REGULAR MEETING OF THE IDAHO TRANSPORTATION BOARD
December 11, 2013
The Idaho Transportation Board met at 8 AM, on Wednesday, December 11, 2013, at the Idaho Transportation Department in Boise, Idaho. The following principals were present:
Jerry Whitehead, Chairman
Jim Coleman, Vice Chairman – District 1
Janice B. Vassar, Member – District 2
Julie DeLorenzo, Member – District 3
Jim Kempton, Member – District 4
Dwight Horsch, Member – District 5
Lee Gagner, Member – District 6
Brian W. Ness, Director
Scott Stokes, Chief Deputy
Larry Allen, Lead Deputy Attorney General
Sue S. Higgins, Executive Assistant and Secretary to the Board
Board Minutes. Vice Chairman Coleman made a motion to approve the minutes of the regular Board meeting held on November 20, 2013 as submitted. Member Gagner seconded the motion and it passed unopposed.
Informational Items. 1) Monthly Financial Statements. Net obligations through November totaled $103.9 million. Of those obligations, $97.3 million were for activities programmed for 2014; although the Program estimated those activities at $99.2 million. November’s obligations exceeded the three-year average of $5.8 million for the same period.
Through October, federal aid to the State Highway Fund totaled $141.1 million year-to-date, or about 4% more than the same time period last year. Revenue from the Highway Distribution Account was 1.6% below projections. Staff will monitor the revenue to determine if a trend is developing that will require adjustments. Miscellaneous revenue and transfers in from the elimination of the ethanol exemption was $.4 million over the estimate. Expenditures for personnel costs were 4.2% less than budgeted through October. This is due to a continued effort to evaluate the workforce. Total expenditures, including encumbrances, for operating expenditures reflected a 9% positive variance. Capital equipment had a 2.5% negative variance, which is a timing difference in allotments versus contracts issued. Contract construction spending was ahead of projections by 3%.
Aviation fuel tax revenue through October was 32% over projections. Staff does not believe the trend will continue. Miscellaneous revenue to the State Aeronautics Fund was 42% higher than projected. Overall expenditures were less than budgeted.
2) Non-Construction Professional Service Contracts Issued by Business and Support Management (BSM). From November 1 to November 22, the BSM Section processed four new professional service agreements for $222,200.
3) Contract Awards. Key #12968 – SH-200, Kootenai to Delta View Road, Bonner County, District 1. Low bidder: Interstate Concrete & Asphalt Company - $3,219,999.
Key #12292 – I-90, Pleasant View and Spokane Street; Overpass Signal Upgrade, District 1. Low bidder: Thorco, Inc. - $837,322.
Key #13413 – I-90 Business, Northwest Boulevard Signal Upgrades, Coeur d’Alene, District 1. Low bidder: Thorco, Inc. - $537,819.
Key #8768 – Old County Road Bridge, Benewah County, District
1. Low bidder: Sletten Construction Company - $2,758,778.
Key #13011 – FY15 District 2 Districtwide Sealcoat. Low bidder: Knife River Corporation – Northwest - $1,568,000.
Keys #13434 and #12321 – SH-8, Osterberg Road to Junction SH-3, Latah County, and Troy to Osterberg Road, Latah County, District 2. Low bidder: Valley Paving & Asphalt, Inc. - $1,870,787.
Key #12884 – US-95, Creek Bridge, Washington County, District 3. Low bidder: Knife River Corporation – Northwest - $349,763.
The low bid on key #13845 – I-84, Ten Mile Creek Bridge to Meridian Interchange, District 3, was more than ten percent over the engineer’s estimate, requiring justification. The engineer’s estimate was predicated upon the average bid costs of previous GARVEE projects in District 3. The items with the largest variance were Concrete Class 40-A, Bridge Shoring, and Temporary Shoring. The small quantity for concrete and the required cold weather concreting presumably resulted in higher bid prices for that item. It appears the value for Bridge Shoring, which is impacted by the salvage value and potential reuse, was underestimated, partly because limited information was available for cost comparisons with similar projects. The engineer’s estimate did not consider the confined site and utilities in the area for the Temporary Shoring item. Because of the urgency of the project and the justification for the items exceeding the engineer’s estimate, staff recommended awarding the project. Low bidder: Granite Excavation, Inc. - $1,104,423.
Key #11605 – US-30, 4th Street to 3850 East Road, Hansen, District 4. Low bidder: Staker & Parson Companies dba Idaho Sand & Gravel Company - $1,121,611.
Key #12393 – US-26, Bliss to Malad River Bridge, Gooding County, District 4. Low bidder: Western Construction, Inc. - $2,183,093.
Keys #12389 and #12391 – I-84, Interchange #245 to Sweetzer Interchange #254 Eastbound, Cassia County and Interchange #245 to Sweetzer Interchange #254 Westbound, Cassia County, District 4. Low bidder: Knife River Corporation – Northwest - $3,472,868.
Key #12390 – I-84, Junction SH-81 Interchange #228 to Interchange #245 Westbound, Cassia County, District 4. Low bidder: Western Construction, Inc. - $3,514,195.
Keys #12426 and #12418 – I-15 Business and US-91, Ferry Butte Road to Junction 1-15, Bingham County, and South of Blackfoot Interchange #89 to Fort Hall Boundary, District 5. Low bidder: Geneva Rock Products, Inc. - $414,396.
Keys #12424 and #12422 – SH-39 and I-86 Business, Junction I-86 Interchange #36 to Idaho Street, American Falls and Sheep Trail Road to Riverside West City Limits, Bingham County, District 5. Low bidder: Intermountain Slurry Seal, Inc. - $496,000.
The low bid on keys #12423 and #12095 – US-30 and SH-61, Wyoming State Line to Junction US-89, Bear Lake County and Banks Valley Road to Pegram Road, Bear Lake County, District 5, was more than ten percent over the engineer’s estimate, requiring justification. The main variances between the engineer’s estimate and low bid were in three Superpave Hot Mix Asphalt-related items, Special Traffic Control Operations, and Special Pulverize Existing Surface items. The engineer’s estimate assumed the Hot Mix Asphalt items were three separate items and treated them as such, whereas the bidders combined them into one item. The engineer’s estimate used historical data from past projects; however, bid prices fluctuate depending on oil prices and location of projects. The variance in the Special Traffic Control Operations is most likely due to the fact that this is a new item for the District. There was limited historical data available. The engineer’s estimate presumably did not consider that the Special Pulverize Existing Surface item is labor intensive. Additionally, the contractor is required to have the roadway open to the public at the end of each work day, creating time constraints and liability concerns. The District does not believe any benefit would be realized from re-bidding the project, so recommended awarding the project. Low bidder: Staker & Parson Companies dba Jack B. Parson Companies - $3,198,859.
Key #11672 – US-20, Dumpground Road to Sheep Falls Road, Fremont County, District 6. Low bidder: H-K Contractors, Inc. - $6,459,942.
Key #13133 – Citywide Americans with Disabilities Act and Concrete Sidewalk Improvements, District 6. Low bidder: J M Concrete - $186,000.
4) Professional Services Agreements and Term Agreement Work Task Report. From November 1 through November 22, 19 new professional services agreements and work tasks were processed, totaling $1,688,508. Three supplemental agreements to existing agreements were processed during this period in the amount of $43,494.
Director’s Report. Director Ness summarized the Department’s accomplishments during 2013. Some of those highlights include improved relationships with the legislature as evidenced by the concurrent resolution acknowledging ITD’s realignment, leadership, strategic plan, and outside recognition of its accomplishments; significant progress on the strategic plan to provide the safest transportation system possible, provide a mobility-focused transportation system that drives economic opportunity, and become the best organization; numerous state and national awards received; and the executive team’s transition with three new members.
Director Ness said the Department will focus on four initiatives in 2014: an expanded culture survey, developing a horizontal career ladder, continued development on the leadership program, and improved cash flow management and project funding. In conclusion, he thanked the Board for its support and leadership and the employees for their efforts.
The Director’s entire report can be viewed at http://itd.idaho.gov/Board/report.htm.
Chairman Whitehead thanked Director Ness for the report and for his leadership.
Annual Local Rural Highway Investment Program Report. Local Highway Technical Assistance Council Program Manager Laila Kral reported on the 2013 Local Rural Highway Investment Program. There were 91 applications for funding, while only 37 projects were funded. Excluding emergency projects, $2.5 million were awarded. Funds are available for construction projects, transportation plans, signs, and emergency projects. She summarized a number of projects that were completed this past year and projects planned for 2014.
Chairman Whitehead thanked Program Manager Kral for the report.
Delegation – Mr. Skip Smyser. Mr. Smyser presented draft legislation on the Idaho 24/7 Sobriety and Drug Monitoring Program Act. The legislation would provide another tool to reduce the number of repeat offenders for certain offenses in which the abuse of alcohol or dangerous drugs was a contributing factor in the commission of a crime. The offender would be ordered to be tested twice a day to ensure there is no alcohol or dangerous drugs in his system. ITD would be responsible for the sobriety and drug monitoring program. Mr. Smyser added that some counties are involved in this proposal and are interested in piloting the system. He requested the Board’s support for the legislative proposal.
Member Gagner questioned housing the program at ITD. Mr. Smyser responded that initially Idaho State Police was receptive to overseeing the program. Although the agency is still supportive of the program, due to the transition of a new director, discussions on housing the program there have stalled. He added that federal highway safety funds and/or federal regulations may be involved. In response to Member Gagner’s question on the fiscal impact, Mr. Smyser replied that the cost is approximately $2 per test. States vary on the responsible party. Idaho’s program would be self-funded.
Member Vassar asked about the timeline to proceed. Mr. Smyser said Canyon and Elmore Counties are initiating pilot projects. He added that there is broad support for the proposal. He emphasized that the program would be voluntary. In response to Member Vassar’s question on prescription drugs, Jaycee Luther responded that she does not believe the system can identify prescription drugs in someone’s system. The individual would need to provide proof of the prescribed medication.
Overall, Member Kempton believes it is a good proposal; however, he has some concerns with the legislation, including housing the program at ITD. He questioned the fiscal impact. Mr. Smyser said Montana houses its program in the department of transportation. There was no fiscal impact to that agency. It was able to absorb the program with existing personnel.
Member Horsch commended Mr. Smyser’s efforts to address impaired driving.
The consensus of the Board was to have staff review the proposal and report on its analysis next month.
Chairman Whitehead thanked Mr. Smyser for the presentation.
Annual Report of the Dealer Advisory Board (DAB). DAB Member Bobby Petersen reported on the activities of the DAB. The 2013 legislature passed the Idaho Consumer Asset Recovery Fund. It also approved amendments to Idaho Code to require pre-licensing and continuing education for all wholesale vehicle dealers. Curbstoning continues to be an issue of concern. Curbstoners are unlicensed dealers or licensed dealers who operate away from their licensed locations. The DAB is working on legislative proposals to eliminate this activity.
Chairman Whitehead thanked DAB Member Petersen for the report and for the DAB’s assistance on motor vehicle issues.
Executive Session on Personnel and Legal Issues. Member Vassar made a motion to meet in executive session at 10 AM to discuss personnel and legal issues as authorized in Idaho Code Section 67-2345(b), (c), and (f). Member Horsch seconded the motion and it passed 6-0 by individual roll call vote.
Discussions were held on personnel and legal matters.
The Board came out of executive session at 3:15 PM.
Annual Report of the Trucking Advisory Council (TAC). TAC Chairman Bill Moad expressed appreciation to the Division of Motor Vehicles’ (DMV) staff for its assistance. This past year, the TAC discussed concerns with de-icing in District 1, federal hours of service rule, agriculture exemptions in the state, and medical requirements for commercial drivers’ license holders. The council also reviewed legislative changes related to 129,000 pound vehicle weights and talked about the lack of education on the state’s transportation needs and funding.
Vice Chairman Coleman mentioned the de-icer study underway in District 1. He believes valuable data is being collected. Chairman Whitehead added that staff can provide that information to the TAC.
Chairman Whitehead thanked TAC Chairman Moad for the report and expressed appreciation for the TAC’s efforts.
Public Transportation Advisory Council (PTAC) Appointment for District 1. Due to the recent vacancy of the District 1 PTAC seat, Transportation Performance Administrator Randy Kyrias requested appointing Representative George Eskridge to fulfill the remaining term, set to expire on May 31, 2015. He said the normal process was followed to fill the vacancy.
Member Vassar made a motion, seconded by Vice Chairman Coleman, and passed unopposed, to approve the following resolution:
RES. NO. WHEREAS, the Idaho Transportation Board established the Public
ITB13-61 Transportation Advisory Council in accordance with Idaho Code 40-514; and
WHEREAS, the Board appoints one Public Transportation Advisory Council member for each of the Idaho Transportation Department Districts; and
WHEREAS, member appointment recommendations originate from the District Coordination Council, through the Public Transportation Advisory Council, and then presented to the Board; and
WHEREAS, the District 1 Coordination Council and Public Transportation Advisory Council recommend Representative George Eskridge for the District 1 Public Transportation Advisory Council appointment.
NOW THEREFORE BE IT RESOLVED, that the Board approves the appointment of Representative George Eskridge to fill the District 1 Public Transportation Advisory Council vacancy with a term to expire May 31, 2015.
Community Choices for Idaho Program. Ted Vanegas, Senior Transportation Planner, presented the recommended Community Choices for Idaho projects to fund. Because Moving Ahead for Progress in the 21st Century expires in October 2014 and the future of the program’s funding is uncertain, staff recommends that a portion of the FY13 and FY14 allocation be held to ensure that projects will be funded even if a new federal transportation bill does not include a funding mechanism for the Community Choices for Idaho Program.
Vice Chairman Coleman made a motion, seconded by Member Vassar, and passed unopposed, to approve the following resolution:
RES. NO. WHEREAS, the Idaho Transportation Board adopted Board Policy 4023,
ITB13-62 Community Choices for Idaho, to establish the Community Choices for Idaho Program for the State of Idaho and the Transportation Alternatives Program (TAP) as established through Moving Ahead for Progress in the 21st Century (MAP-21); and
WHEREAS, TAP supports a variety of local transportation projects by repackaging elements of the Safe Routes to School Program, Transportation Enhancement Program, Scenic Byways Program, and the Recreational Trails Program; and
WHEREAS, the Board approved a resolution to create the Community Choices for Idaho management tool to assist local communities in applying for funds and to competitively select projects that will be submitted to the Board for approval; and
WHEREAS, Community Choices for Idaho funding supports: 1) infrastructure, and 2) non-infrastructure projects to support local community goals; and
WHEREAS, Board Policy 4023 required establishment of a Community Choices for Idaho Advisory Committee comprised of volunteer representatives from state agencies and private organizations with expertise and knowledge in the various fields of eligibility under the Community Choices for Idaho program; and
WHEREAS, the Idaho Transportation Department advertised and accepted applications eligible for Community Choices for Idaho funding for infrastructure and non-infrastructure projects through a competitive statewide process; and
WHEREAS, the Community Choices for Idaho Advisory Committee has reviewed and prioritized the list of projects deemed eligible for Community Choices for Idaho federal-aid funding.
NOW THEREFORE BE IT RESOLVED, that the Board approves the Community Choices for Idaho federal-aid funding for the list of prioritized projects, as shown as Exhibit 435, which is made a part hereof with like effect, in the amount of $1,148,967 for FY14, $4,025,151 for FY15, and $401,000 for FY16 as recommended by the Community Choices for Idaho Advisory Committee; and
BE IT FURTHER RESOLVED, that staff is authorized to include the approved projects in the Statewide Transportation Improvement Program in accordance with the provisions of MAP-21.
Policy Review. Vice Chairman Coleman made a motion to recommend director approval of 5046 Right-of-Way Fencing. Member Horsch seconded the motion and it passed unopposed.
Policy Introduction. Chief Operations Officer Jim Carpenter said the only change to Board Policy 4049 State-Owned Dwellings, formerly B-03-06, was the inclusion of a purpose statement and legal authority. Language referencing the heating cost allowance in the corresponding administrative policy is being removed. Today’s state-owned dwellings are more energy efficient and the heating cost allowance has not been issued in at least ten years.
Member Vassar made a motion to approve Board Policy 4049 State-Owned Dwellings and to recommend director approval of 5059. Member Kempton seconded the motion and it passed unopposed.
BSM Manager Michelle Doane summarized minor revisions to Board Policy 4051 Use of Department Facilities and Equipment, formerly B-06-13, and the corresponding administrative policy, 5051. Member Kempton requested holding the policy for review due to concerns with allowable expenditures for transportation funds as outlined in the constitution and Idaho Code. The Board concurred with holding the policy.
Controller Dave Tolman said no changes, other than the inclusion of a purpose statement and legal authority, are proposed for Board Policy 4052 Official Travel by Department Personnel, formerly B-06-11. Minor changes are being proposed to the corresponding administrative policy.
Member Vassar made a motion to approve Board Policy 4052 Official Travel by Department Personnel and to recommend director approval of the corresponding administrative policy. Member Kempton seconded the motion and it passed unopposed.
The only changes proposed for Board Policy 4053 Employee Overtime and Other Time Considerations are the addition of a purpose statement and legal authority, according to Controller Tolman. Minor changes are recommended to the corresponding administrative policy.
Member Gagner made a motion to approve Board Policy 4053 Employee Overtime and Other Time Considerations and to recommend director approval of 5053. Member Vassar seconded the motion and it passed unopposed.
Controller Tolman proposed minor revisions to Board Policy 4054 Department Payment of Professional Organization Dues, formerly B-06-46, and the corresponding administrative policy.
Member Vassar made a motion to approve Board Policy 4054 Department Payment of Professional Organization Dues and to recommend director approval of 5054. Member DeLorenzo seconded the motion and it passed unopposed.
Administrative Policy Review. Enterprise Technology Services Planning and Governance Manager Tyler Zundel summarized changes to six stand-alone Administrative Policies: 5510 Computer, E-mail, and Internet Usage; 5511 Management of Computer Use; 5512 ITD Network Management and Authority; 5513 Remote Access to ITD Information Resources; 5517 ITD System and Information Security; and 5518 System and Application Management. The revisions are mainly to update the policies and modernize the language.
The Board had a number of questions on 5517 ITD System and Information Security, mainly related to the impact or involvement of other state agencies and the protection of data, particularly personal information. The consensus of the Board was to develop a corresponding Board Policy.
New Business. Government Affairs Manager Mollie McCarty said additional changes are being proposed to the draft legislation on ignition interlock requirements.
Vice Chairman Coleman made a motion, seconded by Member Gagner, and passed unopposed, to approve the following resolution:
RES. NO. WHEREAS, the Office of the Governor of Idaho has requested that state agencies
ITB13-63 submit proposed 2014 legislation to the Idaho Division of Financial Management for review and approval; and
WHEREAS, the Idaho Transportation Board, at the September 2013 meeting, reviewed and approved draft legislation; and
WHEREAS, the Idaho Division of Financial Management approved draft legislation submitted; and
WHEREAS, the Office of the Governor of Idaho has requested additional language be added to the proposal and Statement of Purpose on Ignition Interlock requirements;
NOW THEREFORE BE IT RESOLVED, that the Board approves revisions to the following legislative proposal and statement of purpose for submittal to the Idaho Division of Financial Management for its consideration:
· Amend Ignition Interlock Information in Title 18, Idaho Code.
Motor Vehicles Administrator (MVA) Alan Frew expressed concern with other entities using DMV as their collection agent. In October, the Department received a legislative proposal to expand DMV donation programs for two charitable organizations. Although the organizations provide valuable services, MVA Frew is concerned with the extra time and resources to fund programs that are not directly affiliated with transportation safety, maintenance, or operations. Additionally, some of the recent proposals detract from Idaho’s ability to convince the public to eventually support a revenue increase for roads and bridges, may present opportunities for internal fraud, and can be challenging to implement.
Member Gagner made a motion, seconded by Member Vassar, and passed unanimously, to approve the following resolution:
RES. NO. WHEREAS, the Idaho Transportation Board is deeply concerned about ongoing
ITB13-64 funding needs for the Idaho Transportation Department; and
WHEREAS, the Board recognizes a proliferation in the number of non-governmental requests to help fund charitable causes through donations at and through Division of Motor Vehicle county partner offices; and
WHEREAS, the Idaho Constitution specifies that “the proceeds from the imposition of any tax on gasoline and like motor vehicle fuels sold or used to propel motor vehicles upon the highways of this state and from any tax or fee for the registration of motor vehicles, in excess of the necessary costs of collection and administration and refund or credits authorized by law, shall be used exclusively for the construction, repair, maintenance and traffic supervision of the public highways of this state and the payment of the interest and principle of obligations incurred for said purposes; and no part of such revenues shall, by transfer of funds or otherwise, be diverted to any other purposes whatsoever”; and
WHEREAS, Section 40-707, Idaho Code, provides the Department’s statutory authority relating to appropriations made to the state highway account; and
WHEREAS, Section 40-708, Idaho Code, provides the Department’s statutory authority relating to expenditures from the state highway account; and
WHEREAS, Governor Otter has expressed concern about new programs “linking fees beyond those for transportation-related purposes to driver license and vehicle registration transactions”.
NOW THEREFORE BE IT RESOLVED, that it be the policy of the Idaho Transportation Board to lend no formal support to legislative proposals except as they directly support strategic goals related to highway maintenance, operations, and safety.
WHEREUPON, the Idaho Transportation Board’s regular monthly meeting officially adjourned at 4:20 PM.
JERRY WHITEHEAD, Chairman
Read and Approved
January 16, 2014