June 8, 2007
(For Board: June 22, 2007)
REPORT OF THE RULES, POLICY AND INDUSTRIAL
RELATIONS COMMITTEE/COMMITTEE OF THE WHOLE
Honorable Board of Directors
Golden Gate Bridge, Highway
and Transportation District
Honorable Members:
A meeting of the Rules, Policy and Industrial Relations Committee/Committee of the Whole was held in the Board Room, Administration Building, Toll Plaza, San Francisco, California, on Friday, June 8, 2007, at 9:35 a.m., Chair Pahre presiding.
Committee Members Present (5): Chair Pahre; Vice Chair Hernández; Directors Grosboll, Martini, Newhouse Segal and Sandoval; President Moylan (Ex Officio)
Committee Members Absent (4): Chair; Directors McGlashan and McGoldrick
Other Directors Present (5): Directors Cochran, Eddie, Middlebrook, Reilly and Stroeh
Committee of the Whole Members Present (12): Directors Cochran, Eddie, Grosboll, Hernández, Kerns, Martini, McGlashan, Middlebrook, Newhouse Segal, Pahre and Reilly; President Moylan
Committee of the Whole Members Absent (7): Directors Brown, Dufty, McGoldrick, Sandoval and Stroeh; Second Vice President Ammiano; First Vice President Boro
Staff Present: General Manager Celia G. Kupersmith; District Engineer Denis J. Mulligan; Auditor-Controller Joseph M. Wire; Attorney David J. Miller; Deputy General Manager/Bus Division Susan C. Chiaroni; Deputy General Manager/Ferry Division James P. Swindler; Deputy General Manager/Administration and Development Teri W. Mantony; Administrative Assistant and Acting DBE Program Administrator Gail Jackson; Executive Assistant to the General Manager Amorette Ko; Assistant Clerk of the Board Karen B. Engbretson
Visitors Present: None
| 1. | Approve Amendments to the Human Resources Guide Relative to the Overtime Policy for Non-Represented Exempt Employees In a memorandum to Committee, Deputy General Manager/Administration and Development Teri Mantony and General Manager Celia Kupersmith reported on staff’s recommendation to amend the Human Resources Guide relative to the Overtime Policy for non-represented exempt employees. The report stated that while evaluating the District’s positions as part of the annual budget process, the listing of exempt positions and position eligibility for compensatory time were reviewed. Under District policy, exempt employee classifications are categorized as either Tier 1 or Tier 2. The report stated that Tier 1 employees are leadership and management positions, such as Officers, Deputy General Managers and department heads. Tier 1 individuals are expected to perform their duties until the work is done, and no compensatory time is earned for extra work required to complete tasks. Tier 2 positions meet the exempt employee test under the Fair Labor Standards Act, but are permitted to earn compensatory time under District policy at a straight rate up to an 80-hour maximum accrual in the compensatory time bank. These Tier 2 positions include lower level managers, program administrators and some supervisory positions. The report further stated that it is recommended that the list of Tier 1 and Tier 2 positions listed in the Human Resources Guide be updated, particularly in light of the fact that some of the job classifications do not function in the same manner today that they did when the Overtime Policy was last updated several years ago. Specifically, three positions in the Auditor-Controller’s area have significantly more responsibility than they had under the former structure of the Auditor-Controller’s Office. The Accounting Manager, Budget and Program Analysis Manager, and Capital and Grant Programs Manager now function as department heads rather than as support positions to the former Deputy Auditor-Controller position. It is also recommended that the Human Resources Guide be amended to include the Deputy General Manager/Administration and Development in the review and authorization process for new classifications/positions. A copy of the report is available in the Office of the District Secretary and on the District’s web site. At the meeting, Teri Mantony summarized the staff report, noting that the employees affected by the proposed action have been notified of the change in status of their positions. Staff recommended, and the Committee concurred by motion made and seconded by Directors MARTINI/McGLASHAN to forward the following recommendation to the Board of Directors for its consideration: RECOMMENDATION The Rules, Policy and Industrial Relations Committee recommends that the Board of Directors approve the following changes to the overtime policy for non-represented exempt employees, effective July 1, 2007: |
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| a. | Approve the following updated list of Tier 1 and Tier 2 positions for exempt employees: |
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| Tier 1 Exempt Positions
Auditor Controller Manager, Bus Maintenance Bridge Captain Manager, Business Implementation Deputy District Engineer Manager, Capital & Grant Programs Deputy General Manager, Administration/Development Manager, Marine Projects Deputy General Manager, Bridge Division Manager, Transportation Deputy General Manager, Bus Division Marine Superintendent Deputy General Manager, Ferry Division Secretary of the District Director, Planning Superintendent, Bus Maintenance Director, Human Resources Superintendent, Bus Transportation Operations Director, Information Systems Superintendent, Electrical Director, Marketing & Communications Superintendent, Facilities & Equipment Director, Procurement & Retail Operations Superintendent, Ironworker Director, Public Affairs Superintendent, Paint Director, Risk Management & Safety Superintendent, Schedules District Engineer Superintendent, Safety & Training General Manager Superintendent, Shop/Facilities Manager, Accounting Superintendent, Terminal Operations Manager, Budget & Program Analysis Supervising Civil Engineer
Tier 2 Exempt Positions
Administrator, Benefits Human Resources Analyst Administrator, Bus Operations Human Resources Management Analyst Administrator, DBE Program Information Systems Project Manager Administrator, Employee Relations Manager, Organizational Development Administrator, Payroll Manager, Technical Services Archivist Marketing & Communications Specialist Associate Planner Office Manager, Engineering Assistant Clerk of the Board Paratransit Coordinator Assistant Payroll Administrator Principal Planner Budget & Program Analyst Procurement Analyst Business Process Analyst Property Development & Management Buyer Purchasing Officer Capital & Grant Programs Analyst Security/Emergency Management Specialist Capital & Grant Programs Assistant Analyst Senior Buyer Communication Systems Project Manager Senior Planner Contracts Officer Senior Specialist for Applications Support Data Architect Software Engineer Environmental Health & Safety Specialist Supervising Accountant Executive Assistant to General Manager Supervisor, Customer Relations Financial Analyst Transportation Supervisor - Student Training Financial Assistant Analyst Unix System Administrator HRIS/FMIS Human Resources Analyst Workers’ Compensation Specialist |
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| b. | Approve the transfer of the Accounting Manager, Budget and Program Analysis Manager and Capital and Grant Programs Manager from Tier 2 to Tier 1; |
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| c. | Allow the Human Resources Director, the Deputy General Manager/ Administration and Development, with the concurrence of the General Manager, to determine exempt or non-exempt status, and eligibility for compensatory time, for all new classifications/positions; and, |
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| d. | Amend the Human Resources Guide accordingly. |
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| Action by the Board - Resolution AYES (10): Directors Cochran, Eddie, Grosboll, Hernández, Kerns, Martini, McGlashan, Newhouse Segal and Pahre; President Moylan |
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| 2. | Approve FY 07/08 Annual Disadvantaged Business Enterprise Goals In a memorandum to Committee, Acting DBE Program Administrator Gail Jackson, Deputy General Manager/Administration and Development Teri Mantony and General Manager Celia Kupersmith provided staff’s recommendation relative to the proposed FY 07/08 annual overall Disadvantaged Business Enterprise (DBE) goals. The report outlined the two-step process used in determining the District’s overall DBE goal for Federal Transit Administration-assisted (FTA-assisted) contracts, in accordance with 49 Code of Federal Regulations Part 26 issued by the U.S. Department of Transportation (U.S. DOT). In Step 1, base figures are calculated to determine the relative availability of DBEs in the areas of expertise involved in the District’s expected contracting activities. The District used the California Unified Certification Program DBE database and the Census Bureau’s 2002 County Business Pattern database to determine the base figures. In Step 2, an assessment of known relevant evidence is analyzed to determine what adjustments are needed to tailor the base figures to the District’s marketplace. Staff has analyzed data on actual DBE participation in comparable District race/gender-neutral contracts awarded in recent years to adjust the base figures. The report stated that the District has identified ten FTA-assisted contracts to be undertaken in FY 07/08. Staff determined an overall base figure of 9.27 percent for these contracts, which figure was adjusted downward to a 4 percent goal, based on past participation statistics on similar contracts and because several of the contracts are highly specialized. An additional two contracts were identified for the Larkspur Berth Dredging project goal. Staff determined a base figure of 17.9 percent for this project, which figure was also adjusted downward to a 1 percent goal, based on contract specialization and past participation. The report included a summary of the base figure and adjustment determined for each group of projects. The report also stated that the U.S. DOT regulations require that the maximum feasible portion of the annual overall DBE goal be met by using race/gender-neutral methods and that the District does not propose to set contract-specific DBE goal on new contracts to be awarded in FY 07/08. The report noted that to date, the District has met or exceeded its annual DBE goals using race neutral means. The report also noted that no new Federal Highway Administration (FHWA) assisted contracts are anticipated for the coming fiscal year; therefore, no FY 07/08 FHWA goal is being proposed at this time. The report further stated that staff recommends publication of the proposed annual DBE goals, which reflects staff’s determination of the level of DBEs ready, willing and able to participate in the District’s U.S. DOT-assisted contracting activity for FY 07/08. The report noted that the regulations require the proposed goals to be published for public inspection and comment to ensure public participation in the goal-setting process. The regulations also require that the goals be submitted to FTA by August 1, 2007. FTA may review and suggest adjustments to the goals upon consultation with the District; however, prior concurrence with the goals is not required. A copy of the report is available in the Office of the District Secretary and on the District’s web site. At the meeting, Teri Mantony introduced Acting DBE Program Administrator Gail Jackson, who summarized the staff report. Discussion ensued, including the following,
Staff recommended, and the Committee concurred by motion made and seconded by Directors McGLASHAN/HERNÁNDEZ to forward the following recommendation to the Board of Directors for its consideration: RECOMMENDATION The Rules, Policy and Industrial Relations Committee recommends that the Board of Directors approve the following actions relative to the FY 07/08 annual overall Disadvantaged Business Enterprise (DBE) goals, as follows: |
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| a. | Establish a four percent (4%) proposed goal applicable to $23,147,375 in contracts assisted by the Federal Transit Administration (FTA), and a one percent (1%) project DBE goal for the Larkspur Berth Dredging, applicable to $1,180,000 of FTA dollars, in accordance with federal regulations governing the establishment of DBE goals, and authorize the General Manager to publish notice of the proposed goals in accordance with federal regulations; |
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| b. | Authorize the General Manager to formally adopt the FTA goals if no public comments are received that require further consideration or modifications of the proposed goals by the Board; and, |
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| c. | Authorize staff to submit the District's annual overall DBE goals for federally-assisted contracting opportunities to FTA by August 1, 2007. Action by the Board - Resolution |
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AYES (12): Directors Cochran, Eddie, Grosboll, Hernández, Kerns, Martini, McGlashan, Middlebrook, Newhouse Segal, Pahre and Reilly; President Moylan NOES (0): None |
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| 3. | Approve Changes to Administrative Policies Relative to the District’s 457 Deferred Compensation Plans In a memorandum to Committee, Deputy General Manager/Administration and Development Teri Mantony, Auditor-Controller Joseph Wire and General Manager Celia Kupersmith reported on staff’s recommendation to approve changes to the administrative policies relative to the District’s 457 Deferred Compensation plans. The report stated that in 1973, the Board of Directors authorized creation of a 457 Deferred Compensation Plan for District employees. Since the plan’s inception, the Board has authorized various changes to the terms of the document governing the 457 Deferred Compensation Plan in order to reflect changes in applicable tax law and the intended operation of the plan. The report also stated that as part of the 2006 bargaining cycle with the Vessel Masters Marine Engineers Beneficial Association (MEBA) unit, it was agreed that Casual Vessel Masters would be permitted to participate in the 457 Deferred Compensation Plan. Currently, only regular employees (both part-time and full-time) are allowed to participate. The report stated that although a provision for Vessel Masters to participate in the 457 Deferred Compensation Plan was contained in their Memorandum of Understanding already approved by the Board of Directors, the document governing the 457 Deferred Compensation Plan has not been changed, and it is recommended that the Board take action to effect such change. The report further stated that Section 7.2 of the Plan Document permits participants to transfer amounts under the 457 Deferred Compensation Plan to a pension plan in order to purchase additional service credit, but only to the extent permitted by rules and procedures established to govern such transfers. The report noted that new federal tax laws enacted last fall now clarify that such transfers are permitted, and will not trigger adverse tax consequences to the District’s 457 Deferred Compensation Plan or to participating employees. Due to this new federal law, it is recommended that the District now allow such transfers to take place. A copy of the report is available in the Office of the District Secretary and on the District’s web site. At the meeting, Teri Mantony summarized the staff report, noting that the proposed change to the District’s 457 Deferred Compensation Plan only applies to the Vessel Masters who requested the change.
RECOMMENDATION The Rules, Policy and Industrial Relations Committee recommends that the Board of Directors approve the following changes to administrative policies relative to the District’s 457 Deferred Compensation plans: |
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| a. | Approve an expanded definition of “eligible” employees for participation to include Casual Vessel Masters; and, | |
| b. | Acknowledge that an employee’s Deferred Compensation monies may be used toward the purchase of additional service credits under the CalPERS pension plan. Action by the Board - Resolution |
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AYES (12): Directors Cochran, Eddie, Grosboll, Hernández, Kerns, Martini, McGlashan, Middlebrook, Newhouse Segal, Pahre and Reilly; President Moylan NOES (0): None |
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| 4. | Approve Amendments to the Human Resources Guide Relative to Deputy General Manager Positions General Manager Celia Kupersmith advised that this matter has been deferred to a future meeting of the Rules, Policy and Industrial Relations Committee.
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| 5. | Public Comment There was no public comment. |
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| 6. | Adjournment All business having been concluded, the meeting was declared adjourned at 9:45 a.m. |
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Respectfully submitted,
/s/ Barbara L. Pahre, Chair
Rules, Policy and Industrial Relations Committee