STATE BOARD OF EXAMINERS
MINUTES – Sub-committee Meeting
August 11, 2015 – 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: Sherman Furey III, Office of the Attorney General; David Fulkerson, Division of Financial Management; Secretary of State Lawerence Denney; and Brian Benjamin, Office of the State Controller, as assisting secretary to the subcommittee.
Also present by invitation were: State Controller Brandon Woolf; Jan Frew, Department of Administration; Dan Goicoechea, Office of the State Controller; and Renee Holt, Office of the State Controller.
Mr. Benjamin presented a new request before the subcommittee, a contract assignment from the Division of Public Works.
Mr. Goicoechea noted that Mr. Benjamin sent Public Works communication that the documents were not complete. The Controller’s Office was aware this request was coming, but the agency was not able to send all of the documentation before the submittal deadline for the meeting.
Mr. Furey asked if they have submitted enough to be on the agenda for the Board of Examiners meeting.
Mr. Benjamin noted that we do have enough information now.
Mr. Furey asked what the reason is for the timeliness of this request, why the Division cannot wait until next month’s meeting.
Mr. Benjamin commented that the Division has been wanting to get on the agenda for awhile.
Ms. Frew said that they were not aware of the process.
Mr. Furey moved to add the item to the agenda as item 2b. Mr. Denney seconded the motion. The motion carried on a unanimous voice vote.
Approval of official minutes for the meeting of the Sub-committee to the Board of Examiners on July 14, 2015.
Resolution: Mr. Fulkerson moved to approve item 1. Mr. Furey seconded the motion. The motion carried on a unanimous voice vote.
2. Department of Administration
a. Request for recognition of assignment pursuant to Idaho Code §67-1027 from Celtic Bank Corporation to KBBM Properties LLLP. (Idaho State Liquor Division is the Lessee.)
Resolution: Mr. Denney moved to approve item 2.a. and place it on the consent agenda. Mr. Furey seconded the motion. The motion carried on a unanimous voice vote.
b. Request for recognition of assignment pursuant to Idaho Code §67-1027 from Plan One Architects to GPC Architects PLLC.
Discussion: Mr. Benjamin noted there are actually 4 contracts involved in this assignment.
Mr. Furey asked if there was a bidding process.
Ms. Frew answered that one of these was a project specific RFQ, which did go through a selection process. It is all the same people involved; they have just decided to form their own firm and separate from Plan One. They seem very amenable. The other contracts are under the indefinite delivery contract. Whatever projects come up during the year, these contracts are in place so that we can quickly get someone on board. In order to issue those contracts, we also go through advertisement and a qualification based selection.
Mr. Denney asked if this is a smaller group now.
Ms. Frew answered in the affirmative.
Mr. Denney asked if this new group still has the same resources and ability to complete a contract.
Ms. Frew said most of what they have been using this group for are smaller projects and only the Idaho offices. It is the same group doing the same thing.
Mr. Denney asked if there is any difference in their financial statement.
Ms. Frew answered that there are no significant differences. They have the resources and financial backing for the types of projects they are doing.
Resolution: Mr. Denney moved to approve item 2.b. and place it on the consent agenda. Mr. Furey seconded the motion. The motion carried on a unanimous voice vote.
3. Military Division
Ratification of military contract for the following projects:
NGBID-15-C-0001 for project: FMS 1 Interior Administration Remodel
NGBID-15-C-0012 for project: Building 815 Remodel
NGBID-15-C-0014 for project: Range 15 North Targets
Resolution: Mr. Furey moved to approve item 3 and place it on the consent agenda. Mr. Denney seconded the motion. The motion carried on a unanimous voice vote.
4. Ada County Sheriff
Request for approval pursuant to Idaho Code §31-2219 and §31-3203, for prisoners sentenced to ISCI and transported to the Ada County Jail upon a Judgment of Conviction or a Return on a Board Warrant for January 2015 through March 2015 in the amount of $3,101.84.
Resolution: Mr. Denney moved to approve item 4 and place it on the consent agenda. Mr. Furey seconded the motion. The motion carried on a unanimous voice vote.
5. State Travel Policies and Procedures Revision
Please see attached revised State Travel Policy and Procedures.
Discussion: Mr. Benjamin noted this was on the informational agenda last month. The revision is mostly to make the policy easier to read. There are only a couple of substantive changes. He explained some of the more common policy questions. For example, under Section 3.c. of the policy it speaks to questions around mileage from a primary work station to the airport. Another one was under Section 10, where it talks about providing meals or refreshments to agency sponsored meetings. Section 2.f. speaks to meal recess. Out of all the comments and suggestions to the policy, there is one change that should probably be made before this is given to the full Board of Examiners for approval. In Section 2.g. the last sentence talks about an employee still has to complete a travel expense voucher even if there is no net amount due or owed to the traveler. However, in Section 9.b. it says in that circumstances when 100% of travel expenses are being paid for by a third party, and there is no financial liability to the state, a travel voucher is not required. To clarify those two sections, he recommends the last sentence in Section 2.g. should end with the phrase, “except as provided in section 9.b.”.
Mr. Fulkerson noted that when FPAC (Fiscal Policy Advisory Committee) discussed this section, it was noted that if the state expends any resources for the travel, they must have a complete accounting of the state money expended. This wording specifies the documentation requirements more strongly than the existing policy.
Mr. Benjamin proposed creating a cover letter with the proposed changes to the policy.
Resolution: Mr. Furey moved to approve item 5 with the recommended revision and place it on the consent agenda. Mr. Denney seconded the motion. The motion carried on a unanimous voice vote.
Discussion: Mr. Fulkerson explained that the FPAC consists of two co-chairs; Chris Stratton from the Controller’s Office is a permanent member, and David Fulkerson is a permanent co-chair. There are four positions that rotate on a 3-year basis coming from two large agencies and two smaller agencies, plus the legislative audit chief, who is a non-voting member. Their mission is to help the Controller develop accounting policies.
Mr. Woolf commented that Don Berg who was from the Legislative Services Office was a major author of this redraft as well.
6. Board of Examiners Subcommittee
Request to examine the current in-state per diem allowance to see if a change is merited.
Discussion: Mr. Benjamin explained that the in-state per diem rate has been $30 per day since July 2001. The current federal rate for Idaho is $46 per day. In previous discussions, it was decided not to tie it to the federal rate, but to keep the state rate its own rate (near the federal), which would be revisited routinely by the Board. In last month’s discussion, several amounts were discussed, but there has been no definite resolution of what that rate should be. Mr. Benjamin mentioned that the per diem rate is intended to cover more than just meals; all gratuities, even for taxi service or bellhops, etc. are considered to be covered by the current per diem.
Mr. Goicoechea noted that the Controller is not advocating anything but a discussion on the per diem. Everyone is preparing their budgets to present in September, so if the Board did entertain a change, that would give the agencies a couple of weeks before they send their budgets to DFM and LSO.
Mr. Furey asked if there is any financial backing as to why a particular rate should be chosen.
Mr. Benjamin answered that there is no standard benchmark that is applied to how the rate is chosen.
Mr. Furey noted that he thinks the rate should be updated, but it must have a rational reason as to why it is being changed, and tied to a standard.
Mr. Goicoechea said the Controller’s Office would be willing to do the research but only with the Board’s direction.
Mr. Woolf commented that the Controller’s Office has data from other states that can be compared.
Resolution: Mr. Furey moved to approve item 6 and place it on the consent agenda with directing the Controller’s Office to do research on rate rationale. Mr. Denney seconded the motion. The motion carried on a unanimous voice vote.
7. Association of Public Health District Directors
The FY 2016 state general fund and millennium fund appropriations to the Public Health Trust Fund has been distributed by the formula developed by the Board of Trustees for Idaho’s Public Health Districts.
8. Office of the Attorney General
a. Notification that Paul J. Augustine of the firm of Augustine Law Offices, PLLC, has been appointed pursuant to Idaho Code §67-1409 as a Special Deputy Attorney General for the purpose of representing the State of Idaho, Industrial Special Indemnity Fund, in the matter of Luz Aguero.
b. Notification that David S. Rosenberg and Amy H. Wells of the firm of Cox, Castle & Nicholson in Los Angeles, California, have been appointed pursuant to Idaho Code §67-1409 as a Special Deputy Attorneys General for the purpose of providing advice to the Idaho Endowment Fund Investment Board concerning private equity and other investments.
9. State Insurance Fund
a. Estimate of the State Insurance Fund expenses to be paid by sight drafts for the month of
b. Estimate of the Petroleum Clean Water Trust Fund expenses to be paid by sight drafts for the month of June, 2015.
Estimated expenditure for workers compensation claim costs, dividends and premium refunds
Funds Expended in June, 2015:
Workers Compensation Claim Costs
Estimated expenditure for Petroleum Clean Water Trust Fund
Funds Expended in June, 2015:
Mr. Fulkerson moved to adjourn the meeting. Mr. Denney seconded the motion. The meeting ended at 2:15 p.m.