Texas Department of Transportation Commission Meeting

Dewitt C. Greer Building
125 East 11th Street
Austin, Texas

9:00 a.m. Thursday, March 25, 2004

COMMISSION MEMBERS:

RIC WILLIAMSON, CHAIRMAN
JOHN W. JOHNSON
ROBERT L. NICHOLS
HOPE ANDRADE
TED HOUGHTON, JR.

STAFF:

MICHAEL W. BEHRENS, Executive Director
STEVE SIMMONS, Deputy Executive Director
RICHARD MONROE, General Counsel
DEE HERNANDEZ, Chief Minute Clerk

P R O C E E D I N G S

MR. WILLIAMSON: Good morning. For the record, it's 9:13 a.m., and I would like to call this meeting of the Texas Transportation Commission to order. Welcome to our March meeting, everyone, and particularly our friends from the Brazos Valley area, who have driven our excellent state highways to get here.

(General laughter.)

MR. WILLIAMSON: And we appreciate your entertaining us and our staff last night; that was very nice of you.

It is the tradition of the commission to set the chair in the center of the dais, and as you can see, we've elected to change that tradition this year, and seat the chair next to the executive director where he's not allowed to go off on his own and make deals that the chair doesn't know about.

(General laughter.)

MR. WILLIAMSON: It's also the tradition of the commission to offer opening remarks, and the chair normally leads, but coming from a legislative background, Mr. Brown, I've decided that the chair will make the last remarks, as is the case in the legislature. So I will ask, beginning on my far right, Hope, you're first.

MS. ANDRADE: Good morning, Mr. Chairman, and I wonder if there's a reason that you put me at the end, and it's kind of lonely over here.

MR. WILLIAMSON: It was so you could watch Robert.

(General laughter.)

MS. ANDRADE: But it's great to be here this morning. I'd like to thank all of you that are here with us this morning and glad that you arrived safely. I'm proud to say that I arrived this morning on IH-35, and the traffic continues the same; it took me longer to get across Austin than from San Antonio to Austin. But I'm glad that I'm here safely and I'm excited about what we have before us and hope that we make the right decisions for the state of Texas.

MR. WILLIAMSON: Very good. Robert.

MR. NICHOLS: For the record, although he said we elected to have these seating positions, we never voted on it.

(General laughter.)

MR. NICHOLS: I would just like to welcome everyone here. I know a lot of you took the time out of your day to be here, to present the views of your community and the dreams and your wishes, and we appreciate that. Look forward to the presentation. Enjoyed the reception last night, thought that was very, very good. And when you leave today, drive careful. Thank you.

MR. HOUGHTON: I used to sit next to Mr. Behrens, and the deals that the Chair is talking about, well, El Paso County now has a high-speed rail system that the Chairman does not know about yet but soon will.

(General laughter.)

MR. HOUGHTON: And driving from the Brazos Valley to Austin, I didn't get to do that, but I've driven that road many, many a time, and is it an eight-mile stretch that's two lane? I understand that your senator is making sure that that will get taken care of in short order. But welcome to all of you from the Brazos Valley.

MR. JOHNSON: I guess without being introduced, I'm next. I would like to reiterate what my colleagues have said. Appreciate the hospitality of the Brazos Valley group. I apologize again for my late arrival last night, but I was overwhelmed with other stuff that I needed to do in order to have a clear conscience to leave the office. We're appreciative of what you do for your communities and we're appreciative of what you do for this great state. We're glad you're here and we wish you a safe journey home.

MR. WILLIAMSON: Thank you, members.

Let's all together now take out our cell phones and our personal communication devices and put them on silent -- I'll be the first one -- because the commission members get very irritated when somebody's phone goes off and we're trying to listen to people. Very good. I hear all kinds of beeps out there. Thank you.

And I also welcome each of you to our commission meeting. Thank you for attending. We're particularly appreciative any time a member of the legislature takes time to be with us, and we appreciate your presence, and Mr. Ellis, we appreciate your presence as well.

Is there anyone else -- my eyesight is poor -- is there anyone else in the audience that might be a sitting member of the legislature?

(No response.)

MR. WILLIAMSON: Well, we appreciate the service that you give the state of Texas for not a whole lot of money and a whole lot of pain, and I guess a whole lot of pain here in the next few weeks, it sounds like.

Please note for the record that public notice of the meeting, containing all items on the agenda, was filed with the Office of Secretary of State at 1:06 p.m. on March 16, 2004.

If you intend to comment on an agenda item, we ask that you go to the table in the lobby and complete the appropriate card to comment on an agenda item which is the yellow card. If you intend to comment on an agenda item, we appreciate your filling out the card. And if you wish to comment in the open comment period, there's a blue card -- we don't have any up here because we discourage comments in the open period -- no, that's not true.

(General laughter.)

MR. WILLIAMSON: There's a blue card in the back and we ask that you fill out that blue card and turn it in. And in any event, regardless of the color of the card, if you intend to comment about an agenda item or comment during the open comment section, Former Engineer Director Oliver, please limit your remarks to three minutes or less, because normally our meetings last a long time and we have a lot of business to take up today.

We do have a delegation from the Brazos Valley Council of Governments appearing before the commission today, and this will be the third change in commission habit that we're going to play with. We normally have our delegations at the front-end of the meetings; we are going to begin to put our delegations where we think you fit appropriately in our agenda, and as it turns out, we have some matters to take up of business today that might affect your area and we think you might benefit from listening to how we approach our problems. It won't be too much of a delay but it will give you a chance, sort of a sense of how we problem-solve at the commission level.

Before we go to the agenda item -- well, first let me get the minutes from the last commission meeting approved. Do I have a motion?

MR. JOHNSON: So moved.

MR. WILLIAMSON: Second?

MR. HOUGHTON: Second.

MR. WILLIAMSON: I have a motion and a second. All in favor, signify by saying aye.

(A chorus of ayes.)

MR. WILLIAMSON: All opposed, no.

(No response.)

MR. WILLIAMSON: Motion carries.

Before I go to the next agenda item, I'd like to take an opportunity to express the commission's and department's appreciation to one of our very most dedicated employees of 33 years of service to the department.

Joe, are you out there? I wish you'd walk up here a second, son; I'd like to talk to you.

All of us have something to say and in this case the Chair will go first. The commission wishes to thank you for all of your service and hard work over 33 years. We who spend most of our time, either at the commission level or at the department level, on transportation matters in the state know that the men and women who rise to the district engineer and division director level are almost daily given the opportunity to leave public service and go to work for the private sector at a good deal more money, and those who choose to say no to that and stay with the department should be among the highest honored employees we have.

And this is something that we'll be talking to the legislature about in the next nine months: the difficulty of recognizing men and women for their skill set, elevating them in the organization, and then watching them have to resist a doubling in pay to stay with the state. So men and women who do that are deserving of the highest honor, and we deeply appreciate the 33 years you've given to the department. And we hope that you'll stick around, at least on a volunteer basis, and give us the benefit of some of your wisdom and your accumulated years.

MR. WILLIAMSON: Hope?

MS. ANDRADE: Sir, thank you so much for the past 33 years. I'm sorry I didn't get a chance to work with you, but I hope you enjoy your retirement. Thank you for everything you did for TxDOT.

MR. NELSON: Thank you.

MR. NICHOLS: I'd also like to say thank you very much for the dedication that you have given to the state. Thirty-three years is a long time, and I know most engineers who get into engineering is because they like to build things, and I know that over the years you've had the opportunity to touch a lot of projects around the state, influence their development, and I know you can drive around and look and see a lot of things that you've built and had a part of, and I know there's got to be a lot of personal satisfaction in that. And we want you to know that we appreciate what you've done. Thank you.

MR. NELSON: Thank you.

MR. HOUGHTON: It's a rarity in today's environment that somebody stays with one institution, whether in the public or private sector, for 33 years, ten years, five years. People roll and it's like professional athletes, a what's-in-it-for-me type attitude. And the attitude you've displayed here, staying here and resisting what the Chairman has talked about, Corporate America, is commendable and I salute you, and congratulations.

MR. NELSON: Thank you, sir.

MR. JOHNSON: Joe, on a personal note, I want to thank you for your hospitality. I was a lost commissioner from Houston that wandered into Wichita Falls for a day and a half, and your hospitality and your explanation of what was going on in the district was very meaningful and helpful for me, and I deeply appreciate that.

On a larger note, I'm reminded of the fiber and fabric which make up the TxDOT family, and I think you typify and exemplify that in so many ways. You know, 33 years of service, as Ted said, is somewhat incredible in this day and age, and yet many of your colleagues in TxDOT do that and I think it speaks volumes about this agency, but this agency is just a byproduct of the people that comprise it, and you stand at the top of the list. And thanks so much for all that you've done across the width and depth of this state. I personally am going to miss you and I know that there's going to be a void briefly, but we have others that will step in behind you that you have trained. So I'm confident of the future but I thank you for where you've gotten us and I will miss you.

MR. NELSON: Thank you, sir.

MR. WILLIAMSON: Mike, would you like to make a comment?

MR. BEHRENS: Yes, I would.

I would first, Joe, like to read this resolution on behalf of the commission. It says:

"Whereas, the Texas Transportation Commission takes great pride in recognizing Joe H. Nelson III, Professional Engineer, as an outstanding dedicated transportation engineer who has served the Texas Department of Transportation for more than three decades, most recently as the Wichita Falls district engineer;

"And whereas, Mr. Nelson earned his civil engineering degree in 1970 from the University of Texas at Austin and is licensed as a professional engineer in 1974;

"And whereas, Mr. Nelson has devoted 33 years of his life to public service by holding various positions, including: engineering assistant and design engineer in the Design Division; project engineer in the Dallas District; area engineer in Corsicana; and deputy district engineer in the Waco District;

"And whereas, Mr. Nelson became the district engineer of the Wichita Falls District in 1998 and was responsible for all transportation-related projects and programs in the nine-county district;

"And whereas, Mr. Nelson has devoted his professional life to improving transportation safety and mobility and has worked to improve the quality of life for all Texans;

"Now, therefore, be it resolved that the Texas Transportation Commission, on the occasion of his retirement from service with the State of Texas, hereby recognizes and thanks Joe H. Nelson III, P.E., for his professional career achievements and loyal service on behalf of Texas and its citizens.

"Presented by the Texas Transportation Commission on this the 25th day of March 2004."

And Joe, as I read this -- and I think people need to recognize -- you've served several positions with the Texas Highway Department, the State Department of Highways and Public Transportation, and now TxDOT, and you did it in a lot of places. You served here in Austin and then you went to the Dallas District and served there in a couple of capacities; then you took the responsibility when you were asked to go to the Waco District and assume that role of deputy district engineer; and then when you were asked to go to Wichita Falls and to lead that district, you did that also. When I see that, it tells me, and it should tell others, that Joe was willing to serve wherever needed within the department, and that's very important. When you move from one place to the other, you can share the knowledge that you learned in some areas and then bring that to others.

Commissioner Johnson mentioned about training other people, and you have definitely done that because we have all seen people that you have worked with in those various capacities and also seen those people move up into leadership roles in the department, so we thank you for that and congratulate you on your retirement and wish you well.

MR. NELSON: Thank you very much.

MR. WILLIAMSON: Joe, do you have anything you want to offer to the commission?

MR. NELSON: Yes, sir, I do. First, I didn't realize that the commission would kind of give a breakdown of where all I've been because some folks have thought I just couldn't hold a job that long, so I appreciate you putting it in perspective.

(General laughter.)

MR. NELSON: It has been an honor for me to be an employee of TxDOT, truly an honor. No matter where I've been, I think I've been impressed by the quality of people that we've got, and every time that there's been a major change in our administration or organization, I think I've been surprised at first that folks were ready to step up to the plate and were ready to take responsibility, but I think in the last few years I've recognized that as a trait that we have of all of our people. We have very dedicated people who do their best to do as you would have us to do, primarily, though, to keep the public safe and to have good highway facilities.

We thank you for the part you all play, and the people who come to Austin to serve are actually sacrificing quite a lot, and we appreciate those sacrifices too. So I think our organization is outstanding from the top to the bottom, it's one of the best, if not the best, and I just wish the legislature would recognize the quality that we have a little more than they do.

But other than that, sir, I thank you very much for the opportunity to speak.

MR. BEHRENS: And Joe, you couldn't have done it without the support of your wife Barbara, and I know Barbara is sitting back there. Barbara, why don't you stand up so we can recognize you also.

MR. WILLIAMSON: Do you want to come up here and receive this with him?

(Applause.)

MR. WILLIAMSON: On behalf of the administration, 14,000-plus employees, and on behalf of the commission, I would like to present the resolution that Mike read, and we do appreciate very much your service.

(Pause for photos.)

MR. WILLIAMSON: So thank you.

(Applause.)

MR. WILLIAMSON: The second item on the agenda is a presentation of an award by the National Business Aviation Association in recognition of support and success of general aviation in Texas. And at this time I'd like to recognize Paul Smith. Paul is the regional representative of the National Business Aviation Association. Paul?

MR. SMITH: Mr. Chairman, lady and gentlemen. On behalf of the National Business Aviation Association, it's a real pleasure for me to be here with you today and to represent our over 7,500 corporations in the U.S. who fly more than 9,500 aircraft. Those corporations, as you may know, generate about half the gross national product in the country, 5.2-something trillion dollars.

On behalf of those organizations, I'd like to present this resolution, and if I may read it.

MR. WILLIAMSON: Please.

MR. SMITH: The National Business Aviation Association Resolution.

"Whereas the state of Texas, being the largest state in the continental United States, is dependent upon a statewide aviation system to provide critical air transportation to its citizens and to ensure continued growth and economic development;

"And whereas, the National Business Aviation Association represents business and corporate aviation, including over 90 percent of the Fortune 500 companies;

"And whereas, NBAA has over 700 member companies in the State of Texas who employ over 2.2 million people;

"And whereas, an adequate statewide system of airport facilities is vital to meeting daily transportation needs of the business traveler;

"And whereas, the Texas Transportation Commission, through the Department of Transportation, is primarily responsible for improvement, development and maintenance of the general aviation segment of the state's aviation system;

"And whereas, the commission and the department, upon being assigned this responsibility by the Texas Legislature in 1991, found the statewide airport system in Texas to be inadequate, particularly in the rural areas of the state;

"And whereas, the department administers an Aviation Capital Improvement Program of approximately $60 million and an Airport Maintenance Program of $3 million annually;

"And whereas, the department provides assistance to a system of 300 airports in Texas that contribute $6 billion to the Texas economy;

"And whereas, through the commitment and efforts of the commission and the department, the statewide airport system in Texas has been substantially improved during the past 14 years;

"Now, therefore, be it resolved this 25th day of March 2004, the National Business Aviation Association does hereby express appreciation and gratitude to the Texas Transportation Commission and the Texas Department of Transportation for outstanding leadership in statewide airport system development and support of business aviation within the state of Texas."

That's signed by my boss, Shelly A. Longmuir, the NBAA president and CEO.

If I might just add one comment. I think you all are extremely fortunate as well to have the director of your aviation department, Mr. Dave Fulton. Thank you.

MR. WILLIAMSON: Thank you, and we appreciate the recognition. We try to be as best as we can in all modes of transportation, aviation included.

(Pause for presentation and photos.)

MR. WILLIAMSON: Okay, Mike, I'm going to turn the agenda over to you to handle the public transit, and then we're going to jump back on to another matter, if you don't mind.

MR. BEHRENS: We'll go ahead and start our regular agenda which will be agenda item 3 which is our routine aviation minute order for the month of March, and Dave will present that.

And Dave, make sure you pass on to all your staff our congratulations for what you and your staff have done in the aviation endeavors in Texas.

MR. FULTON: Thank you, Mike. I will do that, and there's no question we couldn't do it without administration and commission support.

For the record, my name is David Fulton; I'm the director of the TxDOT Aviation Division.

This minute order contains a request for grant funding approval for eight airport improvement projects. The total estimated cost of all requests, as shown in Exhibit A, is approximately $8.3 million, approximately $5.1- federal, $1.9- state, and $1.2 million in local funding.

A public hearing was held on March 8 of this year; no comments were received. We would recommend approval of this minute order.

MR. WILLIAMSON: Members, are there questions?

MR. JOHNSON: I have a question.

MR. WILLIAMSON: Please.

MR. JOHNSON: Dave, first of all, congratulations on your leadership. It's a wonderful award for the state and the department.

Is your alma mater's basketball team in the Sweet Sixteen?

MR. FULTON: I'm glad you brought that up. I'm keeping my fingers crossed. Yes, that's absolutely correct. I believe at 6:15 tonight.

MR. JOHNSON: I sure hope they win.

MR. WILLIAMSON: Now, whoa. We're not biting off on that one. Dave, is it possible that you have an alma mater that's shared with one of the commission members?

MR. FULTON: As well as, I believe, with one of the governor's children who is attending school there.

MR. WILLIAMSON: You know, I smelled that rat right off the bat. Now, let's see, you didn't go to UT. Oh, Vanderbilt. I forgot.

(General laughter.)

MR. FULTON: Hopefully they will prevail.

MR. JOHNSON: I'm glad you remembered. That was my question.

MR. WILLIAMSON: Other questions for Dave?

(No response.)

MR. WILLIAMSON: Do I have a motion?

MR. JOHNSON: So moved.

MR. WILLIAMSON: Do I have a second?

MR. HOUGHTON: Second.

MR. WILLIAMSON: I have a motion and a second. All in favor, say aye.

(A chorus of ayes.)

MR. WILLIAMSON: All opposed?

(No response.)

MR. WILLIAMSON: Motion passes.

MR. FULTON: Thank you.

MR. BEHRENS: Agenda item 4 is our Public Transportation items for the month. We'll have two minute orders presented by Sue Bryant: one will be for distribution of 5311 funds for rural transportation, and the other will be for 5310 funds for transportation operators for the elderly and persons with disabilities. Sue?

MS. BRYANT: Good morning, commissioners, Mr. Behrens, Mr. Simmons. My name is Susan Bryant and I'm the Public Transportation director, and yes, I also have an alma mater that is in the Sweet Sixteen -- I just wanted to make sure that you all knew that, but they're not playing tonight.

MR. JOHNSON: Does one of the commission members share that alma mater, one or more?

MS. BRYANT: I believe so.

MR. WILLIAMSON: I think there are two of us.

MR. JOHNSON: Did you go to Vanderbilt?

MS. BRYANT: No, I'm sorry, I didn't.

(General laughter.)

MS. BRYANT: We have two minute orders for your consideration this morning and I do appreciate very much your consideration. They are both for the allocation of federal funds for extremely needed public transportation services in the state.

The first is for federal funding that is dedicated to rural public transportation. The funds have been allocated according to the current approved formula. In Exhibit A of the minute order, there are two columns: there is an available column and a total column. The available column funds is for the amount that Federal Transit has currently allocated. That allocation was made February 11. By having the two columns and by setting up the minute order to approve the total, this will allow the department to issue the remainder of the funds once Congress passes further appropriations.

Page 2 of the exhibit provides the information on how the total amount was derived to be allocated. There are some subtractions that are made, including a required amount for inner city bus -- that is by federal regulation. And the formula from which these allocations are derived are also included further on in the commission agenda today to be discussed, so the formula is a discussion item on the agenda. So I would be glad to answer any questions.

MR. WILLIAMSON: And I think, members, we're going to have an opportunity to fully discuss the formula allocation, as Sue said, later on, but certainly if you wish to ask questions about how these figures were arrived at, this would be the appropriate time to ask those questions. Agenda item 4(a), questions about 4(a)?

MR. NICHOLS: I don't have so much a question as a comment or confirmation. The public hearings and the PTAC evaluation for the new formula is for the fiscal year to come.

MS. BRYANT: Correct.

MR. NICHOLS: And this is, in effect, an allocation for the remainder of the existing fiscal year.

MS. BRYANT: That's basically correct. Yes, we're talking about changing the formula for the next fiscal year. That's correct.

MR. NICHOLS: And this basically fills out the balance of this year.

MS. BRYANT: That's correct.

MR. NICHOLS: That's the way I understood it.

MS. BRYANT: Thank you.

MR. WILLIAMSON: Other questions or comments about this?

MR. JOHNSON: Sue, the two columns, the left column, the Available Allocation for Fiscal Year 2004, is the funding that we've already received, and the right column is what we anticipate receiving.

MS. BRYANT: That's correct.

MR. JOHNSON: How does this total amount of money compare to Fiscal Year 2003 for this particular category?

MS. BRYANT: It's actually approximately the same. There's really no major difference; there may look like there's a difference because it does include some carry-forward funds and so that's where there is a bit of a difference.

MR. JOHNSON: And our expectation is that this category of funds will remain approximately the same in the next fiscal year '05 and as far out as we dare predict?

MS. BRYANT: That's a best guess. There is certainly a need for more. It's real difficult to predict right now. The best prediction is that it will remain largely the same, possibly with some increases.

MR. JOHNSON: Mr. Chairman, if I might -- and I see Coby Chase over here -- I wanted to emphasize one thing. This is all part of the reauthorization process, and I believe that out of committee yesterday in the House version of the reauthorization bill in Washington. And I mention that because this bill is very important to Texas. What came out of the Senate version left a lot of the items that are important to Texas out because I believe they were in a rush to pass the bill, and so I would urge you to have our Texas delegation and any contact that you can make in the Texas delegation in the House of Representatives, that all Texas get in lock step to support these issues that are important to Texas and transportation, not only transit but also the highway portion because there are a number of extremely important portions of the reauthorization bill that are non-financial that would mean a great deal to this department and to the state.

As the Chairman notes, we have intersections that are smart -- I have something called a smart key that supposedly my car knows when I'm getting close to it if I have my key. Well, you know, roads aren't smart enough to know who's driving on them, so regardless of your political affiliation, it's important to the state, and so I encourage everyone in the audience to encourage your elected representative in Washington to join with the Texas delegation. Most have, but we just need to emphasize that and remind them how important these parts of the House version are so that it can get to conference and they can be included in the final bill.

And I'm sorry for the discussion.

MR. WILLIAMSON: No. What are you talking about? Whatever, take all the time you want.

Any other commission member for a question or comment about this matter?

(No response.)

MR. WILLIAMSON: I have a few then, Sue.

First of all, one of the reasons we asked the Brazos Valley delegation to delay their presentation was specifically to hear this and a few other things because they are a large player in the rural public transit world. It would appear to me that we are making available to them $1.4 million.

MS. BRYANT: Actually, the total allocation, sir, would be $2.5 million.

MR. WILLIAMSON: But the $2.5- assumes a reauthorization level.

MS. BRYANT: That's correct. Currently it would be the $1.461776-.

MR. WILLIAMSON: So they know drop-dead certain they're going to be allocated the $1.4-.

MS. BRYANT: That's correct.

MR. WILLIAMSON: If House and Senate conference can't agree and we don't have an allocation for the fiscal year, they won't get the rest of it but they'll get the 1.4-.

MS. BRYANT: That's correct.

MR. WILLIAMSON: Now, Sue, tell me is it your understanding that the commission, or at least the previous commission before the two were added, feels very strongly that the allocation in the next fiscal year should be more focused on results and not process?

MS. BRYANT: That's definitely my understanding.

MR. WILLIAMSON: And do you think that the transit operators in the state understand that, and in particular this, one of the most important transit operators, Brazos?

MS. BRYANT: My understanding is that they also understand, but I would hope that that would be a question you might want to ask them.

MR. WILLIAMSON: And is it possible that sometimes in the communication between us and you and between you, and for example, Brazos Transit and between their board of directors and say Representative Brown or the county judge from Washington County, that maybe sometimes it kind of gets lost in translation and it's easier just to say: Well, those SOBs just didn't give us as much money as we asked for? Is it possible that happens?

MS. BRYANT: I would hope not.

MR. WILLIAMSON: But the truth is we are a results-based commission.

MS. BRYANT: Correct.

MR. WILLIAMSON: And not only public transit providers but highway contractors, engineers, bankers and everyone else we do business with, we are consistently telling them that we want to allocate the taxpayers' resources based on results, not process, not the past but the future. Right?

MS. BRYANT: Correct.

MR. WILLIAMSON: Do you think we got a message?

MS. BRYANT: I think so.

MR. WILLIAMSON: Let me ask you one other question about public transit. Is there any reason why we should really fear that that allocation will go down next year? I know we're always careful to not represent the brighter side of things, but the truth is is there any reason to expect the allocation won't be at least as much?

MS. BRYANT: Not that I'm aware of.

MR. WILLIAMSON: I appreciate that.

Let me also echo Mr. Johnson's comments. Judge, you know your congressperson far better than we do, and you probably know the two senior senators of the state of Texas. It is critically important for each of you in the audience today as soon as we're through to go send your congressperson and your two senators a letter, a telegram, an e-mail, whatever it takes, highlighting the tremendous importance of the non-cash changes in the law that the state has requested and that our delegation has advanced, Michael Burgess and Senator Cornyn, particularly.

It means hundreds of millions of dollars to our state at the expense of no other state, just simple changes in the law. For example, the Congress may well adopt a block grant pilot program allowing states to take their apportionment and instead of being forced to spend it on things that are not really emergency in order to get their full federal reimbursement, allowing us to go through a certification process where we go to the Federal Highway Administration and say: You know, Highway 6, sixteen people a year -- or whatever the number is -- are dying a year on Highway 6; this is a safety issue for us; instead of this road in Weatherford, we need to build Highway 6 right now and it's possible for us to be allowed that flexibility. That's just one of about 15 items that are really important to the state, and I just can't emphasize that enough.

Mr. Cornyn, Ms. Hutchison, and your congressperson need to hear these flexibility issues, these non-cash issues are really important to the state of Texas. Obviously we would like to have more funding, but as you know, our governor was an experienced legislator before he was a governor. He has been an appropriator; he understands that no matter how hard you try, sometimes you can't cut the pie like you want it cut. He understands that. But there are other things besides cutting the pie, and these flexibility issues are really important to us.

Thank you. Anything else, Sue, about item 4(a) that we need to talk about?

MS. BRYANT: Not that I'm aware of.

MR. WILLIAMSON: Members, you have before you minute order item 4(a). Do I have a motion?

MS. ANDRADE: So moved.

MR. WILLIAMSON: Do I have a second?

MR. NICHOLS: Second.

MR. WILLIAMSON: All those in favor will signify by saying aye.

(A chorus of ayes.)

MR. WILLIAMSON: All opposed?

(No response.)

MR. WILLIAMSON: Motion carries. Item 4(b).

MS. BRYANT: The second minute order for your consideration is very similar in that it allocates federal funds. In this case it is specifically a program for elderly and persons with disabilities.

In this case the funds are allocated to districts, the 25 districts, and the districts then generate a program of projects. Similar to the previous minute order, there are two columns: the A projects that would cover the currently available funding, and then there are the category or the column B projects for those projects that would be granted upon further federal funds becoming available.

MR. WILLIAMSON: Are there questions or comments by commission members? Hope?

MS. ANDRADE: Thank you, Mr. Chairman.

Sue, I certainly would like to thank you for taking this on. I think the transition has been smooth and no one will be sacrificed at changing of agencies, but I agree with chairman Williamson that we are result-oriented and that we're not going to tolerate abuse. We have a service to provide to our elderly and disabled and we're going to do that, and I'm looking forward to working with you closely and making sure that we provide those services in the state of Texas and look forward to attending the public hearings with you.

MS. BRYANT: Thank you very much. We appreciate that.

MR. WILLIAMSON: That's great. Any other questions or comments, members?

(No response.)

MR. WILLIAMSON: Now comes my second part of my direct message to the Brazos Valley delegation.

Have you also made it clear to Brazos Transit and the other transit providers in the state that in addition to being globally a results-oriented commission, that we fully intend to take the public health and human services responsibilities that we now have that we didn't have last year and the money associated with that, and that we intend to blend that into our overall public transit operation and that we will be using that money as an incentive to encourage transit operators to contract directly with us to provide those services?

MS. BRYANT: Yes, sir.

MR. WILLIAMSON: Some of you might know, Judge, the legislature basically -- well, I talked about what Arlene did last night, what Representative Wohlgemuth did last night was to save the state $150 million a year. Again, we want it to be an excellent service and part of our strategy is to say to Brazos Transit: We want you to bid to serve this contract, and this is a way you can generate additional cash flow for your operation, serve your community, and help the state do a much better job of serving those perhaps who can't serve themselves. Because we're real focused on doing that. We don't want to think any person living in the country that needs to get to a doctor or to social services or counseling is left at home because we didn't do our part, so I'm glad to hear that you're reinforcing that.

Members, we have 4(b), a minute order in front of you. Do I have a motion?

MS. ANDRADE: So moved.

MR. WILLIAMSON: Do I have a second?

MR. HOUGHTON: Second.

MR. WILLIAMSON: All those in favor will signify by saying aye.

(A chorus of ayes.)

MR. WILLIAMSON: Opposed?

(No response.)

MR. WILLIAMSON: Motion carries. Thank you, Sue.

MS. BRYANT: Thank you, sir.

MR. WILLIAMSON: We're going to deviate from the agenda for a moment, and Steve, or is it Tammy -- I'm looking for Tammy and Tammy is not down there -- Steve, would you give the commission and the two House members -- and I didn't know what Senator Ogden's schedule was and I didn't want to presume he wouldn't be here, so I've waited for this on the assumption that he is still tied up on his business.

The two House members we have been strong friends of transportation, but the chairman and the senator has been an unbelievable advocate for a new vision of transportation in this state, and we are deeply appreciative to your senator for his work.

One of the things the senator has been interested in is a little bit more notification to the public and a little bit more public discussion about the things that we are dealing with at the Transportation Commission, so we've had our staff working on some ideas about how to address the senator's interest in that regard, and we're not completely there yet but we're getting there.

And Steve, if you would take a moment and share with the commission where we are right now in our journey towards figuring out how we're going to do this, I would appreciate it.

MR. SIMMONS: Thank you, Mr. Chairman and members of the commission. For the record, my name is Steve Simmons and I'm the deputy executive director of the department, and my sitting on the dais is not a new change in the direction of the commission, it's a result of the commission continuing to steal staff from me.

(General laughter.)

MR. SIMMONS: That wasn't a dig at anybody in particular.

We have been asked to look at ways to start being more --

MR. WILLIAMSON: Robert Nichols started that, didn't he?

MR. SIMMONS: Yes, he did, but I wasn't going to name any names.

(General laughter.)

MR. SIMMONS: And while I'm here, I want to take the opportunity to tell you how much I appreciated Helen in her capacity previously, and Tammy and Cheryl, both the last two filling in on a temporary basis, but we are in the process of filling that position on a permanent basis, and hopefully by tomorrow I'll have that done. The three of those people have done an outstanding job putting the commission meetings together and I want to thank them publicly for that.

The commission and the public has been asking, I guess, the department to be a little bit more responsive, letting them know the ideas and issues that will be coming before the commission, and so we're trying to outline a model that we can bring forward to start allowing that information to be presented to the commission and allowing the public to see it before the actual vote is put before the commission.

And what I've prepared is this diagram, and I know it's hard for the audience to see, but it's basically looking at a six-month time frame where we have a commission meeting that's established well in advance, and if you notice our commission agendas have started including discussion items, and that's what that first red bar on the left side is. It's where we'll bring an item for discussion before the commission so that you can hear the ideas that we need to be addressing and we can get guidance from you on the way to proceed with it.

After that discussion item, we basically will have a period where we'll have an opportunity to go out and have an open discussion with the public, either through mailouts or advertising on the internet or things of that nature, where we can get their input on how the rule or minute order should be prepared.

For an example process, the pastel colors at the bottom of the page, I tried to use an illustration there, so if you're looking at that first month where there's a discussion item, perhaps we would like to have fun again talking about an access management policy, and so our staff would come before the commission and discuss what changes or what new rules we need to have to talk about access management.

We'd then go out through mailouts, as I mentioned, through the internet, setting up meetings with our partners in transportation to start getting their ideas on that, and at some point in time, our staff would take those comments and start drafting the rules. We would then go through a process where the rules would be drafted and we would present them to the commission well ahead of time of what we have been doing in the past, so we can get your comments on those to move forward with.

Then I think the critical thing we're looking at is once we have gotten all the commissioners' comments and are ready to move forward, three days before the commission meeting we would be posting that minute order or rule that would be proposed at that meeting on the internet, and of course, being able to provide that information to other interested parties at that time. At that commission meeting three days after, the commission would then vote on proposing a rule. So we would once again go into our formal comment period where the public again has the opportunity to work with us to develop the final rule that would be presented to you.

So the pastel colors at the bottom are basically reflecting: the yellow area is where the public is an active participant in the process of developing the rules; the blue area is where staff and the commission is either preparing or reviewing the rules.

So we'd basically have another time period for the public to comment on and then a time for the staff to develop it and the commission review it before you finally act upon it in adopting a final rule or minute order. Once again, we would post three days before the commission meeting on the internet the final rule that the commission will be voting on for acceptance.

There's two other items that we're looking at. One is basically having a twelve-month moving agenda posted on the internet because we know that there are a lot of issues that we do on a regular time frame or at some time out, and we're going to start posting those agendas twelve months out there and it will be moving as we go along.

The second part of that is we want to make sure that people know exactly what we're going to be voting on, so we will be -- a hard, fast sounding term is "locking" the agenda 45 days ahead of the meeting, but we would basically be restricting any items to be added to the agenda 45 days out so that way people will see that we are positively moving forward to address being up front and open with our agendas.

MR. WILLIAMSON: I've got a couple of questions. Members, there's no action required of us today but I certainly want each of you to question and this is a good time to discuss this, but I've got a couple of things I want to clarify before we start that discussion.

Early on I asked the question of you and OGC could we follow or parallel the federal practice of notice of intent to develop a rule, and what we decided -- if I understand it correctly -- was because of our peculiar state statutes, we really wouldn't feel comfortable about something so formal as a notice of intent so we've elected to adopt the term "discussion item" as opposed to "notice of intent". Is that correct?

MR. SIMMONS: Yes, sir.

MR. WILLIAMSON: So that when a city councilperson in Dallas or a state senator in Bryan-College Station or a House member in Brenham brings up our web site and sees something pop up as a discussion item for the December meeting, he or she will know that that's basically our notification to the public that access management is of concern to the commission, or recent laws have been passed concerning access management and we have to adopt rules and we are starting the process of talking about how we're going to make those rules fit.

MR. SIMMONS: Yes, sir, that's our intent.

MR. WILLIAMSON: And so once that discussion item pops up the first time, we're going to give the public approximately 30 days to get a hold of us. We might even have some informal informational meetings, not public hearings, and we will begin the dialogue with the impacted players, whether it's government or private sector or whomever, on a particular area, even before we start drafting rules for presentation to us.

MR. SIMMONS: That's our intent, yes, sir.

MR. WILLIAMSON: And then, Steve, the obvious question is: Well, are there exceptions to this? It looks like we're setting up a really hard and fast system for which there's no allowances for the unplanned. Are there exceptions for this?

MR. SIMMONS: Yes, sir. Just thinking off the top of my head, there are several exceptions that would fall into that. Of course, you know when the legislature is in session and they pass legislation that requires immediate enactment upon their passage, then of course we couldn't wait six months to pass that rule, we would need to put that in.

If we had an unexpected tragedy -- for example, the Queen Isabella Causeway -- that possibly would require us to have some commission action, we would need to have an exception for that.

And then if there was possibly an unexpected economic opportunity -- for example, the Toyota plant -- that something came in to the department that we would need to act on to take advantage of some things.

I think those would be some exceptions that could be added into it, and if there were other minor issues that could be added by the commission's discretion, I think those would be it.

MR. WILLIAMSON: So this approach basically is we're going to do the very best we can to start warning everyone of what's coming up, what we're going to talk about, what we're going to propose rules on, what we're going to adopt rules on -- probably; don't know that for sure till the vote is taken -- and there are exceptions to every rule, but as best we can, this is the system we're going to try to maintain to see how it works.

MR. SIMMONS: We're going to give it our best shot.

MR. WILLIAMSON: Lady and gentlemen, the floor is open to dialogue.

MR. JOHNSON: Steve, the use of access management is purely an example here.

MR. SIMMONS: Purely an example.

MR. JOHNSON: I don't want Florence Shapiro coming through and saying: Oh, my gosh, they're revisiting this issue.

MR. SIMMONS: Purely an example, and I think it was intended to use as a way that we could have improved the process previously.

MR. JOHNSON: And predominantly what we're talking about here is the rules that are developed and will come before the commission. Can you think of any other paths that we might go down with this particular process in terms of the commission's deliberations and conclusions?

MR. SIMMONS: I think that these are really geared towards those major policy changes and development of new rules and things like that that really require good thought and participation from the public to develop.

MR. JOHNSON: Thanks.

MR. NICHOLS: Are we taking turns?

MR. WILLIAMSON: I'm probably less formal than I should be. Just sing out.

MR. NICHOLS: Lady's first.

MS. ANDRADE: I'm not sure I like that rule that it applies here.

Steve, I certainly would like to thank you for coming up with it. I just want to make sure that we remain flexible so that we don't restrict ourselves to not being able to do what needs to get done because of our restrictions that we've placed on ourselves. But thank you, because I welcome that the public will know what we're discussing, but also with my busy schedule of traveling that you've given me time to work on this, so thank you very much.

MR. SIMMONS: That was the second part of that is to allow you to have a little bit more time to be able to review some of these things and not put under the crunch.

MS. ANDRADE: Since you seem to support the commission, is there anything you can do about my chair?

MR. SIMMONS: Yes, ma'am, I'll be working on that this afternoon.

MS. ANDRADE: If I move all the way back, my feet don't hit the floor and they go to sleep, so I would appreciate it.

MR. SIMMONS: I'll take care of that.

(General laughter.)

MS. ANDRADE: Thank you very much.

MR. NICHOLS: For the record, she can have my chair.

MS. ANDRADE: It's still too wide.

MR. NICHOLS: It's still too wide?

MS. ANDRADE: It's still too long.

THE WITNESS: Mine is just right.

(General laughter.)

MR. NICHOLS: Let me make some comments. On the positive side, I think by trying to lay out a year in advance the agenda -- and I know it will be a constant moving thing, but there's a lot of people who try to follow some of the processes and have a difficult time finding out the critical points in time that we do these things. And I have seen in some of our processes -- I call them flow charts -- out in time, where the windows open on things, where they close, where the hearings are, where they close, and on and on, and I think it will be very helpful for those transportation people who really study some of this stuff out there in the communities to have an opportunity to look out in time and follow some of the different processes. So I think that's going to be very beneficial. They need to keep in mind that it is a moving thing because things will be added and taken off until you get to the point where you call it "locking it in."

I think as far as the term "lock in" the 45 days, I think that's good in one respect in that it does give people more time to study it, more time to go through all that kind of stuff, but I thought Hope was looking at my notes because I had written the word "flexible" also.

MS. ANDRADE: I do.

MR. NICHOLS: She does look at my notes. I'll remember that.

(General laughter.)

MR. NICHOLS: Anyway, I also want to make sure that we don't -- I know you said that we will have some exceptions and we need to recognize that and the public needs to recognize that and the news media needs to recognize that because there are a number of things that come up at the last minute that the state doesn't want to lose the opportunity on, and just because we internally have the 45-day rule, we don't want to lose that flexibility if something is important, and I think the staff needs to keep that in mind.

I think it was last month we had an example in like Fannin County with that rail abandonment. We had a narrow window in there and it was something the legislature had approved, but we were going to lose it, and because we had a ten-day notice, we were able to get it on our notice and take action, but we would have missed it with a 45-day window.

MR. SIMMONS: Yes, sir.

MR. NICHOLS: So we don't want to lose our flexibility.

MR. SIMMONS: I think it's best to describe this as our guidelines for handling those hot issues and trying to be as responsive as we can, but understanding that we have to build in flexibility.

MR. NICHOLS: The second thing -- and I will say I do have a concern about; we can try it and see how it goes but I am concerned -- there's pros and cons to releasing on the internet three days in advance of the final vote, the actual vote, of the minute order and the rules in their final form. The good side is that we want an open process, we try real hard to have an open process, get input, let everybody see what's going on, have their input and do it fairly throughout the state with all parties. So on the positive side, I know a lot of people are nervous about what is the final going to look like and they don't even see it until we actually vote or right after we vote, and so releasing it three days in advance will either -- well, it will be a much more open process.

My concern is that as you have a critical time line, information seems to accelerate and comments from around the state, and I want to make sure that people know that even though that's out three days in advance, it's not necessarily absolutely the final form.

MR. SIMMONS: Yes, sir. There will be disclaimers definitely on the internet.

MR. NICHOLS: Yes, there needs to be because I know that we've gotten some bad publicity in that we're trying to do things in the dark, keep the public in the dark, so it will free that up. But all of a sudden when we release it and say this is what looks like the final, and then if we have actually approve it and it's different, then somebody is going to think they were misled, so the accusation will change. I don't think it's going to affect most of them but some of these things do get changed. We sometimes change them from the dais right here -- I've seen that happen a number of times. So the disclaimer needs to be real clear on there.

So it is a good attempt by the department to be even more open, make sure the public is aware of what we're doing, eliminate that fear factor because it's important to all of us, so I think it's good, with those two concerns noted.

MR. SIMMONS: And once again, it's a work in progress.

MR. WILLIAMSON: You don't have to comment, Ted; do you wish to?

MR. HOUGHTON: No.

MR. WILLIAMSON: Thanks for those comments, commission members. I know this has been a difficult process for staff and it's difficult for several of us who have been on the commission for a while. There will be exceptions that will have to be followed, and I will tell you that there will come a day where we'll post proposed rules for final adoption and they'll change within that 72-hour period -- that's just something that's going to happen, and when that does happen, the Chair will be accepting the responsibility for that, and no matter who wants the change done, the questions will be directed to the Chair, because the reality is commission members have to feel comfortable enough in their analysis to call staff in, question a particular word -- just as the legislature does -- and instruct staff to make those changes, and it's up to the Chair to defend that decision, and that's the way it will be. All responsibility can get focused in one place, one guy or gal can take the hit, staff doesn't take the hit, and that's the way we'll work it out.

I think this process will work well. It's still in progress, it may be changed, and staff will keep us all advised privately and publicly before anything is done finally, and I thank you for your hard work.

MR. SIMMONS: Thank you.

(Judge Randy Sims, John Happ, Judge Dorothy Morgan, Constance Allison for Senator Ogden, Rep. Fred H. Brown)

MR. WILLIAMSON: Now the Brazos Valley delegation. You guys got to be guinea pigs. It was my wish that delegations spend some time listening to what we deal with every month. Some of my fellow commissioners were not comfortable with that desire because they felt like, rightfully, it causes you to spend some of your time on our business. I don't know that we're going to keep doing it, but my view is -- I've been thinking about Fayette County, John, and that public hearing a couple of nights ago, and the concern that Fayette County and Columbus and that area have over the Trans-Texas Corridor -- and I just really believe that one of the most significant investments of the public trust and time over the next few years will be transportation, and the more we can educate people from Washington on the Brazos -- you didn't think I knew where that was -- and the more we listen to people such as those from Fayette County who have concerns, the more the state talks about transportation, the better off we all are because, Randy, we've got some tough decisions to make the next few years about the future of our great state. And you can go home and advocate for or against the state's policy much better if you kind of get a flavor for what we have to deal with every month.

So we appreciate you being the guinea pigs even though you were involuntarily so.

We now recognize Randy Sims, and please take it away, my long-time buddy Randy.

JUDGE SIMS: Good morning, Mr. Chairman, commission members, and my good friend Mr. Behrens, the director. By way of introduction, I am Randy Sims, Brazos County judge, and with me this morning is a large delegation of elected officials representing the entire Brazos Valley region as defined by the boundaries of the Brazos Valley Council of Governments.

Also with us this morning are representatives of the business, tourist and economic development communities, including the Bryan-College Station Chamber of Commerce, the Research Valley Partnership, and the Bryan-College Station Convention and Visitors Bureau.

This region is well represented by State Representative Brown -- thank you for being here, Representative Brown. It's also represented by Cook, Dunnam and Kolkhorst on the House side and in the Senate by State Senator Armbrister and Ogden.

I would like to ask all who are in our delegation to please stand and be recognized, if you don't mind.

(Applause.)

JUDGE SIMS: Thank you.

As you can tell by our turnout this morning, transportation issues are very important to our region. Also, I would like to recognize the new TxDOT Bryan District Engineer, Brian Wood, and Director of Transportation Planning and Development, Bob Appleton. Thank you guys for coming; appreciate it. We look forward to working closely with the Bryan District for the next several years to accomplish our common transportation goals and objectives.

I would like also to recognize several students representing Texas A&M University with us this morning. A&M is an integral part of our community, as you will hear throughout the presentation. Would you please rise? Thanks for coming. It's always nice and important to have young people getting involved in our process of not only county government but state government also.

This morning I have the privilege of being one of the presenters for our delegation that is here to inform you of the growing transportation needs of the Brazos Valley region. We intend to highlight some of the current and future projects and are here today as a region because we realize our infrastructure challenges far exceed our individual capacities to meet the needs of any one entity.

To properly do this, we have divided our time among three speakers who in turn will discuss those needs and projects. This morning you will also hear from College Station Councilman John Happ, and Washington County Judge Dorothy Morgan. At the conclusion we will be glad to answer any questions that you may have.

The Brazos Valley region is coming together like never before to look at and solve our problems as a region. We are cooperating together, and as I am sure you will hear today, are eager to work closely with state and federal agencies so that all of us can solve our transportation problems.

The Brazos Valley region is the home for approximately 300,000 citizens who live in Brazos, Burleson, Grimes, Leon, Madison, Robertson, and Washington counties. Within these counties there are 27 incorporated cities including Bryan-College Station, and two institutions of higher education, Blinn College and of course Texas A&M University. As such, we experience many of the congestion challenges of larger metropolitan areas, yet at the same time we face numerous rural transportation issues common to the smaller communities.

On a personal note, Commissioner, I would like to take this opportunity to express my thanks for what you have done for county government in the past, having to do with the bridge replacement and repair of county bridges in our area and allowing us a way to finance some of our match in that respect. You really understand the need and have helped us in the past. Thank you very much -- I would like to say that.

The Brazos Valley is a unique area of the state in that we have limited connectivity to the rest of the state, a problem we desire to correct. I do appreciate your taking this time with us today, and I would like to turn over the podium to College Station Councilman John Happ. John, please.

MR. WILLIAMSON: And John, and to all the members of the delegation, if we don't turn and look behind us as your picture changes, it's because we have monitors in front of us, so don't think we're not paying attention to your business; we can look down here and see what's going on.

MR. HAPP: Thank you, Judge. I am John Happ; I serve on the city council for the City of College Station; I am the council's chairman of the Transportation Committee; I'm the director of Easterwood Airport, Texas A&M University's Airport; and I'm vice-chair of the Texas High Speed Rail and Transportation Corporation.

The judge has just mentioned that our area has both urban and rural infrastructure needs, and this is truly amazing considering the significant investment that the state has in Texas A&M University. It is no secret that A&M is the economic engine that drives our local economy, but it needs to be noted that A&M contributes significantly to the economy of the state. In addition to being a Sea and Space Grant university, the 127-year-old institution is the oldest land grant university in the state of Texas. Combined, Texas A&M University and Blinn College serve more than 55,000 undergraduate and graduate students, the majority of whom have a permanent address outside of the Brazos Valley region.

Please note that while A&M ranks among the nation's largest universities, it is unique that it is not directly located on a four-lane interstate highway. There are well over 13,000 faculty and staff working at Texas A&M and Blinn College. Many of the faculty and staff live in counties within the region and use the highways and the city streets to travel to and from work on a daily basis. A&M also has the largest economic development impact which amounts to several billion dollars for the region and the state.

Texas A&M President Robert Gates has recently announced a faculty reinvestment plan that will add 447 new faculty positions over the next five years. Those new faculty positions will also result in additional staff requirements and graduate student activity.

In addition, athletic events, cultural and educational programs, academic conferences and activities at both the Association of Former Students and Bush Presidential Library complexes bring hundreds of thousands of visitors to the community every year, including heads of state and other dignitaries. It is important that they have efficient and safe access. These visitors depend upon access to all modes of transportation.

Entities like the Bryan-College Station Visitors Bureau rely on mobility for their success. The reality is that our accessibility truly defines who we are. The Brazos Valley is a world class region, home to a world class university and research institution with less than world class access. The many entities gathered here today have joined forces to help solve this problem.

With the success of A&M, the Brazos Valley continues to prosper and develop and experience both economic and population growth. With prosperity, the need to move an increasingly large number of people and goods becomes even more important. The region is coordinating efforts to address transportation issues by working with the Bryan-College Station MPO, the Brazos Valley Council of Governments, the Bryan TxDOT District, and by considering other tools and techniques such as discussing the possibility of toll roads and the possible creation of a regional mobility authority.

Without your efforts, we would not have these tools as options, and we want you to know how much your efforts are appreciated. In fact, these will be some of the topics of discussion next month at the Third Annual Brazos Valley Transportation Summit, April 22 and April 23, hosted by the City of College Station, the Texas Transportation Institute, the Brazos Valley Council of Governments, the district, and numerous others. All of the commissioners, as well as Mr. Behrens, have an open invitation to participate in this event.

As mentioned, the Brazos Valley continues to grow and it is imperative that we maintain a strong economy, but our lack of an interstate highway hinders our region's ability to compete for many companies during their site selection process. Divided four-lane highways, commercial air service, and passenger rail are essential economic needs in the region and our lack of a vital multimodal transportation system negatively impacts our ability to fully develop our region's economy.

MR. WILLIAMSON: Councilman, would you go back and read that last sentence about the three modes of transportation?

MR. HAPP: Yes, sir. Divided four-lane highways, commercial air service and passenger rail are essential economic needs to our region.

MR. WILLIAMSON: You said passenger rail?

MR. HAPP: Yes, sir.

MR. WILLIAMSON: Just wanted to be sure that I heard that right.

MR. HAPP: There's more to come.

One important component of this development is our aviation system which is served primarily by Easterwood Airport. Easterwood is owned and operated by Texas A&M University, and as the region's only commercial airport, Easterwood needs to maintain a strong connection to Texas' major metropolitan airports, thus linking the region to the rest of the nation, and like we like to say for our international students at A&M, to the world. Local general aviation airports which benefit from state funding add to the quality of life in those areas by addressing the user's ability to operate from smaller airports without competing with commercial aircraft.

But surface transportation and aviation are not enough. At the inaugural Brazos Valley Transportation Summit in 2002, hundreds of leaders from the Brazos Valley region hosted Chairman Williamson and introduced the concept of high speed passenger rail which has culminated in the creation of the Texas High Speed Rail and Transportation Corporation. This grassroots corporation is made up of cities and counties from Harris County through Brazos County, up to the Killeen and Temple area, and then along the I-35 corridor to Dallas and Tarrant Counties, running south to Austin and San Antonio. This has come to be commonly known -- or affectionately known as the Texas T-Bone Corridor.

This multimodal corridor is proposed to link the Brazos Valley with the rest of the state and would result in our connectivity to the major metropolitan areas of Texas. We are all in agreement that the region should never again be bypassed as did occur in the late 1950s with the interstate highway system. The Texas High Speed Rail and Transportation Corporation is working hard with the federal government and the state to make this a reality in a very short period of time.

Commissioners, our transportation solution must be multimodal if the Brazos Valley region is to continue to be a world class area attracting world class talent. Thank you for your time.

I would now like to invite Washington County Judge Dorothy Morgan to come up and continue discussion of our needs.

MR. WILLIAMSON: Thank you.

JUDGE MORGAN: Thanks, John. As John said, I am Dorothy Morgan and I am the Washington County judge, and I've been an elected official since 1982 as the mayor and now as the county judge, and I have definitely seen the changes in growth and transportation needs of the Brazos Valley during this period of time.

We do believe that aviation and future commuter and passenger rail are not enough for us to develop a dynamic regional economy. If the region is to continue to have one of the lowest unemployment rates in the nation -- thank goodness -- we must not only expand our transit and aviation system, but we must continue to develop our highway and transit system.

As our region continues to grow, mass transit becomes increasingly popular for multiple reasons. The District, formerly known as the Brazos Transit District, will continue to play an ever-increasing role in the mobility of our region. The various entities are reaching out to develop a working relationship with the district, but they in turn must work with all of us, the cities and the counties, to better promote and develop the use of transit in our region.

The Brazos Valley continues to need enhancements for its highway system passing through the region to continue to connect the major metropolitan areas. Continual development and expansion of the state highway system are paramount to the region's growth and development. Our area continues to be enhanced by improving State Highway 6, resulting ultimately in a goal of north-south continuous four-lane divided highway connecting Houston to the I-35 corridor. Continued improvements to State Highway 21 would be similarly productive. A continuous four-lane divided highway in the east-west direction would connect Interstate Highways 45 and 35 and greatly benefit our communities. Internally to our region an important linkage consists of improvements to State Highway 30 and FM Road 60.

Of course, our need to develop our economy takes a back seat to our even greatest concern and that's safety. In 2003 alone, 94 people were killed on Brazos Valley streets and highways, a trend showing no signs of being reversed. Remember earlier it was noted that most of the students at Texas A&M and Blinn College live outside the region, and they go home on the weekends and holidays and they travel back and forth from all regions of the state. The same risk exists for employees of our many state agencies and extension services who are frequently in need of access and connectivity to other parts of the state.

We must improve our infrastructure safety to protect these groups and our young people -- which of course is our greatest resource -- from needless tragedy on our highways within the region. In addition, we must have these people realize too, though, that they are also responsible for their own driving habits.

Commissioners, in conclusion, we have tried to make one primary point today: transportation is critical to our growing economic needs as well as our safety. Like all regions across the state, we have numerous highway and transportation needs, and we realize that we will never have enough funding to make any region satisfied. During our presentation you heard that connectivity to the rest of the state is vital to our economic growth and as such, we desire to have four-lane continuous highways for the region, State Highway 6, 21, 30, and 79, as well as FM 60 and FM 105 -- to Washington on the Brazos -- are our primary linkage to the rest of the state.

Aviation, transit and inner city commuter and high speed rail are all vital to our future development. We seek to solve our transportation needs in a multimodal fashion -- didn't know what that meant before but I certainly do now. We certainly thank you for helping us to begin to solve many of our current needs by funding portions of State Highway 6 and 21 with needed upgrades.

Our intention is not only to let you know of our needs, but to make it clear that we too want to be a part of the solution. We're not asking you to solve all our problems but to be part of the solution as a team. We are working hard on all our levels to take the tools that Senator Ogden has given us in the last legislative session and to use them properly, develop them, and fund our infrastructure needs. We are discussing forming an RMA and are talking about using some of the innovative financing tools, such as toll roads, that are now available.

You've heard the Brazos Valley is a world class region, home to a world class university, world class citizens, and world class Blue Bell Ice Cream -- had to put that plug in too. The Brazos Valley region is working very hard to achieve a world class multi-modal transportation system, and we sure do thank you for listening to our presentation, our concerns. And at this time, we'd like to answer any questions that you might have -- as long as they're not hard -- I'm just kidding.

MR. WILLIAMSON: Well, members?

JUDGE SIMS: Mr. Chairman, if you'll indulge me just a minute, we have Constance Allison with Senator Ogden's office that would like to read a letter, please, if you don't mind.

MR. WILLIAMSON: Ms. Allison is always welcome here.

MS. ALLISON: My name is Constance Allison; I'm chief of staff and general counsel with Senator Ogden, and the senator sends his regrets that he's unable to be here today, but did not want to let this opportunity pass to express his support for the Brazos Valley delegation and their request. So if you don't mind, I'm going to read his specific comments directed to the commission.

"Dear Commissioners: Today many of my constituents are here to address vitally needed transportation improvements in our region and to seek your assistance. I fully support their efforts.

"In my view, we need to finish what has already been started and be consistent with the commission's initiative to complete the Texas Trunk System and Governor Perry's vision of the Trans-Texas Corridor. For example, State Highway 6 is a mix of four-lane undivided, four-lane divided, and two-lane undivided road stretching from Waco to US 290 north of Houston. The two-lane portions of the highway and the four-lane undivided portion from Millican to Navasota need to be upgraded as soon as possible. Similar observations can be made about State Highways 21, 30 and 79, as well as FM 60 and FM 105.

"I also request a focused effort to improve road surfaces and shoulders on many of our two-lane roads with 70 mile per hour speed limits, such as FM 39 from Normangee to North Zulch. These improvements will save many lives at a relatively small expenditure of money.

"Finally, much needed safety improvements are necessary on stretches of State Highway 36 in Burleson and Milam Counties. This highway is highly traveled and deadly.

"Thank you for listening to my constituents and friends today, and thank you for the hard work you do for our state.

"Sincerely, Stephen E. Ogden."

Thank you.

MR. WILLIAMSON: We appreciate you being over here and we obviously understand the senator's schedule. He's got new responsibilities and I'm sure it's taking quite a bit of his time.

MS. ALLISON: Well, thank you for the opportunity to share his comments.

JUDGE SIMS: Mr. Chairman, I know he needs no introduction, but I'll ask Fred Brown to make a comment.

MR. BROWN: I can see why Dorothy Morgan has stayed in office so long. She is smoother than a gravy sandwich, isn't she?

(General laughter.)

MR. BROWN: Mr. Chairman, commissioners, Director Behrens. It's a pleasure for me to be here today. I tell you, being able to come to any hearing that doesn't have to do with public school finance or rising tuition rates at UT is nice.

You know, it's been a long time since I've seen so many communities come together to recognize their common transportation problems and offer solutions that benefit the entire community as is currently happening in the Brazos Valley. Leaders from a nine-county area -- an area that you know is growing rapidly -- understand that our connectivity to the rest of the state is essential for our economic growth, and everything that you've heard today has been said to you with passion from these members.

We look for great things to happen in our region; we look for continued growth, and we just ask that in all of your deliberations that you will give us every opportunity to work with you and work with the federal government and make these dreams come true for our region.

Thank you for having us today; it's been very nice. And thank you for coming out last night and spending time with us; we appreciate it.

MR. WILLIAMSON: We're very appreciative for your support of transportation in the legislature. We always notice who seems to have transportation in the front of their mind, and we appreciate your support.

MR. BROWN: Well, all those barbs that we took earlier, we'll take that back to Appropriations and try to take care of some of those problems. Thank you.

JUDGE SIMS: Thank you, commission members. We do appreciate the opportunity we have to make our presentation to you today. I thank you for your patience and your indulgence. I like the idea that you mentioned early on that you are results-oriented. That's the name of the game. And I think we try to follow in your footsteps at the county level, and we appreciate that kind of attitude for upgrading our transportation system throughout the state of Texas.

Now, if there are any questions, we'll be happy to try to answer them.

MR. NICHOLS: I don't have any questions.

MR. WILLIAMSON: Questions or comments?

MR. NICHOLS: I'll make a comment.

MR. WILLIAMSON: Please.

MR. NICHOLS: I want to thank you for a very good presentation, and it's obvious that the region has been working quite a bit together to arrive at the conclusions that you have, and that's real important from our vantage point for you to be working on a regional transportation plan because we don't have enough funding to go in there and spot, and if everybody is pulling their own counties and not working as a group, it doesn't work. So when you can come together and prioritize the projects in the area, those that have the greatest impact on the whole region is very important to us and it is very helpful.

And I want to thank all of you who have taken the time to come here today, not just for being here and making a presentation, but for working together in support of transportation. I know that you have been working, have a transportation support group, and it is not only very helpful to us and to your district engineer, but to all the local elected officials to see and understand.

I had an opportunity a couple of months ago to go visit your MPO during one of the meetings and make a few comments, and I was impressed with how many people were involved in that process. There were a lot more than just the members; there were Chamber people and all that.

Some of these projects like 6 is on Priority 1 corridors for the Texas Trunk System, and all the sections that are not four-lane are funded and scheduled for construction and we have a schedule.

JUDGE SIMS: Very good.

MR. NICHOLS: I think Amadeo, our assistant deputy, recently they updated that schedule, so you could actually -- I'm sure the district has it available -- can see what those segments are and construction contract dates are, so that is available.

The interest in the T-Bone high speed rail, amazingly enough, the first time I heard about it I was in Houston. Judge Eckels and the Houston community was supporting very strongly the connection in that manner, and I'm sure as we work our way through the Trans-Texas Corridor, not just for roads, for trucks and for cars, but high speed rail and freight rail -- freight rail is also very important -- is probably going to have an impact on how that concept and locations move about.

But I do want to thank you for the work you've done.

JUDGE SIMS: Thank you.

MR. WILLIAMSON: Go ahead, please.

MR. HOUGHTON: I think it's refreshing, and this is the second presentation I have seen where the community has come together as a whole and not have ripped themselves apart throwing rocks at one another. That's what it's going to take, in my opinion, to reach the goals of those stated communities, and taking a 30,000-foot view instead of down in the bushes and saying let's look at just this road, but the leveraging effect that House Bill 3588 and the Mobility funds, the Ogden Bonds, offer taking care of 6 and leveraging that to take care of 21.

We want to make sure that economic development -- and I think it's a hot button in this state; it's obviously hot with the governor -- making sure Blue Bell Ice Cream gets to market in a timely fashion, and for the first time in its history, El Paso will have the opportunity to buy Blue Bell Ice Cream this summer. So how about that, we've become a part of the state of Texas.

(General laughter.)

MR. HOUGHTON: I applaud you all and I look forward to working with your group -- for selfish reasons, because I own property in College Station that three of my boys live in who are voters in the city of College Station and your county, Judge. Thank you.

JUDGE SIMS: Thank you.

MR. WILLIAMSON: Hope.

MS. ANDRADE: Thank you so much for coming before us. I'm sorry that I missed your reception last night -- I got tied up at another meeting -- but I plan to visit your area in the third quarter of this year and would like to see the projects that you've come before us to talk about.

But it's so refreshing, and I echo what Commissioner Houghton just said, it's so refreshing to see all of you here this morning take the time and take charge of what you believe is the future and preparing your region for the growth that we're all experiencing.

I look forward to visiting with you and thank you so much. And congratulations, you seem to have a great community.

JUDGE SIMS: Thank you.

MR. WILLIAMSON: John.

MR. JOHNSON: Well, I think anything I would offer would be very repetitive of what my fellow commissioners have stated. I hope you understand from last night, and that certainly Judge Morgan will realize, I plan on spending a lot more time in this seven-county area. I'm drawn to it for a lot of reasons. This is a great state and has many diverse and different geographical features, but the commonality we have is the people and I think you're typical of the great people of this state, and I plan on spending a lot more time in Washington County in the not too distant future and look forward to that.

And personally, I think we ought to give them everything they've asked for.

(General laughter.)

JUDGE SIMS: Very good, Commissioner.

(Applause.)

MR. WILLIAMSON: You know, the reason I laugh about that is because Robert and I used to do that to him routinely, because the Chair has to say the following: We appreciate very much your being here, but as you know, we don't make decisions about how to allocate money during these meetings.

Robert and I used to always put John in that same position. "Yeah, give it to them, John, go ahead."

(General laughter.)

MR. WILLIAMSON: I do want to thank you all. I have one request of you and then we'll draw it to a close and take a break. I hope you form an RMA. I think it's a valuable beginning point for any region to make some decisions about funding flexibility that we are prepared to help you with.

We have a two-county small urban RMA already off and running, Travis-Williamson County RMA. We have a one-county large urban RMA, Bexar County, beginning, approved and moving down the road of identifying its first project. We have a ex-urban county with a pending application, Grayson County. There are others getting ready to move, but the one application we haven't seen yet -- and if it's not doable, don't take it personal; this is just a personal thing I'm asking of you -- what the governor really thought would happen when he advanced this idea three years ago was that you would form your RMAs along COG lines and begin to do your transportation funding allocations, your public transit and your clean air initiatives along those already recognized COG lines, and so far no one has brought a proposed RMA consistent with the COG lines forward.

If there were an area of the state where that seems to be a possibility -- perhaps the governor already realized it was the area associated with his alma mater, I don't know -- but if that's at all possible, if you have that kind of regional cooperation, I can only speak for myself in these matters, but I think the commission would be very interested in an RMA that was constructed along COG lines and what that would mean to coordinating public transit, air quality, and the highway and rail construction.

JUDGE SIMS: That's a good thought.

MR. WILLIAMSON: The governor always thought that's what would happen; he's been surprised. He asks me about once a month, you know, has anyone brought in a really truly regional proposal. And Mr. Krusee and Senator Ogden would say that the Travis-Williamson County is a regional proposal, and regions are defined by the beholder, I guess. But I think the governor had in his mind it would be almost COG proposals, and if that's possible, I think that would be really nice; if it's not possible, that's okay too.

JUDGE SIMS: We are going to keep moving forward, though.

MR. WILLIAMSON: Randy, it's always good to see you, and I really appreciate the delegation and you're always welcome here.

JUDGE SIMS: Thank you very much.

MR. WILLIAMSON: We're going to take a 15-minute break.

(Whereupon, a brief recess was taken.)

P R O C E E D I N G S (RESUMED)

MR. WILLIAMSON: We'll reconvene the meeting.

I need to point out to the Washington County judge that district lines change a lot and I can't keep up with everything.

JUDGE MORGAN: I understand, I can't either.

MR. WILLIAMSON: But let me assure you that Kenny Armbrister for his entire career has been committed to transportation and this department, and my failure to specify that during the give-and-take was my oversight. He's a close personal friend like Senator Ogden, we served together for many years in the House, but he is also a close personal friend of our executive director and he has been committed to our organization for as long as he's been in the legislature, and I wouldn't want you to leave thinking by my omission I thought otherwise.

JUDGE MORGAN: Well, thank you, and I shall share with him those nice, kind words.

MR. WILLIAMSON: He's a great friend of ours.

JUDGE MORGAN: He's a good friend to Washington County and the whole district too, but we're brand new to his district.

MR. WILLIAMSON: Well, just like I said, I can't keep up with all the lines.

JUDGE MORGAN: We have a congressional district now that's changed too, so we can't keep up either.

MR. WILLIAMSON: Well, my executive director reminded me that your area is now partially represented, and I just wanted you to know that this commission deeply appreciates the senator's contribution to transportation.

JUDGE MORGAN: Well, thank you, and I shall share that with him.

MR. WILLIAMSON: Thank you very much; we appreciate your being here today.

JUDGE MORGAN: Thank you. You're quite welcome. May I leave now?

MR. WILLIAMSON: Please drive safe going home.

JUDGE MORGAN: I have another committee I chair I have to be at. Thank you. Bye-bye.

MR. WILLIAMSON: I understand.

Okay, Michael, it's yours, buddy.

MR. BEHRENS: We go to agenda item number 6(a), our Proposed Rules for Adoption. This proposed rule will lay out our responsibilities in the Quarry and Pit Safety arena which was given to us by the last legislative session.

MR. MONROE: Good morning, commissioners. For the record, my name is Richard Monroe, general counsel for the department.

By adopting the minute order before you, we will repeal certain rules that are now dated and incorporate the same rules or substantially the same rules in our part of the Texas Administrative Code. As the executive director said, the last legislative session assigned the responsibilities for the Pit and Quarry Safety Act which had been with the Railroad Commission to this department. A conscious decision was made, since the Railroad Commission had been working with these rules for many years, to change what absolutely needed to be changed, names, titles, that sort of thing, and to reincorporate them into 43 Texas Administrative Code.

We're still new at this. We think we're doing a good job, and we think the rules as they are suffice. If we do later need to change them, rest assured we will come back to the commission with any improvements we have along those lines.

I would recommend that the commission approve this minute order by which we will publish the rules and re-adopt in our chapter of the Texas Administrative Code.

MR. WILLIAMSON: Questions or comments, members?

MR. JOHNSON: Question.

MR. WILLIAMSON: Mr. Johnson?

MR. JOHNSON: Richard, this is a transition from the Railroad Commission to the Department of Transportation, the oversight of the quarry application process. Predominantly will the rules remain the same that were in place at the Railroad Commission -- in other words, what people have been used to operating under is what we will require of them under these rules -- they're pretty much the same?

MR. MONROE: Yes, sir.

MR. JOHNSON: So there's continuity and consistency.

MR. MONROE: Yes, sir.

MR. JOHNSON: Great, thank you.

MR. HOUGHTON: So will we license new quarries?

MR. MONROE: Yes, that would be a way to put it. Actually, what we approve is their safety measures and then they may move forward with their operations.

MR. HOUGHTON: Regulate existing quarries?

MR. MONROE: Yes, sir.

MR. HOUGHTON: Under state statutes?

MR. MONROE: Yes.

MR. HOUGHTON: And there's hearings going on, as we speak, regarding quarries? Isn't there a committee that the governor appointed to review quarries?

MR. BEHRENS: Commissioner, yes, that first meeting is going to be held this coming Monday, that committee that was appointed by the governor.

Our basic responsibility, like Richard said, is where these quarries are located, there's rules how close they can be to a highway and certain things they have to have in place to protect, say, a car going off the roadway so it doesn't run off into a quarry. I don't know if you remember, several years ago there was a bus accident in the Valley where a school bus had ran into an open pit and that caused some changes to be made in the oversight of the pits and the quarries.

Also, though, a quarry opening or an existing quarry has to also be permitted by TCEQ, the Texas Commission on Environmental Quality, so we're a partner with them in regulating Pit and Quarry Safety.

MR. HOUGHTON: So it's regulation and environmental issues along with that, so anything relating to quarries is our responsibility now.

MR. MONROE: Yes, at least as far as their safety features are concerned, their ability to continue to operate in a safe manner.

MR. HOUGHTON: And the environmental issues are with?

MR. MONROE: Texas Commission on Environmental Quality.

MR. HOUGHTON: Okay.

MR. WILLIAMSON: Other questions or comments, members?

(No response.)

MR. WILLIAMSON: Do I have a motion?

MR. JOHNSON: So moved.

MR. WILLIAMSON: Do I have a second?

MR. HOUGHTON: Second.

(A chorus of ayes.)

MR. WILLIAMSON: All opposed?

(No response.)

MR. WILLIAMSON: Motion carries.

MR. MONROE: Thank you.

MR. BEHRENS: Agenda item 6(b) is two rules for Final Adoption, the first being final adoption rule on pass-through tolls, and James Bass will handle that.

MR. BASS: Good morning. For the record, I'm James Bass, director of Finance at TxDOT.

MR. WILLIAMSON: I thought John Munoz was our director.

MR. BASS: Merely when I'm on vacation, so it's about half the time.

(General laughter.)

MR. WILLIAMSON: This will be the first time, Coby, in four months, five months?

MR. BASS: I was with you in San Antonio; I'm glad I left such an impression with you.

(General laughter.)

MR. BASS: This particular minute order adopts new sections to the Texas Administrative Code related to pass-through tolls. These sections will implement the authority granted by Article 6 of House Bill 3588 which authorized TxDOT to enter into an agreement with a public or private entity to provide for the payment of pass-through tolls as reimbursement for the construction, maintenance and operation of a toll or non-toll facility on the state highway system.

A pass-through toll is defined as a per-vehicle or per-vehicle-mile fee determined by the number of vehicles using a facility, and this pass-through toll would be paid by TxDOT to the developer or proposer.

These rules were proposed in the January meeting and subsequently published in the Texas Register and a public hearing was held in February. Oral and written comments were received and have been addressed in these proposed final rules.

Staff would recommend your approval, and I will be happy to attempt to go over any of the comments if you would like us to.

MR. WILLIAMSON: First of all, are there questions for Mr. Bass, Ms. Andrade?

MS. ANDRADE: No.

MR. WILLIAMSON: Questions, Robert?

MR. NICHOLS: No.

MR. WILLIAMSON: Ted?

MR. HOUGHTON: No.

MR. WILLIAMSON: John?

MR. JOHNSON: I'm going to give the poor guy a break. We haven't seen him in so long.

MR. BASS: That's four out of five commissioners recommend; you always wonder about that fifth one.

(General laughter.)

MR. WILLIAMSON: Well, since we don't have any questions, are there any comments that need to be offered?

(No response.)

MR. WILLIAMSON: Okay. Well, I have a comment, and that is that I'm very pleased with how quickly Finance and OGC moved to bring this what I consider to be one of the most important parts of House Bill 3588 through the process and get it on the table where communities who are anxious to try to sell us on their ideas can now move forward. I really appreciate the speed.

One of the criticisms that is sometimes directed at us is that we take too long to do some things, and I think we've certainly proven here that on important matters we can move fast.

MR. BASS: Appreciate that, and most of that credit would go to Mr. Jackson and the General Counsel's office.

MR. WILLIAMSON: We have a lot of good employees, but we are truly blessed with a very entrepreneurial division or administrative headquarters. Even when you don't show up, I think a lot of your work product does.

Do I have a motion?

MR. JOHNSON: So moved.

MR. WILLIAMSON: A second?

MR. HOUGHTON: Second.

MR. WILLIAMSON: I have a motion and a second. All those in favor of this minute order will signify by saying aye.

(A chorus of ayes.)

MR. WILLIAMSON: All opposed, no.

(No response.)

MR. WILLIAMSON: Motion carries. Congratulations.

MR. BASS: Thank you.

MR. WILLIAMSON: Grayson County, bring it on.

MR. BEHRENS: Agenda item 6(b)(2) is our final adoption of rules for the issuance of bonds. These were bonds approved by Proposition 14, sometimes referred to as Ogden Bonds.

MR. LOPEZ: Good morning, commissioners. My name is Carlos Lopez and I'm director of the Traffic Operations Division.

The minute order before you proposes final adoption of the rules covering the issuance of bonds for transportation improvement and safety construction projects on the state highway system. These bonds will be secured and payable from the State Highway Fund.

The rules implement the provision of Article 5 of House Bill 3588. The rules were published in the January 2, 2004 edition of the Texas Register, and the department received public comments from three groups. Comments from two of the groups were accepted or clarified; we proposed to not implement the comments given by a city. The city wanted to submit several site-specific projects, allow future direct submissions from the city, and requested the commission to issue safety bonds first. The actual submission of projects is beyond the scope of the rulemaking process, and the timing and types of bonds to be issued is a policy decision to be made by the commission.

Regarding the direct submissions by cities, the rules are silent on this issue. The bonds are only eligible for work on the state highway system and the districts will be able to analyze and submit projects both inside and outside of cities. This silence will not preclude cities from suggesting projects to their local district offices as a result of a call for projects or through existing planning processes. The silence could also eliminate potential confusion among cities that all system projects could be funded.

We think these rules are ready and we recommend your approval.

MR. WILLIAMSON: First, are there questions for Carlos about this proposed rule?

(No response.)

MR. WILLIAMSON: Are there comments that need to be directed towards Carlos or his division?

(No response.)

MR. WILLIAMSON: Very well. This is the second of several most important changes as a result of House Bill 3588 and related legislation, and I would direct the same compliment to you and your staff as I have -- and again to OGC, as I have the others, and that is the speed with which you moved is most appreciated. We will forever refer to these as Ogden Bonds in honor of the senator who advanced this idea, and with that, I will ask for a motion.

MR. JOHNSON: So moved.

MR. WILLIAMSON: And a second?

MR. HOUGHTON: Second.

MR. WILLIAMSON: I have a motion and a second. All those in favor, please signify by saying aye.

(A chorus of ayes.)

MR. WILLIAMSON: Opposed, no.

(No response.)

MR. WILLIAMSON: Motion carries. Thank you, Carlos.

MR. LOPEZ: Thank you, commissioners.

MR. BEHRENS: Next we go to agenda item number 7. We have three discussion items, the first being item 7(a) which will be discussion of rules that would be establishing a formula for allocating funds for the individual eligible public transportation providers, and that will be presented by Sue Bryant.

MS. BRYANT: Good morning again, commissioners, Mr. Behrens and Mr. Simmons.

I'd like to introduce the public transportation discussion item, first starting with the authorizing legislation which is included in your briefing books. This is Section 456.022 of HB 3184. It is an extremely short section; therefore, with your permission, I'd like to read it into the record.

That section reads as follows: "The commission shall adopt rules establishing a formula allocating funds among individual eligible public transportation providers. The formula may take into account a transportation providers performance, the number of its riders, the need of residents in its service area for public transportation, population, population density, land area, and other factors established by the commission."

This section reflects the long-standing wishes of the commission to have, as you said, Mr. Chairman, a results-based allocation of funds.

The current formulas are based largely on history. Your briefing books also include both a chart and narrative description of the formulas for federal rural funding, state rural funding, and state urban funding, and in each case the allocation is based primarily on what was allocated in the previous year.

To get where we are today, we did the following: we convened a meeting of the Public Transportation Advisory Committee -- this meeting was primarily an organizational meeting, so another meeting to focus very specifically on the formula allocations is scheduled for April 7; we held one video conference through the 25 districts, plus six additional listening sessions; plus we solicited comments in writing and via the internet. I'd like to take just a moment to describe some of the results of those listening sessions for you.

The listening sessions plus the video conferencing throughout the 25 districts, these were held in Houston, Waco, Tyler, San Angelo, Fort Worth, and Edinburg. The listening sessions plus the written and Internet comments, we received a total of 202 comments and a total of approximately 400 people attended those sessions. If we subtract TxDOT employees who attended certainly all those sessions, plus we did have TTI staff, we contracted specifically with the Texas Transportation Institute to assist us with those sessions, plus write a report which will be available very soon, then we had a total of 312 individuals that attended the video conferencing plus the listening sessions.

We did achieve through those really four items that could be considered as consensus items. There was consensus on the following: there is definitely a high need for public transportation in the state of Texas, the resources are not sufficient to address the need; number two, participants were very complimentary to the department's listening sessions and particularly the first session conducted by video conference through the district offices; third, there was consistent support for greater coordination of health and human services and other public and client transportation; and fourth, there was general consensus that the use of any performance measures be based on verifiable criteria.

We also had, as you would expect, a good deal of diversity across the state of Texas, and not surprisingly, I think, we did not have total consensus on the following: that many, but not all of the participants expressed the need for a change in the formula; the providers who have built up a system over the course of many years with these funds did express concern over any potential reduction in service; other providers consider that a static formula does not appropriately adjust to local need and performance. There was not consensus on any one specific formula or on any one specific approach. This was certainly reflective of the state as a whole in which each part of the state expressed their needs differently in terms of land, population, special population groups, ridership and cost.

That brings us to where we are today in this discussion item. Where we are continuing in terms of simply the process and the schedule remaining on that -- and that's also included in your briefing books -- that in order to meet both legislative intent and to have funds available for next fiscal year, that again on April 7 will be another Public Transportation Advisory Committee meeting. Again, this meeting will focus very heavily