9:00 - 9:05 a.m.      1. Monthly Compliance Report

Purpose: Briefing      Person(s) Responsible: A. Smiley
Details: Corrective Action Compliance Report, as of July 31, 2012.

9:05 - 9:20 a.m.       2. Monthly Financial Reports

Purpose: Briefing     Person(s) Responsible: S. Bailey
Details: 
Sales Tax Report
Comparisons of budget to actual and current actual to prior year's actual. Monthly analyses of receipts comply with operating principle of "cost control." Sales tax is the largest revenue source for METRO and if there is a shortfall, then adjustments need to be made in the operating budget.

Investment Report (General Fund, Construction and General Mobility)
The investment report details METRO’s investments which are done in accordance with the Public Funds Investment Act (“PFIA”). METRO investments and the reporting thereof comply with the operating principle of “sustainability” because METRO maintains a minimum operating fund balance.

Debt Report
The monthly debt report details METRO’s debt as to balances, interest rates, types, purpose, maturity, etc. and is an example of the operating principles of “sustainability” and “cost control” because of being able to easily track the information.

July Board Report
The monthly financial statements give monthly and year to date financial information, budget to actual comparisons, explanations for variances, status on performances goals, balance sheet and ridership overview. The report complies with the operating principle of “cost control” in that it shows where the organization has been with respect to revenues and expenses and provides a basis of action that has either been taken and will be taken in response to the financial status.

Monthly Financial Reports: Sales Tax, Investment, Debt and Financial Statements
After the Finance Committee has reviewed and discussed the monthly finance reports, the committee chair will ask for a motion to recommend that the reports be submitted to the full board for their acceptance of said reports. Such action complies with the “partnering” operating principle in that the board committee and the board are working together to ensure that the finances of METRO have been properly reviewed and evaluated.

9:20 - 11:20 a.m.      3. Briefing on the status of the FY2013 budgets

Purpose: Briefing        Person(s) Responsible: S. Bailey
Details: Briefing on the status of the FY2013 Budgets

ITEMS FOR SEPARATE CONSIDERATION

11:20 - 11:25 a.m.      4. Approval of monthly financial reports

Purpose: Discussion, Decision          Person(s) Responsible: S. Bailey
Details: Accept and approve monthly financial reports to include:  Sales Tax Report, Investment Report, Debt Report and the Monthly Board Report.

11:25 - 11:35 a.m.     5. Request Board approval for repayment of $2,601,205.66 for the Texas Emission Reduction Program (TERP) grant funded through the Texas Commissions on Environmental Quality (TCEQ) due to early cancelation of the exhaust gas recirculation program.

Purpose: Discussion, Decision        Person(s) Responsible: S. Bailey
Details: In 2003, the Texas Commission on Environmental Quality (TCEQ) provided METRO $11.190 million in Texas Reduction Program (TERP) program funds for installation of exhaust gas recirculation (EGR) kits on 220 forty-foot New Flyer transit buses ($4.015 million) and purchase of low sulfur diesel fuel required by the kits ($7.175 million). In exchange for these grant funds, METRO committed to reducing regional oxides of nitrogen (NOx) emissions by approximately 1,292 tons over the 12 year life of the buses. METRO purchased and was reimbursed $3.2 million for EGR kits actually installed on 179 buses. Due to faulty performance of the kits, TCEQ and METRO agreed to terminate the project.  At this time, other projects producing NOx reductions cannot make up the entire shortfall and the TERP grant funds associated with the shortfall in NOx reductions need to be reimbursed to TCEQ.