12/01/2004 i 456 7619 Regional Transportation Authority (IR o�1�Board of Directors Meeting Minutes �Wednesday, December 1, 2004JANRECEIVED 1. Approved the Board of Directors' Minutes of November 3, CITYSECRETARY'S2. Awarded Workers Compensation Insurance, Auto LiabilityancifFi to 44Catastrophe Insurance, Property Insurance, General Liabilurancej z®V Errors and Omissions Insurance and Fidelity Insurance to Texas Munic�# League 3. Heard Public Comments on Proposed 2005 Operating and Capital Budget 4. Adopted the 2005 Operating and Capital Budget 5. Heard Update on RTAC Committee Activities 6. Accepted October 2004 Committee Reports 7. a) Approved the Third Quarter Investment Report for Defined Benefit.Plan b) Approved the Third Quarter Investment Report for Defined Contribution Plan c) Awarded First Option Year to Wells Fargo for Portfolio Management Services for the Defined Benefit Plan d) Approved the Federal Transit Administration's 2005 Certifications and Assurances e) Authorized Staff to Apply for Federal Funding for Projects Approved in the 2005 Capital Budget 8. Awarded a Contract to SSP Petroleum for Diesel Fuel 9: Awarded a Contract to.Collier, Johnson&Woods, PC for Annual Financial Audit Services 10.Approved Appointing Five Persons to Serve as Hearing Officers under the Personnel Policies and Procedures for Employee Appeals 11.Heard the B=Line Report 12.Heard Update on Bayfront Express/Arena Services 13.Heard General Managers Report 14.Heard Public Comment. . * * * * ** ** * * * * * * * * * ** *** * ** * ** * * * * ** *** *.*** * * * * * * * * * * * * * Board Members Present: Mike Rendon, Carmen Arias, Rolando Barrera, John Buckley, Davie Cissna, Anna Flores, John Longoria, David Martinez, Wayland Simmons Board Members Absent: Abel Herrero, Crystal Lyons Staff Present: Stuart Sher, Elias Sissimas, Lamont Taylor, Linda Stover, Ed Carrion, Vangie Chapa, Gayle Knight, Fred Haley, Sylvia Castillo, Sylvia Mendez, David Seiler, Ricardo Sanchez, Beth Vidaurri Public- Present Russ Tieskoetter, Brenda Fernandez, Edna Arredondo, Dawn Rasmussen, Dana Smith, MV Transportation;;Bob Lazarus, Guadalupe Nunez, Ramona Sawyers, Roland' Garza, Abel Alonzo,'- Betty' Jean Longoria, Eloy Sosa, Mario Rodriguez, Laura Salas, David Garcia, Guadalupe Salazar SCANNED w Regie+ Transportation Authority Board of Directors Meeting Minutes December 1, 2004 Page 2 Call atotOrder; Mr. Renddn called the Board of Directors' meeting to order at 8:31 a.m. Discussion- and Possible Action to Approve the Board of Directors' Minutes of November 3, 2004 MR.,BARRERA MADE A MOTION TO APPROVE THE BOARD OF DIRECTORS MINUTES OF NOVEMBER 3, 2004. MS. ARIAS SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. Discussion and Possible Action to Award Workers Compensation Insurance; Auto Liability Insurance; Auto Catastrophe Insurance; Property Insurance; General Liability Insurance; Errors and Omissions Insurance and Fidelity Insurance Ms. Mendez introduced Mr. Lazarus, owner of RWL Group an independent risk management consulting firm contracted to provide the specifications for the RTA's property and casualty insurance renewals. Mr. Lazarus explained that out of the eight bid packages distributed, only two bids were received: this included an all inclusive bid for all lines of coverage from Texas Municipal League (TML) and a workers compensation stand alonequote from Deep Texas. Mr. Lazarus pointed out a $24,000 rate reduction from the initial auto liability premium due to amendment of the fleet schedule. Mr. Lazarus pointed out that transit authorities are difficult operations to underwrite from a liability standpoint. In addition, because RTA is situated as a coastal operation, property insurance is more difficult to write. He stated that the Authority's program with TML is exceptional— He--concurred with staffs recommendation to renew with TML for all coverages referenced above. Mr. Cissna asked why RTA only received one bid. Mr. Lazarus suggested it was due to the wind exposure, which encouraged very limited competition or that commercial companies could not compete with organizations like TML for this type of business. Mr. Barrera requested clarification on the workers compensation premium increase. Mr. Lazarus explained that the Authority has previously takenthe first $50,000 per occurrence as :a deductible for each accident, subject to an annual aggregate ofself- insured.losses elf-insured.losses of $150,000 in any one year. In addition, the RTA paid a fixed premium for the coverage above $50,000 per occurrence and $150,000 in the aggregate. By comparison, the proposed premium plan is assuming first dollar coverage with no Transportation Authority Board of Directors Meeting Minutes December 1, 2004 Page 3 deductible, based on the historical experience for workers compensation, with an emphasis on the past three years. He explained that the increasing trend noted through the past three years indicated that costs with a deductible would be much higher than first dollar coverage. Mr. Barrera -asked how staff might counteract the increasing workers compensation claims so as to resume the lower cost deductible coverage. Mr. Lazarus suggested a thorough review of each claim in the past three years to determine a course of action. He stated TML has vast resources to work with the RTA in evaluating and remedying the situation. Mr. Barrera noted that TML has been the insurer during the past three years in question and asked why they have not utilized those resources to the RTA's benefit. Mr. Lazarus suggested initiating a formal plan of action with TML and evaluating results in one year. Mr. Sanchez suggested that HR staff work closely with TML and Mr. Lazarus to develop a plan of action and report back to the Board in 90 days with an update. Under public comment, Mr. Alonzo stated that he knew of persons who have been hurt and have not reported their injuries. He stated decisions are made without knowing all the facts. He challenged the validity of staffs data and said he would continue to question these numbers. MR. LONGORIA MADE A MOTION TO AWARD .WORKERS COMPENSATION INSURANCE; AUTO LIABILITY INSURANCE; AUTO CATASTROPHE INSURANCE; PROPERTY INSURANCE; GENERAL LIABILITY INSURANCE; ERRORS AND OMISSIONS INSURANCE AND FIDELITY INSURANCE TO TEXAS MUNICIPAL LEAGUE (TML). MR. BARRERA SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. Public Hearing on Proposed RTA 2005 Operating and Capital Budget Mr. Sanchez explained that the 2005 operating and capital budgets were presented to the Board at the November 3, 2004 Board meeting and then released for public comment. He stated that RTA has not received any comments to date. Mr. Rendon called for public comment. Mr. Garza stated that the RTA Employee Association had issued a letter to Board members regarding budgetary concerns. Mr. Garza alleged staff presented incorrect numbers regarding health insurance. He also voiced concern that the Authority was willing to pay an attorney to hear employee cases when the Board cannot convene despite reports of budget shortfalls. Mr. Garza also did not support using health J Regi _ Transportation Authority Board of Directors Meeting Minutes December 1, 2004 Page 4 insurance budget surplus to offset shortages in other areas, such as fuel. He suggested instead.that employees benefit from the cost savings. Noting no one else has signed up for public comment, Mr. Rendon closed the public hearing. Discussion and Possible Action to Adopt the 2005 Operating and Capital Budgets Mr. Longoria stated that the initial motive for increasing employees' portion of the premiums was to be more inline with other local entities. He stated that employees' portions should only be increased if the plan was not doing well and RTA had to find money to cover the claims. He suggested not increasing employee premiums. at this time and re-evaluating the situation later in the year. -- . . - • Mr. Sanchez explained that while premiums have not increased this year, in 2002, the RTA absorbed a $35,000 increase because of rising insurance costs. In 2003, the RTA also absorbed a $121,000 increase. He noted that the Board has previously directed staff to move in the direction of sharing health care cost increases. He explained that staff proposed this increase in an effort to comply with the Board directive. Mr. Sanchez reported that employees were informed of this proposal via budget meetings and had not expressed objections. Mr. Longoria statedthat since premiums were not increasing, there was, no need to implement an employee increase at this time. He suggested maintaining the current employee premiums and implementing any increases when deemed necessary. Ms. Mendez clarified that proposed employee increases were not based on increased premiums, but rather increased claim amounts largely due to inflationary factors. Mr. Buckley noted that the RTA has been over budget in health care costs for the past two years. Mr. Barrera acknowledged that he has been a proponent of increasing employee premiums so that they can take ownership of the situation; however, he now would prefer to allocate any health insurance savings towards a wellness program incentive. He suggested offering reduced insurance premiums to employees who frequent the fitness center. Ms. Mendez reported that an employee committee is discussing incentive options such as an on-site Weight Watchers program-and or cash incentives..Mr. Barrera expressed his objections to cash incentives because these were taxable. He suggested time off or reduction in premium. He also suggested postponing an employees' premium increase until an incentive program is in place. Ms. Mendez stated she would return with a final recommendation at the January Administration Committee meeting. Regi ,; Transportation Authority Board of Directors Meeting Minutes December 1, 2004 Page 5 Responding to Mr. Rendon, Mr. Sissimas stated that the RTA would incur an additional $22,000 cost if the employee premium increase were postponed. Mr. Rendon requested that Ms. Mendez present her report to the Board in January. Mr. Cissna suggested re-evaluating the plan design to control cost. He pointed out that the plan has very low deductibles and co-pays. Statistics indicate the majority of employees,do not use the benefits. He suggested that the people who are using the services pay for them. He also suggested looking at the plan itself and not just the escalating costs. Speaking under public comment, Mr. Garzastated that the workers are grateful for their benefits. He stated it was not relevant to compare RTA premiums to other local entities. He objected to increasing premiums based on projections.rather than actual cost. He stated that workers are not reimbursed during budget savings years. Mr. Garza supported postponing the increase and amending at mid-year if necessary. MR. LONGORIA MADE A MOTION TO APPROVE THE 2005 BUDGET WITH THE EXCEPTION OF DELAYING EMPLOYEE CONTRIBUTION TO THE HEALTH PLAN UNTIL FURTHER REVIEW AFTER THE FIRST QUARTER OF 2005. MR. ' BARRERA SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. Update on RTAC Committee Activities Mr. Rendon noted that Ms. Hovda was unable to attend but that Mr. Eloy Soza would present the RTAC update. Mr. Soza reported that RTAC has received several late service reports. RTAC's concern was the need for ADART to be fully operational and provide adequate reports to be able to monitor the service because of the negative effects on the riders. RTAC would not be meeting in December 2004. Action to Accept Committee Reports MR. BUCKLEY MADE A MOTION TO ACCEPT THE BUDGET WORKSHOP MINUTES OF OCTOBER 27, 2004 AND RTAC COMMITTEE MINUTES OF OCTOBER 21, 2004. MR. BARRERA SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. Regional Transportation Authority Board of Directors Meeting Minutes December 1, 2004 Page 6 Consent Agenda Mr. Rendon stated that the following items were of routine or administrative nature and had been discussed previously by the Board or Committees. The Board had been furnished with support documentation on these items. a) Action to Approve the Third Quarter Investment Report for Defined Benefit Plan b) Action to Approve the Third Quarter Investment Report for Defined - Contribution Plan c) Action to Approve Award of the First Option Year to Wells Fargo for Portfolio Management Services for the Defined Benefit Plan d) Action to Approve the Federal Transit Administration's 2005 Certifications and Assurances e) Action to Authorize Staff to Apply for Federal Funding for Projects Approved in the 2005 Capital Budget MS. FLORES MADE A MOTION TO APPROVE CONSENT AGENDA ITEMS A THROUGH E. MS. ARIAS SECONDED THE MOTION. THE MOTION CARRIED. Discussion and Possible Action to Award a Contract to SSP Petroleum for Diesel Fuel MR. BUCKLEY MADE A MOTION TO AWARD A CONTRACT TO SSP PETROLEUM FOR DIESEL FUEL. MR. MARTINEZ SECONDED THE MOTION. THE MOTION CARRIED UNANIMOUSLY. Action to Award a Contract for Annual Financial Audit Services _ -- - MR. BARRERA MADE A MOTION TO AWARD A CONTRACT TO COLLIER, JOHNSON & WOODS, PC FOR ANNUAL FINANCIAL AUDIT SERVICES. MR. BUCKLEY SECONDED THE MOTION. THE MOTION CARRIED. Action to Recommend the Board Appoint Five Persons to Serve as Hearing Officers (the Hearing Panel) under the Personnel Policies and Procedures for Employee Appeals In response to Mr. Longoria, Mr. Bell explained that when the RTA was created in 1.985 the procedure was set up so that an employee could appeal a decision by the General Regi6i, Transportation Authority Board of Directors Meeting Minutes December 1, 2004 Page 7 Manager on a disciplinary matter to a hearing panel (Administration Committee); a committee of the board, or a hearing officer. The employee could bring legal counsel with them to the hearing. Mr. Bell explained that when the Administration Committee meets as the hearing panel, he attends as a representative of the Committee. If a hearing officer were used, he would not attend. After a brief discussion, Mr. Bell clarified that approving this agenda item did not change policy. It would approve using the five individuals being proposed as hearing officers which were: Julie N. Dickerson; Michael A. Elliot; Romeo Flores; Marvin Nebrat and Andrew J. Lehrman. The Administration Committee would still serve as.a hearing panel: Under public comment, Mr. Garza suggested that a civil service committee be set up at the RTA or that the list of hearing officers be inclusive of additional persons. He asked that the list be left open for anyone that is interested and then he would not complain about the disparity. He questioned the qualifications for serving as a hearing officer. He stated that when the mediator was hired, then RTA still was paying for counsel. Mr. Sanchez responded that at the Administration Committee meeting, the Association was asked to submit names of qualified arbitrators and none were received. . He stated that if the Association wished to submit someone, the list could be amended at that time. MR. BUCKLEY MADE A MOTION TO RECOMMEND THE BOARD APPOINT FIVE PERSONS TO SERVE AS HEARING OFFICERS (THE HEARING PANEL) UNDER THE PERSONNEL POLICIES AND PROCEDURES FOR EMPLOYEE APPEALS WITH THE STIPULATION THAT THE OFFICERS PRESENT A LETTER. OF INTEREST ALONG WITH A FEE SCHEDULE. MS. FLORES SECONDED THE MOTION. THE MOTION.CARRIED ,, . B-Line Report Ms. Fernandez reported on employee events such as Thanksgiving potluck dinner and afternoon meriendas. She announced that for September, Jaime Longino was the employee of the month and Delia Cristan was the driver of the month. ADART meetings continue on a weekly basis. For the month of October, ridership was 14,290 compared to 1.3,336 in October 2003, a 7% increase. There was a 9% ridership increase compared to September 2004. Denials for October were,at zero; there were 27 Customer Assistance Forms with 14 related to late trips; 18,225 trips were requested — 3,967 were cancellations; no shows were at 3.9% and cancellations were at 21.8%. Regic„a Transportation Authority Board of Directors Meeting Minutes December 1, 2004 Page 8 The Hot-line report program has been implemented which allows customers to call in with issues.:: Bayfront Express/Arena Services: Update and Fare Collection Issues Mr. Seiler, using a PowerPoint presentation, gave an update on the Bayfront Express/Arena Services. He reported that Mr. Sanchez had addressed the City Council regarding a public comment on the service and received a positive response from Council Members; seven events have been serviced; and signage is at the site to notify the public on which events will be serviced by the shuttle. He acknowledged the dedication of the volunteer staff that has assisted at the various events especially those of Mr. Stuart Sher. There was extensive discussion regarding the various events serviced and the successes and challenges. One success was the efficiency in transporting riders at about 50 riders per hour. Two challenges were cited related to these services: making change, and there was an initial problem with crowd supervision. To address crowd supervision, additional staff has been added, the service was moved from the north side of Memorial Coliseum to Park Avenue and the lighting has been improved. The fare collection system is being evaluated and adjusted. In response to Ms. Flores, Ms. Chapa stated that a bus sponsorship program was being developed. The plan is to have a tiered sponsorship. One event would be $2,000 and would provide advertisement on RTA marques and press release on the RTA web site.. Two events would be $4,000 and include additional advantages. Sponsorship for an entire month would be $6,000 and include newspaper ads. Ms. Chapa noted that these were only ideas and would be subject to change. Mr. Barrera expressed his concern about the lack of parking he experienced recently and the need for a coordinated parking needs evaluation based on the number of events being held in the Bayfront Arts and Sciences area. Mr. Seiler noted that there Was an events planning committee consisting of representatives from the City of Corpus Christi, SMG, City police and RTA and that he would mention the concern at the next meeting with this group. Mr. Seiler overviewed the guidelines used to determine when the shuttle service would be provided. The plan is to determine at least two weeks in advance of an event whether service will be provided in order to plan for publicity, volunteers, and drivers. Mr. Longoria stated that the marquee type signage was no longer being used. Mr. Seiler stated that he would look into any' restrictions regarding using this type'`of signage... i Regi' Transportation Authority Board of Directors Meeting Minutes December 1, 2004- Page 9 Presenting the second half .of the report,•• Mr.; Sissimas reported that the trial fare consisted of a base fare of $2 for adults; $1 for seniors over 60; $1 for students;;.:and. , children age 5 and under are free. He noted that final fare approval would be sought in early 2005. A specialized fare collection canister had been developed and placed on buses. Regarding the cost of the service, Mr. Sissimas stated that for a maximum serviced event the cost was $5,000; a medium serviced event was between $2,000 and $4,000; and a minimum serviced event was $1,300. For 2005, staff was anticipating six to eight big events' and twenty smaller events for a yearly .operational, cost of approximately $100,000. Mr. Sissimas noted that this service was unbudgeted. He reviewed advantages and disadvantages of ways to recoup the costof providing the service. He cited the advantages of-an indirect charge such as a surcharge fee added to event tickets. Mr. Seiler expressed the opinion that SMG and the Hooks are not in favor of this proposal. There was a varied discussion regarding ways to recoup expenses for providing the shuttle service. Mr. Longoria recommended that RTA call Mr. Hamrick at the Corpus Christi Airport and request a copy of their business development plan for advertising. Mr. Sanchez stated that contact would be made. , Under.public comment,Abel Alonzo reminded the Board that after they are appointed to the. Board-they were no longer obligated to the entity that appointed them. They were. obligated to the riders. He stated that fixed route buses collected money every day and special security was not used. He stated that since Board Members do not use the transit system, they needed to hear recommendations from persons who use the bus system. Mr. Barrera and Ms. Flores stated that they or someone in their family used the transit system. , Mr. ,Flores commented,,that she,Melt_ that additional ,wheelchair slots. were . needed. Opportunity for Public Comment The Honorable Betty Jean Longoria recognized RTA staff for the excellent service she experienced when she rode the Bayfront Express to the Cher concert. Updating the Board on the Westside Clinic; she provided a history on the development of the clinic and the partnerships involved. She stated that the goal is to provide dental care in cooperation'with local dentists and the Del Mar program, and also provide a drive thru for prescription drop off and pick up. She expressed her appreciation to RTA for working on improving access to the clinic via the bus system. She stated that the ribbon cutting,is planned for July or August of 2005. RegiO.Id.Transportation Authority Board of Directors Meeting Minutes December 1, 2004 Page 10 Mr. Rendon stated that starting in January 2005, public comment would be placed at the beginning of the agenda. Mr. Mario Rodriguez stated that he has been a driver for B-Line for five years. He stated that he believed that the ADART system was not working correctly. He stated that the schedule did not allow enough time for timely passenger pickup and some riders were on the bus for more than one hour. Oftentimes the system does not come up on the driver's computer screen in the morning. Scheduled pick ups are scattered throughoutthe service area and this is not an efficient system. Ms. Laura Salas1 on behalf of MV drivers,;expressed appreciation to;Ms.,Fernandez and RTA for their quick response'.to the incident on Route 27. Regarding ADART; she stated that it was placing too many pickups on their routes; additional pickups show up on the driver's computer screen and this delays drop off of riders on board; riders get written up at their jobs and they get suspended because of their late arrival. It is very upsetting to the driver to hear the riders upset every day. Mr. David Garcia stated that rider complaints are increasing. The ADART personnel are trying to figure out scheduling problems but it is not working. He noted that tension was increasing. He asked for someone to step up and review ADART. He suggested revamping or scaling back the program or hiring an independent auditor to review the systema Mr. Garza wished happy holidays to all. He commented on the strides and successes that have been accomplished and expressed his willingness to continue working on issues. Mr. Abel Alonzo stated that the complaints heard about the ADART system were true. He stated that RTA staff needed to be held responsible because staff is not being totally honest with the Board. He expressed concern about the eligibility of certain B-Line riders and increased pickups outside the primary service area. Mr. Rendon stated that he has been communicating with the ADART implementation team. He noted that the ADART team has been responsive to the users needs and has made several modifications to accommodate the requests. He touched on possible contributing factors for the problems being experienced such as increased ridership; he also suggested potential solutions. He acknowledged the need to tighten rider eligibility requirements. Mr. Rendon suggested a Board committee to review this system. Mr. Barrera 'commented'that several features of ADART such as-a smart card which would allow riders to' prepay for trips; guaranteed pickup; taxi dispatching when:a trip pickup is not possible; and real time updating of the manifest has not been implemented. He commented about his conversation with a B-Line driver who praised • Regi6)i i Transportation Authority Board of Directors Meeting Minutes December 1, 2004 Page 11 Ms. Fernandez and had an overall positive attitude but expressed concerns about the ADARTsystem. Mr. Carrion reported that several ADART modules were not implemented because of the specialized service demands placed on the system in paratransit service. Mr..Carrion stated that the system is at zero denials, complies with the three quarter of a mile ADA requirement and picks up everyone and is dealing with an approximate 9% increase in ridership. He noted that when your demand is greater than your capacity, you would have problems. Mr. Barrera initiated a lengthy exchange of views on the current B-Line operating procedures and features that were promised such as the web-based system negotiating the trips without the assistance of a call taker. Mr. Carrion noted that the ADART system was not intended for use in paratransit service: It was intended to provide service for late night and weekend service. After the last peer review meeting, testing the software in this type of service was recommended. Mr. Rendon noted the challenges posed by the rising demand and the weekly modifications being made to.the,system. Mr. Russ Tieskoetter commented on the time required for full implementation of anew. software system. He acknowledged the dedication of all those involved in implementation of the software. He concurred with Mr. Rendon's observation about the effects of the increased demand on the implementation of the new software. Mr. Sanchez made a commitment to the Board and to MV Transportation to address and provide a positive solution to the issues raised. He stated that he would provide an informational report, as requested by Mr. Barrera, comparing Trapeze and ADART systems. General Manager's Report Mr. Sanchez reported that RTA in August 2004 joined a consortium organized by STV Inc. for the purpose of forming a cooperative bus-purchasing group. The project had been selected by the Federal Transit Administration (FTA) to receive additional funding which would result in an approximate savings of$500,000 over a five-year period. Continuing with his report, Mr. Sanchez informed the Board that TxDOT's proposal to procure smaller paratransit vehicles, was also approved by FTA. He would be contacting TxDOT about the possibility of piggybacking on its contract. Transportation Authority Board of Directors Meeting Minutes December 1, 2004 Page 12 Reporting on additional activities, Mr. Sanchez expressed appreciation to Customer Programs for their outreach to the students at T.G. Allen elementary; notified the Board that at the January Board meeting a review of the maintenance performance review and audit would be presented along with the October and November financials; reminded Board Members about the TEX 21 meeting being held on December 16 — 17, 2004; the Westside Business Association Navidad de Los Ninos event on Saturday, December 4, 2004; the Employee Recognition Program on December 11, 2004 followed by the Annual Holiday Party at the American Legion Hall; the RTA administrative offices would be closed on December 24th and December 31st; and Committee meetings would not be held in December. On a somber note, Mr. Sanchez reported that Ms. Lyons' husband was undergoing medical treatment and wished him a speedy recovery. He thanked Mr. Rendon for providing the turkeys for the employee Thanksgiving drawing. There being no further business, the meeting adjourned at 11:53 a.m. Carmen Arias Board Secretary Date