1. IFTA, INC. STRATEGIC PLAN Julian Fitzgerald (NC) IFTA, Inc. Board of Trustees 2007 Annual Business Meeting July 20-21, 2007 Chesterfield, MO

2. Vision Statement The model organization striving for full partner cooperation and member compliance.

3. Mission Statement To foster trust and cooperation among the jurisdictions through efficient and effective planning and coordination and oversight of activities necessary to administer the International Fuel Tax Agreement for the betterment of the members and our partners.

4. IFTA’s Strengths Jurisdictions have few fears regarding receipt of tax revenues Industry support Good governing documents Financially sound

5. IFTA’s Opportunities Clearinghouse – paperless transmittals and funds netting Partnering with IRP and other governmental units Strengthen committees Increase enforcement Pursue federal funding

6. IFTA’s Threats Court decision that determines IFTA practices unconstitutional. Jurisdiction action that contradicts IFTA. Alternate fuels which complicate taxation.

7. Goals To promote confidence and stability through partnerships between jurisdictions, industries, and other governments. To continuously plan, manage, and review IFTA, Inc.’s existing resources and new opportunities to ensure that organizational purposes are achieved. To meet the needs of customers and stakeholders by utilizing technology.

8. Goals To enhance confidence in the agreement by assertively pursuing enforcement and compliance. To expand the knowledge base regarding IFTA through education and awareness.

9. To promote confidence and stability through partnerships between jurisdictions, industries, and other governments. Developed joint IFTA-IRP compliance reviews to determine feasibility –Established guidelines, standards and worksheets –Scheduled and conducted test reviews MN (July 2006) WY (May 2007) OR (September 2007) –Will analyze test reviews to determine if combined reviews will be beneficial

10. To promote confidence and stability through partnerships between jurisdictions, industries, and other governments. Combined Audit Workshop with IRP 2006 marked the 9 th year Participation on the NAFTA Working Group

11. To continuously plan, manage, and review IFTA, Inc.’s existing resources and new opportunities to ensure that organizational purposes are achieved. Completed a 5-year budget –Established a minimum cash reserve (one year’s operating capital) –Ongoing monitoring of operations to ensure not-for- profit status –Pursue innovative funding sources, when available Review IFTA, Inc.’s staffing needs to achieve goals Created a contingency plan for business disruptions Created succession plans – for planned and unplanned vacancy of position of Executive Director

12. To meet the needs of customers and stakeholders by utilizing technology. Created the Information Technology Advisory Committee (ITAC) Funds netting through the Clearinghouse –Research and evaluation by Clearinghouse Advisory Committee complete – working on implementation Identify technology opportunities –Identifying new ways to utilize the IFTA Web site

13. To enhance confidence in the agreement by assertively pursuing enforcement and compliance. Promote enforcement through creation of a Marketing Plan –Law Enforcement Committee (LEC) has made contact with person in each jurisdiction responsible for enforcement issues –Some jurisdictions are populating the Clearinghouse with USDOT Numbers (See NE ballot 3-2007) –LEC is developing a Best Practices Guide –Definition of Roadside Enforcement was added to the IFTA Articles of Agreement in January 2007 Include enforcement in the IFTA Agreement –See LEC Ballot 1-2007 –LEC will later develop standards to include in the Program Compliance Reviews

14. To expand the knowledge base regarding IFTA through education and awareness. Promote Education & Awareness –The Agreement Procedures Committee, the Audit Committee and the LEC are developing Best Practices Guides –Use website as educational tool –Enhance the Annual Report and exemption databases on IFTA Web site for clarity and usefulness – The Agreement Procedures Committee is in the process of looking at this. Strengthen Committees Enhance Participation

15. Future Challenges –Mexico or tribal entities may join IFTA –Technological changes –Tax Issues Alternate fuels; multi-fuels –Institutional Memory –Legislative/legal challenges –Adverse court decisions –Congressional action