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January 15, 2015

4:00 p.m.

3075 Enterprise Drive

State College, PA 16801


BOARD MEMBERS PRESENT:     John Spychalski, Chairman

                                                            Joe Davidson, Vice-Chairman

                                                            Richard Kipp, Treasurer

                                                            Tom Kurtz (by telephone)

                                                            Tammy Gentzel                                  


STAFF PRESENT:                             Louwana Oliva, General Manager

                                                            Eric Bernier, Director of Information Services

                                                            Ryan Harshbarger, Director of Transportation

                                                            Kimberly Fragola, Director of Finance

                                                            Sylvia Rosa-Ortiz, Director of Human Resources

                                                            Marsha Kyper, Executive Assistant / Board Liaison


OTHERS PRESENT:                         John Baker, McNees, Wallace & Nurick LLC


I.          CALL TO ORDER

Chairman Spychalski called the meeting to order at 4:07 p.m.



There was no public comment.




An executive session was held to discuss personnel matters.




1.                  Payment on Bus Delivery

Kimberly Fragola reported that grant approval from PennDOT for the approved and funded purchase of the last ten bus options on our contract with New Flyer was expected by the end of September, 2014; PennDOT is presently expediting the grant, and the money should be available in fifteen days, however, payment is due to New Flyer.  Kimberly further reported that M&T Bank has approved a bridge loan in the amount of $4,274,096.04, which is to be deposited in CATA’s account on Friday, January 16, 2015; the estimated interest for the bridge loan will be $5,600.


Louwana Oliva reported that PennDOT has also agreed to provide a letter confirming funding of the building expansion project; such a letter would be necessary if CATA were to apply for a Pennsylvania Infrastructure Bank (PIB) loan.


2.                  CATACOMMUTE

Ryan Harshbarger provided background on the impact of the continued growth of the CATACOMMUTE program.  Terri Quici presented information on the history of the program including operating revenues, subsidies, and fares; and options the staff is considering. Board consensus was that the program should remain a part of the CATA family of services, and staff should develop a fare structure that would eventually result in the CATACOMMUTE program becoming self-supporting; in addition the staff should pursue research on operational models.


3.                  Exterior Bus Wrap Trial Program

Eric Bernier referenced a memo from Jackie Sheader describing the experience with and results of the exterior bus wrap trial program.  Eric reported that the staff wishes to bring a recommendation before the board at the regular January meeting, to make full bus wraps a permanent part of CATA’s advertising program, and that starting July 1, 2015, additional buses (beyond the four designated for the trial program) be made available for full bus wrap ads.


A meal break was taken from 6:10 p.m. to 6:30 p.m.


4.                  Contractual Agreements

            Louwana Oliva commented that the staff is planning a short-term approach to the apartment pass program contract renewals, to allow for the completion of the Strategic Plan, which could have an impact on the program. Eric Bernier referenced his memo and spread sheet, which provided apartment pass program annual ridership/revenues since the program’s inception in 1987.  Eric reported that all nineteen of the current contracts expire in August, 2015 and all are paying a per ride rate of $0.94.


            Eric Bernier reported that CATA’s contract with Penn State expires on June 30, 2015; past contracts have been for a three-year period with the hourly rate set one year at a time proportionate to the cost increases to provide service; in addition the contract includes Penn State’s contribution to the CATACOMMUTE program and local match share.  Eric stated that the next contract will be set to expire in three years, again to allow for the completion of the Strategic Plan, which may impact the campus service program.

5.                  Local Match FY 2015/16

Kimberly Fragola provided a hand-out showing scenarios for local match share percentages.  Board consensus was to prepare the CATA budget using a 4% local match share.


6.                  Mid-year Report on FY 2014/15 Goals, Objectives and Budget

Louwana referenced her memo which provided an update on the goals and objectives set by the board for FY 2014/15.  Kimberly Fragola handed out a revised mid-year budget analysis and summary; identified and explained the areas which are lower or higher than projected. Eric Bernier reported that apartment pass revenue is lower than projected with $105,000 of the shortfall attributable to the fifteen older apartment complexes with which CATA has contracts for bus service.


                        The board asked Kimberly to provide the available balance in the federal subsidy.



Chairman Spychalski adjourned the meeting at 7:30 p.m.




Louwana S. Oliva, Secretary