CMRS BOARD MEETING

JANUARY 9, 2003

CMRS BOARD OFFICE 21 MILLCREEK PARK

Present: Richard Guittar, Dee Hopper, David Lucas, Laura Phipps, Lt. Col. Robert Milligan, John Patterson, Rob South (via conference call), Jennifer Jackson (Staff), Vicki LoBiondo (Staff)

Guest Present:

Ron England, Pete Clough, Denisa Davidson, Jeffrey Pack, Mitch Mitchell, John Conley

Chairman, Richard Guittar called the meeting to order at 10:30 a.m.

I. Approval of Minutes

· David Lucas moved to approve the minutes from the December 12, 2002 board meeting as written. Dee Hopper seconded. All were in favor.

II. Equities Study Update

· John had emailed the Board members a copy of the report prior to today. Since then 2 tables were added at the end of the report.

· John gave a brief summary of the equities study report. 78 PSAPs participated in the study. PSAPs were broken into 3 categories (small, medium, and large) of 25 each and the super large category had 3 PSAPs. Categories were based on the number of subscribers in their jurisdiction.

o 2 premises were considered for the study

§ a) Whether rural, low call volume PSAPs are receiving more funds than are necessary to maintain operations.

The answer produced from the study is no. The average small PSAP is receiving 33% of expenses, the average large PSAP, 21%; medium PSAPs are spread through the middle of that range. The super large PSAP was calculated as receiving 42% of expenses, but their reported expenses did not include personnel. Therefore, the real percentage is likely to be much lower.

§ b) Whether an alternate funding formula should be adopted to replace the current pro rata/wireless workload formula.

Again, the answer produced from the study is no. This is based on (1) there has been little more than a year of experience with the present distribution system; (2) Phase II implementation costs for PSAPs and new tariffs from telcos are still incomplete variables; (3) not all carriers have fully implemented Phase I service at all PSAPs; (4) some centers are still receiving Phase 0 calls and are unable to count all their calls; and (5) the increased cost and staff workload associated with changing to another distribution method should not be incurred when the value of the change remains unclear.

Comments from Board

· Remove the small and median charts in each category because the analysis was drawn using only the average PSAP.

· On Figure 7, add a column to the chart showing the percentage of expenses covered.

David Lucas made a motion to accept the equity study as reviewed today and have John prepare a draft report to the Legislature stating the Boards conclusions. Lt. Col. Milligan seconded. All were in favor.

It was noted that this equity study is a good 1^st time effort. It was suggested that if the Board is going to do a study on an ongoing basis, they require PSAPs to regularly send in reports with call counts, expenses, misc.

It was suggested to send the PSAPs a letter thanking them for their participation in the study and also placing the completed report on the Board’s web site.

The meeting was adjourned at 12:23 p.m.