STATE BOARD OF EXAMINERS
MINUTES – Subcommittee Meeting
March 10, 2009 – 1:30 p.m.
Joe R. Williams Building, 5th Floor Conference Room A
The regular meeting of the Subcommittee to the State Board of Examiners was called to order at 700 West State Street, Boise, Idaho, at 1:30 p.m. pursuant to Idaho Code §67-2002 and by order of the chair.
The following members were present: David Fulkerson, Division of Financial Management; Chuck Goodenough, Deputy Secretary of State; Brian Benjamin, Deputy Attorney General, and Brandon Woolf, Office of the State Controller, as assisting secretary to the subcommittee.
Also present by invitation were; Peter Morrill, Idaho Public Television; Sandy Crane, Idaho Public Television; Liza Carberry, Office of the State Treasurer; and Debbie Wonch, Office of the State Controller. Cherie Woodworth, Idaho Tax Commission and Mark Poppler, Idaho Tax Commission were present via telephone.
Approval of official minutes for the meeting of the Subcommittee to the Board of Examiners on February 10, 2009.
Resolution: Mr. Fulkerson moved to approve item 1 and place it on the consent agenda. Mr. Goodenough seconded the motion. The motion carried on a unanimous voice vote.
2. Idaho Public Television
Request approval according to Idaho Code 67-5328 (3)(c) to pay off 150 of Mr. Jeff Tucker’s 240 hours of overtime worked as Production Manager. The total cost of the requested pay-off would be $3,618.00 and the funding is available in FY09 from a Federal Communications Commission grant.
Discussion: Mr. Morrill explained that about five years ago Congress mandated analog television to be shut down in the United States. IPTV was one of five television stations to receive a special federal grant to help make the switch. In October IPTV began producing and creating enhanced public information that would be broadcast and be made available through public television with regard to the mandated shut down. This required much more intensive time on Jeff Tucker’s part, being production manager of the project to coordinate by the guidelines of the grant. In January 2009 Congress decided to change the date for the mandated shut down from February 17 to June 12. IPTV was expecting Mr. Tucker to take time off in early spring to lower his comp time hours. Mr. Tucker is involved with the extension of the analog TV shut down and the additional federal requirement is to continue to provide unfunded information to the public; meanwhile Mr. Tucker is also a leader in updating a basement facility in the Joe R. Williams building to move the Legislative Live control room from the capital annex to the Joe R. Williams building in anticipation of next year’s session. IPTV needs Mr. Tucker’s talents to continue to work and not exceed the 240 hours. Mr. Morrill explained they were hesitant to bring this request before the Board but wanted the Board to know that IPTV is not taking the situation lightly and that they have sought council with the Department of Financial Management as well regarding this issue.
Mr. Goodenough asked if the federal grant addressed the relocation of the Legislative Live operation.
Mr. Morrill answered that no, the federal grant is solely for the purpose of enhanced public communications in implementing the switch from analog television. IPTV is only asking for 150 hours to be paid off.
Mr. Benjamin asked if Mr. Tucker will be able to manage his comp hours since he will still be putting in many more hours to complete the analog shut down leading up to June 12.
Mr. Morrill said that they anticipate Mr. Tucker will be able to burn off those hours in a timely matter so it would not have to be paid off at a later date. During the summer Mr. Tucker will be able to take off some substantial time.
Resolution: Mr. Fulkerson moved to place item 2 on the consent agenda with recommended approval. Mr. Goodenough seconded the motion. The motion carried on a unanimous voice vote.
3. State Tax Commission
Request approval according to State Travel Policy and Procedures Section 9 to permanently assign vehicles to Tax Commission employees Matt Virgil and Robert Rios.
Discussion: (Via telephone) Mr. Fulkerson asked Ms. Woodworth to give a rundown of what the two employees’ duties are for the Tax Commission and where their normal workstations are located.
Ms. Woodworth explained that the employees who are assigned vehicles are people who live in rural areas and do not live close to one of the field offices. They spend a great deal of time traveling out into the forest. They work for County Support that helps counties with their appraisal process and are also involved in timber appraisal. The employees are on the road 90% of the time into remote areas. The two individuals have been assigned vehicles for about a year and their predecessors were assigned vehicles. The Tax Commission just discovered in their files that a formal request had not been made for these two individuals.
Mr. Benjamin asked what counties these two employees are assigned to.
Mr. Poppler answered that Mr. Rios works out of the Twin Falls office and covers one of their districts in the area. Mr. Virgil is in Idaho Falls. The state is divided into five regions with the County Support people and they are constantly on the go covering those counties.
Mr. Fulkerson asked if the employees covering the other three regions have also been assigned vehicles.
Mr. Poppler said that there are three other cars assigned to similar people in County Support.
Ms. Woodworth commented that they do have approval letters for the other three employees with assigned vehicles and can forward those letters on to Board members if needed.
Mr. Fulkerson asked if the five employees go to their satellite office each day, or if they just leave directly from their home.
Mr. Poppler answered that they have a cubicle in their regular office but they are not there often and will usually disperse from their home to where they need to travel to for the day.
Resolution: Mr. Goodenough moved to place item 3 on the consent agenda with recommended approval. Mr. Fulkerson seconded the motion. The motion carried on a unanimous voice vote.
4. State Treasurer
Request for approval to issue the Fiscal Year 2010 Tax Anticipation Notes.
Discussion: Ms. Carberry explained that she has come before the Board seeking their annual approval to issue the Tax Anticipation Notes, which are short term cash notes that help the state weather through the first part of the year’s cash inefficiencies. Last year the state issued $600 million. Based off of the anticipated revenue from the Tax Commission and from the Department of Insurance the most the state could potentially issue would be $2.4 billion and are authorized to issue up to 75% of that amount, which the Treasurer’s office will not do, but that number would be $1.8 billion. As far as this year is concerned, the amount will be similar to last year’s request in the rage of $600 million.
Mr. Benjamin asked for clarification that as the money comes in and out, there are certain times of the year where the state might hit a deficit and so the anticipation notes provide a smoothing constant.
Ms. Carberry answered that unfortunately the state’s fiscal year is not set up to accommodate when most of the state’s revenue comes in. The fiscal year starts on July 1, and have the bulk of the state’s expenditures going to the school districts during the first part of the year from July 1 to December 31 but the bulk of the revenue does not come in until April. So in order to get the state through the cash flow period where most of the money is leaving up to that April period, the state borrows in the capital markets and then starts paying it off in the fourth quarter. The Treasurer’s office will not know an exact dollar amount of what will be issued until June, when the cash flow can be examined again.
Resolution: Mr. Benjamin moved place item 4 it on the regular agenda with recommended approval. Mr. Goodenough seconded the motion. The motion carried on a unanimous voice vote.
5. Office of the Attorney General
a. Notification that Cheri L. Bush, Attorney at Law, has been appointed pursuant to Idaho Code §67-1409 as a special deputy attorney general for the purpose of representing the State of Idaho in the matter of Kenneth Grieve, Gary Ferguson, and Charlie Warren.
b. Notification that John W. Weil of the firm of Hooper, Englund & Weil, LLP, in Portland, Oregon, has been appointed pursuant to Idaho Code §67-1409 as a special deputy attorney general for the purpose of filing an amicus brief on behalf of the State of Idaho Department of Finance, in the matter of Summit Accommodators, Inc.
c. Notification that Larry C. Hunter of the firm of Moffatt, Thomas, Barrett, Rock & Fields, Chtd., has been appointed pursuant to Idaho Code §67-1409 as a special deputy attorney general for the purpose of representing the Idaho State Board of Accountancy in the matter of Donald M. Lidstrom.
d. Notification that Terry C. Copple of the firm of Davison, Copple, Copple & Cox, LLP, has been appointed pursuant to Idaho Code §67-1409 as a special deputy attorney general for the purpose of assisting the Idaho Department of Lands in a collection action arising from the abandonment of a commercial lease (MC-60660.
e. Notification that Lawrence E. Kirkendall, Attorney at Law, has been appointed pursuant to Idaho Code §67-1409 as a special deputy attorney general for the purpose of representing the State of Idaho in the matter of Martin Walker.
f. Notification that James W. McConkie, Jr. of the firm of Parker & McConkie in Murray, Utah, has been appointed pursuant to Idaho Code §67-1409 as a special deputy attorney general for the purpose of providing legal services, including representation, advice and consultation, to the State of Idaho, Office of the Attorney General, in a claim against Eli Lilly and Company.
g. Notification that Joseph W. Steele of the firm of Steele & Biggs in Murray, Utah, has been appointed pursuant to Idaho Code §67-1409 as a special deputy attorney general for the purpose of providing legal services, including representation, advice and consultation, to the State of Idaho, Office of the Attorney General, in a claim against Eli Lilly and Company.
h. Notification that Kenneth D. Lougee of the firm of Steele & Biggs in Murray, Utah, has been appointed pursuant to Idaho Code §67-1409 as a special deputy attorney general for the purpose of providing legal services, including representation, advice and consultation, to the State of Idaho, Office of the Attorney General, in a claim against Eli Lilly and Company.
6. State Insurance Fund
a. Estimate of the State Insurance Fund expenses to be paid by sight drafts for the month of January, 2009.
Estimated expenditure for workers compensation claim costs, dividends and premium refunds
Funds Expended in January, 2009
Workers Compensation Claim Costs
Estimate of the Petroleum Clean Water Trust Fund expenses to be paid by sight draft for the month of January, 2009.
A meeting agenda will be available at the Idaho State Controller’s Office, 700 West State Street, Boise, Idaho, two (2) working days before the meeting.
Estimated expenditure for Petroleum Clean Water Trust Fund
Funds Expended in January, 2009:
If you have questions or would like to arrange auxiliary aides or services for persons with disabilities, please contact the Idaho State Controller’s Office at (208) 334-3100. Accommodations for auxiliary aides or services must be made no less than five (5) working days in advance of the meeting.
The CONSENT AGENDA addresses routine items the board may approve without discussion.
The REGULAR AGENDA addresses policy and program items the board may wish to discuss prior to making a decision.
The INFORMATION AGENDA provides information only.
The agendas are subject to change and the Board may move an item from one agenda to another.