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:

  a.
Approve the following updated list of Tier 1 and Tier 2 positions for exempt employees:
     
                           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
     
  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;
  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,
  d.
Amend the Human Resources Guide accordingly.
     
 

Action by the Board - Resolution
NON-CONSENT CALENDAR

AYES (10): Directors Cochran, Eddie, Grosboll, Hernández, Kerns, Martini, McGlashan, Newhouse Segal and Pahre; President Moylan
NOES (0): None

     
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,

  • Chair Pahre commended Ms. Jackson on her thorough and detailed report.
  • Director Hernández inquired as to how the staff determined the 1 percent goal for the Larkspur Berth Dredging project. In response, Ms. Jackson provided a detailed explanation of how staff calculated the proposed goal.

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:

  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;
  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,
  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
NON-CONSENT CALENDAR

     
 
AYES (12): Directors Cochran, Eddie, Grosboll, Hernández, Kerns, Martini, McGlashan, Middlebrook, Newhouse Segal, Pahre and Reilly; President Moylan
NOES (0): None
     
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.


Staff recommended, and the Committee concurred by motion made and seconded by Directors McGLASHAN/MOYLAN 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 administrative policies relative to the District’s 457 Deferred Compensation plans:

  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
NON-CONSENT CALENDAR

     
 
AYES (12): Directors Cochran, Eddie, Grosboll, Hernández, Kerns, Martini, McGlashan, Middlebrook, Newhouse Segal, Pahre and Reilly; President Moylan
NOES (0): None
     
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.


Action by the Board – None Required

     
5.

Public Comment

There was no public comment.

     
6.

Adjournment

All business having been concluded, the meeting was declared adjourned at 9:45 a.m.

 

Respectfully submitted,

/s/ Barbara L. Pahre, Chair
Rules, Policy and Industrial Relations Committee