NoRTEC
MINUTES
WIB AND GOVERNING BOARD
THURSDAY, APRIL 24, 2008
OROVILLE, CA

1. CALL TO ORDER

   The meeting was called to order by J. Madden, WIB Chair, and W. Reiss, Governing Board Chair, at 10:05 a.m.

2. ROLL CALL

   There was a quorum of both the WIB and the Governing Board. Roster

   J. Madden requested that everyone introduce themselves.

3. WIB APPROVAL OF MINUTES, JANUARY 28, 2008

   A motion by T. Cochran, seconded by D. Beeson, for WIB approval of the January 24, 2008, minutes as posted, passed the WIB unanimously.
   
   A motion by J. Chapman, seconded by M. Dunn, for Governing Board approval of the January 24, 2008, minutes as posted, passed the Governing Board.

4. APPROVAL OF AGENDA

   G. Mistal made a motion, seconded by S. LaBriere to approve the agenda as posted, noting the addition of Item XII, an update on NoRTEC expansion. The motion passed the WIB unanimously.
   
   P. Huebner made a motion, seconded by M. Dunn to approve the agenda as posted, noting the addition of Item XII, an update on NoRTEC expansion. The motion passed the Governing Board unanimously.

5. WIB APPOINTMENTS

   The slate of WIB nominees presented in the agenda, plus three from the floor were presented to the Governing Board:

   Tom Cochran Private Industry - Del Norte County
   Ron Sandler Private Industry - Del Norte County
   Dwight Beeson Private Industry - Modoc County
   Michele Piller CBO - Plumas County
   Dennis Maderios Private Industry - Shasta County
   Carol Roberts TANF/CalWORKS - Sierra County
   Joan Smith Freeman Economic Development - Siskiyou County
   Linda Wright TANF/CalWORKS - Trinity County
   Jesse Cox Private Industry - Trinity County
   Chuck Braun Public Employment - At Large
   Jerry Allred Education - Butte County
   Claudia Martin Private Industry - Tehama County
   Jennifer Hood Private Industry - Sierra County

   A motion by G. Russell, seconded by J. Chapman, to appoint the above slate of members to the NoRTEC WIB, passed the Governing Board unanimously.

6. PUBLIC COMMENT

   C. Brown addressed the WIB and Governing Board. He stated he had been diagnosed with a neurological disorder which affected his mobility. He said he would keep the WIB and Governing Board informed of his condition, but thus far it had not interfered with his ability to work.

7. PROGRAM COMMITTEE REPORT

   M. Piller presented the Program Committee Report.

   1. NoRTEC Monitoring

      M. Piller noted there had been no program monitoring since the January meeting. She said spring monitoring visits were planned for April-June, and specific dates were noted in the agenda.

   2. State Monitoring

      M. Piller noted there had been no state monitoring since the January meeting. No future visits have been scheduled.

   3. Client Numbers

      The following reports were reviewed and discussed. No problems were noted. (See agenda for links to reports.)
      
      - Job Seekers Accessing One-Stop Centers
      - Job Seekers Enrolled in the WIA Program
      - Outcome Information On Customers Leaving The Programs
      - One Stop Center Utilization Information
      - One Stop Center Employer Service Information

   4. Contract Performance

      The members reviewed contract performance. There were no concerns.

   5. National Emergency Grant (NEG) - Storm Project 2005/2007

      T. Brown gave a brief update on the project, stating the funding expires on June 30, 2008.

   6. Plant Closure Update

      The members reviewed the business closures that had taken place since the last meeting (see agenda for link to report).

   7. "Headline" Program Reports

      Each program in the consortium gave a brief report:

      Bill Finley, Butte PIC, reported his staff had been dealing with the recent closure of a Blue Cross office in Butte County. He said the labor market was pretty tight at the moment, and many of the affected employees were having difficulty finding new jobs. He also said they were continuing to work with the 120 employees laid off due to the closure of Koret a few months earlier. He said on the plus side, staff had been providing cusotmer service training to several local businesses.

      Tim Hoone, Rural Human Serivces, reported his agency had just received a $2.1 million grant to train 700 workers in the hospitality field in Del Norte and Curry Counties. Hoone said 11% of Del Norte and Curry Counties' labor force works in the hospitality field. Hoone said RHS was also working with the Elk Creek Rancheria to fill 175 positions in their hotel and casino.

      Traci Holt, Alliance for Workforce Development, reported Jack Shultz had spoke in Modoc County and more than 60 people attended the event. Holt reported AFWD also helped Quiznos, a new business opening in Alturas, to recruit their work force.

      Holt reported there were several business closures happening in Lassen County: a logging company, a contractor at the Depot, and several school district layoffs. She also reported the AFWD office in Susanville was going to move their One Stop because they building they were currently in was sold.

      Holt reported AFWD was partnering with SBDC in Plumas County to put on workshops. She also reported AFWD had a contract to provide HR (Human Resource) services to Plumas Rural Services, a community-based organization run by Michele Piller (NoRTEC WIB member).

      Holt reported AFWD was working to help bring broadband to Sierra County. Holt said she would provide more details in her WIRED update.

      Anna Bengtsson, SMART, reported on the "Jim Simpson Workforce Advancement Award," which SMART created to present to a local business. This year's winner was the Shasta Trades Association.

      Josephine Wyatt, STEP, reported on some recent successful fee for service programs. Wyatt said they were provding payroll services and Excel training to some local businesses. She also reported they were working on renewing their Enterprise Zone Designation.

      Kathy Schmitz, Job Training Center of Tehama County and Business One Stop Services, reported activities for "Administrative Professionals Week" were very successful this year, with more than 150 individuals participating this year.

      Anna Bengtsson reported that the SMART offices in Trinity County were open and the new team was out in the community.

   8. One Stop Business Services
      1. The members noted the websites addressing business services throughout the program. (See agenda for links.)
      2. WIRED Update
         • Stewart Knox, gave a brief update on the WIRED Project, and showed a video of the Venture Island contest held in Chico on March 27, 2008.
         • Traci Holt briefly discussed AFWD sponsored "Financing Your Business" workshops which drew more than 150 attendees throughout the four county region. She also briefly discussed Invenergy, an alternative energy company, who is looking to build a wind farm in northeastern California. Holt said AFWD was meeting with the company to assure them they would assist in any way possible with their workforce needs. If the company decides to build in the area, it would create 200 jobs to build the farm, and then result in at least 10 full-time, permanent positions after construction was completed.
         • Holt introduced Brent Smith, CEO of Sierra Economic Development Corporation, who discussed his agencies efforts to promote expansion of broadband into rural northeastern California. Smith said SEDC had received a $240,000 grant to perform a survey of a four county area to assess broadband needs. After completing the survey, the results will be shared with broadband provider companies and will provide loans to any companies who are interested in providing services.
         • Kathy Schmitz discussed the "Seeds of Opportunity" events held in Tehama and Siskiyou Counties. Schmitz said Jack Schultz was the keynote speaker, and this event drew more than 180 people in Tehama County. She said Dr. David Gallo, an economist from CSU, Chico also spoke and discussed the potential economic results of planned construction by the Del Webb company. The "Del Webb" project will encompass over 3,700 acres, and 4,000 new homes will be built, bringing in an estimated 5,000-7,000 new residents. Schmitz said it is unusual to have this much notice of a planned construction project, and discussion will help with planning for new infrastructure development and research into medical service, transportation, and other community needs. Schmitz also said discussions were underway regarding olive production in the Tehama/Glenn County areas, which current product 1/3 of table olives to US markets. Schmitz said these issues were guiding the area to a new economic development focus--not one of how to attract new business, but rather one to take care of and develop/expand businesses we already have.
         • Jeanne Hough, STEP, stated their Seeds of Opportunity event drew more than 75 attendees.
         • Anna Bengtsson briefly discussed SMART's Entrepreneur Workshops. She said Shasta and Trinity County WIB members Ginne Mistal, Hiram Oilar, and Jim Jungwirth participated, as well as several other local employers. Bengtsson said the most exciting thing that developed out of the workshops was the creation of a "peer-to-peer network" between the local businesses. They plan to continue to get together and share successes, failures, and share general information about running your own busienss.
         • Bengtsson also stated the SMART center is Trinity County was now open with offices in Weaverville and Hayfork. She said Jesse Cox and Wendy Reiss had helped recruit attendees for their Seeds of Opportunity event, and more than 86 people attended.
         • Bill Finley discussed plans for an Entrepreneurial Bootcamp in Butte County for both adults and for youth. He also said he was working on developing a youth alternative energy farm in cooperation with CSU, Chico, Butte College, and the City of Oroville.
         • Stewart Knox concluded the WIRED overview by announcing there would be a Ventura Island event in Redding, and announcing the appointment of Kathy Garcia, Tehama One Stop Business Services, as the WIRED Historian.
   9. Staff Training

      B. Austin reported on staff training as outlined in the agenda. M. Piller congratulated Austin on her attainment of a SHRM Certification.

   10. Youth Council Report

       K. Schmitz reported on Youth Council activities as presented in the agenda. Schmitz said they are continuing to work on their membership drive, and are working on focusing the Council on entrepreneurial opportunities for youth, which will tie in with NoRTEC's WIRED contract.

   A motion made by T. Cochran, and seconded by H. Oilar, for WIB approval of the Third Quarter Program Committee Report, passed unanimously.
   
   A motion made by M. Dunn, and seconded by P. Huebner, for Governing Board approval of the Third Quarter Program Committee Report, passed unanimously.

8. FINANCE COMMITTEE REPORT

   B. Hamby, Finance Committee Chair, presented the Finance Committee Report.

   1. PY 2007/2008 Funding

      B. Hamby reported NoRTEC has $15,824,566 in available funds for the PY 2007/2008 Program Year, with an additional $3,459,600 in WIRED funding that has been awarded but has not been incorporated in a contract with NoRTEC. When this funding is received, Hamby noted NoRTEC will have $19,284,166 in available funding for the 2007/2008 Program Year. This would be an increase of $3,689,297 over PY 2006/2007 Program Year funding.

   2. Approval of PY 2007/2008 Second Quarter Financial Reports

      Third quarter financial reports for PY 2007/2008 were presented to the members for approval. Hamby reported there were no areas of concern from the Finance Committee (see agenda for link to reports):

      - PY 2007/2008 Contracts Summary
      - PY 2007/2008 Service Provider Contract Modifications
      - PY 2007/2008 Program Expenditure Report
      - PY 2007/2008 Administrative Entity Expenditure Report
      - PY 2007/2008 NoRTEC WIB and Governing Board Expenditure Report
      
      The members engaged in a brief discussion of each of the reports.

      A motion made by T. Cochran, and seconded by D. Beeson, for WIB approval of the PY 2007/2008 Third Quarter expenditure reports passed unanimously.

      A motion made by M. Dunn, and seconded by J. Chapman, for Governing Board approval of the PY 2007/2008 Third Quarter expenditure reports passed unanimously.

   3. Acceptance of June 30, 2007, Single Audit Report (Action)

      Hamby reported the NoRTEC Administrative Entity received its June 30, 2007, Single Audit Report. He said there were no findings, questioned costs, or recommendations in the report. He told the members copies of the report were available to any WIB or Governing Board member that would like to review the report.

      A motion made by D. Beeson, and seconded by W. Hagge, for WIB acceptance of the June 30, 2007, Single Audit Report, passed unanimously.

      A motion made by M. Dunn, and seconded by L. McNamer, for Governing Board acceptance of the June 30, 2007, Single Audit Report, passed unanimously.

   4. NoRTEC Fiscal Monitoring

      M. Cross reported that fiscal monitoring of the service providers by NoRTEC was scheduled in April through June of 2008. Cross said the results of the monitoring would be communicated to the members at the July 2008, meeting.

   5. State Fiscal and Procurement Monitoring of NoRTEC

      M. Cross reported the State conducted the current year's Fiscal and Procurement monitoring of NoRTEC during the week of April 7, 2008. Cross said the EDD monitor visited the NoRTEC Administrative Office as well as the administrative offices of the Butte PIC, and results would be communicated to the members when the report is received.

   A motion made by T. Cochran, and seconded by D. Beeson, for WIB approval of the Third Quarter Finance Committee Report passed unanimously.
   
   A motion made by G. Russell, and seconded by P. Huebner, for Governing Board approval of the Third Quarter Finance Committee Report passed unanimously.

9. STATUS OF FUNDING APPLICATIONS
   1. Prior Approval

      C. Brown stated there were no previously approved applications.

   2. New Applications

      C. Brown requested approval for staff to submit an application to the Department of Labor (DOL) for a three year, $2,000,000 project to fund STEM (Science, Technology, Engineering, and Math) activities in NoRTEC.

      A motion made by T. Cochran, and seconded by B. Hamby, for WIB approval for NoRTEC to submit an application for $2,000,000 to fund STEM activities in NoRTEC, passed unanimously.

      A motion made by G. Russell, and seconded by L. McNamer, for Governing Board approval for NoRTEC to submit an application for $2,000,000 to fund STEM activities in NoRTEC, passed unanimously.

10. NEVADA COUNTY UPDATE

    Bill Finley, Butte County, said he was working with the Nevada County Welfare Director to set up their WIA program. He said everyone was eager and positive and excited about joning NoRTEC. He said they had already found a facility and were confident their new one stop would be open and operational by July 1, 2008. C. Brown said he was pleased with the progress, and did not anticipate any problems.

11. SMALL BUSINESS UPDATE

    G. Mistal presented provided an update on pending legislation affecting small business.

12. Further NoRTEC Expansion (Information)

    W. Reiss provided a summary of the pros and cons discussssed by the Governing Board for accepting additional counties into the NoRTEC consortium.

    1. Pros
       1. Stable funding base for NoRTEC administration
       2. More political clout
       3. More funding opportunities
       4. Providing service for under-served areas
       5. Spreading the Business First/Economic Development approach over a larger area
    2. Cons
       1. Stretching staff too thin
       2. New county may try to dominate program direction and distribution of funding
       3. New county may not be compatible, causing tension and disruption
       4. More counties will make the board too big to manage

    Compatibility, primarily expressed as a desire to adopt the NoRTEC philosophy of "Business First," was a key consideration, as was NoRTEC staff capacity. The concensus was to put any further expansion on hold and to make this an agenda item for the October retreat.

13. OLD BUSINESS

    No Old Business items were discussed by the WIB and Governing Board.

14. NEW BUSINESS

    The members noted the next WIB and Governing Board meeting would be held in Redding on Thursday, July 24, 2008.

15. ADJOURNMENT

    There being no further Old or New Business, the meeting was adjourned at 1:50 p.m.