"2. Discussion and Possible Approval of Elimination of Stipends, Expenses and Mileage
for Calendar Year 2010

Executive Director Stogner updated the Board on staff efforts to reduce spending. He
said that one way to reduce expenses would be for the Board to temporarily suspend stipends,
expenses, and mileage reimbursement for 2010.

Chairman Hemphill said that he is very sensitive to the expense reimbursement aspect of the
proposal. He said that he also wants the public to continue to be involved and that NCRA staff
would visit Marin County and Humboldt County to conduct town hall style meetings once per
quarter.

Director Meyers asked that staff to distribute his memo regarding Agenda items E.1 and E.2.
Said memo is hereby made part of these minutes by reference.

Director MacDonald asked why NCRA was not imposing furlough days or cutting staff salaries.
It was the consensus of the Board that temporary suspension of stipends would be a good start to
expense reductions, but that elimination of the expense reimbursement for mileage and lodging
would impose too great of a hardship.

Chairman Hemphill said that the Finance Committee should continue to inventory possible ways
revenues can be increased and expenses can be reduced. Director Wolter asked that the Chairman
direct the Finance Committee to review Director Meyers’ memo and pinpoint ways to mitigate
the agency deficit.

Director Colfax said that as Chair to the Finance Committee he would accept the task of
reviewing the agency deficit and attempt to begin to find possible solutions to deal with the
deficit.

January 2010: [www.northcoastrailroad.org]