Minutes of the One Hundred Sixteenth Unified Carrier Registration Plan Board of Directors
February 7th, 2017
In Person/Tele-conference

The One Hundred Sixteenth (116th) Unified Carrier Registration (UCR) Plan Board of Directors
(Board) meeting was called to order by Avelino Gutierrez, Chairman at 9:00 am PST.

Attendance – Board of Directors:
Present – Avelino Gutierrez, Adam Anderson, Sandy Bowling, Woody Chambers, Tina Thurman, Daphne
Jefferson, Larry Herold, Mike Hoeme, Elizabeth Leaman, Scott Morris, Bob Pitcher, Carol Fallin and
Monte Wiederhold.

Absent – Chris Burroughs and Rick Schweitzer.

Avelino Gutierrez moved that the Board reconsider the sending of the letter to FMCSA requesting the
fee reduction and open up a time frame for public comments, seconded by Bob Pitcher, motion passed.

The time frame for public comment will be a week to ten days:

Scott Morris discussed the proposal for the fee reduction. It was a little different than the
original proposal because it did not address the overages that already been collected (Exhibit A).
The proposed is a two-step proposal.

Public Comments for the Fee reduction, 2 comments:

Randy Coplin, Michigan State Police, requested that the Board proceed very cautiously because of
state budgets are projected out up to 18 months in advance while I recognize that the excess fees
have to be returned there needs to be a mechanism in place in which we can recover the short falls
and states are adequately reimbursed from one year to the next for the full amount.

Mr. Berndnder with the Wisconsin Dept. of Transportation – I do appreciate the Boards work on this
issue do intend to be full participant’s in this program. I certainly endorse the prior comments
of making sure we receive our entitlements and just wanted to add that I think the approach is good
to correct the over collection and provide for a stable collection for the future. I have not
followed it closely enough to know exactly what if there is a stated cost across the board for
future years. The next step would be to estimate that and then one could decide if the registration
figure for 2019 would be $73 or $74.

Avelino Gutierrez closed the phone comment period and moved that the written comment period remain
open until February 20th 2017at 5 pm EST to allow for written comment in the form of email or
written mail. Seconded by Robert Pitcher, motion passed.

The written comments are to be sent to Avelino.gutierrez@state .nm.us or PO BOX 1269, Santa Fe NM,

Avelino Gutierrez conducted a roll call of the States with self-introductions of government and
industry representatives made by those in attendance.

Adam Anderson moved to accept the meeting agenda, which was seconded by Scott Morris
(Exhibit B) – motion passed.

Woody Chambers moved to accept the minutes for the December 15th 2016 Board meeting, seconded by
Sandy Bowling, (Exhibit C)

Avelino Gutierrez established the teleconference ground rules.

UCR Legislative Update – No Update

FMCSA Update – Daphne Jefferson, Deputy Administrator FMCSA – delaying full implementation of the URS to allow states to do their testing due to some issues with the system. Continuing with the new
application tool. FMSCA welcomed the new Secretary of Transportation MS. Chau.

Woody Chambers asked Daphne and Rick Wood asked for an update on the UCR suffix on the
392.2 violation code. Rick Wood asked for more clarification on what Woody is looking for. Rick and
Woody will talk offline.

There had been recommendations that FMCSA help promote the UCR and there is a link now on the FMCSA website.

Report by DSL Transportation Services, Inc. – Dave Lazarides –

Audit Subcommittee – Mike Hoeme – Inga Johnson (Alaska) and Mark Burn (Nebraska) joined the
Subcommittee. Been working on some IRP reports to help with auditing. Further testing is ongoing
with additional states.

Mike gave a reminder that he needed to have states resend their 2015 reports. He only received a
handful and reminded that the 2016 is due by June 1, 2017.

Procedures/Best Practices Subcommittee – Adam Anderson – reported the subcommittee’s work on the
FAQ’s. A list was sent out to everyone and asked everyone to review that list of the items being
looked at and any suggestions on the proposed changes (Exhibit D). Also reviewing the 15 minute
upload for data to Iteris.

Adam turned time over to Scott Morris on a proposed change to acknowledgement of funds received by
states for funds from the Depository.

Scott Morris explained the issue is when states have to acknowledge those funds received in a
timely manner but it is not happening. Scott explained that the actual transaction is done by the
Bank and if there is a problem there they are quickly identified and he is notified by the bank and
he gets ahold of the State.

Scott Morris moved that the need to have the States acknowledge the receipt of the Depository
Distributions funds be removed from the depository function, seconded by Adam Anderson, motion

An e-mail will go out when the system has been updated to remove this requirement it may take a few

States still have to acknowledge the funds received from Indiana.

Indiana System Subcommittee – Scott Morris – time was given over to Sandy Bowling to give a report
on the System. The team has finally been created to work on the UCR stuff all the time. The team
did a lot of testing with the upload and downloads with the cloud environment. Also offering an
online chat line and other enhancements (Exhibit E). Sandy will make sure there is a report
provided each month on the status.

Scott Morris reported that Jim Poe is no longer with Indiana. Scott and Dave will be heading to
Indiana to test some of the enhancements that have been completed.

Dave Lazarides said one of the things they are trying to do is to accommodate more web browsers.
The team we have with Indiana is working really well.

Scott Morris brought of the fact that with the changes in Indiana that our MOU expires in about 21
months and if something was to happen and Indiana not renew the MOU or if they exercise the 90 out
clause, the Board does not have a Plan B or contingency plan with that in mind Scott recommended
that the Board develop a plan b by first developing a design document.

Scott Morris moved that the Board direct Dave Lazarides to come back to the Board next month with a
list of resources and a proposal to develop a design document relative to a new registration
system, seconded by Adam Anderson, motion passed.

Indiana Department of Revenue – Sandy Bowling – reported on some of the statistics of what they do. Sandy said she wrote 1,189 IT remedy tickets from 2015 through 2016 (Exhibit F).
Sandy recommended that each state go into the registration System and pull a report that show’s how
many registrations that are processed in house versus online.

Avelino Gutierrez moved that the Board authorize payment to the Indiana Department of Revenue in
the amount of $40,242.60, for the postage and mailing of the 2017 notices and the delinquent
notices for 2016, seconded by Adam Anderson, motion passed (Exhibit G).

Sandy Bowling – a few months back Len Shenk from Ohio took on the task of creating a database for
the motions voted upon and she asked if Tina could post it on the website. Avelino mentioned that
this would be one of the tasks the administrator will take on also to keep up to date.

Sandy Bowling asked for clarification that if a company should have paid the 2015 registration fees
and did not, should they be getting citations now that the system has shut down the 2015
registration year?

Avelino Gutierrez moved that the Board recommends to the States that citations should only be
issued by the states for the current registration year and the prior year, seconded by Robert
Pitcher, motion passed.

Industry Advisory Subcommittee – Bob Pitcher – The subcommittee has reviewed the topic of the fee
adjustment that would be taking into account the excess fees collected in 2016 and the projected
for 2017 along with the unspent administrative fees (still to be determined and would have to wait
until 2019 for the adjustment). Another item discussed was the audits of the motor carriers and the
states, it seems to be well in hand and whether the states are actually doing the audits is another topic since most have not bothered to turn in their report. Also  discussed the UCR Q & A, the Indiana Registration System and the dispute resolution.

Revenue and Fees Subcommittee – Larry Herold – Reported that before we can properly set fees we
need to have an operating budget. Dave Lazarides reported on the operating budget (Exhibit H).

Robert Pitcher mentioned that he presumed that some of the line items such as the consulting that
could possibly be put into the RFP. Dave and Scott agreed that that could be a possibility and we
will have to wait and see.

Avelino Gutierrez brought the fact that this budget did not include a reserve fund.

Larry Herold moved that the Board approve this per forma operating budget as an interim budget for
calendar year 2017, seconded by Scott Morris, motion passed.

Larry Herold then brought up the discussion about a reserve fund, especially if something was to
change in our relationship with Indiana (not that we want any change). No decision taken at this
time on how much the reserve should be.

Requests for Proposals – Scott Morris – reported on the three responses that had been received on
the RFI’s. These responses were used to help formulate the Request for Proposal (Exhibit I). Scott
asked that the Board members review the RFP document and if there is anything that needs to be
changed let him know but be specific as to what you want it to say. The target date to send out the
RFP is March 1st, 2017, but if possible to release it sooner. Due date for responses March 31st,
2017. Review and then hold an in-person interview for finalists on April 27th and then the Board
make a decision on April 28th on who to award the contract to.

Rick Wood will check to see if the review of the RFP’s needs to be a closed session.

Scott Morris moved that Board allow the release of the RFP upon approval of the taskforce (Scott
Morris, Avelino Gutierrez, Rick Schweitzer, Adam Anderson), seconded by Larry Herold, motion

Dispute Resolution Subcommittee – Tina Thurman – reviewed the draft copy of the Dispute Resolution
Procedure and asked that the Board Members review the document and report back to her and Robert
Pitcher on any suggestion by February 28th (Exhibit J).

Avelino Gutierrez gave a special thanks to Robert Pitcher for his help in drafting the procedure.

Administrative Fee’s Subcommittee – Elizabeth Leaman – tabled the website development until the
Administrator has been chosen and that the go to meeting is due up for renewal and will look at the
pricing but this too may be part of the Administrators duties.

Depository Subcommittee – Scott Morris – reviewed the preliminary Schedule of Operating Fund
Activity (Exhibit K). Scott gave some preliminary numbers for the registration totals for 2015
($112,725,023), 2016 ($116,653, 609), 2017 ($106,583,045). Scott then reviewed his
Subcommittee Budget (Exhibit L).

Scott Morris moved that the Board approve the operating budget for the Depository Subcommittee of
$135,000, seconded by Elizabeth Leahman, motion passed.

Scott looked into bringing on a temporary employee to help out with the functions. However he found
out he could not bring someone into the office space there. He did find an office space to rent and
he proposed that he could bring on a temporary office assistant to help with depository functions
and asked for authorization to enter the agreement for 6 months. This space can also be used during
the transition with the Administrator.

Scott Morris move that the Board authorize him to be able to enter into an agreement with Kelly
Services for 6 months to provide an administrative assistant and with Regis for a 6 month lease for
office space, seconded by Adam Anderson, motion passed.

Scott Morris welcomed Carol Fallin to the Depository Subcommittee.

Scott Morris moved that the Board authorize that Carol Fallin be added to the list of signatories
at the Bank of North Dakota, seconded by Mike Hoeme.

Scott Morris moved that he be allowed to open a new savings account for the 2017 registration and
another account for excess funds, seconded by Woody Chambers, motion passed.

Old/New Matters:

Avelino Gutierrez reviewed the invoice from NCSTS for the UCR’s portion of bill for the San Diego,
in the amount of 3,466.33 for food meeting room and av costs.

Avelino Gutierrez moved to reimburse NCSTS in the amount of $3,466.33, seconded by Carol Fallin,
motion passed.

Sandy Bowling brought the issue with the Student Bus Transportation for Nebraska and Mike Hoeme
responded that Nebraska will receive a letter from Avelino Gutierrez confirming Nebraska’s stance
on the audit.

Future Board Meetings:

March 14th, 2017 12:00 PM EDT
April 28th, 2017 27th, 28th in Atlanta Georgia May 25th, 2017 12:00 PM EDT
June 3rd thru 7th, 2017, Board Meeting on June 7th, 2017 9:00 AM EDT (Santa Fe, NM)

Minutes approved by the UCR Board on March 14th, 2017 . Adam Anderson,
UCR Board Member/Secretary

Exhibit A – 2018/2019 Fee Recommendation to FMCSA Exhibit B – Meeting Agenda
Exhibit C – December 2016 Board Meeting Minutes
Exhibit D – UCRA Q & A Suggested Revisions Exhibit E – UCR Summary Enhancements Exhibit F – Stats
for 2017
Exhibit G – Invoice for Indiana Mail Outs Exhibit H – Budget Outline
Exhibit I – UCRA RFP Draft
Exhibit J – Draft UCR DR Procedures
Exhibit K – Schedule of Operating Fund Activity