DELAWARE RIVER AND BAY AUTHORITY. BUDGET & FINANCE COMMITTEE MEETING Tuesday, April 21, 2015 Delaware Memorial Bridge Complex New Castle, Delaware

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DELAWARE RIVER AND BAY AUTHORITY BUDGET & FINANCE COMMITTEE MEETING Tuesday, April 21, 2015 Delaware Memorial Bridge Complex New Castle, Delaware A public meeting of The Delaware River and Bay Authority s Budget & Finance Committee Meeting was held on Tuesday, April 21, 2015, at the Delaware Memorial Bridge Complex, New Castle, Delaware. Commissioners from Delaware PRESENT Committee Chair Downes Commissioner Murphy, Committee Member Commissioner Carey Commissioner Lathem Chairperson Lowe Commissioners from New Jersey Committee Vice-Chair Wilson Commissioner Dorn Vice-Chairperson Hogan Legal Counsel Mike Houghton - DE Governors Representatives Amy Herbold - NJ Staff Scott Green Frank Minor Victor Ferzetti Charlotte Crowell Vince Meconi Gerry Owens Joe Larotonda Michelle Hammel TJ Murray Edith Brako Travis Crawford Jim Salmon Steve Williams 1. Committee Chair Downes opened the Budget & Finance Committee meeting at approximately 9:08 a.m. The Deputy Executive Director (DED) reported that the public meeting of the Budget & Finance Committee had been duly noticed in accordance with the Authority s Freedom of Information Regulations, read the Statement of Notice, and called the roll.

2. Committee Chair Downes called for a motion to accept the Budget & Finance Committee Minutes from March 17, 2015. Commissioner Wilson made a motion, Commissioner Murphy seconded, and the Committee Minutes were accepted. 3. Resolutions: a. RESOLUTION 15-10 AUTHORIZING AUTHORITY EXPENDITURES PURSUANT TO RESOLUTION 01-84 FOR THE PERIOD, JANUARY 1, 2015 THROUGH DECEMBER 31, 2015 The Chief Financial Officer (CFO) presented the Over $25,000 List and noted one addition, US Foods. After discussion Commissioner Wilson made a motion, Commissioner Murphy seconded, and the Committee recommended forwarding the revised Resolution to the full Board for approval. The Resolution will be presented to the full Board for consideration at the April meeting later today. b. RESOLUTION 15-11 - AUTHORIZES AN AGREEMENT BETWEEN THE DELAWARE RIVER AND BAY AUTHORITY AND USI INSURANCE SERVICES, LLC TO PROVIDE EMPLOYEE BENEFITS BROKERAGE AND CONSULTING SERVICES TO THE DELAWARE RIVER AND BAY AUTHORITY The CFO presented the Resolution and reported that an RFP had been conducted, five (5) proposals were received and evaluated, and oral interviews conducted with the three (3) shortlisted firms. USI Insurance Services, LLC was identified and selected to provide Employee Benefits Brokerage and Consulting Services for a three (3) year term with an option for a one (1) year extension at an annual cost of $120,000. Authority Vice-Chair Hogan reported would not be supporting this Resolution because the Authority hired additional full-time staff in human resources, but continues to utilize consultants. The Committee questioned the appearance of layering. The Chief Human Resource Officer (CHRO) reported that her staff of a Pension & Benefits Administrator and Assistant handle day to day benefits and pension related matters; however, both Human Resources and Procurement Department staff do not have the expertise in negotiating contracts or have the same access to data as the Benefit Broker firms. The CFO reported he considers these services as a specialty business and the efficiencies are not there to have staff handle these specialties. His recommendation is the use of a broker for these services. The Committee discussed, with Commissioner Downes stressing the need for someone to maneuver through the guidelines of the Affordable Care Act. Commissioner Murphy noted that she previously was not in support of continued use of a consultant at first; however, with additional input from the CHRO changed her position and also supported switching vendors. After discussion, Commissioner Murphy made a motion, Commissioner Wilson seconded, and the Committee recommended forwarding the Resolution to the full Board for approval. The Resolution will be presented to the full Board for consideration at the April meeting later today. 4. Discussion Items:

a. First Quarter Traffic & Revenue Review The CFO provided and reviewed 1 st Quarter 2015 Traffic & Revenue Comparison. The CFO reported both Bridge Revenue and Traffic have increased 3.96% and 4.75% over 1 st Quarter 2014, partially related to the bad weather experienced in 2014. CMLF Traffic and Revenue decreased, was affected by frozen conditions on the Delaware Bay forcing shut downs on three (3) days in 2015. The CFO also reminded the Committee that fares were cut in 2014 for the off-season to stimulate utilization. Staff continues to monitor and evaluate opportunities to stimulate traffic and revenue. Food & Retail and Airports Revenues have increased for the period. The CFO reported that late 2 nd Quarter comparison should begin to show the effects of last year s I-495 closure; however, he is expecting an overall moderate traffic growth of 2%. b. Contract Extension of Actuarial Services Agreement The CFO reported the current contract with Boomershine was for an initial term of three (3) years with an option for a one (1) year extension. The CFO recommended exercising the option to extend the contract through the end of 2016. An RFP for Actuarial Services will be conducted during the 3 rd quarter of 2016. The Committee did not object to the CFO s recommendation to move forward as presented. 5. Miscellaneous: None. 6. With no further business to discuss, Commissioner Wilson made a motion to adjourn and the Budget & Finance Committee adjourned at 9:36 a.m.

DELAWARE RIVER AND BAY AUTHORITY ECONOMIC DEVELOPMENT COMMITTEE MEETING Tuesday, April 21, 2015 Delaware Memorial Bridge Complex New Castle, Delaware A public meeting of The Delaware River and Bay Authority s Economic Development Committee was held on Tuesday, April 21, 2015, at the Delaware Memorial Bridge Complex, New Castle, Delaware. Commissioners from Delaware PRESENT Commissioner Carey, Committee Member Commissioner Downes, Committee Member Commissioner Lathem Commissioner Murphy Chairperson Lowe Commissioners from New Jersey Committee Chair Dorn Commissioner Wilson Vice-Chairperson Hogan Legal Counsel Mike Houghton - DE Governors Representatives Amy Herbold - NJ Staff Scott Green Frank Minor Victor Ferzetti Vince Meconi Charlotte Crowell Joe Larotonda Travis Crawford Michelle Hammel TJ Murray Edith Brako Jim Salmon Steve Williams 1. Committee Chair Dorn welcomed the Economic Development Committee and opened the meeting at approximately 9:36 a.m. The Deputy Executive Director (DED) reported that the public meeting of the Economic Development Committee had been duly noticed in accordance with the Authority s Freedom of Information Regulations, read the Statement of Notice, and called the roll.

2. Committee Chair Dorn called for a motion to accept the Economic Development Committee Minutes from March 17, 2015. Commissioner Downes made a motion, Commissioner Carey seconded, and the Committee Minutes were accepted. 3. Action Items: a. RESOLUTION 15-15 LEASE AGREEMENT BETWEEN THE DELAWARE RIVER AND BAY AUTHORITY AND MED-TRANS CORP The DED presented the Resolution and reviewed the terms of the Agreement. After discussion, Commissioner Carey made a motion, Commissioner Downes seconded, and the Economic Development Committee unanimously recommended forwarding the Resolution to the full Board for consideration at the April meeting later today. b. RESOLUTION 15-16 LEASE AMENDMENT BETWEEN THE DELAWARE RIVER AND BAY AUTHORITY AND ILG AVCENTER INC. D/B/A ATLANTIC AVIATION CORP. The DED presented the Resolution and reviewed the terms of the Amendment. After discussion, Commissioner Carey made a motion, Commissioner Downes seconded, and the Economic Development Committee unanimously recommended forwarding the Resolution to the full Board for consideration at the April meeting later today. c. RESOLUTION 15-17 LEASE AMENDMENT BETWEEN THE DELAWARE RIVER AND BAY AUTHORITY AND BROKERAGE AND MANAGEMENT CORPORATION The DED presented the Resolution and reviewed the terms of the Amendment. After discussion, Commissioner Downes made a motion, Commissioner Carey seconded, and the Economic Development Committee unanimously recommended forwarding the Resolution to the full Board for consideration at the April meeting later today. d. RESOLUTION 15-18 LEASE TERMINATION AGREEMENT BETWEEN THE DELAWARE RIVER AND BAY AUTHORITY AND DALLAS AIRMOTIVE, INC. The DED presented the Resolution and reviewed the terms of the Termination Agreement. After discussion, Commissioner Carey made a motion, Commissioner Downes seconded, and the Economic Development Committee unanimously recommended forwarding the Resolution to the full Board for consideration at the April meeting later today. 4. Open Discussion/Other Issues: None. 5. With no further business to discuss, a motion to adjourn was made by Commissioner Downes, and the Economic Development Committee adjourned at 9:50 a.m.

DELAWARE RIVER AND BAY AUTHORITY PERSONNEL COMMITTEE MEETING Tuesday, April 21, 2015 Delaware Memorial Bridge Complex New Castle, Delaware A public meeting of The Delaware River and Bay Authority s Personnel Committee was held on Tuesday, April 21, 2015, at the Delaware Memorial Bridge Complex, New Castle, Delaware. Commissioners from Delaware PRESENT Committee Chair Lathem Commissioner Carey, Committee Member Commissioner Murphy, Committee Member Commissioner Downes Chairperson Lowe Commissioners from New Jersey Committee Vice-Chair Dorn Commissioner Wilson Vice-Chairperson Hogan Legal Counsel Mike Houghton - DE Governors Representatives Amy Herbold - NJ Staff Scott Green Frank Minor Victor Ferzetti Charlotte Crowell Vince Meconi Gerry Owens Michelle Hammel 1. Committee Chair Lathem welcomed the Personnel Committee and opened the meeting at 9:50 a.m. The Deputy Executive Director reported that the public meeting of the Personnel Committee had been duly noticed in accordance with the Authority s Freedom of Information Regulations, read the Statement of Notice, and called the roll. 2. Committee Chair Lathem called for a motion to accept the Personnel Committee Minutes from March 17, 2015. Commissioner Dorn made a motion, Commissioner Murphy seconded, and the Committee Minutes were accepted. 3. Committee Chair Lathem requested an Executive Session, closed to the public to discuss matters of a confidential nature. A motion was made by Commissioner Dorn, seconded by Commissioner Murphy, and the Session was closed.

The following matters of a confidential nature were discussed. LABOR NEGOTIATIONS PERSONNEL MATTERS With no further business to discuss in Executive Session, a motion to open the meeting to the public was made by Commissioner Murphy, seconded by Commissioner Lathem, and the Session was opened to the public. 4. With no further business to discuss, Commissioner Murphy made a motion to adjourn, and the Personnel Committee adjourned at 10:55 a.m.

DELAWARE RIVER AND BAY AUTHORITY PROJECTS COMMITTEE MEETING Tuesday, April 21, 2015 Delaware Memorial Bridge Complex New Castle, Delaware A public meeting of The Delaware River and Bay Authority s Projects Committee was held on Tuesday, April 21, 2015, at the Delaware Memorial Bridge Complex, New Castle, Delaware. Commissioners from Delaware PRESENT Committee Chair Murphy Commissioner Lathem, Committee Member Commissioner Carey Commissioner Downes Chairperson Lowe Commissioners from New Jersey Commissioner Wilson, Committee Member Commissioner Dorn Vice-Chairperson Hogan Legal Counsel Mike Houghton - DE Governors Representatives Amy Herbold NJ Staff Scott Green Frank Minor Victor Ferzetti Vince Meconi Charlotte Crowell Gerry Owens Joe Larotonda Jim Salmon TJ Murray Edith Brako Michelle Hammel Steve Williams 7. Committee Chair Murphy opened the Projects Committee meeting at approximately 10:55 a.m. The Deputy Executive Director reported that the public meeting of the Projects Committee had been duly noticed in accordance with the Authority s Freedom of Information Regulations and reported there was a quorum. 8. Committee Chair Murphy called for a motion to accept the Projects Committee Minutes from March 17, 2015. Commissioner Dorn made a motion, Commissioner Wilson seconded,

and the Committee Minutes were accepted. Those in attendance were provided an informational package consisting of an agenda, two (2) Resolutions, and one (1) monthly contractor payment charts (through March). 9. Resolutions: a. RESOLUTION 15-12 AUTHORIZES AND ADOPTS A PREVAILING WAGE POLICY FOR ALL AUTHORITY-FUNDED CAPITAL PROJECTS IN EXCESS OF TWO MILLION DOLLARS The Chief Operations Officer (COO) presented the Resolution. This resolution permanently establishes the use of Prevailing Wage in Capital Projects exceeding $2 million dollars. Since 2004, the Authority adopted prevailing wage policies for one, two and three-year trial periods which has impacted twenty-six (26) capital projects over the twelve years. After discussion, a motion was made by Commissioner Latham, seconded by Commissioner Wilson and the Projects Committee recommended forwarding the Resolution to the full Board for approval. The Resolution will be presented to the full Board at the April meeting later today b. RESOLUTION 15-13 DECLARATION OF RESTRICTION TO CREATE A CONSERVATION AREA The COO presented the Resolution. The COO reported that, during the 1984 construction of ferry slips 5 & 6, the Authority did not obtain the proper permitting and has applied for an After the Fact permit from the Army Corps of Engineers. To grant the permit, the Corps requires remediation, at an approximate cost of $225,000, and on-site compensatory mitigation. The mitigation consists of the creation of 6/10 of an acre of new wetlands at a cost of approximately $250,000. The purpose of the creation of these wetlands is to make amends for disturbed shore line. The area proposed is not useable to the Authority and will not impact Authority operations. After discussion, a motion was made by Commissioner Latham, seconded by Commissioner Wilson. The Committee recommended moving forward with creation on the new wetlands, and the Projects Committee recommended forwarding the Resolution to the full Board for approval. The Resolution will be presented to the full Board at the April meeting later today 10. Bid Opening: None. 11. Contract Close-Out Actions: None. 12. Contractor Payment (through March): The Chief Operations Officer (COO) reviewed for the Committee the monthly construction contractor payments to be made for the work completed through March. 13. Miscellaneous Items/Updates: None

14. Open Discussion/Other Issues: None 15. With no further business to discuss, Commissioner Latham made a motion to adjourn, and the Projects Committee adjourned at 11:10 a.m.