06 25 14 Minutes

BOARD OF DIRECTORS ALAMEDA-CONTRA COSTA TRANSIT DISTRICT MINUTES Regular Meetings of the Board of Directors and the Exte...

0 downloads 198 Views 388KB Size
BOARD OF DIRECTORS ALAMEDA-CONTRA COSTA TRANSIT DISTRICT MINUTES Regular Meetings of the Board of Directors and the External Affairs and Finance and Audit Committees AC Transit General Offices 2nd Floor Board Room 1600 Franklin Street Oakland, CA 94612

Wednesday, June 25, 2014 at 5:00 p.m. Closed Session: 3:30p.m. Committee meetings will commence when the Board of Directors recesses to a Committee of the Whole

MEMBERS OF THE BOARD OF DIRECTORS

GREG HARPER, PRESIDENT (WARD 2) JOE WALLACE, VICE PRESIDENT (WARD 1) ELSA ORTIZ (WARD 3) MARK WILLIAMS (WARD 4) JEFF DAVIS (WARD 5) JOEL YOUNG (AT-LARGE) H. E. CHRISTIAN PEEPLES (AT-LARGE) BOARD OFFICERS

DAVID J. ARMIJO, GENERAL MANAGER DENISE C. STANDRIDGE, INTERIM GENERAL COUNSEL LINDA A. NEMEROFF, DISTRICT SECRETARY

Alameda-Contra Costa Transit District

June 25, 2014

13

Page 1 of 11

BOARD OF DIRECTORS MEETING- Greg Harper, President Wednesday, June 25, 2014 at 5:00p.m.

ACTION SUMMARY

i The Alameda-Contra Costa Transit District Board of Directors held a [ regular meeting on Wednesday, June 25, 2014. \

i The meeting was called to order at 3:30 p.m. for the purpose of I Closed Session. All Board members were present, with the exception

l of

Director Young who arrived at 3:37 p.m. The District Secretary ! announced that the Board would convene in Closed Session to discuss [ Items 9A-D as listed on the agenda. Closed Session concluded at 4:40 ' i p.m. i

i At 5:05 p.m., President Harper called the Board of Directors meeting I to order. I items were taken out of sequential order but are reported in sequential

! order in the minutes far ease in reading. I

1.

I ~~~~~:~rtiz, Williams, Davis, Peeples, Young, Wallace, Harper i

2.

l GENERAL MANAGER'S REPORT I General Manager David Armijo reported on the following:

INFORMATION ONLY

'

Update on the July 1st fare implementation, testing of Clipper, farebox improvements, and communications with riders and employees; 1• Full bus wraps in service; New Gillig buses have arrived and have been placed into service; ' • One-third of the bus fleet replaced in the last two years; and Launch of mobile device website. The report was presented for information only.

3.

PUBLIC COMMENT ' • Jane Kramer commented on transparency and accountability with regard to overstepping Board prerogative by President Harper concerning statistical analysis at a prior meeting. She also said that public comment is just that and the Board should not interfere. She suggested that the Board hold a workshop on the Brown Act and take its provisions to heart. Lisa Harlow commented on AFSCME negotiations, thanking the Board for their involvement. She said that one sticking point continues to be the retirement issue. She said members will not embrace a contract with two-tier language in it, but would embrace the ATU language. She urged the Board to be reasonable on this issue.

1

Alameda-Contra Costa Transit District

June 25, 2014 14

Page 2 of 11

I 4.

Maria Campos, AFSCME, commented that contract negotiations seemed to be making progress and management appeared open to options. She added that members wanted a fair deal, not a fight, and parity with ATU workers. Dwain Crawley, AFSCME, commented on negotiations and requested a fair and equitable contract. He added that the District's tone has been more agreeable lately and he would like to wrap up a contract. Yvonne Williams, President and Business Agent for ATU Local 192, commented on Staff Report 14-163 from the previous meeting regarding the Heavy Duty Coach Mechanic Apprenticeship Program. She said that ATU strongly disagreed with the report, which omitted important information for the Board to consider and that it ignored the grievance filed by ATU challenging the Maintenance Department's attempts to circumvent the apprenticeship program provisions of the labor agreement. The grievance is pending arbitration proceedings. (Handout submitted).

I CONSENT CALENDAR

i MOTION: I Consent j

PEEPLES/WALLACE to approve or receive the items on the Calendar as presented. The motion carried by the following

APPROVED OR RECEIVED AS INDICATED

vote:

I AYES:7: Peeples, Wallace, Ortiz, Williams, Davis, Young, Harper I

4A.j Consider approving i (Report 14-167).

Retirement Board minutes of May 8, 2014

4B.I Consider receiving the Quarterly Retirement Board Report (Report j 14-126).

I

4c.l Consider approving Accessibility Advisory Committee minutes of May i 13, 2014 (Report 14-166). j

5.

I REGULAR CALENDAR

SA. ! Consider the adoption of Resolution No. 14-035 confirming the approval of a Collective Bargaining Agreement with the International [ Brotherhood of Electrical Workers (IBEW), Local 1245 (Report 14! 192).

I

RESOLUTION ADOPTED

i

I

i There

was no presentation of the staff report. Chief Performance Prescott advised that because of the action taken by the ! Board on Item 5B, a discussion would need to occur with IBEW since a i Tier 2 plan was to be effective today upon approval of the agreement by the Board.

! Officer Tom

i !

Alameda-Contra Costa Transit District

June 25, 2014 15

Page 3 of 11

MOTION: ORTIZ/YOUNG to adopt Resolution No. 14-035 confirming the approval of a Collective Bargaining Agreement with the International Brotherhood of Electrical Workers, Local 1245. The motion carried by the following vote: AYES:7: Ortiz, Young, Williams, Davis, Peeples, Wallace, Harper 5B. Consider adoption of Resolution No. 14-031 confirming the inclusion of employees hired July 1, 2012 through December 31, 2014 in the AC Transit Employees' Retirement Plan (Tier 1) and repealing Resolution Nos. 12-030 and 13-006 (Report 14-186).

RESOLUTION ADOPTED

Interim General Counsel Denise Standridge presented the staff report.

[A revised resolution was provided at the meeting for the Board's consideration.] President Harper expressed the need to maintain some semblance of a Tier 2 pension plan and offered the following option: That Resolution No. 12-030 not be repealed and that unrepresented employees be given the Tier 2 benefits provided under the resolution as of July 1, 2014, and that the Board take the necessary steps to amend those benefits into the Retirement Plan. Members of the Board considered and debated the option offered by President Harper. Opinions were split with some Directors agreeing with the philosophical merits of the proposal while others felt a more conservative approach in line with the staff recommendation was warranted. Director Peeples argued that a plan amendment was needed that does not make reference to the Public Employees' Pension Reform Act and would have to go through the lengthy vetting process outlined in Board Policy 170. Also discussed was the effective date of the Tier 2 plan. President Harper suggested that the Tier 2 plan apply to employees hired on or after July 1, 2014. Ms. Standridge advised that her office was recommending a January 1, 2015, effective date in order to allow ample time to develop the plan and go through the approval process. The District would also be able to provide new hires with accurate information about the plan that was applicable to them.

Public Comment: Yvonne Williams, President and Business Agent for ATU Local 192, commented that contrary to the statements made by President Harper, the Retirement Board is making sound judgments and the plan is doing well. Alameda-Contra Costa Transit District

June 25, 2014 16

Page 4 of 11

MOTION: PEEPLES/WALLACE to adopt Resolution No. 14-031 with the following amendments: 1) Section 1 to reflect that employees hired from July 1, 2012 through June 30, 2014 will be included in the Tier 1 Plan; and Section 4 (erroneously labeled Section 3) to reflect that a Tier 2 Plan would be effective for unrepresented employees hired on or after July 1, 2014, and IBEW employees hired on or after January 1, 2015. The motion failed by the following vote: AYES:3: Peeples, Wallace, Harper NOES:4: Ortiz, Williams, Davis, Young MOTION: DAVIS/YOUNG to adopt Resolution No. 14-031 confirming the inclusion of employees hired July 1, 2012 through December 31, 2014 in the AC Transit Employees' Retirement Plan (Tier 1) and repealing Resolution Nos. 12-030 and 13-006 as presented. The motion carried by the following vote: AYES:7: Davis, Young, Ortiz, Williams, Peeples, Wallace, Harper 6.

BOARD WORKSHOP

GA. Consider receiving report on the implications of the Affordable Care Act on AC Transit [Requested by President Harper- 1/22/14) (Report 14-133).

INFORMATION ONLY

Senior Human Resources Administrator Rachel Lightburn presented the staff report. Kimberly Miller, Assistant Vice President of Alliant Employee Benefits, presented an overview of the Affordable Care Act and addressed questions from the Board. No action was taken. The item was presented for information only. RECESS TO STANDING COMMITTEES (as the Committee of the Whole) The Board meeting recessed to the Standing Committees at 6:19 p.m. ALL COMMITTEES ARE ADVISORY ONLY. A.

I EXTERNAL AFFAIRS COMMITTEE- Elsa Ortiz, Chairperson ! The External Affairs Committee convened at 6:19 p.m. All Committee

i members were present.

ACTION SUMMARY

I Public Comment (for items not on the agenda) ; There was no public comment offered.

! Briefing/Action Items: A-1.

i

i Consider recommending receipt of the monthly legislative report and

i approval of legislative positions (Report 14-168).

Alameda-Contra Costa Transit District

June 25, 2014 17

RECOMMEND APPROVAL PageS of 11

Director of Legislative Affairs and Community Relations Beverly Greene presented the staff report. With regard to Metropolitan Planning Organizations, Director Peeples pointed out that the Federal Transit Administration guidance appeared to be issued before the Notice of Proposed Rulemaking, which was unusual. General Manager David Armijo reported that a Preliminary Notice of Proposed Rulemaking was issued last year and it was at that time AC Transit commented. He added that the Metropolitan Transportation Commission (MTC) had discussed the issue at their meeting held earlier in the day and was taking the issue more seriously. Ms. Greene advised that staff would work with the District's lobbyist and BART to address the issue in way that includes AC Transit and BART on MTC. MOTION: YOUNG/WILLAIMS to forward to the Consent Calendar Addenda recommending receipt of the report. The motion carried by the following vote: AYES:7: Young, Williams, Wallace, Harper, Davis, Peeples, Ortiz Consider recommending receipt of report on the activities, benefits, and future activities of the District's federal lobbyist [Requested by Director Young- 3/26/14) (Report 14-169).

A-2.

RECOMMEND RECEIPT

Director of Legislative Affairs and Community Relations Beverly Greene presented the staff report. MOTION: WALLACE/HARPER to forward to the Consent Calendar Addenda recommending receipt. The motion carried by the following vote: AYES:7: Wallace, Harper, Williams, Davis, Peeples, Young, Ortiz The External Affairs Committee adjourned at 6:33 p.m.

B.

FINANCE AND AUDIT COMMITTEE- Jeff Davis, Chairperson The Finance and Audit Committee convened at 6:33 p.m. All Committee members were present.

ACTION SUMMARY

j Public Comment (for items not on the agenda)

I Ms.

Fowles, Civic Action Coalition, asked if the Board had made any decisions regarding elimination of the 25 cent transfer given concerns ! raised by Director Wallace regarding the safety of operators in dealing j with irate customers. She also asked if there is a deduction on the I Clipper card for full fare when going from one place to another. [Staff

I

i was directed to address Ms. Fowles concerns.] Alameda-Contra Costa Transit District

June 25, 2014 18

Page 6 of 11

Consent Items: MOTION: PEEPLES/ORTIZ to forward all items to the Consent Calendar Addenda recommending receipt or approval as indicated. The motion carried by the following vote:

RECOMMEND RECEIPT OR APPROVAL AS INDICATED

AYES:7: Peeples, Ortiz, Wallace, Harper, Williams, Young, Davis Consider recommending receipt of the Investments for April 2014 (Report 14-170}.

B-1.

B-2.

Monthly

Report

on

I

i Consider recommending adoption of Resolution No. 14-026 providing notice of the scheduled adoption of an appropriations limit for FY 2014-15 (Report 14-171}.

B-3.

I B-4.

Consider recommending receipt of the Financial Audit Plan for FY 2013-14 and the Audit Engagement Letter for the Fiscal Year ending June 30, 2014 (Report 14-172}.

Consider recommending adoption of Resolution No. 14-029 authorizing the General Manager or his designee to file and execute applications and funding agreements with the California Department of Transportation for FY 2014-15 Public Transportation , Modernization, Improvement, and Service Enhancement Account program funds for use towards the District's capital contribution to I the Transbay Transit Center Project (Report 14-178}.

i

Briefing/Action Items:

B-5. , Consider recommending approval of amendments to Board Policy 364 1-Revenue Policies (Report 14-140}.

RECOMMEND APPROVAL

Treasury Manager Sue Lee presented the staff report. President Harper commented that he would like to see more than one presented by staff with regard to how grant funds can be used.

! alternative

MOTION: ORTIZ/PEEPLES to forward to the Consent Calendar Addenda recommending approval as presented. The motion carried by the ! following vote: AYES:7: Ortiz, Peeples, Wallace, Harper, Peeples, Young, Davis

Alameda-Contra Costa Transit District

June 25, 2014

19

Page 7 of 11

B-6.

Consider recommending receipt of report on the Executive Retiree Life Insurance Plan (Report 14-176).

RECOMMEND RECEIPT

Senior Human Resources Administrator Rachel Lightburn presented the staff report and explained the options available to retired executives regarding the retiree paid life insurance program. Director Peeples suggested that the staff report be provided to the eight affected retirees and to allow two weeks for a response as to which option they select. General Manager David Armijo advised that staff would contact the retirees to solicit which option they wanted. MOTION: PEEPLES/WALLACE to forward to the Consent Calendar Addenda recommending receipt. The motion carried by the following vote: AYES:7: Peeples, Wallace, Harper, Ortiz, Williams, Young, Davis B-7.

Consider recommending adoption of Resolution No. 14-034 approving a 3% merit pool for FY 2014-15 for unrepresented employees, excluding contract employees and Board Officers (Report 14-194).

PULLED OFF THE AGENDA

Item B-7 was pulled off the agenda by the General Manager. B-8.

Consider recommending receipt of report on proposed amendments to Board Policy 201 - Personnel Policies for Unrepresented Employees, concerning the implementation of a Merit Pay Structure for unrepresented employees (Report 14-195).

RECOMMEND RECEIPT

Human Resources Manager Due Le presented the staff report. Concerns continued to be raised about the implementation of a merit pay system, the appeals process, merit pay options (bonuses, lump sum, etc.), goal setting and training for supervisors and managers on how to conduct a performance evaluation. Director Ortiz asked what other agencies were doing with respect to merit pay. Mr. Le advised that staff had benchmarked other agencies both locally and nationally and found that many local agencies did not have a merit pay system. In addition, while some national transit systems had a merit program, what they called merit was similar to AC Transit's automatic step increase. Chair Davis commented that he had some new ideas that he wanted the Board to consider, one of which was similar to Option 1 in the staff report. He added he would like to see a merit system that rewards employees for coming to work and doing the work competently and Alameda-Contra Costa Transit District

June 25, 2014 20

Page 8 of 11

gaining a year of experience. He also suggested that the merit increase be provided as a lump sum payment for work done beyond competence. General Manager David Armijo advised that issue of merit pay was a work in progress and felt it would be better to move forward with a cost of living increase for unrepresented employees and phase-in the merit system in the coming year. Director Young raised the issue of quantifying performance results when one manager rates their employees differently from another. He also commented on the goal setting process, noting that while some goals are quantifiable, other goals may be difficult to measure and factor differently into a performance evaluation. Director Young requested to see some examples of goals that have been established. Chief Performance Officer Tom Prescott assured the Board that managers and supervisors would receive the necessary training over the next year with regard to performance evaluations. President Harper commented that the overhead associated with implementing a merit system to distribute $100,000 in merit pay needed to be realistic. MOTION: PEEPLES/WALLACE to forward to the Consent Calendar Addenda recommending receipt. The motion carried by the following vote: AYES:7: Peeples, Wallace, Harper, Ortiz, Williams, Young, Davis The Finance and Audit Committee adjourned at 7:20p.m.

I RECONVENE BOARD OF DIRECTORS MEETING- Greg Harper, President ! The Board of Directors meeting reconvened at 7:20 p.m. All Board ! members were present. 7.

i REPORTS OF STANDING COMMITTEES

ACTION SUMMARY

REPORT GIVEN

i District Secretary linda Nemeroff reported that all of the items from i the

External Affairs and Finance and Audit Committee meetings had Consent Calendar Addenda recommending presented, with the exception of Item B-7, [ which was pulled off the agenda. Item A-1 was referred ! recommending receipt only.

I been referred to the I receipt or approval as

8.

' Ii CONSENT CALENDAR ADDENDA

i MOTION: PEEPLES/WALLACE to receive or approve the items referred

I to the

Consent Calendar Addenda as indicated on the agenda. The I motion carried by the following vote:

Alameda·Contra Costa Transit District

June 25, 2014

21

RECEIVED OR APPROVED AS INDICATED

Page 9 of 11

AYES:7: Peeples, Wallace, Ortiz, Williams, Davis, Young, Harper

A.

A-1. A-2.

B.

B-1. B-2.

B-3.

B-4.

B-5. B-6. B-7.

B-8.

9.

The items brought before the Board were as follows: EXTERNAL AFFAIRS COMMITTEE:

Consider receipt of the monthly legislative report (Report 14-168). Consider receipt of report on the activities, benefits, and future activities of the District's federal lobbyist [Requested by Director Young - 3/26/14] (Report 14-169). FINANCE AND AUDIT COMMITTEE:

Consider receipt of the Monthly Report on Investments for April 2014 (Report 14-170). Consider adoption of Resolution No. 14-026 providing notice of the scheduled adoption of an appropriations limit for FY 2014-15 (Report 14-171). Consider receipt of the Financial Audit Plan for FY 2013-14 and the Audit Engagement Letter for the Fiscal Year ending June 30, 2014 (Report 14-172). Consider adoption of Resolution No. 14-029 authorizing the General Manager or his designee to file and execute applications and funding agreements with the California Department of Transportation for the FY 2014-15 Public Transportation Modernization, Improvement, and Service Enhancement Account program funds for use towards the District's capital contribution to the Transbay Transit Center Project (Report 14-178). Consider approving amendments to Board Policy 364 - Revenue Policies lReport 14-140). Consider receipt of report on the Executive Retiree Life Insurance Plan (Report 14-176). Consider adoption of Resolution No. 14-034 approving a 3% merit pool for FY 2014-15 for unrepresented employees, excluding contract employees and Board Officers (Report 14-194). Consider receipt of report on proposed amendments to Board Policy 201 - Personnel Policies for Unrepresented Employees, concerning the implementation of a Merit Pay Structure for unrepresented employees (Report 14-195). NO REPORT

CLOSED SESSION/REPORT OUT

There was nothing to report out of Closed Session. 9A.

Conference with Legal Counsel- Existing Litigation (Government Code Section 54956.9 (a))

Arul Edwin v. AC Transit, ACSC No. RG12-637734

98.

Conference with Legal Counsel - Potential Litigation (Government Code Section 54956.9(b)) (Two Cases)

Alameda-Contra Costa Transit District

June 25, 2014 22

Page 10 of 11

9C. I Conference with Labor Negotiators I

(Government Code Section 54957.6): I Agency Designat ed Representative: David J. Armijo, General Manager Employee Organizations: AT U Local 192, AFSCME Local 3916, IBEW Local 1245, Unrepresented Employees

I

9D.

Public Employee Performance Evaluation (Government Code Section 54957) Title: General Manager, Interim General Counsel, District Secretary

10.

AGENDA PLANNING Referred to next Board meeting , ' Director Williams requested a resolution in memoriam of Julie Cunningham, the Chief Executive Officer of the Conference of Minority ~. Transportation Officials. (Director Peeples concurred)

I

Referred to a Finance and Audit Committee Director Williams requested an annual report on the status of the various Successor Agency Oversight Boards and how much money the District has received. (Director Peeples concurred)

11.

12.

BOARD/STAFF COMMENTS Members of the Board commented on meetings and events attended since the last meeting.

1

'I

J

ADJOURNMENT There being no further business to come before the Board of Directors, the meeting was adjourned at 7:27 p.m. in memory of Julie Cunningham, the Chief Executive Officer of the Conference of Minority Transportation Officials. The next meeting of the Board of Directors is 1 scheduled for Wednesday, July 9, 2014.

Respectfully submitted,

Qi~'!t7~ District Secretary

Alameda-Contra Costa Tra nsit District

June 25, 2014

23

Page 11 of 11

This page intentionally blank 

24