CA Maritime Infrastructure Bank/Authority teleconference

On July 14, 2014 I was notified by a member of the press about a CMIB/A board meeting scheduled for the following day.  On Tuesday, July 15 at 11:00am I phoned into the teleconference and entered a code to join the meeting. David Hull asked who was joining the meeting and I gave him my name.

David Hull, Executive Director, Jeff Wingfield, Treasurer, Brian Foss, Vice President and Doug Charchenko, Financial Advisor were already on the line waiting for a quorum of the board to join the call.  A member of the public asked a couple questions while we waited for Peter Grenell, President and Chairman of the Bank/Authority to call.  

Rick Toft, Port Business Manager at the Port of West Sacramento did not participate in the meeting. The Port of West Sacramento does not have a loan with the CMIB/A. They do however have a loan with the California Infrastructure and Economic Development Bank, based in Sacramento.

Lisa Ekers, Port Director at Santa Cruz Harbor did not participate in the meeting. Santa Cruz Harbor refinanced a past CMIB/A loan in 2008 and refinanced again in 2014. They haven't had an active loan with CMIB/A since refinancing in 2008.

David Hull said that Kevin Michele was busy and could not join the meeting.

Andrew Palomares, CFO & Chief Administrative Officer of the Port of Hueneme, Oxnard Harbor District did not participate in the meeting. The Oxnard Harbor District is a non-taxing authority, tax money is not used to operate the special district. The District's service area includes a population of 222,000. Oxnard Harbor District is allowed to issue bonds without a public vote because it's a non-taxing authority. Oxnard Harbor District recently joined CMIB/A to access financial advice only, they don't need a Joint Powers Agreement to issue bonds without a vote.

The San Mateo County Harbor District receives over half its funds from property taxes. For this reason the SMC Harbor District would be required to obtain a vote of the people to move forward with bonds without the CMIB/A Joint Powers Agreement. The CMIB/A Joint Powers Agreement allows the SMC Harbor District a way to access bond funding without a vote.

What I learned during the teleconference:

  • CMIB/A is not required by State law to produce a budget and they hold one "public" meeting per year.
  • Peter Grenell said that CMIB/A is an important component of the SMC Harbor District Strategic Business Plan. He indicated that CMIB/A would potentially fund capital projects recommended by Lisa Wise Consulting. 
  • CMIB/A funds capital projects they don't fund operational needs.
  • Doug Charchenko and others receive a "fee for service" for acting as "financial advisors" if a bond deal goes through.
  • Doug Charchenko said, "The executive director (David Hull) receives a modest stipend."
  • CMIB/A has given sales presentation at the following conferences and seminars: 
  • Peter Grenell recently had the same web designer that works for the SMC Harbor District change CMIB/A's physical address, from the SMC Harbor District's headquarters in South San Francisco, to David Hull's home address on the CMIB/A website
    • 4330 Cedar Street
      Eureka, CA 95503

 

Board meeting Agenda posted on the CMIB/A website:

CMIB/A July 15, 2014 Board Packet →

The CMIB/A address listed on the website has changed since the Half Moon Bay Review editorial was published on July 2, 2014.