(a) The organization of the agency shall be as follows:

(1) The agency shall be governed by a board of directors consisting of nine (9) members;

(2) The county mayors of Monroe, Loudon and Blount counties shall be members of the board of directors;

(3) The county mayor of each of the counties named in subdivision (a)(2) shall appoint, with the advice and consent of the county commission, persons to fill two (2) directorships from each county. In the selection of nominees for the board of directors, due consideration shall be given to persons active in municipal, industrial, agricultural, community, commercial and citizen organizations. The initial directors appointed to the board pursuant to the procedure set out in this subdivision (a)(3) shall serve terms as follows: Two (2) for terms of two (2) years; two (2) for terms of four (4) years; and two (2) for terms of six (6) years. The selection of directors to fill these terms of office shall be by random selection. The term of a director shall continue in any event until a successor is appointed. Successors shall be appointed in the manner set forth for the initial board of directors and shall serve for terms of six (6) years. In the event of a vacancy on the board, a successor shall be appointed for the unexpired term in the same manner as set forth for the initial directors.

(b) Upon completion of its membership, the appointees shall meet and organize, elect a chair, vice chair and secretary-treasurer, and set a time and place for regular meetings of the board of directors, which shall occur no less frequently than once during every three (3) months.

(c) The board of directors may provide that directors be compensated for attendance at regular meetings of the board of directors and at meetings of duly designated committees of the board in an amount to be specified by the board, which amount shall not exceed twice the minimum rate of compensation provided for counties of the third class in § 5-5-107, for regular meetings of the board of directors and one and one-half (1½) of such amount for meetings of committees of the board of directors. Directors shall serve without further or additional compensation except reimbursement for actual travel expenses and other necessary expenses incurred in the performance of their official duties, such expenses to be reimbursed from such funds as may be available to the agency. All reimbursement for travel expenses shall be in accordance with the comprehensive travel regulations as promulgated by the department of finance and administration and approved by the attorney general and reporter.