Transit Authority Moves Toward Self-Management

SPRINGDALE — Ozark Regional Transit board members took a step closer to having their own management staff at Thursday’s board meeting.

The board approved a $7,000 reduction in monthly payments to First Transit, a company the

board contracts with for management services. The reduction came after First Transit moved Richard Grandon, who was local operations manager, at the beginning of September and didn’t replace him, said Joel Gardner, executive director.

Grandon was mentioned in a discrimination lawsuit between a former employee and the organization, but was interested in moving before to the settlement, Gardner said.

It isn’t in the best of interest of either First Transit or Ozark Regional Transit for the management company to fill the position, Gardner said. The new employee would only work with the authority for three months, and it takes about six months for an employee to learn a new job and transit system.

The responsibilities of the operations manager are being divided among the staff.

Ozark Regional Transit previously paid First Transit $38,000 each month for the salaries of three management employees and the company’s oversight services, Gardner said at the meeting. The organization will pay First Transit $31,000 a month until the contract expires Dec. 31.

Craig Hull, a board member representing Benton County, said he supports the reduction because it's easier and less time consuming than re-writing the contract with First Transit.

The board has decided not to renew its contract with First Transit because of what board members said are problems with the management company and because they believe the organization can manage itself.

“In the beginning, it was a great deal for the area,” said Lori Ericson, vice chairman of the board who represent Rogers. “It’s a whole different bird than it was back then.”

The board authorized advertising for the three management positions, which must be filled once the contract expires.