REGULAR MEETING
GREATER HARTFORD TRANSIT DISTRICT
Hartford, Connecticut

November 10, 2011

Stephen F. Mitchell, Chairman
Presiding...........................

At 7:07 p.m., a quorum determined to be present; Mr. Mitchell called the Regular Meeting of the Board of Directors of the Greater Hartford Transit District (the "District") to order in the District's Multipurpose Room at the Union Station Transportation Center (the "Center"), One Union Place, Hartford, Connecticut. The following Directors were present: Marilyn Pet, East Hartford; Gilbert Hayes, East Windsor (arrived at 7:14 p.m.); Stephen F. Mitchell, Enfield; Russell G. St. John, Granby; Frank Lord, Jesse J. Smith, and Christopher Bowen, Hartford; Paul McNamara, Manchester; Kevin Chick, Newington; Ferguson R. Jansen, Simsbury; Brendan T. Flynn, Wethersfield; and Ricardo Quintero, Windsor. District staff present were Vicki L. Shotland, Executive Director; Kimberly A. Dunham, Director of Fiscal and Administrative Services; DJ Gonzalez, Operations Administrator; and Sandra E. Sheehan, Director of Grants and Contract Administration. Also present was Reed Risteen, Partner, Blum Shapiro and Company, and Bradshaw Smith, a resident of the Town of Windsor.

The Chairman asked if there was any member of the public who wished to address the board. There were none.

Mr. Flynn then moved adoption of the September 8, 2011 meeting minutes, which was seconded by Mr. Quintero, and approved by a vote of 21.52 yea, 0.00 nay and 3.10 abstention (Mr. Smith).

Mr. Mitchell then recessed the Regular Meeting at 7:09 p.m. and called to order the Public Hearing related to the Proposed Fiscal Year 2011 Budget Revisions. Ms. Dunham provided an overview of the District’s financial activities during the prior fiscal year including Federal/State grant funding in the Special Revenue Fund. She noted that CTDOT and FTA were the agency’s major funders, contributing 79.8% and 11.7% respectively, of overall revenue. She further reviewed member dues, vehicle sale and advertising activities and noted that the District had decided to incur a portion of Union Station operating costs this year through the General Fund. A review of the Indirect Cost allocation methodology and history was provided.

Spruce Street Parking Lot revenues continue to increase, with a 21% increase over prior year based on the implementation of a two-tiered rate change. Gross revenue neared $340,000 which was the highest yield in this fund in the past seven years, based on a ten year look-back. The Sovereign Bank revenue bond balance at fiscal year-end was $103,000. Grant related revenues and expenditures in the Enterprise Fund were budgeted to include all available funds at the commencement of the fiscal year, and the year end revision is based on actual grant activity. Sale proceeds of the DATTCO buses were partially utilized in FY2011 with the balance treated as Deferred Revenue to be used in FY2012. The federal subsidy of Union Station operating costs was $104,000 which is the lowest amount in recent history and was based on continuing efforts to increase revenue and decrease expenses. Overhead costs were also under budget related to electricity and natural gas expenditures, due in large part to energy efficiency initiatives and third party supplier procurement activity. Agency wide net revenue for FY2011 was $175,036, adding to the existing unrestricted reserve and resulting in a total ending fund balance of $1,290,000.

Mr. Mitchell then asked if there were any comments from the board and subsequently inquired of the public. There being no questions, the Chairman declared the Public Hearing closed and reconvened the Regular Meeting at 7:17 p.m. Upon motion by Mr. Flynn and second by Mr. Quintero, the Proposed Fiscal Year 2011 Budget was approved unanimously by a vote of 25.62 yea, 0.00 nay and 0.00 abstention.

Brendan Flynn, Chair of the Audit Committee, discussed the efforts of staff and the accountants to expedite the audit process. The committee had recently met to discuss the outcome of the audit as well as review the draft reports. The group also had the opportunity to meet with the auditors without management’s presence and there are no issues or concerns to report. Mr. Flynn then introduced Reed Risteen, Partner at Blum Shapiro to discuss the audit process. Mr. Risteen indicated that they have issued an unqualified (clean) opinion once again this year and he discussed some of the efforts undertaken to streamline the progression of the audit. The agency had been awarded the Certificate of Excellence in Financial Reporting from the GFOA in the prior year, and will apply once again. The Federal and State Single Audit processes require the auditors to determine if a grantee has complied with all grant requirements and the audit team also reviews internal control procedures to ensure adequacy. The District has complied with its grant requirements and there are no weaknesses to report.

Now that the board has adopted the final budget revisions, reports will be issued to both the State and FTA prior to their individual deadlines. Ms. Shotland commented on the professionalism and efficiency of the audit team members and thanked Mr. Risteen for their efforts. Mr. Flynn noted that should any board member have inquiries regarding fiscal management practices, transparency, or accountability to please contact a member of the audit committee. The Chairman asked if there were any questions or comments from the board regarding the presentation.

There being none, Mr. St. John recommended acceptance of the year-end financial reports as presented, which was seconded by Mr. Quintero, and accepted unanimously by a vote of 25.62 yea, 0.00 nay, and 0.00 abstention.

The Chairman next asked for presentation of the financial report. Ms. Dunham reported that the municipal Dial-A-Ride grants had been reinstated and CTDOT payments are back on schedule. The District has secured the services of a new insurance broker who has been able to obtain lower premiums and more coverage, including terrorism coverage for Union Station. Special Revenue fund expenditures are under budget due to minimal grant activity so far this year. CTDOT has advised the District that transit advertising revenue must be used to offset ADA operating costs and the agency will continue to explore other revenue generating opportunities to replace the funds. The Avon Mountain litigation has finally concluded in favor of the District and its insurance company. Spruce Street Parking Lot revenue has increase 7.5% so far this fiscal year. Public overhead expenditures are under budget due to nominal utilization of grant related professional services and the pending year end internal allocation entries.

Efforts are underway to request the Union Station mortgage creditors to forgive the outstanding loan balance. A title search was conducted that resulted in one documented creditor, however chronological documentation shows correspondence with numerous lenders and loan servicing companies over the years. Discussion ensued regarding the history of the mortgage and the benefits of having that obligation relieved. Ms. Shotland commented that this will be a lengthy process, but one that will positively impact the agency. The District is also working with a real estate assessment group to appeal the Hartford Grand List 2011 revaluation of Union Station which is expected to be received shortly.

There being no further discussion, Mr. Hayes motioned acceptance of the monthly financial report, which was seconded by Mr. Flynn, and accepted unanimously by a vote of 25.62 yea, 0.00 nay and 0.00 abstention.

District staff then provided the Board with an update on operational and administrative undertakings. Mr. Gonzalez reported that an evaluation of fleet replacement needs is currently underway. There are likely 12-15 vehicles that have reached their useful life; however funding must be discussed and a commitment has already been made for four alternative fuel vehicles. The District has received Clean Fuel grant funding from the State for two CNG vehicles and two electric hybrid vehicles. In the past three years, approximately 75% of the fleet has been replaced.

A meeting was held at CTDOT recently to discuss ways to make integrated ADA trips more cost effective and efficient. At times, the District provides one seat ADA trips out of its service area and other ADA providers reciprocate this arrangement. All parties are discussing innovative solutions that will benefit the DOT.

Ms. Sheehan then provided an update on procurement and grant activities. Work on the air conditioning equipment continues to progress including the removal and installation of fan coils in the lower level and the Great Hall area of the building. The three chillers located at ground level have been removed. One of the concrete pads needs to be extended to accommodate the new chiller and steel support needs to be incorporated into the support structure for the three chillers located in the roof of the building. The first application for payment has been approved.

The District received the two accessible vehicles for the New Freedom program and is waiting for an insurance certificate to hand over the vehicles to Yellow Cab Co. for painting and equipment installation. Due to power outages last week, the software installation has been postponed thus delaying the start of the program.

Ms. Sheehan also noted that the District received FTA approval on the Categorical Exclusion documentation for the property at 148 Roberts Street, East Hartford. A property appraisal was conducted and an appraisal report is forthcoming at the end of this week. The process requires a review of the appraisal report, which will be conducted immediately after the initial report is submitted to the District. Ms. Shotland commented that the growth of the agency and in particular, the paratransit service, is being taken into consideration when determining the operations center location as there will be most definitely be opportunities for service expansion in the future. Mr. Lord inquired as to the funding source for the facility and Ms. Shotland responded that §5307 funds have been secured for this purpose.

Meetings have been held to kick off the Transit Enhancement program. The passenger shelter improvements in the Greater Hartford Region require a significant amount of data collection prior to the District procuring the passenger shelters and the contractor services for their installation. Transit Enhancement projects are also going to take place in Middletown and the Central Connecticut Regional Planning Agency region.

Ms. Shotland stated that the Environmental Protection Agency had issued a press release related to the Clean Diesel Grant that will cover 75% of the cost to repower six Peter Pan vehicles. The total grant award is just less than $300,000 and the project will reduce greenhouse gases and diesel emissions by replacing older engines. This is a highly successful Public Private Partnership initiative between the District and Peter Pan Bus Lines.

The District has also been awarded a $1.69 million Bus Livability Grant that was submitted on behalf of the agency and the City of Hartford. The grant award will fund improvements of pedestrian access to Union Station and street beautification efforts along a 1620 foot segment of Asylum Avenue.

The City of Hartford has submitted a TIGER III grant application for a transit nexus on High Street that will be an open air, fixed route vehicle transfer center. The grant application included transit oriented development, walkability, sustainability and pedestrian access components as well as a focus on cohesiveness amongst pertinent stakeholders. The process was handled correctly, including numerous steering committee meetings and the collaboration of the City, GHTD, CRCOG, CTDOT, FTA and many others.

Mr. Hayes provided an update on the recent CRCOG Transportation Committee meeting. Staff had provided an update regarding the Sustainable Communities Initiative – Knowledge Corridor. CRCOG has finalized the contract with the consultant that will be conducting the Transit Enhancement Bus Study. This study will develop recommendations to improve linkages to job centers and new transit investments that increase economic opportunity and mobility for all citizens. Towns assisted will include Enfield (currently there is no service), Windsor (establishing a Transportation Management Association), and Manchester (cross town connection and potential connection to East Windsor).

CRCOG staff will be presenting to the DOT a non-traditional proposal to conduct a transit enhancement study in the City of Hartford that will take into account transit circulation around Union Station, the bus-way circulation into the city and the establishment of a transit center in the vicinity of Union Station.

Mr. Quintero provided an update on the activities of the By-Law Committee. The group has completed their proposed changes and submitted same to the Executive Director and Chairman. Input on the proposed changes will be solicited from Day Pitney and the document will also be provided to the entire board. It was determined that an opportunity to comment on the proposed revisions will be afforded at the December 2011 board meeting. Discussion ensued regarding timeline and process and a decision was made to adopt the final changes at the February 2012 meeting.

Mr. Mitchell mentioned the list of proposed 2012 meeting dates that had been provided and he also congratulated Ms. Pet on her recent election to the East Hartford school board.

There being no further business brought before the Board, Mr. Flynn moved that the meeting be adjourned. Upon seconding by Mr. Bowen, the motion passed by a vote of 25.62 yea, 0.00 nay, and 0.00 abstention. The Regular Meeting was adjourned at 8:22 p.m.

                                                                                       
Respectfully submitted,

James McCavanagh
Secretary

 

Adopted: December 15, 2011