1. August 17-18 2016 Annual Business Meeting Indianapolis, Indiana

2. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting FINANCES OPERATIONS Use IFTA, Inc. financial resources efficiently and effectively Continuously improve IFTA, Inc.'s business operations Consider best use of investment funds. Maintain a knowledgeable and professional staff Evaluate real estate value and cost effectiveness of property ownership Maintain secure and confidential data to enhance confidence Continuity of business. COMMUNICATIONTECHNOLOGY Continuously improve communication with member jurisdictions Assess and use appropriate technology Provide Training Provide services to member jurisdictions Enhance confidence and trust among member jurisdictions. Ensure IFTA, Inc. uses current technology Enhance communications between the IFTA, Inc. Board of Trustees and the member jurisdictions. Protect the security and confidentiality of jurisdictions’ taxpayer information GOALS AND OBJECTIVES

3. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting RELATIONSHIPS Provide IFTA expertise to other professional organizations Continued combined projects with like associations. Cultivate additional partnerships with motor carrier related organizations. Collaborate and share information with other organizations where appropriate.

4. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting Financial Goal – Consider best use of investment funds. Objective 1 - Research and develop pilot projects for member jurisdictions that could be funded with IFTA, Inc. investments.

5. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting December 2015 - IFTA, Inc. Board president, Ron Hester (ON) sent a Memorandum to the member jurisdictions asking for proposals and projects February 2016 - Board reviewed the proposals and documentation submitted by 4 jurisdictions: AB, BC, CT, KY o AB –  proposed apply funds to reduce the IFTA dues for a year;  conduct a study on the current 3% audit coverage to determine whether it should be reduced;  and whether a risk-based audit approach should be used considering the tax impact involved.

6. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting February 2016 - o BC –  Proposed supporting travel costs associated with face-to-face IFTA Committee meetings once per year based on a strong agenda as determined by the Board.  Improved testing/sharing of information relating to GPS Tracking systems utilized by IFTA Carriers;  provide education and training/information materials to carriers and other jurisdictions regarding the specific reporting requirements for IFTA carriers with dual fuel vehicle fleets;  and a detailed review and redevelopment of the IFTA web site utilizing the services of a third-party service provider.

7. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting o CT  Funding of attendance at the IFTA Annual Business Meeting;  Funding of attendance at the Annual Audit Workshop  Creation of a Focus Group to initiate a “perpetually audited taxpayer” program (supercarrier audits) o KY –  Contract with the Kentucky Transportation Center (KTC) to conduct an IFTA Demographics Data Quality pilot project. The primary objective of this project would be to help IFTA, Inc. improve the reliability, validity, completeness, timeliness and integrity of IFTA demographic data to assist member jurisdictions who want to enhance their audit or roadside enforcement tools.

8. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting Initial Decisions by the Board o Applying funds to reduce IFTA dues for a year was not as beneficial as funding travel o A 3% audit study and a study on whether IFTA audits should be risk based would be referred to the Audit Committee for initial review and recommendation. o IFTA, Inc. will place in reserve funding for travel for face-to- face committee meetings to be used upon approval of an agenda by the Board o The Board will review the proposal regarding GPS tracking systems after the 2018 Audit Workshop because the workshop is focusing on issues surrounding GPS o The Board tabled discussion on review and redevelopment of the IFTA, Inc. website pending the redesign currently underway by IFTA, Inc.

9. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting Initial Decisions by the Board o Because IFTA, Inc. currently funds the Commissioners’ attendance at the Annual IFTA Business Meeting, funding a second person may not be as beneficial as funding travel for jurisdictions to attend a different meeting. o Taken under advisement, the proposal to fund travel to an Audit Workshop. IFTA, Inc. will bring estimated travel costs to the budget meeting in May. o Requested from CT additional information regarding its proposal to set up a process to audit supercarriers. CT was asked to provide that information in May. o KY’s proposal for improving demographic data quality was tabled pending the results of the efforts of the Clearinghouse Advisory Committee.

10. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting May 2016 – Board reviewed additional information from CT regarding its proposal. The Board is still reviewing the proposal and requested more information. o The Board has approved the payment of travel costs beginning January 1, 2018 o Travel costs will be paid for one person per jurisdiction to attend one of the following meetings in 2018:  The IFTA/IRP Audit Workshop  The IFTA/IRP Managers and Law Enforcement Workshop  The IFTA Attorneys Section Meeting o The IFTA Commissioners will choose which meeting

11. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting Financial Goal – Consider best use of investment funds. Objective 2 - Evaluate real estate value and cost effectiveness of property ownership

12. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting December 2015 – Amanda Koeller provided to the Board all costs associated with our building, its maintenance, rental management, etc. December 2015 – Meetings were held by Amanda with the real estate broker. This broker has assisted us in the past to find tenants for our rental units. February 2016– The Board discussed the possibility of selling our building. No decision was made at that meeting. May 2016 – The Board met with the real estate agent who explained the market for buyers, sellers and renters in the Phoenix area. After discussion a decision was made to list the building for sale.

13. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting  The Board wanted the building to be listed as soon as possible.  Lonette Turner signed the broker agreement for the sale of the building on June 1, 2016.  The broker put the building on the market on June 3, 2016.  As of today, there have been 2 buyer walkthroughs.

14. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting Operations Goal – Continuously improve IFTA, Inc.’s business operations Objective 1 – Maintain knowledgeable and professional staff

15. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting In April, 2015, the Board approved in the FYE16 budget $5,000 for a position and salary review. IFTA, Inc. found that the amount of money provided would not cover the cost of a review, so the Board increased the funds for FYE17 to $13,000. IFTA, Inc. has received bids and is entering into a contract for completion of the review within one year.

16. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting Communications Goal – Continuously improve communication with member jurisdictions Objective 2 – Enhance confidence and trust among member jurisdictions

17. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting February 2016 – The Board asked that IFTA, Inc. put together a working group to make recommendations for providing a useful Annual Report. May 2016 – Members of the Annual Report Working Group were approved by the Board. The working group is chaired by Ron Hester (ON) and David Helton (FL) is the Board Liaison. Members are: o Teri Agnew (KS) o Bruce Bierbaum (VT), (PCRC) o Glenn Boyette (MS), (APC) o Stacey Hammock (WY), (AC) o Diana Kay (FL) o Carla Pape (ID)

18. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting June 2016 – The Board issued a charge to the Annual Report Working Group. The purpose of the charge: o To make recommendations that will ensure that the annual report, required by R1510.300 of the Articles of Agreement, is a valuable tool to the member jurisdictions and IFTA stakeholders. We expect this project to be completed by and recommendations given to the Board for the 4Q17 Board meeting.

19. August 17-18Indianapolis, Indiana 2016 Annual Business Meeting